Title
Approving the first amendment to the City of Pflugerville Purchasing Policy.
Summary
The proposed Purchasing Policy amendments, shown in the redlined version of the document attached to this agenda item, are intended to provide greater transparency, ensure compliance with state law, and increase operational efficiency.
A summary of the material changes include:
• Contracting authority for department directors increased from $3K to $25K.
• "Request for Quotes (RFQ)” has been replaced with “Informal Quotes” to not be confused with “Request for Qualifications.”
• Purchases over $50,000 section includes an amendment to delegate to the City Manager the authority to approve routine purchases of bulk materials used in normal operations and facility maintenance.
• Professional Services has been moved to a later section and updated to align with state law. The amendment will remove the requirement to follow the request for qualification two-step process that was approved in 2002 by Council in addition to state purchasing requirements. This amendment would repeal prior resolutions and streamline the process required to hire professional services firms for architects, engineers, and surveyors allowing user departments to select firms based on qualifications and negotiated fees.
• A section for performance bond requirements for construction projects has been added for greater transparency and state law compliance. Performance bonds are solely for the protection of the City.
• A modification regarding Alternative Delivery Methods, as provided by state law, has been proposed for Council to delegate authority to the City Manager or authorized designee the approval of Alternative Delivery Methods to provide the best value to the City. This would streamline the required steps to initiate formal proposals for construction projects. Alternative delivery methods include construction manager at risk, design build, or best value competitive sealed bid, for example.
• A section for electronic bidding has been incorporated to include language previously approved by City Council by resolution in May 2021. This proposed amendment would consolidate purchasing related items into a single policy.
• The Authorized Purchases List includes a proposed amendment to eliminate the maximum purchase amount for items listed on the Authorized Purchases List. All purchases would be required to be listed individually for approval in the budget process.
Resolutions to be repealed upon adoption of the amended purchasing policy:
• 222-02-05-28-4D Resolution of the City of Pflugerville, Texas adopting a policy regarding the procurement of professional services. 234-02-06-25-4P - 1st amendment June 2002; and 1079-08-02-12-9A - 2nd amendment Feb 2008.
• 1861-21-04-13-0850 Resolution of the City of Pflugerville, Texas regarding the City Manager’s authority to contract for expenditures. April 2021
• 1879-21-05-25-0875 Resolution of the City of Pflugerville, Texas adopting rules for the receipt of electronic bids and proposals in accordance with section 252.0415 of the Texas Local Government Code. May 2021.
Prior City Council Action
April 13, 2021 - Resolution adopting the Purchasing Policy
April 13, 2021 - Resolution regarding Authorizing Purchases List with delegated authority to the City Manager.
May 25, 2021 - Resolution authorizing electronic bids and established rules
May 28, 2002 - Resolution adopting policy regarding procurement of professional services, amended June 25, 2002, and Feb. 12, 2008
Deadline for City Council Action
Action requested on October 25, 2022.
Funding Expected: Revenue __N/A__ Expenditure __ N/A __
Budgeted Item: Yes __ No __ N/A __
Amount: _N/A_______
1295 Form Required? Yes __ No _X_
Legal Review Required: N/A __ Required _X_ Date Completed: _10/18/2022______
Supporting documents attached:
Resolution
Amended Purchasing Policy
Amended Purchasing Policy Redline
Recommended Action
Approve the first amendment to the City of Pflugerville Purchasing Policy.