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HomeMy WebLinkAboutOrdinance 4724 ORDINANCE NO. 4724 AN ORDINANCE AMENDING CHAPTER 34 OF THE CODE OF FAYETTEVILLE, TO ALLOW REVERSE INTERNET AUCTIONS FOR THE PURCHASE OF GOODS AND SERVICES. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1 . That, pursuant to Act 1957 of 2005, the City Council of the City of Fayetteville, Arkansas hereby amends Chapter 34, Finance and Revenue, of the Code of Fayetteville by inserting the following: § 34.28 Purchase by Reverse Internet Auction (A) Bidders shall be provided instructions and individually secured passwords for access to the reverse Internet auction by either the City, or reverse Internet auction vendor; (B) The bidding process shall be timed, and the time shall be part of the reverse Internet auction specifications; (C) The reverse Internet auction shall be held at a specific date and time; (D) The reverse Internet auction and bidding process shall be interactive with each bidder able to make multiple bids during the allotted time; (E) Each bidder shall be continually signaled his or her relative position in the bidding process; (F) Bidders shall remain anonymous and shall not have access to other bidders or bids; and (G) The City Council shall have access to real-time data including all bids and bid amounts. (H) (1) The City is authorized to pay a reasonable fee to the reverse Internet auction vendor. (2) The fee may be included as part of the bids received during the reverse Internet auction and paid by the winning bidder or paid separately by the City. (I) The City Council retains the right to: (1) Refuse all bids made during the reverse Internet auction; and (2) Begin the reverse Internet auction process anew if the City Council determines it is in the best interest of the city or town. PASSED and APPROVED this 19f day of July, 2005. •``"RKITR "'' . APPROVED: = U • : FAYETTEVILLE * 3 By: !!E DAN COODY, Mayor %e skp'QKANSPpJ�°�- ATTEST: ''•:A''�auuiuu "GTON G , `• By: tc��✓ /Yl4A SONDRA SMITH, City Clerk • ! � y ll)c� CITY COUNCIL AGENDA MEMO �.crs/e 9�f rruf To: Mayor and City Council e � Thru: Steve Davis, Finance & Internal Services Director From: Peggy Vice, Purchasing Manger Date: June 17, 2005 Subj : Reverse Internet Bidding. Recommendation Staff requests Council approve an amendment to Ordinance 34.23 to add a section to allow the Option of Reverse Internet Auctions per Act 1957. This form of bidding has proven to increase competition and reduce cost of the items to the entities seeking bids. Approval will increase competition and thereby reduce cost to the City. Background Act 1957 was approved by the Arkansas Legislature on April 11 `h, 2005 to allow Cities and Towns the Option of Reverse Internet Bidding for the Purchase of Goods and Services. Discussion Reverse internet bidding will increase competition and still allow the right to refuse all bids and to award in the best interest of the City. Nothing will change as far as Council approvals. Council will still approve all purchases $20,000 and over. The only change is that it allows vendors to bid against each other in real time and be able see other vendors bids and bid competitively against a rival bidder. All the bidding will take place on the internet. There are several companies that offer this service. Staff is currently investigating all the options available to make this a successful project, not only for the City, but also for our vendors. e • ORDINANCE NO. AN ORDINANCE AMENDING CHAPTER 34 OF THE CODE OF FAYETTEVILLE, TO ALLOW REVERSE INTERNET AUCTIONS FOR THE PURCHASE OF GOODS AND SERVICES. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1 . That, pursuant to Act 1957 of 2005, the City�C r ell df t e City of Fayetteville, Arkansas hereby amends Chapter 34, F nii Reu ue, of the Code of Fayetteville b inserting the following: i § 34.28 Purchase by Reverse Intern Auction ' J (A) Bidders sha e : provide,t i uctionsld individu ' secured pas,$,wo s fors ccess to the rr erse frit rnet auction by eithernthe Crty, o never Interne . oenddr; � . (B) The�bi ldi4, i' ocess shall bJ timed i he time shall be part of the revery Inte et au0tion sp ications; E (C) Ther verse nternet auction shall be held at a specific date and time; a ) The reverse Internet auction and bidding process shall be interactive with each bidder able to make multiple bids during the allotted time; (E) Each bidder shall be continually signaled his or her relative position in the bidding process; (F) Bidders shall remain anonymous and shall not have access to other bidders or bids; and (G) The City Council shall have access to real-time data including all bids and bid amounts. (H) (1) The City is authorized to pay a reasonable fee to the reverse Internet