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23-1645 Adopting an updated Purchasing Policies and Procedures ManualA RESOLUTION OF THE CITY OF LONGWOOD, FLORIDA, ADOPTING THE UPDATED PURCHASING POLICIES AND PROCEDURES MANUAL OF THE CITY OF LONGWOOD; AND PROVIDING FOR SEVERABILITY; AND AN EFFECTIVE DATE WHEREAS, the City Commission of the City of Longwood, Florida, first adopted its Purchasing Policies and Procedures Manual in January 1, 1988, and has since subsequently amended that policy in July, 1996, May, 2000, November, 2011, November, 2012, August, 2018, and on September 4, 2019, and March 1, 2021, via Resolution No. 21-1551; and WHEREAS, the City may amend the City of Longwood Purchasing, Policies- and Procedures Manual from time to time by ordinance or resolution; and WHEREAS, the City desires to amend the Purchasing Policies and Procedures = Manual for the City of Longwood to make changes related to clarify the process for acquisition of professional services, contract administration, remove obsolete language regarding the City's prior financial system, remove policies pertaining to the City's procurement card program to be covered by a separate policy, and reformat the manual as a whole for uniformity with City Commission adopted policies. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LONGWOOD, FLORIDA: SECTION 1. The previous version(s) of the Purchasing Policies and Procedures Manual is/are hereby replaced and superseded by the Purchasing Policies and Procedures Manual attached hereto and incorporated herein as Exhibit "A." SECTION 2. SEVERABILITY: It is hereby declared to be the intention of the City Commission that the sections, paragraphs, sentences, clauses and phrases of this Resolution are severable, Resolution No. 23-1645 Page 1 of 2 and if any phrase, clause, sentence, paragraph or section of this Resolution is declared unconstitutional by the valid judgment or decree of a court of competent jurisdiction, such unconstitutionality will not affect any of the remaining phrases, clauses, sentences, paragraphs, or sections of this Resolution. SECTION 3. EFFECTIVE DATE: This Resolution shall take effect immediately upon final passage and adoption. PASSED AND ADOPTED THIS 6th DAY OF NOVEMBER 2023. City of Longwood, Florida Tony Bo yor ATTEST: c 1 0 , F R , ity Clerk Approved as to form and legality for the use and reliance of the City of Longwood, Florida, only. Daniel W. La ey Cit tt ney Resolution No. 23-1645 Page 2 of 2 Exhibit "A" COMMISSION POLICY CITY OF LONGWOOD SUBJECT: PURCHASING POLICIES AND PROCEDURES MANUAL POLICY NUMBER EFFECTIVE DATE PAGE P-208 November 6, 2023 1 of 62 ADOPTED BY: Resolution No. 23-1645 DATED: November 6, 2023 REVISES POLICY: Dated March, 2021 This Purchasing Policies and Procedures Manual is provided to all departments of the City of Longwood to provide guidance and direction to all employees involved in the purchasing process and to promote transparency, efficiency, and economy in the purchase of various goods and/or services. This Manual is intended to incorporate all purchasing policies and ordinances adopted by the City Commission in a form that is "user friendly". It is not intended to be a detailed opus describing every aspect of the City's procurement activity or for any specific project. These purchasing guidelines may not govern every purchasing situation that arises. In the event a specific purchase is not covered by these guidelines, the purchase shall be made based on these general objectives and in the spirit of fairness, following consultation with the Purchasing Manager. The procurement and contracting authority of the Purchasing Division is authorized under the City of Longwood's Code of Ordinances, Chapter 62 — Purchasing. In case of a conflict between the provisions set forth in the Code of Ordinances and this Purchasing Policies and Procedures Manual, the Code of Ordinances shall dictate. It is the policy of the City to make all purchases of supplies, materials, equipment and contractual services utilizing a competitive process and receiving the best value from the most responsive and responsible vendor. The competitive process can include written quotes, formal Invitation to Bids (ITB), Request for Proposals (RFP), Request for Qualifications (RFQ) or any other method set forth in the City's Code. The City's purchasing policies shall also incorporate the following principles: P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 2 of 62 • Standardization of products and consolidation of purchases used throughout the City to obtain the best value from the most responsive and responsible vendor; • Use of appropriate specifications for purchase of goods and services, including consideration of value, estimated life, and service factors; • Use of competition to reduce prices; • Conducting all purchases in a businesslike and objective manner, and eliminating favorites and connivance in public purchasing; • Elimination of unnecessary purchases, and the limitation of paperwork to the maximum extent possible; • Use of cooperative purchasing agreements and piggyback agreements to take advantage of other governmental contracts and agreements; • Inspection and testing of products to assure compliance with contract specifications; • Prompt payment of invoices, earning discounts wherever possible; • Use of local vendors when they are competitive with other vendors and maintaining equal opportunity solicitation policies. ORGANIZATION The City of Longwood employs a centralized purchasing system, wherein the Purchasing Manager, perform purchasing functions that follow the City's purchasing policies and procedures and the City's Code of Ordinances. The City Manager has the ultimate responsibility to ensure that the procurement of goods and services follow City policy, codes, regulations and State Statutes and that funds have been budgeted and are available. The City Attorney serves as legal counsel and represents the Commission and City Departments. All Contracts, Agreements and/or Amendments, of any type or kind regardless of name, which are meant to bind the City in any manner, must be reviewed by the City Attorney for legal sufficiency. The Director of the Department of Financial Services, as designee of the City Manager, shall be required to certify prior to any award of bid, contracts or purchase orders, except in case of emergency procurement, that there is, to the credit of the using program, department or agency concerned, a sufficient unencumbered appropriation balance, in excess of all unpaid obligations, in the specific budget line items to cover all the obligations payable under the bid, contract or purchase order. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 3 of 62 INTER -DEPARTMENTAL RELATIONS Cooperation and understanding between departments are essential in the effective operation of the Purchasing Division. The Purchasing Division will establish and maintain close liaison with the departments in order to meet their purchasing needs and requirements. Every effort is made to purchase commodities in timely manner and in accordance with the department's requirements. To achieve these goals and to help clarify the requirements of a successful purchasing program, specific responsibilities are identified below: Purchasing Division's Responsibilities: 1. Become acquainted with the needs of all departments. 2. Provide training in purchasing policies and procedures. 3. Assists in the preparation of specifications. 4. Research new sources of supplies and services. 5. Process all requisitions and purchase orders in a timely manner. 6. Review specifications contained in solicitations to assure they are not proprietary in nature and allow for open competition. 7. Expedite the delivery of purchases as needed. 8. Work with the Departments in resolving problems with defective merchandise or the return of goods; and to negotiate the return of merchandise and/or settlement. 9. Explore the markets for new sources, products and materials. User Departments' Responsibilities 1. Write clear and accurate descriptions of materials and equipment to be purchased. 2. Verify that funds have been allocated and are available in the proper lines. If funds are not available, prepare appropriate Budget Transfer Form to cover expenditures. 3. Prepare technical specifications for goods and services requiring formal bidding. 4. Advise the Purchasing Manager of special projects or of special requirements in advance to avoid delays and to allow the Purchasing Manager adequate time for scheduling. 5. Allow sufficient time for the Purchasing Manager to process the requisition and for the supplier to deliver. 6. Provide the Purchasing Manager written documentation of any delivery or supplier problems or complaints. 7. Assist in the technical evaluation of bid and proposal responses. 8. Advise the Purchasing Manager of qualified suppliers. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 4 of 62 VENDOR RELATIONS The City strives to develop effective relationships with vendors and encourages full and open competition wherever possible. All vendors are afforded equal opportunity to participate in public bidding. To accomplish this intent, all contacts between the City and the vendor should be coordinated through the Purchasing Division. In addition, to avoid any perception of unethical behavior, the following guidelines should be followed: 1. Interviews with suppliers must be coordinated through the Purchasing Division by appointment only. 2. Discussions with sales and marketing personnel should be open and general and not commit the City or its decision makers to preferences for any product or service, which might in any way compromise the City. 3. All correspondence with suppliers is to be through the Purchasing Division, except in special cases where the technical details involved make it advisable to delegate authority to others. In such cases, the Purchasing Division must receive copies of all correspondence. 4. Any sealed bids, proposals, or replies received from vendors pursuant to a competitive solicitation must not be disclosed until such time as the City provides notice of an intended decision or until 30 days after opening the bids, proposals, or final replies, whichever is earlier. See § 199.071(b), Florida Statutes (2023). 5. To ensure full and open competition, continuity of supply, and availability of materials, new sources of supply are given due consideration. The City will buy from suppliers who exhibit adequate financial strength, high ethical standards, a record of adhering to specifications, and a reputation for fulfilling promises and providing a full measure of service. 6. Acceptance of gifts at any time, other than advertising novelties of nominal value, is prohibited. Employees must not become obligated to any supplier and may not participate in or conduct any City transaction from which they may personally benefit. 7. The offer of any gratuity to an official or employee of the City by any vendor or contractor will be cause for declaring such individual or firm to be an irresponsible bidder and may be grounds for suspension from bidding. 8. No employee may obligate the City whereby said employee may derive income or benefits other than those provided as compensation from the City for their employment. 9. No City employee may have any financial interest in any purchase order or contract issued by the City of Longwood. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 5 of 62 CODE OF ETHICS AND CONDUCT It is the policy of the Purchasing Division to promote the City's reputation for courtesy, fairness, and impartiality. The responsibility for achieving this goal rests with each individual who participates in the procurement process. This includes the using agencies, the vendors, as well as the purchasing personnel. The Purchasing Division adheres to a high standard of ethics and conduct as set forth by the National Association of Purchasing Management and the National Institute of Governmental Purchasing. Public purchasing officials are required to maintain complete independence and impartiality in dealings with vendors, both in fact and in appearance, in order to preserve the integrity of the competitive process and to ensure there is public confidence that contracts are awarded equitably and economically. In order to avoid the possibility of any misunderstandings regarding compliance with the law and regarding any appearance of impropriety relative to the competitive process for awarding contracts, it is respectfully requested that purchasing staff not accept anything of value offered from vendors. CONFLICT OF INTEREST Any public officer or employee of the City who has, or whose relative has a substantial interest in any contract, sale, purchase or service to the City must make known that interest in the records of the City and may not indirectly or directly approve or participate in any manner as an officer or employee of the City in any such transaction. The mere employment of an individual simultaneously by the City and an outside company that has a direct or indirect business relationship with the City, in itself, does not constitute a conflict of interest. A conflict of interest would arise if actions by such an individual as a City employee conferred a direct or indirect benefit on the private business by which he was also employed or in which the employee has a financial interest. No City employee acting in his or her official capacity as a purchasing agent or City officer acting in his or her official capacity, may either directly or indirectly purchase, rent, or lease any realty, goods, or services for the City from any business entity of which the officer or employee or the officer's or employee's spouse or child is an officer, partner, director, or proprietor or in which such officer or employee or the officer's or employee's spouse or child, or any combination of them, has a material interest (statutorily defined as direct or indirect ownership of more than 5 percent of the total assets or capital stock of any business entity). Nor may a City officer or employee, acting in a private capacity, rent, lease, P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 6 of 62 or sell any realty, goods, or services to the City The law provides that when a potential for a conflict of interest arises, the City employee with the potential conflict make his/her interest known to the City and refrain from taking any actions on the matter creating the potential for a conflict of interest. When a potential for a conflict of interest arises, the City employee must either (a) provide written notification to the City Clerk identifying what relationship exists that could be classified as a potential for a conflict of interest; or (b) provide the same information during a City Commission meeting so that it will be recorded in the official minutes of the meeting. Conflicts of interest pursuant to this policy are ultimately governed by Part III of Chapter 112, Florida Statutes, and nothing herein may be read, interpreted, or construed so as to create a conflict with such general law. While this policy may set forth more stringent ethical standards for City employees and officers, it may not prescribe anything that conflicts with applicable general law. PURCHASING POLICY The general purchasing policy of the City of Longwood is that the acquisition of all goods and services must be conducted on the basis of full and open competition, to the greatest extent possible, with the contract award being made to: a. For invitation to bids (ITBs) or other similar solicitations based on pricing and/or quantities, the responsive and responsible bidder offering the lowest price. b. For requests for proposals (RFPs) where the city is seeking qualitative solicitations that involve pricing as a competitive selection factor, the best value proposer. c. For requests for qualifications (RFQs) in which qualifications rather than price are of primary importance, the highest ranked technical proposer with whom a fair and reasonable price may subsequently be negotiated under solicitations (e.g., solicitations conducted pursuant to the Consultant's Competitive Negotiations Act ("CCNA")). All specifications or statements of work included in City purchasing actions must accurately describe the essential needs of the City, and contain no artificial or arbitrary requirements that limit competition. Each purchasing action must be conducted in accordance with the best interests of the City, and with the highest level of integrity and fairness to all involved parties throughout the procurement cycle. d. that all City purchasing operations be conducted in compliance with federal, state, and local P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 7 of 62 laws, as applicable, and ensure the highest degree of ethical standards. e. that transparency and community inclusion be sustained throughout the purchasing process. f. that when economically feasible, the City will ensure that its procurement and contracting activities are performed in a sustainable and environmentally considerate manner. No person may make any commitment for supplies, materials, or services of any kind on behalf of the City except in accordance with City Purchasing Policy and Procedures, Section 62 of the City's Code of Ordinances, and applicable provisions of state law. Purchasing: A purchase is defined as buying, renting, leasing, or otherwise acquiring any goods and/or services for public purposes in accordance with applicable laws, rules, regulations, and procedures governing the expenditure of public funds. It includes, but is not limited to, all functions which pertain to the obtaining of any supplies, materials, equipment and/or services, including construction projects and capital improvement projects, as defined herein, as required by the City. The City of Longwood is exempt from Florida sales tax, and it is the responsibility of each Department Director to ensure that the appropriate employees in their department understand the City's tax-exempt status. Purchases of Services over $2,000 are to be procured via Requisition/Purchase Order and need approval from the Finance Director and City Manager, if applicable, prior to commitment. Purchases are to be checked for appropriation within departmental budget prior to completing the requisition in the City's Financial System. Within the meaning of the definition of a purchase, the following are NOT purchase that would require a Requisition/Purchase Order but may be authorized for direct payment/check request as shown below: a. Regulated utility payments: telephone, electricity, natural gas, water, or similar services where rates or prices are fixed or otherwise governed by legislation or by federal, state, county, or municipal regulations. b. Casualty and property insurance. c. Life, health, and dental insurance. d. Employee benefits contracts with third parties for payroll deduction. e. Services procured with non -City funds that are a "pass -through" (developer deposits, recreation payments, etc.). f. Debt service payments. g. Pension payments. h. Unemployment compensation. i. Tax withholding payments. j. Memberships, dues, subscriptions, publications. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 8 of 62 k. Seminars and travel expenses. I. Retirement plan contributions. m. Investments. n. Postage. o. Recording fees. p. Automobile titling, tags, and license plates. q. Transportation of persons and things r. Any rental or lease of property or buildings for less than twelve calendar months with a non- renewable lease Exceptions to Competitive Process Certain purchases made by the City are exempt from the competitive processes outlined in this Manual and City Code, unless otherwise required by general law. The current list of purchases exempt from the competitive process is shown below: Debt Services Requirements Auditing Services Taxes Donations Collective Bargaining Agreements Solid Waste or Recycling Services Granting Franchises Proprietary Software Pensions Legal Advertising Investments Services Banking Services Acquisition or Disposition of Real Estate Red -Light Camera Equipment, Software and Interests Services Salaries and Employee Benefits Utilities Dues Goods or Services provided by Governmental Agencies Judgments Auto Allowances - - -- - -- ------ ----- -- ------ - -- Internet Service Provider -------------- -- -------------- ---._._-------- Entertainment Piggyback Contracts (subject to restrictions Emergency, sole source, or negotiated contained in this policy) purchases (subject to §§ 62-66 and 66-67 of the City's code of ordinances) Notwithstanding the above referenced listed exemptions, the City Commission may require upon majority vote, a competitive solicitation and procurement for such items it deems to be in the best interests of the City, provided such competitive solicitation and procurement would otherwise be consistent with the law. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 9 of 62 Purchasing Approvals: Purchases of goods over $2,000 and less than $50,000 are to be issued via Requisition/Purchase Order and require approval from the requesting Department Director, the Finance Director, and City Manager prior to commitment. Expenditures over $50,000 require City Commission approval. The Edmunds workflow is built to electronically collect all of the required authorizations. • Departments must obtain the Information Technology Director's approval for the purchase of computer/electronic related equipment. Equipment purchased without the IT Director's approval will not be supported by the IT Department. All technology related Requisitions/Purchase Orders and invoices must have prior e-mail approval from the IT Director attached in Edmunds. The IT Director will review the purchase for compatibility with existing City's systems, data security, cyber security, and supportability. Delegation: Certain purchasing functions are delegated to employees in respective departments. For these employees, purchasing activities may not be a normal or regular part oftheirjob duties. All employees involved in performing delegated purchasing activities such as contracts administration, generating requisitions for purchase orders, obtaining informal quotations from vendors, or other related work, must attend mandatory purchasing policies and procedures training conducted by the Purchasing Manager. Employees who do not attend such training are not authorized or allowed to perform any delegated purchasing activity. METHODS OF PROCUREMENT 1. Petty Cash 2. Invoice Processing without a Requisition/Purchase Order 3. Requisition/Purchase Order (PO) 4. Competitive Bidding (Invitation to Bid/Request for Proposals/Request for Qualifications) 5. Credit Cards/P- Cards 6. Sole Source 7. Emergency Purchases 1.1 Petty Cash: Cash maintained in a department that may be used for purchases of $100 and under that must be made quickly and without prior notice on a contingency basis, for department purchases, or for official, organized activities of the City Commission or the various boards that function as part of the City government. Each Petty Cash fund has a designated custodian P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 10 of 62 responsible for disbursements and accounting. Petty Cash may be used when other methods of purchase are not practicable. Petty Cash shall not be used to reimburse travel or training related expenses. A Petty Cash Record and Reconciliation Form signed by the employee preparing the form and the Supervisor/Department Director detailing each purchase, including date, vendor, item(s), account number charged, and amount, along with the corresponding invoices should be attached to the form. The form must include a total amount to be reimbursed. The Finance Department will prepare a check payable to the fund custodian to reimburse the Petty Cash Fund. The Finance Department performs an annual audit of each Department's petty cash fund. 2.1 Processing without a Requisition/Purchase Order: A Department Director may submit invoices for a purchase of goods or services up to $2,000, thus avoiding the requirement of processing a formal Requisition/Purchase Order and obtaining quotes. When submitting an invoice for payment, the requesting department must submit a check request form and verify funds are available and include proper org/object numbers. The invoice must be attached. 3.1 Requisition/Purchase Order: The official legal record of contract between the City and vendor, issued separately or in conjunction with other documents, which delineates the responsibilities of both parties in the provision of and payment for goods and services required by the City. The Requisition/Purchase Order also is the mechanism by which budgetary and cash balances are encumbered in the City's accounting system. Requisition/Purchase Orders for goods and services are required for purchases over $2,000 (unless they fall under the exceptions listed in this policy). Purchase Orders in the Edmund system are created as a result of a department processing a Requisition. Requisitions should be prepared in advance to allow sufficient time for the solicitation process to take place and adequate time for delivery of the product or services required. Before submitting a requisition or request, the requesting department shall ensure that: a. Valid requirements have been established. b. Funds are available to cover the purchase. c. Sufficient information is provided so that the Purchasing Manager can determine the best method to make the purchase. d. Quotations or piggyback contract information are attached. e. Competitive specifications are provided. f. The estimated total dollar value of procurement has been reasonably estimated. The Purchasing Manager shall review the requisition or request for accuracy and compliance with purchasing policies and procedures. Approval overrides are not authorized. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 11 of 62 The Requisition must be initiated by the requesting department and approved by the Department Director in the Edmunds workflow. The requesting department must also verify that the proper org/object numbers have been used. Quotes, sole source documents, bid number reference, resolution number reference, and a copy of the resolution adopted by City Commission must be attached in Edmunds. The words "Quotes attached" or "Sole Source" or a reference to a resolution number must also be annotated within the requisition. The Purchasing Manager will review the requisition and supporting documentation from the requesting department to ensure the proper org/object number has been used and proper documentation is attached. The requisition is then forwarded to the Finance Director and City Manager by the Edmunds workflow for additional approval(s) as applicable. After approval(s) have been obtained, the Purchasing Manager will generate the Purchase Order. The Purchase Order is a legally binding contract which authorizes the vendor to ship and invoice for materials and/or services as specified. Purchase Orders that are clear, concise, and complete will help prevent any unnecessary misunderstandings and contract disputes with suppliers. The Purchase Order, generated in the City's Financial System, contains a pre -assigned number and preprinted general terms and conditions and billing information. The system will send the purchase order electronically to the requesting department. Once the requesting department receives the authorized Purchase Order, it is the department's responsibility to provide a copy to the vendor making sure the purchase order Terms and Conditions are forwarded to the supplier/vendor along with the Purchase Order. Once the order is shipped to and received by the requesting department, departmental staff must compare the receipt to the packing list and Purchase Order and examine the condition of the shipment. When the invoice is received by the requesting department, the invoice must be compared with the packing list to ensure complete delivery at the agreed price. If there is any discrepancy between the packing list amount received or with the invoice amount, the requesting department must contact the supplier and try to correct these issues and note the discrepancies on the invoice before processing for payment. Each department must develop and maintain a system for monitoring Purchase Orders for receipt of the goods or services to ensure compliance with these policies. The receiving department sends invoices to the Accounts Payable staff to process the payment. The City Manager and Finance Director signatures are electronically printed on the checks. A review of all checks to be printed is performed by the Finance Manager prior to printing and mailing payments to vendors. Invoices are to be paid pursuant to the applicable provisions of Part VII of Chapter 218, Florida Statutes (the Local Government Prompt Payment Act). P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 12 of 62 Acknowledgment: A supplier may send their own form for acknowledgment of order. Acknowledgment forms originating from suppliers should not be signed, because the signature of acceptance will signify that we have accepted all of the supplier's terms and conditions as printed on his/her acknowledgment form, thereby creating a new contract which could supersede the conditions of the Purchase Order. The new conditions often are not in the best interest of the City. Departmental staff should contact the Purchasing Division if the vendor refuse to ship without such a signed document. 4.1 Competitive Purchasing: Competitive purchasing are purchases made by soliciting goods or services from more than one potential vendor in an effort to obtain the lowest price, highest qualifications, best solution, or a combination of the foregoing, depending upon the type of goods or services required and the laws or regulations governing those purchases. Examples include: Request for Qualifications, Invitation to Bid or Request for Proposal. For additional information, please see procedures for Competitive Sealed Bidding infra. 5.1 Credit Card (VISA)/P-Cards: The City VISA Card should only be used when another payment method (i.e. purchase order, check, or petty cash) is not practical due to timeliness or other limitations. City credit cards are given to employees, with authorization of the Department Director, Finance Director, and City Manager, to facilitate the purchasing of items on-line, for City related travel and training, and to expedite the delivery of goods. Please reference to the City of Longwood Purchasing Card Policy #P-209 for additional policies and procedures governing the use of P-Cards. 6.1 Sole Source Procurement: A Sole Source purchase method is used when any materials, supplies or service can only be obtained from one vendor or manufacturer, thus eliminating the possibility of securing a comparative quote. Justification may include lead time; insurance; pay terms; substitution; proprietary/unique vendor quality(s); etc. Pursuant to City Code, § 62-66 — Sole Source or Negotiated Procurement, "a contract may be awarded for a supply, service, or construction without competition when the Purchasing Manager determines that there is only one source for the required service, supply or construction or by negotiation where the procurement by competitive procedures is not feasible or practicable." A Sole Source Justification Form must be filled out by the requesting Department Director and requires City Manager and Purchasing Manager approval BEFORE an order is placed via a Requisition/Purchase Order for goods. If for services, the form requires City Manager approval P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 13 of 62 BEFORE payment to vendor, not to exceed City Manager's signing authority. A Department Director may obtain the City Manager's approval of a sole source (evidenced by signature) to be used for repetitive sole source purchases from an identified vendor. The modified sole source designation includes an expiration date not to exceed one fiscal year. Repeat purchases may be made using a copy of the approved sole source. The annual accumulated amount of purchases made using the modified sole source form for one vendor may not exceed $50,000. For sole source purchases exceeding $50,000, the City Commission may approve an annual contract with vendors offering sole source products. The sole source request will be approved or disapproved based on the criteria set forth in this section and after a good faith effort is made to find other competent, available sources. The user department will be informed as to any requests which are disapproved, and the procurement must be made in accordance with standard procedures. Sole Source purchases will be considered based on meeting the following criteria: a. There is a lack of competition for a product or service and available from only one source of supply. b. It is a unique, one -of -a -kind service or product and the only item that will produce the desired results or fulfill the specific need. c. The product has certain essential patents, proprietary rights, or processes, and there is no satisfactory substitute item available. d. The purchase of the item involves a die, tool, mold charge, or costly setup, and the expense of duplicating the item or setup is likely to be substantial. 7.1 Emergency Purchases: If an emergency occurs, and a purchase must be made after office hours, on a weekend, or on a holiday when it is not possible to get a purchase order issued, the Department Director involved shall take responsibility for the necessary purchase and report it to the Finance Department/Purchasing Manager without delay. A Department Director must complete the Emergency Procurement Justification and Approval Form and receive the City Manager's signature authorizing the proposed purchase prior to placing the order for the goods or service. In the event of an emergency purchase, the Director may receive a verbal or email approval of the emergency purchase from the City Manager and complete the emergency purchase order and the Emergency Procurement form for the City Manager's signature as soon as practically possible thereafter. The requesting department is responsible for obtaining from the vendor the necessary affidavits, insurance certificates, proof of proper licenses, trade certificates, permits, etc., as the emergency work may require. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 14 of 62 As soon as possible, the requesting department shall submit to the Purchasing Manager the following documentation: a. A requisition identifying the request as an emergency purchase order ("EPO"). b. The vendor's written quotation or a best guess estimate for the good or service. c. The requesting department's written explanation of the emergency situation, to include a clear description of the goods or services sought and how and where it will be used. d. Any other supporting documentation, as may be applicable. The term "emergency" means an unexpected turn of events that causes: a. An immediate threat to the life, health, welfare and/or safety to City employees or to the public; b. An immediate danger of loss of public or private property; or c. An interruption in the delivery of an essential governmental service. If a Department Director or designee determines that an emergency situation exists that poses a clear and present danger to the community and which requires an immediate response, a contract may be awarded regardless of the amount of expenditure. A purchase order must be issued afterwards by the Purchasing Division upon receipt of acceptable supporting documentation from the requesting department. If the expenditure is in excess of $50,000, the City Manager shall present the circumstances to the City Commission for its ratification via resolution. The Purchasing Manager shall report to the City Manager any department emergency procurement practices that reflect poor operational planning or management and have the potential effect of defeating the purpose of the competitive procurement process. NOTE: Departments may not use the emergency procurement procedures to abuse or otherwise purposely circumvent established Purchasing Procedures. Failure to anticipate normal needs or project deadline dates or a desire to expend excess or remaining budgeted funds prior to the year's end does not constitute an emergency. 7.2 Emergency Disaster Purchases: Emergency disaster purchases are those purchases needed due to acts of nature, to include but not limited to, hurricanes, tornadoes, floods, fire, etc., and only when the federal government, state, county, mayor, or City Manager declares such events a state of emergency. Such events may also be man-made, such as terrorist attacks, an industrial accident, an active shooter, or a bacterial or viral pandemic. For acquisitions of this type, the following procedures shall apply: P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 15 of 62 a. The Department Director or designee, after verbal consultations with the Purchasing Manager and the City Manager, will have the authority to enter into any contract when the Department Director determines that the acquisition is necessary to preserve the life and safety of City residents and the greater community. b. The Department Director or designee shall first contract with vendors already on City contracts for the goods or services needed. c. All emergency disaster purchases that are acquired without full and open competition or under an existing contract must be subsequently ratified by the City Manager or City Commission, as appropriate. GENERAL PROCUREMENT POLICIES The following policies govern the procurement of goods and services for the City in accordance with the existing Purchasing Ordinance: 1. All contracts and all purchases must be made through and by the Purchasing Division except as otherwise exempted by the City Manager or the City Commission. 2. No contract, purchase, purchase orders, or group of requisitions may be subdivided to avoid the bid solicitation or quotation process. 3. It is unlawful for a City officer or employee to order the purchase of any materials, supplies, equipment, or contractual services, or make any contract other than through the City Manager or the Purchasing Manager. Any purchase, order, or contract made contrary to the provisions thereof will be deemed an unauthorized purchase and null and void unless otherwise ratified or approved by the City Manager or City Commission, depending on the amount of the purchase. 