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HomeMy WebLinkAboutPurchasing Manual July 1997 Augusta Richmond GA DOCUMENTNAME: \)l)(ZCH~S I~ '(YI ANt) AL. -:s iJL'f I qq '7 DOCUMENT TYPE: YEAR: \ ~q '7 BOX NUMBER: l...p FILE NUMBER: l b 959 r NUMBER OF PAGES: ~ 0 /"", #4 . /.... ~-;r"" , ,....,. '" ,,].'''1 ,..y1.. /(/ t-":.JA-..-~ .~.lJRCHASING ';. .~ JULY 1997 "Good Purchasing Means Greate.r safi~...', PURCHASING MANUAL T ABLE OF CONTENTS ; .- PAGE PREFACE 4 ABOUT THIS MANUALIINTRODUCTION 5 PURCHASING DEPARTMENT GOALS 6 SECTION 1 PURCHASING ORDINANCE 7 SECTION 2 DUTIES AND RESPONSIBILITIES OF THE PURCHASING DEPARTMENT 10 Organization 10 Responsibilities and Functions 10 Administrative Policies 11 Purchasing Department Ethics 13 Value Analysis Committee 13 SECTION 3 PURCHASING PROCEDURES - (INFORMATION FOR ORDERING DEPARTMENTSIDIVISIONS) 14 Bid Procedures 15 Quotations 18 Sealed Bids 18 . Bid Advertisements 19 Normal Requisitioning and Purchasing Procedures 19 Requisitioning from the Central Warehouse/Supply Room 21 Receipt of Goods and Services 21 Purchase Order Follow-up 22 Canceling of Purchase Orders 22 Direct Purchase Orders 23 Request For Proposals (RFP) 23 Pre-Bid Conference & Addendum 24 . PAGE ; SECTION 4 SPECIFICATIONS, BIDS AND AWARDS Purpose of Specifications Responsibility for Specifications Specification Development Bid Development Bidders List Debarment of Bidders Processing of Bids Evaluation of Deviations and Method of A wards 25 26 26 26 27 27 28 29 30 SECTION 5 COOPERATIVE PURCHASING Definitions Cooperative Purchasing Agreement Sale, Acquisition, or Use of Supplies Cooperative Use of Supplies or Services Joint Use of Facilities Use of State Contracts Purchase of Surplus and Excess Property Waiver 31 31 31 31 31 31 31 32 32 SECTION 6 CONTRACT ADMINISTRATION & MANAGEMENT Purpose Augusta-Richmond Contracts and Contract Clauses Contract Modification Bid Security & Performance Bonds Contract Performance & Payment Bonds Bond Form & Copies Retainage Wage & Requirements For Federally Funded Projects Approval of Accounting System Contractual Provisions For W orksite Inspections Contractual Provisions For Auditing Records Reporting of Anti-Competitive Practices To State 33 33 33 34 34 35 36 36 36 36 37 37 37 ~ SECTION 7 SUPPLIES & FIXED ASSETS MANAGEMENT PROGRAMS Surplus Supplies Fixed Asset Management Supplies Management Severability 38 38 38 39 39 PAGE SECTION 8 DISADVANTAGED BUSINESS ENTERPRISES (DBE) PROGRAM Purpose Definitions Application Policy Program Administration 40 40 40 41 41 42 SECTION 9 PETTY CASH Purpose Policy Procedure 43 43 43 43 SECTION 10 SOLE SOURCE AND EMERGENCY PROCUREMENT Sole Source Procurement Emergency Procurement Selection Method 44 44 44 APPENDIX A - EXCERPTS FROM RICHMOND COUNTY CODE APPENDIX B - DEFINITION OF TERMS USED IN TIDS MANUAL PREFACE This manual has been prepared to serve as a guideline to all departments and divisions of Augusta- Richmond County (ARC) in obtaining apparatus, supplies, materials, equipment and service~._ It states the ARC policies on which our procurement procedures are based. A special attempt has been made to design policies and procedures that will serve the ARC's needs and provide for a more efficient procurement process. To get the most value from this manual, the following suggestions are offered: 1. All department and division heads should read the manual at least once. 2. The manual should be passed around and read by all employees involved in the buying process. 3. The manual should be kept in a place that is accessible to all employees with purchasing responsibilities for reference purposes. Geri A. Sams Purchasing Director 4 ABOUT TIDS MANUAL This Purchasing Department Policies and Procedures Manual is to relate the scope of functions performed by the Purchasing Department. Also, include is a section on definitions, many of which are expressions of Policies and/or Department Rules. It is recommended that you familiarize yo~self with this document to assist you in purchasing the goods and services you need with the least possible delays. Should you have additional questions pertaining to the Purchasing Policies and Procedures, please direct them to the Purchasing Direc~or. Geri A. Sams, Director Purchasing Department 530 Greene Street, Room 605_ Augusta, Georgia 30911 Adopted in open ses'sion by the ARC Commission of Augusta, Georgia: INTRODUCTION The function of the Purchasing Department is to administer acquisition of goods and services for all departments and divisions of the Augusta-Richmond County Commission of Augusta, Georgia. The procedures are refined to meet the general requirements of the County in accordance with established good business practices, taking into account special requirements as may be adopted periodically by various agencies from which the County secures funds for special programs. They are designed to cover most situations involving procurement for the County, and are generally consistent with those of other similar institutions and with technically oriented industrial firms. The Purchasing Department is assigned absolute responsibility for negotiating and buying for all the departments within the County. The department must work with hundreds of individuals within the County and with thousands of vendors in supplying their needs as economically and efficiently as pOSSIble. Personnel responsible for budgets can expedite the purchasing function by becoming familiar with the County's procurement policies/procedures and by centralizing within their departments. The County's vendors are a valuable asset, therefore Purchasing seeks to administer its buying practices in a fair manner to all interested suppliers. The County's business is awarded on the basis of competitive prices, services rendered and ultimate long-range benefits to the County as a whole. Cash discounts are achieved by combining orders into sizeable quantities therefore qualifying for valuable discounts. Standardization of products and procedures also results in substantial and repetitive savings to the individual budget accounts. This Procedure Manual is intended to list the general policies and procedures to accomplish the procurement of needed goods and services for the ARC Commission of Augusta-Richmond County, Georgia.- The Purchasing Agent and her staff will be happy to discuss ,with you any procurement problems that you may have now or in the future. 5 PURCHASING DEPARTMENT GOALS 1. To support the operations of Augusta-Richmond County (ARC) departments through the provision of goods and services in a timely manner and in sufficient quantities and quality. 2. To support the operations of ARC departments have to maximize the efficient use of the ARC's fmancial resources by providing training on purchasing policies and procedures to all personnel who have buying responsibilities. ' 3. To maximize the efficient use of the ARC's financial resources by obtaining quality goods and services at the lowest possible cost while maintaining a reputation for fairness and integrity. 4. To maximize the efficient use of the ARC's financial resources by getting the greatest possible revenue for the sale of surplus items. 5. To carry-out the policy directions of the Commission. 6. To maximize the effective use of the ARC's financial resources by increasing annual contracts by 10%. 7. To provide effective and timely advise to the Commission and the ARC Administrator regarding market conditions and trends. 8. To maximize the effective use of the ARC's fmancial resources by promoting standardization of equipment and materials whenever possible. Prepared By: _ - Geri A. Sams Purchasing Director Approved By: Larry E. Sconyers Mayor Charles R. Oliver Administrator 6 SECTION 1 AUGUSTA-RICHMOND COUNTY CONSOLIDATED GOVERNMENT PURCHASING ORDINANCE ORDINANCE NO. Includes Amended Ordinance No~'; AN ORDINANCE PROVIDING FOR PROCEDURES RELATED TO THE A WARD OF CONTRACTS FOR THE PURCHASE OF GOODS, SUPPLIES, AND MATERIALS AND THE AWARD OF CONSTRUCTION CONTRACTS BY THE AUGUSTA-RICHMOND COUNTY COMMISSION; PROVIDING FOR EMERGENCY AND SOLE-SOURCE PROCUREMENT; PROVIDING FOR SEVERABILITY; AND PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE AUGUSTA-RICHMOND COUNTY COMMISSION, GEORGIA; SECTION 1. BID REOUlREMENTS: No contract shall be let by the Augusta-Richmond County (ARC) Commission, for the working of any road or street or the construction or building of any structure, nor shall any goods, supplies, or materials for ARC purposes or uses be purchased when the amount to be paid therefore by the ARC shall exceed $10,000.00, unless Notice thereof shall be advertised once a week for at least two (2) weeks calling for bids of the work to be done for the goods, supplies, or materials to be purchased by the ARC. In each case, the bid of the lowest responsible bidder meeting bid specifications shall be accepted, unless the County Commission shall reject all bids. With respect to any proposed contract, the ARC by resolution of the Board Commission may establish specific qualifications with bidder's. Such qualifications may include; experience, mandatory attendance at pre-bid conferences or other , qualifications which the ARC determines to be reasonably related to the requirements of the ,project for which bids are solicited. The Board of Commission may' waive any minor irregularities or deficiencies in any bid proposal. The provisions of~s section shall not apply to any purchase made under a Federal General Services Administration Contract, provided, however; that purchases made under such contracts shall be authorized only when written or verbal quotations have been obtained and those quotations confirm that the Federal contract price is lower than the price available from vendors who are not a party to said contracts. SECTION 2. TELEPHONE OR WRITTEN OUOT ATIONS: No contract shall be let by the Augusta-Richmond Commission, for the working of any road or street or the construction or building of any structure, nor shall any goods, supplies, or materials for ARC purposes or uses be purchased when the amount to be paid therefore by the ARC shall exceed $500.00, but shall not exceed $10,000.00 unless informal quotations shall have been obtained from not fewer than three (3) responsible contractors or vendors, which quotations shall be retained in the files of the Purchasing Agent or any other ARC employee responsible for obtaining the contract or goods, supplies, or materials, providing, however; that nothing in this policy shall prevent the 7 execution of a contract or purchase of goods, supplies, or materials without the prior obtaining of quotations, in any case, where quotations from more than one (I) contractor or vendor cannot be reasonably obtained. SECTION 3. EMERGENCY PROCUREMENT: Notwithstanding any provisions of this ordinance the Purchasing Agent may make or authorize others to make emergency procurement of goods, supplies, materials, or services when there ~xists a threat , to the public health, welfare, or safety; provided that such emergency procurement shall be made with such competition as is practicable under the circumstances. A written determination of the basis of the emergency and for the selection of the particular contractor shall be included in the contract file. As soon as possible a record of each emergency procurement shall be made and shall set forth the contractor's or vendor's name, the amount and name of the contract, a listing of the items procured under the contract, and the identification number of the contract file. All emergency procurement in excess of $10,000.00 made pursuant to this section, shall be subsequently reported to the Board of Commission at the regularly scheduled meeting. SECTION 4. SOLE-SOURCE PROCUREMENT: A construction or procurement contract may be awarded without competition when the Purchasing Agent determines in writing after conducting a good faith review of available sources, that there is only one source of the required service or commodity. The Purchasing Agent shall conduct negotiations, as appropriate, as to price, delivery, and terms as applicable. A record of sole-source procurement shall be maintained as applicable that iterriizes each contractor's or vendor's name, the amount and type of each contract, a listing of the items procured under each contract, and the identification number of each contract file. All sole-source procurement in excess of $10,000.00 made pursuant to this section shall be subsequently reported to the Board of Commission at a regularly scheduled meeting. SECTION 5. SEVERABILITY: The provisions of this ordinance are severable, and if any provisions or part' thereof shall be held invalid or unconstitutional or- inapplicable to any person or circumstance, such invalidity, unconstitutionality, or inapplicability shall not -affect or impair the remaining provisions of the ordinance. SECTION 6. EFFECTIVE DATE: This ordinance shall take effect upon receipt of the official acknowledgment from the Office of the Secretary of State of Georgia, that this ordinance has been filed with said office. Acknowledged and filed ,and as amended , by Ordinance No. RESOLUTION GRANTING TO THE COUNTY PURCHASING AGENT BLANKET AUTHORITY TO ADVERTISE FOR BIDS FOR BUDGETED PURCHASES. WHEREAS, in connection with the purchasing of material, supplies, services, and equipment by Augusta-Richmond ARC, it is often either necessary or advantageous to advertise for bids; and 8 WHEREAS, the past procedure of requesting the Board to order advertising for bids in each individual instance causes delay and additional administrative steps without any benefit to the ARC; and WHEREAS, the Board of Commission deems it appropriate that the Purchasing Agent for ARC should be authorized to advertise for bids for budgeted purchases, without prior direction by.this Board on individual bids; NOW, THEREFORE, BE IT RESOLVED by the Board of Commission of Augusta-Richmond County, Georgia, in regular session duly assembled, that SECTION 1. The Purchasing Agent of Augusta-Richmond County is hereby authorized at the direction of the Administrator or his designee to advertise in the name of Augusta-Richmond County for bids for the purchase of any and all commodities, supplies services, equipment; buildings, and public works projects when funds for such purchase have been appropriated in the budget or some other formal Board approval has occurred. SECTION 2. Nothing contained herein shall be deemed to authorize the award of any bid. SECTION 3. This resolution supersedes the provisions of any prior resolution in conflict herewith. SECTION 4. This resolution shall take effect immediately upon its adoption. DATED this _ day of 9 40. Motion to approve Lease Extension Agreement between Bell Investment Company and Augusta-Richmond COlmty for one year (July I, 1997 to June 30, 1998) at a rental of$I,500.00 per month with a one (1) year option to renew. (Approved by Public Safety Committee June 23, 1997) 41. Motion to authorize the Emergency Bid Process for the purchasing of Jail Locks for the 4th Street Jail Facility. (Approved by Public Safety Committee June 23,. 