City of Bowling Green, MO
Pike County
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Table of Contents
Table of Contents

Section 116.010 Goals.

[CC 1996 §116.010; Ord. No. 1053 §§I — III, 10-5-1998]
A. 
This policy has been designed to insure that the policies set by the Board of Aldermen with regard to the expenditure of public funds are met by all City departments. If these policies are adhered to, the City will receive the maximum value for each public dollar spent.
B. 
Basic Goals. The basic goals of the City's purchasing program are:
1. 
To comply with the legal requirements of public purchasing.
2. 
To assure vendors that impartial and equal treatment will be afforded all who wish to do business with the City.
3. 
To receive maximum value for each public dollar spent.
4. 
To provide City department's required goods and services at the time and place needed in the proper quantity and quality.
5. 
To purchase only goods and services for which funds have been approved and not previously encumbered.
C. 
If the procedures and guidelines established in this manual are followed, each department will efficiently manage, control and plan their available resources to meet present and future departmental needs and help the City meet these goals.

Section 116.020 General Guidelines.

[CC 1996 §116.020; Ord. No. 1053 §§I — III, 10-5-1998]
A. 
These general guidelines should be considered administrative rules and regulations and are to be adhered to as closely as possible by all departments in the procurement of goods and services.
1. 
Local buying. It is the desire of the City to purchase from Bowling Green vendors whenever possible. This can be accomplished by insuring that local vendors who have goods or services available which are needed by the City are included in the competitive shopping process which will precede most purchases. The City has a responsibility to its residents, however, to insure that the maximum value is obtained for each public dollar spent. It is assumed that local vendors who wish to do business with the City will offer the lowest possible quote for the item being purchased.
2. 
Planning. Planning for purchases should be done on both a short-term and a long-term basis. Small orders and last minute purchases should be minimized, thereby increasing the capability of each department to purchase its goods and services in larger quantities in order to obtain the maximum discount possible. Planning will also reduce the number of trips required to obtain materials and minimize the amount of clerical and supervisory time spent on documenting purchases. The purchasing process begins with the preparation of the annual budget.
3. 
Overdrafts prohibited. No purchase will be authorized which would overdraw a budgetary account. Department heads who are contemplating a purchase that will exceed a budgetary account should contact the Administrator or Treasurer to insure that provision is made for the necessary budget allocation prior to initiating the purchase.
4. 
Buying proper quality. Quality and service are just as important as price and it is the duty of the requisitioning department to secure the best quality for the purpose intended. Quality buying is the buying of goods or services that will meet but not exceed the requirements for which they are intended. In some instances the primary consideration is durability. With other purchases, it may be a question of immediate availability, ease of installation, frequency of repair or efficiency of operation that must be given primary consideration. In the case of motor vehicles and other capital expenditures, departments may want to investigate life cycle costs or EPA mileage ratings to compare bids as opposed to utilizing price as the sole criterion for determining the lowest responsible bidder. It is the responsibility of each department head to become familiar enough with available equipment to determine the appropriate quality required when developing specifications.
5. 
Bribery. Bribery, in any form, represents malfeasance in office and means that public funds are being mismanaged. Bribery by vendors in order to secure favorable consideration is seldom attempted. Vendors may attempt to secure favoritism by offering gifts or providing entertainment to City Officials. Attempts to influence decisions regarding the expenditures of public funds may be directed towards any employee who has influence over the selection of vendors. The penalty for accepting a bribe is immediate termination.
6. 
Sales tax. The City is exempt from all local and State sales taxes or Federal excise taxes. The Finance Department will provide the necessary exemption documents to any vendor, upon request.
7. 
Public access. All specifications, bid documents, purchase orders and supporting documents are public records which will be made available to citizens, vendors or the media upon request.
8. 
Endorsements. It is City policy not to endorse or in any way permit an employee's name or position or the City's name to be used and advertised as supporting a product or vendor.
9. 
Performance/payment bond.
a. 
The purchasing agent shall have the authority to require a performance/payment bond in cash or otherwise for such amount that he/she may deem sufficient to secure the execution of the contract for furnishing goods or services for the best interests of the City.
b. 
If a performance/payment bond is supplied, the purchasing agent shall also have the authority to:
(1) 
Require a certificate from the Secretary of State, State of Missouri, which authorizes the bonding company to conduct business within the State of Missouri;
(2) 
Obtain a rating from Best's or from Standard and Poor's of an "A" rating of the company to show it is reasonably solvent; and
(3) 
Require a certificate from the original issuing company stating that the bond is in effect.
10. 
Personal purchases. Purchases for employees by the City are prohibited. City employees are also prohibited from using the City's name or the employee's position to obtain special consideration in personal purchases.

