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Agenda 05/27/2008 Item # 9G Agenda Item No, 9G May 27, 2008 Page 1 of 32 EXECUTIVE SUMMARY FOR THE BOARD OF COUNTY COMMISSIONERS TO ADOPT A RESOLUTION SUPERCEDING COLLIER COUNTY RESOLUTION NO. 07-340 AND AMENDING THE PURCHASING POLICY TO INCLUDE A LOCAL PREFERENCE POLICY AND PROCEDURE. OBJECTIVE: For the Board of County Commissioners to adopt a Resolution superceding Collier County Resolution No. 07-340 and amending the Purchasing Policy to include a local preference policy and procedure. CONSIDERATIONS: That implementing a "Local Vendor Preference" policy into the current Purchasing Policies will enhance service to Collier County and its residents. A Local Preference Policy will: r I . Facilitate strategic alliances between local companies and those from outside of Collier County. . Encourages companies to locate in Collier County based on these strategic alliances, creating employment opportunities and economic benefit to the Collier County economy. . Strategic alliances provided enhanced expertise and capabilities for our local companies gained from association with the outside firms. . Allows services provided to Collier County to be focused on local priorities through local company leadership of these strategic alliances. . Strategic alliances facilitate improved quality of services by balancing local awareness with outside expertise and experience. . Through interlocaI agreements with adjacent jurisdictions, local companies gain access to additional opportunities outside of Collier County through the connections built between these communities. How a Company Gains Local Preference Designation: . Collier County would receive statements from local companies wishing to be eligible to receive local preference consideration. These statements would document the local company's adherence to the requirements of Collier County and would certify by signature of a principal of the company, that the statement is true and correct. . Collier County would review the statements for completeness and con'ectness. If the statements are in order, Collier County would grant the company eligibility for local preference as a part of procuring services. . Annually, Collier County would audit a limited number of these certified statements. If they find irregularities, they will take appropriate actions against offending companies. How the Local Preference Policy Would Work: ,~ . For work that involves bidding by contractor's the Collier County would allow local companies who bid higher than, but within 10% of, the lowest non-county company to contract for the work at the lowest bid price; not the local company's bid. . For services that are awarded on a technical qualifications basis, like professional consulting, Collier County would select the local company with the highest technical Agenda Item No, 9G May 27, 2008 Page 2 of 32 score, so long as they are within 10% of the higher non-local company's score. Collier County would then negotiate, as is the case today, with the local firm to establish the cost of providing these professional services. . Where Collier County feels that specialized services or capacity to serve is of critical importance on a particular procurement, the local preference ordinance provisions can be waived. A Local Preference Policy Does Not Increase Cost of Services: . For work awarded through low bid processes the local contractor benefiting from the local preference is not offered the contract at their bid price, but instead at the lowest amount bid by all of the contractors. This means that competition sets the price. Period. . For work awarded on a professional qualifications basis and not price, the local professional services provider benefiting from the local preference must still demonstrate through negotiations that their scope of work and pricing still falls within the value parameters of Collier County. If the County feels their prices are not competitive, they can reject the local consultant's offer and negotiate with the next ranked entity. . In both cases, the cost that the County pays is based on the competitive circumstances, thereby not increasing the cost of services to Collier County. A few additional facts: . Local Preference Policies have become a normal part of governing in Florida as well as throughout the Country. . Most jurisdictions in Florida use Local Preference Policies in their procurement processes, including Miami.Dade, Broward, Palm Beach, Fort Myers, Tampa, Orange County, to name a few. . In the communities where they exist, local preference policies have diversified and enhanced the local sen'ice capabilities to the communities. . Where a local preference ordinance has been established you find enhanced competition that is focused through local companies FISCAL IMPACT: None GROWTH MANAGEMENT IMPACT: None LEGAL CONSIDERATIONS: The proposed Resolution, which is legally sufficient for Board action, amends the current Collier County Purchasing Policy by inserting as new Subsection XI a Local Preference and Procedure Policy. Except for renumbering the remainder of the Purchasing Policy, no additional changes to the Purchasing Policy are being made. . JAK RECOMMENDATION: That the Board of County Commissioners adopt the Resolution implementing local company preference into the Collier County Government Purchasing Policies and include Exhibit A "Procedure to Provide Preference to Local Businesses in County Contracts" as the policy guidelines. Prepared by: Commissioner Tom Henning Page I of 1 Agenda Item No, 9G May 27, 2008 Page 3 of 32 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS Item Number: Item Summary: 9G This item to be heard at 10:30 a.m. Recommendation to adopt a Resolution superceding Collier County Resolution No. 07 ~340 and amending the purchasing policy to include a Local Preference Policy and Procedure. (Commissioner Tom Henning) Meeting Date: 51271200890000 AM Prepared By Sam Tucker Executive Aide to the Bce Date Board of County Commissioners Bce Office 5120/20083:24:51 PM Approved By Sue Filson Executive Manager to the Bee Date Board of County Commissioners BCC Office 5/20/20083:50 PM Approved By James V. Mudd County Manager Date Board of County Commissioners County Manager's Office 5120/2008 4:22 PM r- file:/ /e :\AgendaTest\Export\ 1 08-May%2027, %202008\09 .%20BOARD%200F%20COUN... 5/21/2008 Agenda Item No. 9G May 27, 2008 Page 4 of 32 RESOLUTION NO. 2008-_ A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS SUPERCEDING COLLIER COUNTY RESOLUTION NO. 07-340 AND AMENDING THE PURCHASING POLICY TO INCLUDE A LOCAL PREFERENCE POLICY AND PROCEDURE, WHEREAS. Collier County Ordinance 87-25 provides for the establishment of a purchasing policy to govern all aspects of purchasing administration; and WHEREAS, the Board of County Commissione" on November 27, 2007, adopted a purchasing policy by Resolution No, 07-340; and WHEREAS, the Board of County Commissioners desires to amend the purchasing policy to include a local preference policy and procedure for local businesses; and WHEREAS, Collier County is home to many great locally owned companies, large and small. and these local companies employ many local citizens; and WHEREAS, diversification and expansion of the County's economy is essential to its economic and fiscal stability; and WHEREAS, in FY2007, Collier County Government paid a total of $483 million in purchase orders; of this amount, less than half of these funds went to local companies; and 'WHEREAS, the average percentage of County goverrunent monies spent with local companies over the last three fiscal years is 42.7%; and WHEREAS, numerous other local governments in Florida offer their local firms similar local preferences, limiting opportunities for Collier County local businesses; and WHEREAS, in an effort to provide 8 positive impact on our local economy and expand the capabilities and capacities of our local companies, the Board of County Commissioners desires to provide locally owned and operated companies preference in the purchasing policy system within Collier County Government; and WHEREAS, County government and county residents will benefit from local business retention as these companies pay local real estate taxes and are more likely to employ local residents who live in our County and spend in our local economy; and WHEREAS, local businesses contribute to the local tax base and reinvest their dollars back to local communities through jobs and the support of local not-for-profit organizations; and WHEREAS, the Board feels this is an important public policy to show loyalty and respect to the owners and employees ofloeaI companies; and Agenda item No, 9G May 27,2008 Page 5 of 32 WHEREAS, it is the Board's intent to promote the expansion of Collier County's local business capability and capacity. NOW, TIIBREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA, that the Board of County Commissioners hereby supercedes Resolution No. 07-340 and amends the Collier County Purchasing Policy to include a Local Preference Policy and Procedure. THIS RESOLUTION ADOPTED after motion, second and majority vote this _ dsyof ,2008. ATTEST: DWIGlIT E. BROCK, Clerk BOARD OF COUNTY COMMISSIONERS COLLIER COUNTY, FLORIDA By: By: TOM HENNING, CHAIRMAN , Deputy Clerk Ap roved as to form an e suffi 'c cy: kow Page 2 of2 Agenda Item No, 9G May 27, 2008 Page 6 of 32 PURCHASING POLICY OF COLLIER COUNTY I. ESTABLISHMENT OF PURCHASING POLICY Ordinance No, 87-25 provides for the adoption of a Purchasing Policy. Collier County Resolution No, 97-435 establishes the following Purchasing Poiicy. II. PURCHASING DEPARTMENT RESPONSIBILITIES A. The Purchasing Department shall be responsible for: 1, Seekino Maximum Value: Act to procure for the County the highest quality commodities, supplies and contractual services at least expense to the County. 2. Encouraolno comoetitlon: Endeavor to obtain as full and open competition as possibie on all purchases and sales, 3. Procedures: Establish and amend, when necessary, operational procedures for the implementation of the Purchasing Policy provided by ordinance, Said procedures shali become effective only when approved in writing by the County Manager, Copies of the procedures shall be maintained on file in the office of the Purchasing Department. 4. Purchasino Analvsis: Keep informed of current developments in the field of purchasing, prices, market conditions and new products, and secure for the County the benefits of research conducted in the field of purchasing by other governmental jurisdictions, national technical societies, trade associations having nationai recognition, and by private business and organizations, 5. Purchasino Manual: Prescribe and maintain a standard Purchasing Manuai for all using agencies, The content of said manual will be governed by this Policy, 6. Forms: Prescribe and maintain such fonns as shali be found reasonabiy necessary to the operation of this Policy. 7. Vendor Certification: Document that vendors doing business with the County have acknowledged their understanding and acceptance of the terms and conditions of the County's Purchasing Policy and have agreed to abide by those terms, 8, Bulk Purchases: Exploit the possibilities of buying "in bulk" so as to take full advantage of discount. 9, Vendors' Cataioo Fiie: Prepare, adopt and maintain a vendor's catalog file. Said catalog shall be organized according to materials and/or services and shall contain descriptions of vendors' commodities, prices and discount. 