4. In cases of extreme emergency, and only in such cases, the Purchasing Manager, City Manager, or his/her designee may make or authorize others to make emergency procurement when there exists a threat to public health, welfare, or safety, provided that such emergency procurement is made with such competition as is practicable under the circumstances. A full written justification of the basis of the emergency must be included with the requisition and documented on the emergency purchase order requisition. 5. Awards for purchases must be based upon the criteria applicable to solicitations of the type requested. 6. Deviations from the policies and procedures prescribed herein may not be made without prior approval of the Purchasing Manager. 7. The City shall not enter into any contract or agreement containing an automatic renewal P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 16 of 62 provision or that automatically renews, where at the time of such renewal, the contract or agreement fails to contain pricing terms or guarantees relating to pricing that will apply for the renewal period. The City shall provide a notice in its procurement or letting documents that notifies potential bidders, proposers, or vendors that the City will not accept any submissions in contravention of this paragraph. Additionally, submissions in contravention of this paragraph will be deemed non -responsive and rejected from further consideration. Notwithstanding the preceding, if the City fails to place this prohibition in any procurement or letting documents, then all potential bidders, proposers, or vendors are on notice that the prohibition still constitutes valid grounds for declaring any submissions non -responsive and rejected from further consideration. Furthermore, if the City enters into a contract or agreement in contravention of this section, the City will have the right to terminate such contract or agreement at no cost or penalty to the City prior to contract renewal or extension, regardless of the termination provisions of such contract or agreement. 8. All agenda items involving procurement and/or purchases must be reviewed by the Finance Director and/or Purchasing Manager prior to being placed on the agenda. UNAUTHORIZED PURCHASES Unauthorized purchases are prohibited. City employees may not order the purchase of any goods or services other than through the Purchasing Division, unless utilizing an authorized purchasing card. City employees will be liable for unauthorized purchases, and appropriate disciplinary action will be taken pursuant to the City of Longwood Personnel Policies and Procedures. The Department committing the unauthorized purchase will document the incident with a memo to the City Manager via the Purchasing Manager explaining the details of the unauthorized purchase. These details must include a brief summary of what happened and the corrective action that the Director has taken to prevent unauthorized purchases in the future. The memo must state any disciplinary action taken and request the City Manager approve the unauthorized purchase if under $50,000. Unauthorized purchases of $50,000 and greater must be submitted to the City Commission for approval. Any purchase or contract made contrary to the provisions hereof is not be binding on the City unless approved by the appropriate authority. Some examples of unauthorized purchases are as follows: a) Ordering, receiving, or accepting goods or services in excess of $2,000 without an approved Contract or Purchase Order. b) Directing a Vendor to proceed with work without a fully executed Contract. A fully executed Contract is defined as an agreement that has been signed by both the Vendor and the proper Contract authority of the City clearly describing the goods or services being contracted for and P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 17 of 62 to what extent the City is financially obligated. c) Directing or authorizing a change order to an existing Contract without ascertaining the availability of funds or obtaining approval that change is within the scope of Contract if applicable. See Change Orders infra. d) Any contractual obligation that is made by an individual, division or department that obligates the City to another party without the current availability of sufficient funds to cover the obligation. e) Splitting purchases or requirements that exceed $50,000 into distinctly different Purchase Orders as an effort to circumvent the City's competition requirements or to avoid obtaining proper Contract approval. VIOLATIONS OF THE PURCHASING POLICY The Purchasing Manager will refer discrepancies, violations of the purchasing policy, abuse or misuse to the City Manager. The City Manager will ensure an inquiry is completed and appropriate discipline assigned, if applicable. Use of city funds for personal gain will require immediate reimbursement to the City and will result in disciplinary action to include the possibility of termination depending upon the severity of the violation. Misuse is an intentional or unintentional violation of the purchasing policies when such violation does not inure to the personal gain. Abuse is the intentional or unintentional violation of purchasing policies for personal gain. Nothing herein will preclude the City from pursuing additional legal remedies or reporting potentially criminal behavior to appropriate law enforcement agencies when warranted. PURCHASING THRESHOLDS Single Quotation (Purchases Less than $2,000): Goods or deliverables where the estimated price of the materials, equipment, or supplies is $2,000 or less may be purchased based on one verbal quote, provided the price is deemed to be fair and reasonable. Purchasers are encouraged to obtain estimates to gauge the reasonableness of the pricing. Additional quotes may be obtained whenever there is a reason to believe a quotation is not a fair and reasonable price. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 18 of 62 Verbal Quotes (Purchases Over $2,000 and Less Than $10,000): 3 verbal requests for quotations is solicited for purchases estimated to cost more than $2,000 and less than $10,000, unless there is an emergency in which case justification must be properly documented. Staff will provide rationale in writing when there are less than the minimum number of quotes available. Written Quotes (Purchases Over $10,000 and Less Than $50,000): 3 written requests for quotations is solicited for purchases estimated to cost more than $10,000 and less than $50,000, unless there is an emergency in which case justification must be properly documented. Staff will provide rationale in writing when there are less than the minimum number of quotes available. Formal Bids (Purchases Over $50,000): Competitive sealed bidding or competitive sealed proposals must be utilized for purchases of supplies, materials, equipment, and contractual services in excess of $50,000. See Section "Competitive Sealed Bidding" for procedures relating to Invitations to Bid. OBTAINING QUOTES: a. The requesting department will create a written specification and description of its need(s) and fax or email such to potential vendors; b. All vendors must quote to the same specification; c. Requesting departments must ensure equal opportunity is given to a variety of vendors when selecting for quote. d. The specification must include: City's Name, Delivery Address, Phone, Fax, Item Description, Quantity, Unit of Measure, Freight reflected as "Delivered", Date Needed, Price Expiration Date, and a copy of the City's Tax -Exempt Letter and Terms and Conditions for Purchases and any other information deemed necessary; e. Vendor must agree to City's Terms and Conditions, if not, any modifications must be approved by the City Attorney; f. "No Quote" from a vendor may count as a quote if proof is provided that one or more quotes were solicited (copy of faxed confirmation with date and time faxed or copy of sent email reflecting address of each vendor) and documentation is provided to show that multiple efforts were made to reach vendors. g. Copies of the quote responses must be attached to the requisition along with the reason the selected vendor was chosen. If a signature line is provided on a vendor quote form, the City Manager is the only one authorized to P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 19 of 62 sign. It is preferred that the requesting department cross the line out; however, if the vendor pursues a signature on the quote form, the requesting department should send the form to the City Attorney for review and upon review and approval, he/she will forward the document to the City Manager for signature. The City Manager's Office will return the proposal to the originating department once the City Manager has authorized such purchase. The requirement for written quotes may be waived if it is established by the Department Director that the item is available only from a single source, proprietary source, or after solicitation of a number of sources, competition is determined inadequate. The Sole Source documentation must be signed by the City Manager, attached to, and kept with the Requisition/Purchase Order. CHANGE ORDERS Change Orders will be initiated for purposes of adjusting quantities, price changes, addition or deletion of items, account number corrections, cancellations, or changes relating to shipping. Change orders provide a method for amending existing purchase orders, blanket purchase orders, or contracts. It is a written modification to a contract or purchase order, which normally establishes a change in the work, the cost impact on the contract, if any, and the extent of the adjustment in the contract time, if any. The department requesting the Change Order shall complete a Change Order Request Form and submit the form to the Purchasing Division. The change order request must include the vendor name, purchase order number, requisition number, monetary dollar breakdown per account number, and a clear and concise explanation for the changes. If change order was approved by City Commission, the department must include all related information and documentation. Change order requests for cancellation of the Purchase Order may be processed, provided that there has been no usage of the item(s). Otherwise, the Purchase Order will be kept open, and the encumbrance will be not released. Change order requests that indicate a price increase for specific items must include proper justification for such. Change order requests must be processed for all changes that affect the original Purchase Order by an increase of $50.00 or 10% or more of the original dollar amount, whichever is less. If the increase is less than $50.00 or 10% of the original Purchase Order dollar amount, the department must make the appropriate change on the receiving report and forward it to Finance marked "approved for Payment as submitted." P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 20 of 62 Change orders need not be processed for decreases in the original Purchase Order amount of less than 10% or $50.00, whichever is less. In such a case, the department shall make the appropriate change on the receiving report and forward it to Finance marked "approved for Payment as submitted." The Purchasing Manager, as designee of the City Manager, shall have the authority to approve amendments of contracts awarded, in which the total amount of the resulting contract does not exceed $3,000. The Purchasing Manager has the authority to approve all changes in the amount of the original contract, regardless of original total cost, which reduces the total cost of the purchase, provided such changes do not have a material effect on the nature or objectives of the project or shift liability from the vendor to the City. The City Manager shall have the authority to approve change order amendments of all contracts approved by the City Commission, provided the amount of the contract modification does not exceed 15 percent of the amount of the original contract, or $10,000, whichever is less. All change order amendments issued that modify a contract approved by the City Commission, the revised total cost of which exceeds 15 percent of the amount of the original contract, shall require the approval of the City Commission. Further, the City Manager shall have the authority to approve change orders or other amendments of all contracts in situations where the total amount of the contract as amended will not exceed the City Manager's purchasing authority. BLANKET PURCHASE ORDER Requests for Blanket Purchase Orders are initiated by the Department. A requisition for a Blanket Purchase Order contains the same information as a regular requisition. All requisitions must be reviewed and approved by the appropriate authority to assure that budgeted funds are available to cover the purchase. The purpose of a Blanket Purchase Order (BPO) is to consolidate repetitive purchases from the same vendor. A Blanket Purchase Order is a contract under which a vendor agrees to provide goods or services on a demand basis over a specific period of time (usually one fiscal year). The contract generally establishes a maximum dollar limit, the period covered, and any pertinent terms and conditions with no definite quantities. Shipments are to be made as required by the requesting Department or Division. After a Blanket Purchase Order (BPO) is issued, the user department is authorized to place orders directly with the vendor via telephone, fax, or e-mail. The user department must verify that the prices quoted by the vendor match the contract prices on the Bid Form. Verification is necessary to avoid P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 21 of 62 incorrect invoicing and charges by the vendor. If the prices match, the vendor is provided with the BPO number and delivery schedule. Partial payments are made against the BPO as items are purchased until the maximum dollar amount encumbered for that BPO is reached. The department must promptly acknowledge receipt of the items by signing, dating, and approving the amount of payment. For partial payment requests, a copy of the receiving report is stamped and signed and the original is kept until all work is complete or all items are received and final payment is requested. The invoice for payment must be forwarded to the Finance Department for payment processing. Monitoring: Blanket Purchase Order expenditures must be monitored very closely by the user department to avoid exceeding the limits of the BPO. In addition, the expiration date should be monitored to allow adequate time for bid solicitation or to request renewal of the existing contract. The Purchasing Division may randomly monitor Blanket Order purchases to ensure adherence to Contract prices and City procedures. COMPETITIVE SEALED BIDDING It is the policy of the City of Longwood to comply with § 287.055 — Consultant's Competitive Negotiation Act (CCNA) as required by state law. Federallyfunded projects must follow Federal procurement standards in the "Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards", 2C.F.R. Sections 200.213 and 200.317-326. Competitive sealed bidding is the preferred method of source selection and, absent an applicable exception, must be used for the acquisition of commodities, services, or construction exceeding $50,000. Unless otherwise prohibited by law, the City Manager may waive the competitive bid process for purchases not exceeding $50,000 if he determines competitive bidding is not practicable or advantageous to the City. Similarly, if not otherwise prohibited by law, the City Commission may, by majority vote, waive the formal procurement procedures for the procurement of a particular good, material, equipment, or service if the City Commission deems such waiver to be in the best interest of the City. The requesting department, in conjunction with the Purchasing Division, will determine which competitive procurement method is most practical and advantageous to the City. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 22 of 62 Those methods may be by: 1. Invitation to Bid. (ITB) 2. Request for qualifications (RFQ) pursuant to Consultant's Competitive Negotiation Act (CCNA) or those not governed by the CCNA. 3. Request for proposals. (RFP) 4. Design -build services contract in accordance with the CCNA and after coordination with the City Manager or designee. 5. Piggyback Agreements 6. State of Florida Term Contracts 1. Invitation to Bid (ITB) Preparation of the invitation to bids: An invitation to bid must contain or incorporate by reference the specifications and contractual terms and conditions applicable to the procurement, and a statement of any requisite qualifications of potential contractors. Issuance and public notice of the invitation to bids: The solicitation of competitive bids or proposals for any construction project that is projected to cost more than the adjusted threshold of $200,000 must be publicly advertised on the newspaper of general circulation at least 21 days prior to the established bid opening and at least 5 days prior to any scheduled pre -bid conference. The solicitation of competitive bids or proposals for any construction project that is projected to cost more than $500,000 must be publicly advertised at least once in a newspaper of general circulation in the county where the project is located at least 30 days prior to the established bid opening and at least 10 days prior to any scheduled pre -bid conference per § 255.0525(2), Florida Statutes. Bids or proposals will be received and opened and read aloud at the location, date, and time established in the bid or proposal advertisement. In cases of emergency, the procedures required in this section may be altered by the City in any manner that is reasonable under the emergency circumstances, (see emergency purchases section). If the location, date, or time of the bid opening changes, written notice of the change must be given as soon as practicable after the change is made to all persons who are registered to receive any addenda to the plans and specifications. A construction project may not be divided into more than one project for the purpose of evading the requirements in this section. Pre -bid conference: A pre -bid conference will be held whenever deemed appropriate by the Purchasing Manager. Generally, a pre -bid conference is conducted with bidders when the solicitation is complex, large, or contains critical requirements or specifications. The pre -bid conference is usually held after issuance of a solicitation and before submission and opening of bids. Attendance at the P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 23 of 62 conference by the vendor may be optional or mandatory and will be stated as a bid condition. Public opening and announcement of all bids timely received: All bids timely received are opened in public at the time, date, and place stated in the public notice and the bid prices are read aloud. Evaluation of the bids: The bids and the qualifications of the bidders are examined by the purchasing agent for compliance with the requirements set forth in the invitation to bids. All bids that are compliant are forwarded to the responsible department for evaluation. Recommendation of award and award to the lowest responsive and responsible bidder: After the evaluation of all bids, a recommendation of award is brought before the City Commission for approval. Once approved, the bid will be awarded to the most responsive and responsible bidder who meets the requirements set forth in the invitation to bids and who meets the best interest of the City. Specifications: The specifications is the section of the bid solicitation document that describes the technical or functional requirements for the equipment, goods, services, or construction being purchased. It also includes the criteria for determining whether these requirements are met. 1. The preparation of specifications is the responsibility of the user department/division with review by the Purchasing Division. The department shall follow a standard format for specification development or may consider using a committee to develop the specifications. 