Subject:
Title
Request to Amend to Chapter 6, Finance and Taxation, Article 8, Procurement, of the Vienna Town Code
Body
EXPLANATION AND SUMMARY:
The Finance Department wishes to make the following change to the Town Code, Chapter 6, Finance and Taxation, Article 8, Procurement.
The department recommends raising the dollar limit for competitive sealed bidding to $20,000 from $10,000. In 2014, Council raised the appropriation amount requiring Council approval to $20,000. We want to align competitive sealed bid requirements with Council approval guidelines. Any item more than $20,000 would require a formal, sealed bid or a rideable contract. Any item less than $20,000 but more than $1,000 would require three written quotes or a rideable contract.
In the past two years, three items required competitive sealed bids because they were more than $10,000, but did not require Council approval because they were less than $20,000. Eleven items between $10,000 and $20,000 were waived from competitive sealed bids because it was deemed as not practicable or fiscally advantageous. These items also did not require Council approval. Accordingly, this suggested change does not impact a large number of items.
This change will simplify procedures for departments, but will be transparent to Council. Additionally, this change is well within limits for competitive sealed bids set by the State, which is $100,000 for goods and services other than professional services and $60,000 for professional services.
If Council agrees to this change, the Finance Department will update the Purchasing Administrative Regulations to reflect the Code changes.
Departmental Recommendation: Recommend amending Chapter 6, Article 8 of the Town Code to change the minimum for competitive sealed bids to $20,000.
Finance Recommendation: Recommend amending Chapter 6, Article 8 of the Town Code to change the minimum for competitive sealed bids to $20,000.
Purchasing Recommendation: Recommend approval.
Town Attorney Recommendation: Pursuant to the state Public Procurement Act, the Town may adopt small purchasing procedures, and Town Council may approve the proposed amendments to Chapter 6 in its discretion.
Town Manager's Recommendation: I recommend the Town Council adopt the changes as presented.
Cost and Financing: $0
Account Number: N/A
Decision Needed by This date: June 5, 2017
PROPOSED/SUGGESTED MOTION
Recommended Action
"I move to adopt the changes as proposed to the Town Code of Vienna, Chapter 6 Finance and Taxation, Article 8, Procurement."
And,
“I further move to direct the Town Clerk to advertise the intent to adopt said changes at the July 10, 2017 Council meeting.”
Or
Other action deemed necessary by Council.