Section 116.030 Purchasing Procedures.

[CC 1996 §116.030; Ord. No. 1053 §§I — III, 10-5-1998; Ord. No. 1308 §I, 8-21-2002]
A. 
The Board of Aldermen has established policies regulating the degree of formality to be followed in the purchase of goods and services, depending on the cost of the items to be purchased. The splitting of purchases into small orders to avoid these requirements is prohibited.
1. 
Purchases under $500.00. Department heads are authorized to issue a requisition form directly to vendors for any purchase in the amount of five hundred dollars ($500.00) or less. It is the responsibility, however, of each department head to designate employees who will be allowed to make purchases and to provide internal control procedures to insure that all purchases are for legitimate public purposes, that monthly statements from vendors are reconciled and all purchases accounted for. Department heads may wish to consider an internal requisition system which would insure that a numbered, controlled document is set aside for each purchase made, including small items purchased under open accounts. Any department that routinely makes purchases costing less than five hundred dollars ($500.00) or purchases frequently under open accounts should establish such a system.
2. 
Purchases from $500.01 to $1,500.00. On a purchase of more than five hundred dollars ($500.00) but less than one thousand five hundred dollars ($1,500.00), a purchase order must be submitted by the department head for the Treasurer's approval before an order is placed with a vendor. The requesting department should competitively shop to insure that vendors with which the City deals are maintaining competitive pricing and appropriate quality. The department may find it convenient to use the request for quotation or telephone quotation forms, even though items required are below the amounts necessary to trigger this procurement process. These forms need to be submitted to the Finance Department with the purchase order when purchases are less then one thousand five hundred dollars ($1,500.00).
3. 
Purchases from $1,500.01 to $3,000.00. Purchase orders for goods or services having a value of one thousand five hundred dollars ($1,500.00) to three thousand dollars ($3,000.00) must be approved by the City Administrator prior to placing an order with a vendor. Before submitting a purchase order, department heads must obtain three (3) oral quotations for the goods or services required. The quotations may be obtained over the telephone utilizing the telephone quotation form. The purchase order awarding the purchase to the lowest responsible bidder should then be forwarded to the Treasurer along with the telephone quotation form. If department heads are unable to secure three (3) telephone quotations, a notation explaining why less than three (3) qualified vendors were available should be made on the quotation form, attached to the purchase order and forwarded to the Treasurer. When seeking three (3) informal quotes, the practice of "auctioneering" should be avoided by refusing to disclose a vendor the price quoted by competitors.
4. 
Purchases from $3,000.01 to $5,000.00.
a. 
Prior to processing a purchase order to secure goods or services costing over three thousand dollars ($3,000.00), department heads must obtain three (3) written quotations. The request for quotation forms may be used for this purpose. If department heads are unable to secure three (3) written quotations, a memorandum explaining why less than three (3) qualified vendors were available, as well as a summary of quotes, should be attached to the purchase order and forwarded to the Administrator's office for approval. All purchases in excess of three thousand dollars ($3,000.00) require the Administrator's prior approval.
b. 
The request for quotation form is a four (4) page form formatted so that by completing the top form the three (3) vendor copies are properly typed. Once the vendor copies have been returned to the department, the summary section on the top copy should be completed prior to the preparation of a purchase order.
c. 
Department heads are reminded that the use of written quotation forms requires appropriate planning to insure that adequate lead time is available to satisfy the purchasing requirements. It is, of course, possible to hand carry or fax the request for quotation form to qualified vendors and obtain the three (3) quotes, complete the summary and submit a purchase order in a single day.
5. 
Purchases in excess of $5,000.00.
a. 
Department heads anticipating the purchase of goods or services exceeding five thousand dollars ($5,000.00) in value should prepare specifications based upon standards appropriate to meet the City's needs. Specifications should be forwarded to the Administrator's office for review, comment and approval. The Administrator's office will then authorize the preparation of the bid package, public notices and advertisements to meet the City purchasing policy and will also send bid invitations to qualified vendors. Department heads should submit a list of such vendors along with the specifications. A bid packet containing an invitation to bid, specifications and general bid documents will be sent to these vendors, as well as those that respond to the legal notice. Formal bids will be advertised for at least ten (10) business days prior to bid opening. After the bids are opened in public, they will be turned over to the department head for review. The department head will prepare a written tabulation of all bids and draft a memorandum to the Administrator, which will include the department head's recommendation for the bid award. All purchases over five thousand dollars ($5,000.00) must be awarded by the Board of Aldermen at a public meeting.
b. 
The award of a purchase contract will normally be made to the low bidder meeting specifications. However, there may be instances when the low bid meeting specifications is not from a responsible bidder. When such a situation arises, it is incumbent upon the department head to thoroughly document the reasons why the low bidder should be disqualified.

