22-214-Resolution Recorded 5/19/19761 IN THE BOARD OF COUNTY COMMISSIONERS
2 OF THE STATE OF OREGON V1,3
3 FOR THE COUNTY OF DESCHUTES
4 In the Matter of Adopting )
Rules Establishing Rules and)
5 Procedures for Contracts ) RESOLUTION
Entered into by Deschutes )
6 County. )
7 Whereas the Board of County Commissioners of Deschutes County
8 (hereinafter referred to as "Board") on January 21, 1976 pursuant
9 to ORS 279.055 was designated as a local contract review board; and,
10 Whereas it is now necessary pursuant to the requirements of
11 ORS Chapter 279 for the Board, acting as the Local Contract Review
12 Board, to adopt rules governing the issuance of public contracts;
13 and,
14 Whereas it is appropriate that these rules be adopted by
15 resolution since the rules are being adopted by the Board acting in
16 its capacity as the local Contract Review Board; and,
17 Whereas the Board has exempted certain contracts from competitive
18 bidding as set forth in Section 3 hereof; and,
19 Whereas ORS 279.015 requires findings to be made by the Board
Lq 20 upon exempting public contracts from the requirements of ORS Chapter
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"<ZWW Whereas the Board upon due consideration of all relevant factors
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24 not encourage favoritism in the awarding of public contracts and
25 further that the awarding of public contracts pursuant to the exemptions
26 will result in substantial cost savings to the county; now therefore,
Page 1 - Resolution
VOL k2 PAYE 215
1 IT IS HEREBY RESOLVED that the following rules be adopted
2 establishing rules and procedures for contracts entered into by
3 the county:
4 Section 1. Pur ose. These rules are promulgated by the local
contract review boar designated by Ordinance No. 203-8,
5 pursuant to the authority granted to that board by ORS Chapter 279,
for the purpose of establishing the rules and procedures for
6 contracts entered into by the county.
7 Section 2. Definitions. The following words and phrases mean:
8 Board. The local contract review board for the county of
9 Deschutes, as established by Ordinance No. 203-8.
10 Commission. The county board of commissioners.
Competitive bidding. The solicitation of competitive offers
11 which follow the formal process for advertising, bid and bid opening
12 required by ORS Chapter 279, and applicable rules of the board.
Competitive quotes. The solicitation of offers from competing
13 vendors. The solicitation may be by advertisement or a request to
vendors to make an offer. The solicitation and the offer may be in
14 writing or oral.
15 Public contracting officer. The commission or the person or
persons designated by the commission to negotiate public contracts
16 for the county.
17 Public contract. Any purchase, lease or sale of personal
property, public improvements or services other than agreements which
18 are exclusively for personal services.
19 Section 3. Competitive Bids; Exemptions. All contracts shall
20 be based upon competitive bids except:
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(1) Contracts with public agencies. Contracts made with,
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(2) Personal service contracts. Contracts which are
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24 architectural or engineering renderings, and other supplemental
25 materials required for providing the services.
(3) Contracts under $10,000. Contracts for purchase where
26 the amount does not excee 10,000.
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Page 3 - Resolution
VOL riL E42"16
1
(a) Where contracts are for more than $5,000, at
least three competitive quotes shall be obtained where
2
practicable. A written record shall be made containing
the source and amount of the quotes received.
3
(b) Where contracts are for more than $500 but less
4
than $5,000, competitive quotes may be obtained where
practicable.
5
(c) No contractor may be awarded, in the aggregate,
6
within the fiscal year, contracts in excess of $20,000
under this subsection without competitive bidding. In
7
computing the aggregate under this subsection, awards
under $500 need not be included.
8
(4) Contracts for rice regulated items. Contracts for the
9
purchase of goo s -or services w ere t e rate or price for
the goods or services being purchased is established by
10
federal, state or local regulatory authority.
11
(5) Allocated petroleum products. Contracts for the purchase
of petro eum products i suchpurchase is required to be
12
made from a particular supplier as a result of a Federal
allocation or if purchase from other than an established
13
supplier could jeopardize an allocation or future supply of
such petroleum products.
