RES 2016-14 ADOPTING A PROCUREMENT POLICYRESOLUTION NO. 2016-14
A RESOLUTION of the City Council of Bainbridge Island,
Washington, adopting a procurement policy.
WHEREAS, at the January 5, 2016 City Council meeting, Council recommended
that the City adopt a comprehensive procurement policy that would cover all aspects of
purchasing and contracting to replace the existing BIMC Chapters 3.70 and 3.72;
WHEREAS, the procurement policy established outside the BIMC will serve as a
guide for personnel and the community; now, therefore
THE CITY COUNCIL OF THE CITY OF BAINBRIDGE ISLAND DOES
RESOLVE AS FOLLOWS:
The Procurement Policy attached as Exhibit A to this resolution is hereby adopted in its
entirety.
PASSED by the City Council this 14th day of June, 2016.
APPROVED by the Mayor this 14th day of June, 2016.
By: I 'Pi
V " o on, Mayo
ATTEST/AUTHENTICATE:
By:rll ,U - -'
Rosalind D. Lassoff, C� rk
FILED WITH THE CITY CLERK: May 18, 2016
PASSED BY THE CITY COUNCIL: June 14, 2016
RESOLUTION NO. 2016-14
Exhibit A, Procurement Policy
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EXHIBIT A
CITY OF
BAINBRIDGE ISLAND
PROCUREMENT POLICY
PURCHASING GUIDELINES
CONTRACT AND SURPLUS AUTHORITY
Effective Date: June 14, 2016
Contents
I. GENERAL........:.......................................................................................:..........................................,...5
1.1
Purpose.........................................................................................................................................5
1.2
Objectives......................................................................................................................................5
1.3
Scope.............................................................................................................................................5
1.4
Controlling Laws............................................................................................................................
6
2.0
DETERMINING TOTAL PURCHASE COST............................................................................................7
2.1
Use Anticipated Cost.....................................................................................................................
7
2.2
No "Bid Splitting„..........................................................................................................................
7
2.3
Costs to include.................................................:.:.........................................................................
7
2.4
Include Total Quantity Needed.....................................................................................................7
2.5
Multiphase Programs....................................................................................................................7
3.0
CONTRACT APPROVAL LEVELS..........................................................................................................8
3.1
Purchasing of Equipment, Supplies & Materials...........................................................................
8
3.2
Professional Services (Personal Services and Architecture & Engineering Services) ....................
8
3.3
Non -Professional Services (Purchased Services).........................................................................
8
3.4
Public Works Projects....................................................................................................................9
4.0
COST THRESHOLD REQUIREMENTS — PURCHASING AND NON-PROFESSIONAL SERVICES
(PURCHASED SERVICES) ...................... ........................ ........................... ...........................................
....,.._..10
4.1
$10,000 OR LESS — Direct Negotiation........................................................................................10
4.2
$10,001 TO $50,000 — 3 Quotes Needed....................................................................................10
4.3
$50,001 or More— Competitive Bids...........................................................................................11
4.4
Auctions...................................................:..................................................................................11
4.5
Purchasing Surplus Property from Other Governmental Agencies............................................11
4.6
Contracting for Services with Other Governmental Agencies....................................................11
5.0
PUBLIC WORKS PROJECTS...............................................................................................................12
5.1
Defining Project Cost...................................................................................................................12
5.2
Bid Requirements........................................................................................................................12
5.3
Small Works Roster.....................................................................................................................13
5.4
Limited Public Works Process.....................................................................................................14
5.5.
Public Works Performed by City Employees ..................... ..........................................................14
5.6
Prevailing Wages.........................................................................................................................
15
Pa
5.7
Performance and Payment Bonds..............................................................................................15
5.8
Public Works over $1 Million......................................................................................................15
5.9
Change Orders............................................................................................................................16
5.10
Project Acceptance..........................................................................................;..........................16
6.0
COMPETITIVE BIDDING PROCEDURES.............................................................................................17
6.1
Public Notice............................................................................_......,...........................................1.7
6.2
Bid Specifications............................................................................................,...,.....................,.17
6.3
Award..........................................................................................................................................18
6.4
Cancellation................................................................................................................................19
6.5
Submittal of Bids.........................................................................................................,...............19
6.6
Bid Security.................................................................................................................................19
6.7
Non -Collusion Affidavit...............................................................................................................20
7.0
PROFESSIONAL SERVICES...............................................................................,................................21
7.1
Competitive Process...................................................................................................................21
7.2
Solicitation of Proposals..............................................................................................................21
8.0
ARCHITECTURAL, ENGINEERING, AND SURVEYING SERVICES ....................... ........ :........ ................
24
8.1
Annual Roster..............................................................................................................................24
8.2
Contract Negotiations.................................................................................................................24
9.0
CONTRACT AMENDMENTS.........................................................................................,.....................26
10.0
SOLE SOURCE AND EMERGENCIES..................................................................................................27
11.0
INTERGOVERNMENTAL COOPERATIVE PURCHASING AGREEMENTS.. ...........................................
28
12.0
VENDOR RELATIONS.......................................................................................................................29
12.1
Code of Ethics ................................................ .................................................................................
29
12.2
Quote or Bid Revisions.................................................................................................................29
12.3
Samples............................................................................................._.........................,...............29
12.4
Local Business Participation........................................................................................................29
13.
VENDOR APPEALS...........................................................................................................................3D
13.1
Procedures for Initial Appeal or Protest........................................................:............................30
13.2
Consideration of Initial Appeal or Protest...........................................,......................................
30
13.3
Appeals from Denial of Initial Appeal or Protest........................................................................30
14.0
SALE OR DISPOSAL OF CITY PROPERTY ................................................... ............. ........ ____ .......
32
14.1
Authorization...................................................................................__.......................................32
14.2
Sale versus Disposal......................................................................................................................32
3
14.3
Trade-ins .............................................................................. '--''_-------_---32
14.4
Public Notice ofSale ............................................................... ....................... --_...... —....
32
14.5
Conflict of Interest .................................. ..................................... .............................................
]2
14.6
Inventoried Items ............................................................ "........ .... ... .—..—.............. .--.'33
15.0
ADDITIONAL SIGNING AUTHORITY .............. .............. ...................................................................
34
15.1
Grants .................................................................................... .......................... ................. ......
34
152
Interlocal Agreements .............................. .............................................. —..............................
34
153
Real Property .............................................................................. —......... .................................
34
15.4
Settlement Authority .............................................. .................................. ................................
34
16.0
COMPLIANCE WITH POLICY ........................ .................................................................... ............
36
17.0
SUMMARY 0FPURCHASING GUIDELINES _............ .................... .............................................
37
18.0
GLOSSARY -----------------------............... .................................................
39
4
GENERAL
1.1 PURPOSE
This document is intended to direct the purchase of goods and services at a reasonable cost.
An open, fair, documented, and competitive process is to be used whenever reasonable and
possible. The purchasing function's integrity, efficiency, and effectiveness are critical elements
of sound government.
1.2 OBJECTIVES
The objectives of the City's purchasing program are as follows:
• To provide a uniform system to obtain supplies, materials, equipment, and services in an
efficient and timely manner;
• To facilitate responsibility and accountability with the use of City resources;
• To ensure equal opportunity and competition among vendors and contractors;
• To promote effective relationships and clear communication between the City and its
vendors and contractors;
• To comply with State procurement statutes governing expenditures of public funds;
• To promote use of recycled materials and products, and dispose of surplus and scrap
materials with regards to cost savings and the environment.
1.3 SCOPE
These guidelines apply to purchases of:
• Supplies, materials and equipment
• Professional services (including architectural and engineering services)
• Non-professional services (purchased services)
• Public works projects
The guidelines do not apply to the acquisition, sale or lease of real property, except as
described in Section 15.3.
If grant or debt funding is involved in the proposed purchase, applicable requirements should be
obtained from the funding agency. Such requirements may be more restrictive than the City's
policy.
i.7
1.4 CONTROLLING LAWS
All purchases shall comply with appropriate and relevant Federal, State, and City laws and
policies. If the appropriate and relevant Federal or State laws, regulations, grants, debt, or
requirements are more restrictive than these guidelines, such laws, regulations, grants, debt, or
requirements should be followed.
The City Attorney shall be consulted when questions regarding potential conflicts arise.
Applicable laws and regulations will be cited throughout this document.
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2.0 DETERMINING TOTAL PURCHASE COST
2.1 USE ANTICIPATED COST
The anticipated annual need for a good or service (when it can reasonably be projected) shall
be used to determine the cost of that good or service, and thus which contract approval level,
cost threshold, and other related purchasing requirements apply.
2.2 NO "BID SPLITTING"
Requirements shall not be divided to come up with a lower total cost to avoid contract
approval levels or competition requirements. If one item being purchased requires another
item to "make a whole," the total accumulated costs of the two items (when they can
reasonably be projected) should be considered together to determine which approval level and
cost threshold apply, unless the two items are not available from a single vendor.
2.3 COSTS TO INCLUDE
Include costs such as taxes, freight, and installation charges when determining which cost
threshold applies. Do not include the value of a trade-in. Trade-in value should be considered,
however, to determine the lowest bid when competitive bidding is used.
2.4 INCLUDE TOTAL QUANTITY NEEDED
Requirements for the total quantity of an item (when they can be reasonably projected) should
be considered when determining which cost threshold and related purchasing requirements
apply.
2.5 MULTIPHASE PROGRAMS
If a project is to be completed in phases, the total accumulated cost for all phases should be
considered when determining which cost threshold applies.
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3.0 CONTRACT APPROVAL LEVELS
These approval levels are designed for contracts whose costs are covered by budget
appropriations previously approved by the City Council. Contracts requiring additional
appropriations must be approved by the Council.
3.1 PURCHASING OF EC►UIPMENT, SUPPLIES & MATERIALS
3.1.1 $10,000 or Less
Purchases in this price range are to be approved by the Department Director.
3.1.2 $10,001 to $50,000
Purchases in this price range are to be approved by the City Manager.
3.1.3 $50,001 or More
Purchases in this price range are to be approved by the City Council.
3.2 PROFESSIONAL SERVICES
(PERSONAL SERVICES AND ARCHITECTURE & ENGINEERING SERVICES)
3.2.1 $50,000 or Less
Contracts in this price range are to be approved by the City Manager.
3.2.2 $50,001 or More
Contracts in this price range are to be approved by the City Council.
3.3 NON-PROFESSIONAL SERVICES
(PURCHASED SERVICES)
3.3.1 $10,000 or Less
Contracts in this price range are to be approved by the Director.
3.3.2 $10,001 to $50,000
Contracts in this price range are to be approved by the City Manager_
3.3.3 $50,001 or More
Contracts in this price range are to be approved by the City Council.
8
3.4 PUBLIC WORKS PROJECTS
3.4.1 $10,000 or Less
Contracts in this price range are to be approved by the Public Works Director.
3.4.2 $10,001 to $50,000
Contracts in this price range are to be approved by the City Manager, provided they are
included in the Capital Improvement Plan (CIP).
3.4.3 $50,001 or More
Contracts in this price range are to be approved by the City Council.
4.0 COST THRESHOLD REC_UIREMENTS -PURCHASING AND NON-
PROFESSIONAL SERVICES (PURCHASED SERVICES)
The following cost thresholds apply for purchases of supplies, equipment, non-professional
services, and information services.
Non-professional services (referred to as purchased services by Municipal Research Services
Center (MRSC)) are for routine and continuing functions, mostly related to physical activities
that:
• Follow established or standardized procedures
• Contribute to the day-to-day business operations
• Completion of assigned and specific tasks
• Require only routine decisions
• May require payment of prevailing wages
Examples include delivery services, landscaping and janitorial services, vehicle inspection and
repair services, HVAC system maintenance, and office furnishings installation and repair service.
Consult with the City Attorney prior to contracting for these services for advice on bidding
and prevailing wage requirements.
The cost thresholds below do not apply to the purchase of services that are considered to
constitute a public work — see Section 5.0 on public works projects.
They also do not apply to the purchase of professional services (including architectural or
engineering services) — see Section 7.0 on professional services and Section 8.0 on architectural
and engineering services.
Refer to Section 10.0 in situations involving sole source or emergency purchases.
4.1 $10,000 OR LESS - DIRECT NEGOTIATION
Purchases in this price range may be entered into through direct negotiation. Competition is
not required, though departments should still make every effort to receive the best price
possible. Documentation on all quotes should be retained.
4.2 $10,001 TO $50,000 — 3 COTES NEEDED
For purchases in this price range, at least three quotes shall be obtained. Quotes may be
obtained by telephone or in writing. Documentation on all quotes will be retained. The
10
documentation will include the date, time, vendor contact name, phone number, email (if
applicable), price quoted and any reasons for acceptance or refusal of the quote.
4.3 $50,001 OR MORE— COMPETITIVE BIDS
For purchases in this price range, competitive bids shall be obtained from at least 3 vendors.
Bids do not need to be sealed, but shall be in writing. See Section 8.0 on competitive bidding
for a detailed description of the procedures to be followed.
4.4 AUCTIONS
RCW 39.30.045 allows for the purchase of any supplies or equipment at auctions rather than
through competitive bidding, if the items can be obtained at a competitive price. This authority
allows the City to make a purchase on an internet-based auction service, such as eBay, as well
as through in-person auctions. The City may also use federal, state or local governmental
auctions.
