Successful Procurement for Small Equipment Presented to CalACT Fall - PowerPoint PPT Presentation

Successful Procurement for Small Equipment Presented to CalACT Fall Conference 2010 Janeen Burlingame, City of Morro Bay 805.772.6263 jburlingame@morro-bay.ca.us

Keys to a Successful Procurement • Follow your local agency purchasing policy  If you are uncertain about policy or policy is unclear, ask for clarification • Follow your grant agency’s purchasing policy  If you are uncertain about policy or policy is unclear, ask for clarification • Develop detailed specifications  Apples to apples, not apples to bowling balls

City’s Purchasing Policy • To bid or not to bid?  Purchases $4,999 and under - no bid required  Purchases $5,000 to $34,999 - informal bid  Purchases $35,000 and over - formal bid • If unclear or uncertain about policy, clarify with your appointed purchasing agent

City’s Purchasing Policy • Informal Bid  Purchases between $5,000 and $34,999  Based on minimum of 3 quotations (wherever possible)  Quotations can be by phone or in writing  Award to lowest quotation Tip: Document, document, document

Informal Bid -Communications Project • Purchase vehicle radios and base station  Estimated project cost $8k - do informal bid  Developed specifications*  Specifications and bid form sent to 3 vendors for quotes  Awarded to lowest quotation *Be as detailed as possible so when doing cost comparison, you have apples to apples, not apples to bowling balls.

City’s Purchasing Policy • Formal Bid  Purchases $35,000 and over  Submit sealed bids  Notice inviting bids - include description of item(s) to purchase, due date/bid opening date  Bidder’s security - may or may not be required  Rejection of bids - may reject bids and re-advertise  Award contract to lowest responsible bidder Tip: Document, document, document

Formal Bid - Vehicle Purchase • Purchase replacement trolley  Estimated project cost $165,000 - formal bid  Developed specifications for CalTrans approval (grant requirement)  Invitation for Bid sent to trolley manufacturers, noticed in newspaper and on City transit website  Bid opening form completed as bids opened  Evaluation of bids by maintenance and transit staff; determine if request for approved equal to specs are granted  Recommendation of award to CalTrans for approval  Council awarded contract to lowest responsible bidder

In the End… After the procurement process is complete, you want to be able to defend your recommendation to award. • Did you follow your agency’s purchasing policy? • Did you follow the grant agency’s purchasing policy? • Did you document the process throughout? • Were you specifications detailed enough so your cost analysis compared like items? • For any request of an approved equal to a specification, did you document why the request was approved or denied? Since 1995, City has gone through 3 procurements for trolleys and 1 communications equipment procurement without a single formal protest to the FTA.