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HomeMy WebLinkAbout2007 06 11 Regular 601 Ordinance 2007-12 COMMISSION AGENDA ITEM 601 Consent Informational Public Hearin Regular x June 11, 2007 Regular Meeting REQUEST: City Manager requesting the City Commission approve final reading of Ordinance No. 2007-12 updating the City's Purchasing Policies. PURPOSE: This agenda item is needed for the Commission to consider updating the City's Purchasing Polices to bring it in line with current economic conditions and current practices. CONSIDERATIONS: On May 30, 2007, the Commission approved first reading of Ordinance 2007-12. The City's current Purchasing Ordinance was adopted in fiscal year 2000. The current Commission approval threshold of $12,500 is no longer reasonable or consistent with other jurisdictions due to the erosion of inflation. Additionally, the Ordinance does not contain a small purchase exemption which would exempt small dollar purchases from quote requirements. Lastly, these out-of-date policies are strangling our ability to acquire materials and services in a timely and efficient manner. Commission Approval Threshold Current Purchasing Policies provide for a Commission Approval threshold of $12,500. This means purchases in excess of $12,500 must be approved by the City Commission. The City Manager is authorized to purchase or contract for all commodities and services required by the City which do not exceed $12,500. An increase in this threshold would serve to further streamline the City's purchasing process and assist in effecting the timely and efficient delivery of City services. Small Purchase Exemption Current City Purchasing Policies do not contain a "small purchase exemption" provision. This type of provision involves setting a specific dollar threshold, whereby purchases in an amount that falls below this threshold would be exempt from formal competition requirements, e.g., three quotes. All other normal and prudent professional purchasing practices and adherence to appropriate rules would still be required for these purchases. This type of policy is an accepted governmental purchasing practice and commonly utilized by government entities in order to streamline the purchasing process, thus increasing operationally effectiveness and efficiency. Accordingly, the attached Ordinance No. 2007-12, which adopts a small purchase threshold of $2,500 and increases the Commission Approval threshold from $12,500 to $25,000, is presented for consideration. The thresholds contained in Ordinance No. 2007-12 were derived from analysis and comparison of those polices of the State of Florida, Seminole County and other municipalities in Seminole County. FUNDING: None. RECOMMENDATION: It is recommended that the Commission approve final reading of Ordinance No. 2007-12 to update the City's Purchasing Polices to bring them in line with economic conditions and current practices. ATTACHMENTS: 1. Ordinance No. 2007-12. COMMISSION ACTION: ORDINANCE NO. 2007-12 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF WINTER SPRINGS, FLORIDA, RELA TING TO CITY PURCHASING POLICIES AND PROCEDURES; AMENDING THE CITY OF WINTER SPRINGS CODE OF ORDINANCES, SECTIONS 2-151 AND 2-152; PROVIDING FOR THE REPEAL OF PRIOR INCONSISTENT ORDINANCES AND RESOLUTIONS; INCORPORA TION INTO THE CODE; SEVERABILITY AND AN EFFECTIVE DATE. WHEREAS, the City is granted the authority, under Section 2(b), Article VIII, of the State Constitution, to exercise any power for municipal purposes, except when expressly prohibited by law; and WHEREAS, the City Commission of the City of Winter Springs, Florida, has, from time to time, adopted and revised purchasing policies and procedures for the purchase of goods and services relating to the operation of the City; and WHEREAS, those purchasing policies and procedures are in need of updating by the adoption of this Ordinance; and WHEREAS, the City Commission of the City of Winter Springs, Florida, hereby finds this Ordinance to be in the best interests of the public health, safety, and welfare of the citizens of Winter Springs, NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF WINTER SPRINGS, SEMINOLE COUNTY, FLORDIA, AS FOLLOWS: Section 1. Recitals. The foregoing recitals are hereby fully incorporated herein by this reference as legislative findings and the intent and purpose of the City Commission of the City of Winter Springs. Section 2. Code Amendment. Chapter 2, Administration, of the Code of Ordinances, City of Winter Springs, Florida, is hereby amended as follows (underlined type indicates additions and strikeout type indicates deletions, while asterisks (* * *) indicate a deletion from this Ordinance of text existing in Chapter 2. It is intended that the text in Chapter 10 denoted by the asterisks and set forth in this Ordinance shall remain unchanged from the language existing prior to adoption of this Ordinance): CHAPTER 2. ADMINISTRATION * * * ARTICLE VI. FINANCE City of Winter Springs Ordinance No. 2007-12 Page 1 of 3 * * * DIVISION 2. PURCHASING Sec. 2-151. Purchasing Policy and Procedure Established. Unless otherwise provided by city charter, city ordinance, or state or federal