1997) , 42. Motion to approve amending the capital budget to purchase $10,000 in furniture and computer equipment to support two new employees in the Law Clerk Office and $2,600 in computer equipment for the new Equal Opportunity Employment Officer. (Approved by Public Safety Committee June 23, 1997) PUBLIC SERVICES: 43. Motion to approve amendment of Scrap Tire Cleanup (STPC) 121-16 Grant Contract with Georgia Environmental Protection Division to amend contract amount from $20,055.00 to the final dollar amount of $53,739.83 after proper documentation has been received by the Georgia Environmental Protection Division and the sites have been checked. (Approved by Public Services Committee June 23, 1997) 44. Motion to approve Ordinance revising Title 4, Section 4-2-26 of the Augusta- Richmond County Code regarding interference with garbage receptacles. (Approved by Public Services Committee June 23, 1997) 45. Motion to approve Agreement ,with AirTech at a cost of $60,000 but not to exceed $58,000 to conduct an Air Service Mar~et Area AnalysislEconomic Impact Study pertaining to the Augusta-Richmond COlmty air service market area. (Approved by Public Services Committee June 23, 1997) 46. Motion to approve renovations (materials only) at a cost of $200.00 to donn building at Augusta-Richmond County 4-H Camp. (Approved by Public Services Committee JUge 23, 1997) ATTORNEY: 47. Motion to approve Home Rule Amendment (Ordinance) to amend purchasing procedures. (Approved by Commission June 17, 1997 - Second Reading) r-I ORDINANCE NO. AN ~ ORDINANCE OF THE AUGUSTA-RICHMOND COUNTY COMMISSION, AS SUCCESSOR BY CONSOLIDATION TO THE BOARD OF COMMISSIONERS OF RICHMOND COUNTY, GEORGIA, TO AMEND AN ACT ENTITLED "RICEMOND COUNTY BOARD OF COMMISSIONERS CERTAIN PURCHASES AUTHORIZED WITHOUT BID", APPROVED APRIL 17, 1975 (1975 GA. LAWS, P. 4334), AS AMENDED BY ORDINANCE NO. 93-1 (1994 GA. LAWS, P . 5160) SO AS TO PROVIDE FOR AT LEAST THREE QUOTATIONS FOR THE COST OF GOODS, MATERIALS AND ,SUPPLIES BETWEEN $1, 500 . 00 AND $10, 000. 00 ; TO PROVIDE AN EFFECTIVE DATE; AND FOR OTHER PURPOSES. BE IT ORDAINED BY THE AUGUSTA-RICHMOND COUNTY COMMISSION, as successor by Consolidation to the Board of Commissioners of Richmond County (1995 Ga. Laws, p. 3648), and it is hereby ordained by authority of the same as follows: Section 1. The Act of the General Assembly of Georgia entitled "Richmond County Board of Commissioners - Certain Purchases Authorized Without BidH approved April 17, 1975 (1975 Ga. Laws, p. 4334), as amended by Ordinance No. 93-1 (1994 Ga. Laws, p. 5160) is hereby amended by striking Section 2 of said Act which reads as follows: "Section 2. The Board of Commissioners of Richmond County, Georgia is hereby authorized to purchase any goods, materials or supplies of any nature; used by Richmond County In 'its ,- government affairs, without bid and legal advertisement, by obtaining at least three (3) written quotations entered on' the minutes of said Board, and retained for a period of at least two years, when the cost of said goods, materials or supplies is between $1,500.00 and $5,000.OO.H and substituting in lieu thereof a new Section, to be known as 1 Section 2, to read as follows: L, "Section 2. The Augusta-Richmond County Commission is hereby authorized to purchase any goods, materials or supplies of any nature, used by Richmond County in its government affairs, without bid and legal advertisement, by obtaining at least three (3) quotations in writing, ,or by telephone, which shall be reduced to writing, entred on the minutes of said Commission and retained for a period of at least two years, when the cost of said goods, materials or supplies is between $l,SOO.OO-and $10,000.00." Section 2. This Ordinance is adopted by the Augusta- Richmond County Commission, as successor td the Board of Commissioners of Richmond County, Georgia, pursuant to the provisions of Artic;Le IX, Section 2~ Faragraph 1 of the Constitution of the State of Georgia of 1983, providing for Horne Rule for Counties. Section 3. All laws or Ordinances or parts of laws or Ordinances in conflict with this Ordinan~e here hereby repealed. Section 4. This Ordinance shall become effective on August 1, 1997. Adopted this ____ day of June, 1997, and this day of July, 1997. AUGUSTA-RICHMOND COUNTY COMMISSION By: As ~ts Mayor ,ATTEST: Clerk 1st Re'ading 6/17/97 2nd Reading 2 SECTION 2 DUTIES AND RESPONSffiILITIES OF THE PURCHASING DEPARTMENT 1. ORGANIZATION: .- The Purchasing Department under the Purchasing Agent, reports directly to the Administrator. The Purchasing Department is comprised of three (3) functional elements. These are; The Procurement Section, Property Control, and Central Warehouse. 2. RESPONSIBILITIES AND FUNCTIONS: A. The Purchasing Department under the Director of Purchasing, is responsible for developing and administering purchasing policies, initiating reports necessary to permit analysis of purchasing performance, processing bids, consolidating purchases of like or common items, analyzing prices paid for equipment supplies and services, and generally defining how to obtain savings and to co-ordinate purchasing procedures. The Purchasing Agent is charged' with the responsibility of seeing that all purchases are made legally. The Purchasing Agent has the authority to make awards up to the existing bid limit. B. Specific functions include: 1) Develop purchasing objectives, policies, programs, and procedures for the acquisitions of equipment, supplies, and services. 2) Coordinate purchasing procedure with other departments and County Officers. 3) Act as County representative on all matters pertaining to Purchasing. 4) Initiate reports necessary for analysis of Purchasing Department performance. 5) Assist in preparing specification for equipment supplies and services. 6) Consolidate purchases of like or common items to obtain maximum economical benefits. 7) Arrange for disposal of surplus supplies and equipment. (See section on Property Custodian Rules and Regulations). 8) Work with other departments to promote goodwill between the County and its suppliers. 9) Prepare and submit annual operating budgets for the Purchasing Department. 10) Operate and maintain a Central Warehouse, stocking common items for issue to all departments and agencies. 11) Insure vendors doing business with the County are aware of the County's Equal Employment Opportunity requirements. 10 12) Provide an ongoing program of value analysis to determine what can be done to save the County money and improve efficiency. 13) Maintain property equipment records. 3. ADMINISTRATIVE POLICIES: a. All requests for prices, and all purchases must be made by the Purchasing Department except as listed below. (This excludes constitutional officials; however, constitutional officials are mvited to use the Purchasing Department to meet their requirements. When constitutional officers choose to use the services of the Purchasing Department, all policies and procedures of the ARC Commission must be followed). No other department or services except the following shall have the authority to purchase or make any other form of commitment on behalf of the County without the approval of the Purchasing Department. 1) The acquisitions of insurance - Personnel. 2) Professional Services as provided in the consultants Competitive Negotiation Act - Professional Services Committee. 3) Other Professional Services - Administrator or others designated by the Board. Approval"for purchases made by other departments shall only be made for the following: 1) Emergency Purchases 2) Repair Parts and or Services 3) Annual and Semi-Annual Bids 4) Small purchases under $500.00 _ 5) Other purchases as approved by the Purchasing Agent - From time to time the Administrator may change the above exceptions. The authority to purchase the above exceptions or additional approved exceptions will be delegated to appropriate departments by the Administrator. . B. The Purchasing Department has full authority to question the quality, quantity and kind of items requisitioned in order that the best interests of the County may be served. No changes, however, will be made without notifying the ordering department. C. All vendors must be afforded equal opportunity to submit bids and/or quotations and are to , compete on equal terms. D. The County will buy only from suppliers who have adequate financial strength, high ethical standards and a record of adhering to specifications, maintaining shipping promises and giving a full measure of service. The Purchasing Department shall buy at the lowest and best cost 11 consistent with the quality needed to meet the requirements of the County. New sources of supply will be given consideration, as multiple sources of supply are necessary to insure availability of materials. The County also recognizes its obligation to Equal Employment Opportunity and Affirmative Action and will pursue these goals to the best of its ability. .. E. The County strives to maintain strong and enduring relationships with vendors of proven ability and those who desire to meet its needs. To accomplish this, Purchasing activities will be conducted so that vendors will place a high value on County business and make every effort to meet these requirements on the basis of quality, service and price. F. Conduct and Business Relations with Salesmen will be as follows: 1) Salesmen may be received in other departments only at the request or permission of the Purchasing Department. 2) Department desiring to interview salesmen regarding details.oftheir products should request such visits through the Purchasing Department. ' 3) During interviews with salesmen! no one may commit a preference for any product or service or give any information regarding performance or price which might in ,any way give one vendor an advantage over another vendor or embarrass the County. 4) All correspondence with suppliers will be through the Purchasing Department, except in special cases where technical details involved make it advisable to delegate authority to others. In such cases, the Purchasing Department shall be provided an information copy of all correspondence. 5) Give all salespersons a full, fair, prompt and courteous hearing. 6) Keep competition open and fair. 7) Keep specifications fair and clear. 8) Cooperate with the seller and consider any difficulties. 9) Have consistent buying policies and principles. 10) Observe strict truthfulness in all transactions and in correspondence. 11) Respect the confidence of the salesperson or their company as to confidential information. 12) Keep free from obligation to any vendor. 12 G. Cooperation and understanding between departments is essential to the effective operation of the purchasing system. Close liaison must be established between the Departments and the Purchasing Department in order to maintain an efficient and economical purchasing system. 4. PURCHASING DEPARTMENT ETIDCS: A. Acceptance of gifts at any time, other than advertising novelties, is prohibited. Acceptance of entertainment also is prohibited. Employees must not become obligated to any suppliers and shall not conclude any County transaction from which they may personally benefit. B. No CountY officer or employee shall bid for, enter into, or be in any manner interested in any contract for County purchases or County public works nor shall any officer or employee seek to influence the purchase of a product or service from any offeree; except this restriction shall not be construed to restrict persons from evaluating and appraising the quality and value of the product to be purchased or service to be rendered where the person's scope of employment contemplated advice and council with respect to the purchase. No County officer shall receive any gift, or benefit of any nature from prospective bidders. The avoidance of actual or apparent conflicts of interest is a prime requisite to the efficient and sound operation of government and maintenance of the public trust. Conflicts result in public discredit and justifiable criticism and shall be avoided at all cost. 5. VALUE ANALYSIS COMMITTEE: A. The Purchasing Department will maintain a committee to study, evaluate and recommend ways to save the County money through the more efficient procurement of equipment, supplies, and servIces. B. This committee will consist of: 1) Designated representative of the buying staff. 2) Representative from using department. 3) Technical representative, if required. 13 SECTION 3 PURCHASING PROCEDURES - (INFORMATION FOR ORDERING DEP ARTMENTSffiIVISIONS) 1. Bid Procedures 2. Quotations 3. Se'aled Bids 4. Bid Advertisements 5. Normal Requisitioning and Purchasing Procedures 6. Requisitioning from the Central Warehouse/Supply Room 7. Receipt of Goods and Services 8. Purchase Order Follow-up 9. Canceling of Purchase Orders 10. Direct Purchase Orders 11. Public Entity Crimes Requirements 12. Request For Proposals (RFP) 14 SECTION 3 PURCHASING PROCEDURES - (INFORMATION FOR ORDERING DEP ARTMENTSIDIVISIONS) 1. BID LIMITS: The Purchasing Agent is authorized and empowered to purchase or contract for equipment, supplies and services for County purposes when the amount to be paid therefore by the County does not exceed the bid limit established by the Board to the lowest and best quotation. BID PROCEDURES - PURCHASES OVER $10.000.00 1. Bids $10,000 or over are advertised in the local designated legal gazette (Augusta Chronicle) in the legal notice section and also advertised in the Augusta Focus (Thursday- Weekly) and the Metro County Courier (Wednesday - Weekly). 2. Bids in the Augusta Chronicle are advertised three (3) times within a ten day period with the exception oflarge construction projects which are advertised once a week for four (4) weeks. Bid must be received three (3) days prior to first bid publishing date. a. Bids for the Metro County Courier must be received by Friday at noon for publishing in the Wednesday paper. b. Bids for the Augusta Focus must be received by Monday at noon for publishing in the Thursday paper. 2. All bid specifications can be picked up at the Purchasing-Department unless otherwise not.ed in bid advertisement. 3. . All bids must be delivered or mailed in a sealed envelope indicating Bid Number & Bid Item on lower left side prior to the date and time set forth on each bid notice. Our normal time for opening of bids is 11 :00 a.m. on any given week-day. At 11 :00 a.m., no additional bids will be received. If any bids come in after 11 :00 a.m., the date and time is recorded on the envelope along with a signature of the Purchasing Clerk receiving the bid. 4. All Vendors/Bidders are welcomed and encouraged to attend our bid openings. After the bids are opened, they are considered public information. Anyone wanting to know the bid quotes can either come by the office for a copy of the bid tabulation or call the office for the bid tabulation. 