HomeMy WebLinkAbout12-15-2014 Public Works Committee Agenda ModificationMemorandum
Engineering Division
To: Public Works Committee
From: Ingrid Gaub, Assistant Director of Engineering /City Engineer
CC: Mayor
City Clerk
Councilmembers
Kevin Snyder, Community Development & Public Works Director
Jacob Sweeting, Assistant City Engineer
Date: December 11, 2014
Re: Agenda Modification for the December 15, 2014 Meeting
This modification adds the following item to the agenda:
III. ACTION
E. Ordinance No. 6545 (Gaub)
An Ordinance of the City Council of the City of Auburn, Washington, amending
Chapter 3.12 of the City Code relating to public contracts
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Page 1 °f 1AUBURN * MORE THAN YOU IMAGINED
Title:
Ordinance No. 6545
Agenda Category: Ordinance
Date:12/11/2014
Department: CDPW Budget Impact: $
Administrative Recommendation:
Public Works Committee recommend that City Council introduces and adopts Ordinance No. 6545
Background Summary:
Ordinance No. 6545 authorizes provides for revision to Auburn City Code Chapter 3.12, Public Contracts.
The ordinance includes modifications to contract authorities and processes as discussed with the City
Council during the consideration of the Council Study Session format. In addition, these revisions provide
clarification of the various bid processes available to the City for completion of public work and their
requirements.
Staff recommendations during the previous council committee discussions were as follows:
1. Match the various competitive bid limit authorities to the amounts as allowed by current RCW's
and any future revisions of the RCW's.
2. Provide for the authority for award of construction contracts by the Director or his /her designee to
be in line with State competitive bid limits for projects included in the approved budget.
(Competitive bidding is currently required for any public work over $40,000.00 for single trade and
$65,000.00 for multiple trade.)
Other modifications included in this ordinance include removing requirements on small works contracting
procedures that were above and beyond that required by State law.
List Attachments: Ordinance No. 6545
Reviewed by Council Committees: • Finance • Muni
Services
• PCDC • PWC • Les Gove Community
Campus
• Downtown Redevelopment • Council Operations Committee
Other:
Meeting Date: 12/15/2014
Staff: Gaub
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ORDINANCE NO. 6 5 4 5
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF AUBURN, WASHINGTON, AMENDING CHAPTER 3.12
OF THE CITY CODE RELATING TO PUBLIC CONTRACTS
WHEREAS, the current provisions of the Auburn City Code provide for
procedures and requirements related to public contracting; and
WHEREAS, many of these procedures and requirements date back to times
when state statutes provided markedly different requirements; and
WHEREAS, many of these state statutes have been modified from what the City
Code calls for, and now provide for requirements more favorable to city contracting
needs; and
WHEREAS, It would be appropriate to amend the City Code sections to
accommodate the statutory revisions and updated bid limits; and
WHEREAS, with any revisions, it would be advantageous to make the processes
as flexible as would be permitted under state law and to accommodate contracting
needs that fall below the level of required competitive bidding; and
WHEREAS, it would also be advantageous to allow department director
discretion to address the award of bids falling below competitive bid requirements so as
to allow work projects to commence in a more timely fashion.
Ordinance No. 6545
December 11, 2014
Page 1
Page 3 of 13
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AUBURN,
WASHINGTON, DO ORDAIN as follows
Section 1. Amendment to City Code. Chapter 3.12 of the City Code is
amended to read as follows:
Chapter 3.12
PUBLIC CONTRACTS1
Sections:
3.12.010 Definitions.
3.12.0113.12.020 _ - _ _ _ . - - - •• - - - _ _ - = Bid solicitation.
3.12.020 Advcrtising proccdurcs.
3.12.030 Bid opening.
3.12.040 Rejection of bids.
3.12.0223.12.050 Disqualification of bidders.
3.12.060 Award.
3.12.070 Contractor's bond.
3.12.0253.12.080 Contractor evaluation form.
3.12.0303.12.090 Small works roster cstablishcd.
3.12.032 Establishmcnt of small works roster.
3.12.03'1 Proccdurc for utilization of small works roster.