law, all city purchases shall be made pursuant to written uniform purchasing policies and procedures established by the city manager. The city manager is authorized to purchase or contract for all commodities and services required by the city which do not exceed t'vvelve thousand five hundred dollars ($12,500) twenty-five thousand dollars ($25,000). All purchases or contracts for all commodities and services required by the city which exceed twelve thousand five hundred dollars twenty-five thousand dollars shall be approved by the city commission. Sec. 2-152. When written bids are required; waiver; small purchases. .ill} Unless otherwise provided by city charter, city ordinance, 6f state or federal law, or pursuant to subsection (b) of this section, competitive prices for all purchases of commodities and services shall be obtained by written bid, quote, or proposal and the purchase made from, or the contract awarded to, the lowest and best responsible bidder. Notwithstanding any requirement for obtaining written bids, quotes or proposals, purchases may be made by: (i) cooperating with other governmental entities in soliciting competitive bids, quotes or proposals; (ii) using competitive bids, quotes or proposals received by other governmental agencies, provided they were made within one year of the date the city proposes to use them; (iii) using a current contract previously awarded to another governmental agency; (iv) using a purchase card, provided the purchase complies with the city's purchase card guidelines; (v) using a sole source vendor; (vi) negotiating directly with a provider of professional services; and (vii) declaring a purchase an emergency; provided said purchases are allowed by city charter and state and federal law and deemed in the best interests of the city by the city commission or the city manager for purchases within the city manager's spending authority. ru Small purchases of commodities and services not exceeding two thousand five hundred dollars ($2,500) shall be exempt from the requirements of subsection (a) provided that said purchases are not prohibited by city charter, state or federal law and are deemed in the best interests of the city by the city manager or the city manager's designee. Section 3. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior inconsistent ordinances and resolutions adopted by the City Commission, or parts or ordinances and resolutions in conflict herewith, are hereby repealed to the extent of the conflict. Section 4. Incorporation Into Code. This Ordinance shall be incorporated into the Winter Springs City Code and any section or paragraph, number or letter, and any heading may be changed or modified as necessary to effectuate the foregoing. Grammatical, typographical, and like errors may be corrected and additions, alterations, and omissions, not affecting the construction or meaning of this ordinance and the City Code may be freely made. City of Winter Springs Ordinance No. 2007-12 Page 2 of 3 Section 5. Severability. If any section, subsection, sentence, clause, phrase, word, or provision of this ordinance is for any reason held invalid or unconstitutional by any court of competent jurisdiction, whether for substantive, procedural, or any other reason, such portion shall be deemed a separate, distinct and independent provision, and such holding shall not affect the validity of the remaining portions of this ordinance. Section 6. Prior Purchases. All prior purchases made prior to the effective date of this Ordinance are hereby ratified and approved. Section 7. Effective Date. This Ordinance shall become effective immediately upon adoption by the City Commission of the City of Winter Springs, Florida, and pursuant to City Charter. ADOPTED by the City Commission of the City of Winter Springs, Florida, in a regular meeting assembled on the day of , 2007. John F. Bush, Mayor ATTEST: Andrea Lorenzo-Luaces, City Clerk APPROVED AS TO LEGAL FORM AND SUFFICIENCY FOR THE CITY OF WINTER SPRINGS ONLY: Anthony A. Garganese, City Attorney City of Winter Springs Ordinance No. 2007-12 Page 3 of 3 ORDINANCE NO. 2007-12 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF WINTER SPRINGS, FLORIDA, RELATING TO CITY PURCHASING POLICIES AND PROCEDURES; AMENDING THE CITY OF WINTER SPRINGS CODE OF ORDINANCES, SECTIONS 2-151 AND 2-152; PROVIDING FOR THE REPEAL OF PRIOR INCONSISTENT ORDINANCES AND RESOLUTIONS; INCORPORATION INTO THE CODE; SEVERABILITY AND AN, EFFECTIVE DATE. WHEREAS, the City is granted the authority, under Section 2(b), Article VIII, of the State Constitution, to exercise any power for municipal purposes, except when expressly prohibited by law; and WHEREAS, the City Commission of the City of Winter Springs, Florida, has, from time to time, adopted and revised purchasing policies and procedures for the purchase of goods and services relating to the operation of the City; and WHEREAS, those purchasing policies and procedures are in need of updating by the adoption of this Ordinance; and WHEREAS, the City Commission of the City of Winter Springs, Florida, hereby finds this Ordinance to be in the best interests of the public health, safety, and welfare