10. Tax Exemotions: Act so as to procure for the County tax exemptions to which it is entitled, 11, Coooeration: Cooperate with using agencies so as to secure for the County the maximum efficiency in budgeting and accounting. Agenda Item No, 9G May 27, 2008 Page 7 of 32 12, Susoension and Debarment of Vendors: To oversee and facilitate the suspension and/or debarment of vendors as set forth under Section XXVIII of this policy. 13, Inouirv and Control: Have full authority to question the quality, quantity, and kinds of items requisitioned in order that the best interests of the County are served. The Purchasing Director shail have final approvai authority for all purchases at or beiow the formal competitive threshoid, To ensure the timely, proper and orderly acquisition of services to the various using agencies, all authority granted to the Purchasing Director in this policy may be formaily delegated by the Purchasing Director in whole or in part to appropriate staff members within the County Manager's agency, III. PURCHASES NOT EXCEEDING $3,000 Purchases that do not exceed $3,000 may be approved by the Purchasing Director without informal or formal competition by means of a purchase order, purchasing card or formal agreement (or any combination therein) as defined under this policy or deemed appropriate by the Purchasing Director. IV, INFORMAL COMPETiTION (PURCHASES EXCEEDING $3,000 BUT NOT GREATER THAN $50,000) A. Ail purchases exceeding $3,000 but not more than $50,000 shall be awarded by the Purchasing Director to the qualified and responsive vendor submitting the lowest or best overall quote which meets all specifications, unless the requirement for competition is waived by the Purchasing Director in accordance with Section 4,B. Ail such purchases may be solicited and awarded without formal public announcement and without formal competition, 1, Minimum Number Quotes: Open market purchases or sales in excess of $3,000 but less than or equal to the formal competitive threshoid shail be based on a good faith effort by the Purchasing Department or the using agency to obtain at least three (3) competitive quotes (including ail "no quote" responses), Award shall be made to the lowest, qualified and responsive quote in accordance with the standards set forth in this Poiicy. 2, Solicitation of Quotes: The Director may solicit quotes oraily, written, or electronicaily for open market pricing or sale, using available bidders' and supplier lists. The Director shall determine in which instances quotations shail be solicited in writing. Further the Director shail determine which agency (e,g,; Purchasing or the using agency) shail obtain the quotations, Ail quotes in excess of ten thousand dollars $10,000 shali be tendered or confirmed in writing or electronicaily submitted by the vendor prior to purchase, 3. Public Record: The Director shail keep a record of ail open market quotes submitted and such records shall be open to public inspection after award has been made. B. The requirements for requesting quotes from three (3) or more sources are waived and do not require Board action for: 1. Purchase of library books, education and/or Personnel tests, similar audio visual materiais, periodicals, printed library cards, etc. (" 2 Agenda Item No, 9G May 27,2008 Page 8 of 32 2. Professionai services; and, in instances when authorized by the Purchasing Director where commodities or services are purchased directly from the owner of a copyright or patent, a governmental agency, a recognized educational institution, a not-for-profit entity or when there are no other identifiabie sources available. 3. Purchases that the Director has determined to be legitimate single source purchases, 4. Valid public emergencies or other instances deemed by the Director to be in the best interests of the County. 5. Purchase of services from experts or consultants by or through the Office of the County Attorney for purposes of preparing for or defending against imminent or pending civil iitigation or administrative proceedings. C, All purchases greater than $1,000 but less than or equal to $3,000 wiil generally be processed using a regular purchase order, However, such purChases may be processed using a purchasing card in accordance with Section XXIII of this policy, V. FORMAL COMPETITIVE THRESHOLD (Purchases in excess of $50.000) A, It is the intent of the Board of County Commissioners to establish an amount of fifty thousand dollars ($50,000) as the County's formal competitive threshoid for purchases, The established iimlt shall be applied to all methods of purchase by agencies under the purview of the Board of County Commissioners, including but not limited to competitive seaied bids, competitive proposals and competitive selection and negotiation. The requirement for formal competition may be waived by the Board of County Commissioners where permitted by law, under the following circumstances: 1, Purchase of library books, education and/or personnel tests, similar audio visual materials, periodicals, printed library cards, etc. 2, Single source purchases (pursuant to subsection C), 3, Valid pubiic emergencies (pursuant to Section XX), 4, Where it is determined to be in the best interests of the County to do so. B, All purchases subject to formal competition shall be awarded by the Board of County Commissioners unless otherwise delegated by the Board via formal public action. C, Exemotion For Sinale Source Commodities: Purchases of commodities and services from a singie source may be exempted from formal competition upon certification by the Purchasing Director of both of the following conditions: 1, The item(s) is the only one available that can properly perform the intended function(s); 2, The recommended vendor/contractor is the only one ready, willing and able to meet the County's requirements. All Single Source purchases in excess of the formal competitive threshoid shall be exempted from formal competition by the Board, Recurring single source 3 ,~ r Agenda Item No, 9G May 27, 2008 Page 9 of 32 purchases shall not require subsequent Board approval (in the same or in any subsequent fiscai year) provided that there are sufficient budget appropriations to make each purchase. Purchases less than or equal to the formal competitive threshold may be exempted from competition by the Purchasing Director, as permitted by law D. Use of Past Performance Data: In order to promote the qualitative delivery of commodities and services, County departments shall record and consider the past performance of vendors in the award of contracts exceeding the formal competitive threshoid, This objective shall be accomplished as follows: 1, The Purchasing Department shall be responsible for each of the following: a, Deveioping, implementing and maintaining appropriate administrative procedures, instructions and technologies necessary to collect and access vendor performance data. b, Ensuring that relevant past performance data is properly gathered and considered prior to award of subsequent contracts. 2. Using agencies shall be responsible for each of the following: a. Conducting periodic performance evaluations of vendors under contract with the County pursuant to the procedures established pursuant to subsection VD.1 a, b, Considering the past performance of vendors during the evaluation of formal bids and proposals for subsequent contract awards as set forth in the administrative procedures referenced under subsection V.D.1a, VI. COMPETITIVE BID PROCESS Any purchase of commodities or services costing in excess of the formai competitive threshold shall be accomplished by competitive sealed bid, by competitive selection and negotiation (per section VII) or by competitive proposals (per section VIII). Award of Bid Contract shall be made by the Board to the lowest, qualified and responsive bidder except where otherwise provided for in this policy or unless an exception is granted by the Board, Bid limits for requirements utilizing federal or state funds will be those required by said agency granting the funds or the County's requirements, whichever takes precedence. A. Notice Invitino Bids: 1. Announcement: Notice inviting bids shall be pubiicly posted by the Purchasing Department in a consistent public location at least ten (10) days preceding the last day established for the receipt of bid proposals, Bids may be solicited and/or received in one or more steps as permitted by iaw and deemed appropriate by the Purchasing Director. 2. Scope of Notice: The pubiic notice required herein shall include a general description of the commodities/services to be purchased or sold, shall state where bid instructions and specifications may be secured and the time and place for opening bids. 3. Bidders' List: The Director shall also solicit sealed bids from qualified prospective vendors/contractors who have registered their names on the Collier County Purchasing Department vendor database, which will eiectronically send them a notice of the proposed purchase or sale. Notices 4 Agenda Item No. 9G May 27, 2008 Page 10 of 32 sent to the vendors/contractors on the Coliier County Purchasing Department vendor database shall be limited to commodities or services that are similar in character and ordinarily handled by the trade group to which the notices are sent. Vendors/contractors are responsible for maintaining their profiies in the database to ensure proper notifications are received, Vendors/contractors may be removed from the database by the Director for continual non-response to formal solicitations and violations to the Purchasing Policy. The Director shall have the discretion to continue to issue formal solicitations and accept formal bids, proposals and other tenders using paper where appropriate. 4. Bid DeDosits: When deemed necessary by the Director, bid deposits shall be prescribed in the public notices inviting bids, Said deposits shall be in the amount equal to five percent of the bid submitted. The Director shall have the authority to return the deposits of all bidders prior to award of bid contract by the Board of County Commissioners. A successfui bidder shall forfeit any deposit required by the Director upon failure on the vendor's part to enter into a contract within ten (10) working days after written notice of award. 5. Bid Addenda: An addendum to a specification shall be defined as an addition or change in the aiready prepared specifications for which an invitation has been issued for formal quotations or an announcement has been posted for a formal seaied bid. Any addendum to a request for formal sealed bids shall be approved by the Department Director or designee and the Purchasing Director. The addendum shall clearly point out any addition or change to the invitation for bids. The Purchasing Department shall be responsible for insuring that addenda are available on the e-procurement website and that all prospective bidders who have downloaded specifications are notified of the addendum prior to opening of bids, B, Procedure for Bids: 1. Seaied Bids: Sealed bids shall be submitted manually or electronically to the Director and if manual shall be clearly identified as bids on the outside of the sealed envelope, 2. ODenino: Bids shall be opened publicly at the time and place stated in the public notices and shall be witnessed and certified by the Purchasing Department. 