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Ord 1958 - Amending Code of the Town Section 2.50.130 Establishing an Informal Bid Process and Adopting By Resolution the Uniform Construction Cost Accounting Procedures as set out in Section 22000 of the Public Contracts CodeORDINANCE 1958 ORDINANCE OF THE TOWN OF LOS GATOS AMENDING CODE OF THE TOWN OF LOS GATOS SECTION 2.50.130 ESTABLISHING AN INFORMAL BID PROCESS AND ADOPTING BY RESOLUTION THE UNIFORM CONSTRUCTION COST ACCOUNTING PROCEDURES AS SET OUT IN SECTION 22000 OF THE PUBLIC CONTRACTS CODE THE TOWN COUNCIL OF THE TOWN OF LOS GATOS DOES HEREBY ORDAIN THE FOLLOWING: SECTION 1 Section 2.50.130 is amended to read as follows: Sec. 2.50.130. Use of bidding procedures required; exceptions. (a) When the expenditure required for the purchase of equipment, materials, supplies and services exceeds twenty -five thousand dollars ($25,000), such purchases shall be contracted for and let to the lowest responsible bidder after notice pursuant to section 2.50.140. Purchases that do not exceed the amount above - specified shall be made by the Purchasing Agent only after an informal investigation of the sources of supply for the purpose of ascertaining the lowest price for which the commodities desired can be acquired and appropriate cost accounting principles are employed. (b) The letting of purchases to the lowest responsible bidder pursuant to section 2.50.140 may be dispensed with when: (1) The Town Council or the Purchasing Agent finds that an emergency requires that an order be placed with the nearest available source of supply. (2) The Purchasing Agent finds that the commodity can be obtained from only one (1) vendor, or when the purchase is to be made through a county or other public agency. (3) The Town Council finds that because of the uniqueness or special characteristics of the commodity, it would be more advantageous to the Town to purchase by negotiated bid. (4) The purchase qualifies for the informal bid process as detailed in the Cost Accounting Policies and Procedures Manual of the California Uniform Public Construction Cost Commission and adopted by resolution. SECTION II Section 2.50.131 is added to read as follows: Section 2.50.131. Informal Bid Procedures A public project, as defined by the Act, of more than $25,000 and not more than seventy -five thousand ($75,000) may be let to contract by informal procedures as set forth in Section 22032, et seq., of the Public Contract Code. SECTION III Section 2.50.132 is added to read as follows: Section 2.50.132. Contractors List A list of contractors shall be developed and maintained in accordance with the provisions of Section 22034 of the Public Contract Code and criteria promulgated from time to time by the California Uniform Construction Cost Accounting Commission. SECTION IV Section 2.50.133 is added to read as follows: Section 2.50.13020. Notice Inviting Informal Bids (a) When a public project is to be performed that is subject to Section 2.50.13010 a notice inviting informal bids will be mailed to all contractors for the category of work to be bid, as shown on the list developed in accordance with Section 2.50.13015, and to all construction trade journals as specified by the California Uniform Construction Cost Accounting Commission in accordance with Section 22036 of the Public Contract Code. Additional contractors or construction trade journals may be notified at the discretion of the department soliciting bids; provided, however: (1) If there is no list of qualified contractors maintained by the Town for the particular category of work to be performed, the notice inviting bids shall be sent only to the construction trade journals specified by the Commission. (2) If the product or service is proprietary in nature such that it can be obtained only from a certain contractor or contractors, the notice inviting informal bids may be sent exclusively to that contractor or contractors. SECTION V Section 2.50.134 is added to read as follows: Section 2.50.134. Award of Informal Bid Contracts The Town Council will award informal contracts under Section 2.50.13010 or designate a specific Town officer to make the award on a project by project basis. SECTION VI Section 2.50.140 is amended to read as follows: Section 2.50.140 Formal bidding procedure. Except as otherwise provided in section 2.50.130, for public projects, purchases of equipment, materials and services of an estimated value greater than twenty -five thousand dollars ($25,000) shall be by formal bidding procedure as follows: (1) Notice inviting bids. Notice inviting bids shall include a general description pf the articles to be purchased, shall state where bid blanks and specifications may be secured, and the time and place for opening bids. (2)Published notice. Notice inviting bids shall be published by the Town Clerk at least ten (10) days before the date of opening of the bids. Notice shall be published at least once in a newspaper of general circulation, printed and published in the Town, or if there is none, it shall be posted in a least three (3) public places in the Town. (3)Bulletin board. The .Purchasing Agent shall also advertise pending purchases by a notice posted on the public bulletin board in the Town Hall. (4)Bidders' list. The Purchasing Agent shall also solicit sealed bids from all responsible prospective suppliers whose names are on the bidders' list or who have requested their names to be added thereto. (5)Bidders'security. When deemed necessary the Purchasing Agent, bidders' security may be prescribed in the public notices inviting bids. Bidders shall be entitled to return of bid security; provided, that a successful bidder shall forfeit the bid security upon refusal or failure to execute the contract within ten (10) days after the notice of award of contract has been mailed, unless the Town is responsible for the delay. The Town Council may, on refusal or failure of the successful bidder to execute the contract, award it to the next lowest bidder, the amount of the lowest bidder's security being applied by the Town to the difference between the low bid and the second lowest bid, and the surplus, if any, shall be returned to the lowest bidder. (6)Bid- opening procedure. Sealed bids shall be submitted to the Town Clerk and shall be identified as bids on the envelope. Bids shall be opened in public at the time and place stated in the public notices. A tabulation of all bids received shall be open for public inspection during regular business hours for a period of not less than thirty (3) calendar days after the bid opening. (7)Rejection of bids. In its discretion, the Town Council may reject any bids presented and readvertise for bids. (8)Award of contracts. Contracts shall be awarded by the Town Council to the lowest responsible bidder, except as otherwise provided herein. (9)Tie bids. If two (2) or more bids received are for the same total amount or unit price, quality and service being equal, and if the public interest will not permit the delay of re- advertising for bids, the Town Council may accept the one it chooses or accept the lowest bid made by negotiation with the tie bidders at the time of the bid opening. (10)Perfonnance bonds. The Town Council shall have authority to require a performance bond before entering a contract in such amount as it shall find reasonably necessary to protect the best interest of the Town. If the Town Council requires a performance bond, the form and amount of the bond shall be described in the notice inviting bids. SECTION VII This ordinance was introduced at a regular meeting of the Town Council of the Town of Los Gatos on September 20, 1993 and adopted by the following vote as an Ordinance of the Town of Los Gatos at a regular meeting of the Town Council of the Town of Los Gatos on October 4, 1993. This ordinance takes effect 30 days after it is adopted. COUNCIL MEMBERS: AYES: Randy Attaway, Steven Blanton, Linda Lubeck, Patrick O'Laughlin Mayor Joanne Benjamin NAYS: None ABSENT: None ABSTAIN: None SIGNED YOR OF THE TOWN LOS GATOS OS GATOS, CALIFORNIA ...ATTEST: CLERK OF THE TOWN OFT S GATOS LOS GATOS, CALIFORNIA