of the citizens of Winter Springs, NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF WINTER SPRINGS, SEMINOLE COUNTY, FLORDIA, AS FOLLOWS: Section 1. Recitals. The foregoing recitals are hereby fully incorporated herein by this reference as legislative findings and the intent and purpose ofthe City Commission of the City of Winter Springs. Section 2. Code Amendment. Chapter 2, Administration, of the Code of Ordinances, City of Winter Springs, Florida, is hereby amended as follows (underlined type indicates additions and strikeout type indicates deletions, while asterisks (* * *) indicate a deletion from this Ordinance of text existing in Chapter 2. It is intended that the text in Chapter 10 denoted by the asterisks and set forth in this Ordinance shall remain unchanged from the language existing prior to adoption of this Ordinance): CHAPTER 2. ADMINISTRATION *** ARTICLE VI. FINANCE City of Winter Springs Ordinance No. 2007-12 Page 1 of3 *** DIVISION 2. PURCHASING Sec. 2-151. Purchasing Policy and Procedure Established. Unless otherwise provided by city charter, city ordinance, or state or federal law, all city purchases shall be made pursuant to written uniform purchasing policies and procedures established by the city manager. The city manager is authorized to purchase or contract for all commodities and services required by the city which do not exceed twelve thousand five hundred dollars ($12,500) twenty-five thousand dollars ($25.000). All purchases or contracts for all commodities and services required by the city which exceed twelve thousand five hundred dollars twenty-five thousand dollars shall be approved by the city commission. Sec. 2-152. When written bids are required; waiver~ small purchases. ill Unless otherwise provided by city charter, city ordinance, ef state or federal law, or pursuant to subsection (b) of this section, competitive prices for all purchases of commodities and services shall be obtained by written bid, quote, or proposal and the purchase made from, or the contract awarded to, the lowest and best responsible bidder. Notwithstanding any requirement for obtaining written bids, quotes or proposals, purchases may be made by: (i) cooperating with other governmental entities in soliciting competitive bids, quotes or proposals; (ii) using competitive bids, quotes or proposals received by other governmental agencies, provided they were made within one year of the date the city proposes to use them; (iii) using a current contract previously awarded to another governmental agency; (iv) using a purchase card, provided the purchase complies with the city's purchase card guidelines; (v) using a sole source vendor; (vi) negotiating directly with a provider of professional services; and (vii) declaring a purchase an emergency; provided said purchases are allowed by city charter and state and federal law and deemed in the best interests of the city by the city commission or the city manager for purchases within the city manager's spending authority. Dll Small purchases of commodities and services not exceeding two thousand five hundred dollars ($2.500) shall be exempt from the requirements of subsection (a) provided that said purchases are not prohibited by city charter. state or federal law and are deemed in the best interests of the city by the city manager or the city manager's designee. Section 3. Repeal of Prior Inconsistent Ordinances and Resolutions. All prior inconsistent ordinances and resolutions adopted by the City Commission, or parts or ordinances and resolutions in conflict herewith, are hereby repealed to the extent of the conflict. Section 4. Incorporation Into Code. This Ordinance shall be incorporated into the Winter Springs City Code and any section or paragraph, number or letter, and any heading may be changed or modified as necessary to effectuate the foregoing. Grammatical, typographical, and like errors may be corrected and additions, alterations, and omissions, not affecting the construction or meaning of this ordinance and the City Code may be freely made. City of Winter Springs Ordinance No. 2007-12 Page 2 of3 " Section 5. Severability. If any section, subsection, sentence, clause, phrase, word, or provision of this ordinance is for any reason held invalid or unconstitutional by any court of competent jurisdiction, whether for substantive, procedural, or any other reason, such portion shall be deemed a separate, distinct and independent provision, and such holding shall not affect the validity of the remaining portions of this ordinance. Section 6. Prior Purchases. All prior purchases made prior to the effective date of this Ordinance are hereby ratified and approved. Section 7. Effective Date. This Ordinance shall become effective immediately upon adoption by the City Commission of the City of Winter Springs, Florida, and pursuant to City Charter. ADOPTED by the City Commission of the City of Winter Springs, Florida, in a regular meeting assembled on the 11th day of June ,2007. *~. ATTEST: r \ APPROVED AS TO LEGAL FORM AND SUFFICIENCY FOR THE CITY OF WIN SPRINGS ONLY: Anthony A. Garganese, City Attorney City of Winter Springs Ordinance No. 2007-12 Page 3 of3