§ 2-512. Exemptions to use of competitive bid or sealed proposal.

(a)

Purchase limits.

(1)

The purchasing agent shall have the power to negotiate without formal competition for the purchase of any materials, professional services, services or construction projects in amounts as determined by city council resolution. Where a project has been previously bid, project managers may approve, pursuant to administrative guidelines approved by the purchasing agent, change orders up to the authorized purchase limit; provided, however, that no such change order shall authorize any expenditure of funds in excess of the amounts budgeted and appropriated for the project.

(2)

Such negotiated purchases shall be made in the open market. Negotiated purchases of materials, services or construction shall be awarded to the person supplying the lowest responsible and responsive quote.

(3)

No contract will be divided so as to constitute a "limited" purchase under this subsection (a).

(b)

Emergency purchases.

(1)

In the case of an apparent emergency requiring the immediate purchase of materials, professional services, services or construction, the purchasing agent shall have the power to secure necessary items in the open market in amounts as determined by city council resolution.

(2)

The purchasing agent shall to the extent practicable, take all measures necessary to ensure that the contract price not exceed commercially reasonable prices.

(3)

A full written report of the circumstances of all emergency purchases shall be made by the city manager to the city council. The report shall be received by the city council in an open meeting, and such report shall be open to public inspection.

(c)

Construction change orders.

(1)

Notwithstanding the provisions of subsection (a)(1) of this section, one or more change orders to an existing construction contract may be executed without competition in amounts as determined by city council resolution.

(2)

Any construction change order which authorizes a new improvement under a construction contract may be executed without competition when:

a.

The new improvement is required for the completion of an improvement, which is currently under construction pursuant to a competitive bidding or competitive proposal process.

b.

The new improvement results from the discovery of differing or unforeseen physical conditions at the site of the improvement under construction and is required for the completion of the improvement under construction.

c.

An administrative finding has been made by the purchasing agent that it would be in the city's best interest to negotiate with the on-site contractor for the construction of the new improvement.

(d)

Miscellaneous exemptions.

(1)

A contract for materials, professional services or services may be awarded without competition if the city manager determines in writing that one or more of the following conditions exist:

a.

There exists only one responsible source.

b.

Although there exists more than one responsible source, a competitive process cannot reasonably be used or, if used, will result in a substantially higher cost to the city, will otherwise injure the city's financial interests or will substantially impede the city's administrative functions or the delivery of services to the public.

c.

A particular material or service is required to maintain interchangeability or compatibility as a part of an existing integrated system.

d.

A particular material, professional service or service is required in order to standardize or maintain standardization for the purpose of reducing financial investment or simplifying administration.

e.

The material is perishable.

f.

A particular material is required to match materials in use, so as to produce visual harmony.

g.

A particular material is required to enable use by a specific individual.

h.

The material, professional service or service is the subject of a change order.

(2)

The city manager shall submit procurements under this subsection (d) to the city council in an open meeting for final approval as determined by city council resolution.

(3)

Any procurement approved under this section by the city manager or the city council may be used as the basis for a negotiated purchase of additional quantities of the same materials or services at any time within a period of five years from the date of approval; provided, however, that subsequent procurements may be expressly limited to a specific number of purchases or a period of less than five years.

(e)

Materials, certain services and construction competitively bid within 24 months . In any case where the city has, within the preceding 24 months, pursuant to an invitation for bids, awarded a contract for the procurement of any materials or for the procurement of services, professional services or construction bid on a unit price basis, the purchasing agent may negotiate with the successful bidder for the purchase of additional quantities of the materials or units of services or construction. The purchasing agent may, based upon a reasonably prudent investigation of market conditions at the time, make procurements at a price warranted by such conditions, even if the resulting cost to the city is greater than the amount of the previous award.

(Ord. No. 04-10, § 1(3-2-50), 8-17-2004)