HomeMy WebLinkAboutIR 7186 INFORMAL REPORT TO CITY COUNCIL MEMBERS No 7186
May 7, 1987
4"® To the Mayor and Members of the City Council
RENO Subject: STAFF ANALYSIS OF C.P. 129, "ADDITIONAL PURCHASING/
CONTRACTING POLICIES
This proposal is in response to a Council request that the City Manager
develop policies which will accomplish the following:
1. All purchase orders and/or contracts which contain products or design
specifications which tend to limit or preclude competition between
products or competition among suppliers will be identified and a
rationale for such lack of competition presented.
2. All purchases and/or contracts in any dollar amount which tend to limit
or preclude competition will be presented to the City Council for
approval.
The Purchasing Manager estimates that approximately two-thirds of the 10,000
- 15,000 requisitions processed annually involve some limitations on
competition. Such purchases include the following:
a. Purchases with any specifications
b. Sole source products
c. High priority purchases
d. Purchases for materials which must be compatible with existing
equipment
Precise implementation of the procedures proposed in C.P. 129 would require
additional purchasing staff to monitor and prepare M & C's and would greatly
increase the number of M & C's to be reviewed by Council . Therefore, staff
has developed the following alternative procedures for Council consideration.
Presently any purchase of $5,000 or greater is submitted to the City Council
f or approval . For these purchases, it is proposed that a new section be
added to the M & C under the caption, Comments on Specifications. This
section would identify clearly for Council any requirements having an effect
on competition. Examples of how this section would have appeared on two
recent M & C's from Purchasing are presented on Attachments A and B. The
Water Department and Transportation/Public Works Department have also
provided examples related to this proposal , and they are included as
Attachments C, D, and E.
For those purchases under $5,000 but greater than $250 which are not
submitted to the Council for approval , it is proposed that the same rationale
as that presented to Council for larger purchases be recorded and retained as
part of the purchasing record. This information would be available for
review by the Purchasing Manager as well as for periodic audits, and any
unjustified limitations on competition would be included as audit comments.
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 7186 R.2
To the Mayor and Members of the City Council May 7, 1987
us
Subject: STAFF ANALYSIS OF C.P. 129, "ADDITIONAL PURCHASING/
CONTRACTING POLICIES"
A statement of the City's commitment to competitive bidding practices and
more detailed procedures for accomplishing the above proposals will be
included in a new Purchasing Manual to be distributed in June.
Council review of these alternative procedures is requested. If additional
information is required, please let us know.
Douglas Harman
City ManpagerL�4D
DH/sf
nn
Attachments
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS