HomeMy Public PortalAbout09845 O R D I N A N C E NO. 9845
AN ORDINANCE, repealing Ordinance No. 9673 relating to the methods for
purchase of supplies, materials and certain services other than contracts for personal
services, contracts for insurance, and contracts for construction; and enacting in lieu
thereof a new ordinance relating to the same subject matter providing for the methods for
purchase of supplies, materials and certain services to be known as the "Purchasing Code"
of The Metropolitan St. Louis Sewer District.
BE IT ORDAINED BY THE BOARD OF TRUSTEES OF THE
METROPOLITAN ST. LOUIS SEWER DISTRICT:
Section One. Ordinance No. 9673 adopted September 14, 1995, and
Ordinance No. 7411, adopted March 23, 1988, is hereby repealed, provided, however, that
any legal rights, duties, obligations or relationships established by such ordinances shall
not be altered or extinguished.
Section Two. This ordinance shall be known and be cited as the "Purchasing
Code" of The Metropolitan St. Louis Sewer District.
Section Three. For the purposes of this ordinance, the following terms,
phrases, words and their derivations shall have the meaning given therein. When not
inconsistent with the context, words used in the present tense include the future tense;
words in the plural number include the singular number and words in the singular number
include the plural number. The word "shall" as used in this ordinance is always mandatory
and not merely directory.
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(1) "CONTRACTUAL SERVICES" shall mean and include all telephone, gas,
water, electric, light and power services; janitorial services; any and all printing, binding and
publication of stationery, forms, laws, journals and report; and the rental repair or
maintenance of equipment, machinery and other District owned personal property. The
term shall not include professional and other contractual services which are in their nature
unique and not subject to competition. Contractual services also shall not include
insurance, construction contracts, and personal services.
(2) "DISTRICT" is The Metropolitan St. Louis Sewer District.
(3) "EMERGENCY" is a situation or condition which may vitally affect the life,
health, welfare, or convenience of citizens, and/or the employees of the District. An
emergency shall also include those situations or conditions where the supplies, materials,
equipment, property, and real property of the District are likely to be lost or severely
damaged.
(4) "IMMEDIATE NEED" is a situation or condition which does not qualify as
an EMERGENCY, however, the failure to take prompt action may result in an unnecessary
delay which could cause the situation or condition to become an EMERGENCY.
Generally, this shall mean that the supplies, property, and/or services are required in less
than 14 days.
(5) "PURCHASING MANAGER" is the head of the Purchasing Division of
The Metropolitan St. Louis Sewer District and is appointed by the Director of Finance of
The Metropolitan St. Louis Sewer District.
(6) "RESPONSIBLE" shall mean the contractor has the technical expertise,
manufacturing capacity, product quality, and financial ability to accomplish the
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contemplated procurement. The implications of the term responsible are fully developed in
Section Nine, Sub-Paragraph 5.
(7) "RESPONSIVE" shall mean the company's bid was received prior to the
established bid opening time and the bid is in full compliance with The Metropolitan St.
Louis Sewer District bid specifications.
(8) "SUPPLIES" shall mean and include all materials and equipment.
(9) "USING AGENCY" shall be construed to mean any and all departments,
divisions, sections, boards, commissions or other units in the District using supplies or
procuring contractual services and derive their support wholly, or in part, from funds of the
District.
Section Four. The Purchasing Manager shall be the head, and have general
supervision, of Purchasing. Except as otherwise provided herein, he shall perform all
duties prescribed by this ordinance.
Section Five. Except as otherwise provided herein, by law or ordinance, it
shall be the Purchasing Manager's duty: To purchase or contract for all supplies and con-
tractual services needed by any using agency in accordance with purchasing procedures
as prescribed by this ordinance, such rules and regulations as the Purchasing Manager
shall adopt for the internal management and operation of the Purchasing Division, and
such other rules and regulations as may be prescribed by the Director of Finance and
Board of Trustees. Except as may be otherwise provided for herein or by law or ordinance,
the Director of Finance and Purchasing Manager shall have authority to negotiate all
purchases for using agencies. With the exception of construction, insurance, and personal
service contracts, it shall be unlawful for any District officer to enter into any contract within
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the purview of this ordinance other than through the Purchasing Division and purchases
ordered or contract made contrary to the provisions hereof shall not be approved and the
District shall not be bound thereby.
Section Six. In addition to the purchasing authority conferred in Section Five
and in addition to any other powers and duties conferred by this ordinance, the Purchasing
Manager shall:
(a) Act to procure for the District a suitable quality in supplies and contractual
services at the least expense to the District, utilizing life-cycle cost and/or other reasonable
techniques for measuring a system's total cost effectiveness.
