Procurement Standard Operating...

Collier County Board of County Commissioners

Procurement Standard Operating Procedures

(Based on Purchasing Ordinance 2013-69, Agenda Item 17J; Amended by Procurement Ordinance 2015-37 on June 23, 2015, Agenda Item 17E; Amended by Procurement Ordinance

2015-51, Agenda Item 17F)

2 Procurement Standard Operating Procedures

Approved: 1/20/2016

PROCUREMENT GUIDELINES INDEX

INTRODUCTION ................................................................................................................................. 3

SMALL PURCHASES ($3,000 OR LESS) .......................................................................................... 4

INFORMAL COMPETITION ................................................................................................................ 5

FORMAL COMPETITIVE THRESHOLD (PURCHASES IN EXCESS OF $50,000) ............................ 6

COMPETITIVE BID PROCESS ......................................................................................................... 12

PROCUREMENT OF PROFESSIONAL SERVICES ......................................................................... 14

COMPETITVE PROPOSALS ............................................................................................................ 16

PROCUREMENT OF DESIGN-BUILD CONTRACTS ....................................................................... 17

LOCAL VENDOR PREFERENCE ..................................................................................................... 18

PAYMENT OF INVOICES ................................................................................................................. 18

ADVANCED PAYMENT FOR GOODS AND SERVICES .................................................................. 20

STANDARDIZATION AND COOPERATIVE PURCHASING ............................................................ 21

CONTRACT ADMINISTRATION ....................................................................................................... 22

UNAUTHORIZED PURCHASES ....................................................................................................... 25

EXIGENT CIRCUMSTANCES, EMERGENCY PROCUREMENT AND BOARD ABSENCE ............. 26

PURCHASING CARD PROGRAM .................................................................................................... 26


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INTRODUCTION Procurement in Collier County is governed by Board of County Commissioners’ Purchasing Ordinance 2013-69, Agenda Item 17J; as amended by Procurement Ordinance 2015-37 on June 23, 2015, Agenda Item 17E; and as amended by Procurement Ordinance 2015-51 on September 22, 2015, Agenda Item 17F. The purpose for these guidelines is to provide the steps necessary to execute the Procurement Ordinance. These guidelines will ensure the fair and equitable treatment of all persons involved in public purchasing by the County, maximize the purchasing value of public funds in procurement, and provide safeguards for maintaining a procurement system of quality and integrity. These guidelines apply to the procurement of goods and services entered into by the County after the effective date of the Procurement Ordinance 2015-51. These guidelines apply to the expenditures of public funds by the Board of County Commissioners for public purchasing, irrespective of the source of the funds. Nothing within these guidelines will prevent the County from complying with the terms and conditions of any grant, gift or bequest that is otherwise consistent with law. These Procurement Guidelines may be updated, or modified for particular transactions, by the Director of Procurement Services. The County reserves the right to establish any one, or a combination of, these industry practices for contracts or purchase orders:

Lump Sum (Fixed Price): a firm fixed total price offering for a project; the risks are transferred from the County to the contractor; and, as a business practice there are no hourly or material invoices presented, rather, the contractor must perform to the satisfaction of the County’s project manager before payment for the fixed price contract is authorized. Generally speaking, these contracts are predictable and cost certain, easy to administer for the County and the Contractor, and foster higher levels of collaboration, and account for more than fifty (50%) percent of public sector projects. Time and Materials: the County agrees to pay the contractor for the amount of labor time spent by the contractor's employees and subcontractors to perform the work (number of hours times hourly rate), and for materials and equipment used in the project (cost of materials plus the contractor's mark up). This methodology is generally used in projects in which it is not possible to accurately estimate the size of the project, or when it is expected that the project requirements would most likely change. As a general business practice, these contracts include back-up documentation of costs; invoices would include number of hours worked and billing rate by position (and not company (or subcontractor) timekeeping or payroll records), material or equipment invoices, and other reimbursable documentation for the project. Generally speaking, the County assumes the project risk, the administration is more time consuming, and the County pays for the labor efforts and materials used to complete the project, including changes due to unforeseen conditions. Unit Price: the County agrees to pay a firm total fixed price (inclusive of all costs, including labor, materials, equipment, overhead, etc.) for a repetitive product or service delivered (i.e. installation price per ton, delivery price per package or carton, etc.). The invoice must identify the unit price and the number of units received (no contractor inventory or cost verification required).