4.5 PURCHASING SURPLUS PROPERTY FROM OTHER GOVERNMENTAL
AGENCIES
RCW 39.33.010 allows for the purchase of surplus property from other governmental agencies
without regard to bid laws.
4.6 CONTRACTING FOR SERVICES WITH OTHER GOVERNMENTAL
AGENCIES
RCW 39.04.080 authorizes one public agency to contract with another public agency to
perform any function which each agency is authorized by law to perform itself.
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5.0 PUBLIC WORKS PROJECTS
As defined in RCW 39.04.010, public works include (but are not limited to) all work,
construction, alteration, repair, or improvement (other than ordinary maintenance, engineering
analysis, and design and other professional services) executed at the City's cost, or which is by
law a lien or charge on any property therein. If the City contracts out for maintenance or
repairs, the work is a public work for bidding and prevailing wage purposes.
5.1 DEFINING PROJECT COST
The cost of a public works project includes the costs of materials, supplies, equipment, and
labor on the construction of that project.
5.2 BID REQ_UIREMENTS
Washington State law requires the City to call for bids whenever the cost of a public work will
exceed $65,000, if more than one craft or trade is involved. If only a single craft or trade is
involved, or if the project is for street signalization or street lighting, bids must be called for if
the cost is greater than $40,000. The City has established the following additional guidelines
for the bidding process:
5.2.1 Public Works Projects $0 to $500: No competitive bidding is needed.
5.2.2 Public Works Projects $501 to $2500: Solicit 3 informal quotes by telephone or
in writing.
5.2.3 Public Works Projects $2501 to $10,000: Solicit 3 informal quotes by telephone
or in writing, preferably from the small works roster.
5.2.4 Public Works Projects $10,001 to $35,000: Solicit 3 quotes from the small
works roster.
5.2.5 Public Works Projects $35,001 to $150,000: Solicit quotes from at least five
contractors on the small works roster in a manner that will equitably distribute
opportunities among contractors on the roster.
12
"Equitably distribute" means that the City may not favor certain contractors on the appropriate
small works roster over other contractors on the appropriate small works roster who perform
similar services.
5.2.6 Public Works Projects $150,001 to $300,000: Solicit 5 quotes from small works
roster and notify the remaining contractors on the roster that quotes on the work are being
sought. This notice can be made by:
• Publishing notice in a legal newspaper in general circulation in the area where the
work is to be done; or
• Mailing a notice to these contractors; or
• Sending a notice to these contractors by electronic means such as email or fax.
5.2.7 Public Works Projects More than $300,000: Advertise and call for bids using the
formal bid process.
All contracts are to be awarded to the lowest responsible bidder. RCW 39.04.350 outlines
criteria that a bidder must meet in order to be considered responsible.
5.3 SMALL WORKS ROSTER
RCW 39.04.155 authorizes cities to use a small works roster to award public works contracts
of less than $300,000.
Using a small works roster provides a streamlined method for soliciting competitive bids for
public works projects costing less than $300,000.
A small works roster consists of all responsible contractors who have requested to be listed,
and are properly licensed or registered to perform such work in the State of Washington.
As an alternative to creating and maintaining the City's own small works roster for
construction of public works projects, the City Manager is authorized to enter into agreements
with the Municipal Research Services Center (MRSC) or any other agency for use of their small
works roster, as long as such small works rosters are in compliance with the latest State of
Washington rules, regulations, requirements and laws regarding the establishment, maintenance
and use of small works rosters for public works projects. The City is currently using MRSC's
small works roster.
A contract awarded from a small works roster need not be advertised. Invitations for
quotations shall include an estimate of the scope and nature of the work to be performed, as
well as materials and equipment to be furnished. However, detailed plans and specifications
13
need not be included in the invitation. This does not eliminate other requirements for
architectural or engineering approvals as to quality and compliance with building codes.
Performance bonds are required on small works roster projects, and the City requires bid
bonds for small works roster projects with an estimated cost of more than $100,000. Although
not required for small works roster projects below that threshold, bid bonds are
recommended to ensure that the contractor enters into the contract.
The City Council will award contracts with a value of more than $50,000.
The Public Works Director shall post a list of the contracts awarded using the small works
roster at least once a year. The list shall contain the names of the contractors awarded the
contracts, the amount of the contracts, a brief description of the type of work performed
under the contracts, and the date the contracts were awarded. The list shall also state the
location where the bid proposals for the contracts are available for public inspection.
5.4 LIMITED PUBLIC WORKS PROCESS
The limited public works process is a type of small works roster process that applies only to
contracts estimated to cost less than $35,000. To use this process, the City must solicit
electronic or written quotations from a minimum of three contractors from the appropriate
small works roster. This process is described in RCW 39.04.155(3) and allows the City to
waive the payment and performance bond requirements of Chapter 39.08 RCW and the
retainage requirements of Chapter 60.28 RCW (See Section 5.9). Consult with the City
Attorney for prior approval when waiving both of these requirements.
5.5. PUBLIC WORKS PERFORMED BY CITY EMPLOYEES
RCW 35.23.352 allows City employees to perform public works projects as long as the
project's estimated cost is lower than the bidding limits ($40,000 single craft/trade or $65,000
multiple craft/trade).
Work performed within the City by other public employees under an interlocal agreement shall
also be included in these limits.
The City is required to provide a report to the state auditor of the costs of all public works in
excess of $5,000 that are not let by contract (RCW 35A.40.200 and 35.23.352(4)). For any
project using City employees in excess of $25,000, the City must publish a description of the
project and its estimated cost in the official newspaper at least fifteen days before beginning the
work (RCW 39.04.020).
14
5.6 PREVAILING WAGES
The City is required by RCW 39.12.040 to require contractors to pay prevailing wages on all
public works contracts.
A "Statement of Intent to Pay Prevailing Wages" must be received from a contractor before
any payment is made, and an "Affidavit of Wages Paid" must be received following final
acceptance of the work.
5.7 PERFORMANCE AND PAYMENT BONDS
RCW 39.08.0 10 mandates that the City require a performance bond for every public works
contract, except as described below. This ensures that the job will be completed and that all
workers, vendors, and subcontractors will be paid.
The bond shall be executed by a surety company authorized to do business in Washington
State, in an amount equal to 100% of the price specified in the contract.
For contracts of $35,000 or less, the City is allowed (at the option of the contractor) to forego
requiring a performance bond. Instead, the City may retain 50% of the contract for 30 days
after final acceptance, or until receipt of all necessary releases from the Department of
Revenue, Department of Labor & Industries, and Employment Security Department, and
settlement of any liens filed under RCW 60.28 (whichever is later). The intent of this exception
is to assist small contractors who may have difficulty securing a bond.