5. TermslDefinitions used in bid specifications: a. Bid Bond - used on construction & road projects mainly 15 This bid bond is ten percent (10%) of the total bid quote and can be submitted in cash, cashier's check, certified check, letter of credit for their bank, or a bid bond can be submitted which is issued through their insurance company. This bid bond is to insure Richmond County that the bid quote will not be withdrawn after the ~ids are opened. This bid bond is returned to the bidder after the bid is awarded to successful bidder. b. Payment Bond This bond is one hundred percent (100%) of the total bid quote and is required to be submitted by successful bidder. The payment bond is to insure Richmond County that the successful bidder will be paying their suppliers and that Richmond County will not be responsible for their unpaid invoices. c. Performance Bond This bond is one hundred percent (100%) of the total bid quote and is required to be submitted by successful bidder. The performance bond is to insure Richmond County that the workmanship meets all the , standards/specifications set by the Augusta-Richmond County Consolidated Government. BID PROCEDURES - PURCHASES OVER $5.001.00 TO $10.000.00 1. Bids over $5,001.00 to $10,000.00 are classified as written bids. Written quotes on items are required. 2. Bid specifications are mailed to various vendors that can supply the item(s) requested for bid. 3. All bids must be delivered, mailed, fax~d to the Purchasing Department prior to the date and time set on each bid opening. Our normal time for opening written bids is 2:00 p.m. on any given weekday. 4. All vendorslbidders are welcomed and encouraged to attend our bid openings. After the bids are opened, they are considered public information. Anyone wanting to know the bid quotes can either come by the office for a copy of the bid tabulation or call the office for the bid tabulations. 16 BID PROCEDURES - PURCHASES UNDER $501.00 TO $5.000.00 1. Quotes under $501.00 to $5,000.00 are obtained by telephone. Three (3) quotes are taken from different vendors over the telephone. PURCHASING PROCEDURES BY REOmSITION: 1. A Purchase Order can only be generated by a pre-numbered requisition order. NOTE: The requisition number and the purchase order number are not the same number. 2. The user department must completely fill out the requisition form (see attached copy) making sure to list all of the following items: Department Name Department Number - (Fund #-Department#-Object Code #) Department Head Signature Requisition Date Complete description of the item(s) needed. Quantity Any other information vital to your order - delivery etc. Suggested Vendors (optional) 3. The Purchasing Policy will determine how the quotes will be received: $ 100.00 - $500.00 - Department Head Approval $ 501.00 - $5,000.00 - Oral bids (by telephone) $5,001.00 - $10,000.00 - Written bids (can be faxed or mailed) $10,001.00 - and up - Sealed and formal bids 4. After a requisition is received by the Purchasing Department, the Budget is checked to make sure the monies are available. If the request is for a Capital , Outlay item, the item or project will be listed individually in the Capital Outlay Budget and those monies can be used only for the designated item/project. 5. If the funds are available and/or the Capital item is designated, bid quotes will then be obtained and a purchase order issued. a. If funds are not available, the requisition will be send back to the user department and they will have to get with the Finance Department to arrange for a Budget Adjustment. 6. A purchase order can be issued within 24 hours. All requisitions entered in the computer by 4:30 p.m. will generate a purchase order the next day by 10:30. a.m. 17 7. ' In an emergency situation, the Purchasing Department can authorize the purchase or repair without a purchase order. If supplies or repairs are needed on the week-end (after 5:00 p.m. on Friday through 8:30 a.m. on Monday), the Department needs to, contact the Purchasing Department so a Purchase Order can be issued. 2. OUOT A TIONS: A. The Purchasing Agent will obtain multiple competitive quotations whenever possible. Small purchases under $500.00 are exempted. Sole source items emergencies also an exception; however, written documentation confirming this condition shall be required. Other circumstances creating an inability to secure multiple quotations shall be documented. B. The Purchasing Agent or his staff may solicit either oral or written quotations from the open market and shall use-available current vendor's and supplier's price lists All quotations in excess of ($5,000.00) shall be in writing. If at least three (3) quotations are not possible, the Purchasing Agent or buying staff will make a written determination to become part of the purchasing file. C. The Purchasing Agent shall maintain a bulletin board within the Purchasing Department accessible to the public, where all advertisements for bids shall be posted. 3. SEALED BIDS: A. All purchases or contracts except as provided below) when the sum is in excess of the bid limit; $10,000.00, shall be advertised for bids and may be awarded by the ARC Commission to the lowest and best bidder, or rej ected if in the best interest of the County. B. All requirements necessitating bidding for departments under the ARC Commission must be approved in the budget or if not in the budget be approved by the County Commissioners prior to being received by the Purchasing Department. ' C. Exceptions to sealed bid and award method include: 1) Emergency Purchases - When accompanied by a letter of justification from the Department Director and approved by the Purchasing Agent. 2) Sole-Source Items - When accompanied by a letter of justification from the Department Director and approved by the Purchasing Agent following Board approval. 3) Competitive Sealed Proposals - When the Purchasing Agent determines in writing that the use of competitive sealed bidding is not practicable or advantageous to the County. 4) State Contract - As allowed in the Georgia Statutes. 5) GSA Contract - As provided in County Ordinance # 18 4. BID ADVERTISEMENTS A. The advertisement inviting bids shall be published twice, seven (7) days apart, and shall not be received for less than sixteen (16) days starting the first day of publication. The advertisement shall be published in a newspaper of general paid circulation which) whenever possible, is published at least two (2) days a week in the County. B. Under no circumstance will the bid documents be made available to prospective bidders before the publishing of the legal notice. C. The newspaper advertisement shall include a general description of the equipment, supplies or services to be procured, where bid blanks and specifications may be secured, the closing date for acceptance of bids or proposals, and the time and place for opening bids. D. Designated place for the opening of all bid proposals and bids shall be held in the Conference Room of the ARC Purchasing Department, 530 Greene Street, Room 605, Augusta, Georgia. All bid proposals and bids shall be accepted at the above location. 5. NORMAL REOUISITIONING AND PURCHASING PROCEDURES: A. Necessity for Pre-Planning Supply and Equipment Needs - Planning is essential in assuring your needs for goods and services are met in a timely manner. The time required to issue an order and secure delivery is determined by many different factors, most of which involves the vendor/supplier. Some examples are shown below: 1) Type of item or items. 2) Value of the item or items. 3) Number of suppliers available and are they local? 4) Is it a regularly stocked item or special order~ 5) Backlog of purchases being negotiated. B. Proper Lead Time -The Purchasing Department attempts to place each order quickly and efficiently. Many orders are more routine and easily placed while others require more time. Factors relative to the time in which an order can be properly placed are: 1) sources, 2) does it require bids?, 3) price comparisons, frequency of purchases, etc. Only with proper planning and foresight can unnecessary delays be avoided. In emergency situations, Purchasing will assist in every way to purchase as quickly as possible. C. Proper Classifications of Items in Preparation of Requisition-the Requisition is the primary method used to obtain supplies and equipment from vendors. All items of similar Classification (equipment, supplies, etc.) which can be purchased from one vendor, shall be grouped on the same request. 19 D. Review of the Requisition -Requisitions received by Purchasing are reviewed for: 1) Completeness and accuracy. 2) Availability of funds. 3) Proper account number 4) Proper approval as signed by the department. E. Suggestions on Preparing Requisitions 1) Please type for ease of reading. Limit requisitions to related groups of items, which can be obtained from one supplier. 2) All Requisitions submitted shall reflect the Ship To Address. 3) Use suggested vendor and address. It assists the Purchasing Department, but it is not mandatory that you supply this information or that the Purchasing Department use it. 4) A department should always specify when Goods or Services are required. Calling for delivery within a week that will require two (2) weeks to fabricate would not be a reasonable request. Bona fide emergency requirements will be expedited to meet department needs. The specific date or dates should be stated. A void terms such as "Urgent" "Rush" "As soon as possible" or "Immediate". ~en the exact date is not important, the phrase, "On or before" is appropriate. When delivery of all items on the Requisition are required on the same ,date, only one date is necessary preceded by the word "All", otherwise, specify a separate date for each item or group of items. The information furnished, under this heading is important and should be stated with care and discretion because it affects both the bid price and transportation cost. 5) Give a full description of what the item is. 6) Clearly indicate quantity such as quantity per box, gallons per container or pounds per package. 7) Rubber stamped signatures will not be accepted. 8) If any correspondence, conversations or specifications of any kind apply to the items on a Requisition, attach; with a thorough explanation of any matters which may affect the selection of a source of supply by Purchasing. Otherwise, it will be assumed that no inquiries have been made in connection with the request. '- 20 6. REQillSITIONING FROM THE CENTRAL W AREHOUSE/SUPPL Y ROOM: A. Before filling out a Departmental Requisition, the Warehouse Stock Catalog is to be cons~lted to determine if a suitable item is available for immediate delivery from stock. If-so, fill out a Departmental Requisition for the item (5) and forward it to the Purchasing Central Warehouse by inter-office mail. B. If a Departmental Requisition should be submitted for items stocked in the Warehouse, the Purchasing Department will return the Requisition to the ordering department indicating that the items are warehouse stocked and a Departmental Requisition will be required to obtain the stocked items. C. After completing the Departmental Requisition, retain the yellow copy and forward the white copy to the Purchasing Central WarehouselPurchasing Department. The following is a checklist in preparation of the form: 1) From: Give Department name. 2) Ship To: Give location where materials are to be delivered. 3) Date: Self-explanatory. 4) Approved By: Person who has authority to sign Departmental Requisitions. 5) Quantity & Description: Pay attention to the unit of issue and order only in multiples of this quantity. Include description and stock number as they are shown in the Warehouse Catalog. D. If you ,are unclear about locating an item or if information is desired concerning quantity in stock call the Purchasing Department, 821-2422. Note: We are stocking only office supplies at this time, please use the procedures that are listed above. 7. RECEIPT OF-GOODS AND SERVICES: A. Any equipment, supplies, or services which go directly to the ordering department/division must be checked by that department/division as to accuracy, quantity and quality. Only after this has been accomplished should a delivery ticket, invoice or receiving report be signed. All exceptions are to be noted on the document signed. B. When signing for services performed, sign only for what was actually performed. Never sign blank invoices or service tickets. Always insist that a copy be left by the vendor with your department/division. 21 (;, 8. PURCHASE ORDER FOLLOW-UP: A. Department/Division initiating requisitions should keep track of all outstanding requisitions and coordinate with the Purchasing Department to insure requisitions have been rece~ved and are valid. B. The function of the Purchasing Department is to supply equipment, supplies or services to fulfill requirements. This function is not complete until satisfactory delivery of such items has been made. Follow-up of outstanding purchase orders is made as follows: 1) The Purchasing Department will review open purchase orders upon being notified by the ordering department/division that items are past due or needed before planned. 2) The Purchasing Department will either write or telephone the vendor(s) and a follow-up date noted on the green copy of the purchase order. Negative replies from the vendor(s) will result in a follow-up contact requesting specific reasons as to why delivery has not been made as promised. A new, realistic delivery date will be established if the vendor( s) has a bona fide reason of delay. If not, the order is subject to cancellation. The ordering department will then' be notified. 3) Continued broken promises and/or poor service shall result in the Purchasing Agent evaluating such performance to determine if the vendor(s) should be removed from the bid and quotation list. 9. CANCELING OF PURCHASE ORDERS: A. When a department determines that an order is to be canceled the Purchasing Department must be notified. The buyer who placed the order should be the person contacted. B. The buyer may cancel the order verbally, the a~tion must then be confirmed in writing. If the order can be canceled, the buyer may request the ordering department; send a copy of the Requisition with the word canceled, authorized signature and date. C. The buyer will annotate the Purchasing Department file copy and the receiving copy of cancellation of the order. D. The buyer will then authorize a verbal cancellation with Accounts Payable so that the funds for this purchase may be unencumbered. 