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CC 06-06-2023 Item No. 5 Third Amendment to Quartic Solutions_Late CommunicationsCC 06-06-2023 Item #5 Consider authorizing the City Manages to execute a Third Amendment to Professional Services agreement with Quartic Solutions Written Communications From:Kitty Moore To:City Clerk Subject:Item 5 Written Communications Purchasing Policy Cupertino.pdf Date:Wednesday, June 7, 2023 4:59:29 AM Attachments:Purchasing Policy Cupertino.pdf CAUTION: This email originated from outside of the organization. Do not click links or open attachments unless you recognize the sender and know the content is safe. Dear City Clerk, Please add the attached Purchasing Policy and Municipal Code to Item 5 Written Communications. Best regards, Kitty Moore Cupertino, CA Municipal Code CHAPT ER 3.22: PURCHASE OF SUPPLIES, M AT ERIALS, EQUIPM ENT AND SERVICES Section 3.22.010 Purpose of c hapter. 3.22.020 Definitions . 3.22.030 Purchasing Officer. 3.22.040 Purchase orders or c hec k reques ts needed-Us e of petty c as h funds . 3.22.050 Availability of funds . 3.22.060 Purchasing requirem ents. 3.22.070 Exemptions. 3.22.010 Purpose of Chapte r. This c hapter is enacted to set forth policy to es tablish effic ient procedures for the purc has e of supplies , m aterials , equipment and s ervic es at the lowest possible cost comm ens urate with quality needed, and to c learly define authority for the purc has ing function of the City. (Ord. 1582, § 1 (part), 1992) 3.22.020 De finitions. For the purpos es of this c hapter, the following words and phrases s hall have the meanings ascribed to them by this section. 1. "Bid" means any propos al s ubm itted to the City in c om petitive bidding for City purchases and contracts for supplies , m aterials , equipm ent, and/or s ervic es . 2. "Lowest res pons ible bidder" means the lowest monetary bidder who has demonstrated the attribute of trustworthines s as well as quality, fitnes s , c apac ity and experience to s atis factorily perform the c ontrac t. 3. "Purc has es ." Purc has es of supplies and equipment shall include leases or rentals , as well as trans ac tions by whic h the City acquires owners hip. 4. "Purc has ing Offic er" m eans the City Manager or any other offic ial or officials des ignated in writing by the City Manager for adm inis tration of this c hapter. 5. "Servic es " m eans any and all s ervic es including, but not lim ited to, equipm ent s ervic e contracts . The term does not inc lude s ervices rendered by City officers or employees , or profes s ional or other s ervic es which are by nature unique or for whic h the proc edure for procurem ent is s pec ific ally provided by law. 6. "Supplies ," "m aterials " and "equipment" means any and all artic les, things or tangible personal property furnis hed to or to be us ed by the City. (Ord. 1897, § I (part), 2002; Ord. 1582, § 1 (part), 1992) 3.22.030 Purchasing Office r. A. The Purchasing Officer of the City is ves ted with the authority for the purc has e of supplies , m aterials , equipm ent and services. W hen the provis ions and intent of this c hapter may be best served by s o doing, the Purc has ing Officer may authoriz e in writing any department to inves tigate, s olic it bids or to negotiate the purc has e or award of contracts for supplies , m aterials , equipm ent or s ervic es for that department, provided that s uc h shall be done in c onformity with the proc edures pres c ribed by this c hapter or by duly adopted adm inis trative rules and regulations pertaining thereto. B. The Purc has ing Officer s hall have the res pons ibility and authority to: 1. Purchase or c ontrac t for materials, supplies, equipment and s ervic es to be performed as m ay be required by any departm ent of the City in ac c ordance with procedures prescribed by this c hapter or by s uc h adm inis trative rules and regulations as the Purchasing Offic er m ay adopt purs uant thereto; 2. Prepare and adopt adm inistrative rules and regulations not in conflic t with the provisions of this c hapter for the purpos e of carrying out the requirem ents and intent of this purchasing system. (Ord. 