RCW 39.08.0 15 subjects the City to claims of "laborers, materialmen, subcontractors, and
mechanics" if the required performance bond is not obtained.
RCW 60.28.01 1 prohibits agencies from withholding retainage on public works projects funded
in whole or in part by federal transportation funds. Instead, agencies must rely on the
contractor's bond.
5.8 PUBLIC WORKS OVER $1 MILLION
RCW 39.30.060 specifies that in order for their bid to be considered responsive, every bidder
for a public works contract of over $1 million must submit (either with their bid or within one
hour of the bid submittal time) the names of all subcontractors that will be used for heating,
ventilation and air conditioning, plumbing and electrical work.
15
5.9 CHANGE ORDERS
Change orders are to be approved in accordance with the cost thresholds outlined in this
section, provided that the changes do not increase the project's cost in excess of previously
approved budget appropriations.
The City Council must approve any change order that increases a project's cost beyond
previously -approved budget appropriations.
Public Work Contract total remains below $300+,000 — Change orders are to be approved by
the City Manager.
Public Work Contract total moves to $300,000 or more, but the total cumulative. amount of
change orders is 10% or less — Change orders are to be approved by the City Manager.
Eublic Work Contract total moves to $300,000 or more and the total cumulative amount of
change orders is more than 10% — Council must authorize the City Manager to approve the
revised contract.
In the event unforeseen conditions necessitate an immediate change to avoid a contractor's
claim against the City for delays, the City Manager may authorize and direct work irrespective
of the limits above, provided any work change directive issued in excess of the City Manager's
authority shall be incorporated into a change order and presented to the City Council as soon
as practicable.
5.10 PROJECT ACCEPTANCE
At the completion of a public works project, as confirmed by the Director of Public Works or
designee, the City Manager is authorized to accept the work.
The Director of Public Works, Director of Planning and Community Development and the
Director of Finance are further authorized to sign exoneration and release forms for bonds and
other security devices submitted with respect to a project.
16
6.0 COMPETITIVE BIDDING PROCEDURES
6.1 PUBLIC NOTICE
RCW 35.23.352(1) sets out the advertising requirements for the public works bidding process.
For all contracts that require bids, notice shall be published in the official newspaper at least 13
days prior to the due date for bids.
Advertisements for bids should include the following items:
• Title of the project
• Nature and scope of the work
• Materials and equipment to be furnished
Where contract documents (plans, specifications) may be obtained
• Cost to obtain a set of contract documents
• Place, date, and time that bids are due
• Statement that a bid bond must accompany the bid
• Statements that the City retains the right to reject any or all bids, and to waive minor
irregularities in the bidding process
6.2 BID SPECIFICATIONS
Bid specifications should incorporate a clear and accurate description of the technical
requirements for the material, product, or service to be purchased. Such descriptions should
not contain features that unduly restrict competition.
When it is impractical or uneconomical to make clear and accurate description requirements, a
"brand name or equal" description may be used. The responsibility of demonstrating to the
City's satisfaction that a product is "equal" to that specified shall be on the vendor proposing
the substitution.
Requests for approval of substitutions must be made with sufficient time to allow the City to
adequately review the proposal, including time for vendors to respond to questions and
requests for additional information or clarification. The City has no obligation to accept
proposed substitutions.
Acceptance of a substitute product proposed as an "equal" to that specified will be made in
writing. If this acceptance occurs prior to the bid, other bidders will be notified to the extent
practical.
17
6.3 AWARD
The contract will be awarded to the lowest responsive and responsible bidder whose bid meets
the requirements and criteria included in the invitation for bids, or all bids will be rejected.
RCW 39.04.350 outlines criteria that a bidder must meet in order to be considered
responsible. The City may not negotiate with any of the bidders.
RCW 39.04.350 established bidder responsibility criteria. Before the City may accept a
Contractor's bid, the contractor must:
• Be a registered contractor at the time of bid submittal (RCW 18.27.020)
• Have a current Unified Business Identifier (UBI) number
• Have industrial insurance coverage
• Have an employment security department number
• Have a state excise tax registration number
• Have never been disqualified from bidding under RCW 39.06.010 or 39.12.065(3)
The City also requires that the contractor must:
• Have or agree to obtain a current City business license
• Be current with all applicable licenses, taxes, and fees owed to the City of Bainbridge
Island
In addition, the City adopts the following supplemental criteria which may be used in
connection with specified projects:
• The ability, capacity, and skill of the bidder to perform the contract or provide the
service required
• The character, integrity, reputation, judgment, experience, and efficiency of the bidder
• Whether the bidder can perform the contract within the time specified
• The quality of performance of previous contracts or services
• The previous and existing compliance by the bidder with laws relating to the contract or
services
• Such other information as may be secured having a bearing on the decision to award the
contract
When using the supplemental criteria described above, the City will include the supplemental
criteria in the bidding documents, together with a basis for evaluation, deadline for bidder to
submit responsibility documentation, and deadline for bidder to appeal a "not responsible"
determination.
Contracts over $50,000 are awarded by the City Council.
18
When a trade-in option exists and is in the City's best interest, the price offered on the trade
will be considered when determining the lowest responsive and responsible bid.
RCW 39.30.040 allows any local sales tax revenue generated by the purchase to be considered
in determining the lowest responsive and responsible bid. Other preferences favoring local
businesses are not permitted.
6.4 CANCELLATION
An invitation for bids may be cancelled. Additionally, the City (at is sole discretion) may choose
to reject any or all bids, in whole or in part.
6.5 SUBMITTAL OF BIDS
Bids will be submitted as specified in the invitation for bid by the appointed date and time listed
in the invitation. Each bid will be dated and time stamped as it is received. Late bids will not be
accepted. If the bid is a sealed bid, all qualified bids will be opened and read aloud publicly at
the appointed time.
No City representative shall inform a contractor of the terms or amount of any other
contractor's bid for the same project prior to the bid opening date and time. Once bids have
been submitted (and opened, if the bids are sealed), the City may not negotiate with bidders.
The contract must be awarded to the lowest responsive and responsible bidder, or else all bids
must be rejected.
A written record shall be made of each contractor's bid on a project and of any conditions
imposed on the bid. Immediately after an award is made, the bid quotations shall be recorded,
open to public inspection, and available by telephone inquiry.
Original specifications and the original bid responses will be retained for review and audit as
required.
6.6 BID SECURITY
Bid security shall be required for all competitive bidding for public works contracts, and shall be
included in the bid package. Security shall be in the form of a bond with a value of at least 5%
of the amount of the bid, provided by a surety company that is authorized to do business in
Washington State, or the equivalent in cash or certified check.
M
Bid bonds are not required when small works procedures are used for projects under
$100,000.
