HomeMy WebLinkAboutIR 9980 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9980
To the Mayor and Members of the City Council January 24, 2017
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Y Page 1 of 2
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rrn SUBJECT: ELECTRONIC RECEIPT OF BIDS AND PROPOSALS FOR
CONTRACTING AND PURCHASING
The purpose of this Informal Report is to outline proposed changes to the City's bid and proposal
receipt process that are intended to increase efficiency, effectiveness, inclusion and
transparency.
On January 31 , 2017, the City Council will be presented with a resolution establishing the rules
required under State Law to allow the City Manager to receive bid and proposal responses
through electronic means. Currently, hardcopy paper bids or proposals sealed in adequate
containers (such as envelopes or boxes) are required for any procurement valued over $50,000.
The resolution and associated rules will establish the City's policies and procedures for receipt of
electronic solicitations and ensure the identification, security, and confidentiality of electronic bids
or proposals is sufficiently managed until the proper time. These rules shall apply to all bids and
proposals including those that are greater than $50,000 which utilize electronic bidding, as
provided by Section 252.0415 of the Texas Local Government Code, as amended, effective
September 1 , 2001. This amendment authorized municipalities and counties to electronically
receive sealed bid and proposal responses from suppliers. Electronic bidding will be used in
addition to the City's traditional bidding processes.
Electronic solicitation (e-bidding) is the term used to describe electronic methods of providing
solicitation notifications and receipt of quotations, bids or other types of solicitations electronically.
An e-bidding system allows vendors or contractors to submit solicitation responses through
electronic means, instead of submitting hard copies of the responses.
The City will have the ability to receive electronic responses through our procurement technology
system. There will be no cost to vendors or contractors to register to participate, view
solicitations, or respond to solicitations. No special hardware or software is required, only an
Internet browser and Internet access. Registration in the software system and establishment of a
unique user identification number (ID) and password will be required.
To ensure the security of bids and proposals that are submitted through electronic transmission,
the software system used for receiving bids and proposals will require the input of a valid Vendor
ID or Buyer ID and password. The systems will keep all passwords, bids, and proposals
encrypted.
Solicitations that include Invitations to Bid and Requests for Proposals will be advertised and
issued in the current manner. A notification will be added to the solicitations stating that vendors
or contractors may submit responses electronically with the appropriate electronic address listed.
Immediately after the deadline to submit bids on the day of the public bid opening and reading, a
password-enabled employee of the Purchasing Division will open, download, and print the bid
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 9980
To the Mayor and Members of the City Council January 24, 2017
3-
Y Page 2 of 2
*a
rrn SUBJECT: ELECTRONIC RECEIPT OF BIDS AND PROPOSALS FOR
CONTRACTING AND PURCHASING
tabulation summaries from the system The printing operation will occur in the controlled
environment of the Purchasing Division.
Per Texas Local Government Code, Section 271.0065(c), paper copies of bids and proposals will
continue to be accepted.
Enabling the use of electronic bid and proposal receipt will encourage increased vendor and
contractor responses. It is easier and more convenient to prepare a solicitation response
electronically, as opposed to completing, printing and mailing or hand delivering a bid or proposal.
The additional time available to vendors and contractors to prepare responses is the key
advantage in this process. Also, the public bid openings conducted by the Purchasing Division
should flow more smoothly with bid tabulations automatically prepared upon opening.
The proposed changes do not affect the Business Diversity Enterprise Ordinance. The
M/S/WBEs will still be invited to bid on all requests over $3,000, and the Office of Business
Diversity will still set participation goals or issue waivers for all requests valued over $50,000.
Staff will be recommending that the proposed changes be effective March 1 , 2017 to allow time to
update the City solicitation processes, as well as educate City employees, vendors and
contractors of the changes.
The option to use electronic bidding for construction projects is not expected to be available until
later in the year. This timeline will allow more time for the vendor and contractor community to
become familiar with the process. City staff will provide information and training to vendors and
contractors in March and April of 2017 as well as further informational sessions as needed.
If you have any questions, please call Aaron Bovos, Chief Financial Officer, at 817-392-8517, or
Jack Dale, Purchasing Manager, at 817-392-8357.
David Cooke
City Manager
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS