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HomeMy WebLinkAbout2019-07-03 (Special) Meeting Agenda Packet Please note: If you have a disability and need auxiliary aids or services, please notify the City of Englewood (303-762-2405) at least 48 hours in advance of when services are needed. 1000 Englewood Pkwy – Council Chambers Englewood, CO 80110 AGENDA City Council Special Wednesday, July 3, 2019 ♦ 6:00 PM I. Call to Order II. Pledge of Allegiance III. Roll Call IV. Emergency Purchase Authorization - Sante Fe Storm-water System Damage a. Emergency Purchase Authorization - Sante Fe Stormwater System Damage Emergency Purchase Authorization - Sante Fe Stormwater System Damage - Pdf Staff requests Council authorization, by Resolution, for a Purchase Order with American Civil Constructors, Inc. in an amount not to exceed $120,000 for emergency repairs to the stormwater system and surrounding area caused by the pipe failure from the July 1, 2019 storm. V. Adjournment Page 1 of 11 COUNCIL COMMUNICATION TO: Mayor and Council FROM: Dorothy Hargrove DEPARTMENT: City Manager's Office DATE: July 3, 2019 SUBJECT: Emergency Purchase Authorization - Sante Fe Stormwater System Damage DESCRIPTION: Emergency Purchase Authorization - Sante Fe Stormwater System Damage RECOMMENDATION: Staff requests Council authorization, by Resolution, for a Purchase Order with American Civil Constructors, Inc. in an amount not to exceed $120,000 for emergency repairs to the stormwater system and surrounding area caused by the pipe failure from the July 1, 2019 storm. PREVIOUS COUNCIL ACTION: Council approved Resolution #14, Series of 2019 on April 1, 2019 , to wit: An Ordinance Amending Title 4, Chapter 1, Sections 3-1 and 3-2 of the Englewood Muncipal Code 2000, in association with Municipal Purchasing and Disposition/Transfer of Goods and Services. In Section B, 1-2 City Council is authorized to waive competitive bidding for purchases over $100,000 in special circumstances. In addition, Charter Part IV, Purchases and Sales, Section 118: Emergency Purchases states that “In case of emergency affecting the public property, health, peace or safety, the Council may waive all provisions for competitive bidding…” SUMMARY: The administrative procurement grid accompanying the approval of Resolution #14 requires that the Mayor or Mayor Pro Tem call a Special Meeting with 24 hours of an emergency for Council to make a decision regarding emergency purchases in excess of $100,000. Utilities Director Tom Brennan secured the services of American Civil Constructors early in the evening of July 1, 2019. They arrived on site at 8:00 a.m. on July 2, 2019 and immediately mobilized equipment and manpower to help address the dangerous sink hole that had appeared on the southwest corner of Santa and Oxford. American Civil Constructors is a local, well- respected company that has worked in the past for the City. They have the size, expertise and resources necessary to complete repairs in a timely and safe manner. Page 2 of 11 FINANCIAL IMPLICATIONS: Initial estimates of the cost of repairs is under $100,000, based on estimates from Director Brennan and staff at American Civil Constructors. The possibility exists, however, that unexpected damage or delay could increase the total cost beyond these rough estimates. A Purchase Order in an amount not to exceed $120,000 will ensure timely completion of the project and limit the financial risk to the City. The expense will be charged to the Storm Drainage Fund which currently has a balance of $400,017.92. When the final invoice from the vendor is received, staff will inform Council of the final expense and request authorization for payment according to policy. CONCLUSION: The immediate danger to public property, health and safety in the situation is very clear. An authorization from Council for a Purchase Order with American Civil Constructors, Inc. will enable the project to be completed as necessary. ATTACHMENTS: Resolution #14, Series of 2019 Administrative Policy Procurement Grid Page 3 of 11 1 BY AUTHORITY ORDINANCE NO. ____ COUNCIL BILL NO. 9 SERIES OF 2019 INTRODUCED BY COUNCIL MEMBER MARTINEZ AN ORDINANCE AMENDING TITLE 4, CHAPTER 1, SECTIONS 3-1 AND 3-2 OF THE ENGLEWOOD MUNICIPAL CODE 2000, IN ASSOCIATION WITH MUNICIPAL PURCHASING AND DISPOSITION/TRANSFER OF GOODS AND SERVICES. WHEREAS, Englewood’s City Charter (Charter) Section 111 provides that “the City Manager shall be responsible for contracting for and purchasing all