Section 116.040 Special Procurement Procedures.

[CC 1996 §116.040; Ord. No. 1053 §§I — III, 10-5-1998]
A. 
Occasionally the City may need to purchase goods or services under circumstances which do not clearly fit the City's procurement process or for which normal competitive shopping procedures do not apply. The following guidelines are provided with regard to making such purchases.
1. 
Sole source.
a. 
In the event that there is only one (1) vendor capable of providing a particular good or service, the competitive shopping procedures outlined in this manual may be waived by the Administrator.
b. 
Whenever a department head determines that he/she must purchase goods or services from a "sole source vendor", he/she should document why only one (1) company or individual is capable of providing the goods or services required. The documentation should be attached to the purchase order. The Administrator must approve all sole source purchases over five hundred dollars ($500.00).
2. 
Cooperative procurement programs. Department heads are encouraged to use cooperative purchasing programs. This Chapter shall not apply to purchases made through or with the State or any other governmental jurisdiction which operates a cooperative procurement program and will allow the City to purchase goods or services that the jurisdiction has made available following the completion of its own internal purchasing procedures.
3. 
Professional services.
a. 
Normal competitive procedures cannot be utilized in securing professional services such as attorneys, engineers, certified public accountants, appraisers, planners and other professional people who, in keeping with the standards of their discipline, will not enter into a competitive bidding process.
b. 
A request for proposal (RFP) can be prepared much the same way as specifications, including requirements and minimum standards for the services to be provided. RFPs should be submitted to the Administrator for review and approval prior to distribution. When an RFP for professional services is approved, a limited number of qualified professionals known to the City will be invited to submit a proposal setting forth their interest, qualifications and how they can meet the City's needs. In securing professional services it is the primary goal of the City to obtain these services from a provider who has a proven record of providing, in a professional way, those services required.
c. 
A contract will be negotiated with the professional deemed to best meet the City's needs. If an agreement on the cost and conditions cannot be reached, then these negotiations will be terminated and negotiations will commence with the next most qualified professional.
d. 
The City Administrator is authorized to approve contracts for professional services valued at under three thousand dollars ($3,000.00). A memorandum setting forth department head's recommendation should accompany a purchase order for such services. For contracts exceeding three thousand dollars ($3,000.00), Board approval is required.
e. 
For larger contracts, the department head, with the approval of the City Administrator, will prepare a "short list" of three (3) qualified professionals to be interviewed by the Board of Aldermen. The Board will select the professional with whom the City will negotiate a contract.
4. 
Open purchase orders. Open purchase orders are for long-term contracts for goods or services awarded after receiving competitive bids. The purchase order remains open for a period of up to one (1) year to purchase the goods or services specified on an "as needed" basis. Examples of open purchase orders include construction materials such as rock, concrete and asphalt, trees and other landscaping materials, automotive supplies such as gas, tires and batteries, hardware and office supplies frequently or routinely utilized by the City and for which the initiation of competitive shopping each time the goods or services are required would be cumbersome and inefficient.
5. 
Emergency purchases.
a. 
The bid procedures outlined in this manual may be waived under emergency conditions when a delay may threaten the basic mission of a department.
b. 
True emergency situations are rare. Occasionally equipment will require emergency repairs or other circumstances will necessitate purchasing which cannot await compliance with these regulations. Department heads faced with an emergency purchase are to notify the Administrator as quickly as possible.
6. 
Petty cash accounts.
a. 
Very often, there is a need for immediate availability of funds. Petty cash funds will be issued to the following departments in the amounts noted.
Finance Department: $250.00.
Police Department: $200.00.
Streets and Engineering: $200.00.
b. 
Petty cash funds should be used to avoid the time and expense of issuing purchase orders for items totaling thirty dollars ($30.00) or less. Petty cash receipts are to be completed by the person responsible for the fund in each department; these should include the amount, description of item, budget account number and signatures of the persons receiving the funds and the person issuing the funds. Petty cash funds will be replenished at least monthly.
c. 
A check will be prepared, made payable to the individual responsible for the department's petty cash. It will be that person's responsibility to cash the check and assure that the funds are placed back into the departmental petty cash fund. The Administrator and Treasurer may conduct unannounced audits of petty cash funds to assure that monies are being properly accounted for. The use of petty cash funds for personal use, even for very short periods of time, is contrary to City policy and grounds for termination.
7. 
Purchase of used equipment. New equipment is to be preferred over used equipment. However, there are situations where the purchase of used equipment should be considered. These include:
a. 
When price is of prime importance and the difference in cost between new and used equipment is significant.
b. 
Where equipment will be used infrequently, for a limited time, for training or for auxiliary operations.
c. 
When faster delivery is essential.
The purchase of used equipment requires careful shopping and the requisitioning department should make every effort to secure a minimum warranty or guarantee that the equipment will perform as needed and that service or replacement parts are reasonably available.
8. 
Change orders.
a. 
Change orders are amendments to contracts for the purchase of goods or services that are made after the contract has been awarded. Change orders result from the discovery of unforeseen conditions. Change orders may not be used to overdraw a budget account, to avoid the City's competitive bidding process or to materially alter the purpose of the original bid or contract.
b. 
The Administrator must approve all change orders. The Board of Aldermen must approve all change orders in excess of five thousand dollars ($5,000.00), change orders which increase the total purchase above five thousand dollars ($5,000.00) or change orders in excess of ten percent (10%) of the value of a contract previously awarded by the Board.
c. 
All approved change orders in contracts previously awarded by the Board will be reported to the Board in writing within three (3) business days.

