(A) Action by Council. Upon receipt of the bids, the City Council or its delegate shall have the authority to:
(1) Reject defective or nonresponsive bids.
(2) Reject all bids.
(3) Negotiate with the three lowest responsible bidders, if bid prices are in excess of the money available.
(4) Readvertise the project for bidding, after making substantial changes in the project plans to bring the cost within the limit of the money available.
(B) Negotiation. If the lowest and best bid exceeds the budgeted amount and the City Council does not make additional funds available, the proposed contract for purchase or sale or for services or for construction project shall be reduced in scope sufficiently to bring the estimate of cost within the funds available.