3, Tabulation: A tabulation of all bids received shall be made either electronically or manually by the Purchasing Department and shall be available for public inspection, C, Tie Bids: Where there are iow tie bids, the award process shall first be subject to Section 287, F.S. Should a tie still exist among two or more bidders and if the purchase is funded in whoie or in part with interagency grant funds, the lie shall be broken in accordance with the grant conditions or the grantor agency's procedure governing such matters. If no interagency grant funds are appropriated for the purchase and anyone of the low qualified vendors has a principal place of business located in Collier County, the bid shall be awarded to the local bidder, D, Reiection Of Bids And Neootiation: 1, The Board of County Commissioners shall have the authority to reject any and all bids, 5 Agenda Item No, 9G May 27, 2008 Page 11 of 32 2, If the lowest, qualified responsive bid exceeds the budgeted amount and if the purchase is not funded in whole or in part with interagency grant dollars, the Purchasing Director may negotiate changes with the apparent iowest qualified and responsive bidder that will bring prices into budgeted limits subject to the final approvai and acceptance of the Board. If the budgeted amount includes grant funds, the Purchasing Director shall be authorized to conduct such negotiations provided said actions are not prohibited by law or the grant conditions. 3. If no bid is received. the Board of County Commissioners may authorize the Purchasing Director to purchase by negotiation under conditions most favorabie to the public interest and when said purchase will result in the lowest ultimate cost of the commodities or services obtained. E. Waiver Of Irreoularities: The Board of County Commissioners shall have the authority to waive any and all irregularities in any and all formal bids. F. Award Of Bid Contract: The Chairman, when authorized by majority vote of the Board or as otherwise provided for in this policy, shall execute formal contracts having a binding effect upon the County. Formal, bilateral contracts shall not be required where a purchase order is sufficient. A formal contract shall be awarded by the Board of County Commissioners to the lowest quaiified and responsive bidder. In addition to the price shall be considered the following: 1. The ability. capacity and skill of the bidder to perform the contract. 2, The ability of the bidder to perform the contract within the time required or the least time, if appropriate, without delay or interference, 3. The experience and efficiency of the bidder, 4, The quality and performance of previous contracts awarded to the bidder. 5. The previous and existing compliance by the bidder with laws and ordinances relating to the contract. 6, The quality, availability and adaptability of the commodities or contractual services to the particular use required. 7. The ability of the bidder to provide future maintenance and service (where applicable), All recommendations for award for bid contract will be reviewed and approved by the Purchasing Director prior to presentation to the Board of County Commissioners. Bidders competing for a prospective bid award (and their agents/representatives) will not be permitted to publicly or privately address the Board regarding a prospective purchase prior to the time of award unless requested to do so by the Purchasing Director or by a majority vote of the Board. VII. PROCUREMENT OF PROFESSIONAL SERVICES A. Because differences in price may only be a minor concern compared to qualitative considerations, professional services may be exempted by the Purchasing Director /""' 6 Agenda Item No, 9G May 27, 2008 Page 12 of 32 from the competitive bidding process. Instead, professional services will be typically acquired through one of the following methods: 1. Competitive Selection and Negotiation. 2, Competitive Proposais (pursuant to Section VIII), B. A professional service shall be defined as assistance obtained in support of County operations from an independent contractor in one or more of the following professional fields: 1, Appraisal Services - real and personal property appraisers, 2, Architecture, professional engineering, landscape architecture, or registered land surveying services (as per Section 287,055, F,S,), 3, Audit and Accounting Services - auditors and accountants (excepting the selection of the annual auditor which shall be conducted as per Section 11.45, F,S,), 4. Consultants - planning, management, technological or scientific advisors. 5. Financial Services - bond counsel, rating and underwriting, financial advisor, and investment services, 6, Legal Services - attorneys and legal professionals. 7, Medical Services - medicine, psychiatry, dental, hospitai, and other health professionals. C. Requests exclusively for services defined under VII.B.2 will be procured in a manner consistent with Section 287.055, F,S., known as "The Consuitant's Competitive Negotiation Act" as required by said statute, Projects may include, but are not strictly limited to one or more of the following: 1. Fixed assiqnment contracts: A grouping of minor professional service (including construction inspection services) assignments, 2. Fixed term contracts: Countywide agreements for various and miscellaneous minor professional services (including construction inspection services) on an as needed basis, 3. General Professional Services: Includes administration, support and management of engineering, architectural, surveying and planning activities. The Director shall be authorized to approve all work orders where the maximum initial dollar amount does not exceed two hundred thousand dollars ($200,000) and where the maximum initiai contract amount does not exceed seven hundred fifty thousand dollars ($750,000), Any work order and/or contract that exceeds that amount subsequent to award and prior to completion of the work shall be subject to the provisions of Section XIV,C of this resolution. Projects shall not be sub-divided to circumvent the dollar thresholds established herein. All fixed term agreements issued under this section shall be eligible for extension or renewal in accordance with the provisions of Sections XIV.D and E respectively. 7 Agenda Item No. 9G May 27, 2008 Page 13 of 32 D. For all service procurements in excess of the formal competitive threshold under the Competitive Selection and Negotiation method, authority to announce and distribute Requests for Proposals or Letters of Interest and Qualifications and to appoint and empower a selection committee shall be pursuant to Section VIII.B, hereof. E, Final selection of the professional service provider (award of contract) shall be made by the Board of County Commissioners. F. Purchases for all professional services estimated to be equal to or less than the formal competitive threshold may be approved by the Purchasing Director, as permitted by law. G. Requests for outside legal services will be referred to the County Manager and the County Attorney for review and comment as to whether said services are necessary and/or appropriate. Requests for outside legal services may be exempted from formal competition by the Board of County Commissioners at the request of the County Manager or County Attorney. H. The acquisition of services from experts or consultants for purposes of preparing for or defending against imminent or pending litigation or administrative proceedings shall be exempt from all competitive requirements of this policy. Any such acquisitions that do not exceed ~50,000 may be approved by the County Attorney and the Purchasing Department, but will be reported at a regular meeting of the Board for ratification. VIII. COMPETITIVE PROPOSALS A. The Competitive Proposals process is a method of contract selection that may be utilized by the Purchasing Director under circumstances where one or more of the following conditions exist: 1. Where qualitative considerations are of equal or greater concern than pricing considerations. 2. Where the conditions of the purchase do not lend themselves to the formal sealed bid process or the award of a firm, fixed fee contract. 3. Where the County is incapable of specifically defining the scope of work for which the commodity(s) or service(s) is required and where the qualified offer is asked to propose a commodity(s) or service(s) to meet the needs of the County. 4, Where the County desires to enter into a single contract for the design and construction of a public construction project(s), B. For purchases in excess of the formal competitive threshold and where appropriate or required by law, the competitive proposals process will be utiiized. The process will be conducted in a manner similar to the sealed bid process as set forth under Section VI except where otherwise stated in this section. The competitive proposals process shall proceed as follows: ( 1. A Request for Proposals (RFP) will be prepared and distributed in a manner consistent with the definition of said term found in Section 2 of Collier County Ordinance No, 87-25, Notice of said request(s) shall be publicly posted by the 8 Agenda Item No, 9G May 27,2008 Page 14 of 32 Purchasing Department at least 21 calendar days preceding the last day established for the receipt of proposals, 2. Each Request for Proposals shall identify the appropriate evaluation procedures and criteria to be appiied to the selection of the best proposai among the respondents. Each RFP pertaining to the award of a design/build contract(s) shall be subject to the requirements of Section 287.055 F,S, 3. Prior to the announcement and distribution of the RFP, a selection committee shall be appointed by the County Manager to evaluate the proposals received, For all purchases made under the Competitive Proposals method, the County Manager may empower the selection committee to designate and rank the proposals prior to the commencement of negotiations and to negotiate a tentative agreement, subject to award by the Board. 4. Proposals may be solicited and/or received in one or more steps as penmitted by law and deemed appropriate by the Purchasing Director. Unless otherwise prohibited by law, the Purchasing Director shall have the discretion to solicit and conduct simultaneous or concurrent negotiations with one or more firms. C, For purchases in excess of the formal competitive threshold, final selection of the awardee will be made by the Board of County Commissioners. D, Purchases less than or equal to the formal competitive threshold may be authorized by the Purchasing Director, as permitted by law and shall not require formal solicitation or announcement unless deemed necessary by the Purchasing Director. IX. PROCUREMENT OF DESIGN/BUILD CONTRACTS A. Procurements for the design and construction of public construction projects may be obtained through a single contract with a firm selected in a manner permitted under Section 287.055, F.S. and the procedures set forth in this section. B. Upon completion of the Design Criteria Package, procurements of Design/Build services shall be processed in a manner consistent with Section VIII hereof entitled "Competitive Proposais", C, Administrative procedures shall be established by the County Manager or his designee for utilization of the design criteria professionai concerning the evaluation of the proposals submitted by the design/build firms, the supervision or the approval by the County of the work drawings of the project and evaluation of the project construction with the design criteria package. D. The Board of County Commissioners may declare a public emergency, where appropriate and authorize the using agency to negotiate an agreement for Board approval with the best quaiified design-build firm available at that time, X, Small and Disadvantaoed Minoritvand Women Business Enterprises A. Poiicv Statement: Collier County stands committed to providing equal opportunities to small businesses and disadvantaged business enterprises (DBE), minority business enterprises (MBEs) and women enterprises (WBEs) as well as to all vendors, consultants, contractors and subcontractors who seek to do business with the County. 