Section 116.050 Specifications.

[CC 1996 §116.050; Ord. No. 1053 §§I — III, 10-5-1998; Ord. No. 1143 §I, 5-15-2000]
A. 
Formal Competitive Bidding. When goods or services are bought under formal competitive bidding process, specifications must be prepared. Specifications, regardless of the type, should do four (4) things:
1. 
Identify minimum requirements;
2. 
Allow for a competitive bid;
3. 
Be capable of objective review; and
4. 
Provide for an equitable award at the lowest possible cost.
B. 
General Guidelines.
1. 
Keep specifications as simple as possible while maintaining the exactness required to keep bidders from utilizing a loophole to avoid providing the quality of goods or services required or in another fashion to take advantage of their competitors.
2. 
Whenever possible, identify the equipment or material required with some name brand or known standard already on the market. All specifications that utilize a name brand must include the term "or equivalent" to avoid being restrictive and eliminating fair competition.
3. 
Specifications should promote competition. Specifications will normally allow several bidders to provide the City with alternatives and insure that the City obtains the lowest possible price for the goods or services required.
4. 
Flexibility in the specifications is desirable in instances where new technologies are being sought. Specifications should be specific enough to guarantee the quality required but sufficiently flexible to allow vendors to be creative in their proposals. If a proposal does not meet the City's needs, it can be rejected and the bid which closely follows the specifications accepted. These procedures should be used sparingly and department heads contemplating flexible specifications should contact the Administrator to discuss the format and degree of flexibility anticipated prior to the completion of a final draft.
5. 
Specifications should be reasonable and precise. Unnecessary precision or over use of proprietary terms is expensive.
6. 
Specifications should be written with clear, simple language, free of vague terms or those subject to variation in interpretation.
C. 
Types Of Specifications. There are several ways of structuring specifications to protect the integrity of the purchasing process and to insure that the needs of the City are met. Different methods of structuring specifications include:
1. 
Qualified products or acceptable brands list. These lists are developed only where it is not possible to write specifications adequate to identify the quality and performance required of the goods or services to be purchased. Acceptable brands lists are also used when tests necessary to determine compliance with technical specifications are lengthy, costly or require complicated technical equipment.
2. 
Specification by brand or trade name. Brand or trade names should be used where brand name products have been found to be superior to others for the purpose intended or when their composition is secret, unknown or patented. The use of brand names established a quality standard but is not intended to limit or eliminate competition. Whenever this method of establishing specifications is used, the specifications should specifically provide for bidding of competitive "or equivalent" grades. It is incumbent on a vendor who bids on goods or supposed equal quality to those specified to document that the goods or services that he/she is bidding are, in fact, of equal quality.
3. 
Specification by blueprint or dimension sheet. Specifications of construction projects for everything from buildings and streets to custom built cabinets, furniture, machines or other equipment should be written to reference the blueprints or dimension sheets prepared by the engineer or architect. Such specifications provide an appropriate method of evaluating all bids and later of verifying the quality of the construction work or the equipment or fixtures delivered.
4. 
Specifications by chemical analysis or physical properties. Specifications which include the chemical analysis or physical properties of the goods requested clearly place responsibility on the supplier to provide exactly those items requested. Care must be taken in preparing specifications utilizing this method to insure that competition remains a part of the bidding process. If the specifications are drawn too narrowly and only one (1) bidder is qualified to meet the technical specifications, the cost of obtaining these items may be higher than necessary due to the lack of competition.
5. 
Specifications by performance, purpose or use.
a. 
Specifications which include a set of performance criteria for the goods or services required will provide flexibility for vendors to design products or programs specifically aimed at meeting the purpose or performance standards the City has established. Generally, specifications which center on performance standards generate greater competition since they allow vendors to exercise creativity in the types of services or goods included in their bids.
b. 
Department heads are cautioned to exercise care by including technical specifications which will provide a floor or bottom line quality determination. The use of performance specifications without minimum standards could result in items being installed, paid for and later determine not to meet City expectations. It can then be very difficult to go back to a vendor and argue that the item bid did not meet the performance criteria established. At that point the determination of satisfactory performance can become extremely subjective, with the vendor insisting that his/her item is acceptable even though actual experience indicated otherwise.
6. 
Specification by identification with industry standards. Specifications will often refer to industry-wide standards or to standards set by other public jurisdictions. Some examples of these would be lumber grading, standards set by the asphalt or concrete industries or by referencing standard specifications of the Missouri Department of Transportation or other State or Federal agencies.
7. 
Specifications by samples. Whenever appropriate, a sample is a good way to make requirements perfectly clear. A good example is printing bids for which work or an existing form is attached. Whenever samples are utilized, department heads should provide an adequate supply so that originals can be sent with all bid invitations to vendors who request bidding documents.
D. 
Standard Insurance Requirements. All specifications for work to be performed for the City shall contain the following requirements and each contractor performing any work for the City shall have in full force and effect during all times of performance insurance for the following matters which are written with a reputable insurance company licensed to do business in the State of Missouri and acceptable to the City, to wit:
1. 
Worker's Compensation and employee benefit acts per State Statutes;
2. 
Public liability of not less than one million dollars ($1,000,000.00);
3. 
Bodily injury damage of not less than one million dollars ($1,000,000.00);
4. 
Property damage of not less than two hundred fifty thousand dollars ($250,000.00);
5. 
Casualty and builders risk not less than the fair market value of the improvement; and
6. 
Motor vehicle insurance of bodily injury not less than one million dollars ($1,000,000.00) and property damage not less than two hundred fifty thousand dollars ($250,000.00).
All contractors shall provide the City with a certificate issued by the insurance company evidencing such insurance to be in full force and effect during all times of any work and said policy shall be written to ensure the City and the contractor and shall contain a provision that same may not be cancelled without prior written ten (10) day notice to the City.