3.12.0363.12.100 Limited public works process jects.
3.12.038
3.12.110 On Call Contracting
3.12.0503.12.120 Publication, printing, and notices.
3.12.010 Definitions.
The following definitions shall apply throughout this chapter:
A. "Public works projcct" shall be as defined in RCW 39.04.010, as currently
enacted or hereinafter amended. _ _ _ - _ _ _ _ • _ - _ : -
improvcmcnt othcr than ordinary maintcnancc, cxccutcd at thc cost of thc city. All
public works, including maintenance, when performed by contract shall comply with the
provisions of RCW 39.128. A "public worke}est" shall include all scope of work
necessary to result in a complete operating facility. The total scope of work necessary
will not be subdivided for the purpose of avoiding public bidding.
B. "Contract" shall mean a contract in writing for the execution of public work
for a fixed or determinable amount duly awarded in conformance with this code.-after
1 1 For statutory provisions requiring public bidding on certain public contracts of second, third and fourth
class cities, see RCW 35.23.352; for provisions making RCW 35.23.352 applicable to code cities, see
RCW 35A.40.200 and 35A.65.010.Prior legislation: 1957 code § 1.30.030 and Ords. 3689 and 4327.
Ordinance No. 6545
December 11, 2014
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e AM
works roster under the authority of RCW 39.0'1.155 need not be advertised.
C. "Improvements" refers to a public work.
BD. " "Responsible Bidder" means a contractor who meets the criteria in RCW
39.04.350 and the requirements of ACC 3.12.050.(Ord. 4924 § 2, 1997; Ord. 4581 § 2,
1992.)
3.12.011 3.12.020 Bid Solicitation
A. Formal advertisement required.
Except as otherwise authorized in RCW 39.04 and 39.28 or 35.23.352, relating to
emergency public works, or other applicable general state law, as now enacted or as
hereafter amended, all public work and improvements shall be done by contract
pursuant to public notice and call for competitive bids whenever the estimated cost of
such public work or improvement, including the cost of materials, supplies, equipment
and labor will exceed the limits for competitive bid as stated in RCW 35.23.352 as now
enacted or as hereafter amended, provided the city may use a small works roster
pursuant to RCW 35.23.352.
Where formal bidding is required, aA call for bids shall be issued in accordance
with the provisions herein before any contract is let for the performance of any public
workimprovement. for which thc cstimatcd cost thcrcof (including thc cost of matcrials,
supplies and equipment) shall exceed the sum of $200,000.00.
Projects of $200,000.00 or less need not be advertised; provided, that the small
works rostcr proccdurcs as hcrcin cstablishcd in ACC 3.12.030 through 3.12.0'10 arc
used. (Ord. 5866 § 1, 2004; Ord. 4924 § 2, 1997; Ord. 4581 § 2, 1992.)
3.12.020 B. Formal aAdvertising procedures.
For projects requiring formal advertisement per ACC 3.12.020, aA notice of a call
for bids, stating the nature of the contract to be let and the time on or before which
sealed bids for the same must be filed with the city clerk, shall be given by posting
notice thereof on the bulletin board in the lobby of City Hall. The notice shall also be
published in the official newspaper, andeI a newspaper of general circulation most likely
to bring responsive bids, at least 13 days prior to the last date upon which bids will be
received. The notice shall generally state the nature of the work to be done, where the
that plans and specifications may be seen or obtainedthercof shall then be on filc in thc
City Hall for public inspection, and a specified hour and date when such bids shall be
opened, and that the sealed bids be filed with the city clerk within the time specified
therein. The clock within the city clerk's office shall be the official time used for
determining receipt of bids.
C. Council approval
Issuance of solicitations for bids shall require City Council consent approval
unless the solicitation is for a project identified in the city's current approved budget at
the time of bid solicitation or if the estimated contract amount is within the budget
authority of the Mayor as provided in ACC 3.10.