2. Specifications must be clear and precise, promote competition, avoid favoritism, and not be unduly restrictive. Subject matter experts within the department should be consulted when drafting specifications. 3. The item or service should be described in detail so as to fully identify all needed technical and functional requirements and characteristics. The stated requirements must be capable of being checked with reproducible test methods. Numerical requirements may include tolerances. 4. Brand name specifications limit competition and, therefore, usage should be avoided. Brand name specifications may include a brand name or approved equal and are used as a reference only to identify the desired quality and performance characteristics. To avoid the appearance of being too restrictive, the department should list more than one brand name and the essential design and performance characteristics. 5. Design or technical specifications list in detail how a product is to be made or a service carried out by prescribing the materials to be used and the method of manufacturing in producing the desired end item. 6. Performance or functional specifications focus on the result expected or required of a product or service rather than how it is to be made or accomplished. The responsibility for the technical capability and capacity to achieve a workable product is left to the supplier. 7. Qualified products or approved brands lists are compilations of manufacturers and brand names P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 24 of 62 developed on the basis of a written specification. The qualified products list (QPLs) are used for items that require lengthy testing or examination procedures. This avoids having the test period fall between the receipt of bids and contract award dates. 8. Engineering drawings typically are the most accurate method of describing needs and may be used with other physical descriptions or used alone. The most common use for engineering drawings is for construction projects, foundry or shop work, and special mechanical parts. 9. Blueprints are architect -engineering drawings used for construction projects. Like engineering drawings, they may be used in conjunction with other physical descriptions to describe exact requirements. Upon receipt of the complete specification from the department, the Purchasing Manager shall prepare the Invitation to Bid. The Invitation to bid document shall contain a: 1. Cover sheet; 2. Pricing section; 3. Standard terms and conditions; 4. Special provisions such as warranty, bonding and security requirements; 5. Required bid forms and, 6. Specifications. Public Notice: Public notice of the Invitation for Bid is required and includes posting an announcement of the bid in a public place, notification of suppliers from the bidders list, and formal advertisement in a newspaper of general circulation and/or other publications, as determined by the Purchasing Manager. Public notice must be provided a minimum of thirty (30) calendar days prior to the date set forth for the opening of bids and be posted or shared in a manner reasonably calculated to reach potential bidders for the types of services or products solicited. The public notice shall, at a minimum, contain the following instructions and information: 1. Bid number and title, 2. Due date; 3. Time of bid opening; 4. Location and address for delivery of bids; 5. Place for opening of bids; 6. Any other information as deemed appropriate by the Purchasing Manager. Pre -bid Conference: The purpose of a pre -bid conference is to promote competition through enhanced understanding of the specifications and terms and conditions of the bid solicitation. Conferences also provide an opportunity to clarify critical aspects of the solicitation, eliminate P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 25 of 62 potential ambiguities or misunderstandings, and permits vendor input. Site visits may be required as part of the solicitation and combined with the pre -bid conference. The pre -bid conference is usually held after issuance of a solicitation and before submission and opening of bids. Attendance at the conference by the vendor may be optional or mandatory and will be stated as a bid condition. When mandatory, attendance is required, and only bids from those firms represented at the conference or site visit will be accepted. If changes to the solicitation result from the pre -bid conference, the Purchasing Division shall issue a written addendum. The addendum shall be sent to all prospective bidders known to have received the solicitation. Amendments to a Solicitation: Notification of a cancellation or an amendment to a solicitation must be made in the form of a bid addendum and will be posted online. It is the responsibility of all potential bidders to ensure they receive information related to an addendum. The signed acknowledgment of addenda must be returned to the Purchasing Division prior to the time and date of the bid opening or with the bid or proposal. When an addendum is issued that requires additional time for the vendor to prepare a solicitation response, the opening date should be extended. Receipt of Bids: All bids received prior to the time of opening must be kept in a secure location. Bid responses will remain unopened until the specified date and time. If an invitation to bid is canceled, the bid must be returned to the vendor. Bid samples, when submitted, will be safe -guarded to prevent disclosure of contents before bid opening. Unidentified bids may be opened solely for the purpose of identification. Documentation of the name of the person opening the bid, the date and time opened, and the invitation to bid number must be marked on the bid envelope. Unless expressly authorized in the solicitation, email and facsimile bids will not be accepted due to confidentiality of information and lack of original signature. Facsimiles and emails, however, may be accepted for written quotes and confirming telephone quotations. Bid Opening: At the specified time and date of the bid opening, the Purchasing Manager or his/her designee shall publicly open and read aloud all bids received. A representative from the department submitting a bid request should be present to witness the bid opening. Questions concerning the bids will not be answered until after the bid evaluation is complete or an award is made. A tabulation of all bids received will be made available for public inspection in the Purchasing Division during regular business hours. Bid Evaluation: As soon as practical after the opening, the bids will be evaluated and an award made P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 26 of 62 to the most responsive and responsible bidder(s) who submits a bid that is deemed to be in the best interest of the City. In addition to the requirements of being responsive and responsible, bidders are evaluated based on the following: quality of the product or service provided, pricing, ability to timely deliver, ability to provide maintenance and service, and discount terms and conditions. Bid Bond/Deposits: When the Purchasing Division deems it necessary, bid bonds as bid security will be required by the Invitation to Bid. Unsuccessful bidders will be entitled to the return of the security upon request to the Purchasing Manager. A successful bidder will forfeit any surety required by the Purchasing Manager in the Invitation to Bid upon the bidder's failure to enter into a binding contract with the City within the specified time following the award, usually 10 days after notification of award. Bid security may be in the form of bid bonds, cashier's check, or cash. Bid bonds and performance/payment bonds are generally required for construction projects that are estimated to cost more than $25,000.00. Responsible Bidder: A responsible bidder is a regular dealer or supplier of the goods or services offered; has the logistical ability to comply with the required delivery or performance schedule; has a satisfactory record of performance and integrity; and has the necessary facilities, organization, experience, technical skills, and financial resources to fulfill the terms of the bid or contract. Responsive Bidder: A responsive bidder must comply with the provisions of the solicitation, including its specifications, terms, and conditions. A bidder may be declared non -responsive for failure to sign the bid, substitution of vendor's terms in lieu of those of the City, deletion of terms and conditions stated in the solicitation, failure to offer a product or service that meets the requirements of the invitation to bids, and other similar failings with regard to meeting the requirements of the solicitation. Tie Bids: If two (2) or more vendors submit identical tie bids, with respect to price, quality, and service, or if two (2) or more firms be deemed equal during the request for proposal selection process, the following criteria, in order of importance, will be used to break the tie: 1. Drug Free Workplace Certification. 2. Delivery time. 3. Prompt payment discounts. 4. Location of vendor's place of business (award to vendor whose place of business is within the City limits. 5. Oral Presentations to the City Manager and City Commissioners. Bid Award: After the bids have been tabulated and evaluated by the user department and the Purchasing Manager, a recommendation for award will be prepared and placed on the agenda P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 27 of 62 for City Commission approval. Protest: Vendors protesting an award or a solicitation must do so within seven (7) calendar days after the award has been made. Rejection of Bids: A bid response that fails to provide the required forms or does not comply with the terms and conditions of the invitation to bid may be deemed non -responsive and rejected. Bid submittals that contain alternate bid(s) will not be considered responsive and may be disqualified, unless the solicitation specifically authorizes the submission of alternate bids. 2. Consultants' Competitive Negotiations Act (CCNA) The purpose of this section is to ensure compliance with § 287.055 Florida Statutes, known as the Consultants Competitive Negotiation Act (CCNA), as it may be amended from time to time. Architectural, engineering, landscaping architectural, registered land surveying and registered mapping services are required to be requested through a Request for Qualifications (RFQ) in accordance with the CCNA. A Request for Qualifications (RFQ) is required when professional services must be purchased in conjunction with a project where the construction cost is estimated by the agency to exceed the threshold amount provided in Category Five ($325,000) and for all planning or study activities where the fee is for professional services exceeds the threshold amount in Category Two ($35,000). The exception to this is in cases of valid public emergencies certified by the head of the City (i.e., the City Manager or the City Commission, as may be applicable). The public notice must include a general description of the project and must indicate how interested consultants may apply for consideration. In response to the published RFQ, the City will receive Proposals or Statements of Qualifications (SOQ) from the interested professional firms. Based upon their SOQ, the professional firms are evaluated on their qualifications, which include an analysis of their capabilities, adequacy of personnel, past record, experience, whether the firm is a certified minority business enterprise as defined by the Florida Small and Minority Business Assistance Act, and other factors determined by the City to be applicable to the particular project requirements. A chosen number of professional firms, usually 5 to 7, are then selected for interview by staff. From the interview, the top three (3) firms are tentatively ranked, and an item is placed on a City Commission agenda to authorize staff to attempt to negotiate a contract, beginning with the highest ranked firm, and execute same once agreement is reached. Certain contacts with professional Engineering, Surveying, Architecture or Landscape P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 28 of 62 Architecture firms, are not restricted by the requirements listed above. In summary, projects that fall beneath the thresholds required for compliance with CCNA are as follows: A professional services contract for Engineering, Surveying, Architecture or Landscape Architecture for projects with an estimated construction cost of up to $325,000 or a planning or study activity up to $35,000; and The City may use an existing continuing contract' for Engineering, Surveying, Architecture or Landscape Architecture services for projects with an estimated construction cost up to $2 million or planning or study activity up to $200,000. Upon meeting either of these two conditions, the City must comply only with the City's purchasing policy and applicable ordinances. Professional services estimated to cost less than $20,000 may be procured by choosing professional services providers from the list of professionals with continuing contracts, as defined by Section 287.055, Fla. Stats. ("CCNA"). Purchases for professional services are exempt from competitive purchasing requirements and exempt from the requirement for quotes if the professional has a continuing contract and estimated costs for the services is $200,000 or less. Professional services estimated to cost between $50,000 and $200,000 must be approved by the City Commission even if a professional has a continuing contract with the City; however, these purchases are not subject to request for qualifications procedures as set forth in CCNA. 3._ Requests for Proposals (RFP) Sealed proposals are used for acquisitions where price is not the only consideration and other criteria such as quality control and performance should receive an equal or higher rating during the evaluation process. Competitive sealed proposals (Request for Proposals) are generally used as a method of source selection when competitive sealed bidding is not practicable or advantageous for the City. The procurement of new technology, non-standard items, specialized services or professional services are a few examples of circumstances when the use of sealed bidding would not be practicable. The user department shall develop the scope of work for the Request for Proposal (RFP). The Purchasing Manager shall prepare the proposal documents and draft agreement for inclusion in the RFP package. The Purchasing Manager in conjunction with the using agency shall develop the 1 It should be noted that while existing continuing contracts may be used in this manner, a continuing contract for services bid out pursuant to the CCNA must be initially procured using the CCNA procedures. See AGO 2010-20. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 29 of 62 RFP to include the following elements: Project Description: The Project Description is a general introduction that states the purpose of the acquisition and defines what the City expects to accomplish from the contract. It may include historical or background information about City or the project. It gives a brief overview of the project requirements and defines the contract term. Statement of Work / Scope of Services: The Statement of Work or Scope of Services should describe the essential and technical requirements of the acquisition. It usually includes a definition of the desired results and the standards by which they will be measured. It is imperative that the Statement of Work or Scope of Services be specific as to these results and standards, because a failure to communicate clearly the desired work or services may result in the receipt of proposals for work, services, and deliverables that are not truly responsive to the needs of the user department. The major sections of the statement of work include: introduction, tasks and performance, contractor requirements, contractor responsibilities, and purchaser responsibilities. a. The introduction may include a section of definitions to special words, terms, or phrases. The SOW defines a logical flow of activities, specifies the expected results, and delineates how this will be measured. b. Specific tasks should be defined with deliverable products for each task and performance measurements. c. Qualifications define any professional certifications, abilities, or experience standards the contractor must meet. Requirements for management, administrative, technical, and staffing capabilities and capacity are identified. d. Responsibilities of the contractor include work schedules, quality control, and repair service response. e. The City's responsibilities include contractual duties and obligations. Special Terms and Conditions: The special terms and conditions of the request for proposal may be similar to the provisions in an invitation to bid. The special terms and conditions section of the solicitation should include the following information: • Whether a pre -proposal conference will be conducted and if so, the time and date of such as well as whether attendance is mandatory; • Whether a site inspection will be permitted and whether and when the City intends to host the site inspection; • An outline of pertinent terms and conditions such as invoicing and payment procedures; required certificates and licenses; bonding requirements, insurance and liability requirements; P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 30 of 62 liquidated damage clauses; contract extensions and renewals; intellectual property infringement indemnification; other indemnifications and hold harmless terms; guarantees and warrantees; and the required content and format of any proposals to be submitted. Evaluation Criteria: The Purchasing Manager, assisted by the user department, should develop detailed evaluation criteria concurrently with the statement of work. The criteria should be assigned a relative weight with regard to one another, be listed in order of importance, and/or otherwise have point values attributed to each criterion. The general categories of the evaluation criteria may include technical and management capabilities, approach to work, previous contracting experience with the City, past performance with other governmental entities, evidence of insurance capacity, financial resources, and total contract price. Instructions for Submittal: The request for proposal will include specific instructions addressed to vendors for the preparation and submittal of proposals. Generally, the proposal preparation section will be divided into four (4) segments with instructions for providing specific information pertaining to the project: a. The Qualifications and Experience section lists the contractor or consultant's general experience, experience on similar projects, requested resumes, list of personnel