14
(6) Copyrighted materials. Contracts for the purchase of
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copyrighted materials where there is only one supplier
available for such goods.
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(7) Advertising contracts. Contracts for the purchase of
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advertisiincludingg, at intended for the purpose of
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giving public notice.
(8) Investment contracts. Contracts for the purpose of
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investment of public fl or the borrowing of funds.
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(g) Requirements contracts. Purchase of goods or services
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from a supplier when the of the goods and services
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has been established under a previously competitive bid
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requirements contract whereby it is agreed to purchase
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requirements or an anticipated need at a predetermined price.
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(10) Single seller or price of products required. Contracts
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purchase whereett ere is only one seller or price of a
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product of the quality required available within a reasonable
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Purchase area.
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Vol. 22 FAWE 2 7
1 (11) Data processing contracts. Contracts for purchase or
acquisition of data processing (hardware or software) may be
2 let without competitive bid subject to the following conditions:
3 (a) Prior to selection of the contractor, reasonable
efforts have been made to solicit proposals from all known
4 vendors. If the amount of the contract exceeds $10,000,
written proposals shall be solicited from the appropriate
5 vendors appearing on the list composed by the Data Systems
Division of the Executive Branch of the State of Oregon or
6 by publication of an advertisement in a major trade
7 publication of general circulation.
(b) The contract is selected on the basis of the
8 most competitive offer in both the cost and quality of the
9 product -to be purchased or acquired.
(c) Whenever a contract for data processing let pursuant
10 to this exemption exceeds $5,000, a written report shall be
submitted to the board. The report shall include:
11
(i) The name of the company and, if applicable, the
12 name of the retail vendor;
13 (ii) The reasons why competitive bidding was not
14 appropriate; and
15 (iii) A description of the reasons why the contractor
was selected and other proposals rejected.
16 (12) Insurancecontracts. Contracts for insurance.
17 (13) Contract amendments. Any contract amendment, including
change orders, extra wor , field orders, or other change in
18 the original specifications which changes the original contract
price or alters the work to be performed, may be made with
19 the contractor subject to the following conditions:
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20
(a) The original contract imposes a binding obligation
on the parties covering the terms and
conditions regarding
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changes in the work;
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(b) The amended contract does
not substantially alter
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the scope or nature of the project;
or
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(c) If the amendment has the
effect of substantially
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altering the scope or nature of the
project, the amount of
the aggregate cost change resulting
from all amendments
25
creating such new obligations shall
not exceed 100 of the
initial contract.
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1
(14) Equipment maintenance. Contracts for the purchase of
services, equipment or supplies for the maintenance, repair
2
or conversion of existing equipment are exempt if required
for the efficient utilization of the equipment. Where
3
practicable, competitive quotes shall be obtained.
4
(15) Asphaltic concrete and rock. Contracts for the purchase
of asphaltic concrete and roc w ere the material is to be
5
used for maintenance. Where practicable, competitive quotes
shall be obtained.
6
(16) Bids obtained by the State for same materials.
7
Contracts for the purchase of materials w ere competitive bids
for the same materials have been obtained by the State of
8
Oregon, and the contract is awarded to the same party that
the state dealt with, and the price of the materials is the
9
same or lower than that paid by the state.
10
(17) Sale of personal property. Personal property may be
disposed of without competitive bidding under any of the
11
following conditions:
12
(a) There are specific statutory procedures for the sale
of the type of property involved, and the property is disposed
13
of according to those procedures;
14
(b) The property has a value of less than $500 unless
otherwise provided by statute; or
15
(c) The public contracting officer finds that competitive
16
bids would be inappropriate for -the type of'property involved.
A report of all sales made under this subsection shall be
17
made to the board and shall include.the reasons that
competitive bids were deemed inappropriate.
18
Section 4. Exemptions for Additonal Contracts. The board
19 may
by resolution exempt other contracts from competitive bidding if
it finds:
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(1) The lack of bids will not result in favoritism or
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substantially diminish competition in awarding the contract;
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and
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The exemption will result in substantial cost savings.
