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52Nov 3 election

3.16.100 - Formal contract procedure.

Part of the Code of Ordinances of Commerce, CA.

Local law · Updated May 13, 2025 · 2,277 sections

The text

Purchases of supplies and equipment of a value in excess of five thousand dollars shall be by written contract with the lowest and best bidder whenever this procedure is deemed to be in the best interests of the city. (1)

Notice Inviting Bids. Notices inviting bids shall include a general description of the articles to be purchased, shall state where bid blanks and specifications may be secured and the time and place for the opening of bids.

(A)

Published Notice. Notices inviting bids shall be published or posted at least ten days before the opening of the bids. Notices shall be published at least once in a newspaper of general circulation, serving the city; or shall be posted in at least three public places that have been designated as the places for posting public notices.

(B)

Bidder's List. The purchasing agent shall solicit sealed bids from all responsible prospective suppliers whose names are on the bidder's list or who have requested that their names be added thereto.

(2)

Bidder's Security. When deemed necessary by the purchasing agent, bidder's security may be prescribed in the public notices inviting bids. Bidders shall be enTitled to return of bid security; provided, that a successful bidder shall forfeit his bid security upon refusal or failure to execute the contract within ten days after the notice of award of contract has been mailed, unless the city is responsible for the delay. The city council may, on refusal or failure of the successful bidder to execute the contract, award it to the next lowest bidder, the amount of the lowest bidder's security shall be applied by the city to the difference between the low bid and the second lowest bid, and the surplus, if any, shall be returned to the lowest bidder.

(3)

Bid Opening Procedure. Sealed bids shall be submitted to the city clerk and shall be identified as bids on the envelope. Bids shall be opened by the city clerk in public at the time and place stated in the public notices. A tabulation of all bids received shall be forwarded to the city council and shall be open to public inspection during regular business hours for a reasonable period of time. No bidder may withdraw his bid for a period of thirty days.

(4)

Rejection of Bids. In its discretion, the city council may reject any and all bids presented and readvertise for bids or to exclude any item from the award of bid or waive any informalities on a bid.

(5)

Award of Contracts. Contracts shall be awarded by the city council to the lowest responsible bidder presenting the best bid to the city. In considering the lowest and best bid, the city council may take into consideration the location and availability of spare parts, availability of service and the vendor's experience with the commodity he is offering and such factors as delivery.

(6)

Tie Bids. If two or more bids received are for the same total amount or unit price, quality and service being equal, and if the public interest will not permit the delay of readvertising for bids, the city council may accept the one it chooses or accept the lowest bid made by negotiation with the tie bidders at the time of the bid opening.

(7)

Performance Bonds. The city council shall have authority to require a performance bond before entering a contract in such amount as it finds reasonably necessary to protect the best interests of the city. If the city council requires a performance bond, the form and amount of the bond shall be described in the notice inviting bids.

(Ord. 226 § 1, 1976; Ord. 202 § 10, 1974).