(b) Discourage collusive or restrictive bidding and endeavor to obtain as full
and open competition as possible on all purchases.
(c) Establish, and amend when necessary, all rules and regulations
authorized by this ordinance and any other necessary to its operation.
(d) Keep informed of current developments in the field of purchasing, prices,
market conditions and new products, and secure for the District the benefits of research
done in the field of purchasing by other governmental jurisdictions, national technical
associations, trade associations having national recognition and by private business and
organizations.
(e) Prescribe and maintain such forms as he shall find reasonably necessary
to the operation of this ordinance.
(f) Prepare and adopt a standard purchasing procedure for using agencies
and supplier.
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(g) Prepare, adopt, and maintain a vendors' catalog file. Said catalog shall
be filed according to materials and shall contain descriptions of vendors' commodities,
prices, and discounts.
(h) Exploit the possibilities of buying "in bulk" so as to take full advantage of
discounts.
(i) Act so as to procure for the District all federal, state, and local tax
exemptions to which it is entitled.
Section Seven. All using agencies, either by or with the authorization of the
head of the department or office under which the using agency operates, shall file with the
Purchasing Division detailed requisitions or estimates of their requirements in supplies and
contractual services in such manner, at such times, and for such future periods as the
Purchasing Manager shall prescribe. A using agency shall not be prevented from filing, in
the same manner, with the Purchasing Division at any time a requisition or estimate for any
supplies and contractual services, the need for which was not foreseen when the detailed
estimates were filed. The Purchasing Division shall examine each requisition or estimate
and shall have the authority to revise it as to quality, quantity, or estimated cost, except
where the using agency shall have the specific power and duty as otherwise provided by
law or ordinance to determine the quality, quantity, and specifications or cost of any
supplies; but revision as to quality shall be in accordance with the standards and
specifications established in The Metropolitan St. Louis Sewer District Purchasing
Procedure pursuant to this ordinance.
Section Eight. The Purchasing Division shall not issue any order for delivery
on a contract or open market purchase until the Director of Finance shall have certified that
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there is to the credit of the using agency or agencies concerned a sufficient unencumbered
appropriation balance in excess of all unpaid obligations to defray the amount of such
order.
Section Nine. Except as otherwise provided herein, all supplies and
contractual services, when the estimated cost thereof shall exceed Twenty-five Thousand
Dollars ($25,000), shall be purchased by formal written contract from the lowest responsive
and responsible bidder, after due notice inviting proposals:
(1) Notice inviting bids shall be published at least once in one or more
newspapers of general circulation in the District, which notice shall be published at least
seven (7) days preceding the day set for receipt of proposals. The newspaper notice re-
quired herein shall include a general description of the articles to be purchased or sold;
shall state where bid blanks and specifications may be secured, and the time and place for
opening bids. The Purchasing Division shall also solicit sealed bids from all responsible
prospective suppliers or purchasers, located in the District's operating area, who have
requested their names to be added to a "Bidders' List", which the Purchasing Division shall
maintain by sending them a copy of such notice as will acquaint them with the proposed
purchase or sale, at least seven (7) days preceding the day set for receipt of proposals.
(2) When deemed necessary by the Purchasing Manager, surety bid bonds
or cash deposits of five percent (5%) of the total dollar amount bid shall be prescribed in
the public notice inviting bids. Unsuccessful bidders shall be entitled to the return of their
surety bid bonds or cash deposits. A successful bidder shall forfeit any deposit or surety
required by the Purchasing Manager upon failure on his part to enter into a contract within
ten (10) days after the award.
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(3) All bids shall be submitted sealed to the Purchasing Division and shall be
identified as bids on the envelope. Bids shall be opened in public at the location and on
the day and at the time stated in the public notices. The Purchasing Division shall tabulate
all bids received on a form specially designed for the purpose, and such tabulation and
bids shall be available for inspection in the Purchasing Division for at least five (5) days
after the bid opening. The Purchasing Division shall forward the tabulation to the using
agency, which shall return the bids with recommendations to the Purchasing Division within
the shortest practicable time.
(4) The Purchasing Manager and the Director of Finance shall have the
authority to reject all bids, parts of all bids, or all bids for any one or more supplies or
contractual services included in the proposed contract, when the public interest will be
served thereby, and a statement to that effect will be included in the information for
bidders.