1582, § 1 (part), 1992) 3.22.040 Purchase Orde rs or Che ck Re que sts Ne e de d-Use of Pe tty Cash Funds. A. Purc has es of supplies, m aterials , equipm ent or s ervic es shall be m ade only by means of purc has e orders or c heck reques ts proc es s ed and is s ued pursuant to this c hapter. The purc has e orders or check requests shall be valid only when signed by the City Manager, the Purchasing Officer or other pers ons as may be designated by the Purchasing Offic er to act in his behalf. B. Nothing herein shall preclude the use of authorized petty cash funds for purposes intended by their es tablis hm ent. (Ord. 1582, § 1 (part), 1992) 3.22.050 Av ailability of Funds. The Purchasing Officer shall not is s ue any purc has e order or check request, or award any c ontrac t for the ac quisition of supplies , m aterials , equipm ent or s ervic es , unless there exis ts an unencum bered appropriation in the funds as approved by City Counc il res olution adopting proc edures for adm inis tration of the annual budget. The appropriate ac c ount and funds shall be encum bered im m ediately after the is s uanc e of the purchase order or c hec k reques t or award of contrac t. (Ord. 1582, §I (part), 1992) 3.22.060 Purchasing Re quire me nts. A. Open Market Purc has es . The Purc has ing Offic er m ay award c ontrac ts or issue purchase orders or c hec k requests for the ac quisition of supplies , m aterials , equipm ent or s ervic es in the open market without observing the c ompetitive bidding procedure contained in this Chapter when the dollar value will fors eeably equal, or be less than, the amount for public works c ontracts described in s ec tion 22032(a) of the Public Contrac ts Code. B. Purc has es Approved by City Council-Application of Formal Competitive Bidding Proc edures . In instanc es where the acquis ition of supplies, m aterials , equipm ent or servic es will fores eeably result in the is s uanc e of a purc has e order, c hec k reques t, or the award of a c ontrac t with a dollar value in exc es s of the required dollar value for public works c ontrac ts described in s ec tion 22032(b) of the Public Contracts Code, s uc h will be authorized only by ac tion of the City Counc il. Suc h ac tion s hall be taken after the form al c ompetitive bidding procedures des c ribed in this section are followed, unless purs uant to a written rec om mendation of the City Manager, the City Counc il finds that the us e of the formal com petitive bidding procedure is not prac tic al due to lim itations on s ource of s upply, necessary res trictions in s pec ific ations , necessary standardiz ation, quality cons iderations, or if other valid reas ons for waiving the formal c om petitive bidding proc es s proc edures appear. Upon m aking s uc h a finding, the Counc il may direc t the Purc has ing Offic er to dispense with the form al c om petitive procedure and m ake the purc has e on the open market or through any other procedure which m eets the City's requirements . C. Form al Competitive Bidding Procedures . The form al bidding proc edures required for purchases des c ribed in Section 3.22.060B are as follows: 1. Notice Inviting Bids . a. Notic e inviting bids shall include: i. A dis tinc t des c ription of the supplies , m aterials , equipm ent or s ervic es to be purchased; ii. The location where bid blanks, specific ations and requests for propos als may be secured; iii. The tim e and plac e for opening bids ; iv. A statem ent that the City has the authority to reject any and all bids and m ay waive any minor technic ality or variance found in a bid doc um ent. b. The notice inviting bids s hall be published at least fourteen c alendar days before the date of opening of bids in a news paper of general circulation printed or published in the City. Suc h notice may als o be m ailed to any vendor or provider whic h the Purchas ing Officer has reas on to believe m ay be in a position to provide the s ubject supplies , m aterial, equipment or services to the City. 2. Opening of Bids. Bids s hall be opened in public by the City Clerk at the time and plac e stated in the notice inviting bids . A tabulation of all bids rec eived s hall be open for public inspection during regular bus iness hours for a period of not les s than fifteen c alendar days after the bid opening. Any bid whic h is rec eived after the time s pec ified in the notic e shall be returned unopened. 