Section 116.060 Purchase Orders.

[CC 1996 §116.060; Ord. No. 1053 §§I — III, 10-5-1998]
A. 
The City Purchase Order Form must be completed by entering the necessary data via computer terminal and signed by the department head under the procedures established in this manual. In order to insure expeditious processing of purchase orders it is important that all forms are completed accurately by the requisitioning department.
B. 
A purchase order is a contract between the City and a vendor. The contract is not binding until it is accepted by the vendor. The issuance of purchase orders by unauthorized individuals will not be recognized by the City and payment of these obligations will not be approved. Unauthorized purchases are classified as personal expenses.
C. 
Purchase orders are classified as either "original" or "confirming" based on whether or not the vendor has previously been notified of the City's intent to purchase goods or services from him/her. Confirming purchase orders are used to prevent double purchasing of the same item. The use of confirming purchase orders should be minimized.

Section 116.070 Delivery and Performance.

[CC 1996 §116.080; Ord. No. 1053 §§I — III, 10-5-1998]
A. 
A contract or purchase order that is complete in all respects and that is accepted by the parties concerned still must produce the intended results or objectives before it can be considered a successful or completed purchase. The terms and conditions must clearly define the delivery and performance requirements of the services, supplies or equipment.
B. 
The importance of the delivery schedule should be emphasized to the vendor. Delivery requirements must be clearly written and fully understood by all contract participants. If several items are required by the contract, there may be a different delivery schedule for each item. The delivery schedule will normally be shown in calendar days from a specific date or transaction, such as receipt of order by the vendor. It is also important that you clearly show the place for delivery and the receiving time schedule at the delivery points. If there are liquidated damages for non-delivery or late delivery, call these terms to the attention of the vendor and stress their importance. All parties should know where the material will be accepted — f.o.b.(free on board) origin or destination. The f.o.b. location is where title to the goods passes from the vendor to the City. Generally, the f.o.b. location will be City Hall or a job site.
C. 
Follow-Up And Expediting. Follow-up is the monitoring of the delivery schedule to assure compliance. Expediting involves an attempt to improve or to reduce the contractually stipulated delivery time for various reasons and the vendor is not legally obligated to comply.
1. 
The primary objectives of the follow-up function are:
a. 
To assure compliance by the vendor, and
b. 
To develop documentation for future evaluation of the vendor's performance.
2. 
The early detection of possible delivery delays will provide the City with a greater opportunity for resolving the problem and for developing satisfactory alternatives.
3. 
The initial follow-up action would be to reaffirm the delivery schedule and to establish a proper liaison with the seller's representative.
4. 
If delivery problems do develop, there are techniques that may be used to help solve them:
a. 
Contact the salesman for assistance.
b. 
Initiate collect phone calls. (Fax for letters may also be used.)
c. 
Visit the vendor's plant. This might help solve the problem and will assist in verifying any reasons for the delay.
d. 
Cancel the contract for non-performance.
5. 
Delinquent deliveries. When follow-up efforts have failed and deliveries have become delinquent, one (1) of two (2) actions must be taken:
a. 
Authorize additional time for delivery; or
b. 
Cancel and order from other sources.
In making the decision as to which of these actions should be taken, several factors must be considered:
a.
Needs and requirements of the City;
b.
Agreements with the vendor;
c.
Availability of the items from other sources; and
d.
The time it would take for delivery if reordered from another source.
In all cases, the reasons for delinquent deliveries should be documented. This information may be needed in evaluating future bids submitted by that vendor.
6. 
Partial deliveries. Some purchase orders may list several items. In this event it may be possible for the vendor to complete timely delivery on some of the items, which would be referred to as "partial deliveries" on the complete bid. If these items can be used separately, partial payments can and should be authorized. However, if the separate items are part of a system, then parties deliveries would be of little value to the City. In this case, partial payments should not be authorized.
7. 
Substitution.
a. 
To meet the contractual delivery schedule, it may be appropriate in some situations to consider substitute items. The specifications should cover this eventuality and would govern the legality of the transaction. However, substitutions may be necessary, regardless of the specifications, if it is absolutely necessary for the City to have the material by a specified date. Other reasons for substitution may be design changes, raw material shortages or health and safety priorities.
b. 
Whenever substitutions are necessary, due to shortcomings of the vendor, it is the responsibility of the purchaser to seek and obtain an adjustment for lower prices on the substituted items. This action will serve to meet the legal requirements of the contract and to discourage future substitutions by the same vendor. In addition, this action will serve notice on the other bidders that no favoritism was shown and that compliance with specifications is expected from all vendors.
8. 
Non-performance.
a. 
Should the vendor fail to meet any requirement of the specifications, the vendor can be cited for non-performance. The seriousness of non-performance must be evaluated based on the circumstances surrounding each violation. However, there should always be some recourse to the City when a vendor fails to perform in accordance with the terms and conditions of a contract.
b. 
These recourses include:
(1) 
The City may exercise its rights under a liquidated damages clause or under the terms of a performance bond.
(2) 
The City may obtain the needed items from another source and charge the delinquent vendor the excess difference in cost. However, obtaining the delinquent items from another source is not always an acceptable solution, since additional delivery time may be required. A revised delivery schedule with the vendor may be the best remedy.
(3) 
The City may terminate the contract for default if it is in the best interest of the City and provided that the items can be obtained under more favorable conditions from other sources.