9 Agenda Item No, 9G May 27, 2008 Page 15 of 32 Pursuant to this policy, Collier County wiil require its vendors, consultants, contractors and subcontractors to provide qualified smail businesses and DBE's with an equal opportunity to participate in the formal competitive processes for the procurement of commodities and services by the County, The Policy is not intended to require or to ailow partiality toward or discrimination against any small business or DBE, MBE, WBE, or any other vendor, consultant, contractor or subcontractor on the basis of gender, race or national origin, or other such factors, but rather to heip ensure that small businesses and DBEs, MBEs, WBEs, and ail quaiified vendors, consultants, contractors and subcontractors have an equal opportunity to participate in the County's formal competitive processes. Nothing in this Policy shail be construed to provide for or require any preference or set-aside based on gender, race, national origin or any other such factor. B. Definitions: For purposes of this policy, the term "small business" shall have the same definition as set forth under Section 288.703,(1), F,S. The term "DBE" shall include any "smail business" as defined pursuant to Section 288.703(1) that is at least 51 percent owned or controiled by a person or persons defined as "sociaily and economicaily disadvantaged" individuals pursuant to Section 14-78.602(18), FAC, Reference to these definitions, however, shail in no way be construed to provide that the County has adopted or is subject to the provisions of the Statute or Code referenced herein. C, Imolementino Measures: In an effort to implement this poiicy, the County may undertake the following measures: 1. Designate the Purchasing Director to administer this policy, 2, Utilize outreach programs to identify, register and educate small businesses and DBEs, MBEs and WBEs to participate in the procurement/contract process including, but not limited to: a. Attending trade fairs which include representatives from these enterprises. b, Attending meetings and social events wherein these enterprises. c, Utilizing publications aimed at reaching these enterprises, d, Utilizing directories and other reference sources that list these enterprises. e. Publicizing this Poiicy to encourage these enterprises to participate in the County's procurement process, f. Other actions designed to identify these enterprises who seek to provide commodities and services to the County, 3. Maintain a list of these enterprises. 4. Disseminate information regarding competitive opportunities with the County in order to ailow qualified small businesses and DBEs, MBEs and WBEs to participate in the County's procurement process. (' , 10 Agenda Item No, 9G May 27, 2008 Page 16 of 32 D, Conformitv with Applicable Law: The provisions of this section shall be construed in conformity with applicable state and federal law. To the extent that state iaw confiicts with federal law, federal law shall supersede such state law, XI. Procedure to Provide Preference to Locai Businesses in Countv Contracts, Except where otherwise provided by federal or state law or other funding source restrictions, purchases of goods, general services, or professional services under the Procurement Code shall give preference to iocal businesses in the following manner: (1) Definitions. (Applicable to this Section XI only.) (a) General services means support services performed by an independent contractor requiring specialized knowiedge, experience, or expertise that includes, but is not limited to, pest control, janitoriai, laundry, catering, security, lawn maintenance and maintenance of equipment. (b) Goods include, but are not limited to, supplies, equipment, materials and printed matter, (c) Local business means the vendor has a valid occupational license issued by Collier County at least one year prior to bid or proposal submission to do business within Collier County that authorizes the business to provide the goods, services or construction to be purchased, and a physical business address located within the limits of Collier County from which the vendor operates or performs business, Post Office Boxes are not verifiable and shall not by used for the purpose of establishing said physical address. In addition to the foregoing, a vendor shall not be considered a "local business" unless it contributes to the economic development and well-being of Collier County in a verifiable and measurable way, This may inciude, but not be iimited to, the retention and expansion of employment opportunities, the support and increase to the County's tax base, and residency of employees and principals of the business within Coilier County. Vendors shall affirm in writing their compliance with the foregoing at the time of submitting their bid or proposai to be eligible for consideration as a "local business" under this section. A vendor who misrepresents the Local Preference status of its firm in a proposal or bid submitted to the County will lose the privilege to claim Local Preference status for a period of up to one year. (d) Professional services includes any services where the County is obtaining advice, instruction, or speciaiized work from an individual, firm, or corporation specifically qualified in a particular area, Professional services do not include those services procured pursuant to Section 287,055, Florida Statutes, (2) Preference in purchase of personal property, general services, professional services, the purchase of or contract for construction or renovation of public works or improvements, and in the purchase of personal property, general services or professional services by means of competitive bid, request for proposals, qualifications or other submittals and competitive negotiation and selection, Except where federal or state iaw, or any other funding source, mandates to the contrary, Coilier County and its agencies and instrumentalities, will give preference to local businesses in the following manner: (a) Competitive bid. When a responsive, responsible non-local business submits the iowest price bid, and the bid submitted by one or more responsive, responsible iocal businesses is within ten percent of the price submitted by the non-local business, then that non-Iocai business and each of the aforementioned local businesses shall have the opportunity to submit, a best and final bid equal to or lower than the amount of the low bid previously submitted by the non-iocal business, Contract award shall be made to the responsive, responsible business submitting the lowest best and final bid, In the case of a It Agenda Item No, 9G May 27, 2008 Page 17 of 32 tie in the best and final bid between a local business and a non-local business, contract award shall be made to the local business, (b) Request for proposals, qualifications or other submittals and competitive negotiation and selection. If, following the completion of final rankings (technical and price combined, if applicable) by the selection commillee, a non-local business is the highest ranked proposer, and the ranking of a locai proposer is within ten percent of the ranking obtained by the non-local proposer, then the highest ranked local proposer shall have the opportunity to proceed to negotiations with the County under the applicabie sections of this Code. (c) With respect to Subsections (a) and (b) above, if a tie occurs between two (2) or more local businesses, then contract award on the basis of best and final bids (paragraph (a) above), or the opportunity to proceed to negotiations (paragraph (b) above), shall be made to such local business having the greatest percentage of its employees that are Collier County residents, (3) Waiver of the application of local preference, The application of Local Preference to a particular purchase or contract for which the Board of County Commissioners is the awarding authority may be waived upon approval of the Board of County Commissioners. (4) Comparison of qualifications, The preferences established herein in no way prohibit the right of the Board of County Commissioners to compare quality of materials proposed for purchase and compare qualifications, character, responsibility and fitness of all persons, firms or corporations submilling bids or proposals, Further, the preferences established herein in no way prohibit the right of the County Commission from giving any other preference permitted by law instead of the preferences granted herein, (5) Reciprocity. In the event Lee County, or any other Florida county or municipality ("local government") deemed appropriate by the Collier County Board of Commissioners, extends preferences to local businesses, Collier County may enter into an interlocal agreement with such local government wherein the preferences of this section may be extended and made available to vendors that have a valid occupational license issued by that specific local government to do business in that local government that authorizes the vendor to provide the goods, services, or construction to be purchased, and a physical business address located within the limits of that local government. Post Office Boxes are not verifiable and shall not be used for the purpose of establishing said physical address, In addition to the foregoing, a vendor shall not be considered a "local business" unless it contributes to the economic development and well-being of the said local government whichever is applicable, in a verifiabie and measurable way, This may include, but not be limited to, the retention and expansion of employment opportunities, the support and increase to that local government's tax base, and residency of employees and principais of the business within Collier County. Vendors shall affirm in writing their compliance with the foregoing at the time of submitting their bid or proposal to be eligible for consideration as a "iocal business" under this section, In no event shall the amount of the preference accorded other local government firms exceed the amount of preference that such local government extends to Collier County firms competing for its contracts, (6) Implementation by certain County agencies, Collier County agencies and instrumentalities with the independent power to contract shall adopt rules and procedures implementing this Section. For the purposes of such ruies and procedures, where this section provides the Board of County Commissioners with impiementing authority, the Board of the agency or instrumentality shall exercise such authority, and where this section provides the County Manager with authority, the Executive Director of the agency or instrumentality shall exercise such authority, (" 12 Agenda Item No, 9G May 27, 2008 Page 18 of 32 XII. PAYMENT OF INVOICES A. It is the intent of the Board of County Commissioners that all agencies under its purview be in compliance with Section 218,70 F,S., otherwise known as the "Florida Prompt Payment Act", Pursuant to this, the requirements of this section shall appiy to the following transactions: 1. The purchase of commodities and services; 2, The purchase or lease of personal property; 3. The lease of real property. B, The Purchasing Director shall have the authority to establish and maintain a procedure that authorizes minor payment variances between the purchase order and invoice where warranted, The authority to pay such variances shall not exceed 5% of the purchase order amount or $500, whichever is less. C, Additionally, the Purchasing Director shall be permitted to establish and maintain a procedure that authorizes the payment of freight and delivery charges that are not specifically identified on the purchase order, D, it shall be the responsibility of the Purchasing Director, in consultation with the Finance Director and using agencies, to establish, distribute and administer procedures for the timely payment of all transactions as defined under XI.A hereof, Such procedures shall include, but not be limited to the following: 1. Formally defining the County's requirements for the content and submission of a proper invoice, codifying the County's payment requirements and formally notifying each vendor of their availability. 