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SMALL PURCHASES ($3,000 OR LESS) (Procurement Ordinance Section 7: Small Purchases)

Thresholds have been set that determine the processes required for each purchase. Purchasing thresholds are identified as one of the following:

7:1 Purchases issued under contracts 7:2 Small Purchases of $3,000 or Less 7:3 Bilateral agreements 7:4 Prohibition against subdividing

7:1 Purchases Issued Under Board Approved Contracts Purchases associated with an existing contract may be made using a purchase order or purchasing card in accordance with the terms of the contract. The purchase may be approved by the Procurement Services Director for amounts limited only by the operating division’s budget. Where multiple contracts exist for the same services, purchases will be distributed among the firms as approved by the Board or the Procurement Services Director. These purchases do not require additional Board approval. Non-contract purchases are goods or services not currently available on a Board or Procurement Services Director authorized contract. The Procurement Services Director may approve non-contract purchases up to the formal competitive bid threshold when justified and deemed in the best interests of the County. The Procurement Services Director may add non-contract goods or services to an existing similar contract subject to the terms and conditions outlined in the existing contract and the Board’s Procurement Ordinance Section 19 (C). 7:2 Small Purchases of $3,000 or Less Purchases that do not exceed $3,000, with at least one price quote obtained, may be approved by the Procurement Services Director without informal or formal competition by means of a purchase order, or the division may use a purchasing card, if a formal agreement is not identified. Operating divisions will seek the best value for the purchase and will ensure that the purchase supports the mission of the division. 7:3 Bilateral Agreements For vendors who require a signed bilateral agreement, memorandum of understanding/agreement, or other similar binding document, the Procurement Services Division Staff will complete negotiations with the vendor and forward the document(s) to the County Attorney for final review and approval. The Procurement Services Director shall execute the agreement. An approved bilateral agreement may be approved by the Procurement Services Director as long as the cumulative annual expenses are not greater than the formal competitive threshold. 7:4 Prohibition Against Subdividing Purchasing Transactions Purchasing transactions must not intentionally be subdivided or split into smaller transactions to avoid the requirements of the Procurement Ordinance. The Procurement Services Director will periodically review purchase order transaction reports to ensure that operating divisions do not subdivide or split purchases to avoid the threshold limits.


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INFORMAL COMPETITION (PURCHASES EXCEEDING $3,000 BUT NOT GREATER THAN $50,000)

(Procurement Ordinance Section 8: Informal Competition) Thresholds have been set that determine the processes required for each purchase. Purchasing thresholds are identified as one of the following:

8:1 Purchases issued under fixed term or continuing contract 8:2 Informal solicitations greater than $3,000 but not greater than $50,000 8:3 Bilateral agreements 8:4 Waiver from competition 8:5 Prohibition against subdividing