Bid security shall be required on all bids for materials, supplies, and equipment only if it is
determined to be necessary.
When the invitation for bids requires submittal of bid security, noncompliance will result in
rejection of the bid.
If a bidder is permitted to withdraw a bid before award, its bid security shall be returned.
6.7 NON -COLLUSION AFFIDAVIT
Each bidder shall be required to warrant that their bid is genuine, and that they have not
entered into collusion with other bidders, by submitting with their bid an executed and
notarized affidavit on a form approved by the City Attorney.
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7.0 PROFESSIONAL SERVICES
Professional services' are services which provide professional or technical expertise to
accomplish a specific study, project, task, or other work statement.
Professional services include, but are not limited to:
• Architectural, engineering, or design services
• Accounting and auditing
• Bond or insurance brokerage
• Consulting services
• Legal services
• Real estate appraisal or title abstracts
• Relocation assistance
• Surveying
• Soils analysis or core testing
7.1 COMPETITIVE PROCESS
A competitive process is recommended but not required for professional services, other than
professional architectural engineering, or surveying services (see Section 8.0 for procedures to
be followed when obtaining these services). The contract approval levels outlined in Section
3.0 still apply.
7.2 SOLICITATION OF PROPOSALS
The City may request a Request for Qualification (RFQ) as an initial submission or together
with a Request for Proposals (RFP) in connection with a formal solicitation. An RFQ asks a
company to submit their general capabilities, list of principal employees, previous projects, and
other qualifications for a project. An RFP asks a company to both submit their qualifications
and a proposed scope of services for a specific project, including information on the schedule
and deliverables.
An RFP should include:
• a detailed scope of work describing the project tasks
• an estimated budget
• an estimated schedule
• evaluation criteria
1 MRSC uses the terms "personal services" and "architecture and engineering services" in their
contract guidelines.
21
• instructions regarding the submittal information (page limitations, number of copies,
etc.)
• proposal deadline
• copy of agreement for professional services
A department director may evaluate proposals for smaller projects, but a review panel of at
least three employees is recommended for more complex projects. City staff should review all
submittals received prior to the deadline to ensure they comply with the requirements of the
RFP. The director or review panel should then use the evaluation criteria to evaluate each
proposal.
Guidelines for issuing RFPs and RFQs are as follows:
Dollar Threshold: $0 to $25,000
Competitive Process: Minimal competition
Major Activities:
• Select qualified firms (1-3) based on established criteria from MRSC roster
• OR advertise for statements of qualifications and proposals from interested firms
• Ask for proposals from selected firm(s)
• Select most qualified firm
• Negotiate a contract with the firm deemed the most highly qualified
• Document the process
Dollar Threshold: $25,000 to $100,000
Competitive Process: Informal Competition
Major Activities:
• Select 3-5 qualified firms based on established criteria from MRSC roster
• OR advertise for statements of qualifications and proposals from interested firms
• Prepare written solicitation, including at a minimum, description of services required,
project schedule, request for consultant's qualifications and/or non -price proposal and
due date for the responses
• Send to a minimum of 3 firms
• Evaluate responses and select most qualified firm
• Negotiate a contract with most qualified firm
• Document the process for file, including selection criteria, names of firms considered, all
responses to RFP, basis for award decision, and copy of contract
Dollar Threshold: Over $100,000
Competitive Process: Formal Competition
Major Activities:
• Prepare formal solicitation document (RFP or RFQ/RFP)
• Publish legal notice in major daily newspapers
MIA
• Post solicitation document on City website
• Develop score sheets for use by evaluators
• Issue RFP or RFQ/RFP to a minimum of six firms.
• Conduct pre -proposal conference, if required in RFP or RFQ/RFP and issue addendum
• Provide answers to bidders' questions via addenda and post on website
• Date and time stamp proposals received by the due date
• Evaluate proposals strictly against criteria set forth in the RFP or RFQ/RFP and score.
Use 3 evaluators for scoring and score proposals using score sheets. Tabulate scores
and determine ranking of proposers
• Schedule and conduct oral interviews of top finalists, if desired
• Determine final scoring and select most qualified firm
• Notify successful and unsuccessful firms
• Negotiate a contract with most qualified firm
• Conduct debriefing conferences with unsuccessful proposers, if requested
23
8.0 ARCHITECTURAL, ENGINEERING, AND SURVEYING SERVICES
Services for professional architectural (including landscape architectural), engineering or
surveying services are procured using the qualifications based selection requirements in
Chapter 39.80 RCW. Examples include architectural blueprints, road design, and sewer and
water system design. The requirements outlined in that chapter, as stated in these guidelines,
or as may be amended by the State Legislature, must be carefully followed.
8.1 ANNUAL ROSTER
As an alternative to creating and maintaining the City's own annual roster for the procurement
of architectural, surveying, and engineering services, the City Manager is authorized to enter
into agreements with the MRSC and/or any other agencies for use of their annual rosters as
long as such rosters are in compliance with the latest state of Washington rules, regulations,
requirements and laws regarding the procurement of architectural, surveying, and engineering
services. The City currently uses MRSC's roster.
The City encourages architectural, engineering and surveying firms to submit to MRSC a
statement of qualifications and performance data annually. When services are needed, the City
will evaluate current statements of qualifications and performance data on file with those
submitted by other firms regarding a proposed project.
8.2 CONTRACT NEGOTIATIONS
Discussions will be conducted with one or more firms regarding anticipated concepts and the
relative utility of alternative methods of approach for furnishing the required services. Using
criteria established by the City for the project, category, or type of services needed, a
professional services contractor will be selected that is deemed to be the most highly qualified
to provide the services required for the proposed project. See Section 7.2 for the RFQ and
RFP process. RFPs for architectural, engineering, and surveying services may not request a
price. The City must select the most qualified firm and then negotiate a price for the project.
The City will negotiate a contract with the most qualified firm at a price that the City
determines is fair and reasonable. In making its determination, the City will take into account
the estimated value of the services to be rendered as well as the scope, complexity, and
professional nature of the service to be provided. If the City is unable to negotiate a
satisfactory contract with the firm selected at a price that is determined fair and reasonable,
negotiations with that firm will be formally terminated. Another firm will then be selected and
the process continued until an agreement is reached or the process terminated.
24
Contracts for these services will be approved in accordance with the contract approval levels
outlined in Section 3.2.
25
9.0 CONTRACT AMENDMENTS
The City Manager may execute an amendment to a contract without City Council approval,
provided that the amendment:
Simply extends the time of completion for a project. Such an extension can be for up to
one year from the original termination date of the contract.
Provides for a cost increase that does not exceed 10% of the original contract cost (or
$50,000, whichever is greater), and is supported by the City's budget.
