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R-90-663• • CITYOF CLERMONT RESOLUTION No. 663 A RESOLUTION OF THE CITY OF CLERMONT, LAKE COUNTY, FLORIDA, ADOPTING A PURCHASING POLICY AS AUTHORIZED IN ORDINANCE 264-C, CITY OF CLERMONT CODE OF ORDINANCES AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Clermont has adcpted Ordinance 264-C of the Code of Ordinances authorizing the adoption of a Purchasing Policy. NOW, THEREFORE, BE IT RESOLVED, that the City of Clermont Purchasing Policy Manual, hereto attached and made a part of this Resolution, is hereby adopted. BE IT FURTHER RESOLVED, that the City Council of the City of Clermont may amend the Purchasing Policy by Resolution when deemed necessary and in the best interest of the City of Clermont. THIS RESOLUTION SHALL TAKE EFFECT IM2~DIATELY UPON ITS ADOPTION. DONE AND RESOLVED BY THE CITY COUNCIL OF THE CITY OF CLERMONT, LAKE COUNTY, FLORIDA THIS ~~DAY OF ) 1990. G Robert A. Pool, Mayo Attest: ~--- / / ~ V E. Van i e, City Clerk 1 1 1 1 1 1 L~ ~i L~ Adopted by Council 3-27-90 ~ ~ 1 1 1 1 CITY OF CLERMONT PURCHASING POLICY MANUAL 1 1 1 1 1 1 1 1 1 1 • CITY OF CLERMONT PURCHASING POLICY MANUAL INDEX PAGE SECTION I. GENERAL 1 A. Authority 1 B. Purpose 1 C. Scope 1 D. Responsibility 1 E. Objective 1 F. Minority Program 2 G. Ethics 2 SECTION II. METHODS OF SOLICITING VENDORS 3 A. Request for Information 3 B. Verbal Quotation 3 C. Request for Quotation g D. Invitation to Bid 3 E, Request for Proposal 3 SECTION III. TYPES OF PURCHASES 5 A. Less Than $1, 000 5 B. $1,000 to $5,000 5 C. Over S5, 000 5 D. State Contract & Cooperative Purchase Agreements g E. Sole Source Purchases g F. Emergency Purchases g G. Petty Cash 7 SECTION IV. SURPLUS & OBSOLETE PROPERTY DISPOSAL g • • ' SECTION I. GENERAL ' A. AUTHORITY The control of purchasing activity within the structure of the municipal government of the City ' of Clermont is expressly assigned to the City Manager by the City of Clermont Charter, Article V, Section 32. ' Within the scope of his authority, the City Manager may appoint an individual to assume the duties of ' Purchasing Agent, subject to approval by the City Council. The Purchasing Agent shall act at the direction of the City Manager and shall have those duties and responsibilities that are assigriecl by ' the City Manager. The Purchasing Agent shall work within the guidelines and policies as set forth in this Purchasing Policy Manual and any deviations ' from these procedures must be approved by the City Manager. ' B. PURPOSE To establish procedures to enhance the efficiency of the procurement policy and ensure that the City ' obtains supplies, equipment, and services that meet the needs of the City as economically as possible. ' C. SCOPE Applies to all City Departments and other governmental operations under the City Council's jurisdiction and to all purchases of goods and services. ' D. RESPONSIBILITY The Purchasing Agent exercises control over the purchasing process as set forth in this manual and ' may adopt operational procedures governing the administration of the process within these ' guidelines. E. OBJECTIVE ' 1. To establish policies and procedures for all aspects of the procurement method . ' 2. To establish policies and procedures to guarantee competition among a ' sufficient number of potential vendors. 1. ~I C' F. G. • 3. To establish policies and procedures to guarantee the procurement of goods and services that meet the quality s tandards of the City a t the best available cost. MINORITY PROGRAM Minority businesses shall be ensured to have an equitable opportunity to participate in the City's procurement process. ETHICS 1. Acceptance of gifts at other than advertising nog prohibited. Employees become obligated to any and shall not conclude transaction from which personally benefit. any time, ~elties, is must not suppliers any City they may 2. No city officer or employee shall bid for, enter into or be in any manner interested in any contract for city purchases. Nor shall any officer or employee seek to inf luence the purchase of a product or service from any offeree; except this restriction shall not be construed to restrict persons from evaluating and appraising the quality and value of the product to be purchased or service to be rendered where the person's scope of employment contemplates advice and council with respect to the purchase. No city officer or employee shal l receive benef it of any nature from prospective bidders. The avoidance of actual or apparent conflicts of interest is a prime requisite to the efficient and sound operation of government and maintenance of the public trust. 2. • SECTION II. METHODS OF SOLICITING VENDORS SECTION II. METHODS OF SOLICITING VENDORS A. REQUEST FOR INFORMATION This is a preliminary step to gather current catalogs or information about the commodities, ' services, experience and reputation of potential vendors. It can frequently serve as a screening process to determine vendors wrio best qualify to serve the City's needs. This ' can save both the City and the potential vendor time in the actual purchasing process. ' B. VERBAL QUOTATIONS This is a method used to gather price information when time restraints and/or low ' value of the purchase do not warrant a written quotation. This is the method used for most purchases under $1, 000, but never for purchases over $l, 000. C. REQUEST FOR QUOTATIONS ' This method is used to solicit written quotes from vendors. This is the method used for purchases in excess of $1,000, but less than ' $5,000. The City's current Vendor Bid List wil l serve as the primary source of qualified vendors who have designated interest in the ' needed item. D. INVITATION TO BID ' This is the standard method used for the acquisition of goods and services whenever possible and always for purchases in excess of ' $5,000, except for emergency purchases or sole source items or other items expressly exempted by this manual or the City Council. The Invitation to Bid is accompanied by specifications, bid forms, and other contract documents as needed. ' E. REQUEST FOR PROPOSALS ' A Request for Proposal is very similar to an Invitation to Bid. However, the process is more complex. It is most commonly used for services rather than for commodities. This ' method requires the vendor to provide detailed ~ ,. 