8:1 Purchases Issued Under Board Approved Fixed Term or Continuing Contract Purchases associated with an existing contract may be made using a purchase order or purchasing card in accordance with the terms of the contract. The purchase may be approved by the Procurement Services Director for amounts limited only by the operating division’s budget. Where multiple contracts exist for the same services, orders will be distributed among the firms as approved by the Board or the Procurement Services Director. These purchases do not require additional Board approval. Non-contract purchases are goods or services not currently available on a Board or Procurement Services Director authorized contract. The Procurement Services Director may approve non-contract purchases up to the formal competitive bid threshold when justified and deemed in the best interests of the County. The Procurement Services Director may add non-contract goods or services to an existing contract subject to the terms and conditions outlined in the existing contract and the Board’s Procurement Ordinance Section 19 (C). 8:2 Informal Solicitation Greater than $3,000 but not greater than $50,000 Three (3) written quotes will be sought by operating staff for purchases exceeding $3,000 but not greater than $50,000. Operating divisions will seek the lowest quote (based on quote identified unit or total price), qualified (meets minimum standards for license, certification, years of experience, bonding capacity, insurance, etc.) and responsive (submits information requested, agrees to meet timeline, terms, and conditions, etc.) for the purchase and will ensure that purchases are valid and serve the best interest of the public. Where operating staff are unsuccessful in securing three (3) comparable quotes, the operating division will provide additional information to the Procurement Services Division staff. The Procurement Director is responsible for: a) awarding all purchases, b) rejecting quotes and/or proposals as recommended by the Procurement Professionals, and c) approving all sole or single source purchases below the formal competitive threshold. An approved quote, for which the purchase is not greater than $50,000, is considered valid during the 12 month period starting from the date of the issuance of the purchase order. Purchases may be executed by the Procurement Services Director by means of a purchase order, or the division may use a purchasing card. 8:3 Bilateral Agreements


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For vendors who require a signed bilateral agreement, memorandum of understanding, contract, etc. the Procurement Services Division Staff will complete negotiations with the vendor and forward to the County Attorney for final review and approval. The Procurement Services Director shall execute the agreement. An approved bilateral agreement may be approved by the Procurement Services Director as long as the cumulative annual expenses do not exceed $50,000. 8:4 Waiver from Competition Competition may be waived by the Procurement Services Director as identified in Section 8 (B) of the Procurement Ordinance. 8:5 Prohibition Against Subdividing Purchasing transactions must not intentionally be subdivided or split into smaller transactions to avoid the requirements of the Procurement Ordinance. The Procurement Services Director will periodically review purchase order transaction reports to ensure that operating divisions do not subdivide or split purchases to avoid the threshold limits.

FORMAL COMPETITIVE THRESHOLD (PURCHASES IN EXCESS OF $50,000) (Procurement Ordinance Section 9: Formal Competitive Threshold)

Purchases generally fall into one of three categories: a) commodities, b) services, or c) professional services (under the Consultant’s Competitive Negotiation Act and Auditor Selection Processes). Within each category of purchase, there are different considerations including:

9:1 Method of purchase 9:2 Responsibilities 9:3 Immigration validation 9:4 Solicitation process 9:5 Solicitation documentation 9:6 Selection process 9:7 Waiver / exemption from competition 9:8 Contractual documentation 9:9 Approvals

In compliance with F.S. § 287.055, known as "The Consultants’ Competitive Negotiation Act" or “CCNA”, and the Auditor Selection Procedures (F.S. § 218.391), these professional services are competed under separate procedures . 9:1 Method Purchases over the formal competitive threshold will be procured as follows unless the purchase is governed by federal, state or other funding source guidelines.

1. Commodities: Purchase of goods over the formal competitive threshold are generally procured using a sealed bid.

2. Services: Purchase of services over the formal competitive threshold generally follows the request for proposal process, or similar methodology.


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3. Professional Services (includes the acquisition of professional CCNA architectural, engineering, landscape architectural or surveying and mapping services; and auditor services): Professional Services will be procured using a qualitative selection process that evaluates qualifications, competence, track record and availability. This professional service selection method will be utilized by the Procurement Services Director for a) a project that includes a fixed capital outlay study or planning activity which includes a grouping of minor construction, rehabilitation or renovation activities or a grouping of substantially similar construction, rehabilitation or renovation activities occur, b) a “continuing contract,” and/or c) a design build project.

9:2 Responsibilities Subject to formal competition, the Board is responsible for: a) awarding all purchases, b) rejecting bids and/or proposals as recommended by the Procurement Services Director, c) approving all sole or single source purchases in excess of the formal competitive threshold and d) waiving irregularities. The division(s) project manager(s) is responsible for drafting and submitting the background, scope of service (which may include general contractor responsibilities, technical specifications, drawings, permit requirements, special instructions, liquidated damage amount, etc.) and cost criteria and/or qualifications to assist in the decision making process. The Procurement Services Director is responsible for:

1. Seeking competition; 2. Determining whether solicitations may be issued in one or more steps or concurrent with one

or more firms; 3. Posting publicly the solicitation notice; 4. Sending solicitation notices to vendors that are registered in the vendor database; 5. Providing for solicitation documents to contain relevant local, state and federal requirements; 6. Approving and advertising any addendum to solicitation documents and making such

available to prospective contractors/vendors; 7. Prescribing, when necessary, for solicitation deposits to be made and describing such

requirement in the solicitation; 8. Recommending when solicitation bids and proposals should to be rejected; 9. Negotiating with the lowest responsive bidder if bid exceeds budgeted amount for purchase; 10. Negotiating with service vendors ranked most qualified; 11. Maintaining tools necessary for gathering past performance data, and consideration of that

data prior to award of contract; 12. Suspending vendors from the vendor database for continual non-response to solicitations,

violations of the Ordinance or procedures or inactivity in the electronic system; 13. Ensuring bids and proposals are publicly opened and witnessed at the time and place stated in

the solicitation notice; 14. Tabulating all bids/proposals and maintaining for public inspection; 15. Facilitating the appointment of selection committees for review of requests for proposals; and 16. Reviewing and approving all recommendations for award of contracts.

In preparing the solicitation document, the Procurement Services staff member, along with the project manager (s), may consider the following award criteria, or may identify other standards:

1. The ability, capacity and skill of the bidder/proposer to perform the contract, 2. The ability of the bidder/proposer 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/proposer, 4. The quality and performance of previous contracts awarded to the bidder/proposer,


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5. The previous and existing compliance by the bidder/proposer 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/proposer to provide future maintenance and service (where applicable), and,

8. Litigation history, references; criminal records; prior, pending or imminent claims or disputes with the County or other public agencies; as well as comparable relevant information as to the bidder’s principals and affiliated entities.

Prior to issuing the request for proposal, the Procurement Services Director will draft a memorandum for approval by the County Manager for the appointment of a selection committee to review the qualification submissions and/or proposals. Additional selection committee information will be available on the Procurement Services website. The contractor, vendor or consultant is responsible for:

1. Maintaining a profile in the online solicitation database; 2. Reviewing any solicitation addendum; 3. Responding in a timely manner outlined in the solicitation documents; 4. Identifying the solicitation number on the outside of sealed envelope if submitting a paper bid

or proposal; 5. Complying with local, state, federal and grant requirements as identified in the solicitation; 6. Publicly addressing the Board regarding a prospective purchase if requested to do so by the

Procurement Services Director or by a majority vote of the Board; and, 7. Filing intent to protest terms and conditions, specifications, or recommended contract awards

in a timely manner and as prescribed in the solicitation document and Procurement Ordinance. 9:3 Immigration Validation As authorized by the Illegal Immigration Reform and Immigrant Responsibility Act of 1996 (IIRIRA), the federal government requires companies to employ only individuals who may legally work in the United States – either U.S. citizens, or foreign citizens who have the necessary authorization. To ensure contractors, vendors or consultants comply with this requirement, Collier County requires that verification be provided to evidence that the contractors, vendors or consultants have in fact signed up for the U.S. Department of Homeland Security’s E-Verify system and have ensured that employees and subcontractors meet the requirement. All formal solicitations for the purchase of services and professional services will include language advising prospective contractors, vendors or consultants that they must register to use the federal E-Verify system. Commercially “off the shelf” products (COTS) are typically goods sold in substantial quantities in the commercial marketplace and offered to the County in the same form or with minor modifications. Vendors on County contracts for COTS items may be exempt from the E-Verify registration. 9:4 Solicitation Process

1. Commodities: A notice inviting bids is required and will be publicly posted by the Procurement Services Director at least ten (10) calendar days before the deadline for receipt of bid responses. Construction bids with an estimate of $200,000 - $499,999 will be posted for twenty-one (21) calendar days; projects estimated at $500,000 or more will be posted at least thirty (30) days.


