This is a request for City Council to adopt an Ordinance creating Chapter 26 (Procurement) and amending various sections of the Peoria City Code.

As discussed at the January 24, 2017 Council Study Session, City staff began a comprehensive review of the City Code in July 2016.  A comprehensive review of the City Code has not been completed for many years.    As a result of the review, staff is recommending that the arrangement of the code chapters be changed to reflect a systemic order.   Staff is recommending that a City Code Chapter 26 be created to focus on procurement laws.  Procurement issues are currently part of Chapter 2 (Administration). It will be removed from that chapter to create a chapter focuses solely on procurement.   

Many of the edits in this Chapter removes language on topics that will be placed in City Procurement Guidelines.  The topics are not required in a City Code, as they are not laws, but are more appropriately placed in department guidelines.  The topics that are being removed from the city code and placed in City Procurement Guidelines include:

• Statement on procurement general policy
• Confidential information in documents
• Authorization for the Use of Electronic transmission
• Duties of the Materials Manager monitoring use of specifications
• Procurement inspections
• The right to audit records
• Prequalification of suppliers
• Substantiation of offered prices
• Multi year contracts
• Retention of professional services
•  Pool stock

Other changes to the procurement code include:

• The definition for immediate family is being amended to include a partner in a civil union and step children residing in the person’s household.
• Due to the increase of cost of equipment and contracts, the dollar amount for limited/single source procurement and small dollar purchase procedures is being proposed to be increased from $50,000 to $100,000.  Several valley cities have also increased this dollar amount to $100,000.  Small dollar Procurement Guidelines will still require that three bids be obtained for purchases less than $100,000.  Formal bidding requirements will apply to any purchases over $100,000.
• The definition for the sale, lease or disposal of surplus has been modified to reflect current state and federal law on the sale and disposal of firearms and the disposal of deadly weapons, dangerous instruments and explosives.

Council Study Session on January 24, 2017

A: Approve the adoption of the Ordinance creating Chapter 26 (Procurement) and amending various sections of the Peoria City Code.

B: Do not approve the adoption of the Ordinance creating Chapter 26 (Procurement) and amending various sections of the Peoria City Code.

Discussion and possible action to adopt ORD. 2017-08 creating Chapter 26 (Procurement) of the Peoria City Code (1992 Edition) pertaining to procurement and amending various sections.