2. Steps required for the receipt of all invoices and the prompt return of improper invoices. 3, Steps required for the resolution of payment disputes between the County and a vendor. E, Each December, the Finance Director and the Purchasing Director shall submit a joint report to the Board listing the number and total dollar amount of interest penalty payments made during the preceding fiscal year. XIII. PAYMENT OF DUES FOR MEMBERSHiP IN PROFESSIONAL ORGANIZATIONS County funds may be used to pay for dues for membership in a professional or other organization provided that such expenditure meets the following criteria: 1, Such membership is deemed necessary to meet duties and responsibilities required by Federal, State or local mandate or to facilitate proper professional development. 2, The organization of membership is of a non-profit nature. 3, Sufficient funds are available within the proper appropriation unit/summary code, t3 Agenda Item No. 9G May 27, 2008 Page 19 of 32 XIV. STANDARDIZATION. COOPERATIVE PURCHASING AND GOVERNMENTAL CONTRACTS A. Where standardization is determined to be desirable by the Director, the purchase of commodities may be made by negotiation with the approval of the Board of County Commissioners if more than the competitive bid limit or by the County Purchasing/General Services Director if less than or equal to the competitive bid or negotiation threshold. B. The Director shall have the authority to approve purchases under State of Florida and Federal GSA cooperative contracts. The Director shall also be authorized to join with other units of government in cooperative purchasing ventures prior or subsequent to award when in the best interests of the County. If funds have already been budgeted, no further Board action will be required, In authorizing all such purchases under pre-existing agreements, the Director shall have determined that the term and conditions of the purchase are competitive in the market and favorable to the County, XV. CONTRACT ADMINISTRATION A, Contract Document: Every procurement of contractual services or commodities shall be evidenced by a written document containing all provisions and conditions of the procurement. Said document shall include, but not be limited to: 1. A iisting of the scope of services to be performed or commodities to be purchased, 2, A provision specifying the criteria and the final date by which such criteria must be met for completion of the contract. 3, A provision specifying the terms of cancellation by the County and where applicable, a provision specifying the terms of renewal. 4. Where applicable, a provision establishing the appropriate types and levels of insurance to be carried by the vendor. Said provision shall be employed in a manner consistent with minimum insurance standards approved by the Board of County Commissioners. 5. Where appiicable, pursuant to Section 287,133 F,S., a provision requiring the contractor/vendor to inform the County if he/she has been convicted of a public entity crime subsequent to Juiy 1, 1989. A purchase order that embodies these provisions shali be sufficient documentation of the procurement. The Purchasing Director shall have the discretion to determine the circumstances under which a purchase order (and all documents included by reference) shall serve as the contract document. B. Contract Manaoer: Every procurement of services shall be administered by the using agency (requesting department), C. Contract Chanoes: Notices issued under a purchase or contract may be authorized and executed by the Purchasing/General Services Director, excepting notices that terminate a Board-approved purchase or contract in its entirety, Modifications to a Board approved purchase or contract, including but not limited to change orders, supplemental agreements, amendments and changes by letter may be authorized and executed by the Purchasing/General Services Director provided .,r--, 14 Agenda Item No, 9G May 27, 2008 Page 20 of 32 that the change (or the sum of the changes) amounts to not more than the greater of (i) 10 percent of the current Board approved amount. or (ii) $10,000. The proviso at the end of the previous paragraph shall not be applicabie to term contracts or blanket purchase orders where the County desires to procure commodities and/or services on an as needed basis without having to obligate itself to a total contract amount. Rather, such purchases shall be based on fixed unit prices or other predetermined pricing methods and shall be limited in quantity by the amount of funds appropriated in the budget of the using agency(ies). Such purchases shall be subject to all other provisions of this policy, Notices that terminate an entire purchase or contract that was Board approved, and contract modifications that increase the total contract amount beyond the limits set forth above as applicable, shall require the approvai of the Board of County Commissioners or as otherwise provided for in this policy. The Board shall have broad authority, within the limits of the iaw, to evaluate and approve any recommended contract modification without requiring further competition. All deductive changes pertaining to the use of direct material purchases, including those that reduce the contract amount by more than ten percent below the current Board approved contract amount shall be reported to the Board monthiy as part of the monthly contract changes report and shall not require prior Board approval. D. Contract Extension: Extension(s) of a Board-approved contract for commodities or services may be requested by the contract manager to the Purchasing/General Services Director in writing for a period not to exceed six (6) months (cumulatively) and shall be subject to the same terms and conditions set forth in the initial contract. The Purchasing/General Services Director shall have the authority to authorize and execute all such extensions, Any extension(s) that exceed six months (cumulatively) shall be approved by the Board of County Commissioners. Extensions of contracts that do not (inclusive of the extension) exceed the formal competitive threshold may be authorized and executed by the Purchasing/General Services Director without Board action, E. Contract Renewai: The Purchasing/General Services Director shall have the authority to authorize and execute renewals of contracts for commodities and/or services subject to the following conditions: 1, That the Contractor has performed in a satisfactory manner and that the Director has received a request to renew from the Contract Manager verifying the Contractor's satisfactory performance, 2. That the agreement is renewed subject to the terms and conditions set forth in the initial contract. Costs and terms of any contemplated renewals are included in the invitation to bid or request for proposals. 3, That the renewal is done on an annual basis, commencing at the end of the initial contract period. Any such contracts shall not be renewed for more than 3 years unless competitively procured, Proposed renewals that fail to meet one or more of the conditions set forth herein will require the approval of the Board of County Commissioners, F, Contract Approval: All formal, biiateral contracts for commodities and services in excess of the formal, competitive threshold shall be authorized by the Board of County Commissioners, Such agreements for purchases less than or equal to the formal, competitive threshold may be authorized and executed by the Purchasing 15 Agenda Item No, 9G May 27, 2008 Page 21 of 32 Director, subject to the review and approval for legal sufficiency by the Office of the County Attorney. G, Work Orders (Not Under CCNA): The Purchasing/General Services Director may authorize and execute any work order if the work order is equal to or below such Board approvai parameters for work orders as are set forth in either the Board approved term contract for services under which the work order is generated, the solicitation document (s) that resulted in the contract or the Executive Summary that pertains to the contract. Modifications to a work order may be authorized and executed by the Purchasing/General Services Director, provided that the work order, as modified, does not exceed $100,000 or if it does, the change (or sum of the changes) does not exceed 10% of the current Board approved amount. The above provisions of the Section G shall not apply to work orders, or modifications to work orders, governed by Section VII.C above. H. Consent to Assionments of Contract: For ail contracts which exceed the formal competitive threshold, the Board of County Commissioners shail approve all assignments of contracts requested by the predecessor contracting party. For such requests for agreements below the formal competitive threshold, the Purchasing/General Services Director shall have the authority to approve assignments on behaif of the agency, I. Authority Limitation and Deleoation: Promuloation of Procedures: The Purchasing/General Services Director may delegate to one or more other Board employees any or ail aspects of the authority vested in the Purchasing/Generai Services Director to authorize and/or execute contracts or contract-related documents pursuant to Section VII.C above and Sections C through G of this Article XIV or otherwise under law. Ail authority to authorize and execute documents that is vested pursuant to this Article XIV in the Purchasing/General Services Director or any other person shall be subject to the limits of any applicable federal, state or other law. The Purchasing Department shail be responsible for estabiishing and maintaining administrative procedures that set forth any delegations of authority made pursuant to the foregoing provisions of this Section I, that set forth formal processes for each of the instruments referenced in this Article XIV, and that are in ail respects subject to the provisions of this Articie XIV. These procedures shall also set forth generalized requirements for (i) such pre- execution reviews of documents by the Office of the County Attorney and (ii) pre- execution reviews of documents by such other departments, if any, as the Purchasing/General Services Director determines to be appropriate and advisable. J, Pavments to Contractors. Vendors and Consultants r Prior to the execution of a formal contract subject to this policy, the Purchasing Department shail have the discretion to establish a formal payment schedule and payment terms within the agreement. Such terms and conditions shall be consistent with the requirements of ail applicable laws and the formal solicitation documents. 