Is solely for "On -Call" services to ensure compliance with City Codes and regulations
by development applications and studies associated with development applications, when
the cost of the work performed is recovered from applicant reimbursements or
applications fees. Examples include agreements for geotechnical studies and traffic
impact analysis.
All changes to the scope of work must be done by contract amendment. Substantial changes to
the scope of work must be submitted to the City Attorney for a determination as to whether
the work should be awarded as a new contract.
26
10.0 SOLE SOURCE AND EMERGENCIES
Situations may occur when competition among multiple vendors is not practical.
These situations, as outlined in RCW 39.04.280, include:
• There is clearly and legitimately only one source capable of supplying the good or
service in a timely fashion.
• There are special circumstances or market conditions that result in only one
appropriate source. (This includes parts and services for equipment, and technical
support for computer software or hardware, that the City is already using. Other costs
associated with a potential purchase, such as the need for additional staff training, may
also be considered.)
• Purchases of insurance or bonds.
• In the event of an emergency.
Purchases may be made from a sole source vendor without soliciting other quotes or bids. In
non -emergency situations, written documentation demonstrating the appropriateness of a sole
source purchase shall be submitted to the Finance Department in advance of the purchase.
Finance (and the City Attorney, when needed) will evaluate whether a vendor can legitimately
be defined as a sole source.
If an emergency exists, the City Council or the person(s) designated by the Council to act in the
event of an emergency may:
• Declare that an emergency situation exists.
Waive competitive requirements.
Award, on behalf of the City, contracts necessary to address the emergency situation
(including, but not limited to, contracts for architectural and engineering services).
Chapter 2.44 BIMC contains additional provisions relating to emergency management. RCW
39.04.280 requires that a written finding of the existence of an emergency be made and entered
into the public record no later than two weeks following the award of the contract.
27
11.0 INTERGOVERNMENTAL COOPERATIVE PURCHASING
AGREEMENTS
RCW 39.34.030 allows the City to join with other governmental agencies for the purchase of
supplies, equipment, or services. This is done by entering into a written Intergovernmental
Cooperative Purchasing Agreement (also known as an "Interlocal Agreement").
Prior to making a purchase under such an agreement, the City must ensure that the procedure
used by the agency that originally awarded the bid, proposal, or contract is allowable with the
City's purchasing policy. The originating agency must also have fulfilled one of two additional
public notice requirements:
Posted the bid or solicitation notice on a web site established and maintained by a public
agency, purchasing cooperative, or similar service provider, for purposes of posting
public notice of bid or proposal solicitations.
Provided an access link on the state's web portal to the notice.
The City may also make a bid call with another government entity as a joint purchase that
complies with the procurement requirements of both jurisdictions.
When practical, the City should include language in its solicitations that allows other public
agencies to purchase from City of Bainbridge Island's contracts or purchase orders, provided
that other agencies provide similar rights and reciprocal privileges to the City of Bainbridge
Island.
Pursuant to RCW 39.34.030, the City may make purchases through state contracts. The City
has signed a Master Contracts Usage Agreement with the Department of Enterprise Services
("DES"). The DES' webpage provides information and instructions for making purchases with
the state contract.
The City Council shall approval all Intergovernmental Cooperative Purchasing Agreements.
12.0 VENDOR RELATIONS
12.1 CODE OF ETHICS
Employees will follow applicable personnel policies in this subject area.
12.2 O DOTE OR BID REVISIONS
If a vendor is permitted to submit a revised quote or bid, other competitors will be given the
same opportunity. Bidders are expected to offer their best bid first, and offering an
opportunity to re -quote should be done only when absolutely necessary.
12.3 SAMPLES
When vendors offer samples for evaluation, they will be accepted only under the following
conditions:
• The sample is accepted as property of the City.
• The product is of a type presently in use by the City, or is of potential use. Samples of
goods not likely to be purchased are not to be accepted.
• The quantity or size of the sample is relatively small and of minimal value.
• Any chemicals offered as vendor samples shall not be accepted unless accompanied by
an OSHA product safety data sheet or material safety data sheet (MSDS).
• If vendor samples are accepted, they must be sent to the appropriate location or
department for testing.
• Samples that are requested for evaluation must be purchased.
12.4 LOCAL BUSINESS PARTICIPATION
The City will take affirmative steps not only to encourage local businesses to apply to
participate in the procurement process, but to the extent legally possible, the City will consider
the use of those local businesses.
W
13. VENDORAPPEALS
Vendors may appeal or protest a proposal solicitation or award of contract issued by the City
of Bainbridge Island, provided that the vendor strictly follows the procedures described below.
Prior to the deadline for submitting bids or proposals, vendors may appeal or protest
specifications, terms, or requirements. After the deadline for submission of bids or proposals,
vendors may appeal or protest the award or pending award to the apparent low bidder, or the
selection of the apparently most advantageous proposal.
13.1 PROCEDURES FOR INITIAL APPEAL OR PROTEST
The appeal or protest must:
• Be submitted in writing;
• Explicitly identify itself as an appeal or protest;
• Explicitly identify the bid/project/request for which the appeal or protest is made;
• Explicitly state all reasons and bases in law and fact supporting the appeal or protest
(including, but not limited to, identification of any and all specifications, terms,
requirements, or conditions to which the vendor objects);
• Include any and all supporting documents; and
• Be filed with the City Clerk within the following deadlines:
o For appeals or protests involving specifications, terms, conditions, or
requirements, no later than 7 business days prior to the bid deadline.
o For appeals or protests involving an award or pending award — no later than 5
business days after the award is made.
13.2 CONSIDERATION OF INITIAL APPEAL OR PROTEST
A vendor's initial appeal or protest will be reviewed by the City Manager, the City Attorney,
the Director of the procuring department, and the Finance Director, or their designees.
The initial appeal or protest will be decided based upon the written materials, supporting
documents, and other information obtained by those reviewing the appeal or protest. In the
event that a meeting or conference with the appellant or protestor would materially assist the
City in making its decision, a meeting may be scheduled.
Only those issues identified by the appellant or protestor in the initial written appeal or protest
filed with the City Clerk will be considered. The City Attorney or designee will issue a written
decision no later than 10 business days after the filing of the initial appeal or protest with the
City Clerk.
13.3 APPEALS FROM DENIAL OF INITIAL APPEAL OR PROTEST
A vendor may only appeal the City's initial decision by following the procedures described in
this section. The appeal will be decided by the City Council.
Kill
The appellant or protestor must file the appeal or protest in writing with the City Clerk no
later than 7 business days after the date of the City's written decision. The appeal must state
the basis in law for the appeal, include a copy of the initial appeal or protest, and the decision
from which the appellant or protestor appeals, and state whether the appellant requests time
to appear before the Council to present the appeal.