auction vendor. i • (2) The fee may be included as part of the bids received during the reverse Internet auction and paid by the winning bidder or paid separately by the City. (I) The City Council retains the right to: (1) Refuse all bids made during the reverse Internet auction; and (2) Begin the reverse Internet auction process anekv�aflth City Council determines it is in the best interest of the ci Q"r own: PASSED and APPROVED this/01 of July ©©3. T . AI' R VED: IX Al r. IV I DAN�.0 (9DY, Mayor A ST: IV By: SNDA SMITH, City Clerk Stricken language would be deleted from and underlined language would be added to the law as it existed prior to this session of the General Assembly. Act 1957 of the Regular Session 1 State of Arkansas As En ossed: H3131105 2 85th General Assembly Bill 3 Regular Session, 2005 HOUSE BILL 1814 4 5 By: Representatives Reep, Overbey 6 7 8 For An Act To Be Entitled 9 AN ACT TO ALLOW CITIES AND TOWNS THE OPTION OF 10 REVERSE INTERNET AUCTIONS FOR THE PURCHASE OF 11 GOODS AND SERVICES ; AND FOR OTHER PURPOSES . 12 13 .Subtitle 14 AN ACT TO ALLOW CITIES AND TOWNS THE 15 OPTION OF REVERSE INTERNET AUCTIONS FOR 16 THE PURCHASE OF GOODS AND SERVICES . 17 18 19 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS : 20 21 SECTION 1 . Arkansas Code § 14 -58 -303 is amended to add an additional 22 subsection to read as follows : 23 ( c ) ( 1 ) In a city of the first class , a city of the second class or an 24 incorporated town , the governing body by ordinance shall have the option to 25 make purchases by participation in a reverse Internet auction except that 26 purchases and contracts for construction projects and materials shall be 27 undertaken pursuant to 44 14 -58-303 (a) and (b) and 22-9-203 . 28 ( 2) The ordinance shall include , but is not limited , to the 29 following procedures : 30 (A) Bidders shall be provided instructions and 31 individually secured passwords for access to the reverse Internet auction by 32 either the city , town , or reverse Internet auction vendor ; 33 ( B ) The bidding process shall be timed , and the time shall 34 be part of the reverse Internet auction specifications : 35 ( C ) The reverse Internet auction shall be held at a 111 11 I I 11111 11 I II 03-31-2005 08:42 KLL038 As Engrossed: H3/31/05 HB1814 1 specific date and time ; 2 (D ) The reverse Internet auction and bidding process shall 3 be interactive with each bidder able to make multiple bids during the 4 allotted time ; 5 ( E ) Each bidder shall be continually signaled his or her 6 relative position in the bidding process ; 7 ( F ) Bidders shall remain anonymous and shall not have 8 access to other bidders or bids ; and 9 ( G ) The governing body shall have access to real-time data 10 including all bids and bid amounts . 11 ( 3 ) The governing body may create by an additional ordinance 12 reverse Internet auction specifications for the anticipated purchase of a 13 specific item or purchase . 14 ( 4 ) (A) The governing body is authorized to pay a reasonable fee 15 to the reverse Internet auction vendor . 16 ( B ) The fee may be included as part of the bids received 17 during the reverse Internet auction and paid by the winning bidder or paid 18 separately by the governing body . 19 ( 5 ) The governing body retains the right to : 20 ( A) Refuse all bids made during the reverse Internet 21 auction ; and 22 ( B ) Begin the reverse Internet auction process anew if the 23 governing body determines it is in the best interest of the city or town . 24 ( d ) For purposes of this section : 25 ( 1 ) "Reverse Internet auction" means an Internet-based process 26 in which bidders : 27 (A) Are given specifications for items and services being 28 sought for purchase by a municipality ; and 29 ( B ) Bid against themselves in order to lower the price of 30 the item or service to the lowest possible level ; and 31 ( 2 ) "Reverse Internet auction vendor " means an Internet-based 32 entity that hosts a reverse Internet auction . 33 34 /s / Reep , et al 35 36 2 03 - 31 -2005 08 : 42 KLL038 Opinion No. 2005- 110 May 20, 2005 The Honorable Charlie Daniels Secretary of State State Capitol, Room 256 Little Rock, Arkansas 72201 - 1094 Dear Mr. Daniels: This is in response to your request for an opinion on the effective date of legislation of the Eighty-Fifth regular session of the Arkansas General Assembly. Your request pertains to legislation that did not carry an emergency clause or a specified effective date. Acts of the General Assembly with no emergency clause or specified effective date become effective ninety days after adjournment of the session at which they were enacted. Fulkerson v. Refunding Board, 201 Ark. 957, 147 S.W.2d 980 ( 1941 ). This rule stems from Amendment 7 to the Constitution