16 Agenda Item No, 9G May 27, 2008 Page 22 of 32 In accordance with Section 218.735 (8), F,S., the Purchasing Director shall establish procedures to reduce to 5% the amount of retainage withheld from each subsequent progress payment issued to a contractor where applicable. The Purchasing Director, or his designee, shall have the discretion to establish, in writing, a schedule(s) to further reduce the percentage of cumulative retainage held throughout the course of the project schedule where warranted. The discretion of the project manager to reduce the percentage of cumulative retainage shall be subject to the following: 1, That the term "cumulative retainage" is defined to mean "the dollar total of the funds retained from all payments issued under the contract divided by the gross dollar total of all monthly pay requests (or the total of all payment amounts deemed allowable by the project manager, whichever is less)", 2, That any decision to reduce retainage shall be formally communicated in a letter to the Contractor's appropriate representative and that the letter affirmatively states that the Contractor has performed the contract work in a satisfactory manner. 3. That the cumulative retainage not be adjusted until at least 50% of the work has been completed and payment has been issued. 4. That the Purchasing Director's letter expressly sets forth the percentage of cumulative retainage to be held for the remaining pay requests. The Purchasing Director's designee shall aiso be granted the discretion to authorize the partial reiease or payment of contract retainage to the contractor prior to final completion of all project work provided that: 1. The contractor has performed in a satisfactory manner to date. 2, The total aggregate work under the agreement is at least 50% completed and accepted (i,e.; payments equaling at least 50% of the contract amount less retainage have been issued) 3. The retainage dollar amount to be released is based upon and consistent with the prevailing percentage of cumulative retainage being held at the time that the retainage is released, XVI. PERFORMANCE AND PAYMENT BONDS A contractor or vendor shall provide a surety bond from a surety company to guarantee full and faithful performance of a contract obligation and the payment of iabor and material expended pursuant to a contract whenever, and in such amounts, as required by statute or otherwise as deemed necessary by the Purchasing Director, An irrevocable letter of credit from a financial institution operating within the State of Florida (or other alternative forms of surety as permitted under Florida law) may be sufficient in place of the performance bond if so provided for in the bid and contract documents. All such bonds or letters of credit shall be approved as to form by the County Attorney. XVII. UNAUTHORIZED PURCHASES No County officer or employee shall intentionally order, other than by purchasing card as permitted under this policy, the purchase of any commodities or services, or make any contract within the purview of this policy other than through the Purchasing Director. Any purchase order or contract made contrary to the provisions hereof shall not necessariiy 17 Agenda Item No, 9G May 27, 2008 Page 23 of 32 be approved and the County shall not be bound thereby, All purchases made within the provisions of this Policy shall be made with a purchase order or purchasing card, whichever is appropriate. In the event that a purchase transaction is found to be in violation of this policy, the Purchasing Director shall determine the facts pertaining to the transaction. In consultation with the appropriate operating department director, the Purchasing Director shall determine whether it is in the best interests of the County to proceed with the purchase and if so, under what conditions, If a determination is made to proceed with the purchase, all such transactions in excess of the formal competitive threshoid (or other applicable Board authorization thresholds set forth in this policy) shall require the approval of the Board. All such transactions equal to or less than the formal competitive threshold may be approved by the Purchasing Director. A. Exceotions: This section shall not appiy to the payment of premiums for insurance poiicies that have been acquired through prior Board action. This section shall not apply to nor supersede Resolution Nos, 86-30, 86-209 and 87-16. XVIII. PROHIBITION AGAINST SUBDIVISION No contract or purchase shall be subdivided to avoid the requirements of this Policy. XIX. PROTEST OF BID OR PROPOSAL AWARD The purpose of this section is to accommodate legitimate protests concerning formal competitive invitations and recommended contract awards above the competitive bid or proposal thresholds prior to award of contract by the Board of County Commissioners. A. Any actual or prospective bidder or respondent to an Invitation for Bids or a Request for Proposals, who alleges to be aggrieved in connection with the solicitation or award of a contract, (hereafter referred to as "the protesting party") may protest to the Purchasing Director, who shall serve as the sole recipient of any and all notices of intent to protest and all formal protests, B. All formal protests with respect to an Invitation for Bids or a Request for Proposals shall be submitted to the Purchasing Director in writing not less than four hours prior to the opening of bids or the closing time for acceptance of proposals, The Purchasing Director, In consultation with the contract manager (and other appropriate County staff), shall have the authority to address all such protests received under subsection B and to determine whether postponement of the bid opening or proposal closing time is appropriate, The Purchasing Director's decision shall be considered final and conclusive unless the protesting party files a subsequent formal protest of the recommended contract award as described under this section, C, Any actual or prospective bidder or respondent to an invitation for bids or a Request for Proposals who desires to formally protest a recommended contract award shall submit a notice of intent to protest to the Purchasing Director within two (2) calendar days, excluding weekends and County holidays, from the date of the initial posting of the recommended award. D. All formal protests with respect to a recommended contract award shall be submitted in writing to the Purchasing Director for a decision, Said protests shall be submitted within five (5) calendar days, excluding weekends and County holidays, from the date that the notice of intent to protest is received by the Purchasing Director. (" The formal protest shall contain, but not be limited to the following information: 18 Agenda item No, 9G May 27, 2008 Page 24 of 32 1. Name and address of County agency affected and the bid number and title. 2, The name and address of the protesting party, 3. A statement of disputed issues of material fact. If there are no disputed material facts, the written letter must so indicate, 4. A concise statement of the ultimate facts alleged and of any relevant rules, reguiations, statutes, and constitutional provisions entitling the protesting party to relief, 5, A demand for the relief to which the protesting party deems himself entitled. 6. Such other information as the protesting party deems to be material to the issue, E, In the event of a timeiy protest of contract award consistent with the requirements of this section, the Purchasing Director shall not proceed further with the award of the contract until all appropriate administrative remedies as delineated under this section have been exhausted or until the Board of County Commissioners makes a determination on the record that the award of a contract without delay is in the best interests of the County, Neither the protesting party, their agents or their representatives shall have any private contact or discussions with individual County Commissioners or any independent hearing officer (where appiicabie) regarding the protest prior to the protest being heard or reviewed by either of the aforementioned unless requested to do so by the Purchasing Director, F, The Purchasing Director shall review the merits of each timely protest and in consultation with the contract manager and other appropriate County staff, issue a decision stating the reasons for the decision and the protesting party's rights of appeal under section XVIII. Said decision shall be in writing and mailed or otherwise furnished to the protesting party, The decision of the Purchasing Director shall be final and conclusive uniess the protesting party delivers a subsequent written objection to the Purchasing Director within two (2) calendar days, excluding weekends and County holidays from the date of receipt of the decision, G, In the event of a subsequent objection pursuant to subsection F, the County Manager shall have the discretion to appoint an independent hearing officer to review the facts relevant to the protest. The appointed officer will have a maximum of 60 days to schedule and conduct a hearing into the matter and issue a finding of fact and a opinion in writing to the County Manager for submission to the Board of County Commissioners, Prior to commencement of the hearing, the protesting party shall be required to post a cash surety in an amount equal to one (1) percent of the using agency's estimate of the contract amount or one-thousand dollars ($1,000), whichever is iess, Should the Hearing Officer find in favor of the County, the protesting party shall forfeit the surety as partial payment for undue delay. Otherwise, the surety will be returned to the protesting party. H, In the event that the protest cannot be resolved by mutual consent, the matter will be referred to the Board of County Commissioners for final resoiution. I. Failure to file a formai protest within the time and manner prescribed by Section XVIII shall constitute a waiver of the right to protest by any protesting party as defined by subsection A of this section, XX. CONTRACT CLAiMS All actual or prospective claims arising against the County from contractors, vendors or any other party in direct privity with the County to provide commercial commodities or 19 Agenda Item No. 9G May 27,2008 Page 25 of 32 services shall first be directly addressed by the parties' administrative representatives in a manner consistent with the agreement between the parties and in accordance with the County's Procurement Administrative Procedures Manual. For any prospective or actual claims or disputes arising under any contract entered into by the County, the Purchasing Director shall have the discretion to arbitrate or mediate the claim or dispute or may appoint an independent third party to do so within the authorization threshold iimits of this policy, XXI. EMERGENCY PURCHASES A, Bv County Manaoer: In case of an emergency which requires immediate purchase of commodities or services in excess of the formal competitive threshold, the County Manager shall be empowered to authorize