supplies, materials, equipment and contractual services required by any department, office or agency of the City. The purchasing officer shall be the City Manager or such person as he may designate;” WHEREAS, Charter Section 113, as amended in 2001, limits the purchasing officer’s authority to purchase supplies, materials or equipment without a competitive bid, to those purchases in an amount of $25,000 or less, unless otherwise prescribed by ordinance; WHEREAS, Charter Section 116, as amended in 2001, limits the purchasing officer’s authority to purchase supplies, materials or equipment for capital improvements without a competitive bid, to those purchases in an amount of $50,000 or less, unless otherwise prescribed by ordinance; WHEREAS, Ordinance 9, Series of 2001, limits the purchasing officer’s authority to purchase supplies, materials or equipment associated with Enterprise Funds, to those purchases in an amount of $50,000 or less, citing the inefficiencies associated with competitive bidding for products required for the effective operation of utilities; WHEREAS, due to inflationary impacts upon the dollar the cost of supplies, materials or equipment necessary to operate the City of Englewood in 2019 frequently exceeds the dollar limits established in 2001; WHEREAS, failure to modify spending limits to conform to inflation results in unnecessary costs to the City, including the necessity to retain additional procurement personnel to generate requests for proposals on low budget items or standard items, and filling City agendas with requests for approval of purchases of relatively small budget items and standard items; and WHEREAS, the implementation of software with increased levels of administrative oversight and publicly accessible financial portals provides open access to all expenditures of the City, regardless of amount, allowing for a level of transparency and citizen oversight unavailable in 2001, the last time spending authorities were reviewed by the City Council. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO, AS FOLLOWS: Section 1. Amendment of Title 4, Chapter 1, Section 3-1. Title 4, Chapter 1, Section 3-1 of the Englewood Municipal Code shall be amended as follows: Page 4 of 11 2 4-1-3-1: Purchases Without Bids. A. The City Council shall have the authority to authorize the City Manager is authorized to purchase commodities, equipment, devices, machinery, materials and parts, supplies, and services, including capital purchases of equipment and services, upon the open market or through negotiations and without receiving sealed, competitive bids therefor, in the following general situations as follows: 1. In the purchase of special equipment, devices, machinery, materials and parts provided that the same are available only from one source and no similar devices are available or able to satisfactorily serve the needs of the City. 2. In the purchase of materials, equipment, machinery or devices where the standardization of such materials and equipment is necessary to ensure the proper functioning of existing equipment, machinery or devices and/or to prevent the duplication of existing equipment. 1. In amounts not exceeding $10,000.00, neither bids nor quotes shall be required; 2. In amounts not exceeding $50,000.00, upon solicitation and receipt of two written quotes or upon providing documentation supporting a purchase through an optimal source. 3. In amounts not exceeding $100,000.00, pursuant to any general bid or purchase contract of the United States Government, State of Colorado, or other governmental jurisdiction, or governmental/not-for-profit cooperative purchasing organization, at the prices, terms and conditions contained therein, when, in the opinion of the City Manager, the governmental unit cooperative purchase price is deemed to be the source of the lowest and best bid available to the City, or upon providing documentation supporting a purchase through an optimal source. B. The City Council is authorized to purchase commodities, equipment, devices, machinery, materials and parts, supplies, and services, including capital purchases of equipment and services, upon the open market or through negotiations and without receiving sealed, competitive bids therefor, in the following general situations as follows: 1. In amounts exceeding $100,000.00, the City Council may waive competitive bidding for any professional or technical services, or services of/on behalf of the City’s regulated public utilities, for reasons deemed in