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<br />~ <br />aye <br />'ate <br />Vis <br />)ur. <br />by <br />lof <br />ern- <br />,ich <br />Ides <br />iUP' <br />rod- <br />and <br />con. <br />ined <br />De- <br />reet, <br />:osts <br />nent <br />rams <br />.mor <br />ana- <br />:lject <br />t the <br />p.to- <br />and <br /> <br />nents <br /> <br />s; <br />and <br /> <br />_25-92 WED 15:19 EXECUTIVE SECRETARIAL <br />, <br /> <br />- <br /> <br />P.04 <br /> <br />. <br /> <br />Purchasing <br /> <br />" <br /> <br />Municipal employees usually determine the sup. <br />ply and selViee requirements of the municipality. <br />The governing body will be directly concerned <br />when a requirement is unusual or involves a large <br />sum of money. <br />There is no general statutory requirement that <br />municipalities use competitive bidding in purchas- <br />ing supplies C~ services, although municipalities <br />may provide by ordinance that supplies shall be <br />furnished by contract to the lowest bidder." When a <br />substantial amount of money is involved in a pro- <br />posed purchase. however, competitive bidding <br />should be used so that the lowest possible bid can <br />be achieved as a result of competition. In markets <br />with few suppliers of the desired product, bidding is <br />not as likely to increase competition and may not <br />result in the lowest possible price. For a few types of 3-7. Awarding the contract <br />projeCts. competitive bidding is statutorily rc- The governing body" may. in most instances. . <br />quired." either award the contract or refuse all bids, as there <br />~C.~s1:atutOryic;ties, (but.;,!~.in:.;s;t~ns)f is no general Colorado law that requires a municipal- <br />:s~tut~Jequi!Et;"th~h-~?t~~done."b.y~cl;les.)!'"th~~"3'~. ity to accept the lowest bid or any other bid. The <br />.i:.~(!.strl:'ction.of publlf.J!TIP.r.().'!~!!"!l!nt~cc9~t!ng.S.5..Qp.,o.:...:. governing body would become obligated to accept <br />o.r.!TIor~be- done:~y ~on~ract to the. lowest respo~:'. one of the. ~ids only if specifically required by <br />.Jible' bidder o.n open 'blds after ample.adv.e~!s!!; statute, or If It had an ordinance to that effect or <br />~.!!nt, It is unlawfulto'oivide projects to evade"ffii.s: placed such a limitation in its invitation for bids. The <br />biddil1g:requlrement." _.. _'0' .. _.., governing body should reserve the right to reject <br />-- any and all bids, because it may find all the bids too <br />3-5, Specifications high or too c1ose,l' <br />Specifications outlining the requirements to be Authorities differ as to the proper criteria to be <br />followed in bidding and providing the details of the followed in accepting a bid. Most agree. however. <br />subsequent contract are a prerequisite to using tile that it is best not to require that the bid be awarded <br />bidding process. The description of each commodity to the lowest bidder. The model ordinance of the <br />and service desired must be precise to eliminate the National Institute of Municipal Law Officers provides <br />;>o:~jbility of misunderstanding either at the time of that contracts are to oe awarded to the "lowest <br />bidding or when the contract is performed. Specifi. responsible bidder." This ordinance lists the follow. <br />cations should be elastic enough to maximize com. ing criteria: <br />petition within the limits mentioned above," The <br />smaller municipality can often use or adapt specifi- <br />cations drawn by other governmental units. The <br />Federal Specification Board of the General SelVices <br />Administration has adopted more than 2,000 speci- <br />fications, The National Bureau of Standards has <br />'published The National Directory of Commodity <br />Specifications whrch lists and describes specifica- <br />tions used by a large number of public and private <br />organizations." <br /> <br />3.6, Advertising for bids <br />After specifications have been prepared, the mu. <br />nicipality advertises that it is accepting bids for the <br />purchase of goods or services. Newspaper advertis- <br />Ing is often used, especially with larger purchases. It <br />15 generally agreed that a newspaper notice is of <br /> <br />limited value in obtaining competitive bids, but it is <br />a safeguard against the deliberate exclusion of <br />bidders and also helps protect municipal officials <br />from charges of discrimination or collusion. Pur. <br />chases involving limited expenditures and fairly <br />simple specifications are often solicited by tele- <br />phone. While there are many other methods of <br />securi"g bids, probably the most effective method is <br />to solicit by mail." <br />Bids are normally submitted in writing in a sealed <br />envelope. although an oral bid supported by a <br />written note may be adequate for relatively small <br />and simple purchases. The general practice is to <br />open all of the bids at one public meeting of the <br />governing body. <br /> <br />The ability. capacity and skill of the bidder to <br />perform the contract or provide the service reo <br />quired; <br />Whether the bidder can perform the contract or <br />provide the service promptly. or within the time <br />specified, without delay or interference; <br />The character, integrity, reputation, judgment. ex. <br />perience and efficiency of the bidder; <br />The quality of performance on previous contracts <br />or services; <br />The previous and existing compliance by the <br />bidder with laws and ordinances relating to the' <br />contract or service; <br />The sufficiency of the financial resources and <br />ability of the bidder to perform the contract or <br />provide the serviee; <br /> <br />17 <br />