22 10. DIRECT PURCHASE ORDERS: A. As a rule, the use of Direct Purchase Orders will be restricted to purchases in the following categories: 1. Repairs 2. Repair Parts 3. Annual and Semi Annual Bids 4. Small purchases under $100.00 5. Legal Adds 6. Fire Extinguisher Services (Annual Quote) 7. Other as assigned by Purchasing Agent B. Direct Purchase Orders and Numbers shall be obtained from the Purchasing Department. Departments/Divisions must use Direct Purchase Numbers for purchases that are listed in the above categories. When calling Purchasing for a Direct Purchase Order Number the following information is required. 1. Category 2. Vendor 3. Amount 4. Description 5. Department/Division 11. REOUEST FOR PROPOSALS: Request for proposals shall be handled in the same manner as the bid process as described above for solicitation and awarding of contracts for goods or services with the following exceptions: A. Only the names of the vendors making offers shall be, disclosed at the proposal opening. B.' Content of the proposals submitted by competing persons shail not be 4isclosed during the process of the negotiations. C. Proposals shall be open for public inspection after the award is made. D. Proprietary or confidential information, marked as,such in each proposal, shall not be disclosed without written consent of the offeror. E. Discussions may be conducted with responsible persons submitting a proposal determined to have a reasonable chance of being selected for the award. These discussions will only be for the purpose of clarification to assure a full understanding of the solicitation requirement and responsiveness thereto. F. Nonmonetary revisions may be permitted after submissions and prior to award for the purpose of obtaining the best and final offers. 23 -; G. In conducting discussions with the persons submitting the proposals, there shall be no disclosure of any information derived from the other persons submitting proposals. 12. PRE-BID CONFERENCE AND ADDENDUM: A conference to be conducted by the Purchasing Director and using agency head, if appropriate, hearing will be scheduled at least five (5) working days before receipt of bids. While the pre-bid conference is not'a requirement, it is strongly recommended and widely used to further acquaint interested bidders with the bid requirements and items to be purchased and, vendor input. Any substantive changes to specifications resulting from pre-bid conference or other vendor/contractor sessions shall be documented in an addendum and communicated to all bidders registered for the procurement action. 24 SECTION 4 SPECIFICATIONS, BIDS AND AWARDS 1. Purpose of Specifications 2. Responsibility for Specifications 3. Specification Development 4. Bid Development 5. Bidders List 6. Debarment of Bidders 7. Processing of Bids 8. Evaluation of Deviations and Method of Award 25 SECTION 4 SPECIFICATIONS, BIDS AND AWARDS 1. PURPOSE OF SPECIFICATIONS: Technical specifications are designed so as ,to assist the Purchasing Department and requisitioning departnient to insure that the quality and service will fulfill the requirements for which the equipment, supplies or services are intended. Non-technical specifications deal with contract language, legal terms, provisions, etc. 2. RESPONSIBILITY FOR SPECIFICATIONS: A. The Purchasing Department is responsible for maintaining copies of all current specifications. B. Preparation of technical specifications for new equipment, supplies or services is the responsibility of the requesting division or department in coordination with the Purchasing Agent. Non-technical specifications are the responsibility of the Purchasing Department. C. The Purchasing Agent may make modifications or alterations to the specification to accommodate competitive bidding. The Purchasing Agent will furnish the requesting division or department a written report of the changes recommended and why changes are desired. Should the Purchasing Agent and requesting department fail to resolve the differences, the specifications will be referred to the Administrator for resolution. 3. SPECIFICATION DEVELOPMENT: A. In considering and developing specifications, it must always be remembered that expenditures derived from public source and administered, by public bodies CaImot be expected to provide - for unwarranted levels of quality. Therefore, the general policy of purchasing good, standard grades of merchandise which'represent an optimum of quality and price and provide a satisfactory level of service will be followed. B. Bids and quotations should be based on concise but adequate specifications. A lengthy specification composed or designed solely for the pw:pose of eliminating com.petition other than those able to supply a particular brand name should not be used except when no other type of specification can be drawn. Specifications should be detailed to provide a basis for full and fair competitive bidding upon a common standard, and should be free from any restrictions which would have the effect of stifling competition. 26 C. The following guidance is provided f~r the preparation of a specification: 1) State exactly what is wanted clearly, definitely and completely. 2) Provide the means or basis for testing deliveries for conformance with the specificat~ons. Without this check, the specification loses much of its force as a purchasing tool. . 3) Avoid non-essential quality restrictions that add to cost and difficulty in procurement without adding to utility and value. 4) Avoid definitions that unnecessarily restrict competition. 5) Conform, so far as possible, to establish commercial and industrial standards. D. Should it be found, after bids have been opened, that a product with an alternate specification is low and would prove to be satisfactory, all bids would be rejected and the specifications re-drawn to allow all bidders an equal opportunity to submit proposals on an acceptable alternate. E. Once an invitation to bid has been mailed, no change in the specifications can be made unless all prospective bidders are so notified by mail in an addendum in triplicate clearly pointing out such changes. This addendum shall instruct the bidders to sign and attach two (2) copies to their bid as proof of receipt and retain the third copy with their bid file. F. Once a decision has been reached on the specifications, all bids must be based upon the same specifications and no bidder has a right to substitute other specifications for those contained in the bid. 4. BID DEVELOPMENT: A. - Bid Invitation Formal bid invitation is the means for publicly notifying prospective bidders of the need for equipment, materials, and/or services the County intends to order. Orders in excess of $1 0,000.00 will normally be requested by sealed bid invitations. The only deviations from this procedure are as follows: 1) Emergency Purchases 2) Sole-Source Items 3) Competitive Sealed Proposals 4) State and GSA Contracts 5. BIDDERS LIST: A. The Purchasing Department will maintain a "Bidder's List" of bidders who desire to receive bid invitations by mail. A prospective bidder's application should be submitted and directed to the Purchasing Agent requesting to be placed on the "Bidder's List". 27 B. The Purchasing Department is responsible to investigate all bidders requesting permission to submit bids to the County. Investigative action must be completed prior to the execution of an award. C. The Director of Purchasing will insure that only bids from responsible bidders are consid~red and accepted. 6. DEBARMENT OF BIDDERS: A. The Director of Purchasing has the authority to suspend or debar a person or fIrm from consideration for award of contracts or bids. (Black's Law Dictionary, 5th Edition) B. Causes for debarment: 1) Conviction of a criminal offense, as an incident to obtaining or attempting to obtain a public or private contract. 2) Conviction under State and/or Federal Statutes, of any offense indicating a lack of business integrity or business honesty. Examples include; embezzlement, theft, and forgery . 3) Conviction under State and/or Federal Anti-Trust Statutes, arising out of the submission of bids or proposals. 4) Violation of contract provisions of sufficient seriousness that the Director of Purchasing considers debarment appropriate. This would include; failure to perform or unsatisfactory performance of a contract or bid. 5) Violation of ethics as set forth elsewhere in this Manual. 6) Any other cause that the Director of Purchasing determirtes to be so serious, as to affect the responsibility as a contractor to th~ County. C. Any bidder being suspended and/or debarred, will be notifIed in writing by the Director of Purchasing. All reasons for the action being taken, will be explained. D. Any bidder may, have the decision of suspension and/or debarment, reviewed by the Administrator. This will be done by written request. I) Failing resolution atthis level, a written request may be made to the ARC Commission, whose decision will be fInal. 28 ; 7. PROCESSING OF BIDS A. The time and date specified, the sealed bids will be opened and recorded in the presence of the Purchasing Director and/or his representative. Bids will not be accepted after the time set for the bid opening. Tabulations will be announced and made available for review by anyone interested at an appropriate time as deemed by the Director of Purchasing. If for any valid reason, a bidder is unable to furnish the proper bid documents at the time set for the bid opening, a bid by telegram will be accepted, provided that the proper bid documents are forthcoming within three (3) calendar days. This bid will not be considered if, the bid documents and the telegram vary in any manner. The telegram must be delivered by hand, no later than the time set for the receiving date. B. The Director of Purchasing will insure bids have been properly signed by a person authorized to sign such documents for the bidder. Unsigned bids will be rejected. C. Bidder's, where required, will make a statement in their bid indicating awareness of the County's Affirmative Action Policy and willingness to comply with those provisions applicable to bidder's doing business with the County. Lack of such a statement, may be grounds for rejection of their bid. D. The Director of Purchasing and Department heads involved, will review the bids and recommend to the ARC Commission the bidder or bidder's to receive the order on the basis of the lowest and best bid meeting specifications. E. Aft_er a bid has been opened, a bidder will not be permitted to withdraw or lower their bid, or any deposit which may have been made. If, however, circumstances warrant the apparent lowest and best bidder to notify the Director of Purchasing that an error has been made in their bid, the Director of Purchasing will require the bidder to furnish a letter detailing their error and measure of relief sought. The Director of Purchasing will present the matter, with recommendations, to the County Commissioners. All proposals guaranties and -good faith deposits wiJl be returned immediately after the tabulation and analysis of the bids, except of the three (3) lowest bidder's, these will be returned within fifteen (1'5) days following the award of the Contract and that of the successful bidder upon the execution of the Contract. F. In the event two (2) or more bidder's have submitted the lowest and best bids, preference may be given in the award in the following order. First, to the bidder who has a principal place of business in ARC; Second, to the bidder who has, a place of business in ARC. Otherwise, the bids shall be awarded by lot. G. After approval of the award by the ARC Commission, the Purchasing Agent will notify the successful bidder. The normal means of notification is by letter or issuance ofa purchase order, however, when the bid is awarded near the expiration date of bidders' specified time for consideration, the Purchasing Agent will notify the successful bidder. 29 ; H. The date the Board approves the award shall constitute the date of acceptance, regardless of the date of the letter, purchase order, or any other means of notification to the successful bidder. This approval constitutes authority for the Chairman and the Clerk to sign any needed contract documents. 8. EVALUATION OF DEVIATIONS AND METHOD OF AWARD: A. Only bids from responsive bidder's are to be considered. A responsive bidder is one who has submitted a bid, which conforms in all material respects to the bid specifications. B. Deviations in bids may be either material or immaterial and minor in nature. C. Material deviations may not be waived in order to make an award. Material deviations are those that go to the substance of the bid. The deviation affects the price, quality, or delivery of the materials or services offered and is prejudicial to the rights of other bidder's. Illustrative examples include: 1) Minimum specification is not met as with required horse power in a truck. 2) Type of item asked for is not being furnished as with the type of pump needed in a water plant. 3) Where price is not filled in or subject to change at a future time during the contract period. D. Immaterial or minor deviations are those that will not alter a bidders' position with respect to receiving the award. These may be clarified with the bidder or bidder's to allow the County to understand what it will be receiving. Illustrative examples include: 1) Failure to file a certificate of non-collusion with the bid. 2) Failure to submit requested brochures or catalogs with the bid. . E. An award will be made to the lowest responsible and responsive bidder whose bid meets the requirements and criteria set forth in the bid documents. 30 ~ SECTION 5 COOPERATIVE PURCHASING 1. DEFINITIONS: Cooperative procurement. Procurement conducted by, or on behalf of, more than one public procurement unit. Public procurement unit. The United States Government, any department, agency or division thereof, any county, city'- town, and any subdivision of the State of Georgia or public agency of any such subdivision, public authority, educational, health, or other institution, any other non-profit entity which expends public funds for procurement or supplies, services, or construction. 2. COOPERATIVE PURCHASING AGREEMENT: Cooperative purchasing may be agreed to between Augusta-Richmond County and other public procurement units. Written agreements are encouraged so as to clearly document the requirements and any special conditions of purchase should a public solicitation be utilized. 3. SALE. ACOmSITION. OR USE OF SUPPLIES: Augusta-Richmond County may sell to, acquire from, or use any supplies belonging to another public procurement unit independent of the requirements of Article 6 (Procurement Source Selection Methods and Contract Awards) and Article 13 (Supplies and Fixed Assets Management Programs). 