3. Award of Contrac t. Contracts shall be awarded by the City Counc il to the lowest res pons ible bidder exc ept as otherwise provided in this chapter. 4. Award to Next Lowes t Bidder-Failure to Exec ute Contract. The City Council m ay, on refus al or failure of the successful bidder to execute the contract within ten days after the date the notice of award of contrac t is m ailed, unless the City is responsible for the delay, award it to the next lowest responsible bidder. 5. Award of Contrac t to the Next Lowest Bidder-Lowes t Bidder Irres ponsible-Notic e and Hearing. A. The City Counc il, in its s ole dis c retion, may rejec t the lowes t monetary bid for purc has es of s upplies, m aterials , equipment or services upon a s pec ific finding that the lowes t m onetary bidder is not responsible. To determine res pons ibility, the City Counc il m ay consider, am ong other things, the bidder's financ ial res pons ibility, level of experienc e and whether the bidder has failed to c omplete or deliver any supplies , m aterials , equipm ent or s ervic es in other projec ts. B. If the City Counc il rejec ts the lowes t bid upon its determination that the lowes t bidder is not res pons ible, the City shall: i. Give notic e of the City Council's dec ision to the lowest m onetary bidder, s etting forth the reasons why the bidder is not considered the lowes t responsible bidder; ii. Give the bidder the opportunity to ask for a pre-award hearing before the City Council on the issue; iii. If the hearing is reques ted, agendiz e the matter before the City Council, giving written notic e of such hearing to all bidders ; iv. After hearing, the City Counc il shall make a finding, supported by the evidenc e on the rec ord as to the nonres pons ibility of the lowest m onetary bidder. 6. Rejec tion of Bids-Identic al Bids -Absence of Bids . The City Counc il, in its s ole discretion, m ay: a. Rejec t any bids pres ented and re-advertis e for new bids; b. Rejec t any bid that fails to m eet the requirements of the formal bidding proc edure in any respect; c . If two or more bids are the s ame and the lowest, the City Counc il m ay accept the one it chooses; d. If no bids are received, the City Counc il m ay direct the Purchasing Offic er to purc has e the supplies, m aterials , equipment or services without further adherenc e to the form al bidding proc edure; e. W aive any minor irregularities or varianc es in any bid rec eived. D. Informal Competitive Bidding Proc edures . In instanc es where the purc has e of supplies, m aterials , equipm ent or services will fors eeably result in the is s uanc e of a purc has e order, c hec k reques t or the award of a c ontract with a dollar value of greater than the am ount for public works contrac ts des c ribed in section 22032(a) of the public c ontrac t c ode but equals , or is les s than the amount for public works c ontrac ts des c ribed in section 22032(b) of the public contracts code, the Purchasing Offic er m ay award c ontrac ts or issue purc has e orders or check requests for the purc has e of supplies , m aterials , equipm ent or s ervic es . Suc h ac tion s hall be taken only after the inform al c ompetitive bidding proc edure des c ribed in subsection E below is followed unles s the City Manager finds in writing that the use of the inform al c om petitive bidding proc edure is not prac tical due to limitations on s ourc e of supply, nec es s ary restric tions in specifications, necessary standardiz ation, quality considerations, or if other valid reasons for waiving the informal com petitive bidding proc es s procedure appear. Upon m aking s uc h a finding, the City Manager m ay direct the Purchasing Officer to dis pens e with the informal com petitive bidding procedure and m ake the purc has e on the open m arket or through any other proc edure whic h meets the City's requirements . E. Informal Competitive Bidding Proc