[Adopted 7-21-2010 by Ord. No. 8-2010]
When directed by Council, or required by the laws of the Commonwealth of Pennsylvania, supplies, material, equipment and contractual services shall be purchased by formal written contract from the lowest responsible bidder, after due notice inviting proposals.
Notice inviting bids shall be advertised as required by law. The required advertisement shall include a general description of the supplies, materials, equipment and contractual services to be purchased, state where the bid bonds and specifications may be secured, and the time and place for opening bids.
All bids by a contractor or general contractor in response to an invitation for bid for a contract to perform an improvement shall comply with the following:
All bids must be submitted on forms supplied by the City and shall be subject to all requirements of the contract documents, including any drawings, technical specifications and instructions to bidders. All bids must be regular in every respect and the bidder shall make no interlineations, excisions or special conditions on the bid form. All bids shall be contained within an inner, sealed envelope, and shall be submitted in an exterior envelope, clearly marked "Bid."
The City may consider as irregular any bid on which there is an alteration of, or departure from, the bid form attached to the contract documents, and at its option may reject the same.
The bid must be accompanied by a bid guaranty which shall not be less than 10% of the total amount of the bid, including all items of overhead. At the option of the bidder, the guaranty may be a certified check, bank draft, negotiable U.S. government bonds (at par value), or a bid bond in the form attached to the contract documents. The bid bond shall be secured by a guaranty or surety company listed in the latest issue of U.S. Treasury Circular 570. The amount of such bid bond shall be within the maximum amount specified for such company in said Circular 570. No bid will be considered unless it is accompanied by the required guaranty. Certified check or bank draft must be payable to the order of the City of Monessen. Cash deposits will not be accepted. The bid guaranty shall insure execution of the agreement and the furnishing of a surety bond or bonds by the successful bidder, all as required by the contract documents.
Revised bids submitted before the opening of bids, whether forwarded by mail or telegraphic means, if representing an increase in excess of 2% of the original bid, must have the bid guaranty adjusted accordingly; otherwise the bid will not be considered.
Certified checks or bank drafts, or the amount thereof, bid bonds, and negotiable U.S. government bonds of unsuccessful bidders will be returned as soon as practicable after the opening of bids.
To protect the interests of the City, a performance bond in the amount of 50% of the proposed contract shall be required from the successful bidder before entering into a contract. If such bond is not provided within 10 days after the award of such bid, the award shall be void.
The contractor also shall furnish such other bonds or insurances as may be required by federal or state law, and the City of Monessen ordinance specifications. The amounts and types of these bonds and insurances shall be set forth in the bid specifications.
No alternative bids will be considered unless specifically requested by the City.
Each bidder submitting a bid to the City for any portion of work contemplated by the documents on which bidding is based shall execute, and attach thereto, an affidavit substantially in the form provided by the contract documents for each project, to the effect that he/she has not entered into a collusive agreement with any other person, firm or corporation in regard to any bid submitted.
Before executing any subcontract, the successful bidder shall submit the name of any proposed subcontractor for prior approval and an affidavit substantially in the form provided in the contract documents for the project.
Bids received by the City prior to the advertised time of opening will remain sealed. The officer whose duty it is to open them for the City will decide when the specified time has arrived, and no bid received thereafter will be considered; except that, if a bid that arrives by mail or commercial carrier after the time fixed for opening, but before completion of the opening of all timely-received bids, and the City officer charged with opening the bids, in its sole discretion, concludes in his or her discretion that the bid's untimely arrival was due solely to delay in delivery for which the bidder was not responsible, the officer will open and consider that bid.
At the time and place fixed by the City for the opening of bids, the City will cause to be opened and publicly read aloud every bid received within the time set for receiving bids, irrespective of any irregularities therein. Bidders and other persons properly interested may be present at the opening, in person or by representative. A tabulation of all bids received shall be made available for public inspection.
A bidder may withdraw a bid in writing, and may transmit the withdrawal to the City in person, by mail or delivery service, facsimile or electronic means. To withdraw a bid, the written withdrawal must be received by the officer of the City charged with the duty to open bids, prior to the time fixed for opening. The City will promptly return the bid guaranty of any bidder who has withdrawn his/her bid in accordance with the foregoing conditions.
The City will award to the responsible bidder who has submitted the lowest bid which complies with the conditions of the invitation for bids. The bidder to whom the award is made will be notified at the earliest possible date. The City, however, reserves the right to reject any and all bids, and to waive any informality in bids received whenever such rejection or waiver is in its interest.
The City reserves the right to consider as unqualified to do the work required in the improvement any bidder who does not habitually perform with his own forces the major portions of the work involved in each respective project.
When the award is not given to the lowest bidder, a full and complete statement of the reasons for placing the contract elsewhere shall be placed in the minutes of the Council meeting at which such award is made.
If two or more of the lowest bids received are for the same total amount or unit price, quality and service being equal, the contract shall be awarded to a local bidder. Where the decision can be made in no other way, the contract shall be awarded to one of the tie bidders by drawing lots in public.
The City shall award a contract at a public meeting of Council following the bid opening.
Within the time specified in the invitation to bid, the contractor shall execute and deliver to the City the required bonds and agreement in the form included in a project's contract documents.
The successful bidder shall, within the period of time specified in Subsection A herein, furnish a surety bond in a penal sum of not less than the amount of the contract as awarded, as security for faithful performance of the contract, and for the payment of all persons, firms or corporations to whom the contractor may become legally indebted for labor, materials, tools, equipment, or services of any nature, including utility and transportation services, employed or used by him/her in performing the contract. Such bond shall be in the form specified in the contract documents, and shall bear the same date as, or a date subsequent to, that of the agreement. The current power of attorney for the person who signs for any surety company shall be attached to the bond. This bond shall be signed by a guaranty or surety company listed in the latest issue of the U.S. Treasury Circular 570, and the penal sum shall be within the maximum specified for such company in said Circular 570.
The failure of the successful bidder to execute such agreement and to supply the required bond or bonds within the time required after the award of the contract (or within such extended period as the City may grant), based upon reasons determined sufficient by City Council, shall constitute a default, and the City may award the contract to the next lowest responsible bidder or readvertise for bids. Regardless of the option the City chooses, the City reserves the right to charge the defaulting bidder the difference between the amount of the defaulting bidder's bid and the amount for which a contract for the work is subsequently executed, irrespective of whether the amount thus due exceeds the amount of the bid bond. If the City receives a more favorable bid by readvertising, the defaulting bidder shall have no claim against the City for a refund.
Bidders are required to ensure that employees and applicants for employment are not discriminated against because of their race, color, religion, sex or national origin. See Section 201 of the Federal Labor and Standards Provisions of the U.S. Department of Housing & Urban Development included in a project's bid specifications.
The provisions of this article shall not apply to those contracts with the City which are funded, in full or in part, by Community Development Block Grant (CDBG), HOME Program, and Emergency Shelter Grant Program. The requirements for contract bids involving those funds are set forth in the following plans of City:
It is the intention of Council that no provision of this article conflict with any provision of the Third Class City Code. In that event, the applicable provision of the Third Class City Code shall control.