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In making such finds, the board may consider the type, cost,
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amount of the contract, number of persons available to bid, and
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such other factors as the board may deem appropriate.
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Section 5. Emergency Contracts. A contract may also be
exempted
from competitive bid3ing itihe commission, by majority
26 vote
of members present, determines that emergency conditions require
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- Resolution
VOL 42. f'�1,','
1
prompt execution of the contract. A determination of such emergency
shall be entered into the record of the meeting at which the
2
determination is made.
3
Section 6. Brand Name Specification in Contracts.
Specifications for contracts shall
not require any product by any
4
brand name or mark, nor the product of any particular manufacturer
or seller, unless the product is exempt from this requirement under
5
the provisions of subsection (1) or (2). However, this section
shall not be construed to prevent reference in the specifications
6
to a particular product as a description of the type of item required.
7
(1) A contract shall be exempt from the requirements of
this section under any of the following conditions:
8
(a) The specification is for a specific copyrighted
9
product. This exemption does not include patented or trade
mark goods.
10
(b) If there is only one manufacturer or seller of a
11
product of the quality required, or if the efficient
utilization of the existing equipment or supplies requires
12
a compatible product of a particular manufacturer or seller,
a contract may specify such particular product subject to
13
the following conditions:
14
(i) The product is selected on the basis of the
most competitive offer considering quality and cost.
15
The term "cost" includes not only the product price
but also other items of expense such as costs related
16
to quality or conversion;
17
(ii) Prior to awarding the contract, reasonable
efforts have been made to notify all known vendors
18
of competing or comparable products of the intended
specifications; and such vendors have been invited to
19
submit competing proposals. If the amount of the
purchase does not exceed $5,000, such notice and
20
invitation may be informal. If the amount of the
purchase exceeds $5,000, such notice shall include
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advertisement in at least one newspaper of general
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circulation in the area where the contract is to be
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performed and shall be timed to allow competing vendors
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a reasonable opportunity to make proposals; and
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(iii) If the amount of the purchase exceeds $2,500,
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and the contract is not also pursuant to the data
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processing exemption in Section 3(9), the public
25
contracting officer shall notify the board of the
specification. The notice shall be written and include
26
a brief description of the proposed contract, a detailed
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VOL
2 PAIL
1 description of the reasons why the product and/or
seller was selected and any competing products and/or
2 sellers that were rejected. The description shall
also include the efforts made to notify and invite
3 proposals from competing vendors.
4 (c) When it is impractical to create specific design
or performance specifications for a type of product to be
5 purchased, a list of approved products by reference to
particular manufacturers or sellers may be specified in
6 accordance with the following product prequalification
procedure:
7
(i) Reasonable efforts shall be made to notify all
8 known manufacturers or vendors of competitive products
of the intention to accept applications for inclusion
9 in the list of prequalified products. Notification
shall include advertisement in a trade journal of
10 state-wide distribution when possible. In lieu of
advertising, notification may be made to vendors and
11 manufacturers appearing on the appropriatelist
maintained by the Department of General Services of the
12 State of Oregon.
13 (ii) Applications for.prequalification of similar
products are permitted up to 15 days prior to advertise -
14 ment for bids on the product.
15 (iii) If an application for inclusion in a list
of prequalified products is denied, or an existing
16 prequalification revoked, the applicant shall be
notified in writing. The applicant may, within three
17 days after receipt of the notice, appeal the denial or
revocation to the board according to the procedure
18 in Section 9.
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19
(2) The
board may by resolution exempt certain additional
products
or classes of products upon any of the following
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findings:
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(a)
It is unlikely that such exemption will encourage
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favoritism
in the awarding of the contract or substantially
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diminish
competition.
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(b)
The specification of a product by brand name or
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mark, or
the product of a particular manufacturer or seller,
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would result
in substantial cost savings.
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(c)
There is only one manufacturer or seller of the
product of
the quality required.
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Page 7 - Resolution
VOL k? PAU221
1 (d) Efficient utilization of existing equipment or
supplies require the acquisition of compatible equipment
2 or supplies.
