(A) Applicability. Professional services shall be procured in accord with this policy except where otherwise provided in the purchasing chapter, exceptions to include but not be limited to small purchases (under amount set by Charter for formal competitive bidding), sole source procurement, emergency procurements, and those situations where negotiation procedure is more appropriate as when only one known contractor can meet all requirements or when competitive solicitation is impractical.
(B) Policy. It is the policy of this city to publicly announce all requirements for professional services, unless excepted herein, and to negotiate contracts on the basis of demonstrated competence and qualification for the type of services required, and at fair and reasonable prices.
(C) Objectives.
(1) To secure competent professional services as competitively as practicable.
(2) To require a prohibition against contingent fees in all professional services contracts.
(3) To establish as firmly as possible the total cost, including fee, of the service to be rendered.
(4) To eliminate cost-plus-a-percentage-of-cost type of contracting.
(D) Criteria for selection.
(1) Professional technical competence of contractor.
(2) Available capacity to perform the specific work within the stipulated timeframe.
(3) The merit of the proposed concept or methods to be used in achieving the specific desired objective or end product.
(4) Proposed total cost, including fee, and construction and life-cycle costs, where applicable, to the client.
(E) Pre-bid activity. Based on the complexity of the project, one or more of these steps may be omitted if appropriate:
(1) Using department to formulate statement of requirements, design or other applicable criteria, timeframe for performance, and other pertinent criteria. The estimated total cost, including construction if applicable, should also be established. The request for proposals shall also state the relative importance of the various criteria including price.
(2) When deemed appropriate in the best interest of the city, the City Administrator may appoint an ad hoc advisory committee, with either in-house or outside representatives of the disciplines involved. Such committee would review the stated requirements and establish the extent of anticipated in-house participation.
(3) Formalized advertising of stated requirements.
(4) Either the Purchasing Agent in conjunction with the using department head or the ad hoc committee, if one is appointed, shall review the professional and technical competence of all responding firms and, by an analysis of prior performance, determine the capacity to render the required services within the established timeframe.
(5) Establishment of a list of prequalified bidders for the specific project or program by the ad hoc committee or the using department and procuring activity.
(6) Determination of most appropriate method of contracting based on complexity of the program and extent of in-house participation.
(7) Preparation of preliminary set of specifications and other contract documents by using department and Purchasing Agent for review and comments of prequalified bidders. Criteria to be used in the evaluation of proposals and determination of successful bidder established.
(8) Prebid conference conducted by Purchasing Agent supported by requesting department and other in-house groups as required. All prequalified firms invited to attend for review of specification requirements, predetermined method of contracting and proposed contract documents. Recommendations and questions from prospective bidders requested for consideration.
(9) Preparation of all documents required for the solicitation of proposals by Purchasing Agent and using department subject to approval of evaluation board.
(F) Award process.
(1) Single-step competitive:
(a) Solicitation from prequalified list of contractors. Bid documents to include requirements for the submission of conceptual approach, total price including fee and assurance of compliance with stated timeframe.
(b) Receipt of proposals. Proposals shall be opened so as to avoid disclosure of contents to competing offerors during the process of negotiation. A register of proposals shall be prepared and opened for public inspections.
(c) Review and evaluation of conceptual proposals by ad hoc committee, or representative of requesting department and procuring activity, and all acceptable proposals identified, with record of actions involved. Firms may also be required to have key personnel, to be used on the project, give a presentation of conceptual approaches to ad hoc committee.
(d) Award of contract to lowest bidder meeting all requirements, including budget limitations, as determined by the City Council after recommendation by the Purchasing Agent or ad hoc committee.
(2) Two-step competitive:
(a) Solicitation from prequalified list of contractors. Bid documents to include requirements for the submission of conceptual approach and methods to be utilized in achieving the specified end product or providing the desired service within the stipulated timeframe. Cost or pricing data is not required, unless in two-envelope method.
(b) Receipt of proposals. Proposals shall be opened so as to avoid disclosure of contents to competing offerors during the process of negotiation. A register of proposals shall be prepared and opened for public inspections.
(c) Review and evaluation of conceptual proposals by ad hoc committee, or representative of requesting department and procuring activity, and all acceptable proposals identified, with record of actions involved. Firms may also be required to have key personnel, to be used on the project, give a presentation of conceptual approaches to ad hoc committee.
(d) Request for cost and pricing data from those firms that submitted acceptable conceptual proposals. Cost proposals must include appropriate cost elements and show all applicable percentages including fee or profit.
(e) Review of all cost elements by Purchasing Agent assisted by an audit or accounting group, if necessary, and comparison with in-house estimates. Award of contract to lowest bidder meeting all requirements, including budget limitations, as determined by the City Council after recommendation by the Purchasing Agent or ad hoc committee.
(3) Competitive negotiation:
(a) Discussion and review of requirements by ad hoc committee with prequalified firms, if possible, regarding anticipated concepts and relative value of alternate methods of approach. Technical/conceptual proposals only to be submitted as a result of discussions.
(b) Receipt of proposals. Proposals shall be opened so as to avoid disclosure of contents to competing offerors during the process of negotiation. A register of proposals shall be prepared and opened for public inspections.
(c) Review and evaluation of conceptual proposals by ad hoc committee, or representative of requesting department and procuring activity, and all acceptable proposals identified, with record of actions involved. Firms may also be required to have key personnel, to be used on the project, give a presentation of conceptual approaches to ad hoc committee.
(d) Request for cost and pricing data from those firms that submitted acceptable conceptual proposals. Cost proposals must include appropriate cost elements and show all applicable percentages including fee or profit.
(e) Review of all cost elements by Purchasing Agent assisted by an audit or accounting group, if necessary, and comparison with in-house estimates.
(f) Negotiations conducted with top three firms whose price proposals are within competitive range and whose conceptual proposals are relatively acceptable or equal.
(g) Award of contract, by the City Council upon recommendation of the ad hoc committee, under mutually acceptable terms and conditions at compensation that is considered to be fair and reasonable to both contractor and client.
(h) Record of all negotiations shall be made for contract file and reviewing authorities with sufficient detail to reflect significant considerations leading to finalization of contract.
('80 Code, § 12-56) (Ord. 2018, passed 6-17-81)