the Director to secure by open market procedure as herein set forth, any commodities or services, The County Manager shall have the authority to act in the case of any emergency including the issuance of emergency change orders/supplemental agreements. Any emergency action shall be reported at the first available regular or special meeting of the Board of County Commissioners, The County Manager shall further be authorized to approve payment(s) to vendors at the time of or shortly after purchase should the circumstances warrant. B. Bv Purchasino Director: In case of any emergency which requires immediate purchase of commodities or services equal to or less than the formal competitive threshold, the Purchasing Director shall be empowered to secure such services and commodities by open market procedure as herein set forth, Such action shall be reported immediately to the County Manager when appropriate, ~ This section in no way constrains the provisions of Collier County Ordinance No. 84-37. XXII. INSPECTION AND TESTING The Director shall inspect, or supervise the inspection of, or cause to be inspected, all deliveries of supplies or services to determine their conformance with the specifications set forth in an order or contract. A. Inspection bv Usino Aoencv: The Director shall have the authority to authorize using agencies having the staff and facilities for adequate inspection to inspect all deliveries made to such using agencies under rules and regulations which the Director shall prescribe. B, Testinq: The Director shall have the authority to require chemical and physical tests of samples submitted with bids and samples of deliveries which are necessary to determine their quality and conformance with specifications. In the performance of such tests, the Director shall have the authority to make use of laboratory facilities of any agency of the County or of any outside laboratory. XXIII. SURPLUS SUPPLIES AND TANGIBLE PERSONAL PROPERTY All using agencies shall submit to the Director, at such times and in such form as shall be prescribed, reports showing stocks of all tangible personal property which are no longer used or which have become obsolete, worn out or scrapped, (" A. Transfer: The Director shall have the authority to transfer surpius stock to other using agencies. 20 Agenda Item No, 9G May 27, 2008 Page 26 of 32 B. Sale: The Director shall have authority to sell aii supplies of a value less than the limits proscribed under Chapter 274 F,S" which have become unsuitable for County use. Saies under this section shaii be made to the highest responsible bid and in conformance with Section, 274, F.S. The Director shaii be authorized to approve all saies where the net revenue to the County does not exceed $50,000, Aii saies exceeding $50,000 in net revenue to the County will be approved by the Board prior to completing the sale or conducting the sales event. C. Trade In: The Director shall be authorized to approve purchases that include the "trade in" of existing items (including assets) pursuant to the purchase of new, replacement or upgraded items/services, D, Donation: Operating departments under the purview of the Board of County Commissioners shaii be authorized to accept items donated to the County. The receipt of all items not considered to be assets as defined under Florida law is to be documented by a letter from the operating department director to the donating entity, Items considered to be assets are to be documented using the appropriate forms and forwarded to the Fixed Assets Section of the Clerk of Courts Finance Division, Documentation is to include, but not be limited to: the date the asset(s) was received; the estimated fair market value of the asset(s); a description of the asset(s): a serial number if appiicable and the fund/cost center under which the asset(s) wiii be assigned. E, Disposition of Assets: The Director shall have the authority to determine whether previously-acquired items (including assets) that are no longer useful to the agency have commercial value and if not, to dispose of such items in an appropriate manner with or without offering such items for sale, trade or donation to other entities. The Fixed Assets Section of the Clerk of Courts' Finance Division will submitted a quarteriy report that identifies any assets that are disposed of under the provisions of this subsection. XXIV, PURCHASING CARD PROGRAM The Director shall be responsible for the overall management and operation of the County's purchasing card program. For the purpose of this policy, a purchasing card is a credit card officially assigned to specific employees under the purview of the Board of County Commissioners' agency for the purpose of transacting small and/or strategic purchases, The Director shall be authorized to assign cards to employees for these purchases, The Director shaii have the authority to establish the following dollar limits for each assigned card: A. Sinole Transaction Limit: Not to exceed $1,000 per card unless otherwise authorized by the Director, B, Monthlv Spendino Limit: authorized by the Not to exceed $10,000 per card unless otherwise Director. C. Strateoic Purchases: The Director may utilize (or delegate the authority to other Purchasing Department staff to utilize) a purchasing card to place orders that exceed the limits set forth under this section in instances where one or more of the following is true: 1. Where the purchase is to address a vaiid public emergency: or 2, Where the County will earn revenue through card program rebates; or 3. Where a vendor is requiring the County to order by purchasing card, 21 Agenda Item No, 9G May 27, 2008 Page 27 of 32 D. Sales Tax Compliance: Pursuant to Section 212,08(6), F.S., County purchases transacted with vendors within the State of Florida are exempt from the state sales and use tax, In such instances, it is the responsibility of the cardholder to provide the vendor with the appropriate tax exemption information when the card is presented to the vendor, In the event that the cardholder refuses to grant the tax exemption when the card is presented, the cardholder is authorized to allow the tax to be charged to the card. It is the position of the Board that it is not cost effective or in the pubiic interest to require a cardholder to seek a credit for sales tax collected when the total sale does not exceed $300, In the event that the total sale exceeds $300, the cardholder's department director (or their designee) is responsible to ensure the tax is returned to the County for the purchase. E. Rebates: All purchasing cards rebates will be credited to the generai fund unless otherwise specified by the Director. In all such instances, the Director shall ensure that the purchase has been approved subject to all other provisions of this policy, All fixed assets purchased using a purchasing card shall be properly recorded and tracked through the Fixed Assets Section of the Clerk of Courts Finance Division. The language of this section is not intended to supersede the provisions of Collier County Resolution 2006-49. XXV. SEVERABILITY If anyone or more of the provisions of this Policy should be held contrary to any provision of law or contrary to express law, though not expressly prohibited, or against public policy, or shall for any reason whatsoever be held invalid, then such provision(s) shall be null and void and shall be deemed severable from the remaining provisions of this Policy and in no way shall affect the validity of all other provisions of this Policy, XXVI. REPEAL PRIOR AND CONFLICTING All resolutions and policies or parts of resolutions and policies, in confiict herewith, are hereby repealed. EFFECTiVE DATE XXVII. An official copy of this Policy shall be filed in the office of the Clerk to the Board of County Commissioners immediately after enactment and this Policy shall take effect at that time. XXVIII. CONFLICT OF INTEREST When procuring commodities or services using County funds, each entity and employee under the purview of the Board of County Commissioners shall comply with all applicable state and federal laws concerning conflict of interest. For state or federal Community Development Block Grant-funded projects, entities and employees shall comply with the requirements of Part 85, Section 36(b)(3) of the Housing and Urban Development Code, XXIX. DEBARMENT AND SUSPENSION The Board shall grant authority to County staff to suspend and/or debar vendors, contractors, consuitants and other interested and affected persons from active participation in obtaining County contracts. The purpose of any such action shall be to protect the County's interests and the integrity of the County's contracting process, The ( 22 Agenda Item No, 9G May 27, 2008 Page 28 of 32 suspension and debarment processes shall be considered to be separate from and in addition to the award evaluation and vendor performance evaluation processes authorized elsewhere in this policy, A. Definition of Terms: For the purposes of this section, the following terms have been defined as follows: 1, Affiliate refers to associated business entities or individuais that controi or could control the contractor or are controlled by the contractor or could be controlied by the contractor, 2, Civil Judgment refers to a judgment or finding of a civil offense by any court of competent jurisdiction, 3, Contractor means any individual or legal entity that: a, Directly or indirectly (e,g.; through an affiliate), submits offers for or is awarded, or reasonably may be expected to submit offers for or be awarded, a County contract for construction of for procurement of commodities and services, including professional services; or b. Conducts business, or reasonably may be expected to conduct business, with the County as an agent, surety, representative or subcontractor of another contractor, c. For the purposes of this section, the terms "vendor" and "consultant" shall have the same meaning as "contractor" and the term "sub consultant" shall have the same meaning as the term "subcontractor". 4, Conviction means a judgment or conviction of a criminal offense, felony or misdemeanor, by any court of competent jurisdiction, whether entered upon a verdict or a plea, and inciudes a conviction entered upon a piea of no 10 contendere. 5. Debarment means action taken by the County to exciude a contractor from County contracting and County-approved subcontracting for a reasonabie, specified period as provided herein, 6, Preponderance of the Evidence means proof by information that, compared with that opposing it, leads to the conclusion that the fact at issue is more probably true than not. 7. Subcontractor: Any individual or legai entity that offers or agrees to provide commodities or services to a party deemed to be a contractor under this section. 8. Suspension refers to action taken by the Purchasing/General Services Director (hereinafter referred to as "the PGS Director") to temporarily disqualify a contractor from County contracting or County-approved subcontracting. B. Suspension: The Purchasing/General Services Director shall have the authority to suspend a contractor, subcontractor or person from consideration for award of contracts if there appears to be a reasonabie basis for debarment as set forth under Section XXXIX, If a suspension precedes a debarment, the suspension period shall be considered in determining the debarment period, The suspension period shall not exceed three months without the approval of the County Manager. A decision to suspend by the Purchasing/General Services Director shall be considered final and conciusive with no right of appeal. 