the best interests of the City. 2. In amounts exceeding $100,000.00, the City Council may, by Resolution, approve a purchase through an optimal source. The Resolution shall provide information concerning the specific benefits to the City for utilizing the optimal source. B. The City Manager or designee shall have the authority to purchase supplies, materials and equipment in excess of five thousand dollars ($5,000.00) upon the open market or through negotiations and without receiving sealed, competitive bids therefor, in the following situations and subject to the following conditions, provided that none of such purchases shall exceed twenty-five one hundred thousand dollars ($25100,000.00): Page 5 of 11 3 1. In the purchase of water meters, fire hydrants, gate valves and fire hose, provided that notice is given to all firms within the City offering the identical items for sale and each is given the opportunity to give informal price quotations for the purchase. 2. In the purchase of sand-gravel aggregate and asphaltic materials to be used for street fill, repair and maintenance, provided that all such purchases shall be based upon a unit quantity basis. 3. In the purchase of special devices and machine repair parts for both moving and stationary mechanical devices, provided that the same are available only from one source, and no other generally similar device is available from another source. 4. In the purchase of replacement parts and equipment, when furnished as a part of a repair service to equipment owned or leased by the City. 5. In the rental of equipment and machinery, provided that the period of rental is for an indeterminate time and the rental fee is negotiated upon a unit of time basis. 6. In the purchase of materials and equipment where the standardization of such materials and equipment is necessary to ensure the proper functioning of existing equipment and/or to prevent the duplication of existing equipment necessitated by the award of a low bid to alternate-make equipment when such purchases are expressly approved by the City Manager. 7. The purchase of supplies, materials and equipment for use by enterprises under the sole ownership of the City. 8. The retention of professional services. C. The City Manager or designee shall have the authority to purchase commodities, supplies and equipment under any general bid or purchase contract of the United States Government, State of Colorado or other governmental jurisdiction, or governmental/not- for-profit cooperative purchasing organization at the prices, terms and conditions contained therein, when, in the opinion of the City Manager, the governmental unit cooperative purchase price is deemed to be the source of the lowest and best bid. D. Administrative Decision. The City Manager or his designee shall have the authority to purchase goods that are for resale by the City, upon the open market or through negotiations and without receiving sealed, competitive bids therefor. EC. The City Manager shall have the authority to prescribe rules, regulations and policies necessary to control purchasing activities in an effective and efficient manner in accordance with the Home Rule Charter and Municipal Code of the City of Englewood. Any administrative purchasing policy, or revisions to a purchasing policy, shall be provided to the City Council for informational purposes. Section 2. Amendment of Title 4, Chapter 1, Section 3-2. Title 4, Chapter 1, Section 3-2 of the Englewood Municipal Code shall be amended as follows: 4-1-3-2: Purchases with Bids. Page 6 of 11 4 Nothing herein shall be construed to prohibit the purchasing officer from calling for sealed, competitive bidding upon any purchase of supplies, materials, and equipment, or professional services in any case where he the purchasing officer determines it advisable to do so, the sole intent of this Chapter being to dispense with the necessity therefor at the option of the said purchasing officer, in the purchase of those items described in Section 4-1-3-1 hereof. In all cases where purchases are made without calling for sealed, competitive bidding, the purchasing officer shall utilize such means of purchasing the items involved as he believes will assure that the prices paid by the City do not exceed the reasonable market values of the supplies, materials or equipment so purchased. Section 3. Addition of Title 4, Chapter 1, Section 3-3. Title 4, Chapter 1, Section 3-3 of the Englewood Municipal Code shall be amended as follows: 4-1-3-3: Disposition of Property. Items of personal property with value shall be advertised for sale by the purchasing officer in a manner deemed most effective and efficient to the City. If no bids are received for an advertised article, the purchasing officer shall dispose of the article in a manner most advantageous to the City. Items may be transferred to other governmental entities through donation, or exchange for a similar item or service when such donation or exchange provides a value most advantageous to the City. The term “governmental entity” shall include any such entity so defined by Colorado Revised Statutes. Section 4. Notice of general provisions and findings applicable to interpretation and application of this Ordinance: Saving Clause. E.M.C. Title 1, Chapter 2, “Saving Clause” shall apply to interpretation and application of this Ordinance, including, but not limited to, the provisions regarding severability, inconsistent ordinances or code provisions, effect of repeal or modification, and legislation not affected by repeal. Enforcement. E.M.C. Title 1, Chapter 4, “General Penalty” provisions mandate that except as otherwise specifically provided for in this Code, the violation of any provisions of this Code or of any secondary code adopted herein shall be punished by a fine not exceeding two thousand six hundred and fifty dollars ($2,650.00) or imprisonment for a term not exceeding three hundred sixty (360) days or by both such fine and imprisonment. The imposition of one (1) penalty shall not excuse any violation nor permit it to continue. Safety Clauses. The City Council hereby finds, determines, and declares that this Ordinance is promulgated under the general police power of the City of Englewood, for the health, safety, and welfare of the public, and that this Ordinance is necessary for the preservation of health and safety and for the protection of public convenience and welfare. The City Council further determines that the Ordinance bears a rational relation to the proper legislative object sought to be obtained. Introduced, read in full, and passed on first reading on the 18th day of March, 2019. Page 7 of 11 5 Published by Title as a Bill for an Ordinance in the City’s official newspaper on the 21st day of March, 2019. Published as a Bill for an Ordinance on the City’s official website beginning on the 20th day of March, 2019 for thirty (30) days. Read by Title and passed on final reading on the 1st day of April, 2019. Published by Title in the City’s official newspaper as Ordinance No. ___, Series of 2019, on the 4th day of April, 2019. Published by title on the City’s official website beginning on the 3rd day of April, 2019 for thirty (30) days. This Ordinance shall take effect thirty (30) days after publication following final passage. Linda Olson, Mayor ATTEST: Stephanie Carlile, City Clerk I, Stephanie Carlile, City Clerk of the City of Englewood, Colorado, hereby certify that the above and foregoing is a true copy of the Ordinance passed on final reading and published by Title as Ordinance No. ___, Series of 2019. Stephanie Carlile Page 8 of 11 CITY OF ENGLEWOOD – PROCUREMENT POLICY MARCH 18, 2019 City of Englewood (Including Enterprises)* Excludes only publicly regulated utilities (i.e., Excel Energy, Denver Water) – (1) < $5,000 > $5,000 but < $10,000 (Including All Materials, Supplies & Equipment, Capital Equipment AND All Services) = or > $10,000 but < $50,000 (Including All Materials, Supplies & Equipment, Capital Equipment AND All Services) = or > $50,000 but < $100,000 (Including All Materials, Supplies & Equipment, Capital Equipment AND All Services) = or > $100,000 (Including All Materials, Supplies & Equipment, Capital Equipment AND All Services) Emergency Purchases = or > $100,000 Change Orders (Unforeseen Circumstances Only on Existing Contract) Forms / Contract Required P-Card OR Invoice (only if P-Card not accepted) Purchase Order Purchase Order AND Contract Required Purchase Order AND Contract Required Purchase Order AND Contract Required Emergency Purchase Confirmation Letter AND Purchase Order (to support invoice payment) Change Order Request in Writing Bids / Quotes Not Required Not Required Two Written Quotes Select Low Bid OR Provide Optimal Source Justification OR Cooperative Purchasing Agreement through Approved Organizations (1) Required: Schedule A (Statement of Work) & Sealed Bid & Publication & Contract Select Low Bid OR Provide Optimal Source Justification OR Cooperative Purchasing Agreement