Ordinance No. 6545
December 11, 2014
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D. For projects not required to be formally advertised, the city shall issue an
invitation to bid, request for quote or other form as determined appropriate by the city
engineer and in accordance with the requirements of RCW 39.04.155.
3.12.030 Bid opening
A. For projects utilizing a formal advertisement process per ACC 3.12.020, bids
shall be opened and publically read aloud by the city clerk at the time and location as
set forth in the contract advertisement.
B. For projects not utilizing a formal advertisement process, the city engineer shall
determine whether a public reading of the bids is required and indicate this in the
invitation to bidders or request for quote documents.
3.12.040 Rejection of bids
The city shall have the power to reject any or all bids, to determine and to waive
any irregularities or informalities that do not materially affect the substance of the bid
itself, and to make further calls for bids in the same manner as the original call; or, if in
its judgment the project can be done by the city at less cost than the lowest bid
submitted, it may do so without making further call for bids or awarding any contract
therefor. If no bid is received on the first call, the city may re- advertise and make a
second call, or may enter into a contract by negotiation without further calls, or may
purchase the supplies, material or equipment and perform such work or improvement
with in -house forces. (Ord. 4924 § 2, 1997; Ord. 4581 § 2, 1992.)
3.12.022 3.12.050 Disqualification of bidders.
A bidder may be deemed not responsible and the proposal rejected, unless
contract terms specify otherwise, if:
A. The bidder does not meet the mandatory bidder responsibility criteria in
RCW 39.04.351(1) as it is now or as amended; or
A B. Evidence of collusion exists with any other bidder or potential bidder.
Participants in collusion will be restricted from submitting further bids; or
C. The bidder, in the opinion of the city, is not qualified for the work or to the
full extent of the bid, or to the extent that the bid exceeds the authorized prequalification
amount as may have been determined by a requalification of the bidder; or
13,D. An unsatisfactory performance or safcty record exists based on past or
current contracting work for the city or for others, as judged from the standpoint of
conduct of the work; workmanship; or progress; affirmative action; equal employment
opportunity practices; termination for cause; of disadvantaged business enterprise,
minority business enterprise, or woman's business enterprise utilization; or
E. An unsatisfactory safety record exists based on past or current contracting
work; or
There is uncompleted work, with the city or others, which in the opinion of
the city might hinder or prevent the prompt completion of the work bid upon; or
D. A bidder is not prequalificd for the work or to the full extent of the bid;
Ordinance No. 6545
December 11, 2014
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G. The bidder failed to settle bills for labor or materials on past or current
contracts, unless there are extenuating circumstances acceptable to the city; or
H. The bidder has failed to complete a written public contract or has been
convicted of a crime arising from a previous public contract, unless there are
extenuating circumstances acceptable to the city; or
The bidder is unable, financially or otherwise, to perform the work, in the
opinion of the city; or
I+J. A bidder is not authorized to do business in the state of Washington; or
bK. More than one proposal is submitted for the same project by a bidder
under the same or different names; or
L. Any other reasons deemed proper by the city.
(Ord. 4924 § 2, 1997; Ord. 4581 § 2, 1992.)
3.12.060 Award
For contracts greater than the bid limits as provided in RCW 35.23.352 as now
enacted or as hereafter amended, the city council shall award the contract to the lowest
responsible bidder. For contracts less then the bid limits provided in RCW 35.23.325 as
now enacted or as hereafter amended, the director or his /her designee shall have the
authority to award the contract.
3.12.0/10 3.12.070 Contractor's bond.
