HomeMy WebLinkAboutOCSD-44 REPEALED 6/1/15
by OCSD-47
ORDINANCE NO. OCSD-44
AN ORDINANCE OF THE BOARD OF DIRECTORS OF
ORANGE COUNTY SANITATION DISTRICT
ESTABLISHING REQUIREMENTS AND PROCEDURES
FOR THE PURCHASE OF GOODS, SERVICES, AND
PUBLIC WORKS PROJECTS
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Contents
Article 1. General Provisions .......................................................................................4
Section 1.01. Purpose and Scope. ...................................................................... 4
Section1.02. Title................................................................................................4
Section 1.03. Definitions......................................................................................4
Section 1.04. Rules and Guidelines.....................................................................4
Section 1.05. Budgeted Funds ............................................................................5
Section 1.06. The Purchasing Manager ..............................................................5
Section 1.07. Exceptions to Competitive Selection.............................................. 5
Section 1.08. Evaluation Committees..................................................................6
Section 1.09. Severability....................................................................................6
Article 2. Goods and Services .....................................................................................6
Section 2.01. Purpose and Scope .......................................................................6
Section 2.02. Selection Process..........................................................................7
Section2.03. Exceptions.....................................................................................7
Article 3. Professional Services...................................................................................9
Section 3.01. Purpose and Scope .......................................................................9
Section 3.02. Selection Process........................................................................ 10
Section 3.03. Exceptions................................................................................... 11
Article 4. Professional Design Services..................................................................... 11
Section 4.01. Purpose and Scope...................................................................... 11
Section 4.02. Selection Process........................................................................ 11
Section4.03. Exceptions................................................................................... 15
Article 5. Public Works Projects................................................................................ 15
Section 5.01. Purpose and Scope..................................................................... 15
Section 5.02. Selection Process........................................................................ 16
Section 5.03. Exceptions................................................................................... 19
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Article6. Protests ......................................................................................................20
Section 6.01. Solicitation Protests .....................................................................20
Section 6.02. Award Protests ............................................................................21
Section 6.03. Delay in Award.............................................................................21
Section 6.04. Remedies.....................................................................................22
Section 6.05. Public Documents........................................................................22
Article 7. Delegation of Authority to Award Contracts................................................23
Section 7.01. Award Authorization.....................................................................23
Section 7.02. Task Orders.................................................................................24
Section 7.03. Time Extensions to Public Works Projects. .................................24
Article8. Ethics..........................................................................................................24
Section 8.01. Unlawful Consideration Prohibited...............................................24
Section 8.02. Conflicts of Interest. .....................................................................25
Article 9. Miscellaneous.............................................................................................25
Section 9.01. Noncompliance............................................................................25
Section 9.02. Effective Date. .............................................................................25
Section 9.03. Repeal of Resolutios No. OCSD 07-04........................................25
Section 10.01. Certification and Publication.............................................. 26
AppendixA Definitions.................................................................................................. 32
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NOW, THEREFORE, the Board of Directors of the Orange County Sanitation District
does hereby ORDAIN:
Article 1. General Provisions
Section 1.01. Purpose and Scope
A. Purpose. This Ordinance is intended to:
(1) Comply with certain provisions of state law requiring the District to adopt
written purchasing procedures;
(2) Ensure that the District complies with state law governing the award of
Contracts for Goods, Services, and Public Works Projects;
(3) Establish procedures to ensure that the District obtains quality goods
and competent services at the best price and/or the best value;
(4) Delegate certain spending authority to District employees in the interest
of efficient administration;
(5) Ensure that purchasing decisions are transparent for the public; and
(6) Ensure that Contracts are awarded through a process that is fair to
prospective Contractors and in the best interests of the District.
B. Scope.
This Ordinance governs the purchase of Goods, Services and the award of
Contracts for Public Works Projects.
Section 1.02. Title
This Ordinance may be referred to as the DistricPs "Purchasing Ordinance."
Section 1.03. Definitions
As used throughout this Ordinance, the terms set forth in Appendix A shall have
the meanings as defined therein, unless the context in which they are used clearly
requires a different meaning, or a different definition is prescribed for a particular Article
or provision.
Section 1.04. Rules and Guidelines
The General Manager shall implement the requirements of this Ordinance
through policies, rules, and guidelines governing the purchase of Goods and Services,
and the award of Contracts for Public Works Projects.
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Section 1.05. Budgeted Funds
No Contract for the purchase of Goods, Services, or Public Works Projects shall
be awarded unless and until the General Manager identifies funds in the current budget
that are allocated to the purchase.
Section 1.06. The Purchasing Manager
A. Duties. Consistent with the provisions of this Ordinance, the Purchasing
Manager shall:
(1) Procure, or supervise the procurement of, all Goods, Services, and
Public Works Projects purchased by the District; and
(2) Supervise and control inventories of supplies and materials.
B. Requests for Procurement. When a Department desires to procure Goods
and/or Services, the Department Director shall file a written Requisition, in
advance, with the Purchasing Manager. The Requisition shall describe the
Goods and/or Services to be acquired.
Section 1.07. Exceptions to Competitive Selection
Depending on the nature of the Contract and/or the circumstances, certain
provisions of this Ordinance require that Contracts for Goods and/or Services be
awarded based on Competitive Sealed Bids or Competitive Sealed Proposals. This
Section 1.07 establishes certain general exceptions to competitive selection
requirements for the procurement of Goods and Services. The exceptions set forth in
this Section 1.07 do not apply to the award of Contracts for the construction of Public
Works Projects.
A. Sole Source Procurement. Notwithstanding any other provision of this
Ordinance, a Contract for Goods and/or Services may be awarded based on
Sole Source Procurement, without soliciting bids or proposals as might
otherwise be required, if the General Manager or his designee determines in
writing that it is in the best interest of the District to award the Contract because
the Goods and/or Services are (1) of a unique nature based on their quality,
durability, availability, fitness or qualifications for a particular use; or (2) only
available from one source.
B. Emergency Procurement. Notwithstanding any other provision of this
Ordinance, a Contract for Goods and/or Services may be awarded through
Negotiated Procurement, without soliciting bids or proposals as might otherwise
be required, if the General Manager or his designee determines in writing that
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the District urgently needs the Goods and/or Services in order to respond
effectively to an emergency. For purposes of this Section, emergency
procurements are those purchases that are required to prevent immediate
interruption or cessation of necessary services or to safeguard life, property, or
the public health and welfare. In addition, emergency procurements as used in
this Section also include critical time sensitive purchases where time is of the
essence, and the District does not have sufficient time to solicit bids or
proposals. For emergency procurements greater than $100,000, the General
Manager shall obtain the concurrence of the Chair of the District's Board of
Directors or, if the Chair is unavailable, the Vice Chair, and such action shall be
ratified by the Board of Directors at its next regular meeting.
Section 1.08. Evaluation Committees
Evaluation committees convened in connection with procurements under this
Ordinance shall generally be composed of District employees. In exceptional
circumstances, however, the General Manager may appoint one or more
persons not employed by the District to an evaluation committee if the General
Manager determines that (1) evaluating proposals in connection with a
particular procurement requires specialized expertise not available among
District employees; (2) the procurement will impact another agency, and that
agency desires to place a representative on the evaluation committee; or (3) it
is otherwise in the District's interest to do so.
Section 1.09. Severability
If any provision of this Ordinance or any application thereof to any person or
circumstance, is held invalid, such invalidity shall not affect any other provision
of this Ordinance or application to any person or circumstance which can be
given effect without the invalid provision or application. The provisions of this
Ordinance are declared to be severable.
Article 2. Goods and Services
Section 2.01. Purpose and Scope
A. Purpose. California Government Code Sections 54202 et seq. requires the
District to adopt written policies and procedures, including bidding
requirements, governing the purchase of Goods and Services. This Article is
intended to comply with Section 54202.
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B. Scope. The provisions of this Article 2 apply to Contracts for the purchase of
Goods and Services other than Contracts for Professional Services (governed
by Article 3), Professional Design Services (governed by Article 4), and
Contracts for Public Works Projects (governed by Article 5).
Section 2.02. Selection Process
A. Subject to the exceptions set forth in Section 2.03, the award of Contracts for
the purchase of Goods and Services shall be shall be based on Competitive
Sealed Bids. For each procurement, the Purchasing Manager shall:
(1) Publish a Notice Inviting Bids that contains (a) a description of the
Goods and/or Services required, (b) a description of the selection
process, (c) bidder's security requirement, if applicable, (d) performance
bond requirements, if applicable, and (a) such provisions, terms, and
conditions, consistent with this Ordinance, that the Purchasing Manager
determines are necessary, desirable, and/or advantageous to the
District;
(2) Open the bids publicly at the time and place designated in the Notice
Inviting Bids, and record the amount of each bid; and
(3) Determine whether the bids are responsive to the Notice Inviting Bids.
B. After the bids are opened, one of the following actions may be taken:
(1)Award the Contract to the lowest Responsive and Responsible Bidder;
(2) Reject any and all bids presented and/or re-advertise the bid; or
(3) Declare that the Goods and/or Services may be acquired at a lower cost
by negotiation in the open market and authorize the procurement in that
manner.
C. If two or more Responsible Bidders submit the same lowest bid, the District
may, in its discretion, accept either bid or a lower bid, if any, as may be
obtained from one of the bidders through negotiation.
Section 2.03. Exceptions
A. Small Procurements.
(1) Procurements of $5,000 or Less. Contracts subject to this Article 2 with
an estimated value of $5,000 or less may be awarded without
Competitive Sealed Bids if the Purchasing Manager determines that a
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Competitive Sealed Bids process would not result in a lower overall cost
to the District.
(2) Procurements of$50,000 or Less. Contracts subject to this Article 2 with
an estimated value of $50,000 or less may be awarded by (a) soliciting
at least three bids from identified vendors, and (b) awarding the Contract
to the lowest Responsive and Responsible Bidder. If the Purchasing
Manager cannot obtain at least three bids, the Contract may be awarded
to the lowest Responsive and Responsible Bidder as long as the
Purchasing Manager determines that the bid amount is fair and
reasonable.
(3) Piecemealing Prohibited. Procurements shall not be artificially divided
into different individual Contracts so as to keep each Contract amount
below one of the monetary thresholds set forth in this Part A.
B. Cooperative Purchases. When another public agency or government
purchasing cooperative organization has awarded a Contract for Goods and/or
Services based on Competitive Sealed Bids or Competitive Sealed Proposals,
and the agency or organization followed a process substantially similar to the
process described in Section 2.02, the District may acquire Goods and/or
Services under that Contract without obtaining Competitive Sealed Bids or
Competitive Sealed Proposals. The District may enter into Contracts with other
public agencies, government purchasing cooperative organizations within the
United States, and/or Contractors for this purpose.
C. Multi-Step Sealed Bidding. If the Purchasing Manager determines that it is
impractical to initially prepare a description to support an award based on price,
a process involving multi-step sealed bids may be utilized. The multi-step
sealed bidding process involves (1) issuing an Invitation for Bids requesting the
submission of un-priced offers; and (2) issuing a subsequent Invitation for Bids
for priced offers from those vendors whose initial un-priced offers were deemed
qualified under the criteria set forth in the initial Invitation for Bids. Award under
this process shall be based on the lowest Responsive and Responsible Bidder.
D. Competitive Sealed Proposals. If the Purchasing Manager determines in
writing that the Competitive Sealed Bids procedure is not practical and/or not
advantageous for the District in a particular case, one or more Contracts
subject to this Article may be awarded based on Competitive Sealed Proposals.
The Competitive Sealed Proposals process may be used (1) for Goods and/or
Services that prove difficult to quantify or describe, where proposers are
provided the opportunity to offer different approaches or solutions; and/or(2)for
critical, routine or recurring goods or services that require consideration of the
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broadest possible range of competing services, products and materials
available, fitness of purpose, performance reliability, standardization, life cycle
costs, delivery timetables, reliable supply, support logistics, diversification of
available sources and/or other similar factors in addition to the price in the
award of these contracts. Award under this process shall be based upon
criteria that provide the best value for the District, wherein best value is not
solely determined by price.
E. Critical Time-Sensitive Procurements. The Purchasing Manager may purchase
Goods and/or Services through Negotiated Procurement if the Purchasing
Manager determines in writing that time is of the essence in the purchase of the
Goods and/or Services. For critical time-sensitive procurements valued at
more than $100,000, the General Manager shall obtain the concurrence of the
Chair of the District's Board of Directors or, if the Chair is unavailable, the Vice
Chair.
F. Renewals. The Purchasing Manager may exercise any options to renew as
may be included in existing Contracts without observing the bidding procedures
prescribed in Section 2.02.
G. Sole Source and Emergency Procurements. A Contract for the purchase of
Goods and/or Services may be awarded without soliciting competitive bids if
any of the exceptions set forth in Section 1.07 apply.
Article 3. Professional Services
Section 3.01. Purpose and Scope
A. Purpose. This Article 3 is intended to ensure that the District retains
Professional Services at fair and reasonable prices based on demonstrated
competence and the professional qualifications necessary for the satisfactory
performance of the services required.
B. Scope. The provisions of this Article 3 apply to the award of Contracts for
Professional Services and incidental services that members of a Professional
Service firm, and those in their employ, may logically perform. The provisions
of this Article 3 do not apply to the award of Contracts for Professional Design
Services (governed by Article 4).
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Section 3.02. Selection Process
Contracts for Professional Services shall be awarded pursuant to the following
procedures:
A. Reauest for Proposals. The Purchasing Manager shall prepare a Request for
Proposals in consultation with the Director of the Department requesting the
Procurement. The Purchasing Manager, with the concurrence of the Director of
the Department requesting the Procurement, may select a limited number of
Professional Service firms to receive the Request for Proposals. The
Purchasing Manager may issue a Request for Qualifications to prospective
Contractors as a means of identifying prospective recipients. The Purchasing
Manager may publish notice of the Request for Proposals or Request for
Qualifications.
B. Evaluation and Ranking of Proposals. All responsive proposals shall be
evaluated and ranked, from most qualified to least qualified, based on each
firm's demonstrated competence and professional qualifications necessary for
the satisfactory performance of the services required. The Purchasing Manager
may establish a committee to conduct the evaluation. The Purchasing
Manager or evaluation committee, if any, may discuss each proposal with its
author to seek clarification or otherwise obtain relevant information.
C. Negotiation of Contract. The Purchasing Manager shall negotiate a Contract
with the firm deemed to be most qualified at a price that the Purchasing
Manager, with the concurrence of the Director of the Department requesting the
Procurement, deems to be fair and reasonable. If the Purchasing Manager is
unable to negotiate a satisfactory Contract with the firm deemed to be most
qualified, the Purchasing Manager shall terminate negotiations with that firm
and negotiate with the firm deemed to be second most qualified. If those
negotiations fail, the Purchasing Manager shall negotiate with the third most
qualified firm, and so on, until an agreement is reached. If the Purchasing
Manager determines that it is in the best interest of the District to enter into
Contracts with two or more firms, the Purchasing Manager shall negotiate with
the desired number of firms starting with the most qualified. The Purchasing
Manager shall proceed down the list from most to least qualified until he or she
has concluded negotiations with the desired number of firms at fair and
reasonable prices.
D. The District may, in its sole discretion, reject all proposals.
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Section 3.03. Exceptions
A. Sole Source and Emergency Procurements. A Contract for Professional
Services may be awarded without soliciting Competitive Sealed Proposals if the
Purchasing Manager makes one of the determinations set forth in Section 1.07.
B. Contractors Reporting to the Board. The provisions of this Article 3 shall not
apply to the retention of Professional Service firms or individuals that are
selected by the Board and report directly to the Board. For such Contracts, the
Board shall determine the method of selection, consistent with the requirements
of applicable law.
Article 4. Professional Design Services
Section 4.01. Purpose and Scope
A. Purpose. This Article 4 is intended to ensure that the District retains
Professional Design Services at fair and reasonable prices based on
demonstrated competence and the professional qualifications necessary for the
satisfactory performance of the services required.
B. Scope. This Article 4 applies to the selection of Contractors for Professional
Design Services.
Section 4.02. Selection Process
A. Competitive Selection.
All Contracts estimated to be greater than $100,000 shall be awarded based on
Competitive Sealed Proposals. All Professional Design Services with an
estimated value of $100,000 or less shall have a separate selection process
based upon a master contract procedure whereby the District shall solicit
Competitive Sealed Proposals and award one or more master contracts not to
exceed $250,000 per year.
B. Contracts Greater Than $100,000
The requirements set forth in this Section 4.02, subsection B shall apply to the
purchase of Professional Design Services estimated to cost more than
$100,000.
(1) Each Director of a Department that utilizes Professional Design Services
shall file annually with the Purchasing Manager a list of specific
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disciplines for which Professional Design Service may be required. The
Purchasing Manager may from time to time prepare and distribute a
Request for Qualifications for each professional discipline or project
design service required by the District subject to this Part B. For each
Request for Qualifications issued, the Purchasing Manager shall
evaluate the responses, identify qualified firms, and maintain the
responses of the qualified firms on file to be used in the Request for
Proposals process described below.
(2) Reguest for Proposals. The Purchasing Manager, in consultation with
the Director of Engineering, shall issue a Request for Proposals for each
Professional Design Service requested.
(3) Content of Request for Proposals. Each Request for Proposals shall
describe the Professional Design Services required and the selection
process. Each Request for Proposals shall also set forth such
provisions, terms, and conditions, consistent with this Ordinance, that
the Purchasing Manager, in consultation with the Director of
Engineering, determines are necessary, desirable, and/or advantageous
to the District. Each Request for Proposals shall require that proposals
contain, at a minimum, the following information:
(a)The firm's qualifications for performing the proposed work.
(b)The firm's relevant experience and performance on similar projects.
(c) A fee proposal, based on the method of compensation specified in the
Request for Proposal, and an estimate of total fees. Commonly used
methods of compensation for Professional Design Service Contracts
include (i) cost plus fixed fee with a maximum amount; (ii) per diem
rate(s) with a maximum amount; (iii) a lump sum (fixed) fee; and (iv)
cost of time and materials.
(d)The firm's ability to complete the work within the time allotted.
(a)The personnel that will be assigned to the project.
(f) The estimated number of hours that each member of the team will
spend on the project.
(g) A statement that the firm's engagement for the project would not create
a conflict of interest.
(h)Any other information required to properly evaluate the firm's
qualifications and experience with similar projects.
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(i) Proposals for construction management services shall demonstrate
that the designated personnel have expertise and experience in
construction project design review and evaluation, construction
mobilization and supervision, bid evaluation, project scheduling, cost-
benefit analysis, claims review and negotiation, and general
management and administration of a construction project.
(4) Publication of Request for Proposals. The District shall publicize each
Request for Proposals by two or more of the following methods:
(a)Advertising in print or electronic media; and/or
(b) Mailing the Request for Proposals to each Contractor who has
submitted a Statement of Qualifications; and/or
(c) Mailing the Request for Proposals to each vendor registered in the
applicable category, based on the services identified in the Request for
Proposals, in the District's on-line vendor database; and/or
Multiple projects may be bundled into one Request for Proposals such
that multiple Contract awards may result from one Request for Proposals
and selection may be based upon specialized services.
(5) Staff Evaluation Committee. The Purchasing Manager shall convene an
evaluation committee to evaluate the proposals.
(a) Management and Composition. The Purchasing Manager shall serve
as chair of the evaluation committee. The Director of Engineering shall
appoint the other members of the committee.
(b) Ranking of Firms. All proposals shall be evaluated and ranked, from
most qualified to least qualified, based on each firm's demonstrated
competence and professional qualifications necessary for the
satisfactory performance of the services required.
(c) Interviews. At its discretion, the evaluation committee may interview
one or more of the firms that have submitted proposals.
(d) Report. The evaluation committee shall prepare a written report for the
Purchasing Manager and the Director of Engineering setting forth, at a
minimum, the ranking of firms from most qualified to least qualified.
(6) Negotiations. The Purchasing Manager and the Director of Engineering
shall negotiate a Contract with the firm that the evaluation committee
deems to be most qualified, and otherwise follow the process set forth in
Section 3.02.C. The Director of Engineering shall make a written
determination that the negotiated fee is fair and reasonable.
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C. Contracts Less Than or Equal to $100,000.
The requirements set forth in this Section 4.02, subsection C, shall apply to the
purchase of Professional Design Services estimated to cost less than or equal
to $100,000 for each individual project.
(1) Reguest for Qualifications. At least once every three years, the
Purchasing Manager shall prepare and distribute a Request for
Qualifications for each professional discipline or project design service
required by the District subject to this Part C. Each Request for
Qualifications shall describe the selection criteria that will be used to
determine whether firms are eligible for the prequalified list. The
Request for Qualifications shall require the following information, at a
minimum, from proposers:
(a)The firm's demonstrated competence and specialized expertise
necessary to perform the type of services needed;
(b)The education, experience, training, and skills of the key personnel
that will perform and manage the work for the District;
(c) The firm's capacity and resources to deliver the services required
within the specified period of time, including but not limited to a
sufficient number of qualified staff, computer hardware, computer
software, special equipment and facilities as applicable; and
(d)The proximity of the firm's office(s) to the District, the specific location
of key personnel, and the firm's experience and familiarity with the
operation of local government.
(2) Evaluation Committee. The Purchasing Manager shall convene an
evaluation committee to evaluate the responses to each Request for
Qualifications. The Purchasing Manager shall chair the committee, and
the Director of Engineering shall appoint the remaining members. Each
evaluation committee shall determine whether each firm has the
demonstrated competence and professional qualifications necessary for
the satisfactory performance of the services required.
(3) Lists. Based on the recommendations of the evaluation committee, with
the concurrence of the Director of Engineering, the Purchasing Manager
shall establish a list of at least five prequalified Contractors within each
discipline. Each list shall be used for a maximum of three years. No
later than three years after establishing a prequalified list for each
discipline, the Purchasing Manager shall issue a new Request for
Qualifications and establish a new list.
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(4) Master Contract. Master Contracts with firms on the prequalified list
shall be awarded by the Board of Directors in an amount not to exceed
$250,000 per year. The original term of such Contracts shall be for one
(1) year, with an option to extend each Contract for up to two (2)
additional one (1) year renewal periods.
(5) Task Orders. The Director of Engineering shall notify the Purchasing
Manager when Professional Design Services subject to this Part C are
required for a project. Proposals shall be solicited from at least two firms
on the prequalified list and one of the firms shall be selected pursuant to
the process set forth in Section 3.02. In determining which firms will be
invited to submit proposals, the Purchasing Manager shall follow the
selection or rotation process, if any, set forth in the Request for
Qualifications, subject to the best interests of the District in any particular
case. Individual Task Orders in an amount not to exceed $100,000 will
be awarded for each project.
Section 4.03. Exceptions
A. Sole Source and Emergency Procurements. Contracts for Professional Design
Services may be awarded without soliciting Competitive Sealed Proposals if the
Purchasing Manager makes one of the determinations set forth in Section 1.07.
B. Continuation of Services. A new contract for additional services related to work
already performed under an existing Contract for Professional Design Services
may be awarded without observing the bidding procedures prescribed in
Section 4.02.13 or Section 4.02.C, as applicable. In connection with any such
new contract, the Director of Engineering shall determine in writing that (1) it is
in the District's best interests to have the original firm perform additional,
related services, and (2) the negotiated price is fair and reasonable.
Article 5. Public Works Projects
Section 5.01. Purpose and Scope
A. Purpose. This Article 5 is intended to implement state statutes that govern the
District's award of construction Contracts for Public Works Projects.
B. Scope. This Article 5 applies to the District's award of Contracts for the
construction of Public Works Projects exceeding thirty-five thousand dollars
($35,000) pursuant to Public Contract Code section 20783.
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Section 5.02. Selection Process
A. Design-Bid-Build
(1) Competitive Sealed Bids. For projects subject to Public Contracts Code
section 20783, the District shall select firms for Public Works Projects
pursuant to the process described in this Section 5.02A.
(a) Notice Inviting Bids. For each prospective Contract, the Purchasing
Manager shall publish a Notice Inviting Bids as required by Public
Contract Code Section 20783.
(i) Manner of Publication. Each Notice Inviting Bids shall be
published in a newspaper of general circulation, on industry
bulletin boards, and/or on the District's website at least ten (10)
days before the date for the opening of bids consistent with the
requirements set forth in Public Contracts Code section 20783.
(ii) Contents. Each Notice Inviting Bids shall:
1. Establish a deadline for the receipt of bids that is at least ten
(10) calendar days after the first publication of the Notice
Inviting Bids;
2. Provide that the District, in its sole discretion, may reject any
and all bids;
3. Set forth a procedure that shall be followed in the event of a
tie between the lowest Responsive and Responsible bidders;
4. Require bidders to post a bidder's security;
5. State that if a Contract is awarded to the bidder, a payment
bond is required pursuant to Civil Code section 9550;
6. Contain detailed plans and specifications for the project.
Subject to the exceptions set forth in Section 5.03.6, the
specifications shall not call for a designated material,
product, thing, or service by specific brand or trade name
unless the District complies with the requirements under
California Public Contract Code section 3400 at seq.; and
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7. Contain whatever provisions, consistent with this Ordinance,
the Purchasing Manager determines are necessary,
desirable, and/or advantageous to the District.
(b) Bid Opening. The Purchasing Manager shall open the bids publicly in
the presence of one or more witnesses at the time and place
designated in the Notice Inviting Bids. The Purchasing Manager shall
record the amount of each bid together with the name of each bidder.
This record, and each bid, shall be considered public records and shall
be available to the public at the point in time specified in the Notice
Inviting Bids and consistent with the Public Records Act.
(c) Refection of Bids. The District may reject all bids received for a
particular project and:
(1) Re-advertise for bids; or
(ii) Authorize construction of the project through a Negotiated
Procurement of day labor and/or materials or supplies, if the Board
adopts a resolution by a four-fifths vote declaring that (i) the work
can be performed more economically by day labor, and/or (ii) the
materials or supplies can be obtained at a lower price in the open
market.
(d) No Bids. If the District does not receive any bids for a particular
project, the District's Board of Directors may authorize the Purchasing
Manager to conduct a Negotiated Procurement, and present his or her
recommendation to the Board for approval.
(a)Award to Lowest Responsive and Responsible Bidder. Unless the
District rejects all bids, the Contract shall be awarded to the lowest
Responsive and Responsible Bidder. If two or more Responsible
Bidders submit the same lowest bid, the District may, in its discretion,
accept either bid or a lower bid, if any, as may be obtained from one of
the lowest bidders through negotiation. If the lowest Responsive and
Responsible Bidder refuses to enter into a Contract, then the lowest
Responsive and Responsible Bidder shall forfeit its bidder's security,
and the Contract shall be awarded to the next lowest Responsive and
Responsible Bidder.
B. Design-Build. As may be authorized by the Public Contract Code or other
statute, the District may utilize a design-build selection process for the award of
Public Works Contracts.
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C. Pregualification. The Purchasing Manager may limit the field of prospective
bidders for Public Works Contracts by prequalifying Contractors pursuant to
California Public Contract Code Section 20101 and the requirements of this
Subsection C.
Prequalification shall only be required when the Purchasing Manager or the
Director of Engineering determines that prequalification is necessary or
desirable. The Purchasing Manager may (i) prequalify a list of Contractors for
the right to bid on any specific Public Works Project, and/or (ii) prequalify lists of
Contractors for the right to bid on unspecified projects of a certain type or size
pursuant to Public Contracts Code Section 20101(c). If the Purchasing
Manager elects to prequalify lists of Contractors for the right to bid on
unspecified projects of a certain type or size, he or she shall conduct a
prequalification process quarterly, and all qualifications shall be valid for one
year. For each prequalified list of either type, the Purchasing Manager shall
evaluate and prequalify Contractors pursuant to the following procedures:
(1) Questionnaires and Rating Criteria. The Purchasing Manager shall
develop a questionnaire and rating criteria for each prequalification. All
criteria shall be relevant and objective. The Purchasing Manager may
rely on the Department of Industrial Relations model guidelines,
questionnaires, and forms, and/or establish additional or modified
criteria.
(2) Statements of Qualifications. The Purchasing Manager shall solicit
Statements of Qualifications from prospective bidders.
(3) Evaluation Committee. The Purchasing Manager shall convene an
evaluation committee to evaluate each Statement of Qualifications. The
Purchasing Manager shall chair the committee, and the Director of
Engineering shall appoint the remaining committee members. The
evaluation committee shall review each Statement of Qualifications, rate
the Contractors according to their qualifications and objective criteria,
and determine which Contractors are qualified and which Contractors
are not qualified.
(4) Notice of Determination. When the evaluation committee completes its
review, the Purchasing Manager shall send each Contractor written
notice of the committee's determinations regarding that Contractor. If
the evaluation committee determines that a Contractor is not qualified,
the written notice shall also set forth the basis for that determination and
any relevant supporting evidence that the evaluation committee
considered.
OCSD-44-18
(5)Appeal Process.
(a) Notice of Appeal. Any Contractor may appeal to the General Manager
any determination of the evaluation committee, including any rating
assigned to the Contractor and any decision to disqualify the
Contractor, by filing a written notice of appeal within seven (7) working
days after the Purchasing Manager mails the notice described in
Section 5.02, subsection C (4).
(b) Hearing. Within five working days of the receipt of an appeal, the
General Manager, or a designee of the General Manager who has not
been involved in the evaluation of qualifications of Contractors for the
project, shall conduct a hearing on the appeal. During the hearing, the
affected Contractor or subcontractor shall have the opportunity to rebut
any evidence used as a basis for disqualification and to present
evidence to the General Manager or the General Manager's designee
as to why the prospective bidder should be found qualified.
(c) Decision. Within five working days of the conclusion of the hearing,
the General Manager or the General Manager's designee shall issue a
written decision on the appeal. The decision of the General Manager
or the General Manager's designee shall be final.
Section 5.03. Exceptions
A. Emergencies and Calamities.
(1) The provisions of this Section A apply in the event of an emergency or
calamity involving a sudden, unexpected occurrence that poses a clear
and imminent danger requiring immediate action to prevent or mitigate
the loss or impairment of life, health, property, or essential public
services. In the event of such an emergency or calamity, the District
may, through Negotiated Procurement, award Contracts to repair or
replace facilities, take any directly related and immediate action required
by the emergency or calamity, and procure the necessary equipment,
services, and supplies for those purposes.
(2) The General Manager may take the actions described in (1), with the
concurrence of the Chair of the Board of Directors and/or the Vice Chair,
without obtaining prior approval of the District's Board of Directors. In
taking any such action, the General Manager shall follow the procedures
set forth in Public Contracts Code Section 22050.
(3) In the alternative, the District's Board of Directors may, by resolution
adopted by a four-fifths vote, take the actions described in Subsection
OCSD-44-19
(1). In taking any such action, the District shall follow the procedures set
forth in Public Contracts Code 22050.
B. Specification of Brand or Trade Name. Notwithstanding Section
5.02.A(1)(a)(ii)6, the specifications for a Public Works Contract may call for a
designated material, product, thing, or service by specific brand or trade name
without inserting the words "or equal" if the District complies with the
requirements of the California Public Contract Code section 3400 et seq. The
General Manager is authorized to make the findings required under California
Public Contract Code section 3400 et seq. The Notice Inviting Bids or Request
for Proposals shall state that a particular material, product, thing, or service is
necessary or desirable for any of the following purposes:
(1) In order that a field test or experiment may be made to determine the
product's suitability for future use;
(2) In order to match other products in use on a particular public
improvement either completed or in the course of completion;
(3) In order to obtain a necessary item that is only available from one
source;
(4) In order to respond to an emergency declared by the District, but only if
the declaration is approved by a four-fifths vote of the District's Board of
Directors; or
(5) In order to respond to an emergency declared by the state, a state
agency, or political subdivision of the state, but only if the facts setting
forth the reasons for the finding of the emergency are contained in the
public records of the District.
Article 6. Protests
The District shall afford Interested Parties an opportunity to protest the solicitation of
bids and proposals and the award of contracts as set forth in this Article 6. The General
Manager shall adopt detailed protest procedures consistent with this Article 6. The
protest procedures governing any particular procurement shall be set forth in the Notice
Inviting Bids or the Request for Proposals, as applicable.
Section 6.01. Solicitation Protests
A. Interested Parties may file a Solicitation Protest Statement with the Purchasing
Manager on the grounds that a free and open competition has not taken place,
or cannot take place, and/or that a particular specification or requirement is
impractical, unduly restrictive, or ambiguous. Each Notice Inviting Bids and
OCSD-44-20
Request for Proposals shall identify the date and time that the Solicitation
Protest Statement is due, the information required to be included in the
Solicitation Protest Statement, the evaluation process, and the types of
remedies available.
B. The Purchasing Manager shall evaluate each Solicitation Protest Statement
and determine what actions, if any, will be taken to remedy any deficiency. The
decision of the Purchasing Manager shall be final.
Section 6.02. Award Protests
A. In connection with any competitive selection process, any Interested Party may
file an Award Protest Statement with the Purchasing Manager on the ground
that a free and open competition has not taken place in connection with the
award recommendation. The Purchasing Manager shall not, however, consider
any protest based on a finding that a bid or proposal is not responsive.
B. Each Notice Inviting Bids and Request for Proposals shall identify the deadline
for Award Protest Statements and describe the information required to be
included in any Award Protest Statement, the evaluation process, the appeal
process, and the types of remedies available.
C. The Purchasing Manager shall evaluate each Award Protest Statement and
determine what actions, if any, will be taken to remedy any deficiency.
D. The Purchasing Manager's decision on an Award Protest Statement may be
appealed to the Director of Finance and Administrative Services and the
Director of the Department requesting the Goods or Services. The Director of
Finance and Administrative Services and the Director of the Department
requesting the Goods or Services shall evaluate each Award Protest Statement
and determine whether to uphold or reject the Purchasing Manager's
determination. For Contracts to be awarded by District staff, the decision of the
Director of Finance and the Director of the Department requesting the Goods or
Services shall be final. For Contracts to be awarded by the Board of Directors,
the Board may consider any Award Protest Statements in connection with its
consideration of the Contract.
Section 6.03. Delay in Award
A. Execution of any proposed contract shall be delayed pending resolution of any
protests unless one or more of the following conditions is present:
(1) The items or services being procured are urgently required;
OCSD-44-21
(2) Delivery or performance will be unduly delayed by failure to make an
award promptly; or
(3) Failure to make prompt award will otherwise cause undue harm to the
District.
Section 6.04. Remedies
A. If the final decision maker determines that the award or proposed award was
not made in accordance with applicable statutes, regulations, policies and/or
procedure, the District, in its sole discretion, may grant any of the following
remedies or any other remedy it deems appropriate:
(1) Prior to award, the District may issue a new solicitation, make a new
selection/award recommendation, or award a contract consistent with
applicable statutes, regulations, policies and procedures;
(2) Take no further action; or
(3) Take any other action that is permitted by law to promote compliance
with applicable statutes, regulations, policies and/or procedure.
B. In determining the appropriate remedy, if any, the District shall consider all the
circumstances surrounding the Notice Inviting Bids or Requests for Proposal
and/or award, including, but not limited to:
(1) The seriousness of any deficiency found to exist in the contracting
process;
(2) The effect of the action on the competitive process;
(3)Any urgency surrounding the contract requirement; and
(4) The effect that implementing the remedy will have on the District.
C. Nothing contained herein shall be construed to act as a limitation on the
Districts choice of remedies or confer any right upon any Interested Party or
affected party to a remedy.
Section 6.05. Public Documents
Solicitation Protest Statements and Award Protest Statements are public
documents. The District will notify the affected parties when a protest has been
submitted, and will provide copies of the Protest Statements to the affected
parties upon written request.
OCSD-44-22
Article 7. Delegation of Authority to Award Contracts
This Article 7 applies to all Contracts for Goods, Services, and Public Works
Projects entered into by the District.
Section 7.01. Award Authorization
A. Delegation by General Manager.
The General Manager shall establish written procedures governing the
delegation of authority to award and execute Contracts consistent with this Ordinance.
Upon delegation of authority by the General Manager, each Department Head may
further delegate authority to initiate a written Requisition consistent with the General
Manager's written procedures.
B. Original Contracts and Contingencies.
The Board of Directors hereby delegates the authority to award Contracts within
specified limits as follows:
Delegated Authority Authorized Action
General Manager/ Authorization to approve and execute Contracts for
Assistant General budgeted procurements up to $100,000, including any
Manager contingency. All procurements over $50,000 are to be
reported to the Board of Directors on a quarterly basis.
Standing Committees Authorization to approve procurements over $100,000
up to $200,000, plus a contingency of up to 50%, for a
total spending authority of up to $300,000 for each
Contract.
All original Contracts for procurements that exceed these limits shall be approved by the
Board of Directors.
C. Amendments and Change Orders.
The Board of Directors hereby delegates the authority to approve of
Amendments and Change Orders in any amount as follows:
Delegated Authority Authorized Action
General Manager/ Authorization to approve and execute Amendments
Assistant General and Change Orders as long as (1) the Amendment or
Manager Change Order is recommended by the applicable
Department Director, and (2) the Amendment or
OCSD-44-23
Change Order amount is within the approved
contingency.
Authorization to approve and execute Amendments to
chemical Contracts, unless the Contract unit price has
been changed from the original amount approved by
the Districfs Board of Directors. Unit price increases in
chemical Contracts require Board of Directors approval.
Section 7.02. Task Orders
The Board of Directors hereby delegates the authority to award Task Orders within
specified limits as follows:
Delegated Authority Authorized Action
General Manager/ Authorization to approve, upon the recommendation of
Assistant General the Department Director, and execute Task Orders
Manager and/or Amendments to the Task Orders provided the
cumulative total of the Task Order and Amendments
thereto do not exceed $100,000.
Standing Committees Authorization to approve, upon the recommendation of
the General Manager/Assistant General Manager, Task
Orders and/or Amendments to the Task Orders
provided the cumulative total of the Task Order and
Amendments do not exceed $200,000
All Task Orders that exceed these limits shall be approved by the Board of Directors.
Section 7.03. Time Extensions to Public Works Projects
The General Manager may approve and execute Change Orders for Public
Works Project Contract time extensions that do not involve any increase in
compensation over the approved Contingency.
Article 8. Ethics
Section 8.01. Unlawful Consideration Prohibited
District Officials shall neither solicit nor receive bribes, rebates, kickbacks, and/or
any other unlawful consideration from any contracting party, or any party seeking a
Contract with the District, in exchange for favorable treatment or any other action.
OCSD-44-24
Section 8.02. Conflicts of Interest
A. Compliance with the Political Reform Act. District Officials shall not make any
Contracts, participate in the making of any Contracts, or in any way attempt to
use their official positions to influence any decision on any Contracts, in
violation of Government Code Sections 87100 et seq.
B. Compliance with Government Code S 1090. Without limiting the requirements
of Part A above, no District Official shall make any Contract, participate in the
making of any Contract, or in any way attempt to use his or her official position
to influence any decision on a Contract, in violation of California Government
Code Section 1090.
C. Requirements Applicable to Consultants. Consultants designated by the
District's Conflict of Interest Code shall comply in all respects with Government
Code Section 87100 at seq., and it's implementing regulations.
Article 9. Miscellaneous
Section 9.01. Noncompliance
Any Contract entered into which fails in any respect to comply with the provisions
of this Ordinance may be voided by the Board of Directors in its sole and absolute
discretion. Any employee who willfully and knowingly violates any provision of this
Ordinance may be subject to disciplinary action.
Section 9.02. Effective Date
This Ordinance No. OCSD-44 shall take effect January 1, 2014, upon adoption
by the Board of Directors.
Section 9.03. Repeal of Resolution No. OCSD 07-04, OCSD 07-13 & OCSD
12-17
Resolution No. OCSD 07-04, entitled "A Resolution of the Board of
Directors of the Orange County Sanitation Establishing policies and
procedures for: The award of purchase orders and contracts; public
works project contracts; professional services contracts; and
delegation of authority to implement said policies and procedures" is
hereby repealed in its entirety.
Resolution No. OCSD 07-13, entitled "A Resolution of the Board of
Directors of the Orange County Sanitation District Establishing Policy
OCSD-44-25
for the payment of mandatory and statutory fees greater than the
limits established in Resolution No. OCSD 07-04 and future updates
to the Delegation of Authority' is hereby repealed in its entirety.
Resolution No. OCSD 12-17, entitled "A Resolution of the Board of
Directors of the Orange County Sanitation District amending Section
4.09 request for proposal procedure of Resolution No. OCSD 07-04
to expand the request for proposal procedure to include the purchase
of critical, routine, or recurring goods or services and to define best
value" is hereby repealed in its entirety.
Section 10.01. Certification and Publication. The Clerk of the Board shall certify to
the adoption of this Ordinance, and shall cause a summary to be published in a
newspaper of general circulation within 15 days as required by law.
OCSD-44-26
Appendix A
Definitions
A. Amendment means a properly executed written agreement entered into
and between the District and the Contractor, or issued by the District,
covering modifications to the original Contract and which may result in
adjustments to provisions of the Contract, including, but not limited to,
terms, scope of work, compensation, and/or period of performance.
B. Award Protest Statement shall mean a written objection to the award
recommendation prior to final action to award the contract, which shall be
submitted after receipt of bids, but before award of a contract, as specified
herein.
C. Best value means the overall combination of quality, price, and other
elements of a proposal/bid (or combination of several proposals/bids) that,
when considered together, provide the greatest overall benefit in response
to the requirements described in the solicitation documents.
D. Change Order means a properly executed written agreement entered into
and between the District and the Contractor, or unilaterally issued by the
District, covering modifications to the original Contract, and which may
result in adjustments to the provisions of the Contract, including, but not
limited to, terms, scope of work, cost and/or period of performance.
E. Competitive Sealed Bids means a selection process whereby prospective
Contractors submit sealed bids and the Contract is awarded to the lowest
Responsive and Responsible Bidder.
F. Competitive Sealed Proposals means a selection process whereby
prospective Contractors submit sealed proposals and the Contract is
awarded to the proposal that best meets the criteria specified in the
Request for Proposals.
G. Contingency means an amount above the original Contract price, as
awarded by the delegated authority, established at the time of Contract
award, as may be amended thereafter, to be used for Contract changes.
H. Contract means any type of agreement for the purchase of Goods,
Services, and/or Public Works Projects. Contracts may be labeled in
various different ways, including, but not limited to, 'contract,"
"agreement," "purchase order," and "task order."
OCSD-44-27
I. Contractor means any person or entity that has a Contract with the
District.
J. Department means one of the District's designated departments.
K. Design-Bid-Build means a selection process for the award of Public Works
Contracts involving three basic steps: (1) the District hires a design
professional to prepare detailed plans and specifications or the District
prepares detailed plans and specifications; (2) the District solicits bids
from construction firms based on the detailed plans and specifications;
and (3) the District awards the Contract to the lowest Responsive and
Responsible Bidder.
L. Design-Build means a selection process for the award of Public Works
Contracts involving two basic steps: (1) the agency solicits proposals from
pre-qualified firms to design and construct a project; and (2) depending on
the award criteria set forth in the Request for Proposals, the agency
awards the Contract to either (a) the lowest Responsive and Responsible
Bidder, or(b) the proposal that presents the "best value"
M. Director means a director of one of the District's designated departments,
or his or her designee(s).
N. Director of Engineering means the District's Director of Engineering or his
or her designee(s).
O. District means the Orange County Sanitation District.
P. District Board or Board means the Board of Directors of the Orange
County Sanitation District.
Q. District Official means any member of the District's Board of Directors, any
District employee, and any District consultant that is designated under the
District's Conflict of Interest Code.
R. General Manager means the General Manager of the District, or his or her
designee(s).
S. Goods means fixed, movable, disposable, and/or reusable products,
commodities, equipment, materials, supplies or items used by the District,
and excludes land or any interest in real property.
OCSD-44-28
T. Interested Pa rtv shall mean all bidders or proposers, and prospective
bidders or proposers, on procurement.
U. Mailing means transmission by United States Postal Service, electronic
mail, or facsimile.
V. Negotiated Procurement means a selection process whereby the
Purchasing Manager identifies one or more prospective Contractors of his
or her choice, negotiates with one or more of them, and awards the
Contract to one of them based on the best interest of the District.
W. Notice Inviting Bids/Invitation for Bids means all documents, whether
attached or incorporated by reference, utilized for soliciting bids.
X. Procurement means buying, purchasing, renting, leasing, or otherwise
acquiring any goods, services, construction, construction services, or
professional services. It also includes all functions that pertain to the
obtaining of any goods, services, or construction, including description of
requirements, election and solicitation of sources, preparation and award
of contract, and all phases of contract administration.
Y. Professional Services means (i) services provided by professionals that
involve specialized judgment, skill, and expertise, and (ii) incidental
services that professionals, and those in their employ, may logically or
justifiably perform. Professional Services include, but are not limited to,
services provided by engineering, architectural, environmental, land
surveying, construction management, accounting, financial, information
technology, human resources consultation and advocacy, legislative
advocacy, and scientific research/consulting firms.
Z. Professional Design Services means engineering, architectural,
environmental, land surveying, construction management, and similar
Professional Services retained by the District in connection with, but not
limited to, construction, alteration, and/or repair projects.
AA. Public Works/Public Works Project means a project involving the
construction, erection, or alteration of any type of structure, building, or
improvement other than sewerage maintenance or repair projects.
BB. Purchasing Manager means the District's Contracts, Purchasing and
Materials Management Manager, or his or her designee(s).
OCSD-44-29
CC. Reguest for Proposals means all documents, whether attached or
incorporated by reference, utilized for soliciting proposals.
DD. Reguest for Qualifications means a request for detailed information
concerning the qualifications of prospective Contractors.
EE. Reauisition means an approved written document making a request for
Goods and Services
FF. Responsible Bidder means a bidder who has demonstrated the attribute of
trustworthiness, as well as quality, fitness, capacity, and experience to
satisfactorily perform the requested services or project.
GG. Responsive Bidder/Proposer means a bidder/proposer who has submitted
a bid/proposal which conforms in all material respects to the Notice
Inviting Bids/Invitation for Bids/Request for Proposals.
HH. Services means the furnishing of labor, time, or effort by a Contractor.
Services include both general services Qanitorial, landscape, repair,
maintenance, etc.) and professional services, unless otherwise specified.
II. Sealed (Bids or Proposals) means the submittal of bids or proposals,
either in paper or electronic format, whereby the bid or proposal
documents are opened at a specific time and not before.
JJ. Sole Source Procurement means the acquisition of Goods and/or Services
from a single source.
KK. Solicitation Protest Statement shall mean a written objection during the
solicitation phase of the procurement, which shall be submitted prior to the
bid due date as specified herein.
LL. Standing Committee means one of the permanent committees designated
by the Board of Directors as "Standing Committees."
MM. Task Order means a written document pursuant to a Contract issued by
the Purchasing Manager which provides for the issuance of orders,
containing a defined budget, scope of services, and schedule, and
authorizes a Contractor to incur a specified amount for the performance of
tasks.
OCSD-44-30
PASSED AND ADOPTED by a majority of the Board of Directors of the Orange County
Sanitation District at a Regular Meeting held November 20, 2013.
Troy Edgar
Chairman of the Board of Directors
Orange County Sanitation District
ATTEST:
Ke ly A ore
Se ret Pro Tem
.,Orange County Sanitation District
APPROVED AS TO FORM:
A
Bradley H gin, Generaf Counsel
OCSDA4-31
STATE OF CALIFORNIA)
)SS.
COUNTY OF ORANGE )
I, KELLY A. LORE, Secretary Pro Tem of the Board of Directors of Orange
County Sanitation District, do hereby certify that the above and foregoing Ordinance No.
OCSD-44 was introduced for first reading at a regular meeting of said Board on the 23rd
day of October, 2013, and passed and adopted at a regular meeting of said Board on
the 20t" day of November, 2013, by the following vote, to wit:
AYES: Troy Edgar, Chair; John Anderson; Tom Beamish; David Benavides;
Steven Choi; Keith Curry; Tyler Diep; James Ferryman; Peter Kim;
Lucille Kring; Michael Levitt; Steve Nagel; Prakash Narain; Scott
Nelson; Brad Reese; Greg Sebourn; Joe Shaw; David Shawver;
Fred Smith and John Withers.
NOES: None
ABSENT: Steve Jones; Brett Murdock; Janet Nguyen; John Nielsen and
Theresa Smith.
IN WITNESS WHEREOF, I have hereunto set my hand this 201" day of
November, 2013.
Key Afe
S retBoard
Orange County Sanitation District
OCSD-44-32