4. COOPERATIVE USE OF SUPPLIES OR SERVICES: Augusta-Richmond County may enter into an agreement with any public procurement unit for the cooperative use of supplies or services under the terms agreed upon between the parties. 5. JOINT USE OF FACILITIES: Augusta-Richmond County may enter into agreements for the common or joint use or lease of warehousing facilities, capital equipment, and other facilities with any public procurement unit under the terms agreed upon between the parties. 6. USE OF STATE CONTRACTS.: Augusta-Richmond County may procure supplies, services or construction items through contracts established by the Purchasing Department of the State of Georgia where such contracts and contractors substantially meet the requirements of the Augusta-Richmond County Code and Manual governing procurement procedures. 31 7. PURCHASE OF SURPLUS AND EXCESS PROPERTY: Augusta-Richmond County may purchase surplus and excess personal and real property from the United States Government or any other public procurement unit upon verification of need, fund availability, and approval by the appropriate level of authority within Augusta-Richmond County as detailed in Article 10 of Augusta-Richmond County Code. 8. WAIVER: Any use of cooperative purchasing as described above is independent of the requirements for source selection and contract award. 32 SECTION 6 CONTRACT ADMINISTRATION AND MANAGEMENT 1. PURPOSE: .- A contract administration system, designed to insure that a contractor is performing in accordance with the solicitation under which the contract was awarded, shall be maintained by the Purchasing Director with assistance from the using agency. Effective administration therefore includes the development of concise and competitive specifications, well developed terms and conditions of contract, and prompt, efficient day-to-day administration. Contract administration generally shall be the responsibility of the using agency requesting the commodity, general or construction service, except that certain specialized contracts may be administered by selected trade professionals, e.g., architects, engineers, construction managers, etc. 2. AUGUSTA-RICHMOND COUNTY CONTRACTS AND CONTRACT CLAUSES: A. Use of model (standard) contracts and clauses. The Purchasing Director, after consultation with the Augusta-Richmond County Administrator, using agency head, and Augusta-Richmond County Attorney, may establish standard contract clauses for use in County contracts for v.arious commodities, services and construction products. Such contracts shall include provisions necessary to clearly define the responsibilities and rights of the parties to the contract. B. Provisions of Augusta-Richmond County contracts. Whether designed as a model or standard contract provision or specifically tailored for a particular contract, all Augusta-Richmond County contracts should include provisions for: 1) the unilateral right of Augusta-Richmond County to order in writing a temporary stopping of work, or scope, of the contract; 2) ,the unilateral right of Augusta-Richmond County to order in writing a temporary stopping of the work, or delaying performance that does not alter, the scope, of the contract; 3) variations, occurririg between estimated quantities of work in contract and actual quantities; 4) defective pricing; 5) liquidated damages; 6) specified excuses for delay or non-performance; 7) termination of the contract for default; 8) termination of the contract in whole or in part for the convenience of Augusta-Richmond County; 33 9) payment procedures; 10) hold harmless provisions; 11) prohibition against contingent fees; 12) suspension of work on a construction project ordered by Augusta-Richmond County; 13) site conditions differing from those indicated in the contract, or ordinarily encountered, except that a differing site conditions clause need not be included in a contract: (a) when the contract is negotiated, (b) when the contractor provides the site or design, or @ when the parties have otherwise agreed with respect to the risk of differing site conditions, and (d) insurance requirements. 3. CONTRACT MODIFICATION: A. Every modification to a contract with Augusta-Richmond County, which has not been previously approved by the Augusta-Richmond County Commission, shall be subject to prior approval by the Commission. A contract modification does not require Commission action if a contingency amount has been approved and the contract modification is within that amount and provided the Augusta-Richmond County Administrator has been contractually or otherwise specifically designated by the Commission for such purpose. . B. In instances where the purchasing Director; architect/engineer, or project manager, with the approval of the using agency head, and Administrator, determine that the contract modification or change order cannot be delayed without substantial delay and cost to Augusta-Richmond County and funds are available and the appropriate budget transfer is made, the Adnlinistrator may authorize the appropriate action. 4. BID SECURITY AND PERFORMANCE BONDS: A. Requirement for bid security. Bid security shall be required for all competitive sealed bids for construction contracts when the price is estimated by the Purchasing Director to exceed $20,000. Bid security shall be a bid bond provided by a surety company authorized to do business in the State of Georgia, or the equivalent in a cashier's or certified check made payable to Augusta-Richmond County. Nothing herein shall prevent the requirement of such bonds on construction contracts under $20,000 when the circumstances warrant. . 34 B. Amount of bid security. Bid security shall be in an amount equal to at least 10% of the amount of the bid. Except for the three (3) lowest bidders, unsuccessful bidders shall be entitled to the return of the bid security. Upon failure of a successful bidder to enter into a contract within an established time frame after Augusta-Richmond County tenders the proposed contract, the bidder shall forfeit the bid security. Upon approval of the contract by the Commission~ ,the remaining bid securities shall be returned. C. Rejection of sealed bids for noncompliance with bid security and authority. If required, and the bid security is not included with the bid, the Purchasing Director shall recommend to the Commission that the bid be rejected. D. Withdrawal of bids. Ifa bidder is permitted to withdrawn its bid before award as provided in ~ 1-10-42 (g) (Sealed Bidding; Correction or Withdrawal of Bids) no action shall be taken against the bidder or the bid security. (Bidder entitled to return of bid security). As provided in the Augusta-Richmond County Code. 5. CONTRACT PERFORMANCE AND PAYMENT BONDS: A. When required--amounts. When a construction contract is awarded in excess of $20,000, the following bonds or security shall be delivered to Augusta-Richmond County and shall become binding on the parties upon the execution of the contract: B. A performance bond satisfactory to Augusta-Richmond County, executed by a surety company authorized to do business in the State of Georgia or otherwise secured in a manner satisfactory to Augusta-Richmond County, in an amount equal to 100% of the price specified in the contract; and C. A payment bond satisfactory to Augusta-Richmond County, executed by a surety company authorized to do business in the State of Georgia or otherwise secure~ in a manner satisfactory to Augusta-Richmond County, for the protection of all persons supplying labor and material to the contractor or its subcontractors for the perfof11J.ance of the work provided for in the contract. The bond shall be in an amount equal to 100% of the price specified in ~e contract. D. Reduction of bond amounts. Prior to the taking of bids, the Purchasing Director and architect/engineer or project manager, upon approval of the Administrator, may reduce the amount of performance and payment bonds when a written determination is made that it is in the best interest of Augusta-Richmond County to qo so, provided Georgia law does not mandate the amount of such bond. E. Authority to require additional bonds. Nothing in this Section shall be construed to limit the authority of Augusta-Richmond County to require other security in addition to those bonds if warranted by the circumstances and other than specified in Subsection (1) of this Section. 35 6. BOND FORMS AND COPIES: A. The form of payment and performance bonds and other required bonds shall be prescribed by the Augusta-Richmond County Attorney. B. Any person may request and obtain from Augusta-Richmond County a certified copy of a bond upon payment of the cost of reproduction of the bond and postage, if any. A certified copy of a bond shall be prima facie evidence of the contents, execution, and delivery of the original. 7. RETAINAGE: A. Maximum amount to be withheld. In any contract or subcontract for construction which provides for progress payments in installments based upon an estimated' percentage of completion with a percentage of the contract's proceeds to be retained by Augusta-Richmond County pending completion of the contract or subcontract, the retained amount of each progress payment or installment shall be no more than ten percent (10%). The Retainage may be reduced to five percent (5%) after fifty percent (50%) of the work is complete if Augusta-Richmond County desires. B. When used. Retainage may be applied to any construction contract, regardless of the dollar amount. Its use shall be so decided prior to release of the project for bid. Its use is recommended on projects of less than $20,000 value when the bonds have been waived. C. Release of Retainage. Funds held by Augusta-Richmond County as Retainage under the contract shall be released upon completion and acceptance of work except as described herein. 8. WAGE AND REOUlREMENTS FOR FEDERALLY FUNDED PROJECTS: When a project has federal funds, the prevailing wages paid shall correspond as nearly as practicable - to those prescribed in the Federal Davis Bacon Act when required. The wage. scale shall be posted by the contractor in a prominent and easily accessible place at the site of work in accordance with Federal Government requirements. 9. APPROVAL OF ACCOUNTING SYSTEM: Except with respect to firm fixed-price contracts, no contract type shall be used unless it has been determined in writing by Augusta-Richmond CoUnty that: a. the proposed contractor's accounting system will permit timely development of all necessary cost data in the form required by the specific contract type completed; and b. the proposed contractor's accounting system is adequate to allocate costs in accordance with generally accepted cost accounting principles. 36 9. CONTRACTUAL PROVISIONS FOR WORKADAY INSPECTIONS: All contracts shall provide that Augusta-Richmond County may, at reasonable tim~s, inspect the part of the plant, place of business, or work site of a contractor or subcontractor or subunit thereof which is pertinent to the performance of any contract awarded or to be awarded by Augusta-Ric~ond County . 10. CONTRACTUAL PROVISIONS FOR AUDITING RECORDS: A. Audit of costs or pricing data. All contracts shall provide that Augusta-Richmond County may at reasonable times and places, audit the books and records of any contractor who has submitted cost or pricing data pursuant to 9 1-10-502 (Cost or Pricing Data) to the extent that such books, documents, papers, and records are pertinent to such cost or pricing data. Any person who received a contract, change order, or contract modification for which cost or pricing data is required, shall maintain such books, documents, papers, and records that are pertinent to such cost or pricing data for three years from the date of final payment under the contract. B. Contract audit. All contracts shall provide that Augusta-Richmond County shall be entitled to audit the books and records of a contractor or subcontractor at any time under any negotiated contract or subcontract other than a firm fixed-price contract to the extent that such books, documents, papers, and records are pertinent to the performance of such contract or subcontract. Such books and records shall be maintained by the contractor for a period of three years from the date of [mal payment under the prime contract and by the subcontractor for a period of three years from the date of final payment under the subcontract. 11. REPORTING OF ANTI-COMPETITIVE PRACTICES TO STATE: When for any reason collusion Of- other anti-competitive practices are suspected among any bidders or offetors, a notice of the relevant facts shall be transmitted to the State Attorney General by the Augusta-Richmond County Attorney. 37 SECTION 7 SUPPLIES AND FIXED ASSETS MANAGEMENT PROGRAMS 1. SURPLUS SUPPLIES: A. Supplies. Goods, equipment, material and other personal property owned by Augusta- Richmond County. B. SUrplus supplies. Any goods, equipment, materials and personal property no longer having any use to Augusta-Richmond County as determined by official action of the Commission. C. Generally, salvageable surplus supplies are divided into categories as described below: 1. Scrap. Any ferrous supplies that can be used for remelting to produce iron, steel, or its alloys. 2. Waste. All non-metallic refuse which has market value, e.g. paper. 3. Worn or damaged. Either scrap or waste supplies that may be sold or used as trade-in. 4. Obsolete and surplus. Any supplies that are of no use by Augusta-Richmond County. 5. Excess. Any supply that does not have a useful purpose for a particular department or agency. The supply may have value, within other departments or Augusta-Richmond County agencies and may be transferred. (Nothing herein refers to the sale, lease or disposal of real property.) 2. FIXED ASSET MANAGEMENT: The Fixed Assets Management function in Augusta-Richmond CountY was implemented for the purpo'se of surveying and documenting all ~ounty owned personal assets, performing regular audits of County assets, centralizing the administration and control of excess supplies and determining whether excess supplies are suitable for other uses prior to disposition and prior to procuring new items of similar quality "and functionality. Also, the Purchasing Director shall regularly check with agencies regarding the use and availability of excess, or potentially surplus items. With respect to surplus supplies, all using agencies shall submit to the Purchasing Director, at such times and in such forms as prescribed, reports showing stocks of all supplies which are no longer used or whicp have become obsolete, worn out or scrapped. The Fixed Assets Manager shall determine whether the item (s) can be relocated for further use by other departments or agencies prior to disposition. If the item (s) has no further use to Augusta-Richmond County, the Purchasing Director shall prepare a report to the Augusta-Richmond County Administrator advising that office of the item (s) available for disposition. 