(5) The Purchasing Manager and the Director of Finance shall have the
authority to award contracts within the purview of this ordinance. Contracts shall be
awarded to the lowest responsive and responsible bidder. In determining "lowest
responsible bidder", in addition to price, the following may be considered: The ability,
capacity, or skill of the bidder to perform the contract or provide the service promptly or
within the time specified, without delay or interference; the character, integrity, reputation,
judgment, experience, and efficiency of the bidder; the quality of performance or previous
contracts or services; the previous and existing compliance by the bidder with laws and
ordinances relating to the contract or service; the sufficiency of the financial resources and
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ability of the bidder to perform the contract or provide the services; the quality, availability
and adaptability of the supplies, or contractual services to the particular use required; the
ability of the bidder to provide future maintenance and service for the use of the subject of
the contract; and the number and scope of conditions attached to the bid. Bidders must
adhere to the letter and intent of the bid specifications; any deviation may result in the
bidder being declared non-responsive. Normally, awards will be made to the lowest
responsive and responsible bidder; however, the cost of operating and supporting a system
or major item of equipment over its useful life is substantial. In many cases, life cycle
operating and maintenance costs are greater than acquisition costs. Using agencies shall
assist the Purchasing Division in the evaluation process by giving proper consideration to
those systems or equipments that will result in the lowest life cycle cost to the District.
When the award is not given to the lowest bidder, a full and complete statement of the
reasons for placing the order elsewhere shall be prepared by the Purchasing Manager with
the written concurrence of the District's legal counsel and filed with the other papers
relating to the transaction. If all bids received are for the same total amount or unit price,
the Purchasing Division shall re-advertise for bids, unless the public interest will not permit
this delay. In such case, the Purchasing Manager shall award the contract to one of the tie
bidders by drawing lots in public, or by purchasing the supplies or contractual services in
the open market, provided the price paid therefor shall not exceed the lowest contract bid
price submitted for the same supplies or contractual services. If two or more bidders tie for
low bid and elements of time or responsibility of the bidders are not sufficient to justify the
award to one of the tie bidders, the Purchasing Manager shall award the contract to one of
the tie bidders by drawing lots in public.
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(6) No contract or purchase shall be subdivided to avoid the requirements of
competitive bidding.
Section Ten. All purchases of supplies and contractual services of less than
the estimated value of Twenty-five Thousand Dollars ($25,000.00) may be made in the
open market without newspaper advertisement and without observing the procedure
prescribed in Section Nine hereof for award of formal contracts.
(1) All open market purchases shall, wherever possible, be based on at least
three (3) competitive bids and shall be awarded to the lowest responsive and responsible
bidder in accordance with the standards set forth in Section Nine, Sub-Paragraph 5,
hereof. The Purchasing Manager shall solicit bids by direct mail, electronic mail, or by
telephone, and or by facsimile from prospective vendors. The Purchasing Manager shall
keep a record of all open requisitions and the bids submitted in competition thereon and
such record shall be open to public inspection.
(2) Purchases, in the amount of One Thousand Dollars( $1,000.00) or less,
may be directly made by the using agency on the District's Purchase Authorization Form.
(3) In case of an IMMEDIATE NEED which requires the immediate purchase
of supplies, equipment, or contractual services that are in excess of Twenty-five Thousand
Dollars ($25,000.00), and when there is not adequate time to adhere to the formal
procurement practice prescribed in Section Nine, the Director of Finance shall be
empowered to authorize the Purchasing Manager to secure by open market procedure, as
herein set forth, at the lowest possible price, any supplies or contractual services re-
gardless of the amount of the expenditure; provided, however, that the Director of Finance
shall certify that the account to be charged for said services or purchase has a sufficient
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unencumbered balance to pay the same in the appropriation account against which such
obligation is to be charged.
(4) A full report of the circumstances of such open market IMMEDIATE
NEED purchase, wherein the expenditure is in excess of Twenty-five Thousand Dollars
($25,000.00), shall be filed by the Purchasing Manager with the Director of Finance and
shall be entered in the minutes of the Board of Trustees and shall be open to public
inspection.
Section Eleven. Except as otherwise provided herein, any EMERGENCY
purchase over One Thousand Dollars ($1,000.00) cannot be made without first obtaining a
confirming purchase order number from the Purchasing Division. The requisition and a
copy of the delivery record, together with a full written report of the circumstances of the
emergency, shall be sent to the Purchasing Manager.
(1) In cases of EMERGENCY, when a confirming Purchase Order number
cannot be obtained from the Purchasing Division and where the immediate procurement of
any supplies, equipment, or contractual services is essential to prevent delays in the work
of any using agency which may vitally affect the life, health, welfare, or convenience of
citizens, and there is not sufficient time for the procedure set forth above to be followed,
the Purchasing Manager or the Director of Finance may authorize the head of any such
agency or his designee to purchase directly such supplies or contractual services. The
head of such using agency or his designee shall send to the Purchasing Manager a
requisition and a copy of the delivery record, together with a full written report of the
circumstances of the EMERGENCY. A report of any EMERGENCY purchase
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expenditures in excess of Twenty-five Thousand Dollars ($25,000.00) shall be filed by the
Manager with the Board of Trustees and Director of Finance as set forth above.