assigned to the project with specific functions or responsibilities, chart of each task showing staff commitment, and financial information and bank references. b. The Methodology section provides a brief summary or explanation of how the proposer plans to approach the task and the specific steps to accomplish each task. The vendor must demonstrate their understanding of the services required and identify any problems anticipated and propose solutions to these problems. c. The Proposal Price Schedule section contains the price for the entire project. If required by the RFP, it may also contain the itemized costs for the project by activity as identified on the project schedule including hours, hourly rates, total labor by professional category, purchased materials, travel, per diem charges, subcontractor costs, and other expenses. The proposer should include a proposed billing schedule based on the cost of each deliverable item. d. The section for other information varies is generally specific to the project. It may contain special forms required by the Purchasing Division, such as Drug Free Work Place Form or other specific information. Specific instructions for the submittal of the proposal should include: P-208 —Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 31 of 62 a. Where and how to direct technical or contractual inquiries pertaining to the RFP. b. How RFP addenda, if any, will be communicated to the proposers c. RFP due date, time, and address for submittal of response. d. Security requirements, if any. e. Performance bond and insurance requirements. f. Applicable forms required. g. Term of contract and any available renewals or extensions. Sample Contract: The proposal package should also contain the contract document for the specific project that contains additional terms and conditions pertaining to the responsibilities of the contractor after award and during the performance of the contract. Public Notice: Public notice of the request for proposal must be given at a reasonable time prior to the date set forth therein for the receipt of the proposals, in accordance with the Purchasing Code. Notice must be sent to all prospective vendors on the City's vendor file, which vendors are listed under the corresponding commodity code. Inclusion on this list does not infer or mean that the vendors are qualified to perform. The user department shall notify the Purchasing Division of any additional prospective vendors to include in the proposer list. The RFP must also be advertised in a newspaper of general circulation or other publications, as determined by the Purchasing Manager. Public notice must be provided a minimum of twenty- one (21) calendar days prior to the date set forth for the opening of the proposal. Receipt of Proposals: Proposals will be opened publicly at the time and place designated in the request for proposal. Only the names of the proposers responding to the RFP will be disclosed at the proposal opening. Proposals will remain open for public inspection after contract award as provided for in § 119.071(1)(b)2., Florida Statutes (2023). Inclusion of confidential proprietary business information is discouraged; however, if the nature of the solicitation requires any such information to be provided in a proposer's response, it will be the proposer's responsibility to mark those items as confidential and cite the statutory basis for such exemption. Failure to do so will be deemed as consent from the proposer allowing the information to be disclosed. Marking items confidential, however, does not necessarily mean that the information will be treated as such if there is no statutory basis for the information to be protected under Florida's broad public records laws. If there is no statutory exemption from Florida's public records law, then the City will nonetheless be required by law to disclose the information pursuant to a public records request made to the City. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 32 of 62 Evaluation Process: a. The Purchasing Division shall perform the initial review of the proposals to identify those responses which are non -responsive or incomplete. Generally, non -responsive or incomplete responses will be eliminated from further consideration. b. Purchasing shall provide the Department with a copy of each proposal, the proposal summary form, and, if applicable, an evaluation rating form. The letter of transmittal to the department must identify those proposers which are non -responsive or incomplete. c. Highly technical or complex proposals may require review by an evaluation team or committee. The members of the evaluation committee must include representatives from the user department, any other individual with specialized expertise, the City Manager or his/her designee, and a representative from the Purchasing Division. The representative of the Purchasing Division may serve on the committee as non -voting chairman. Generally, the members of the evaluation committee are identified and a list of committee members is provided to the Purchasing Division prior to the RFP advertisement. There are several methods for evaluating and scoring proposals. The Evaluation Committee shall select the most effective method relative to the scope of work. The three most common methods utilized are: a. Each team member scores the proposal evaluation criteria separately and individually. If the criteria in the RFP were not previously weighted, the committee members should assign a weight to each criterion by its relative importance, with the total weight equaling 100. Scores shall be assigned for each criterion on the basis of 1 to 5 and should represent the evaluator's best objective judgment. Please see Scoring Definitions for scoring explanations. The score of the criterion is multiplied by the weight of the criterion to obtain the total score. Totals are added downward to gain a cumulative grand total for each proposal. The team then meets to tabulate and average the individual scoring results for each proposal. The proposals are ranked in descending order corresponding to the composite score of each proposal. Generally, the proposer with the highest score of all evaluations is recommended for award. b. The individual committee members evaluate and score each proposal independently. The members then meet to negotiate differences and agree on an overall team score for each proposal rather than averaging scores to develop the proposal rating. c. The third method of proposal evaluation requires team effort throughout the entire process. The team reviews each proposal and agrees on its evaluation. The team also reviews prices and, if applicable, costs to correlate them to the ranking to determine the P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 33 of 62 cost -benefits of each proposal. Once all proposals are evaluated, the team recommends award to the firm representing the best value to the City. Scoring Definitions: Score of 1 = Poor - Proposal content is deficient or inadequate in most basic requirements, specifications, or provisions for the specific criteria. Score of 2 = Below Average - Proposal meets many of the basic requirements, specifications or provisions of the specific item but is lacking in some essential aspects of the specific criteria. Score of 3 = Average - Proposal adequately meets the minimum requirements, specifications or provisions of the specific item and is generally capable of meeting the City's needs for the specific criteria. Score of 4 = Above Average - Proposal more than adequately meets the minimum requirements, specifications, or provisions of the specific criteria and exceeds those requirements in some aspects for the specific criteria. Score of 5 = Excellent - Proposal exceeds minimum requirements, specifications, and provisions in most aspects of the specific criteria. If price is included as one of the evaluation criteria, the lowest priced proposal should receive the maximum weighted score for the price criterion. The other proposals should receive a percentage of the weighted score based on the percentage differential between the lowest proposal and the other proposals. During the evaluation process, the evaluation committee may require additional information or clarification. The Purchasing Division may schedule individual presentations and interviews with the consultants as required. Negotiation with Responsible Offerors: a. If it is determined that negotiation will result in a more advantageous contract for the City, Purchasing may conduct negotiations with offerors for the purpose of clarification to assure full understanding of and responsiveness to the requirements of the request for proposal. Generally, negotiations are conducted with the highest ranked firms. b. Each offeror will be accorded fair and equal treatment with respect to its opportunity for discussion and revision of its proposals. Discussions must be made with offerors individually and information obtained from one competing offeror may not be disclosed to another offeror. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 34 of 62 Award a. Award will be made to the responsive offeror whose proposal is determined to be the most advantageous to the City, taking into consideration price and the other evaluation factors set forth in the request for proposals. b. If the Purchasing Manager or City Commission determines that none of the proposals is advantageous to the City, the City will have the right to reject any and all proposals. c. The contract file must contain the supporting documents for which the award is made or rejected. 4. Design Build Construction The City Administrator is authorized to determine that a City project will be constructed under a design -build contract and may authorize the preparation of a design criteria Package pursuant to § 287.055(9), Florida Statutes. This procedure applies to the acquisition of all design -build public construction projects. The scope of the procedure is: Selection Advisory Committee: For each design -build project there will be a Selection Advisory Committee composed of the following persons: 1. Public Works Director or his/her designee 2. Purchasing Manager or his/her designee 3. A representative from the department for which the project will be constructed 4. One or more individuals appointed by the City Manager 5. The design -build criteria professional may assist the Selection Committee as a Technical Advisor 6. The Project Manager, if applicable. The Selection Advisory Committee shall serve in an advisory capacity to the City Manager and City Commissioners through completion of the design -build project. The Selection Advisory Committee shall interview and recommend the design criteria professional and the design -build firm. Design Criteria Package: All design -build projects require a design criteria package to define the project parameters that will be used to assist the Selection Advisory Committee in evaluating the proposals. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 35 of 62 1. The design criteria package consists of performance -oriented drawings or specifications, or both, of the project. 2. The design criteria package must be prepared and sealed by a design criteria professional employed by or retained by the City. If the City elects to enter into a professional services contract for the preparation of the design criteria package, the design criteria professional must be selected and contracted in accordance with the requirements of §§ 287.055(4) and (5), Florida Statutes. 3. The design criteria services of a firm under continuing contract may also be utilized if the project is estimated to be less than $2,000,000 and provisions for design criteria services are in the contract. 4. The City may also elect to utilize the services of a City employee if that employee is certified under Chapters 481 or 471 to practice architecture, landscape architecture, or engineering. 5. If a valid public emergency occurs and is certified by the head of the City, formal advertising is not required for a professional services consultant in accordance with § 287.055, Florida Statutes. Conditions set forth in Federal Emergency Public Assistance Grants may preclude the use of this exception. Preparation of the Design Criteria Package: The Design Criteria Package for a public construction project should include, but not be limited to: a. Full scope of work b. Legal description of site c. Survey information/soil test reports d. Interior space requirements e. Value engineering (material quality and standards) f. Life cycle requirements (maintenance/energy) g. Concept geometry for minimum staffing h. Schematic layouts, if applicable i. Conceptual design criteria j. Cost or budget estimates k. Design and construction schedules I. Site development requirements m. Provisions for utilities, storm water retention and disposal n. Parking requirements o. Permit/zoning information p. Other criteria necessary to provide sufficient information upon which firms may prepare accurate technical proposals and price proposals. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 36 of 62 Design Criteria Professional: Acceptable, minimum requirements to act as the design criteria professional include, but are not limited to: a. Florida licensed professional engineers and architects employed by the City. b. A Florida licensed engineering or architectural firm providing management services to the City. c. Engineering and architectural firms selected by the City pursuant to Section 287.055, Florida Statutes, to be the design criteria professional and licensed to practice in the State of Florida. A design criteria professional who has been selected to prepare the design criteria package is not eligible to render services under a design -build contract executed in accordance with the design criteria package. In addition to the preparation and sealing of the design criteria package, the design criteria professional may also be contracted to provide services concerning the following: a. Assist and advise in the evaluation of the responses or proposals submitted by the design - build firms; c. Assist and advise in the review and approval process by the City of the detailed working drawings and plans submitted for the project; or d. Evaluation of the compliance of project construction with the design criteria package prepared by the design criteria professional. Public Announcement: Except in emergency situations, the Department shall publish an announcement in a newspaper having a general circulation in the area where the proposed work is located setting forth a general description of the project requiring design -build services and defining procedures for interested firms to apply for consideration. The notice must contain time frames for submittal of letters of interest, statement of qualifications and performance, a general description of the project, and any other requirements for the submittal of letters of interest. Selection and Pre -Qualifications of Design Criteria Professional: 1. Firms desiring to submit proposals on the design -build project must submit a letter of interest and statement of qualifications setting forth the abilities of the entities involved in the firm and providing any other information required by the announcement of the project. 2. The Selection Advisory Committee shall review the proposals to determine the relative ability of each firm to perform the services required for each project. Determination of ability will P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 37 of 62 be based upon, but not limited to, the following criteria: a. Professional Personnel qualifications; b. Past performance in the preparation and evaluation of design criteria packages, including knowledge of benefits in using the design -build process. c. Ability and capacity to meet time and budget requirements; d. Office location and ability to respond to the City's needs; e. Recent, current, and projected workload; f. The volume of work previously awarded to each qualified firm, with the object of effecting an equitable distribution of contracts among qualified firms, provided the distribution does not violate the principle selection of the most highly qualified design criteria professional; and g. Other factors appropriate to the specific project. The Selection Advisory Committee shall select not less than three firms deemed to be most highly qualified to perform the required services after considering the selection criteria factors. The Selection Advisory Committee may request, accept, and consider proposals for the compensation to be paid to the design criteria professional only during negotiations in accordance with Florida State Statutes 287.055 (5). The final negotiated fee and contract of the design criteria professional must be approved by the City Commission. Design -Build Firm: Except in emergency circumstances, the Purchasing Manager shall publish in a newspaper of general circulation, a public announcement providing a general description of the design -build project. The public announcement must include a brief statement of the qualifications required for the design -build firm and request qualification statements from interested respondents. The Selection Advisory Committee, with the assistance and advice of the design -build criteria professional, shall establish the qualifications required for the design -build firm. The qualifications required may include the following factors: a. Prior work experience and performance of each firm and previous experience of the firm's team as it relates to working and project coordination as a team; b. The proposed key personnel to be engaged in the design -build project; c. Proof of compliance with all certifications and license requirements; d. The financial capacity of the firm; and e. Other factors appropriate to the specific project. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 38 of 62 The Selection Advisory Committee shall evaluate the qualification statements and establish a short list of at least three (3) qualified design -build firms to whom a Request for Proposal and design criteria package will be issued. 5. Piggyback Agreements Per City Code, § 62-36(b) — Exemptions - To the extent not prohibited by general law, whenever a state, county, municipality, school district, or other governmental agency has a pre-existing contract, which is in effect concerning goods, materials, equipment or services the city wishes to acquire, the city may, where appropriate, piggyback onto such contract where such contract has been procured and awarded during the last 36-month period pursuant to a competitive procurement process. This type of purchase is allowed only when proof of employment of the competitive selection process has been obtained from the original contracting governmental agency. Such proof will allow this type of purchase to be exempt from the bid process. Documentation reflecting proof of the competitive process such as the awarding entity's bid description, including bid number, award of contract, and bid tally must be attached to the purchase order. A written agreement from the Vendor extending the same terms, conditions, and pricing to the City as was offered and agreed to with the awarding entity must accompany the purchase order and related documents; however, the City attorney may make adjustments to the contract with regard to rules, regulations, and conditions particular to the City and the requirements of local law. Purchases of this type are exempt from the bid process. However, if the contract is in excess of the threshold of the City Manager's authority, the item still must be approved by the City Commission, in which case, the purchase order will also reflect the Resolution number showing Commission approval. The following procedures outlines the correct method to piggyback off purchasing contracts: 1. The solicitation and contract must include an accessibility clause that allows for the assignment of all or part of the specified deliverable items. 