38 3. SUPPLIES MANAGEMENT: A. Responsibility. The Purchasing Director has responsibility for the sale, lease, or disposal of surplus supplies. No employee or official of Augusta-Richmond County nor their agent shall be entitled to purchase such supplies. 1.. The Purchasing Director is responsible for the sale, or disposal of supplies via means described below; except that it shall fIrst be determined that the item (s) has no further use by Augusta-Richmond County. ' 2. The Purchasing Director shall handle the procurement of auction facilities and professional auction services, and the advertisement process, or coordinate the sealed bidding process. 3. The Augusta-Richmond County Commission shall authorize the sale, lease, or disposal of surplus supply items when necessary and appropriate. B. Surplus supplies--how disposed. 1. Auction or sealed bids. 2. Transfer to other using agency or public entity. 3. Trade-in on new supplies or equipment. C. Award shall be made in accordance with the invitation for bids or public outcry to the highest bidder if the price is reasonable and acceptable to Augusta-Richmond County. D. Payment. U.S. currency, U.S. Postal Money Orders, local personal checks, certifIed checks, or cashier~s checks are acceptable methods of payment. 4. ' SEVERABILITY: Should any section; paragraph, subdivision, clause, phrase, or provision of this Chapter be adjudged invalid or held unconstitutional by a court of competent jurisdiction, such declaration shall not affect the validity of this Chapter as a whole or any part or provisions thereof, other than the part so decided to be invalid or unconstitutional. 39 SECTION 8 DISADV ANT AGED BUSINESS ENTERPRISES (DBE) PROGRAM 1. PURPOSE Augusta-Richmond County is firmly committed to the principles of equal opportunity and affirmative action and in keeping with these principles, hereby sets forth a program and establishes a mechanism for developing, approving, and implementing procedures by which disadvantaged business enterprises including small business enterprises shall be assured equal access to supplying goods, general services, and construction services required by Augusta-Richmond County, thereby promoting balanced economic and community growth throughout Augusta-Richmond County. 2. DEFINITIONS: A. Minority person. For the purpose of this chapter, minority person means a United States citizen or permanent resident alien (as defmed by the Immigration and Naturalization Service) of the Untied States, who is Asian, Black, Hispanic, Native American, or female, according to the following definitions, also one who is economically and socially disadvantaged: 1. Asian. Persons having origins in any of the original people of the Far East, Southeast Asia, the Indian continent, or the Pacific Islands. 2. Black. Persons having origins in any black racial group of Africa. 3. Hispanic. Persons of Spanish or Portuguese culture with origins in Mexico, South or Central American, or the Caribbean Islands, regardless of race. 4. Native American. Persons having origins in any of the original people of North- America, including American Indians, Eskimos; and Aleuts. 5. Socially disadvantaged individuals. Those individuals who have been subject to racial or ethnic prejudice or cultural bias because of their identification as members of a certain group, without regard to their individual qualities. Such groups include but are not limited to Black Americans, Hispanic Americans, Native Americans (including American Indians, Eskimos, Aleuts, and Native Hawaiians), and Asian Pacific Americans. 6. Economically disadvantaged individuals. Those socially disadvantaged whose ability to compete in the free enterprise system has been impaired due to diminished capital and credit opportunities as compared to others in the same business area who are not socially disadvantaged. 40 B. Disadvantaged business. A small business enterprise which has its principal office and place of doing business in Augusta-Richmond County which is not dominant in its field of operation and is regarded as small in size as measured by its annual gross receipts being less than $500,000. C. Minority Business Enterprise (MBE). A business which is owned or controlled by minority persons who have been deprived of the opportunity to develop and maintail} a competitive position in the economy because of social and economic disadvantages. More specifically, disadvantaged business refers to any small business concern which: 1. is at least fifty-one percent (51 %) owned by one or more minority citizens of the United States who are determined to be socially and economically disadvantaged. 2. in the case of a business which is a corporation, fifty-one percent (51 %) of all classes of voting stock of such corporation must be owned by an individual determined to be socially and economically disadvantaged. 3. in the event of a business which is a partnership, fifty-one percent (51%) of the partnership interest must be owned by an individual or individuals who are socially and economically disadvantaged and whose management and daily business operations are controlled by individuals determined to be socially and economically disadvantaged. Such individuals must be involved in the daily management and operations of the business concerned. D. Discriminate. To distinguish, differentiate, separate, or segregate solely on the basis of race, religion, color, sex, national origin, or handicap. 3. APPLICATION: This chapter shall apply to all eligible projects or classifications of expenditures, as furthe;r described below, except sole source or emergency procurement: , whereby Augusta-Richmond County, expends or commits the 'expenditures of $1,000 or more for the purchase of equipm~nt, supplies, general services, construction, professional services, or a combination thereof. 4. POLICY: It is the policy of the Augusta-Richmond County Commission, other Augusta-Richmond County officials, and employees that all necessary and reasonable steps shall be taken to ensure that disadvantaged business enterprises including small business enterprises have the maximum opportunity to compete for and participate in all contracts and subcontracts. Further, the Augusta- Richmond County Commission has the option to establish incentives to promote business opportunities covered by this section. 41 5. PROGRAM ADMINISTRATION: The Augusta-Richmond County Equal Opportunity Director, with the assistance of the Purchasing Department, under the direction of the Augusta-Richmond County Administrator" will have the primary responsibility to assure that the program is effectively and equitably carried forwar~, by Augusta-Richmond County. Other Augusta-Richmond County officials and management personnel are expected to give their full cooperation towards the implementation of the program. A. Program. Program administration primarily consists of performing vendor certification, education and outreach, and program coordination services. Specifically, in order to develop, implement, and maintain the program, 1. If known and certified, at least one of the three (3) vendors contacted to quote on informal bids and quotations shall be a DBE; 2. Notify all known and certified DBEs of formal bid opportunities through direct solicitation and public advertisement (minority and majority newspapers); 3. Adjust or waive bonding and insurance requirements when possible; 4. Work with project managers or using agencies to divide larger projects, when economically and managerially feasible, in order to create more opportunities for DBEs; 5. Provide data and support and coordinate with technical assistance and outreach efforts as necessary and appropriate; 6. Develop and utilize specifications that,are open and competitive; 8. Maintain special source lists ofDBEs detailing the products arid services offered; 9. Arrange for progress payments and provide letters of contract award. The Purchasing Director, in consultation with the Using Agency and the Finance Directors, may make special provisions for progress paYments as deemed reasonable to assist DBEs to carry out the terms of a contract. When a DBE receives a contract with Augusta-Richmond County, the Purchasing Director may furnish a letter, upon request, stating the dollar value and duration therefor and other information about the contract, which may be used by the DBE in negotiating lines of credit with lending institutions; and 10. Include language in all formal bid documents requiring contractors to utilize D&FBEs to the maximum extent possible and economically feasible, as partners or subcontractors for service delivery or as suppliers of various goods required in the performance of the contract. 11. Insure compliance with the Resolution of the Board of Commissioners of Augusta- Richmond County adopted on December 1, 1987. 42 SECTION 9 PETTY CASH 1. PURPOSE: To establish a uniform petty cash procedure. 2. POLICY:. It is Augusta-Richmond County's policy to have a procedure for making small cash purchases not to exceed $20.00 per sales receipt. The procedure is designed to cover miscellaneous supplies normally not stocked in Central Stores or under a price agreement, authorized meal expenditures, or any miscellaneous services such as having keys made or film developed. The Finance Director or hislher designee will audit all purchases and may deny reimbursement of petty cash payments which are inconsistent with this policy. It is the department head's responsibility to insure that sufficient funds are available for all petty cash purchases. 3. PROCEDURE: 1. When a purchase is made, the purchaser pays from hislher own pocket and obtains a sales receipt. 2. The purchaser must acquire an authorized department head signature and proper account code on their sales receipt and/or petty cash receipt before reimbursement will be made. The item purchased must be identified on this/these forms(s). . Petty Cashiers are located in Accounting Department, but must be pre-approved by the Purchasing Director. 3. The Petty Cashier fills out a Petty Cash Receipt form, if the purchaser has not already prepared this form, showing the amount of the purchase, the date, item purchased, account number to be charged, and both the Petty Cashier and the receiver of funds sign the prepared form. 4. Petty cash funds are replenished by means of Request for Checks. 43 ~ SECTION 10 SOLE SOURCE AND EMERGENCY PROCUREMENT " 1. SOLE SOURCE PROCUREMENT: A. Notwithstanding other provisions in this Article, whenever it shall be made to appear that by reason of design, capacity, compatibility with other equipment or with machinery, purpose, function or other characteristics an itet;n of procurement required by Augusta-Richmond County or one of its departments is obtainable only from one source, the item may be procured by the Purchasing Department through negotiation from the source from which it is available without the necessity of bids. B. Before any item may be obtained under the provlSlons of this section, however, the requisitioning agency must accompany its requisition for the order with a statement specifying in reasonable' detail the reasons why the item should be procured by negotiation. This specification of reasons shall be in writing and shall be attached to the requisition at the time it is transmitted to the purchasing officer. C. If the Augusta-Richmond County Administrator, upon considering the requisition and the substantiation therefor, determines that the item should be purchased by sole source procurement and the cost thereof does not exceed $5,000.00, the Administrator. If the item exceeds $5,000.00 in cost, and the Administrator determines that sole source procurement is appropriate, the requisition shall be referred to the Commission for action. 2. EMERGENCY PROCUREMENT SELECTION METHOD: A. Notwithstanding any other provisions of this chapter, the Purchasing Director, Augusta- Richmond County Administrator or constitutional officer may make ~r authorize others,to make emergency procurement of equipment, supplies, services, general construction, or public works type construction services when there exists a threat to public health, welfare, or safety, or , where daily operations are affected; provided that such emergency procurement shall be made with such competition as is,practicable under the circumstances. As soon as practicable, a record of each emergency procurement shall be made and shall set forth the contractor's name, the amount and type of the contract, a listing of the item(s) procured under the contract, and the identification number of the contract file. A written report explaining the determination of the basis for the emergency and for the selection of the particular contractor shall be included in the contract file, and a copy of same provided the Augusta-Richmond County Commission at their next regular meeting in the case of public works contracts as defmed by Georgia State Law or other Augusta-Richmond County purchases when the value of the purchase exceeds $5,000. B. In the event an emergency should arise after office hours or on holidays or weekends which requires immediate action on the.part of the using agency involved and where it is not possible or convenient to reach the Purchasing Director, constitutional officer, or Administrator, the using agency head is authorized to make purchases. Such purchases shall be well documented, packaged for payment, and forwarded to the Purchasing Director within 24 hours, if possible, after occurrence. 44 ~ C. Emergency purchases by the Augusta-Richmond County Commission shall be made as provided in the Augusta-Richmond County Code, Part I, ~ 1-1-82. 