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Tonight the City Council approved a resolution approving a contract with DSS Corporation to upgrade the Police Department’s voice recorder system. The cost of this contract was a little over $38K. There were no competitive bids.The City’s Code of Ordinances has this to say about contracts:
Sec. 2-298. Purchases or contracts over $25,000.00.
Any expenditure for supplies, materials, equipment, construction project or contract obligating the city, where the amount of the city’s obligations is in excess of $25,000.00 with the exception of rehabilitation housing contracts and change work orders, shall be first approved by the city council and shall be governed by the provisions of this section.
(1) Such expenditure shall be made the subject of a written contract when directed by the city council. A purchase order shall be a sufficient written contract in cases where the expenditure is in the usual and ordinary course of the city’s affairs.
(2) The purchasing officer shall solicit bids from a reasonable number of such qualified prospective bidders as are known to him by sending each a copy of the notice requesting bids and notice thereof shall be posted in the city hall. Bids shall also be solicited by newspaper advertisement when directed by the city council. (3) Unless prescribed by the city council, the city manager shall prescribe the amount of any security to be deposited with any bid, which deposit shall be in the form of cash, certified check or cashier’s check or bond written by a surety company authorized to do business in the state. The amount of such security shall be expressed in terms of percentage of the bid submitted. Unless fixed by the city council, the city manager shall fix the amount of the performance bond and in the case of construction contracts, the amount of the labor and materials bond to be required by the successful bidders.
(4) Bids shall be opened in public at the time and place designated in the notice requesting bids in the presence of the purchasing officer, the city clerk and at least one other city official, preferably the head of the department most closely concerned with the subject of the contract. The bids shall thereupon be carefully examined and tabulated and reported to the city council with the recommendation of the purchasing officer (as approved by the city manager if the city manager is not acting as purchasing officer) at the next city council meeting. After tabulation, all bids may be inspected by the competing bidders.
(5) When such bids are submitted to the city council and the city council shall find any of the bids to be satisfactory, it shall accept the bids. The city council shall have the right to reject any or all bids and to waive irregularities in bidding and to accept bids which do not conform in every respect to the bidding requirements.
(6) At the time the contract is executed by him, the contractor shall file a bond executed by a surety company authorized to do business in the state, to the city, conditioned to pay all laborers, mechanics, subcontractors and material men as well as all just debts, dues and demands incurred in the performance of such work and shall file a performance bond when one is required. Such contractor shall also file evidence of public liability insurance in an amount satisfactory to the city manager, and agree to savethe city harmless from loss or damage caused to any person or property by reason of the contractor’s negligence.
(7) All bids and deposits of certified or cashier’s checks may be retained until the contract is awarded and signed. If any successful bidder fails or refuses to enter into the contract awarded to him within five days after the contract has been awarded, or filed any bond required within the same time, the deposit accompanying his bid shall be forfeited to the city, and the city council may, in its discretion, award the contract to the next lower qualified bidder or such contract may be readvertised.
(8) No contract, agreement, understanding or other arrangement, whether oral or written, in excess of $25,000.00 for the performance of service or work for and on behalf of the city, involving craftsmen, mechanics and laborers employed directly upon the site of the work shall be entered into, approved or executed unless such contract, agreement, understanding or arrangement shall provide and require that all craftsmen, mechanics and laborers, not including persons employed directly by the city, so employed shall receive at least the prevailing wages and fringe benefits of the building trades department for corresponding classes of craftsmen, mechanics and laborers, as determined and published by the Davis-Bacon division of the United States Department of Labor for the greater Ypsilanti area. In addition, such contract, agreement, understanding or arrangement shall provide that all subcontracts entered into by the contractor shall contain the provisions set forth above with respect to the contractor, and all suchcontracts, agreements, understandings or arrangements shall provide that all contractors and subcontractors engaged in the performance of services or work for the city to which this subsection applies shall, at the request of the city, furnish proof satisfactory to the city that the foregoing provisions of such contract or subcontract are being complied with. It shall be the responsibility of the purchasing officer to post at an appropriate place in the purchasing offices prevailing wages and fringe benefits that may be, from time to time, in effect in accordance with the foregoing, and the city manager is directed to see that the requirements of this subsection are contained in and complied with in all contracts, agreements, understandings or arrangements for work or services to be performed for the city in accordance herewith. Any person found guilty of violating any provision of this subsection shall be punished by imprisonment for not more than 90 days or a fine of $100.00 or both in the discretion of thecourt.
(Code 1983, Â§ 1.253; Ord. No. 908, 1-25-2000)
Sec. 2-299. Exceptions in competitive bidding.
Competitive bidding shall not be required in the following cases:
(1) Where the subject of the contract is other than a public work or improvement costing in excess of $25,000.00 and the product or material contracted for is not competitive in nature and no advantage to the city would result from requiring competitive bidding and the city council, upon written recommendation of the city manager authorizes execution of a contract without competitive bidding.
(2) In the employment of professional services.
(3) Where the city council shall determine that the public interest will be best served by purchase from, or joint purchase with, another unit of government.
(4) Where the city elects to undertake the work itself.
(Code 1983, Â§ 1.254; Ord. No. 908, 1-25-2000)
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