2. The quantities to be ordered must be included in the original bid and evaluated as part of the contract award decision. 3. The following documents must be obtained by user Departments: a. copy of solicitation, b. bid tab, c. evidence of contract award, d. executed contract 4. A Piggyback Agreement to Contract must be developed and executed by the City of P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 39 of 62 Longwood before purchasing may commence. 5. The Purchasing Manager is to arrange for the development of a piggyback agreement after receiving all required documentation. The Purchasing Manager will provide the piggyback agreement for review to City Attorney, and ensure final execution of the agreement. Note that "piggybacking" is not permissible when the action would call for an increase in quantities that were not originally bid on and not originally evaluated as part of the contract award. 6. State of Florida Term Contracts J The City has the option to utilize State Contracts when purchasing equipment, supplies, and services. The Department of Management Services, Division of Purchasing in Tallahassee establishes contracts that are common to state agencies, local governments, and other public entities. These contracts for goods and services are consolidated, and standard specifications are prepared and developed. State contracts are awarded for specified time periods and are available for use by governmental entities. The requirement for solicitation of bids or quotes does not apply to purchases established under Florida Statutes regarding State of Florida Term Contracts or Federal GSA schedules, when use is authorized by the General Services Administration. The Purchasing Manager may make purchases utilizing State Contracts regardless of dollar value, provided they are budgeted items and are made in the best interest of the City. Purchases must be made in accordance with the approval limits as set forth in the Purchasing Ordinance. Utilizing GSA (General Services Administration) Schedules: By using the purchasing power of the federal government, GSA can assist the City of Longwood to meet our mission, reduce costs and maximize efficiency. The following are the only authorized GSA Schedules available to state and local governments: 1. Cooperative Purchasing: Schedules 70 & 84, FSSI Wireless BPA (Blanket Purchase Agreement), Email as a Service (EaaS) BPA, The National Information Technology Commodity Program (NITCP) and The Continuous Diagnostics and Mitigation (CDM) Program - Tools and Continuous Monitoring as a Service (CMaaS) BPAs. 2. Disaster Purchasing 3. Public Health Emergencies 4. 1122 Program P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 40 of 62 1.1 Cooperative Purchasing: Cooperative Purchasing Program allows state, local, and tribal governments to benefit from pre -vetted industry partners on a variety of information technology products and services as well as security and law enforcement products and services offered through specific GSA Schedule contracts. This program allows eligible entities to purchase from Cooperative Purchasing approved industry partners, at any time, for any reason, using any funds available. Schedule 70 - The largest and most widely -used acquisition vehicle in the federal government. It features a wide variety of information technology products and services including mobile device and mobile application management (MDM/MAM) tools, automated data processing equipment (firmware), software, cloud computing services, hardware, support equipment, and professional services. Schedule 84 - Used for the purchase of security and law enforcement equipment. It features alarm and signal systems, facility management systems, firefighting and rescue equipment, law enforcement and security equipment, marine craft and related equipment, special purpose clothing, and related services. Under Cooperative Purchasing, State, local and tribal governments also have access to specific Blanket Purchase Agreements (BPAs). BPAs deliver cost savings and buying efficiencies. BPAs currently available under Cooperative Purchasing include: FSSI Wireless BPAs with wireless service plans and phones available at no additional cost. Email as a Service (EaaS) BPA The Continuous Diagnostics and Mitigation (CDM) Program — Tools and Continuous Monitoring as a Service (CMaaS) BPAs provide specialized information technology (IT) tools and CMaaS to combat cyber threats in the civilian ".gov" networks. 2.1 State and Local Disaster Purchasing: GSA's Disaster Purchasing Program allows state and local governments to buy supplies and services directly from all GSA Schedules to facilitate recovery from major disaster or facilitate disaster preparation and response. Whether it concerns a major weather event, terrorism, or nuclear, biological, chemical, or radiological attack, GSA's strong partnerships can help cities and towns meet their needs quickly while saving taxpayer dollars. Purchases are limited to GSA Schedule contracts only. GSA eLibrary contains a list of all eligible suppliers. Schedule contractors, products and services are identified in GSA Local officials are responsible for ensuring that the products or services purchased are being P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 41 of 62 used to facilitate disaster preparation, and response or recovery from major disasters. All purchases made under this program must contain the mandatory order language below: "This order is placed under GSA Schedule number "insert number here" under the authority of the GSA Disaster Purchasing program. The products and services purchased will be used in preparation or response to disasters or recovery from major disaster declared by the President, or recovery from terrorism or nuclear, biological, chemical, or radiological attack." 3.1 Public Health Emergencies Program: When a Public Health Emergency (PHE) is declared, state, local, tribal, and territorial governments may now benefit from the speed, savings, and ease of use of the Federal Supply Schedules. These eligible ordering entities are now authorized to access all Federal Supply Schedules for the purchase of supplies and services when expending federal grant funds in response to Public Health Emergencies (PHEs). This authorization is made through the Secretary of Health and Human Services, under section 319 of the Public Health Services Act, codified at 42 U.S.C. § 247d. a. Purchasing Limitations: Access to the Federal Supply Schedules under this program is limited to state, local, tribal, and territorial governments receiving grant funds in direct response to a PHE. When purchasing from Schedules, state, local, tribal and territorial governments should follow the ordering and competitive procedures that meet their own procurement regulations and any requirements stipulated to as conditions of the grant funding. b. Participation is voluntary for state, local, tribal, and territorial governments, as well as Schedule contractors. c. Purchasing Language: The following language should be included on all task or delivery orders placed by state, local, tribal and territorial governments under this program: "This order is placed under Federal Supply Schedule number according to GSA policy that authorizes state, local, territorial and tribal governments, as authorized users for purchasing goods and services, when expending federal grant funds in response to Public Health Emergencies (PHEs) declared by the Secretary of Health and Human Services, under section 319 of the Public Health Services Act." 4.11122 Program: The 1122 Program offers Americans peace of mind by enabling states P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 42 of 62 and units of local government access to federal sources of supply and to purchase equipment in support of counter -drug, homeland security, and emergency response activities. The Duncan Hunter National Defense Authorization Act for Fiscal Year 2009, as amended by 10 U.S.C. 381, expands the procurement authority under the 1122 Program beyond counter -drug activities to include equipment for state and local homeland security and emergency response activities. Details on the program expansion, including the requirements for State Point of Contact (SPOC) certification, are located in: 1122 Program Equipment and Supplies Catalog (1122 Catalog). State Points of Contact (SPOC) is the list of all states currently participating in the 1122 Program. GENERAL TERMS AND CONDITIONS TO BID/PROPOSAL Where competitive purchasing is utilized, an invitation to bid or request for proposal must include a purchase description and all contractual terms and conditions applicable to the procurement. These terms and conditions would include, but are not limited to: insurance requirements, indemnification requirements, local/state/federal compliance information, bond requirements, information addressing the award and rejection of bids, preparation of bid information, Public Entity Crimes form, and Drug Free and Work Place Certification. This information may be provided by the office of the City Attorney and modified depending upon the type of purchase or services sought (i.e. Terms & Conditions for Purchases or Quotes, General Conditions for Bids, General Conditions for Construction, and General Conditions for Professional Services). Insurance: Prior to Award or commencement of work, whichever is specified in the solicitation or governing contract or agreement, the City of Longwood must be furnished proof of insurance coverage as follows: A. Certificate of Insurance • The name of the insured, the name of the insurer, the policy number, its effective date, and its termination date; • Statement that the insurer will mail notice to the City of Longwood and a copy to Contractor/Vendor at least thirty days prior to any material changes in provisions, cancellation, renewal, or non -renewal of the policy; • Certificate of Insurance shall be in the form as approved by the City of Longwood, naming the City as a named additional insured when and where required by the City's risk P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 43 of 62 manager, and such Certificate will clearly state the coverages as required by the solicitation or governing contract or agreement; • If requested by the City of Longwood, Contractor/Vendor shall furnish complete copies of all insurance policies, forms, and endorsements; and • Receipt of certificates or other documentation of insurance or policies or copies of policies by the City of Longwood or by any of its representatives that indicates less or different coverage than as may be required by the solicitation or governing contract or agreement does not constitute a waiver of the obligation of the Contractor/Vendor to meet the insurance requirements of the solicitation or the governing contract or agreement. B. Workers' Compensation Insurance Contractor/Vendor shall acquire and maintain in full force, during the life of any agreement, Workers' Compensation and Employer's Liability Insurance as required by applicable state statutes for all its employees connected with work under any agreement, and in the event any work is subcontracted, Contractor/Vendor shall require the subcontractor similarly to provide Workers' Compensation Insurance for all the latter's employees, unless such employees are covered by the protection afforded by Contractor/Vendor. Contractor/Vendor may provide in writing a workers' compensation waiver in lieu of workers' compensation insurance where such waiver is properly approved by the State of Florida Department of Labor and Employment Security and accepted by the City of Longwood. Such insurance or waiver shall comply with the Florida Workers' Compensation Law. In case any class of work conducted under any agreement is not protected under the Workers' Compensation statute, Contractor/Vendor shall provide adequate insurance, satisfactory to the City of Longwood, for the protection of employees not otherwise protected. C. Liability Insurance When required to do so by the City's risk manager, entities contracting with the city for the provision of goods or services must acquire and maintain in full force, during the life of any agreement, Commercial General Liability and Commercial Automobile Liability Insurance that shall protect the City of Longwood from claims for damage for bodily injury and personal injury, including accidental death, as well as claims for property damages which may arise from tasks associated with or carried out under any agreement, whether such operations are by itself or by anyone directly or indirectly employed by them. The amount of such insurance shall be set by the City Attorney for the protection of the City. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 44 of 62 CONE OF SILENCE All solicitations, once advertised and until the appropriate authority has approved an award recommendation, are under the "Cone of Silence." This limitation requires documentation of communications between potential bidders and/or bidders on City solicitations, the City's professional staff, and the City Commission members. The Purchasing Division may issue an addendum in response to any inquiry received prior to the close of the solicitation period that changes, adds, or clarifies the terms, provisions, or requirements of the solicitation. Contractors and vendors may not rely on any representation, statement, or explanation whether written or verbal, other than those representations, statements, or explanations made in the solicitation document or in the addenda issued. Where there appears to be a conflict between the solicitation and any addenda, the last addendum issued will govern and control to the extent any such conflict may exist. Each proposer or respondent must ensure that it receives of all addenda and any accompanying documentation. The vendor is required to submit with its bid or proposal a signed "Acknowledgment of Addenda" form when any addenda has been issued. MONITORING AND REPORTING VENDOR PERFORMANCE SUSPENSION OR DEBARMENT: The Purchasing Manager has the authority to suspend a person from consideration for award of bids/contracts if there is sufficient cause to do so. The suspension may not exceed a maximum period of six months. The City Commission has the authority to debar a person from consideration for award of bids/contracts. The debarment may not exceed a maximum period of three years. The causes for debarment or suspension include, but are not limited to, the following: a. Conviction or commission of a principal or officer of a vendor or contractor of a criminal offense incident to obtaining or attempting to obtain a public or private contract or subcontract or incident to performance of such contract or subcontract; b. Conviction of a principal or officer of a vendor or contractor under state or federal statutes of embezzlement, theft, forgery, bribery, falsification or destruction of records, receiving of stolen property, or any other offense indicating a lack of business integrity or business honesty which currently and substantially affects a vendor or contractor's responsibility as a supplier or contractor of the City; P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 45 of 62 c. Conviction of a principal or officer of a vendor or contractor under state or federal antitrust statutes arising out of the submission of bids or proposals; d. One or more prior violations of one or more material bid or contract provisions consistent with the following: 1. Deliberate failure without good cause to perform in accordance with contract specifications or within the time limit provided in the bid/contract or; 2. A recent record of failure to perform or of unsatisfactory performance in accordance with the terms of one or more bids/contracts; provided that failure to perform or unsatisfactory performance were NOT caused by acts beyond the control of the contractor or vendor; 3. Failure of a contractor or vendor to respond to an invitation to bid three consecutive times. e. Any other cause/material factor affecting responsibility as a city contractor, including debarment of a contractor or vendor by another governmental entity for any of the causes listed in this section. Prior to taking any adverse action against a vendor or contractor pursuant to this section, the following factors should carefully be considered: a. The specific reasons for such failure; b. The time period required to obtain the goods or services from other sources compared to the delivery time specified by the delinquent vendor or contractor. The requesting department shall appoint project managers, who will be responsible for monitoring vendor or contractor performance as it relates to the terms and conditions of the contract or purchase order. Vendor or contractor failures to perform or underperformance must be documented and reported to the Purchasing Manager for appropriate action aimed at correcting vendor or contractor performance issues. Severe failures or continued underperformance of a vendor may result in sanctions being imposed by the City, including placing the vendor on probation for a period of time, suspension from bidding on City contracts, vendor debarment, or contract termination. For major projects, vendor performance must be documented by the project manager. USER DEPARTMENT ACTIONS: A nonperforming or underperforming vendor or contractor must first be contacted by telephone or other electronic means such as Zoom or a Teams meeting to address and discuss the problems the City has experienced. A mutual understanding should be reached, if possible, and a time frame for corrective action established. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 46 of 62 If the issues are of a nature that resolution of the problem(s) is not feasible or advisable over the phone, the requesting department shall convene a meeting with the vendor or contractor to help resolve problems, whenever possible. If the vendor or contractor continues to fail to meet the performance requirements of the contract, the department shall submit a memorandum to the Purchasing Manager detailing the extent of the problem and the unsuccessful attempts at a resolution. The department shall attach any available documentation to substantiate the problem, including copies of all communications with the vendor or records of meetings. After receiving the foregoing information from the department, the Purchasing Manager shall review the information to determine the appropriate course of action. This action may include contacting the vendor or contractor to clarify the issues, transmitting a "Notice to Cure" to the vendor or contractor, or scheduling a meeting with the vendor or contractor for further discussions. A Notice to Cure letter advising the supplier should include of the following: a. List the non -delivery or other non-conformance issues; b. Advise the contractor or vendor that it is in breach of the contract; c. State the number of days or a date for correction of the default; d. Advise that default of the contract will result in the city having to take corrective action pursuant to the terms of the contract or agreement with the vendor or contractor. Where progressive steps aimed at correcting vendor or contractor performance have proven futile or otherwise reached an impasse, the City may take such further steps as may be authorized by the contract or agreement or schedule a hearing to determine the next course of action. The vendor and the requesting department will be invited to this meeting, where the Purchasing Manager or designee will act as the hearing officer. After listening to all parties, the hearing officer may: a. Establish a probation period for the vendor to correct all noncompliance problems. b. Terminate the contract for default. c. Terminate the contract for convenience. d. Find no action necessary. A copy of all written actions or documents shall be provided to the requesting department. The final decision and formal action shall be filed with the contract documents for use in determining vendor responsibility in future evaluations. The availability of the foregoing procedures does not preclude the city from undertaking other such action as may be authorized under the contract or agreement, including, but not limited to, mediation, the filing of an appropriate legal action against the vendor or contractor, or the termination of the agreement or contract. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 47 of 62 For contracts up to $50,000, the City Manager may terminate the vendor for convenience or default in accordance with the relevant provisions of the contract. For contracts greater than $50,000, the City Commission must authorize such termination actions. Most disputes should be resolved through negotiation and compromise; however, if a satisfactory solution can not be reached with the contractor or vendor, and upon expiration of the time period stated in the letter(s), the City may resolve its differences through the aforementioned administrative process, any other remedial measure authorized by the agreement or contract, or any other legal action as may be permitted at law, in equity, and/or in contract. The contractor or supplier may be suspended from doing business with the City until all issues have been resolved or a settlement has otherwise been reached. CONTRACT ADMINISTRATION A contract is a written agreement, enforceable by law, between a procuring entity and a supplier, contractor or service provider for the provision of goods, works and services. The Purchasing Manager is responsible to oversee and manage, on behalf of the City, the entire contracting process when applicable to procurement activity from the development of the initial planning process, timeline development, specifications, terms and conditions associated with the solicitation, overseeing the vendor/contractor selection process, including negotiations if conducted, and any related activity. Unless otherwise authorized by the City Manager or his/her designee, all contracts related to procurement activity must be prepared and/or endorsed by the City Attorney and forwarded to the Purchasing Manager, who will administer negotiations (if applicable) and manage execution of the document(s). Contracts in an amount of $50,000 or more, must be submitted to the City Commission for approval via a Resolution indicating approval and authorizing the City Manager's signature of the document. The Purchasing Manager must ensure that copies of all executed contracts are sent to the City Clerk for proper record management. Contracts administration includes: a. Administering the award of a contract and the management actions to betaken to ensure full compliance with all the terms and conditions contained within the contract document, including price. b. Ensuring that the contractor is in full compliance with the entire contract. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 48 of 62 c. Ensuring payment of invoices when warranted; monitoring contract progress, any inspections, and acceptance of work; assuring that goods and deliverables received meet any quality standards required by the contract; monitoring and surveillance of contractor work and services; and overseeing modifications, negotiations. The goal of contract administration is to ensure that proper mechanisms and procedures are in place to monitor and evaluate contractors, suppliers, and service providers' performance in the fulfillment of their contractual obligations to the City, and to ensure appropriate actions are taken to promptly remedy any deficiencies observed in contract performance or the contract scope, delivery of goods and services, and compliance with the terms and conditions of contractual agreements with the City. Preparation for contract administration begins with planning, which should begin during the bidding and selection process. This planning includes the nomination of project managers, a strategy for undertaking periodic performance review, the timeframe for certifying performance and acceptance of contract deliverables in order to avoid payment delays, and an understanding of the contract terms and conditions to ensure effective project oversight. For each contract or agreement executed with a vendor or contractor, it is the responsibility of the Department Director to assign a staff member as the project manager to oversee the project and to ensure that the vendor performs competently in the delivery of those goods and services required by the agreement. The Department Director shall assign a Project Manager to a contract when the Purchasing Manager is developing the solicitation or agreement for the project. This person shall be the main point of contact for information regarding the specifications of the good or service, market research, and any additional information required by the Purchasing Division. The Department Director may perform the function of Project Manager. Depending on the type of good or service being procured, the Project Manager may manage the performance of vendors and contractors using the principle of management by exception. However, even in such instances, it is strongly recommended that the Project Manager perform periodic inspections and reviews of vendor or contractor performance and provide feedback to the vendor to maintain a regular crossflow of information. As much as possible, project managers should document all communication with the vendor in writing, whether such is of a positive or negative nature, because this information is critical to resolving disputes and for use as reference in future vendor performance reviews. Project Managers and individuals who may be assigned to oversee vendor performance must attend training provided by the Purchasing Manager. City employees who have not attended this training P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 49 of 62 may not be appointed as project managers by Department Directors. A key factor in contract administration is communication. Project Managers must ensure that there is always an open and professional line of communication between the project manager and the vendor or contractor. The Project Manager's responsibilities include, but are not limited to: • After execution of the agreement, obtaining a copy of the executed agreement from the City Clerk or the Purchasing Division. • Submitting a requisition for a purchase order to encumber the funds for the goods or services being procured. The vendor should not begin any performance until an executed Notice to Proceed (NTP) and purchase order is approved and delivered to the vendor. • Notifying the contractor when to begin work. • Monitoring contract compliance: o Work progress to ensure services are performed according to the quality, quantity, objectives, timeframes, and manner specified within the contract. o Reviewing progress reports, status reports, and compliance with time schedules. o Approving the final goods or services by accepting the deliverables, in writing. o Providing copies of any contract administration documentation or communication to the Purchasing Division. o Monitoring expenditures, ensuring funding availability and proper fiscal encumbrances through purchase orders when contract extends over multiple years. o Verifying the accuracy of invoices and approving those invoices for payment. o Requesting amendments, addendums, supplements, changes orders, and/or contract renewals in a timely manner. o Verifying that all work is completed and accepted by the department and that all deliverables have been satisfactorily delivered prior to the contract expiration date. o Performing contract close out activities: ■ Notifying the Finance Department when funds can be dis-encumbered. ■ Reporting any contract disputes immediately to the Purchasing Division. ■ Keeping an accurate auditable documented trail of contract administration. Project Managers are not authorized to: • Instruct the vendor to start work before the contract becomes fully executed. • Change the scope of the agreement without doing so through the formal process authorized by the agreement and as managed by the Purchasing Division. • Direct the vendor to deviate from the scope of work as described in and funded by the P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 50 of 62 contract. • Extend the time period of the contract without execution of an approved amendment, extension, or renewal. • Allow the vendor to incur any additional costs over the not to exceed limit set by the contract. • Sign a contract, amendment, or extension as the City's authorized signatory. The City Manager is the official City's authorized signatory. • Sign any vendor contract forms. NOTICE TO PROCEED (NTP) Issuance of a Notice -to -Proceed will be provided to the contractor at a scheduled pre -construction meeting or will be mailed within ten working days following acceptance of the contract by both parties, provided the contractor has furnished the required insurance forms and payment and performance bond forms, if applicable. Depending upon the type of contract or agreement, the Notice to Proceed maytake the form of a task assignment, order form, or other appropriate document issued by the City authorizing initiation of contract services or shipment and delivery of goods pursuant thereto. PROCESSING CONTRACT PAYMENTS Payment to the contractor for the supplies and services delivered to the City is the City's obligation pursuant to the contract. The City expects the contractor to meet all contract requirements for quality, quantity, and timeliness. Contractors expect no less of the City in meeting any legitimate obligations to timely and accurately render payment for services and deliverables received. A plan or process for quickly and efficiently meeting this obligation is as essential. Therefore, it is incumbent upon program, procurement, and finance staff to understand clearly their roles and responsibilities related to reviewing and processing payments. This will ensure that payment is only made to contractors who perform in accordance with contract terms and conditions. It is essential that these tasks are discussed with the contractor during the post award conference. An important aspect of review, approval, and processing is good communication between the Purchasing Manager, Finance Director, and applicable Department Director to ensure that payment is made on time. Invoicing is governed by Part VII, Chapter 218, Florida Statutes (the Florida Local Government Prompt Payment Act). Though the prompt payment act generally allows for payment to be made within 45 days of receipt of a proper invoice, the City may pay invoices before such time, especially if the vendor or contractor offers an additional discount beyond the quoted amount or pricing for earlier payment. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 51 of 62 CANCELLATION OF PURCHARSE ORDERS AND CONTRACTS Purchase Orders and contracts may be canceled if the vendor or contractor fails to fulfill its contractual obligations. The using department must request any such cancelations in writing from the Purchasing Manager, which written request must be accompanied by complete documentation justifying the cancelation. Upon review and approval of the request, the Purchasing Division shall issue a Change Order to cancel the Purchase Order in its entirety. Review and any approval or denial of such requests must be done promptly so as to preclude the City from becoming further liable for any additional work, services, or deliverables provided to the City. CONTRACT CLOSEOUT Contract closeout begins when the contract has been physically complete, i.e., all services have been performed and products delivered. Closeout is completed when all administrative actions have been completed, all disputes settled, and final payment have been made. The process can be simple or complex depending on the contract type. This process requires close coordination between the department, project manager, the finance department, the purchasing division, and the contractor. Contract closeout is an important aspect of contract administration. Closeout functions include creating the closeout file, soliciting required closeout forms from internal organizations, and obtaining the contractor's release. _.. Property control entails maintaining the records and performing annual inventories of all tangible and non -tangible personal property owned by the City. By Resolution, the capital threshold for fixed assets shall be $5,000 or more. The Financial Services Department is responsible for the maintenance and control of the property records. The Purchasing Manager is responsible for assigning property identification numbers, inputting data into the Fixed Assets module of the City's Financial System, reconciliation of property records and facilitating the annual inventory. Personal Property is described as non -tangible (of a non -consumable nature), which has a capital threshold valued at $5,000 or more, and has a life expectancy of two years or more. These items should be tagged and placed in the record as part of the annual audit process. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 52 of 62 Attractive Items under $5,000 should be tagged and submitted into inventory but not entered into record as part of the annual audit process. CAPITAL ASSETS A capital asset is a piece of property that meets all of the following requirements: 1. The asset is tangible and complete 2. The asset is used in the operation of the City's activities 3. The asset has a useful life greater than two years 4. The asset value meets or exceeds established thresholds of $5,000. DEPRECIATION FOR FIXED ASSETS The City employs the "straight line" method of depreciation over the estimated useful life of the asset. Partial year depreciation will be based on the number of months the asset was placed in service of the fiscal year. SURPLUS PROPERTY Surplus property is tangible personal property that is not otherwise lawfully disposed of, is obsolete, or the continued use of which is uneconomical or inefficient, or which no longer serves a useful function. Surplus property includes desks, chairs, tables, office equipment, scrap metals, and expendable supplies that have completed their useful life cycle. Local governments are authorized to dispose of such property as provided for in § 274.05, Florida Statutes. All personal surplus property held by a department, including vehicles, heavy equipment, desks, chairs, tables, office equipment, etc. is to be reported to the Purchasing Manager for disposition by either transfer, scrap, or sale in accordance with applicable law. It is the responsibility of each department to notify the Purchasing Manager of any equipment or other property that has become surplus as defined herein. 1. Transfer of Property: The department shall complete a Request to Transfer Form and acquire signatures of both the transferor (owning Department Director) and the transferee (receiving Department Director). The completed form must'be forwarded to the Purchasing Manager so that fixed asset records may be updated and the transfer finalized. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 53 of 62 2. Surplus Items: a. Surplus property must be listed on a Surplus Property Form. The Department Director must sign and forward the form to the Purchasing Manager. b. Before declaring property as surplus, the owning Department should first consider whether the property might be of useful value to another City Departments. The Purchasing Manager may survey the other departments and divisions to determine if the property is needed or may be of use elsewhere. c. Prior to final disposition, all property must first be declared surplus by the City Manager in accordance with § 62-33(a)(1) of the City's Code of Ordinances. d. In accordance with § 62-33(d)(3) of the City's Code of Ordinances, the Purchasing Manager shall dispose of surplus property by one of the following methods: • Trade-in on new equipment. • Donation to another governmental agency. • Sale of item(s) utilizing the most appropriate method, i.e. auction, sealed bid. In an effort to obtain the highest revenues for surplus automobiles and heavy equipment, sealed bids should be considered prior to sending to auction. • Disposal as scrap or junk. e. Notice of auction must be publicly advertised in the newspaper at least one (1) week prior to the scheduled date of sale. f. The check for the proceeds from the auction must be forwarded to the Finance Department for deposit into the appropriate account(s). g. The final surplus property auction list indicating the proceeds received must be provided to the Purchasing Manager to update the Fixed Assets Records. h. The Police Department is responsible for the disposition of all confiscated and recovered property pursuant to applicable state law. Upon request from the Police Chief, the Purchasing Manager may sell such confiscated property during the scheduled City auction (see "Disposal of Recovered Property" infra). DISPOSAL OF RECOVERED PROPERTY The City of Longwood shall have established procedures to effectively address and administer lost or abandoned property, unclaimed evidence, and forfeited property. The purpose of this policy is to provide uniform procedures for the disposal of unclaimed evidence, lost or abandoned property, and forfeited property by the City of Longwood Police Department in accordance with Chapter 705, Florida Statutes. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 54 of 62 Lost or Abandoned Property: 1. "Abandoned property" means all tangible personal property that does not have an identifiable owner and that has been disposed on public property in a wrecked, inoperative, or partially dismantled condition or has no apparent intrinsic value to the rightful owner. The term includes derelict vessels as defined in § 823.11, Florida Statutes, and vessels declared a public nuisance pursuant to § 327.73(1)(aa), Florida Statutes. Abandoned property may be retained for use by the Police Department or by the City. It may also be traded, sold, disposed of as refuse, or donated to a charitable organization. No formal advertising is required for abandoned property. 