Section 116.080 Inspection and Testing.

[CC 1996 §116.090; Ord. No. 1053 §§I — III, 10-5-1998]
A. 
Human lives as well as the success of expensive projects may depend upon how well the purchased items meet design and performance specifications.
B. 
Goods and materials should be checked at the time of receipt to detect any damage or defects. Inspection also includes assuring that the material is in compliance with the specifications.
C. 
A variety of tests may be conducted to determine if the merchandise meets specifications. Certain forms of inspection and testing will only be conducted on a percentage of the items, as the procedure may make the items unusable. Inspecting/testing every item received is neither economical nor practical.
D. 
Inspection and testing may be performed at origin or destination. These tests are classified as sampling, chemical/lab, functional and endurance tests. In some cases a certification of compliance will be accepted.
E. 
All requirements for inspection and testing must be clearly stated in the specifications.
F. 
Both inspection and testing are costly, but the benefits far outweigh the expense when defects can be detected before they cause the loss of life, injury or equipment failure.
G. 
Inspection, testing and acceptance are conclusive, except for latent defects or fraud.
H. 
Reports, Rejection And Return Authorization.
1. 
Whenever an inspection is performed, all reports to properly support claims or actions must be thoroughly documented. Sufficient time should be scheduled to allow for an inspection immediately upon arrival of the goods, taking into consideration required tests as necessary.
2. 
Goods should be inspected for damage, quantity, quality, price and for all other requirements listed in the specifications. A copy of the inspection report will normally be used to substantiate payment for the goods and verification of receipt.
3. 
In the event of rejection, for whatever purpose, certain steps must be taken to inform and to protect the rights of the vendor as well as of the City. Reasons for rejection must be listed and these reasons should reference specific requirements of the contract.
I. 
Damage During Shipment.
1. 
One of the major reasons for inspection at the time of receipt is to detect any visible damage. It's important that all damage be completely described on the receiving report. Any evidence of concealed damage should also be noted at this time. The carrier should be notified immediately and a joint inspection should be scheduled with the carrier's representative.
2. 
When it is apparent that the extent of the damage causes the goods to be worthless, they should not be accepted. If the shipment is "f.o.b. destination", the vendor is responsible for assisting with the settlement of the claim and for full replacement of the damaged items. Payment will be withheld until the claims are settled.
J. 
Latent Defects.
1. 
Latent defects may be the result of damages in transit or of failure of the manufacturer to conform to specifications. Consequently, it is sometimes very difficult to fix responsibility for the defective material. If the carrier is suspected to be the one at fault, then the carrier's representative should be invited to come in for a joint inspection. Subsequently, a claim describing the situation should be filed with the respective carrier.
2. 
A similar procedure should be followed if the vendor/manufacturer is suspected to be at fault. The importance of "f.o.b. destination" shipments should be reiterated at this point, for on such shipments, the vendors are responsible for rectifying the situation or for correcting the defect. If specific liability for the defect cannot be determined between the carrier, the vendor or the manufacturer, the City may have to file a claim against all parties seeking their cooperation in resolving the situation.