of Arkansas, which gives the people "ninety days after the final adjournment of the session" to file referendum petitions. The day of adjournment is not counted, as it is not a full day during which petitions may be filed. Your request indicates that the General Assembly adjourned sine die on May 13 , 2005 . Starting with the first full day after adjournment, and counting ninety full days, acts with no emergency clause or specified effective date become effective on the ninety-first day, which in this case is August 12, 2005 . The Honorable Charlie Daniels Secretary of State Opinion No. 2005- 110 Page 2 Deputy Attorney General Elana C. Wills prepared the foregoing opinion, which I hereby approve. Sincerely, MIKE BEEBE Attorney General MB :ECW/cyh • City of Fayetteville • Staff Review Form City Council Agenda Items Contracts July 19th, 2005 City Council Meeting Date Peggy Vice Purchasing Division Finance & Internal Services Submitted By Division Department Action Required: ange o 34 to allow the option of Reverse Internet Auctions per Act 1957 as approved la the State of Arkansas Legislature. Cost of this request Category/Project Budget Program Category / Project Name Account Number Funds Used to Date Program / Project CategoryName $ Project Number Remaining Balance Fund Name Budgeted Item Budget Adjustment Attached Previous Ordinance or Resolution # Sec. 34 SA 15epartfnent Director Date Original Contract Date: W 4, 716 os Original Contract Number: City Attorney Received in City Clerk's Office -6 - �.5 F niF ance Md Internal Service Director Date Received in Mayor's Office Mayor Date Comments: This will allow increased competition and better pricing from vendors. Clarice Pearman - Ords. 4722, 4723, 4721m Page 1 IW 0 From: Clarice Pearman To: Peggy Vice Date: 8/4/05 12:21 PM Subject: Ords. 4722, 4723, 4724 Peggy, Attached is a copy of the ordinances passed by City Council July 19, 2005 regarding the amendments of purchasing section of the code book. Sorry for the delay but the mayor was out of town until August 1st. CC: Deaton, Vicki Arkansas Democrat V Gazette NORTHWEST ARKANSM EDITION I "Nord t west Arir, most Widely Read Neurspa per" AFFIDAVIT OF PUBLICATION I , Erin Emis , do solemnly swear that I am the Legal Clerk of the Arkansas Democrat-Gazette/Northwest Arkansas Times newspaper, printed and published in Lowell , Arkansas, and that from my own personal knowledge and reference to the files of said publication , that advertisement of: was inserted in the regular editions on PO# �J " Publication Charge : $ Subscribed and sworn to before me this "`,y/ _ day of r 2005. INANCE NO. 4724 FTORD INANCE AMENDING CHAPIEq ?4 OF THE ( Y / ( OF ACTIONS FO TO ALLOW REVERSE a e evl le Sharlene D. Williams T AUCTIONS FOR THE PURCHASE OF Notary PublicAND SERVICES.Notary Public RDAINED Er 7NE CRY COUNCIL OPY OF FAYE77EYILLE, AR ARKANSAS State of ArkansasILANSAS: . My Commission Ex mmissionFY IrrPc amendsSection 1. That, pursuant to Act 1857 of 2005, the City Council of the CiCityofFayetteWlle, Akenashee- by amends Chapter 34, Finance and Revenue, of the Cade of Fayetteville by inserting the following: . October 18, 2014 E 34,48 Piire1� by R.r4ne Infonet Auetlen (A) Bidders shall be Provided instructions and intlividuallysecumd passwords for access to the reverse •# Internet auction by either Ole Ciry, a reverse Interred suabn ventlor; Please do not pay from Affidavit. (6) The bidding proca¢ shall be aimed " Die time shall be part ofthe reverse Internet suctim sped An Invoice will be sent. (C) The reverse Internet auction shall be held at a specific data and time: ID) The inverse Internet auction and bidding process shall be Interactive Min each bidder able to make multiple bids during the slotted this. (E) Each bidder shall be continually signaled his or her relative Poston in the biddirg process; . (F) Bidders shall remain anonymous and shall not have accuse to other bidders or bids; and (G) The City Council shall have access to real-time data including all bids and bid amounts, (H) (1) The Cry is authorized to pay a reasonable fee to the reverse Internet auction vendor. (2) The fee may be indudW as Part of the bids received during the reverse Internet auction and paid RECEIVED theWhitingCity ddder o pad separately b the pry. by (q The City Council retains the right to: (1) Refuse all bids made during the reverse Internet auction; and (2) Begin the reverse Internet auction est of the dracess anew ii the Cry Council determines tt is in the best inter. fAtsEeD .O or IPVria APPROVED 12 2005 R ROYeD mia 1 slh tlay or day, zoos. CITY OFFAYETTEVILLE APPROVED: CITY CLERK'S OFFICE nN COODY, IAept ATTEST: By: SONORA SMRNr C ft Clark P.O. BOX 1607 • 212 N. EAST AVENUE • FAYETTEVILLE, ARKANSAS 72701 479-571 -6470