edure for Purc has es Described in Subparagraph D. Above. i. The proc edures described in s ubs ec tions 3.22.060 C I a and C2-C6 of this c hapter are applic able except that the duties des c ribed thereunder which are performed by the City Counc il are performed under thes e informal proc edures by the Purc has ing Officer. Determinations of the Purc has ing Offic er are subjec t to appeal pursuant to Chapter 1.16 of the City's ordinance c ode. ii. Public ation of notice inviting informal bids is not required. (Ord. 1897, § 1 (part), 2002; Ord. 1582, § 1 (part), 1992) 3.22.070 Exe mptions. Notwiths tanding any provis ion of this c hapter to the c ontrary, the Purchasing Officer, with the written c onc urrenc e of the City Manager, is authorized to issue a purc has e order or c hec k reques t, or award a contrac t, without adherence to the other provis ions of this chapter under following ins tanc e: A. Em ergency Purc has es . The im m ediate requirement of an item nec essary for the c ontinued operation of a departm ent or for the pres ervation of life or property s hall be deemed an em ergency. A full report of the c irc umstanc es of em ergenc y purc has e in exc es s of the amount described in s ubs ec tion 3.22.060B s hall be filed with the City Counc il at its next regular m eeting after the purchase was made. B. Recurring or Es s ential Servic es . Purchase orders or c hec k reques ts , inc luding paym ent of c laims against the City where reasonable advanced es timates of costs cannot be determ ined for essential services of a rec urring nature. Inc luded, but not limited to, this authorization are s uc h item s as utility s ervic es , approved c laims for liability under the City's ins urance program , renewal prem ium for authoriz ed ins urance polic ies , all expenditures for the City's payroll and em ployee benefits and other matters involving unknown es timates of c os ts . C. Purc has es From Other Public Agencies . Purchases of s upplies , materials, equipment or services from any other public agenc y c reated under the laws of the State of California or the United States Government are exempt from the bidding requirem ents of this chapter. D. Profes s ional Servic es . Profes s ional services including, but not limited to, services of lawyers, arc hitec ts, engineers, land surveyors, artis ts and accountants are exem pt from the bidding requirem ents of this chapter. (Ord. 1897, § 1 (part), 2002; Ord. 1582, § 1 (part), 1992) CHAPT ER 3.23: PUBLIC WORKS CONT RACT AND BIDDING PROCEDURES Section 3.23.010 Purpose. 3.23.020 Definitions . 3.23.030 Com petitive bidding. 3.23.040 Notic e inviting bids . 3.23.050 Presentation of bids -Sec urity required-Subcontractor designated in bid. 3.23.060 Opening bids. 3.23.070 Award of contract. 3.23.080 Forfeiture of s ec urity. 3.23.090 Award of contract to next lowest bidder-Failure to exec ute c ontrac t. 3.23.100 Award of contract to next lowest bidder-Lowest bidder irrespons ible-Notice and hearing. 3.23.110 Rejection of bids-Identic al bids-Absence of bids. 3.23.120 Inform al bidding proc edure for public works projects . 3.23.130 Exempt from bidding requirements . 3.23.140 Performance bond of successful bidder. 3.23.150 Depos it of proc eeds . 3.23.160 Additional work by City authority. 3.23.170 Deletions of work by City authority. 3.23.010 Purpose . This c hapter is enacted to enhance c om petition, to prevent corruption and undue influence in the awarding of public works c ontrac ts, and to c larify the City's com petitive bidding requirem ents es tablished pursuant to Part 3 of the California Public Contract Code, Sec tions 20100 et s eq. (Ord. 1583, § 1 (part), 1992) 3.23.020 De finitions. As used in this chapter, the following term s , phrases , words and their derivations s hall have the meanings given in this section: 1. "Bid" means any propos al s ubm itted to the City in c om petitive bidding for the c ons truction, alteration, repair or improvement of any s truc ture, building, road or other improvem ent of any kind. 2. "Lowest res pons ible bidder" means the lowest monetary bidder who has demonstrated the attribute of trustworthines s as well as quality, fitnes s , c apac ity and experience to s atis factorily perform the public works contrac t sought. 