Whenever the city shall contract with any person or corporation to do any work,
the city shall require the person or persons with whom such contract is made to make,
execute, and deliver to the city clerk a sufficient bond, with a surety company as surety,
conditioned that such person or persons shall faithfully perform all the provisions of
such contract and pay all laborers, mechanics, subcontractors and material suppliers,
and all persons who supply such person or persons, or subcontractors, with provisions
and supplies for the carrying on of such work. Said security company in accordance
with RCW 39.08.010 shall be bound by the laws of the state of Washington and subject
to the jurisdiction of the state of Washington. The provisions of RCW 39.08.010 through
39.08.030 shall not apply to any money loaned or advanced to any such contractor,
subcontractor or other person in the performance of any such work.
For contracts using the limited public works process, the city may waive the
payment and performance bond requirements of Chapter 39.08 RCW and retainage
requirements of Chapter 60.28 RCW, thereby assuming the liability for the contractor's
nonpayment of laborers, mechanics, subcontractors, materialmen, suppliers, and taxes
imposed under RCW Title 8284 that may be due from the contractor for the limited
public works project; however, the city shall have the right of recovery against the
contractor for any payments made on the contractor's behalf. The city engineer shall
have the authority to waive the payment and performance bond requirements and
retainage requirements based on his /her evaluation of the project and determination of
risk.
Ordinance No. 6545
December 11, 2014
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On contracts of $00035,000.00 or less, upon mutual agreement, the city may,
in lieu of the bond, retain 50 percent of the contract amount for a period of /15 30 days
after the date of final acceptance, or until receipt of all necessary releases from the
Department of Revenue, Employment Security Department, and the Department of
Labor and Industries receipt of all affidavits of wages paid for the prime and sub-
contractors, and settlement of any liens filed under Chapter 60.28 RCW, whichever is
later. (Ord. 5866 § 1, 2004; Ord. 4924 § 2, 1997; Ord. 4581 § 2, 1992. NOTE: See RCW
39.08.010.)
3.12.0253.12.080 Contractor evaluation form.
After work is performed by a contractor, the inspector, project manager, and
contract administrator for the project shall evaluate the Contractor's work performance
as to certain criteria but not limited to the followingthc following criteria:
A. Progress of the Work, including:
1.A The ability, capacity and skill of the contractor to perform the work;
2E. Whether the contractor performed the work promptly and within the time
specified without delay or interference;
BG. Quality of the work p° ed;
C. Equipment;
D. Administration /Management/Supervision;
E. Coordination and Control -of Subcontractors;
F. Whether the contractor provided a safe working environment for his /her
employees and the general public;
GE. Whether the contractor stood behind his /her service or work performed.
A copy of the contractor evaluation form will be sent to the contractor if
requested. The contractor evaluation form may be used by the city to determine
whether or not the contractor is a responsible bidder who should be considered for
further public works projects. (Ord. 4924 § 3, 1997.)
3.12.090030 Small works roster established.
A. The city need not comply with formal sealed bidding procedures for
construction, building, renovation, remodeling, alteration, repair, or improvement of real
property where the estimated cost does not exceed the current statutory limit in RCW
39.04.155, which includes the costs of labor, material, equipment, and sales and /or use
taxes as applicable. Instead, the city may use the small works roster procedures for
public works projects as set forth herein. The breaking of any project into units or
accomplishing any projects by phases is prohibited if it is done for the purpose of
avoiding the maximum dollar amount of a contract that may be let using the small works
roster process.
B. Number of small work rosters.
The city may create a single general small works roster, or may create a small works
roster for different specialties or categories of anticipated work. Said small works
rosters may make distinctions between contractors based upon different geographic
areas served by the contractor.
Ordinance No. 6545
December 11, 2014
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C. Contractors on small works roster(s)
The small works roster shall consist
contractor's small works roster comprised of all responsible contractors who have
requested to be on the roster(s) and who are, and where required by law are; properly
licensed or registered and bondod to perform contracting work in the state of
Washington. Contractors desiring to be placed on a roster or rosters must keep current
ecords of any applicable licenses, certificates, registrations, bonding, insurance, or
other appropriate matters on file with the City as a condition of being placed on a roster
or rosters. The city reserves the right to exclude a contractor from the roster if they are
deemed to be not responsible or to remove a contractor from the roster at such time as
the city becomes aware of specific facts that would deem the contractor to be not
responsible. (Ord. 5866 § 1, 2004; Ord. 4924 § 2, 1997; Ord. 4581 § 2, 1992.)