(2) The Purchasing Manager with the approval of the Director of Finance
shall prescribe by rules and regulations the procedure under which EMERGENCY
purchases by heads of using agencies may be made.
Section Twelve. All contracts for services and supplies, wherein the District is
a party, shall contain a non-discrimination in employment clause which shall provide that
the contractor in the performance of the contract will not discriminate against any employee
or applicant for employment because of race, creed, or religion, color, sex, or national
origin. Actions of the contractor shall include but not be limited to the following:
Employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff
or termination; rates or pay or other forms of compensation; and selection for training,
including apprenticeship. The Director of Legal Services shall draft an appropriate clause
for inclusion in all District contracts.
Section Thirteen. The Purchasing Manager shall have authority to execute
contracts for a period not to exceed one (1) year, subject to the provisions of this
ordinance, whereby the using agencies requisition and accept delivery of supplies and
equipment in small lots, to meet requirements as needed. The Purchasing Manager shall
have authority to charge the cost of such contract against the appropriations of such using
agencies. The Purchasing Manager shall prescribe by rules and regulations the procedure
under which such requisition may be made by the heads of using agencies.
Section Fourteen.
(a) The Director of Finance can authorize sole source procurement of an item
over Twenty-five Thousand Dollars ($25,000.00) upon presentation of sufficient
documentation to the effect that a part or component for an existing item can only be
procured from the original manufacturer or his authorized regional representative.
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(b) The Director of Finance may also authorize sole source procurement
when the contemplated acquisition is for technical services in connection with the
assembly, installation, or servicing of equipment of a highly technical or specialized nature.
(c) When approved by the Director of Finance, the Purchasing Manager may
purchase on a sole source basis supplies, equipment, and or services to test a product, or
when the services of a recognized expert are required, or when such a procurement would
be in the best interest of the District.
Section Fifteen.
(a) Except as otherwise provided herein, the Purchasing Division shall
inspect, or supervise the inspection of, all deliveries of supplies or contractual services to
determine their conformance with the specifications set forth in the order or contract. The
Purchasing Manager shall have the authority to delegate to using agencies having the staff
and facilities for adequate inspection to inspect all deliveries made to such using agencies
under rules and regulations which the Purchasing Manager shall prescribe.
(b) The Purchasing Manager shall have the authority to require chemical and
physical tests of samples submitted with bids and samples of deliveries which are
necessary to determine their quality and conformance with the specifications. In the
performance of such tests, the Purchasing Manager shall have the authority to make use
of laboratory facilities of the District or of any outside laboratory.
Section Sixteen.
(a) All using agencies shall submit to the Purchasing Manager, at such times
and in such form as he shall prescribe, reports showing stocks of all supplies which are no
longer used or which have become obsolete, worn out or scrapped. The Purchasing
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Manager shall have the authority to transfer surplus stock to other agencies and to sell all
supplies which have become unsuitable for public use or to exchange the same for, or
trade in the same on, new supplies. Sales under this Section shall be made to the highest
responsible bidder and in conformance with Sections Nine, Ten and Eleven hereof,
whichever is applicable.
(b) The Purchasing Manager shall make necessary arrangements to keep
the Director of Finance informed of all transfers, sales, exchanges, and trade-ins so that
the Director of Finance's inventory record may be kept current.
Section Seventeen.
(a) Personal property may be sold or donated only after it has been
determined by the respective department head to be surplus to the District's needs.
Property will not be sold or donated until each department, in turn, has screened the
property and declared it excess to its current and immediately foreseeable needs.
Additionally, all property with an estimated disposal value in excess of $2,000.00 will not be
sold or donated without the review and approval of the Executive Director.
(b) Surplus inventory shall be offered for sale on a competitive basis by
whatever means the Purchasing Manager believes will result in the best return to the
District. Directors shall have all MSD identification tags and markings removed prior to
disposal and shall report the disposition to the Accounting Division.
(c) If approved by the Board of Trustees, property may be donated to political
divisions or subdivisions of the State of Missouri, Public School Districts, Federal
Educational Institutions, Federal Public Health and Federal Civil Defense Institutions and
organizations and other non-profit philanthropic private organizations.
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Section Eighteen. The Purchasing Manager shall have the authority, with the
approval of the Director of Finance, to join with any public body or agency, private
association, or educational institution in the cooperative purchasing of any supplies,
materials, equipment or contractual services when the best interest of the District would be
served thereby.
The foregoing Ordinance was adopted April 18, 1996.