Section 116.090 Disposal of Surplus Goods.

[CC 1996 §116.100; Ord. No. 1053 §§I — III, 10-5-1998]
A. 
Goods become obsolete or they wear out. Occasionally they are overstocked. Changing technology, accumulation of "waste" and fulfillment of the "useful" life of goods make the disposal of surplus inevitable.
B. 
The City is interested in full realization of the value of goods it purchases and disposes of.
C. 
Competitive selling of surplus, obsolete or usable goods is required. This may be achieved through sealed bids, auction or open market sales. The disposal of all goods requires the approval of the City Administrator and documentation by memorandum of the sale price, method of sale and purchaser of the goods.
D. 
The sale of City property valued in excess of three thousand dollars ($3,000.00) requires approval of the Board of Aldermen.

Section 116.100 Purchase of American Products.

[CC 1996 §116.110; Ord. No. 1053 §§I — III, 10-5-1998]
A. 
It is the policy of the City to encourage the purchase of products manufactured, assembled or produced in the United States if the quality and price are comparable with other goods. On purchases in excess of one thousand dollars ($1,000.00), department heads should give preference to the purchase of American products over foreign products of comparable quality and price. Requests for quotations and specifications will be used to inform bidders of the policy and to ascertain whether the item proposed to be purchased is a product of the United States.
B. 
Every contract for public works construction or maintenance in excess of one thousand dollars ($1,000.00) shall contain the following provision: "The contractor is requested to use American products in the performance of this contract whenever the quality and price are comparable with other goods".

Section 116.110 Purchase of Recycled Products.

[CC 1996 §116.120; Ord. No. 1053 §§I — III, 10-5-1998]
It is the policy of the City, where economically feasible, to purchase office supplies made of recycled materials, preferably post-consumer, and to make every effort to separate and properly dispose of recyclable materials.

Section 116.120 Conflicts of Interest.

[CC 1996 §116.210; Ord. No. 1053 §§I — III, 10-5-1998]
A. 
Any purchase order or contract within the purview of this Chapter in which the purchasing agent or any officer or employee of the City is financially interested, directly or indirectly, shall be void, except that before the execution of a purchase order or contract, the Board of Aldermen shall have the authority to waive compliance with this Section when it finds such action to be in the best interests of the City.
B. 
The agent and every officer and employee of the City shall not directly or indirectly solicit any gift or accept or receive any gift, whether in the form of money, services, loans, promises or any other form, under circumstances in which it could reasonably be inferred that the gift was intended to influence them, or could reasonably be expected to influence them, in the performance of their official duties or was intended as a reward for any official action on their part.

Section 116.130 Safety Training Requirements.

[Ord. No. 1645 §I, 10-19-2009]
A. 
Any project with contractors or subcontractors as those terms are defined in Section 292.675, RSMo., requires on-site employees to complete a ten (10) hour course in constructions safety and health approved by the Occupational Safety and Health Administration (OSHA) or similar program approved by the Missouri Department of Labor and Industrial Relations which is at least as stringent as an approved OSHA program. The training must be completed within sixty (60) days of the date the work on the project commences. On-site employees found on the worksite without documentation of the required training shall have twenty (20) days to produce such documentation.
B. 
The request for bids for such projects shall specify the requirements of Section 292.675, RSMo.
C. 
The contract awarded for this project shall specify the requirements of Section 292.675, RSMo., and shall include a notice of the penalties for the contractor or subcontractor's failure to comply with that Statute as set forth in Section 292.675, RSMo.