3.12.032 u. Publication of small work rosterEstablishmcnt of small works
roster.
Thc small works rostcr shall bc cstablishcd as follows:
1. At least once a year, the city shall publisha4vci4 ce in a newspaper of
general circulation within the jurisdiction a notice of the existence of the roster or rosters
and solicit the names of contractors for such roster or rosters. the update of the small
works roster. Responsible contractors The city shall be added to an appropriate the
roster or rosters at any time that they submit a written request and necessary records.
those contractors who respond to thc advcrtiscmcnt and rcqucst to bc includcd on thc
roster.
2. The city will utilize the statewide electronic database developed and
maintained by the Municipal Research and Services Center of Washington (MRSC
Rosters) or successor agency.
A. In ordcr to bc includcd on thc rostcr, contractors shall supply information
in responsc to a standard qucstionnairc which shall includc thc following:
1. Thc contractor's statc liccnsc and /or rcgistration, whcrc rcquircd by law;
2. Thc contractor's UBI numbcr, fcdcral tax ID numbcr, and L & I liccnsc
expiration date;
3. The contractor's claims history, safcty rccord, financial history, bond
/1. The contractor's cxpericncc, organization and tcchnical qualifications
necessary to perform proposed contracts;
5. Thc contractor's insurancc covcragc and bond;
6. The contractor's history of jobs performed for public agencics, including
refers (Ord. 5866 § 1, 2004; Ord. 4924 § 2,
3.12.03/1 E.
projects.
Ordinance No. 6545
December 11, 2014
Page 7
Quotations for
1997; Ord. 4581 § 2, 1992.)
Procedure for utilization of small works roster
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follows:
The city shall obtain telephone, written of electronic quotations for public works
contracts from contractors on the appropriate small works roster(s) to assure that a
competitive price is established and to award contracts to the lowest responsible bidder,
as defined in RCW 39.04.010, RCW 39.04.350, and ACC3.12.050, as follows:
1. A contract awarded from a small works roster need not be advertised.
Invitations for quotations shall include an estimate of the scope and nature of the work
to be performed as well as materials and equipment to be furnished. However, detailed
plans and specifications need not be included in the invitation. The paragraph does not
eliminate other requirements for architectural or engineering approvals as to quality and
compliance with building codes.
2. Quotations may be invited from all appropriate contractors on the
appropriate small works roster(s). As an alternative, quotations may be invited from at
least five contractors on the appropriate small works roster(s) who have indicated the
capability of performing the kind of work being contracted, in a manner that will
equitably distribute the opportunity among the contractors on the appropriate roster.
3. For the purpose of this section, "equitably distribute" means that the City
may not favor certain contractors on the appropriate small works roster(s) over other
contractors on the appropriate roster(s) who perform similar services. At the time bids
are solicited, the city shall not inform a contractor of the terms or amount of any other
contractor's bid for the same project.
4. A written record shall be made by the City of each contractor's bid on the
project and of any conditions imposed on the bid. Immediately after an award is made,
the bid quotations obtained shall be recorded, open to public inspection, and available
by telephone inquiry.
A. Whenever the city seeks to construct any public works project, thc
cstimatcd cost of which, including costs of matcrial, supplics, labor and cquipmcnt is
$200,000 or less.
B. Whcn thc small works rostcr is utilizcd, thc city shall providc an
interest in a specific project, and shall invite proposals bids /quotes from all who
demonstratc an intcrcst.
C. The invitation to thc contractor on thc small works rostcr shall includc an
shall award the contract to the contractor submitting the lowcst responsible bid;
all bids, and to waivc proccdural irrcgularitics.