3. "Public works c ontrac t" means an agreem ent for the erection, c ons truction, alteration, repair or im provement of any public s truc ture, building, road or other public im provem ent of any kind. 4. "Public works projec t" means: a. The erection, im provement, painting or repair of public buildings and works; b. W ork to protec t against overflow of s treams, bays, waterfronts or em bankm ents ; c . Street or sewer work except for m aintenance or repair thereof; d. Furnis hing s upplies or m aterials for any such project, inc luding the m aintenanc e or repair of s treets or sewers. (Ord. 1897, § 2 (part), 2002; Ord. 1583, § 1 (part), 1992) 3.23.030 Compe titiv e Bidding. Exc ept as otherwise provided for in this chapter, public works projects with an es timated dollar value in exc es s of the required dollar value for c ompetitive bidding es tablished by section 22032(a) of the California Public Contrac ts Code, as m ay be amended, shall be contracted for purs uant to the proc edures prescribed in this chapter. (Ord. 1897, § 2 (part), 2002; Ord. 1583, § 1 (part), 1992; Ord. 16- 2143, § 1, 2016) 3.23.040 Notice Inv iting Bids. The notice inviting bids s hall be in the form and published as follows : A. Notic es inviting bids s hall include: 1. A distinct description of the public works projec t to be perform ed; 2. The location where bid blanks and s pec ific ations m ay be s ec ured; 3. The time and plac e for opening bids; 4. The type and am ount of bidder's s ec urity required; 5. The c lass of lic ens e required for the public works to be perform ed; and 6. A s tatem ent that the City has the authority to rejec t any and all bids and may waive any m inor tec hnicality or variance from the bid s pec ifications. B. The notic e inviting bids s hall be: 1. Published in a newspaper of general c irc ulation printed and published in the City at leas t the number of days specified in Section 22037 of the California Public Contrac t Code, as may be am ended, before the opening of bids ; and 2. Provided to all c ons truc tion and trade journals s pec ified in Sec tion 22036 of the California Public Contrac t Code, or as may be am ended, at least the number of days and by the methods set forth in Sec tion 22037 of the California Public Contrac ts Code, as may be am ended. (Ord. 1897, § 2 (part), 2002; Ord. 1583, § 1 (part), 1992; Ord. 16-2143, § 2, 2016) 3.23.050 Pre se ntation of Bids-Se curity Re quire d-Subcontractor De signate d in Bid. A. All bids shall be pres ented under s ealed c over (identified as bids on the envelope), subm itted to the City Clerk and accom panied by one of the following forms of bidder's s ec urity: 1. Cas h; 2. A c as hier's c hec k m ade payable to the City; 3. A c ertified c hec k m ade payable to the City; 4. A bidder's bond executed by an adm itted s urety ins urer, m ade payable to the City. B. The s ec urity s hall be in an amount equal to at leas t ten perc ent of the amount of the bid, or s uc h other sum as m ay be authorized by the California Public Contrac t Code. A bid shall not be c ons idered unles s one of the form s of bidder's security is enc losed with it. C. Upon award of the c ontrac t to the lowes t responsible bidder, the s ec urity of an unsuccessful bidder shall be returned in a reasonable period of time, but in no event s hall s uc h s ec urity be held by the City beyond ninety days from the date the notice of award of contract is m ailed. D. All bidders on a public works projec t m us t des ignate in their bids the nam e, address, the portion of the work eac h subcontractor will perform , and other inform ation as required by Sec tion 4101(a)(1) of the California Public Contrac t Code, as may be am ended, of eac h s ubc ontrac tor: 1. W ho will perform work exc eeding one-half of one percent of the prim e contrac tor's total bid, or 2. W ho meet or exceed the thresholds for s pec ific types of work as specified in Section 4101(a)(1) of the California Public Contracts Code, as m ay be amended. E. The prime c ontrac tor s hall lis t only one