Council will not consider any issues that were not raised in the initial appeal or protest. At its
sole discretion, Council may decide to allow the appellant to make any presentation other than
the written submission if the Council finds that such a presentation would materially aid its
decision.
Council may form a committee of less than the entire Council to consider the appeal and
recommend a decision to the entire Council.
The Council's decision shall be final and binding.
31
14.0 SALE OR DISPOSAL OF CITY PROPERTY
14.1 AUTHORIZATION
The City Manager may authorize the sale or disposal of City property, provided that the
property is no longer needed and that notice of intention to sell is given as provided in this
section. The property will be deemed as surplus or scrap.
Permission must be obtained from the grantor- before selling or disposing of any property which
was purchased with grant funding. Failure to obtain permission could obligate the City to repay
grant funding used to purchase the property.
14.2 SALE VERSUS DISPOSAL
Sales of surplus items to other governmental agencies may occur via private sale. Other sales
of surplus items shall be sold via public auction. It is the City's policy to utilize third -party
auction services rather than conduct the auction itself.
Scrap may be sold via public auction, via private sale at prices established by current market
conditions, or may be disposed of if there is not a viable market. The City Manager may donate
items with a nominal value to a charitable organization which is tax exempt pursuant to Internal
Revenue Code Section 501(c)(3).
14.3 TRADE-INS
Trade-in of old equipment to upgrade similar or reasonably related equipment is permitted
when it is in the best interest of the City. The requesting Department Director shall be
responsible for the sale, trade, or other disposition of surplus property and scrap belonging to
the City of Bainbridge Island when used for a trade-in.
14.4 PUBLIC NOTICE OF SALE
If the City opts not to use a third -party auction service and instead chooses to conduct an
auction itself, the notice of intent to sell surplus or scrap at a public sale shall be published once
a week for two consecutive weeks in the City's official newspaper immediately prior to the
sale. The notice shall state the time and place at which the property will be sold. Any other
reasonable means to attract potential buyers to the sale may be used in conjunction with the
notice posted in the official newspaper.
14.5 CONFLICT OF INTEREST
Because City employees have more information than the general public about City property to
be auctioned and an appearance of fairness is necessary to maintain the public trust, employees,
their spouses, and their agents are not permitted to bid on or buy property auctioned or sold
directly by the City.
32
14.6 INVENTORIED ITEMS
Surplus, scrap or trade-in of any inventoried item will be confirmed by the employee
responsible and approved by the Department Director. A Property Disposition form will be
completed and submitted to the Finance Department.
Each Department will be responsible for storing and retaining an inventory of such property
until issued disposition instructions.
33
15.0 ADDITIONAL SIGNING AUTHORITY
15.1 GRANTS
If a grant would require material matching dollars or impact policy, the Administration will seek
City Council approval prior to applying. The Administration will bring grant opportunities it
becomes aware of to the full Council. The Council may also initiate the process of pursuing a
grant. If other entities, such as non-profit organizations or community interest groups, wish to
apply for a grant on behalf of the City, the group must first obtain the approval of City Council.
Amendments to grants that simply extend the term of the grant may be approved by the City
Manager.
15.2 INTERLOCAL AGREEMENTS
All interlocal and interagency agreements must be approved by City Council. Amendments to
interlocal agreements that simply extend the term of the agreement may be approved by the
City Manager.
15.3 REAL PROPERTY
Contracts and agreements that relate to City -owned real property (other than as described
below) must be approved by the City Council,
The City Manager is authorized to enter into licenses, permits or other agreements in order to
manage the use of the City's right-of-way. Any such license, permit, or other agreement shall
contain the provisions set forth in Resolution No. 2013-09.
The City Manager, Director of Public Works and Director of Planning and Community
Development are authorized to accept dedications, easements, rights-of-way, fee estates or other
interests in real property for use by or on behalf of the city. Pursuant to this authority, the City
Manager, the Director of Public Works, or the Director of Planning and Community
Development are each authorized to sign and accept delivery of real property acquisition
documents on behalf of the City.
The Director of Planning and Community Development is further authorized to sign and accept
documents relating to any notice to title recorded with Kitsap County in connection with the
Critical Areas ordinance.
15.4 SETTLEMENT AUTHORITY
The City Manager is authorized to sign settlement agreements requiring the City to pay less than
$50,000 to resolve and settle any damage claims or suits against the City and to execute all
necessary documents pursuant to the resolution of such claims. The City Manager shall have the
34
further authority to approve the issuance of checks pursuant to the resolution of such claims.
Claims settled by the City Manager under this authority will be reported to the City Council at
the next City Council meeting following the settlement.
W
16.0 COMPLIANCE WITH POLICY
A violation of any of the provisions of this policy may result in discipline to the individual
involved where, in the opinion of the City Manager (in the case of employees) or the City
Council (in the case of an elected official or City Manager), such discipline is in the interest of
the public and good government.
Officers and employees should be aware of possible personal penalties, termination, and
financial liability for intentional or willful violation of competitive bidding laws. RCW 39.30.020
states:
In addition to any other remedies or penalties contained in any law, municipal charter,
ordinance, resolution, or other enactment, any municipal officer by or through whom or under
whose supervision, in whole or in part, any contract is made in willful and intentional violation
of any law, municipal charter, ordinance, resolution, or other enactment requiring competitive
bidding upon such contract shall be held liable to civil penalty of not less than three hundred
dollars and may be liable, jointly and severally, with any other such municipal officer for all
consequential damages to the municipal corporation.
If, as a result of a criminal action, the violation is found to have been intentional, the
municipal officer shall immediately forfeit their office. For purposes of this section "municipal
officer" shall mean an "officer" or "municipal officer" as those terms are defined in RCW
42.23.020(2). [Emphasis added.]
36
17.0 SUMMARY OF PURCHASING GUIDELINES
j UBI.W WORKS PROTECTS
Estimated Cost
Signing
Purchase/Bidding Process
Contract
$10,001 _
Authority
Public Works
Director
No competition needed
Minimal competition — call for 2-3
Mechanism
Estimate/Invoice
Small Project Contract
$0-$500
$501 - $2500
quotes/bids (phone or written )
X
Minimal competition — call for 2-3
$2501- $10,000
I
X
quotes/bids (phone or written) at a
minimum via the small works roster
$10,001 - $35,000
g _ _--so-licit--
City Mana er
3 quotes/bids from small works
Limited Public Works
City Council
roster
Contract
$35,001- $50,000
Solicit 5 quotes/bids from small works
roster. Provide notice to others on
Small Works Contract
$50,001- $300,000
roster for projects $150,000 or more.
$300,001- Greater
Formal bidding process with
Formal Bid Contract
advertisement
PURCHASING
This matrix is to be used for purchasing charges that includes, goods, equipment, materials and supplies
that are not part of a Public Works project (telecommunications is not included and is governed by
RCW 39.04.270).