Approved: 1/20/2016

2. Services: A notice inviting proposals is required and will be publicly posted by the Procurement Services Director at least twenty one (21) calendar days before the deadline for receipt of proposals.

3. Professional Services: A request for proposal is publicly announced and distributed by the Procurement Services Director at least twenty one (21) calendar days before the deadline for receipt of proposals.

9:5 Solicitation Documentation Solicitation documents will include description of commodities, services or professional services to be purchased, identify the evaluation procedures and criteria to be used, and if known, the historical spend from previous similar contracts, the anticipated spend if known or a general budget range. All solicitation documents will state where instructions and specifications are available for review and will state the time and place for opening. Notices may also be electronically sent to vendors who are registered in related commodities in the online vendor database. Solicitations may be conducted in one or more steps simultaneously or concurrent with multiple firms unless otherwise prohibited by applicable federal or state law or the terms of a grant program after review and approval by the Procurement Services Director. 9:6 Selection Process A tabulation of bids or a summary of proposals received will be made by the Procurement Services Director. Past performance data will be considered during the review. In the event that one or more vendor is recommended under the same solicitation, the method for distributing work under the resultant contract(s) will be identified in the executive summary and the contract(s). Methods for such distribution may include, but are not limited to: a) award specified scope/items to specified vendor(s); or b) award the work to a primary and secondary vendor(s); or c) for purchases exceeding $50,000, solicit quotes from all vendors under contract and award the work based upon the lowest, responsive quote; or d) rotate through all vendors awarded; or e) other methods as identified in the solicitation document, Executive Summary, and contract, or as approved by the Board. Local vendor preference, if applicable, will be considered and the right-to-match offer made, as identified in Section 15: Procedures to Provide Preference to Local Businesses in County Contracts. 1. Commodities

Award will be made to the lowest, qualified and responsive bidder unless there are other policies conflicting with this statement. In the event of a tie bid, the award will be given to the lowest tied bidder that can certify it has implemented a drug-free work place program subject to F.S. § 287.087. If all lowest tied bidders can provide such certification, the next step is to determine whether the bidders are considered a local business (Section 15: Procedure to Provide Preference to Local Businesses in County Contracts). If one (and only one) of the bidders is determined to be a local business, then award of contract will be made to that bidder. In the event that two or more local bidders or two non-local bidders are tied thereafter, award of contract will be made in accordance with a coin toss in the presence of both bidders. In the event that bids need to be rejected, the Procurement Services Director has the authority to issue a new solicitation prior to the formal rejection by the Board of the original bid offers. In the event that the Board elects to award the contract from the original solicitation offers or if the Board elects not to further pursue the purchase, the Procurement Services Director may cancel the new solicitation.

If the lowest qualified responsive bid exceeds the budgeted amount and/or cannot be funded in whole or in part by received grant dollars, the Procurement Services Director may negotiate with the bidder to attempt to bring the bid within budgeted limits unless prohibited by the source of funds. Refer to funding source guidelines to confirm. Any necessary negotiations and changes are to be outlined the executive summary.


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2. Services

Prior to the announcement and distribution of the Request for Proposals, a selection committee will be appointed by the County Manager, to evaluate the proposals received. The Procurement Services Director will distribute proposals to the selection committee to evaluate the proposals and to determine the best overall proposer meeting the minimum published requirements. The selection committee will review, score and rank the proposals in accordance with the procedures and selection criteria identified in the solicitation document. Upon completion of the selection process, the Procurement Services Director will post the results of the selection process on the Procurement Services Division Internet site.

