HomeMy WebLinkAbout179 - 11/18/1997 - AMENDING THE CITY CODE TO PERMIT COMPETITIVE NEGOTIATION OF STRATEGIC BUSINESS ALLIANCES BY UTILITIE ORDINANCE NO. 179, 1997
OF THE COUNCIL OF THE CITY OF FORT COLLINS
AMENDING CHAPTER 8 OF THE CODE OF THE CITY OF FORT COLLINS
TO PERMIT COMPETITIVE NEGOTIATION OF STRATEGIC BUSINESS
ALLIANCES BY CITY UTILITIES
WHEREAS, Section 27 of Article V of the Charter of the City of Fort Collins (hereinafter
"Charter") authorizes the Council to approve Hiles and regulations for the competitive bidding of
procurement by the Purchasing Agent, and to establish such exceptions to that process as it may
prescribe by ordinance; and
WHEREAS, Section 29 of said Article V permits the Council,by ordinance,to authorize the
Purchasing Agent to exempt public improvements from the competitive bidding and competitive
proposal processes existing in the Code; and
WHEREAS, the Code of the City of Fort Collins (hereinafter"Code") contains particular
methods for the competitive award of contracts for the procurement of services and materials in
Chapter 8, Article IV; and
WHEREAS,the existing Code provisions relating to purchasing and contracting do not allow
for a sufficiently flexible and effective means to enter into business alliances in a competitive market
environment; and
WHEREAS, in 1995, the Council adopted Resolution 95-62, expressing the Council's
encouragement to the City Manager,Utilities Director and staff to seek out and implement processes,
procedures and business practices to insure a competitive, flexible position as the electric industry
is deregulated,and to submit appropriate Code changes for Council's consideration to carry out those
processes, procedures and practices; and
WHEREAS, the City's Purchasing Department has identified and further developed this
additional competitive procurement tool to facilitate the effective development of strategic business
alliances and plans by the City's utilities; and
WHEREAS,the Council has determined that the success of the City's utilities is dependent
upon the adoption of a competitive negotiation process designed to permit greater flexibility while
maintaining a fair and reasonable evaluation and decision making process; and
WHEREAS, the Council farther has determined that the procurement of public
improvements, if accomplished by a City utility in accordance with the competitive negotiation
process, is appropriately exempt from the bidding or proposal process requirement set forth in
Section 29 of the Charter.
NOW,THEREFORE,BE IT ORDAINED BY THE COUNCIL OF THE CITY OF FORT
COLLINS that the following new Section 8-159 is hereby added to Article IV of Chapter 8 of the
Code, as follows, with the existing Section 8-159 and all subsequent Sections to be renumbered
accordingly and all Code references revised as necessary to reflect these amendments.
ARTICLE IV. PURCHASING AND CONTRACTING
DIVISION 3.CONTRACT FORMATION AND AWARD
Sec. 8-159. Competitive Negotiated Procurement.
(a)Procurement for goods,services,products for resale or redistribution,distribution
services usage, and competitive business arrangements that are related to the
establishment of strategic business plans or relationships of any City utility in a
competitive market environment shall be eligible for award by competitive
negotiation under this Section, provided that the following conditions are met:
(1)The Purchasing Agent determines in writing,with the approval of the City
Manager,that the use of competitive sealed bidding or competitive sealed proposal
processes are either not practicable or not advantageous to the city; and
(2)There is a minimum of two vendorsibusinesses willing and able to provide
the basic goods,services or products to be procured through competitive negotiation.
(b)In order to initiate a competitive negotiated procurement under this Section,the
procuring utility shall, in a manner acceptable to the Purchasing Agent as sufficient
to identify potential appropriate and qualified vendors of the goods or services to be
procured,investigate and research the market for such goods or services,and identify
those vendors determined to be appropriate and qualified candidates in light of the
competitive and other interests of the procuring utility.
(c) The procuring utility may contact selected vendors,or may consider appropriate
and qualified vendors that have initiated contact with the city,provided that a rational
basis for identifying and selecting candidate vendors in view of the interests of the
procuring utility is applied consistently to all vendors reasonably known to the
procuring utility.
(d) The Purchasing Agent shall, with the approval of the City Manager, be
responsible for accepting and soliciting all offers made on behalf of the procuring
utility under the provisions of this Section.
(e)Each vendor participating in competitive negotiations under this Section shall be
accorded a fair and reasonable opportunity to present and explain the goods or
services to be provided by such vendor.
(f)The basis for final selection of a vendor under a competitive negotiation process,
and the final terms of the contract under which goods or services shall be procured
under this Section,shall each be subject to the review and approval of the Purchasing
Agent and City Manager.
(g)Prior to the renewal or extension of any contract for goods or services under this
Section beyond the original potential term of such contract, the City Manager or
procuring utility shall require that an assessment of the subject vendor's performance
and the benefits to the City of the terms of such contract be conducted by a qualified
third party,to be selected by the Purchasing Agent.
Introduced, considered favorably on first reading, and ordered published this 4th day of
November, A.D. 1997, and to be presented for final passage on the 18th day of November, A.D.
1997. —
Mayor /
ATTEST:
City Clerk
Passed and adopted on final reading this 18th day o7NcrV>emo r, A.D. 199.7:'-'-
Mayor
ATTEST:
City Clerk