§ 407. Formal contract and purchase order; general requirements for competitive process.
A.
Supplies, services, and information technology systems shall be purchased by formal written contract when: 1. the expected cost of the acquisition is greater than One Hundred Thousand Dollars ($100,000.00); and 2. the best interests of the City will be served and the City's objectives will be met by requiring contractual provisions which address critical issues including, but not limited to: detailed performance requirements; insurance requirements; bonding requirements; warranty requirements; indemnity obligations, compliance with law requirements; contract renewal options; awards to primary and secondary suppliers; price escalation; audit rights; and termination.
B.
Supplies, services, and information technology systems may be purchased by formal written contract when: 1. the expected cost of the acquisition is less than One Hundred Thousand Dollars ($100,000.00); and 2. the best interests of the City will be served and the City's objectives will be met by requiring contractual provisions which address critical issues including, but not limited to: detailed performance requirements; insurance requirements; bonding requirements; warranty requirements; indemnity obligations, compliance with law requirements; contract renewal options; awards to primary and secondary suppliers; price escalation; audit rights; and termination.
C.
When a contract is not required as detailed herein, a purchase order may be used in lieu of, or in addition to, a formal written contract, when the best interests of the City will be met.
D.
General requirements for a competitive process are as follows.
1.
Notice Inviting Bids.
a.
Advertisement. For all competitive processes, except the request for quote, the Agent, or his designee, shall cause to be published notice inviting bids in at least one (1) newspaper or publication of general circulation in the City of Tulsa, and shall post such notice online at least five (5) days preceding the last day set for the receipt of bids or the auction. Nothing in this section shall be a limitation on advertising through additional methods, including but not limited to other relevant publications or websites, when the Agent, or his designee, determines that it is advantageous to do so. The notice required herein shall include a general description of the services required or the articles to be purchased or sold and shall state where bid forms and specifications may be obtained and the time and place for opening bids or the public auction.
b.
Bidder Database. The Agent, or his designee, shall also notify all prospective bidders who have requested their names to be added to the bidder database, and who have expressed interest in the commodity code(s) or items being purchased by sending a copy of such notice to acquaint them with the proposed purchase or sale.
2.
Bid Deposits. When deemed necessary by the Agent, or his designee. Bid deposits shall be prescribed in the public notices inviting bids. Unsuccessful bidders shall be entitled to return of surety where it has been required; provided, that City may hold the bid deposit of the second lowest bidder for up to ten (10) days after the contract award to the lowest bidder.
3.
Bid Opening Procedures. The procedures in this section apply to all competitive processes except for the informal request for quote.
a.
Sealed. Except in the case of public auctions or competitive processes conducted online, bids shall be submitted sealed to the office of the City Clerk and shall be identified as bids. Bids submitted online shall be kept confidential, secure, and "unopened" until the time and date of the public bid opening, at which time the contents of such bids will be revealed as if they were hard-copy bids.
b.
Opening. Bids for supplies, services, and information technology systems shall be opened in public at the time and place stated in the public notices.
c.
Tabulation. A tabulation of all bids received shall be made by the Agent, or his designee, and the tabulation shall be available for public inspection in the office of the City Clerk, or online, at all reasonable times. For invitations for sealed bid, these tabulations shall include price information from each bid. For other competitive processes, tabulations shall only be required to include the bidders' company names.
4.
Rejection of Bids. The Mayor shall have the authority to reject any and all bids and parts of any or all bids when in the best interest of the City.
5.
Nonresponsive Bid. Bids which are nonresponsive to the specifications shall not be considered for recommendation of award of a contract. Reasons for a bid to be nonresponsive to the specifications include, but are not limited to:
a.
Bid is not signed;
b.
Bid does not include a bid deposit, if required;
c.
Bid does not include an executed non-collusion affidavit; or
d.
Bid does not meet specifications and requirements in some material way.
6.
Award of Contract.
a.
Authority in the Mayor. The Mayor shall have the authority to award contracts and/or purchase orders within the purview of this chapter. No award shall be made to a bidder if:
1.
