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Home My WebLink AboutOrdinance 4428 ORDINANCE NO. 4428 , AN ORDINANCE TO AMEND §34.23 OF THE FAYETTEVILLE CODE TO CHANGE THE AMOUNT ABOVE WHICH QUOTATION BIDS ARE REQUIRED AND TO REPEAL §34.24 OF THE FAYETTEVILLE CODE WHEREAS, A.C.A. § 14-58-303 (b) requires the "municipal governing body shall provide, by ordinance, the procedure for making all purchases which do not exceed the sum of ten thousand dollars ($10,000.00)." NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1 . That the City Council of the City of Fayetteville, Arkansas hereby repeals §34.23 of the Fayetteville Code and replaces it with a new §34.23 changing the dollar limit from $20,000.00 to $ 10,000.00 to comply with state law: "§34.23 Purchases and contracts not in excess of $10,000.00. All such purchases not in excess of $ 10,000.00 shall be made by the mayor, or his duly authorized representative, after the securing and recording of quotation bids therefor; provided, quotation bids need not be secured for purchases under $500.00. Contracts not in excess of $ 10,000.00 shall be made and entered into by the mayor, provided the hiring or engagement of professional services shall be conducted according to a professional hiring policy approved by the city council. The mayor shall have authority to approve contract change orders up to the contingency amount, if any, as set forth in any approved contract even though such contingency amount may exceed $ 10,000.00." Section 2. That the City Council of the City of Fayetteville, Arkansas hereby repeals §34.24 of the Fayetteville Code because purchases and contracts in excess of $ 10,000.00 are governed exclusively by state law (A.C.A. § 14-58-303). F ti Pfl SSED and APPROVED this the 15`" day of October, 2002. APPROVFA Y + 'i r By: g+ r � DAN COO'D �1� S�T: By: ather Woodruff, City Cler NAME OF FILE: Ordinance No. 4428 CROSS REFERENCE: Item # Date Document 1 1 10/15/02 Ordinance 4428 2 09/24/02 Staff review form 3 10/23/02 Letter from Heather Woodruff to Kit Williams NOTES : STAFF REVIEW FORM _X_ AGENDA REQUEST CONTRACT REVIEW GRANT REVIEW FOR: COUNCIL MEETING OF October 2002 MAYOR'S APPROVAL FROM: Kit Williams City Attorney Legal Name Division Department ACTION REQUIRED An Ordinance To Amend §34.23 And §34.24 To Change The Amount Above Which Quotation Bids Are Required COST TO CITY: N/A Cost of this Request Category/ Project Budget Category/Project Name Account Number Funds Used to Date Program Name . Project Number Remaining Balance Fund BUDGET REVIEW: Budgeted Item Budget Adjustment Attached Budget Coordinator Administrative Services Director CONTRACT/GRANT/LEASE REVIEW: GRANTING AGENCY: Acco Mans Date Internal Auditor Date q_ Z�) a-L C' Date ADA Coordinator Date c{ -aO -O a— Purchasing Officer Date STAFF RECOMMENDATION: CROSS REFERENCE Division Head Date �/ New Item: 1 eS No Department Director Date Previous Ordinance/Resolution No.: Admit ' tr a Se es Dir r Date Mayo Date ORDINANCE NO, AN ORDINANCE TO AMEND §34.23 OF THE FAYETTEVILLE CODE TO CHANGE THE AMOUNT ABOVE WHICH QUOTATION BIDS ARE REQUIRED AND TO REPEAL §34.24 OF THE FAYETTEVILLE CODE WHEREAS, A.C.A. § 14-58-303 (b) requires the "municipal governing body shall provide, by ordinance, the procedure for making all purchases which do not exceed the sum of ten thousand dollars ($10,000.00)." NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS : Section 1 . That the City Council of the City of Fayetteville, Arkansas hereby repeals §34.23 of the Fayetteville Code and replaces it with a new §34.23 changing the dollar limit