HomeMy WebLinkAboutOrd 1998-27 ORDINANCE 98-27
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AN ORDINANCE OF THE MAYOR AND COMMON COUNCIL OF
THE TOWN OF FOUNTAIN HILLS, ARIZONA, AMENDING THE
TOWN CODE, CHAPTER 3, ADMINISTRATION, ARTICLE 3-3
PURCHASING BY AMENDING SECTION 3-3-2, COUNCIL
APPROVAL; WHEN REQUIRED, SECTION 3-3-5, PURCHASES IN
GENERAL; BIDS,SECTION 3-3-7,LOWEST RESPONSIBLE BIDDER,
SECTION 3-3-12, PURCHASE ORDERS, AND ARTICLE 3-5,
CONTRACT ADMINISTRATION BY AMENDING SECTION 3-5-2;
CHANGE ORDERS AND AMENDMENTS, BY DELETING SECTION
3-5-3, REQUEST FOR PROPOSAL; AMENDMENTS, AND
RENUMBERING ARTICLES 3-5-4 AND 3-5-5 ALL DEALING WITH
INCREASING THE PURCHASING AUTHORITY AND ALTERING
THE PROCEDURES REQUIRED FOR BIDDING.
BE IT ORDAINED BY THE MAYOR AND COMMON COUNCIL OF THE TOWN OF
FOUNTAIN HILLS, ARIZONA, AS FOLLOWS:
Section 1. That the Town Code of the Town of Fountain Hills, Chapter 3, Administration,
Lor Article 3-3, Purchasing, is hereby amended as follows:
CHAPTER 3,ADMINISTRATION
ARTICLE 3-3 PURCHASING
Section 3-3-2 Council Approval; When Required
No purchases shall be made by or on behalf of the town without first obtaining council approval in
the following instances:
A. Where prior approval is required by this code;
B. Where the purchase of the item is not provided in the budget as adopted;
C. Where the funds for the purchase are not provided in the budget as adopted;
D. For the expenditure of funds in an amount in excess of five-thousand-dollars TWENTY
THOUSAND DOLLARS.
ORDINANCE 98-27
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Section 3-3-5 Purchases In General; Bids
A. Purchases under$-1,090$2,000. Whenever the contemplated purchase or contract for
services is for a sum of less than$47000$2,000, the purchasing director may obtain the goods
or services without further formality.
B. $-1,000$2,000 to $5,000 inclusive. Whenever any contemplated purchase or contract for
services is for the sum of at least$47900$2,000 but not more than $5,000, the purchasing
director shall obtain at least three VERBAL quotes therefor, if possible. He may solicit
quotes or advertise for quotes using the procedure provided in this article. Upon review of
the quotes, he shall award the purchase or contract to the lowest responsible bidder.
C. $5,000 TO $20,000 INCLUSIVE. WHENEVER ANY CONTEMPLATED PURCHASE
OR CONTRACT FOR SERVICES IS FOR THE SUM OF AT LEAST$1,000$5,000
BUT NOT MORE THAN $20,000, THE PURCHASING DIRECTOR SHALL OBTAIN
AT LEAST THREE VERBAL QUOTES THEREFOR, IF POSSIBLE. HE MAY
SOLICIT QUOTES OR ADVERTISE FOR QUOTES USING THE PROCEDURE
PROVIDED IN THIS ARTICLE. UPON REVIEW OF THE QUOTES, HE SHALL
AWARD THE PURCHASE OR CONTRACT TO THE LOWEST RESPONSIBLE
BIDDER.
D. In Excess of 0440$20,000. No purchase or contract in an amount in excess of 5,000
$20,000 shall be awarded without prior council approval. The purchasing director shall
present the bids obtained to the council and shall report to them on the need for the goods or
service and the advantages or disadvantages of the contract and bid proposals.
Section 3-3-7 Lowest Responsible Bidder
Unless the council or the purchasing director, as appropriate, shall exercise the right of rejection, all
goods and services in an amount in excess of $5,000 $20,000 shall be awarded to the lowest
responsible bidder, except as provided in Sections 3-3-9, 3-3-10, 3-3-13 and 3-3-24. In determining
the lowest responsible bidder, the council or the purchasing director shall consider:
A. The ability, capacity and skill of the bidder to perform the contract or provide the service
required in a timely manner.
B. The quality of performance in previous contracts with the town together with previous and
existing compliance with the ordinances of the town.
C. The financial resources and ability of the bidder.
D. The quality, availability and adaptability of the goods or service.
ORDINANCE 98-27
Section 3-3-12 Purchase Orders
A. In General. The purchasing director shall provide forms of purchase order which shall be
used for the purchase of all goods and services for or on behalf of the town.
B. Open Purchase Orders. Open purchase orders may be provided by the purchasing director
for the routine purchase of regularly supplied items.
An open purchase order shall be limited to a single source and shall not be valid for
more than$1,500$5,000 in the aggregate. All open purchase orders shall expire at the end
of the month FISCAL YEAR of issuance and the expiration date shall be plainly stated on
the face thereof.
Section 2. That the Town Code, Chapter 3, Administration, Article 3-5, Contract Administration,
is hereby amended to read as follows:
Section 3-5-2 Change Orders and Amendments
A. No change order shall be approved nor shall any amendment or alteration of any executory
contract become effective without the express approval of the contract administrator. Such
approval shall be in the form of a rider or written amendment executed by the parties and
attached to the original contract.
B. The contract administrator shall have the authority to approve a change order in an amount
which is the lesser of$5000$20,000 or ten percent of the total contract value without prior
approval of the council. but shall report such change order to the council at its next regular
meeting.
C. Any change order, amendment or alteration GREATER THAN THE LESSER OF$20,000
OR TEN PERCENT OF THE TOTAL CONTRACT VALUE shall
be furnished to the council for its review and, where required, its prior approval.
Section-3-5-3 D est for Proposal. Amendments
• f f
Section 3-5-4-3 Acceptance of Work Completed
A. Notice of Acceptance. When a contracting party providing goods or services to the town
makes a request for acceptance by the town of work as completed,the contract administrator
shall indicate acceptance on behalf of the town on a form designated for that purpose and
shall notify the council of such acceptance. Until the notice of acceptance is issued, no
,. ORDINANCE 98-27
public work completed on behalf of the town shall be considered as the property of the town,
and the town shall assume no responsibility therefor.
B. Release of Retainage; Conditions. The town shall not release any funds due but which are
held as retainage until the contract administrator is satisfied that the work has been completed
in accordance with the specifications of the contract.
Section 3-5-5 4 Attestation of Contracts by Town Clerk
All contracts entered into by the town shall be attested by the town clerk and shall not be binding
on the town until so attested. The town clerk shall retain the original of all contracts and agreements
and shall provide to the contract administrator such documents as are necessary for orderly
administration of the town's business.
PASSED AND ADOPTED by the Mayor and Common Council of the Town of Fountain Hills,
Arizona this 3rd day of September, 1998.
FOR THE TOWN OF FOUNTAIN HILLS: ATTESTED TO:
(1619 egda4A. ,16 j)J4,1,t,a,1/4_)
Sharon Morgan, Mayor Cassie B. Hansen, Town Clerk
REV ED BY: APPROVED AS TO FORM:
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Paul L. ordin, Town Manager William E. Farrell, Town Attorney
L ORDINANCE 98-27