s ubcontractor for eac h portion of work as is defined by the prim e contractor in their bid. (Ord. 1897, § 2 (part), 2002; Ord. 1583, § 1 (part), 1992; Ord. 16-2143, § 3, 2016) 3.23.060 Ope ning Bids. Bids s hall be opened in public at the tim e and place s tated in the notice inviting bids. A tabulation of all bids rec eived shall be open for public ins pec tion during regular busines s hours for a period of not less than fifteen calendar days after the bid opening. Any bid which is received after the tim e specified in the notice s hall be returned unopened. (Ord. 1583, § 1 (part), 1992) 3.23.070 Award of Contract. Contracts shall be awarded by the City Council to the lowest res pons ible bidder exc ept as otherwise provided in this chapter. (Ord. 1583, § 1 (part), 1992) 3.23.080 Forfe iture of Se curity. If the successful bidder fails to exec ute the c ontract within ten days after the date the notic e of award of contract is m ailed, unles s the City is res pons ible for the delay, the am ount of the bidder's s ec urity s hall be forfeited to the City except as provided in Section 3.23.090. (Ord. 1583, § 1 (part), 1992) 3.23.090 Award of Contract to ne xt Lowe st Bidde r-Failure to Exe cute Contract. The City Council may, on refus al or failure to the suc c es s ful bidder to execute the c ontrac t within ten days after the date the notice of award of contract is m ailed, unless the City is res pons ible for the delay, award it to the next lowes t res pons ible bidder. If the City Council awards the contract to the second lowes t bidder, the amount of the lowest bidder's security shall be applied by the City to the difference between the low bid and the second lowes t bid, and the s urplus , if any, shall be returned to the lowest bidder if c ash or a check is us ed, or to the bidder's s urety if a bond is us ed. (Ord. 1583, § 1 (part), 1992) 3.23.100 Award of Contract to Ne xt Lowe st Bidde r-Lowe st Bidde r Irre sponsible -Notice and He aring. A. The City Counc il, in its s ole dis c retion, may rejec t the lowest bid upon s pec ific findings that the lowes t bidder is not res pons ible. To determ ine responsibility, the City Council may c ons ider, among other things, the bidder's financial res pons ibility, type of licens e, type of equipm ent, num ber of years experienc e in construc tion work, other projec ts bidder worked on in the last five years, whether bidder has failed to com plete any c ontrac t and bidder's ability to be bonded. B. If the City Council rejec ts the lowes t bid upon its determination that the lowest bidder is not res pons ible, the City shall do the following: 1. Give notice of the City Counc il's dec is ion to the lowes t bidder, s etting forth the reas ons why he/s he is not considered the lowes t "res pons ible" bidder; 2. In the notice, give bidder an opportunity to ask for a pre-award hearing before the City Council on the issue; 3. If hearing is reques ted, agenda the m atter pursuant to California Government Code hearing requirements ; 4. After the hearing, the City Counc il s hall m ake a finding, supported by the evidenc e on the record, as to the nonres pons ibility of the lowest bidder. (Ord. 1897, § 2 (part), 2002; Ord. 1583, § 1 (part), 1992) 3.23.110 Re je ction of Bids-Ide ntical Bids-Abse nce of Bids. The City Council, in its s ole dis c retion, m ay: A. Rejec t any bids pres ented and readvertise for new bids ; B. Rejec t any bid that fails to meet the bidding requirem ents in any res pec t; C. If two or m ore bids are the s am e and the lowest, the City Council m ay accept the one it choos es ; D. If no bids are rec eived, the City Council m ay have the projec t done without further c omplying with this c hapter; E. W aive minor irregularities in any bid received. (Ord. 1583, § 1 (part), 1992) 3.23.120 Informal Bidding Proce dure for Public Works Proje cts. Exc ept as otherwise required by this c hapter or under s tate or federal law, the bidding procedures of this chapter may be dis pens ed with for public works projects with an es timated dollar value equal to or les s than the required dollar value specified in Subdivis ion (b) of Sec tion 22032 of the