2. "Lost property" means all tangible personal property which does not have an identifiable owner and which has been mislaid on public property, upon a public conveyance, on premises used at the time for business purposes, or in parks, places of amusement, public recreation areas, or other places open to the public in a substantially operable, functioning condition or which has an apparent intrinsic value to the rightful owner. Lost property with intrinsic value is retained by the Police Department for a minimum of 90 days and requires public notice of intended disposition of the property in accordance with §§ 705.103 and 705.104, Florida Statutes. 3. The Police Department will notify the Purchasing Division in writing when subject property is available for donation to a charitable organization. A separate list will be furnished that classifies the property as lost. A description of the items should include make, model, serial number, (when applicable), or other pertinent information sufficient to positively identify each such item. 4. The City should maintain a list of charitable organizations that operate within the City of Longwood. If lost or abandoned property is donated to a charitable organization, the City should select recipients from such list on a rotating basis so as not to show favoritism. Rotation is not required upon a determination that a particular item would be of more use to one charitable organization than others; however, such determinations should be made sparingly. 5. Notice of such donation shall be advertised in the local newspaper of general circulation in the County where the property was found. The publication is to be run once a week for two (2) consecutive weeks. The advertisement must include the description of the item and the intended disposition. 6. If, after providing adequate notice of the intended disposition of subject property, no claim has been made by the rightful owner, the City may donate the items to a designated charitable organization. 7. An authorized agent of the charitable organization must sign for the receipt of the property. Unclaimed Evidence: P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 55 of 62 1. If the property is classified as evidence, it is held a minimum of 60 days after conclusion of the court proceedings, (plus 30 additional days for appeals), for total of 90 days after final disposition of the proceeding. 2. If the property is of appreciable value, the Department may elect to retain the property for use within the City or department or donate the property to a charitable organization. 3. Public Notice is not required for unclaimed evidence. 4. If the Police Department determines that the property is not of appreciable value, the Police Department may elect to destroy the property. 5. It is the responsibility of the Police Department to make and maintain a correct accounting of the disposition of all property in the evidence records. 6. It is the City's policy, after the property has been cleared by the Police Department, to make available all lost, abandoned, and unclaimed evidence that is not otherwise destroyed or kept by the City pursuant to this policy to a locally operating non-profit organization on a rotating basis, unless a determination is made that a particular item would be of more use to one charitable organization than others. The non-profit organization may make the determination whether to use or salvage the property at their discretion. In the event that the property is refused or not accepted, the City may destroy it. Property Forfeited: 1. Property is forfeited if it is subject to forfeiture proceedings, and the court grants a final order of forfeiture to the Police Department granting the Police Department the right, title, and interest to the property. 2. The Police Chief determines the disposition of the property. The forfeited property may be retained for use by the Department in accordance with applicable law. If the Police Chief deems it necessary, he may dispose of the property in the following manner: a. Salvage the property; b. Transfer the property to any public or non-profit organization; c. Sell the property at public auction to the highest bidder. 3. Public notice of the sale is required as provided by law. 4. The proceeds of the sale must be applied to any liens, court costs, or for payment of any storage, maintenance, and security of such property. The remaining proceeds will be deposited in the City's Law Enforcement Trust Funds as per § 932.704, Florida Statutes. AUTHORIZATION FOR THE USE OF ELECTRONIC TRANSMISSION The use of electronic media, including acceptance of electronic signatures, is authorized consistent P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 56 of 62 with Florida's applicable statutory, regulatory or other guidance for use of such media, so long as such guidance provides for: 1. Appropriate security to prevent unauthorized access to the bidding, approval, and award processes; and 2. Accurate retrieval or conversion of electronic forms of such information into a medium which permits inspection and copying in accordance with Florida's Public Records Law. PURCHASING POLICY ADOPTION In order to be effective, this Purchasing Policy must be adopted by City Commission through a Resolution or Ordinance. P-208 —Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 57 of 62 GLOSSARY Bid Bond means a form of bid security, executed by the bidder as principal and by a surety, to guarantee that the bidder will enter into a contract within a specified time and furnish any required performance bond. Bid Deposit means a sum of money or certified/cashier's check deposited by a bidder to guarantee that the bidder will enter into a contract within a specified time and furnish any required performance bond. Business means any corporation, partnership, individual, sole proprietorship, joint stock company, joint venture, or any other private legal entity. Change Order means a written order signed by the Purchasing Manager, directing a contractor or vendor to make changes to the Purchase Order or Contract. City means the City of Longwood and shall include the city commission, any department, board, committee, institution, authority, agency or other establishment or official of the government of this city. Cone of Silence Period: The period during which bidders and respondents are prohibited from contacting any City Commission Member, the City Manager, any requesting or evaluating department personnel, and/or any member of the Evaluation Committee. Confidential information means any information that is not a matter of public knowledge or available to the public pursuant to a public records or other request. City employees have an affirmative obligation to keep confidential information secure and not to disclose such information to members of the public at large. Construction means the process of building, altering, repairing, improving, renovating, or demolishing any public infrastructure facility, including any public structure, public building, or other public improvements of any kind to real property. It does not include the routine operation, routine repair, or routine maintenance of any existing public infrastructure facility, including structures, buildings, or real property. Contract means all types of City agreements, regardless of nomenclature, entered into by and between the City and a vendor or contractor for the procurement or disposal of supplies, goods, software, hardware, equipment, services, or construction. Contract Modification means any written alteration in specifications, delivery point, rate of delivery, period of performance, price, quantity, or other provisions of any contract accomplished by mutual P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 58 of 62 action of the parties to the contract. Contractor means any person having a contract with a governmental body. Consultant's Competitive Negotiations Act (CCNA) - is the common name for § 287.055, Florida Statutes, concerning the procurement of professional architectural, engineering (including testing), landscape architecture, and registered surveying and mapping services. Data means recorded information, regardless of form or characteristic. Design -build — pertains to an arrangement wherein responsibility design and construction into one contract, in which professional engineering and architectural services, as defined by the laws of the State of Florida, are performed by an engineer or architect duly registered in the State of Florida and construction services, also as defined by the laws of the State of Florida, are performed by a contractor qualified and licensed to perform such services under the applicable Florida Statutes. Design -Build Firm means a partnership, corporation, or other legal entity that: (a) is certified under § 489.119, Florida Statutes to engage in contracting through a certified or registered general contractor or a certified or registered building contractor as the qualifying agent; or (b) is qualified under § 471.023, Florida Statutes, to practice or to offer to practice engineering; qualified under § 481.219, Florida Statutes, to practice or to offer to practice architecture; or qualified under § 481.319, Florida Statutes, to practice or to offer to practice landscape architecture. Design -Build Contract means a single contract with a design -build firm for the design and construction of a public construction project. Design Criteria Package means concise, performance -oriented drawings or specifications of the public construction project. The purpose of the design criteria package is to furnish sufficient information to permit design -build firms to prepare a bid or a response to an agency's request for proposal, or to permit an agency to enter into a negotiated design -build contract. The design criteria package must specify performance -based criteria for the public construction project, including the legal description of the site, survey information concerning the site, interior space requirements, material quality standards, schematic layouts and conceptual design criteria of the project, cost or budget estimates, design and construction schedules, site development requirements, provisions for utilities, stormwater retention and disposal, and parking requirements applicable to the project. Design Criteria Professional means a firm that is qualified under Chapter 481, Florida Statutes, to practice architecture or landscape architecture or a firm who holds a current certificate as a registered engineer under Chapter 471, Florida Statutes, to practice engineering and who is employed by or under contract to the agency for the providing of professional architect services, landscape architect services, P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 59 of 62 or engineering services in connection with the preparation of the design criteria package. Designee means a duly authorized representative of a person holding a superior position. Electronic means electrical, digital, magnetic, optical, electromagnetic, or any other similar technology. Employee means an individual drawing a salary from a governmental body, whether elected or not, and any non -compensated individual performing personal services for any governmental body. Financial interest means: (a) Ownership of any interest or involvement in any relationship from which, or as a result of which, a person within the last year has received or is presently or in the future may receive any financial benefit; (b) Ownership of any interest in any business except publicly held stock; (c) Holding a position in a business, such as any officer, director, trustee, partner, employee or similar position, or holding any position of management. Firm means any individual, firm, partnership, corporation, association, joint venture, or other legal entity permitted by law to practice engineering, architecture, and/or construction contracting in the State of Florida. Governmental Body means any department, commission, council, board, bureau, committee, institution, legislative body, agency, government corporation, or other establishment or official of the executive, legislative, or judicial branch of the State of Florida. Grant means the furnishing of assistance, whether financial or otherwise, from the state or federal government to any person to support a program authorized by law. It does not include an award whose primary purpose is to procure an end product, whether in the form of supplies, services, or construction. A contract resulting from such an award is not a grant but a procurement contract; however, the terms and conditions of such contract may nonetheless be governed by certain grant terms and conditions. Invitation for Bid means all documents, including those attached or incorporated by reference, utilized for soliciting bids. Joint solicitation occurs when two or more governmental agencies aggregate their individual product and service needs into a single solicitation effort. Each agency is generally bound to the contract that results from the singular effort. May denotes the permissive unless used in the negative (e.g., "may not"), in which case, it is a mandatory prohibition. Performance Bond means a bond of a contractor/vendor in which a surety guarantees to the city that P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 60 of 62 the work/services will be performed in accordance with the contract documents and may, in the discretion of the city, include a letter of credit issued by a financial institution. Person means any business, individual, union, committee, club, other organization, entity, or group of individuals. Piggybacking is utilizing another agency's competitively solicited contract to acquire desired commodities or services at a competitive price. In the right circumstances, piggybacking allows the City to fulfill its procurement goals without incurring the time and expense of conducting its own solicitation. Procurement means buying, purchasing, renting, leasing, or otherwise acquiring any supplies, equipment, goods, services or construction services. It also includes all functions that pertain to the obtaining of any supply, equipment, good, service, or construction, including a description of solicitation requirements, selection of awarded vendors or providers, solicitation of sources, preparation and award of contract, and all phases of contract administration. Procurement Officer (generally restricted to referring to the Purchasing Manager or City Manager) means any person duly authorized to enter into and administer contracts and make written determinations with respect thereto. The term also includes an authorized representative acting within the limits of his/her authority pursuant to law or under the direction of the City Commission. Public Notice means the distribution or dissemination of information to interested parties using methods that are reasonably available and compliant with applicable law. Such methods will often include publication in newspapers of general circulation, electronic or paper mailing lists, and/or web site(s) designated by the City and maintained for that purpose. Purchasing Agency means any governmental body other than the Purchasing Manager that is authorized by this Manual or its implementing regulations, or by way of delegation, from the Purchasing Manager or City Manager, to enter into contracts. Regulation means a governmental body's statement, having general or particular applicability and future effect, designed to implement, interpret, or prescribe law or policy, or describing organization, procedure, or practice requirements, which has been promulgated and adopted in accordance with the City's Code of ordinances. Request for Proposals means all documents, including those attached or incorporated by reference, utilized for soliciting proposals. Responsible Bidder means a person who has the capability in all respects to perform fully the contract requirements and the integrity and reliability that will assure good faith performance. P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 61 of 62 Responsive Bidder means a person who has submitted a bid that conforms in all material respects to the invitation for bids or proposals. Services means the furnishing of labor, time, or effort by a contractor, not involving the delivery of a specific end product other than reports and deliverables that are incidental to the required performance. This term does not include employment or collective bargaining agreements. This definition of "services" includes, but is not limited to, consulting, personal, professional, technical, and purchase -of -client services. Shall denotes the imperative. Signature means a manual or electronic identifier, or the electronic result of an authentication technique attached to or logically associated with a record that is intended by the person using it to have the same binding force and effect as a manual signature. (Digital signatures may emerge as the equivalent of manual signatures, provided that three key tests are met: (a) sender authentication (verification of the sender, typically through verification of a certificate identifying the sender); (b) message integrity (confirmation that the message or signature was properly received in the original format of the sender); and (c) nonrepudiation (confirmation that the Sender cannot deny the message or signature was sent). In defining the term "signature," the intent is to protect the integrity of the procurement process and to ensure that the transmission and receipt of information concerning public solicitations is accurate and reliable. Specifications means a clear, complete, and accurate statement of the technical requirements descriptive of an item and, if applicable, the procedures to be followed to determine if such requirements are met. It may include a description of any requirement for inspecting, testing, or preparing a supply or service item for delivery. Supplies means all property, including but not limited to equipment, materials, printing, and insurance, excluding land or an interest in land. Surety means an organization which, for a consideration, promises in writing to make good the debt or default of another. The surety must hold a certificate of authority as any acceptable surety on federal bonds as published in the current 570, U.S. Department of the Treasury and the Federal register effective July 1 annually, as amended. Suspension means the disqualification of a person to receive invitations for bids or requests for proposals or the award of a contract by the city for a given period. Surplus Equipment means all personal nonexpendable property that is no longer needed or used by the owning agency, including desks, chairs, tables, office equipment, scrap metals, etc. reported to P-208 — Purchasing Policies and Procedures Manual Resolution No. 23-1645 Page 62 of 62 purchasing for disposition either by transfer, scrap or sale. Using Agency means any governmental body of the City that utilizes any supplies, services, equipment, goods, or construction procured by the City. Written or In Writing means the product of any method of forming characters on paper, other materials, or viewable screens, that can be read, retrieved, and reproduced, including information that is electronically transmitted and stored.