from $20,000.00 to $ 10,000.00 to comply with state law: "§34.23 Purchases and contracts not in excess of $10,000.00. All such purchases not in excess of $ 10,000.00 shall be made by the mayor, or his duly authorized representative, after the securing and recording of quotation bids therefor; provided, quotation bids need not be secured for purchases under $500.00. Contracts not in excess of $ 10,000.00 shall be made and entered into by the mayor, provided the hiring or engagement of professional services shall be conducted according to a professional hiring policy approved by the city council. The mayor shall have authority to approve contract change orders up to the contingency amount, if any, as set forth in any approved contract even though such contingency amount may exceed $ 10,000.00." Section 2. That the City Council of the City of Fayetteville, Arkansas hereby repeals §34.24 of the Fayetteville Code because purchases and contracts in excess of $ 10,000.00 are governed exclusively by state law (A.C.A. § 14-58-303). PASSED and APPROVED this the 15'h day of October, 2002. APPROVED: O By: DRA DAN COODY, Mayor ATTEST: By: Heather Woodruff, City Clerk FAYETTEVILLE THE CITY OF FAYETTEVIEEE. ARKANSAS KIT WILLIAMS, CITY ATTORNEY DAVID WHITAKER, ASST. CITY ATTORNEY LEGAL DEPARTMENT DEPARTMENTAL CORRESPONDENCE TO: Dan Coody, Mayor All City Directors FROM: Kit Williams, City Attorney DATE: March 13, 2002 RE: Bidding Requirements: Ten Thousand Dollar Limitation In most cases A.C.A. §14-58-303 (b) (2) controls the manner in which a city contract in excess of $10,000.00 must be obtained . . . " competitive bidding. " I have attached this statute. A.C.A. §19-11-229 (b) was amended in 2001 to state that " Contracts exceeding an estimated purchase price of twenty-five thousand dollars ($25,000.00) shall be awarded by competitive sealed bidding . . . . " This statute did not change A.C.A. §14-58-303 (b) (2) which still requires competitive bidding for contracts above $10,000.00. I believe the City is bound by this lower figure despite the raise from $10,000.00 to $25,000.00 in the competitive bidding threshold in A.C.A. §19-11-229 (b) . • 0 135 FISCAL AFFAIRS OF CITIES AND TOWNS 14-58-303 History. Acts 1959, No. 28, § 8; A.S.A. 19473 § 19-4428. 14-58-302, Annual report by mayor, (a) The mayor of a first class city shall prepare and submit to the municipal governing body within sixty (60) days after the end of each fiscal year a complete report on the finances and administrative activities of the city during the previous fiscal year. (b) The mayor shall also keep the governing body advised as to the financial condition and future needs of the city and make such recom- mendations as to him may be desirable. History. Acts 1959, No. 28, § 4; A.S.A. 1947, § 19-4424. 14-58-303. Purchases and contracts generally. (a ) In a city of the first class, the mayor or his duly authorized representative shall have exclusive power and responsibility to make purchases of all supplies, apparatus, equipment, materials, and other things requisite for public purposes in and for the city and to make all necessary contracts for work or labor to be done or material or other necessary things to be furnished for the benefit of the city, or in carrying out any work or undertaking of a public nature therein. (b)( 1 ) The municipal governing body shall provide, by ordinance, the procedure for making all purchases which do not exceed the sum of ten thousand dollars ($ 10,000). (2)(A)(i) Where the amount of expenditure for any purpose or con- tract exceeds the sum of ten thousand dollars ($ 10,000), the mayor or his duly authorized representative shall invite competitive bidding thereon by legal advertisement in any local newspaper. (ii) Bids received pursuant to the advertisement shall be opened and read on the date set for receiving the bids in the presence of the mayor or his duly authorized representative. (iii ) The mayor or his duly authorized representative shall have exclusive power to award the bid to the lowest responsible bidder, but may reject any and all bids received. (B) The governing body, by ordinance, may waive the requirements of competitive bidding in exceptional situations where this procedure is deemed not feasible or practical. History. Acts 1959, No. 28, § 5; 1979, ($ 10,000)" for "five thousand dollars No. 154, § 1; 1985, No. 745, § 3; A.S.A. ($5,000)' in (b)( 1 ) and (b)(2)(A)(i); rewrote 1947, § 19-4425; Acts 1995, No. 812, § 1. (b)(2)(A)(iii); and deleted former Amendments. The 1995 amendment (b)(2)(A)(iv). substituted "ten thousand dollars FAYETTEVI LLE THE CITY OF FAYETTEVIEEE, ARKANSAS DEPARTMENTAL CORRESPONDENCE To: Kit Williams, City Attorney From: Heather Woodruff, City Clerk Date: October 23, 2002 Attached is a copy of the ordinance regarding bid quotations. The original will be microfilmed and filed with the City Clerk. Cc: Nancy Smith, Internal Audit Budget and Research Peggy Vice, Purchasing NORTHV*ST ARKANSAS ITION Arkansas Demomt ^ 0axette ME Ca0u E1LFT 1ED AFFIDAVIT OF PUBLICATION I , , do solemnly swear that I am Leg Al Clerk of the Arkansas Democrat-Gazette newspaper, printed and published in Lowell , Arkansas, and that from my own personal knowledge and reference /to the files of said publication , the advertisement of: / /0 was inserted in the regular editions on D ** Publication Charge: $ Subscribed and sworn to before me this day of _ IV b y • 2002. AL Notary.,�Pqu,�yb Public cc My C IIIIIIIJD� a ipas: ORDINANCE NO. 4428 — -- TAMM ALLEN AN ORDINANCE TO AMEND 434.23 OF THE FAVEREVILLE Notary Public•AAtanses CODE . TO CHANGE THE AMOUNT ABOVE WH CH QUOTATION BIDS ARE REWIRED AND TO REPEAL 434.24 WASHINGTON COUNTY 011 EREnsYacA §14566 tb) ' �a �,,, m, M„��" ** Plea a I�gaoolTp fr�fPlF ="ro body °�" proa1de 0 p d"•cee `rep SUPT". for C*.of,FayeW.A116 rtmkro Mnd doteismws wNch .do rot exceed the earn of feR An in I wl a sent. NOW, THEREFORE. IT O NOW, THEREFORE.;BE R ORDAINED BY THE CITU COUNCIL OF TME CffV OF FAVETTEVIUE. ARKANSAS: §34.23 of OW Sedbb 1. Tret N4 City Caunda of tne City of a 434 23t chm9Mmroes her N the doter Iffit front 520000.00 to Fe,eveve Code and mpleoee $10,000.00 to con" wth .tete law: •434.23 Rechasea end oontrects rat ut excess of $10.000.00. Al aura paotaues not N T823 a $10.000.00 " be made W vie mayor, or ro M• ealharRed repraeentev+e, after the eed&g and moordig of Guotetbn blob thereto: WovIded. gU014 bide reed not be eeaaed for purdusae urtler SA` 0.00. Contracts M it exoeas of $10,000.00 shall be made and entered Into by the mayor, provided vre hOV a eroapement of prbfasebrel MvIcoe alba be aond4cled SODW q to a profea3" MIN RECEIVES � � dhew�. hemeYoretreereveaulhodbroPW00 � e ordaa up to ore contlrgenq err" t a any, $10-000-00-- I Q000M0-- ihotph each aanigxxy errior+v may of the NOV 1 3 2002 Sepbn 2. ThatCod re e Coudl of �Old0000nV In e�i¢eea pre $ §34.24 :4 Feyvftevie Code oecease Pum MONOf by elate law (ACA 41a53J03). , CITY OF FAYETTEVILLE RASSED and APPRwED fts the 15th day of October, 2002- CITY CLERK'S OFFICE APPROVED: DMAN COODV, Mayor ATTEST: Heather woo". Gy Ciera — 212 NORTHEAST AVENUE • P.O. BOX 1607 FAYE17EVIIIE, ARKANSAS 72702 (501 ) 442-1700