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Ordinance 1975-08 FHD:GKH ORDINANCE NO. , CONCERNING PROCEDURES FOR THE AD RTISEMENT, BIDDING AND AWARDING OF CONTRACTS IN EXCESS OF $1, 500. 00 FOR THE UNITED CITY OF THE VILLAGE OF YORKVILLE, ILLINOIS WHEREAS, the UNITED CITY OF THE VILLAGE OF YORKVILLE, by and through its City Council, has deemed it necessary to establish sufficient procedures for the purchase of supplies and equipment in conformity with the statutory mandate of the State of Illinois, and further, to secure for the City supplies and equipment at the lowest possible cost commensurate with quality needed, and further, to exercise positive financial control over purchases and to assure the quality of purchases. BE IT ORDAINED by the UNITED CITY OF THE VILLAGE OF YORKVILLE as follows: SECTION 1. That except in cases of emergency, and provided always that there exists a sufficient unencumbered appropriation balance in a fund against which said purchases are to be charged, all purchases for and on account of the UNITED CITY OF THE VILLAGE OF YORKVILLE for labor, services or work or the purchase or lease of materials, equipment or supplies, shall be in accordance with the procedures as outlined in this Ordinance. -2- SECTION 2 . Except as otherwise provided herein, all purchase orders or contracts of whatever nature for labor, services or work, and for the purchase or lease of materials or supplies involving amounts in excess of $1, 500. 00 made by or on behalf of the City shall be let to the lowest responsible bidder following notice as required in the following sub-sections: (a) Notice shall be published in a newspaper of general circulation throughout the City by at least one insertion, which shall be at least fifteen (15) days prior to the time designated for opening bids. The notice shall include a general description of the article or service desired, shall state the time, date and place of bid opening, and shall designate where bidding documents may be obtained. (b) All pending purchases shall be noticed by posting on the public bulletin board in the City Hall. SECTION 3. BIDDING PROCEDURE. (a) Bidder' s Security -- All bids must be sealed and, in the case of contracts for construction of municipal buildings or facilities or for labor, shall be accompanied by security, either cash, Cashier' s check, certified check or surety bond, in a sum equal to 100 of the total aggregate of the bid. The successful bidder shall forfeit his bid security upon such bidder' s failure or refusal to execute the contract -3- within the time designated in the bid documents. The City Council , in such event, may award the contract to the next lowest responsible bidder. (b) Other Bond Requirements -- A faithful performance bond, labor and material bond, and other bonds may be required by the City Council in an amount reasonably necessary to protect the City's interests in obtaining the services or work involved. If bonds are required, the form and amount thereof shall be designated in the notice inviting bids. (c) Bid Opening Procedure -- All bids shall be submitted to the City Clerk, who shall safeguard them in a sealed condition until the time noticed for public bid opening. At the time and place stated in the public notices, the City Clerk or designee shall publicly open all bids. The tabulation of all bids or copies of bids received shall be available for public inspection in the Clerk's office for a period of not less than thirteen (13) days after the bid opening. (d) Award of Contracts -- The City Council may make an award of contract to the lowest responsible bidder, provided, however, that if the second lowest responsible bidder maintains a place of business within the City Limits of the UNITED CITY OF THE VILLAGE OF YORKVILLE and is within two (2%) per cent of the lowest bid involved, then the award of the contract may be made to the Yorkville bidder. If considered to be in the best interest of the City, selected portions of the lowest responsible bid may be accepted and award made accordingly. In the alternative, the City Council may either reject all bids and re-advertise or authorize the City itself to perform -4- the work and directly acquire the items desired in accordance with the immediately following provision: Direct method - After bids are rejected or if no bids are received, the City Council, by resolution and act of majority vote of the Council, including the Mayor, may authorize the work done by City personnel and equipment or may authorize the purchase of the material and equipment for services involved on the open market without complying with the requirements of this Ordinance, provided that the City Council reserves competent information or data that the City itself is capable of completing the project involved in a more satisfactory or economical manner or that the materials, equipment or services may be purchased more economically on the open market. (e) Tie Bids -- If two or more bids are received which are in all respects equal, the contract shall be awarded to the bidder maintaining a place of business in the UNITED CITY OF THE VILLAGE OF YORKVILLE. However, if all or none of said bidders maintain a place of business in the UNITED CITY OF THE VILLAGE OF YORKVILLE, then the contract shall be awarded by drawing lots. SECTION 4. Every purchase or contract involving an expenditure of $1, 500. 00 or less may be made without compliance with the procedures set forth herein by authorization by City -5- personnel, provided further, however, that all contracts for expenditures of less than $1, 500. 00 may be awarded to the lowest responsible bidder in accordance with the procedures of this Ordinance, if directed by the City Council of the UNITED CITY OF THE VILLAGE OF YORKVILLE by resolution. SECTION 5. Prior to making the award of a contract exceeding $1, 500. 00 , the City Council may afford any bidder, who is present at the particular Council meeting, an opportunity to testify and to present evidence pertaining to the bidding procedures or documents employed, if there is a complaint with respect thereto. SECTION 6 . Notwithstanding any provisions of this Ordinance to the contrary, the competitive bidding procedures and requirements may be dispensed with in any of the following instances: (a) When the estimated amount involved is less than $1, 500. 00. (b) When a commodity being purchased is standardized in a manner to be compatible with equipment or articles in existing City use and in order to obtain more function or economic use from such existing equipment or articles, together with such commodity. (c) When in public session, the City Council has received competent information, data and sworn testimony supporting the facts that the product or -6- service desired is provided only by one person or firm. (d) The City Council may authorize the purchase of materials, supplies, equipment and services or may order work performed by City or non-City forces upon a finding of support by competent information or data that such purchase or work is urgent and immediately necessary for the preservation of life, health and property. The terms "urgent and immediately" as used in this sub-paragraph shall be deemed to mean "threatening to happen at once, such as an impending danger or calamity" . (e) When an agreement involves acquisition of services, equipment or any agreement entered into with another governmental entity. SECTION 7. Nothing shall be construed to preclude the City from awarding a written contract for professional-type services , as defined by case or statutory law, without complying with the provisions of this Ordinance. SECTION 8. The expression "lowest responsible bidder" as used in this Ordinance and in the City' s bidding documents shall be deemed to mean the lowest bidder whose offer best represents, in quality, fitness and capacity, the requirements of the proposed work or usage. e -7- SECTION 9. This Ordinance shall be in full force and effect from and after its passage and publication as provided by law. SECTION 10. The effective provisions of Ordinances passed heretofore and not inconsistent with the provisions of this Ordinance are hereby expressly ratified, and all provisions inconsistent herewith are expressly repealed. PASSED this a- day of , A.D. 1975. City Clerk SIGNED and APPROVED this Cj day of A.D. 1975. ti.et Mayor