1 ~ • t information in response to the Request for Proposal and usually results in a contractual agreement. Also, the process allows for negotiation in the ~~cope of requested services, ' price, and delivery; whereas the sealed bid method allows no substantive changes. i~ 1 0 ~~ ~~ 4. • C: SECTION III. TYPES OF PURCHASES ~ • • ' SECTION III. TYPES OF PURCHASES A. LESS THAN $1,000 ' A verbal request for quotes shall be made for purchases of less than $1, 000. E<rery reasonable effort should be made to obtain a verbal quote from ' at least three (3) qualified vendors. Vendor selection and award shall be based on qualifications of the vendor, acceptability of the product, ' delivery time, inventories, past performance, degree of compliance with requirements, price and other circumstances that will encourage delivery of the best products and services for the money expended. ' A written record of explanation will be included in the bid file. B. $1, 000 TO $5, 000 No less than three (3) vendors for purchases in excess of $1,000 but less than $5,000 shall be solicited to submit written quotations by a specified date. Award shall be made to the vendor based on the same selection criteria as outlined in Section III. A. The written quotations shall be retained as public record. If at least threz quotations are not possible, a written record of explanation will be included in the bid file. C. OVER $5,000 ALL purchases over 55,000 must be approved by the City Council. Competitive formal (sealed) bids are required unless otherwise excepted by other sections of this manual and shall be submitted by the following method: 1. Invitation to bid advertised in newspaper and other appropriate publications. Invitation should be published once a week for two consecutive weeks the last date of publication being at least five (5) days before the bid opening and the first date of publication being at least nineteen (19) days prior to the bid opening. 2. Written solicitation mailed to known vendors with a minimum of ten (10} days between mailing date and bid date. 3. Bids opened at specific date, time and location and read. 5. I~ • ~. Bid tabulation. 5. Recommendation to City Manager. 6. City Manager presents recommendation to Council for approval and award of bid. D. STATE CONTRACT PURCHASES OR COOPERATIVE PURCHASE CONTRACTS In that State Contracts have already been bid by the State's Division of Purchasing, the requirement for bidding is waived for State Contract purchases. Purchases may also be made from other qualified bids of other governmental agencies where Cooperative Purchasing Contracts or other cooperative bid arrangement s are in effect . This method of purchase is particularly desirable if time is a constraint or if the chances for obtaining better prices from local sources is poor. E. SOLE SOURCE PURCHASES A purchase may be made without competition when it is determined and substantiated in writing, after conducting a good faith review of available sources, that there is only one source for the goods or service. Price and terms shall be negotiated and a record of sole source procurement shall be maintained as a public record. Information as to deviation from standard purchase procedures shall be documented in the purchase file. This method of procurement should be utilized when justified and absolutely necessary to serve City needs. ' F. EMERGENCY PURCHASES Emergency purchases are to be used by the using ' department (on approval of the Department Head) only when the normal functioning and operation of the department would be hampered by adhering to usual procedure or where property, equipment ' or life are endangered through unexpected circumstances. u 6. G. • • A written justification of the emergency purchase must be prepared and approved by the City Manager and accompany the invoice for payment . PETTY CASH When a requirement exists for an exper-diture of less than $50, the purchase may be made by an authorized employee who must obtain a sales receipt for reimbursement. 7. 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 SECTION IV. SURPLUS & OBSOLETE PROPERTY DISPOSAL r • ~ ' SECTION IV. SURPT.US AND OBSOLETE PROPERTY DISPOSAL Property no longer needed by the City shall be disposed ' of in a manner that will most. benefit the operation of the City and the welfare of its citizens. Disposal will normally be by sealed bids or public auction. Sealed ' bids for disposal of surplus property shall be processed using the same method as that used for purchasing by sealed bid with appropriate modifications. t Items which (a) are likely to lose value if held for bid or auction, (b) have a firm offer made on them and would not be expected to bring more at a bid or auction and (c) ' bidding would be inappropriate by nature may be sold with City Manager approval. Any such sale shall be documented for public record. f] 1 1 ~I 1 1 1 1 1 S. 1