23 Agenda Item No. 9G May 27, 2008 Page 29 of 32 C. Debarment: 1. Causes for Debarment: The prospective causes for debarment include one or more of the following: a. Conviction for commission of a criminal offense as an incident to obtaining or attempting to obtain a public or private contract or subcontract, or in the performance of such contract or subcontract. b, Conviction under state or federal law of embezzlement, theft, forgery, bribery, faisification or destruction of records, receiving stolen property, or any other offense indicating a lack of business integrity or business honesty which currently, seriously and directly affects responsibility as a contractor. c. Conviction under state or federal antitrust laws arising out of the submission of bids, proposals or other competitive offers. d, Violation(s) of county contract(s) provisions, which is (are) deemed to be serious and to warrant debarment, including the failure, without good cause, to perform in accordance with the terms, conditions, specifications, scope, schedule or any other provisions of the contract(s), e. Refusal to provide bonds, insurance or other required coverages and certifications thereof within a reasonable time period, f. Refusal to accept a purchase order, agreement or contract, or perform accordingly provided such order was issued timely and in conformance with the solicitation and offer received. g. Presence of principals or corporate officers in the business of concem, who were principals within another business at the time when the other business was suspended or debarred within the last three years under the provisions of this section. h. Violation of the ethical standards set forth under applicabie state or county laws, i. Debarment of the contractor by another public agency, j. Any other cause deemed to be so serious and compelling as to materially affect the qualifications or integrity of the contractor, 2. Debarment Procedure: a. The county department requesting the debarment action shall submit to the PGS Director a written complaint setting forth the reason(s) for seeking debarment and shall identify a recommended debarment period. b. The PGS Director shall review the complaint, verify whether it is compliant with the provision of this policy, direct any appropriate changes and forward the complaint to the contractor. r c. The contractor shall review the complaint and shall provide a written response (with supporting documentation) to each allegation. The 24 Agenda Item No, 9G May 27, 2008 Page 30 of 32 response shall be provided to the PGS Director within 10 (ten) business days of receipt of the allegations submittal. In the event that the contractor faiis to respond to the complaint within the prescribed time period, the complaint, as forwarded to the contractor, shall become an effective debarment decision without further appeal. d. In the event that the contractor fiies a timely and complete response to the complaint and the debarment action is based upon a conviction, judgment or other event(s) where there is no significant dispute over material facts, the PGS Director shall determine the period of debarment on the basis of the undisputed material information set forth or referenced in the complaint, the contractor's reply and the parameters set forth in this section. In the event that the Contractor objects to the PGS Director's decision, the Contractor shall have a maximum of three business days to file an appeal of the debarment decision with the PGS Director. The appeal will be forwarded to and considered by the County Manager (or his designee), who will review the debarment record compiled by the initiating department and the contractor. Should the County Manager overturn the PGS Director's decision: the County Manager shall formally cite the reasons for doing so, e, In the event that the contractor files a timely and compiete repiy to the complaint and where the facts are in dispute, the Purchasing Department will convene a debarment committee (hereinafter referred to as "the committee") consisting of at least three individuals who will review the complaint and the contractor's reply, The County Manager or his designee shall formally appoint the committee, which will generally consist of county empioyees, none of whom shall be a member of the department initiating the complaint At the discretion of the County Manager, a member from private industry with a particular area of relevant expertise may be appointed to the committee, provided that this member is not a direct or indirect competitor of the firm in question. The Office of the County Attorney shall appoint a representative to attend the hearing. The representative shall not be considered a voting member of the committee, but shall be available to provide legal counsel to the committee as necessary, All members appointed to serve on the debarment committee shall disclose, to the PGS Director, or his designee, any actual or prospective conflicts of interest at the time of appointment or at the time in which the member becomes aware of the actual or prospective conflict f. The PGS Director, or his designee, shall chair the committee and serve as the Purchasing Department's representative to the committee, The Purchasing representative shall preside over and facilitate the deliberations of the committee as a non-voting member and serve as the County's liaison to the Contractor in the debarment process. All voting committee members are prohibited from having any communication regarding the debarment issue outside the committee deliberations with any of the parties involved in the specific debarment or their representatives until after the committee decision has been issued or, in the event of an appeal of that decision by the Contractor, until the conclusion of the appeal process, All committee deliberations are subject to Section 286,011 F,S. g, Where the material facts are in dispute, the committee shall evaluate the evidence, judge the credibility of witnesses and base its decision upon the preponderance of the evidence. Should the contractor fail to appear at the debarment hearing, the contractor shall be presumed to be unqualified and 25 Agenda Item No, 9G May 27, 2008 Page 31 of 32 or non-responsive and shall be subject to debarment. The committee decision shall be by a majority vote of those voting members in attendance. The committee shall be the sole trier of fact. In the event that the committee decides to impose debarment, the debarment decision will formally include, but not be strictly limited to the following information: 1) The specific reasons for the debarment; 2) The scope of the debarment; and 3) The period of debarment, including the effective and expiration dates. The committee's decision shall be issued in writing within 20 business days of the conclusion of the hearing unless the committee extends this period for good cause. h. The PGS Director shall forward the committee's decision to the contractor and affiliates involved. Should the Contractor object to the committee's decision, the Contractor shall have a maximum of three business days to file an appeal of the debarment decision with the PGS Director. The appeal will be forwarded to and considered by the County Manager (or his designee), who will review the debarment record compiled by the initiating department, the contractor and the committee, Should the County Manager overturn the committee's decision; the County Manager shall formally cite the reasons for doing so. 3, Debarment Period: a, At its sole discretion, the committee shall determine the period of debarment. The debarment period shall be commensurate with the severity of the cause(s) and in no event shali be the debarment period exceed five years without the approval of the Board. b. At its sole discretion, the committee (having the same or different composition) may reduce the debarment period upon a written request from the contractor to do so, based on one or more of the following reasons: 1. Newly discovered material evidence; 2, A reversal of the conviction, civil judgment or other action upon which the debarment was based; 3. Bona fide change in ownership or management; 4, Elimination of other causes for which the debarment was imposed; or 5, Other reasons that the committee might deem appropriate, The contractor's request shall be submitted to the PGS Director in writing and shall be based on one or more of the aforementioned reasons. r-- , c. The decision of the committee regarding a reduction of the debarment period is final and not subject to appeal. 26 Agenda Item No, 9G May 27, 2008 Page 32 of 32 4, The Effects of Debarment: a. Debarred contractors are excluded from receiving County contracts. Departments shall not solicit offers from, award contracts to, or consent to subcontractors with debarred contractors, uniess the County Manager or his designee determines that emergency or singie source conditions exist and grants written approval for such actions. Debarred contractors are excluded from conducting business with the County as agents, representatives, subcontractors or partners of other contractors, b, The Purchasing Department shall notify all Board departments of the final debarment decision and the effects of that decision with regard to conducting business with the debarred entity(ies) during the debarment period, 5. Continuation of Current Contracts: a. Departments may not renew or otherwise extend the duration of current contracts with debarred contractors in place at the time of the debarment unless the PGS Director or his designee determines that it is in the best interests of the County to allow the contractor to continue or finish the work within an additional, limited period of time. b, Debarment shall constitute grounds for terminating an open agreement with a contractor. However, the contract manager may permit completion of an open contract( s) provided that the debarred contractor has performed in a satisfactory manner to date under the open contract(s) unless otherwise directed by the PGS Director. 6. Restrictions on Subcontracting: a, When a debarred contractor is proposed as a subcontractor for any subcontract subject to County approval, the department shall not consent to subcontracts with such contractors unless the County Manager or his designee determines that emergency or singie source conditions exist, thus justifying such consent and approves such decision. b, The County shall not be responsible for any increases in contract costs or other expenses incurred by a contractor as a result of rejection of proposed subcontractors pursuant to subsection 6,a provided that the subcontractor was debarred prior to the submission of the applicable bid or proposal offer. 7. The Scope of Debarment: Debarment applies to all officers, principals, directors, partners, qualifiers, divisions or other organizationai elements of the debarred contractor, unless the debarment decision is limited by its terms to specific divisions, organizational elements or commodity/services, The committee's decision includes any existing affiliates of the contractor if they are specifically named and are given written notice of the proposed debarment and an opportunity to respond, Future affiliates of the contractor are subject to the pre-existing terms of the committee's decision. 5/27/08 27