E. For contracts grcater than $25,000, the city council shall award thc
contract to thc lowcst rcsponsiblc biddcr. For contracts of $25,000 or Icss, thc public
Ordinance No. 6545
December 11, 2014
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works director shall have the authority to award thc contract. (Ord. 5866 § 1, 2004; Ord.
4924 § 2, 1997; Ord. 4581 § 2, 1992.)
3.12.0363.12.100 Limited public works processprojects.
If a work, construction, alteration, repair, or improvement project is estimated to
cost less than $35,000.00, or the current statutory limit in RCW 39.04.155(3),
accordancc with RCW 39.0'1.155, the city may award such a contract using the limited
public works process provided under 39.04.155(3).for work, construction altcration,
rcpair, or improvemcnt projcct(s) cstimatcd to cost Icss than $35,000 using thc Iimitcd
public works process.
Public works projects awarded under the limited public works process are
exempt from the other requirements of the small works process provided under ACC
3.12.090534.
For limited public works projects, the city shall solicit electronic or written
quotations from a minimum of three contractors from the appropriate small works roster
and shall award the contract to the contractor submitting the lowest responsible bidder,
as defined under RCW 39.04.010, RCW 39.04.350, and ACC 3.12.050. ,
however,
to waivc proccdural irrcgularitics. After an award is made, the quotations shall be open
to public inspection and available by electronic request.
For limited public works projects, the city may waive the payment and
performance bond requirements on chapter 39.08 RCW and the retainage requirements
of chapter 60.28 RCW, thereby assuming the liability for the contractor's nonpayment of
laborers, mechanics, subcontractors, materialmen, suppliers, and taxes imposed under
Title 82 RCW that may be due from the contractor for the limited public works project.
However, the city shall have the right of recovery against the contractor for any
payments made on the contractor's behalf.
equitably among contractors willing to perform within Auburn.
The city shall maintain a list of the contractors contacted and the contracts
awarded during the previous 24 months under the limited public works process,
including the name of the contractor, the contractor's registration number, the amount of
the contract, a brief description of the type of work performed, and the date the contract
was awarded. (Ord. 5866 § 1, 2004.)
3.12.110 On Call Contracting
The city may use job order contractor as described in RCW 39.10.420 and
following the procedures as identified in RCW 39.10.
When thc city utilizcs thc small works rostcr proccdurc as cstablishcd in ACC
contracts awardcd undcr ACC 3.12.03'1. The list shall contain thc namc of thc
Ordinance No. 6545
December 11, 2014
Page 9
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board locatcd in the City Hall lobby. (Ord. 4924 § 3, 1997.)
•
3.12.0503.12.120 Publication printing, and notices.
The city shall comply with the requirements of state law for publication, printing
and notices Chaptcr 35A.65 RCW cntiticd "Publication and Printing" as now exists or
hereafter amended and relating to all public printing for the city and the publication of
legal notices by the city. (Ord. 4581 § 2, 1992.)
Section 2. Implementation. The Mayor is hereby authorized to implement
such administrative procedures as may be necessary to carry out the directions of this
legislation.
Section 3. Severability. The provisions of this ordinance are declared to be
separate and severable. The invalidity of any clause, sentence, paragraph, subdivision,
section or portion of this ordinance, or the invalidity of the application thereof to any
person or circumstance shall not affect the validity of the remainder of this ordinance, or
the validity of its application to other persons or circumstances.
Section 4. Effective Date. This Ordinance shall take effect and be in force five
days from and after its passage, approval and publication as provided by law and on
January 1, 2015.
ATTEST:
Danielle E. Daskam, City Clerk
Ordinance No. 6545
December 11, 2014
Page 10
INTRODUCED:
PASSED:
APPROVED:
NANCY BACKUS, MAYOR
Page 12 of 13
APPROVED AS TO FORM:
Daniel B. Heid, City Attorney
PUBLISHED:
Ordinance No. 6545
December 11, 2014
Page 11
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