Public Contrac t Code, and the following inform al bidding proc edures substituted: A. The City shall maintain a list of qualified contrac tors , identified ac c ording to categories of work. Minimum c riteria for com pilation of the contractor lis t s hall be determined by the California Uniform Construction Cost Accounting Com m is s ion ("Commis s ion"). All contractors on the list for the c ategory of work being bid and/or all c ons truc tion trade journals specified by the Commis s ion shall be m ailed a notic e inviting informal bids , unless the product or s ervice is proprietary. B. All m ailing of notic es to contractors and c ons truc tion trade journals s hall be c ompleted not less than the number of days s pec ified in Sec tion 22304(c ) of the California Public Contract Code, or as m ay be am ended, before the date of opening the bids . C. The City Counc il hereby delegates the authority to award c ontrac ts purs uant to inform al bidding to the City Manager or other pers on designated in writing by the City Manager. (Ord. 1632, 1993; Ord. 1583, § 1 (part), 1992; Ord. 16- 2143, § 4, 2016) 3.23.130 Exe mpt from Bidding Re quire me nts. The following are exem pt from c om petitive bidding requirements : A. Professional Servic es . Inc ludes, but is not res tricted to, s ervic es of lawyers , architects , engineers , land s urveyors , artis ts, and ac c ountants ; B. Maintenance. Includes the m aintenanc e and repair of streets and s ewers , but does not inc lude the furnishing of m aterials for s uc h maintenanc e; C. Em ergenc y W ork. If there is a great public calam ity, such as an extraordinary fire, flood, storm, epidemic or other dis as ter, or if it is nec es s ary to do em ergenc y work to prepare for national or local defens e, the City Counc il m ay pass a res olution by a four-fifths vote dec laring that the public interest and nec es s ity dem and the imm ediate expenditure of public m oney to safeguard life, health or property. Upon adoption of the res olution, the City m ay expend any s um required in the em ergenc y without com plying with this chapter; D. Sm all Contrac ts. Any contrac t for public works projec ts with an estim ated dollar value equal to or less than the required dollar value for c ompetitive bidding es tablished by section 22032(a) of the California Public Contrac ts Code; E. Meaningless Bids. W here the nature of the s ubject of the contract is such that com petitive propos als would not produc e an advantage and when the advertis ement for com petitive bidding would be undesirable, im practicable or impossible; F. Perform anc e of Project After Rejec tion of Bids . After rejection of bids presented, the City Council m ay pass a res olution by a four-fifths vote dec laring that the project can be perform ed m ore econom ically by day labor or the m aterials or supplies furnished at a lower price in the open m arket. Upon adoption of the resolution, the City is relieved from further com plianc e with form al bidding requirements . (Ord. 1897, § 2 (part), 2002; Ord. 1583, § 1 (part), 1992) 3.23.140 Pe rformance Bond of Succe ssful Bidde r. The City Manager has authority to require a perform anc e bond before entering a contract, in s uc h am ount as the City Manager finds reas onably nec es s ary to protec t the bes t interes ts of the City or as m ay be required by law. If the City requires a performance bond, the form and amount of the bond shall be des c ribed in the notice inviting bids. (Ord. 1583, § 1 (part), 1992) 3.23.150 De posit of Proce e ds. The cash or proc eeds collec ted purs uant to this chapter s hall be depos ited in the fund out of whic h the expenses of preparation and printing of the plans and specific ations , es timates of cost and public ation of notic e are paid. (Ord. 1583, § 1 (part), 1992) 3.23.160 Additional Work by City Authority. Notwiths tanding the provisions of this c hapter, if the Direc tor of Public W orks determ ines that additional or extra work on any public works project is required to c omplete the projec t as originally intended, the Director of Public W orks is authoriz ed to approve contrac t c hange orders for additional