In the event that proposals need to be rejected, the Procurement Services Director may issue a new solicitation prior to the formal rejection by the Board of the original solicitation proposals. In the event that the Board elects to award the contract from the original proposals or if the Board elects not to further pursue the purchase, the Procurement Services Director may cancel the new solicitation.

If the best overall proposer meeting the minimum published requirements exceeds the budgeted amount and/or the services cannot be funded in whole or in part by grant dollars, the Procurement Services Director may negotiate with the proposer to attempt to bring the proposal within budgeted limits unless prohibited by the source of funds. Any necessary negotiations and changes are to be outlined in the executive summary.

3. Professional Services

Prior to the announcement and distribution of the Request for Proposals, a selection committee will be appointed by the County Manager to evaluate the proposals received. A summary of all proposals will be made by the Procurement Services Director.

The selection committee will review statements of qualifications and performance data submitted in response to the solicitation and will select, in order of preference, no fewer than three firms deemed to be the most qualified, if at least three firms respond to the solicitation. If less than three firms respond, and after meeting due diligence, it is decided by the Procurement Services Director that every effort was made to comply with the requirements of F.S. § 287.055 or F.S. § 218.391, the operating division will proceed with the recommended ranking of the proposers to Board.

Following the Board’s approval of the rankings, the Procurement Services Director will commence negotiations with the firm ranked as most qualified. During such negotiations, the project scope, services and compensation will be defined. If discussions do not result in an agreed upon contract, negotiations will end with the proposer and begin with the proposer ranked second by the selection committee. If negotiations with second-ranked proposer fail, they will begin with the next ranked proposer.

9:7 Waiver / Exemption from Competition Purchases of commodities or services from a single or sole source may be exempted from formal competition after review by the Procurement Services Director and approval by the Board. The following purchases may have the requirement for competition waived: 1. Purchase of library books, education and/or personnel tests, similar audio visual materials,

periodicals, printed library cards, or other statutorily authorized exceptions. 2. Sole source purchases or single source purchases. 3. Valid public emergencies (pursuant to Section 25 of the Ordinance).


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4. Where it is determined to be in the best interests of the County to do so. Justification for a waiver may include a) public health or safety emergency; b) item(s) is the only one (proprietary) available that can properly perform the intended function(s); c) the recommended vendor/contractor is the only one ready, willing and able to meet the County's requirements; and/or d) it is determined to be in the best interests of the County. The County may determine it is in their best interest to waive competition due to an economic condition such as: responsible economic procurement relieves the County of potential additional expenses that would result from not making the purchase; use of another supplier would result in incompatibility or lack of standardization with existing conditions; use of another supplier would require considerable training, time and money to evaluate; the goods or services are being used in ongoing long-term projects; and/or the product or service offered is at a substantial discount below current market conditions and price structures. 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. The operating division will prepare an executive summary, complete a waiver / exemption form and compile supporting documentation and rationale and forward to the Procurement Services Director for review. Once reviewed and approved by the Procurement Services Director, the operating division may request Board approval at the next available agenda. Additional information is available on the Procurement Services Division website. 9:8 Contractual Documentation 1. Commodities: Contractual documentation may be either a Collier County purchase order or a

formal contract when there are additional terms and/or conditions required as a part of the purchase(s). Regardless of the instrument used, the document has a binding effect upon the County.

2. Services: Contractual documentation may be either a Collier County purchase order or a formal

contract when there are additional terms and/or conditions required as a part of the purchase(s). Regardless of the instrument used, the document has a binding effect upon the County.

3. Professional Services: Contractual documentation may be created in the form of a) a fixed term

contract, b) a continuing contract, or c) a bilateral contract. For each form of contract, subsequent purchase orders and/or work orders may be authorized by the Procurement Services Director in accordance with the terms of the contract.