through Approved Organizations (1) Required: Schedule A (Statement of Work) & Sealed Bid & Publication & Contract Select Low Bid OR Provide Optimal Source Justification OR Cooperative Purchasing Agreement through Approved Organizations (1) Per Charter Part IV Purchases and Sales, Section 118: Emergency Purchases: “In case of emergency affecting the public property, health, peace or safety, the Council may waive all provisions for competitive bidding…” N/A Signature Authority P-Card; One Level Approval IT purchases require IT Manager approval Legal Services Require City Attorney approval Department Director IT purchases require IT Manager approval Legal Services Require City Attorney approval Department Director City Manager IT purchases require IT Manager approval Legal Services Require City Attorney approval Department Director City Manager IT purchases require IT Manager approval Legal Services Require City Attorney approval Department Director City Manager City Council IT purchases require IT Manager approval Legal Services Require City Attorney approval Mayor or Mayor Pro Tem will call a Special Meeting within 24 hours of emergency for City Council to make a decision regarding Emergency Purchases exceeding $100,000 1) <$5k – Project Manager and Department Director 2) >$5k – All of the above & City Manager 3) $>100,000; and/or Cumulatively, = to or > than 10% of original contract price (for original contracts, $100,000 and over) – Include Contract Language– All of the above and City Council Page 9 of 11 CITY OF ENGLEWOOD – PROCUREMENT POLICY MARCH 18, 2019 General Policies:  Split purchases are not allowed on P-Cards, Purchase Orders. This includes purchases in the current and following year from one vendor.  Services (i.e., Engineering, Repair, Abatement) require appropriate level of approval as noted above; Quotes or Bids should be obtained based on estimated fiscal year cost & Purchase Orders must be in place prior to service beginning.  If lowest competitive bid or quote is not accepted, Department is required to provide an Optimal Source justification with requests for approval to City Manager and/or City Council (depending upon required approval threshold).  Regulated Utilities (i.e., Excel Energy, Denver Water) are excluded from this policy. Notes: 1) Further clarification required by City Attorney and Finance Director Page 10 of 11 RESOLUTION NO. __ SERIES OF 2019 A RESOLUTION AUTHORIZING EMERGENCY PURCHASE(S) TO ADDRESS THE SINKHOLE CAUSED BY A RAIN EVENT OCCURING ON JULY 1, 2019, RESULTING IN SEVERAL CLOSED ROADS NEAR SOUTH SANTA FE DRIVE AND WEST OXFORD AVENUE, AFFECTING THE PUBLIC PROPERTY, HEALTH, PEACE AND/OR SAFETY OF THE CITY OF ENGLEWOOD. WHEREAS, Section 118 of the Englewood Home Rule Charter provides that “[i]n case of [an] emergency affecting the public property, health, peace or safety, the Council may waive all provisions for competitive bidding and direct the purchasing officer to purchase necessary supplies in the open market at not more than commercial prices; WHEREAS, On July 1, 2019 a rain event caused a sinkhole to open up in the roadway on Oxford, near Santa Fe, resulting in an emergency affecting the public property, health, peace and/or safety; WHEREAS, The Procurement Policy approved by Ordinance on April 1, 2019 provides that emergency purchases anticipated to be in excess of $100,000.00 will be approved at a special meeting called by the Mayor within 24 hours of the event of the emergency for the City Council to make a decision regarding such emergency purchase; and WHEREAS, On July 2, 2019 the Mayor called a special meeting for July 3, 2019 regarding authorization of emergency purchases in accordance with Charter §118. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ENGLEWOOD, COLORADO, AS FOLLOWS: Section 1. The Englewood City Council hereby waives all provisions for competitive bidding in association with the repairs to Oxford associated with the sinkhole that occurred on July 1, 2019, and directs the purchasing officer to purchase necessary supplies in an amount not to exceed $120,000 in the open market at not more than commercial prices. ADOPTED AND APPROVED this 3rd day of July, 2019. ATTEST: Linda Olson, Mayor __________________________________ Stephanie Carlile, City Clerk I, Stephanie Carlile, City Clerk for the City of Englewood, Colorado, hereby certify the above is a true copy of Resolution No. __, Series of 2019. ______________________________ Stephanie Carlile, City Clerk Page 11 of 11