3 Section 7. Bidder Disqualification. The public contracting
officer may disqualify any person as a biTder on a contract if:
4
(1) The person does not have sufficient financial ability
5 to perform the contract. Evidence that the person can
acquire a surety bond in the amount and type required shall
6 be sufficient to establish financial ability. If no
performance bond is required, the public contracting officer
7 may require such information as he deems necessary to determine
the bidder's financial ability;
8
(2) The person does not have equipment available to
9 perform the contract;
10 (3) The person does not have personnel of sufficient
experience to perform the contract; or
11
(4) The person has repeatedly breached contractual
12 obligations to public and private contracting agencies.
13 Section 8. Bid Rejection. The public contracting officer
may reject any bid not in compliance with all prescribed public
14 bidding procuedures and requirements, and may reject all bids if
15 it is in the public interest do do so.
Section 9. Mandatory Prequalification. Persons desiring to
16 bid for contracts to perform the classes of public improvements
described in (1) below shall submit a completed prequalification
17 statement to the public contracting officer. This requirement
shall- apply only where the public improvement contract amount
18 exceeds $10,000.00
19
(1) The classes of work for which prequalification is
required are as follows:
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Highway, road and street improvements
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Concrete paving and flatwork
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Rock crushing
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Bituminous oiling
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Bituminous paving
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Reinforced concrete construction
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Dredging and piledriving
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Excavation and grading
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Sewer construction
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Sewage treatment plants
Sewage pumping stations
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Water lines
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1 Water reservoirs
Water tanks - steel
2 Water tanks - concrete
Electrical wiring
3 Traffic signalization
Outdoor illumination
4 Building construction
Building alteration and repair
5 Demolition and related excavation and clearing
Painting and decorating
6 Plumbing
Heating
7 Roofing
Air conditioning
8 Irrigation and sprinkling systems
Drainage
9 Landscaping
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10 (2) Applications for prequalification shall be submitted on
the forms provided by the board at the times designated by the
11 board for such prequalfication.
12 (3) Upon establishment of the applicant's qualification,
the public contracting officer shall insure a qualification
13 statement. The statement shall inform the applicant of any
conditions which may be imposed on the qualification and advise
14 the applicant to notify the public contracting officer
promptly if there has been any substantial change of conditions
15 or circumstances which would make any statement contained in
the prequalification application no longer applicable or
16 untrue. The qualification statement shall also inform the
applicant that if he desires to appeal the conditions of
17 the prequalification varying his application, written notice
must be given to the public contracting officer within three
18 business days after receipt of the notice.
19
(4) If the public contracting officer does not qualify an
applicant, he shall give written notice to the applicant
20
stating the reasons that prequalification has been denied and
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informing the applicant of his right to appeal the decision
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within three business days after receipt of the notice.
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(S) Upon discovery that a person prequalified is no longer
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qualified, the public contracting officer shall send
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notification of proposed revocation of qualification to the
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person. The notice shall state the reason for revocation and
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inform the person that the revocation will be effective 10
days from the date of the notice unless evidence that the
25
deficiency has been corrected or notice of intent to appeal
the revocation has been filed with the public contracting
26
officer within 10 days.
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- Resolution
VOL 42, "AU F22,)
1 Section 10. Appeals. The procedures for appeals shall be
as follows:
2
(1) Notice of appeal need not be in any particular form so
3 long as they are in writing addressed to the public
contracting officer.
4
(2) Immediately upon receipt of such written notice of
5 appeal, the public contracting officer shall inform the board.
6 (3) Upon receipt of notice of appeal, the board shall notify
7 the person appealing of the time and place of the hearing.
(4) The board shall conduct the hearing according to the
8 provisions of ORS 279.045(3) and decide the appeal within
10 days after receiving the notification and shall set forth
9 in writing the reasons for its decisions.
10 DATED in Bend, Oregon, this ,/c/ -e� day of , 1976.
11 LOCAL CONTRACT REVI W BOARD:
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17 Approved as to form:
18
Chief Civil De4ty
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