The County may award a contract in accordance with F.S. § 287.055, if the firm provides professional services to the county for projects in which the estimated construction cost of each individual project under the contract does not exceed $2 million; for study activity if the fee for professional services for each individual study under the contract does not exceed $200,000; or for work of a specified nature as outlined in the contract required by the County. In such cases, the contract will be either for a set term or with no time limitation provided that the contract includes a termination clause.


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All contracts issued under this section will be eligible for extension or renewal in accordance with the provisions of the contract (see Section 19). Regardless of the instrument used, the document has a binding effect upon the County.

9:9 Approvals The final award will be made by the Board of County Commissioners. Prior to award, the Board may consider: a) the ability, capacity and skill of the bidder/proposer to perform the contract, b) the ability of the bidder/proposer to perform the contract within the time required or the least time, if appropriate, without delay or interference, c) the experience and efficiency of the bidder/proposer, d) the quality and performance of previous contracts awarded to the bidder/proposer, e) the previous and existing compliance by the bidder/proposer with laws and ordinances relating to the contract, f) the quality, availability and adaptability of the commodities or contractual services to the particular use required, g) the ability of the bidder/proposer to provide future maintenance and service (where applicable) and h) litigation history, references; criminal records; prior, pending or imminent claims or disputes with the County or other public agencies; as well as comparable relevant information as to the bidder’s principals and affiliated entities. All recommendations for awards will be reviewed and approved by the Procurement Services Director prior to presentation to the Board of County Commissioners. Bidders/proposers competing for a prospective 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 Procurement Services Director or by a majority vote of the Board.

COMPETITIVE BID PROCESS

(Procurement Ordinance Section 10: Competitive Bid Process)

A. Notice Inviting Bids:

1. Announcement: Notice inviting bids shall be publicly posted by the Procurement Services Division in a consistent public location at least ten (10) days preceding the last day established for the receipt of bid proposals. Specific projects or grants may require longer posting periods, in those instances the specific requirements would be used. Bids may be solicited and/or received in one or more steps as permitted by law and deemed appropriate by the Procurement Services Director.

2. Scope of Notice: The public notice required shall include a general description of the

commodities/services to be purchased or sold, the bid instructions and specifications, and the time and place for opening bids.

3. Bidders' List: The Procurement Services Director shall also solicit sealed bids from

qualified prospective vendors/contractors who have registered their names on the Collier County Procurement Services Division vendor database, which will electronically send them a notice of the proposed purchase or sale. Notices sent to the vendors/contractors on the Collier County Procurement Services Division 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 company information profiles in the database to ensure proper notifications are received. Vendors/contractors may


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be suspended from the database by the Procurement Services Director for continual non-response to formal solicitations and violations of the Procurement Ordinance. The Procurement Services Director may continue to issue formal solicitations and accept formal bids, proposals and other tenders using paper where appropriate.

4. Bid Deposits: When deemed necessary by the Procurement Services Director, bid

deposits shall be prescribed in the public bid notices. Said deposits shall be in the amount equal to five percent of the bid offer submitted unless a greater amount is required. The Procurement Services Director shall have the authority to return the deposits of all bidders upon award and approval of the contract by the Board of County Commissioners. A successful bidder shall forfeit any deposit required by the Procurement Services 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 already prepared specifications for which an invitation has been issued for formal quotations or an announcement has been posted for a formal sealed bid. Any addendum to a request for formal sealed bids shall be approved by the Procurement Services Director. The addendum shall clearly point out any addition or change to the invitation for bids. The Procurement Services Division shall be responsible for assuring that addenda are available on the on-line bidding 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. Sealed Bids: Sealed bids shall be submitted manually or electronically to the Procurement Services Director.

2. Opening: Bids shall be opened publicly at the time and place stated in the public

notices and shall be opened and witnessed by the Procurement Services Division. 3. Tabulation: A tabulation of all bids received shall be made either electronically or

manually by the Procurement Services Division and shall be available for public inspection pursuant to F.S. § 119.07.