45 APPENDIX A Excerpts from Richmond County Code Part I Sec. 57. Purchase of goods, materials, etc. - Without bid or advertisement - Cost not in excess of one thousand five hundred dollars. The board of commissioners of Richmond County, Georgia, is hereby authorized to purchase any goods, materials or supplies of any nature, used by Richmond County in any of its governmental affairs, without bid and legal advertisement, when the cost of same does not exceed $1,500.00. (Ga. Laws 1975, p. 4334, 9 1) Sec. 58. Same - Same - Cost between fifteen hundred dollars and five thousand dollars. The board of commissioners of Richmond County, Georgia, is hereby authorized to purchase any goods, materials or supplies of any nature used by Richmond County in any of its governmental affairs, without bid and legal advertisement, by obtaining at least three written quotations entered on the minutes of said board, and retained for a period of at least two years, when the cost of said goods, materials or supplies is between $500.00 and $5,000.00. (Ga. Laws 1975, p. 4334, 9 2; Ord. No. 93-1, ~ 1, 1-1-93) Sec. 60. Same - Advertisement forbids. With the exceptions provided in this section and sections 57, 58, 59, 61 and 62, the board of commissioners of Richmond County, Georgia, shall, in all other instances before purchasing any goods, materials or supplies to be used by Richmond County, or entering into any lease of equipment to be used by Richmond County, advertise for bids once a day for three days within a 10-day period in the legal gazette for Richmond Count.y,; (Ga. Laws 1975, p. 4334, 9' 3) Part II Sec. 2-6-1. Purchasing policy. (1) The county administrator shall have the authority to approve all purchases requiring a bid or written quote when the following conditions have been met: (a) The item(s) have been previously approved in the budget adopted by the board of commissioners; (b) All state and county ordinances and regulations relative to purchasing have been complied with; (c) The low bid is selected and does not exceed the budgeted amount by ten (10) percent and not exceeding five hundred dollars ($500.00). (2) Purchases under the following conditions must be approved by the board of commissioners in open meeting: (a) When other than the low bid, is recommended for approval; (b) When the recommended bid exceeds those funds budgeted for the purchase with the exception of subsection (1) (c) above. (3) The county administrator shall submit a list of all bid items that have been approved at the end of each month. Part III Sec. 2-91. Duties regarding purchasing; delegation to subordinates. Subject to rules established by the county commission, the county administrator shall authorize all purchases for the county, subject to the laws requiring advertisement and bids. He shall supervise the disbursement of all county funds, and shall render such reports as may be required by the county commission, The county administrator may delegate purely administrative duties to subordinates in the county government whose work the county administrator shall supervise and direct; however, the designation or assignment of duties to subordinates shall not relieve the county administrator from his responsibilities for administration of county affairs. (Res. of 8-15-78, 9 9) , . '. (1) (2 ) (3) (4 ) (5 ) (6) (7) (8 ) APPENDIX B Definition of TeDms Used in this Manual. "Agreement" means the bargain of the parties in fact as found in their language or by implication from other circumstances including course of dealing or usage of trade or course of performance as provided in O.C.G.A. 11-1-205 and 11-2-208. Whether an agreement has legal consequences is determined by the provision of this title, if applicable; otherwise, by the law of contracts (O.C.G.A. 11-1-103). (O.C.G.A. 11-2-201) "Bid" means an offer by an intending purchaser to pay a designated price for property which is about to be sold at auction, and an offer to perform a contract for work and labor or supplying materials or goods at a specified price. (Black's Law Dictionary, 5th Edition) "Bid Bond" means a type of bond required in public construction projects which is filed at the time of the bid and which protects Augusta-Richmond County in the event that the bidder re,fusesto enter into a contract after the award to him or withdraws his bid before' the award. A type of indemnity bond. (Black's Law Dictionary, 5th Edition) "Bidders List" means Augusta-Richmond County's official list of qualified persons or vendors to be invited to respond to any tyPe of invitation for bids or requests for proposals which shall be maintained by the Purchasing Director. "Bill of Lading" means a document evidencing the 'receipt of goods for shipment issued by a person engaged in the business of transporting or forwarding goods, and includes an airbill. "Airbill" means a document serving for air transportation as a bill of lading does for marine or rail transportation, and includes an air consignment note or air waybill. ,(O.C.G.A. ~1-1- 201) "Blind Trust" means an independently managed trust in which ,the employee-beneficiary has no management rights and in which t,he employee-beneficiary is not given notice of alterations in, or other disposition of, the property subject to the trust. "Business" means any corporation, partnership, individual, sole proprietorship, joint stock company, joint venture, firm, or any other private legal entity. "Buyer in ordinary course of busine'ss" means a person who, in good faith and without knowledge that the sale to him is in violation of the ownership rights or security interest of a third party int he goods, buys in ordinary course from a person in the business of selling goods of that kind but does not include a pawnbroker. "Buying" may be for cash or by exchange of other property or on secured or unsecured, credit and includes receiving goods or doc~ments of title under a preexisting contract for sale but does not include a transfer in bulk or as security for or in total a (9) (10) (11) (12) (13) (14) (15) (16) (17) (18) (19) (20) partial satisfaction of money debt. (O.C.G.A. 11-1-201) "Change Order" means the formal document effecting a bilate,ral " contract modification that alters the, specification, delivery point, rate of delivery, period of performance, price" quantity, or other provision of '..any contract accomplished by mutual agreement of the parties to the contract. "Commodities" means those things that are useful or serviceable, particularly articles of merchandise moveable in trade. Goods, wares, supplies, and merchandise of any kind; movables; articles of trade or commerce are all included within this definition. (Black's Law Dictionary, 5th Edition) "Construction" means the process of building, altering, repairing, improving, or demolishing any public structure or building, or other public improvements of any kind to any public real property. It does not include the routine operation, routine repair, or routine maintenance of existing structures, buildings" or real property. "Contract" means the total legal obligation which results from the parties' agreement as affected by this title and any other applicable rules of law. (O.C.G.A. 11-1-201) "Contract Administration" means all activity necessary after award of a contract to administer a contract and to ensure full compliance with its terms, conditions, and scope of services. "Contract Directive" means a written order signed and issued by the Augusta-Richmond County Administrator, directing the contractor to make changes which the "Changes" clause of the contract authorized Augusta-Richmond County to order without the consent of the contractor. "Contract Documents" means all items which define the, scope of the proj ect including plans and specifications, including but not limited to, advertisement for'bids, instructions to bidders, bid proposal, proposed contracts, Proposed bond form,' general conditions, special conditions, and technical specifications. "Contract Modification" means 'any change order, contract price adjustment or contract revision or similar document which modifies an existing contract. "Contractor and/or Sub-Contractor" means any person having a contract with Augusta-Richmond County, a using agency of Augusta- Richmond County, or a contractor thereof. "Cooperative Procurement" means acquiring commodities, services, and construction by, or on behalf of, more than one public procurement unit. "Cost Analysis" means the evaluation of cost data for the purpose of arriving at costs actually incurred or estimates of costs to be incurred, prices to be paid, and costs to be reimbursed. "Cost Data" means the factual information concerning the cost of (21) (22 ) (23) (24 ) (25) (26) (27) (28) (29) (30 ) (31) (32 ) labor, material, overhead, and other cost elements which are expected to be incurred or which have been actually incurred by the contractor in performing the contract. "Cost-reimbursement Ccnt1;act" means a contract under which a contractor is reimbursea 'for costs which are allowable and in accordance with the contract terms and the provisions of this Manual, and a fee or profit, 'if any. "County" means Richmond County, Georgia. "County Commission" means the Board of Commissioners of Richmond County which is the governing body of Richmond County. "County Commission Chairman" means the chief executive officer of Richmond County who is authorized to sign all contracts for the Board of Commissioners. "County Administrator" means the chief appointed administrative office of Richmond County. "Creditor" includes a general creditor, a secured creditor, a lien creditor and any representative of creditors, including an assignee for the benefit of creditors, a trustee in bankruptcy, a receiver in equity, and an executor or administrator of an insolvent debtor's or assignor's estate. (0. C. G .A. 11-1-201) "Days" means Richmond County working days. "Debarment" means to bar, exclude, or preclude from having or doing something. Exclusion from government contracting and subcontracting. (Black's Law Dictionary, 5th Edition) "Delivery" with chattel paper, possession. respect to instruments, documents of title, or securities, means voluntary transfer of "Designee" mans a duly authorized representative of, a person holding a superior position. "Direct or Indirect, Participation" means involvement through decision, approval, disapproval, recommendation, preparation of any part of a purchase request, influencing the content of any specification or procurement standard, rendering of advice, investigation, auditing, or in any other advisory capacity. "Document of Ti tIe" includes bill of lading, dock warrant, dock receipt, warehouse receipt or order for the delivery of goods, and also any 'other document which in the regular course of business or financing is treated as adequately evidencing that the person in possession of it is entitled to receive, hold, and dispose of the document and the goods it covers. To be a document title, a document must purport to be issued by or addressed to a bailee and purport to cover goods in the bailee's possession which are either identified or are fungible portions of an identified mass. (O.C.G.A. 11-1-201) . -~~ . , (33) (34) (35) (36) (37) (38 ) (39) (40) (41) (42) (43 ) (44 ) (45) "Emergency" means any reasonably unforeseen circumstances, i.e. breakdown in major equipment, threatened termination or curtailment of an essential service,' or development of a dangerous" condition that creates an immediate threat to public health, welfare or safety. ~ .... . "Employee". means an individual drawing a salary or wages from Richmond County, whether elected or not; any non- compensated indi vidual performing personal services for Richmond County or any department, agency, commission, council, boa'rd, or any other entity established by the executive, legislative or judicial branch of the County; and any non-compensated individual serving as an elected official of Richmond County. "Fault" means wrongful act, omission or breach. 201) (O.C.G.A. 11-1- "Financial Interest" means all direct ownership interests of the total assets or capital stock of a business entity where such ownership interest is 10 percent or more. (O.C.G.A. 36-67A-l) "Firm" means any individual, partnership, corporation, association, joint venture, or other legal entity permitted by law to practice or offer professional or consultant services. "Fungible" with respect to goods or securities, means goods or securities of which any unit is, by nature'or usage of trade, the equivalent of any other like unit. Goods which are not fungible shall be deemed fungible for the purpose of this title to the extent that under a particular agreement or document unlike units are treated as equivalents. (0. C. G .A. 11-1-201) "Good Faith" means honesty in fact in the conduct or transaction concerned. (O.C.G.A. 11-1-201) "Gratuity" means a payment, loan, subscription, advance, deposit of money, service, or anything of more than nominal value, present or promised, unless consideration of substantially equal 'or greate+ value is received. ' "Genuine" means fre~ of forgery or counterfeiting. (O.C.G.A. 11- 1-210) "Holder" means a person who is in possession of a document of title or an instrument or an investment security drawn, issued, or endorsed to him or to his 'order or to bearer or in blank. (O.C.G.A. 11-1-201) "Honor" means to payor to accept and pay, or where a credit so engages, to purchase or discount a draft complying with the terms of credit. (O.C.G.A. 11-1-201) "Immediate Relative" or "Immediate Family" means father, mother, son, daughter, brothers, sisters, grandparents or grandchildren, wife or husband, or the wife or husband of any of the preceding persons. "Invitation for Bids" means a type of advertisement used by one (46) (47 ) (48 ) (49) (50 ) (a) (b) (c) who desires bids to be submitted for a particular project and includes all documents, whether attached or incorporated by reference. utilized for soliciting an intelligent bid. "Let" (contracts) means: c;lward to one of several persons, who have submi t ted proposals, (llid's)' therefor, the contract for erecting public works o~ doing some part of the work connected therewi~h. or rendering some other service to the' government for a stipulated compensation. Letting the contract, is the choosing of one from among the number of bidders, and the formal making of the contract with him. The letting, or putting out, is a different thing from the invitation to make proposals; the letting is subsequent to the invitation. It is the act of awarding the contract to the proposer, after the proposals have been received and considered. (Black's Law Dictionary, 5th Edition) "Lowest and Best Bidder" means the most responsive bidder or offerer as herein defined who has offered the requested goods. services, or construction for the lowest cost. "Nominal Value" means any gift or gratuity of less than twenty- five dollars. "Notice" means knowledge, or a notice or notification received by an organization is effective for a particular transaction from the time when it is brought to the attention of the individual conducting that transaction, and in any event from the time when it would have been brought to his attention if the organization had exercised diligence. (O.C.G.A. 11-1-201) A person has "notice" of fact when: He has actual knowledge of it; or He has received a 'notice or notification or it; or From all the facts and circumstances known to him at the time in question he has reason to know that it exists. A person "knows" or has knowledge of a fact ,when he has actual knowledge of it. "Discover" or "learn" or a wo.rd or, phrase of similar import refers to knowledge rather than to reason to know. The time and circumstances under which a notice or notification may cease to be effec~ive are-not determined by this title. (O.C.G.A. 11-1-201), (51) (a) (b) (52) A person "notifies" or "gives" a notice or notification to another by taking such steps as may be reasonably required to inform the other in ordinary course whether or not such other actually comes to know of it. A person "receives" a notice or notification when: It comes to his attention; or It is duly delivered at the place of business through which the contract was made or at any other place held out by him as the place for receipt of such communications. (O.C.G.A. 11-1-201) "Offer" means a proposal, or bid submitted in response to a request for proposal or invitation for bids. A proposal to do a thing or pay an amount. usually accompanied by' an expected acceptance. counter-offer, return promise. or act. A (59) (60 ) (61) (62) manifestation or willingness to enter into - a bargain, so made as to justify another person in understanding that his assent to that bargain is invited and will conclude it. (Black's Law Dictionary, 5th Edition) (53) "Organization" includes:a corporation, government or governmental subdivision or agency,'bu~iness trust, estate. trust, partnership or association: two or more persons having a joint or common interest, or any other legal or commercial entity. (O.C.G.A. 11- 1-201) (54 ) "Party" as - distinct from "third party", means a person who has engaged in a transaction or made an agreement within this title. (O.C.G.A. 11-1-201) (55 ) "Person" means any business, individual, union, committee, club, other organization, or group of individuals. (56) "Pre-qualification" means the process to determine whether 'a prospective bidder or proposer satisfies the criteria established for inclusion on the pre-qualified bidders ,or proposers list. (57) "Presumption" or "Presumed" means that the trier of fact must find the existence of the fact presumed unless and until evidence is introduced which would support a finding of its nonexistence. (O.C.G.A. 11-1-201) (58 ) "Price Analysis" means the evaluation of price data, without analysis of the separate cost components and profit as in cost analysis, which may assist in arriving at prices to be paid and costs to be reimbursed. "Pricing Data" means the factual information concerning prices for items substantially similar to those being procured. Prices in this definition refer to offered selling prices, historical selling prices, and current selling prices. The definition refers to data relevant to both prime and sub-contract pr{ces. "Procurement" means the buying, purchasing, renting-, leasing, or, otherwise acquiring of any' goods, - supplies, services, or construction products. It also includes ail functions _ that pertain to the obtaining of any supply, service, professional service or construction product, including description of requirements, selection, and solicitation of sources, preparation, and award of contract. "Product" means something produced by physical labor or intellectual effort or something produced naturally or as a result of natural process as by generation or growth. (Black's Law Dictionary, 5th Edition). As used in this Manual, the term product is a very broad term that could include all types of commodities, supplies, equipment, materials, goods, services and construction. "Product Reference" means a specification limited to one or more items by manufacturers' names or catalog numbers to describe the sta~dard of quality, performance, and other salient characteristics needed to meet County requirements, and which provides for the submission of equivalent products. (63) (64) "Professional Services" means those licensed and professional services as defined by the laws of the State of Georgia. "Proposal" means an offer; something proffered. An offer, by one person to another, of.tPe terms and conditions with reference to some work or undertaking>:". or for the transfer of property, the acceptance whe~eof will make a contract between them. (Black's Law Dictionary, 5th Edition) Proposals for professional services evaluated for their comparative specifications issued for the project. may not include proposed price as one (65) (66 ) (a) (b) (c) (d) received by the County will be level of comoliance with the The evaluation-of proposals mayor of the evaluation criteria. "Public Procurement Unit"means any unit or subunit of any federal, state, or local government, or any non-profit entity which expends public funds for the procurement of commodities, services, or construction products. "Public Sale" means a sale: Held at a place reasonably available to persons who might desire to attend and submit bids; and At which those attending shall be given the opportunity to bid on a competitive basis; and At which the sale, if made, shall be made to the highest and best bidder; and Except as otherwise provided in this title for advertising or dispensing with the advertising of public sales, of which notice is given by advertisement once a week for two weeks in the newspaper in which the sheriff's advertisements are published, in the county where the sale is to be held, and which notice shall state the day and hour, between 10:00 a.m. and 4:00 p.m., and the place of sale, and shall briefly identify th~ goo~s to be sold. .The provisions of this paragraph shall not 'be ~n derogation of any additional requirements relating' to notice of an conduct of any such' public sale as may be contained in other provisions .of this title but shall be supplementary thereto. (O.C.G.A. 11-1-201) (67) (68) (69) (70) "Public Works Contract" means any contract for a county government public works project valued at $20,000 or more as more fully defined in O.C.G.A. 36-10 and Article Xof this Manual. "Purchase" includes taking by sale, discount, negotiation, mortgage, pledge, lien, issue or reissue, gift, or any other voluntary transaction creating an interest in property. (O.C.G.A. 11-1-201) "Purchaser" means a person who takes by purchase. (O.C.G.A.11-1- 201) "Purchase Order" means "i document authorizing a seller to deliver goods. with payment to be made later. A writ~en authorization calling on a vendor or supplier to furnish goods to the person :; (71) (72) (73 ) (74) (75) (76) (77) (78 ) (79 ) (80 ) ordering such. It constitutes an offer which is accepted when the vendor supplies the quantity and quality ordered. (Black.' sLaw Dictionary, 5th Edition) "Purchasing Director"'. ,.means the supervisor of the Purchasing Department and as further"defined in the Richmond Count V Code and elsewhere in t~is Manual. "Qualified Products List" means an approved list of commodities described by model or catalog numbers, which. prior to competitive solicitation, the County has determined will meet the applicable product specifications requirements. "Quotations or informal bids selection method" means the method for submitting a bid to perform work or offer a commodity to the County on a proposed contract without the formality of a written proposal or sealed bid. See ~505 for additional detail defining the quotations or informal selection method. "Representative" includes an agent, an officer of a corporation or association, and a trustee, executor or administrator of an estate, or any other person empowered to act for another. (O.C.G.A. 1-11-201) "Requisition" means the document whereby the using agencies. request that a purchase be made on their behalf. Requisition includes, but is not limited to, a description of the requested commodity, service or construction product, delivery schedule, transportation data, criteria for evaluation, suggested sources of supply, and information supplied for the working of any written determination required by this Manual. "Request for Proposals (RFP) " means attached or incorporated by reference, proposals. all documents, whether utilized for soliciting "Request for Qualifications (RFQ) " means a method used to predetermine the capacity of prospective bidders or proposers for a spe~ific project. ' \ "Request for Quotations (RFQ) " means an informal solicitation for prices. "Responsible Bidder or Proposer" means a person who has the capability in all respects 'to perform fully the contract requirements, and the tenacity, perseverance, experience, integrity, reliability, capacity, facilities, equipment, and credit which will assure good faith performance. In considering whether a bidder is responsible, the Purchasing Director, County Administrator, using agency head, or County Commission may consider the bidder's quality of work, general reputation in the community, financial responsibility, and previous employment or use by the County. "Responsive Bidder ,or Proposer" means a person who has submitted a bid or proposal which conforms in all material respects to the requirements set forth in the invitation for bids or request for proposal. ::- (81) (82) (83) (84) (85) "Sealed Bid" means a method for submitting a bid to perform work on a proposed coritract. In general, each party interested submits a bid in a sealed envelope, and all such bids are opened at the same time and the most favorable responsible bid is accepted. (Black's Law Dictionaq" 5th Edition) See ~502 for additional detail explaining the ~ealed bid selection method. . "Sea~ed Proposal" means a method for submitting a proposal for services or a combination of services and commodities on a pro~osed contract. In general, each party interested submits a proposal in two sealed envelopes. one envelope shall contain the price proposal and the second sealed envelope shall contain the technical (non-price data) proposal. The technical proposal shall be opened and reviewed and ranked by the Purchasing Director before the price proposal is opened and reviewed. The sealed proposal method is not intended to be done as a public bid opening because of the technical complexities of the proposal which must be reviewed in detail before the proposals can be compared, rated. and ranked. "Securi ty Interest" means an interest in personal property or fixtures which secures payment or performance of an obligation. The retention or reservation of title by a seller of goods notwithstanding shipment or delivery to the buyer (O.C.G.A. 11-2- 401) is limited in effect to a reservation of a "security interest" . The term also includes any interest of a buyer of accounts, or chattel paper which is subject to Article IX of this title. The special property interest of a buyer of goods on identification of such goods to a contract for sale under O. C. G. A. 11-2-401 is not a "security interest", but buyer may also acquire a "security interest" by complyiIlg with Article IX of this title. Unless a lease or consignment is intended as security, reservation of title thereunder is not a "security interest" but a consignment is in any event subject to the provisions on consignment sale (O.C.G.A. 11-2-326). Whether a lease is intended as security is to be determined by the facts of each case; however,: (a) the inclusion of an option to purchase does not of, itself make the lease one intended for security, and (b) an agreement that upon compliance with the terms of the lease, the lessee shall become or has the option to, become the owner of the property for no additional consideration or for a nominal consideration does make the lease one intended for security. CO.C.G.A. 11-1-201) "Send" in connection with any writing or notice, means to deposit in the mail or deliver for transmission by any other usual means of communication with postage or cost of transmission provided for and properly addressed and in the case of an instrument to an address specified thereon or otherwise agreed, or if there be none, to any address reasonable under the circumstances. The receipt of any writing or notice within the time at which it would have arrived if properly sent has the effect of a proper sending. (O.C.G.A. 11-1-201) "Services" means the furnishing of labor, time or effort by a contractor, not involving the delivery of a specific end product other than reports which are merely incidental to the required performance. This term shall not include employment agreements or collective bargaining agreements. .. (86) (87) (88) (89) (90) (91) (92) (93) (94 ) (95) (96 ) (97) "Signed" includes any symbol executed or adopted by a party with present intention to authenticate a writing. (O.C.G.A. 11-1-201) "Small Business" means a United States business which is independently owned and which is not dominant in its field of operation or an affiliat~.or subsidiary of a business dominant in ~s field of operation. "Sole Source" means that there is only one source for the procurement of any goods, supplies. services or construction. "Only one source" means that there is only one manufacturer or product Source and/or only one vendor source for the required commodities, s~rvices or construction products. "Specification" means any description of the physical or functional characteristics or of the nature of commodities, services, or construction products. It may include a description of any requirement for inspecting, testing, or preparing a commodity, service, or construction product for delivery. "Substantial Interest" means the direct or. indirect ownership of more than 25 percent of the assets or stock of any business. (O.C.G.A. 45-10-20) "Supplies" means those accumulated stores reserved for distribution (Black's Law Dictionary, 5th Edition), and for the purposes of this Manual shall include any goods I equipment, material or other personal property owned by Richmond County and available for use by the personnel of the organization. "Surplus Supplies" means any County supplies no longer needed having any use to Richmond County as determined of official action of the Board of Commissioners. "Suspension" means a temporary stop, a temporary delay, interruption, or cessation. A temporary cutting o~f or debarring. one, as from the privileges of one's profession. Temporary withdrawal or cessation as distinguished from permanent ,severance accomplished by debarment. (Black's La~Dictionary, 5th Edition) "Term" means that -portion of an agreement which relates to a particular matter. . (O.,C.G.A. 11-1-201) "Transact Business" or "transact any business" means to sell or lease any personal property, real property, or services on behalf of oneself or on behalf of any third party as an agent, broker, dealer, or representative and means to purchase surplus real or personal property on behalf of oneself or on behalf of any third party as an agent, broker, dealer, or representative. (O.C.G.A. 45-10-20) "Unauthorized" signature or endorsement, means one made without actual, implied, or apparent authority and includes a forgery. "Using Agency" means any department, commission, board, office, authority, or division of Richmond County requiring commodities, services or construction' products or professional or other consultant services.