Bidder is currently disqualified from awards by the Agent;
2.
Bidder is in default on a contract and/or purchase order with the City;
3.
Bidder is in default on the payment of taxes, assessments, license fees or other monies due the City;
4.
Bidder did not attend a mandatory pre-bid conference;
b.
Revocation of Award. The Mayor may revoke the award of a bid for reasons including but not limited to:
1.
A properly signed contract is not submitted to the City within the time specified in the notice of recommendation of award by the Agent, or his designee;
2.
Bonds, proof of insurance, affidavits or other documents as required by the written specifications are not submitted to the City within the time specified in the notice of recommendation of award by the Agent, or his designee;
3.
Bidder fails to submit, upon request, written agreement to comply with the provisions of Title 5 of the Tulsa Revised Ordinances relating to equal employment opportunity and the utilization of minority owned, female owned, and disadvantaged business enterprises.
c.
Forfeit of Bid Deposit. The bid deposit, if required, shall be forfeited when an award is revoked by the Mayor pursuant to this section.
d.
Lowest Secure Bidder. Contracts or purchase orders by competitive process shall be awarded to the lowest secure bidder meeting specifications. Bid specifications may include a point system for evaluating the lowest secure bid. In determining "lowest secure bidder," in addition to price, the following factors may be considered:
1.
The ability, capacity and skill of the bidder to perform the contract or provide the service required,
2.
Whether the bidder can perform the contract or provide the service promptly or within the time specified, without delay or interference,
3.
The character, integrity, reputation, judgment, experience and efficiency of the bidder,
4.
The quality of performance by bidder of previous contracts or services,
5.
The previous and existing compliance by the bidder with laws and ordinances relating to the contract or service,
6.
The sufficiency of the financial resources and ability of the bidder to perform the contract or provide the service,
7.
The quality, availability and adaptability of the supplies, services, and information technology systems offered by bidder to the particular use required,
8.
The ability of the bidder to provide future maintenance, support and service related to bidder's offer,
9.
Where an earlier delivery date would be of great benefit to the using department, the date and terms of delivery may be considered in the bid award,
10.
The degree to which the bid submitted is complete, clear, and addresses the requirements in the bid specifications,
11.
If a point system has been utilized in the bid specifications, the number of points earned by the bidder.
12.
The total cost of ownership, including the costs of supplies, materials, maintenance, and support necessary to perform the item's intended function.
13.
If an evaluation committee performs the evaluation, the recommendation of such committee.
e.
Award to Other than Lowest Secure Bidder. For all competitive processes except for the informal request for quote, when the bid award is not given to the lowest secure bidder meeting specifications, such award must be approved by the Council and a full and complete statement of reasons for awarding to one (1) other than the lowest secure bidder shall be entered in the minutes of the Council.
f.
Tie Bids. If two (2) or more bids are received which are equal in the amount bid, quality and service, the contract shall be awarded to one (1) of the equal bidders as follows:
1.
To the bidder with an office within the City limits of the City of Tulsa if only one (1) bidder maintains an office within the City limits of the City of Tulsa;
2.
If no bidder maintains an office within the City limits of the City of Tulsa, to the bidder with an office in the state of Oklahoma if only one (1) bidder maintains an office in the state of Oklahoma;
3.
If neither section above is determinative, by the drawing of lots in a public meeting.
g.
Bonds. The Agent, or his designee, shall have the authority to require that the successful bidder provide a performance bond, and/or other types of bonds, in such amount as he shall find reasonably necessary to protect the best interests of the City which requirement, if any, shall be included in the written specifications.
h.
Insurance. The Agent, or his designee, shall have the authority to require that the successful bidder submit proof of insurance in such amount as he shall find reasonably necessary to protect the best interest of the City, which requirement, if any, shall be included in the written specifications.
i.
Splitting Acquisitions. No acquisition shall be made upon a requisition, or petty expenditure, which divides a known quantity or fails to consolidate a known quantity for the purpose of evading the requirement of a competitive process.
(Ord. No. 22529, § 1, 9-29-2011)