For items that are defined as a purchased service, please see "Non-professional Services" matrix. For
purchases relative to a public works project, please see "Public Works Projects."
Purchasing Signing
Procedure I Authority
Direct Negotiations — Informal Directors
Quotes (3 minimum) Telephone, City
fax or email — Informal Manager
Bids (3 minimum) Must be in City Council
writing — Formal Competitive Bid
37
Purchase
Purchase
Purchase
$10,000
$10,001 _
Over
Or Less
$50,000
$50,001
X
X
I
X
NoN l'I,C: -- _SSI0NAL SF.PIVICES
(PURCHASED SERVICES)
Services provided by vendors for routine, necessary and continuing functions of a local agency, relative
to a physical activity. Examples include courier, janitorial, disposal, vehicle inspection repair or up -fitting,
office furnishing install.
Note that prevailing wages may need to be paid in connection with the contract.
Bidding
Procedure
Direct Negotiations — Informal
Quotes (3 minimum) Telephone,
fax or email — Informal
Bids (3 minimum) —Must -be -in
writing — Formal Competitive Bid
Signing MX
e Purchase
Authority or $10,001 -
_ $50,000
Directors
City
Manager
City Council
PROFESSIONAL SERVICES
X
Purchase
Over
$50,001
(PERSONAL SERVICES AND ARCHITECTURE & ENGINEERING SERVICES)
RCW 39.80 must be followed for architectural, engineering and surveying services (see Section 8.0) and
price may not be considered in the initial selection process.
Agreement AmountI Signing
Authority
$25,000 or Less
$25,001 to $50,000
$50,001 to $100,00(
Over $ 100,000
City Manager
City Council
ended Solicitation Process
Minimal competition needed. Contact 1-3 qualified firms.
Informal competition. Prepare RFQ/RFP and contact 3-5
qualified firms.
Formal competition. Prepare RFP/RFQ and advertise.
38
18.0 GLOSSARY
Appropriation - City Council authorization to expend funds for a specific purpose.
Bid — The executed document submitted by a bidder in response to a notice inviting bids, a
proposal, or a request for quotations.
Bid Bond — A bond or deposit submitted with a bid, for a sum not less than 5% of the bid
amount (including sales tax). Designed to help ensure that a bid has been made in good faith
and that the bidder will enter into a contract if a bid is accepted.
Bidder — A person or legal entity who submits a bid in response to a solicitation.
Change Order — Written modification or addition to a purchase order or contract authorized by
the appropriate authority.
Competitive Bidding — The submission of prices by individuals or firms competing for a contract,
privilege, or right to supply merchandise or services.
Contract — A verbal or written, legally binding mutual promise between two parties.
Designee — A duly authorized and appointed representative of an employee that holds a
superior position to the person appointed to represent him or her.
Emergency — Unforeseen circumstances beyond the City's control that present a real, immediate
threat to the proper performance of essential functions, or that will likely result in material loss
to property, bodily injury, or loss of life if immediate action is not taken.
Lowest (Responsive and) Responsible Bidder — The bidder submitting the lowest price that is also
capable of performing the proposed contract. See also "responsive bidder" and "responsible
bidder."
Non -Professional Services or Purchased Services — Services provided by vendors for routine,
necessary and continuing functions of a local agency, relative to a physical activity. Examples
include, but are not limited to:
• Courier services
• janitorial services
• Disposal services
• Vehicle inspection, repair or up -fitting
• Office furnishing installation
• HVAC system maintenance
Non -Responsive Bid — A bid that does not conform to the essential requirements of the notice
inviting bids.
39
Ordinary Maintenance — Work not performed by contract and that is performed on a regular
basis (daily, weekly, monthly — but not less than once per year) to service, check or replace
items that are not broken. Also defined as work not performed by contract that is not
regularly scheduled, but is required to maintain an asset so that repair does not become
necessary.
Prevailing Wages — The hourly wages, usual benefits, and overtime paid in the largest city in each
county to the majority of workers, laborers, and mechanics. Prevailing wages are established by
the Washington State Department of Labor and Industries for each trade and occupation
employed in the performance of public work. They are established separately for each county,
and are reflective of local wage conditions.
Professional Services — Services which provide professional or technical expertise to accomplish a
specific study, project, task, or other work statement. Examples include, but are not limited to:
• Architectural, engineering or design services
• Accounting and auditing
• Bond or insurance brokerage
• Consulting services
• Legal services
• Real estate appraisals or title abstracts
• Relocation assistance
• Surveying
• Soils analysis or core testing
• Water quality monitoring
Public Work — All work, construction, alteration, repair, or improvement other than ordinary
maintenance, executed at the cost of the City, or which is by law a lien or charge on any
property therein.
Quotation — A statement of price, terms of sale, and description of goods or services offered by
a prospective seller to a prospective purchaser, usually for purchases below the amount
requiring formal bidding. For professional service contracts, quotes would typically include the
qualifications of the provider and may or may not include pricing information depending on the
situation.
Request for Proposal (RFP) — All documents, whether attached or incorporated by reference,
utilized for soliciting competitive proposals. The RFP procedure permits negotiation of
proposals and prices, as distinguished from competitive bidding and a notice inviting bids. The
procedure allows changes to be made after proposals are opened and contemplates that the
nature of the proposals and/or prices offered will be negotiated prior to award.
Request for Quotation/Qualification (RFQ) — A document generally used for obtaining a summary of
qualification from prospective providers of professional services.
40
Responsible Bidder — A person or legal entity who has the capability in all respects to perform in
full the contract requirements, and the integrity and reliability which will assure good faith
performance.
Responsive Bidder - A person or legal entity who has submitted a bid conforming in all material
respects to the terms and conditions, specifications and other requirements in a request for
bids.
Scrap — Any equipment or material which cannot service its original purpose.
Sealed Bid — A bid which has been submitted in a sealed envelope to prevent is contents from
being revealed before the deadline for the submission of all bids.
Sole Source — An award for a purchase to the only reasonably known capable vendor due to the
unique nature of the requirement, the vendor, or market conditions.
Specifications — A description of what the purchaser seeks to buy or accomplish — and
consequently what a bidder must be responsive to in order to be considered for award of a
contract. May be a description of the physical or functional characteristics, or the nature of a
supply or service. May also include a description of any requirements for inspecting, testing, or
preparing a supply or service item for delivery.
Surplus property — Any tangible, personal property owned by the City that is no longer needed
or usable, presently or in the foreseeable future.
41
MRSC PROJECT CLOSURE RETAINAGE GUIDELINES
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REFERENCES
"City Bidding Book, Washington State" by MRSC (2015)
"Contracting for Services: Guidelines for Local Governments in Washington State" by
MRSC (November 2013)
43