or extra work on any public works c ontrac t without com plying with the bidding requirem ents es tablis hed in this c hapter, provided that eac h individual c ontrac t c hange order does not exceed the required dollar value for bidding es tablis hed by Section 22032 of the California Public Contract Code; and, further, that the aggregate total of all s uc h c ontrac t c hange orders for any one public works project does not exc eed the value of the project contingenc y establis hed for the projec t at the tim e the contract is awarded. Under this s ame authority, the Direc tor of Public W orks is authorized to approve extensions of tim e to public works c ontracts up to a m axim um of sixty calendar days . (Ord. 1900, § 1, 2002) 3.23.170 De le tions of Work by City Authority. The City res erves the right to delete up to twenty-five perc ent of the work on a public works c ontract where s uc h deletions would advance the projec t as originally c ontemplated. (Ord. 1583, § 1 (part), 1992) CITY OF CUPERTINO PURCHASING POLICY Effective September 1, 2013 Type Form Category Process Authorization General Supplies (Operating or maintenance supplies and materials, general meeting expenses, licenses, subscriptions, memberships, mileage reimbursements, tools, furniture, equipment.) General Services (Operating or maintenance services, recurring services, essential or emergency services or purchases from public agencies.) Petty Cash Voucher (up to $75); or Check Request; or Partial Receipt of Purchase Order with or without contract Up to $45,000 No specific requirements. Muni Code Sec 3.22.060A Form authorized by designated supervisor. Note: Services of temporary personnel authorized by HR Mgr. $45,001 to $175,000 Informal competitive bidding process or RFP. Code Sec 3.22.060D Form authorized by department head. Note: Services of temporary personnel authorized by HR Mgr. Greater than $175,000 Formal competitive bidding or RFP with approval from the City Manager. Code Sec 3.22.060B. Form authorized by department head. Contract approved by City Manager/City Council. Utility Payments Invoices Summarized and paid by Finance; copies sent to PW Supervisor. Payment authorized by PW Supervisor (may be after payment process). CITY OF CUPERTINO PURCHASING POLICY Effective September 1, 2013 Type Form Category Process Authorization Construction Contracts Contract; Construction documents and specifications approved by Dir. of Public Works or his designee Up to $45,000 No bidding required. Code Sec 3.23.130D Contract authorized by designated supervisor $45,001 to $175,000 Informal competitive bidding process. Code Sec 3.23.120 Contract authorized by department head. Greater than $175,000 Formal competitive bidding approved by Department Head. Formal construction documents approved by Dir. of Public Works. Code Sec 3.23.030 through 3.23.120 Contract approved by City Manager/City Council. Professional Services (including but not limited to lawyers, architects, engineers, land surveyors, artists and accountants) Petty Cash Voucher (up to $75); or Check Request; or Partial Receipt of Purchase Order with or without contract Up to $45,000 No bidding required. Code Sec 3.22.070D and 3.23.130A Form authorized by designated supervisor. $45,001 to $175,000 No bidding required. Code Sec 3.22.070D and 3.23.130A Form authorized by department head. OR from another Public Agency created under California or US Gov’t laws Greater than $175,000 No bidding required. Code Sec 3.22.070D and 3.23.130A Form authorized by department head. Contract approved by City Manager/City Council. Expense Reimbursements and Advance Payment Petty Cash Voucher (up to $75); or Check Request; or Reimbursement of Expenses Any amount See Administrative Procedure I-12 and Unrepresented Employees’ Compensation Program Policy No. 3 Form authorized by designated supervisor. Educational Reimbursements Request for Educational Reimbursement of Expenses Up to $1,200 per year See Administrative Procedure II-2; Memorandum of Understandings with CEA and OE3 Authorized by Human Resources and department head. G:\Finance\Procedures and Policies\Purchasing Policy Effective 9-1-13.docx