C. Tie Bids: Where there are low tie bids, the award process shall first be subject to F.S. § 287.087. In the event that all of the tied bidders comply with F.S. § 287.087, the Procurement Services Division shall determine if any of the bidders would be considered a local business as defined under Section 15 of this Procurement Ordinance. If one (and only one) of the bidders is determined to be a local business, then award of contract shall be made to that bidder. In the event that two or more local bidders are tied thereafter, award of contract shall be made in accordance with Section 15(2)(b) of this Procurement Ordinance. D. Rejection of Bids and Negotiation:

1. The Board of County Commissioners shall have the authority to reject any and all bids. 2. Subsequent to applying the procedures set forth under Section 15(2)(b) (where

applicable), if the lowest, responsive bid exceeds the budgeted amount and, if the purchase is not funded in whole or in part with interagency grant dollars, the


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Procurement Services Director may negotiate changes with the apparent lowest qualified and responsive bidder that will bring prices into budgeted limits subject to the final approval and acceptance of the Board. If the budgeted amount includes grant funds, the Procurement Services 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

Procurement Services Director to purchase by negotiation under conditions most favorable to the public interest and when said purchase will result in the lowest ultimate cost of the commodities or services obtained.

E. Waiver of Irregularities: The Board of County Commissioners shall have the authority to waive any and all irregularities in any and all formal bids within lawful guidelines.

F. Award of Contract: The Chair or Vice Chair in the Chair’s absence, when authorized by majority vote of the Board, shall execute formal contracts having a binding effect upon the County. A formal contract shall be awarded by the Board of County Commissioners to the lowest, qualified responsive bidder. In addition to price the following may be considered:

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 proposed 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). 8. Prior litigation or administrative proceedings against the County where the bidder or the

bidder’s principal was a party. 9. Prior litigation or administrative proceedings involving the bidder or bidder’s principal. All recommendations for award for contracts will be reviewed and approved by the

Procurement Services Director prior to presentation to the Board of County Commissioners.

PROCUREMENT OF PROFESSIONAL SERVICES (Procurement Ordinance Section 11: Procurement of Professional Services)

A. Consultants' Competitive Negotiation Act.


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1. Contracts for professional architectural, engineering, landscape architectural or surveying and mapping services shall be procured in accordance with F.S. § 287.055, referred to as the Consultants’ Competitive Negotiation Act (CCNA). 2. Continuing contract. The County is authorized to enter into a continuing contract for CCNA services in accordance with the CCNA, whereby the firm provides professional services to the County for projects in which construction costs do not exceed $2,000,000.00, for study activity if the fee for each individual study under the contract does not exceed $200,000.00; or for work of a specified nature as outlined in the contract required by the County, with the contract being for a fixed term or with no time limitation, except that the contract must provide a termination clause. 3. Ranking of firms. The County, through the competitive proposal process, shall make a finding that the firm or individual to be employed is duly qualified to render the required service. The evaluation committee shall review statements of qualifications and performance data submitted in response to the public solicitation and shall select, in order of preference, no fewer than three firms deemed to be the most highly qualified, if at least three firms respond to the solicitation. If less than three firms respond, and after meeting due diligence, it is decided by the Procurement Services Director that every effort was made to comply with CCNA requirements, the County will conduct discussions with, and may require public presentations by, the responding firms regarding their qualifications, approach to the project and ability to furnish the required services. 4. Evaluation criteria. Pursuant to the CCNA, the evaluation criteria for ranking shall include factors such as: ability of firm and its professional personnel; firm experience with projects of a similar size and type; firm's willingness and ability to meet the schedule and budget requirements; volume of work previously awarded by the county; effect of the firms recent/current and projected workload; minority business status; location; past performance and when required, the public presentation. For continuing contracts, ranking and award shall be based on the criteria identified in the RFP document. For non-continuing contracts or project specific contracts, public presentation may be required. 5. Public presentation. The evaluation criteria for public presentation shall include factors such as the firm's understanding of the project, ability to provide required services within the schedule and budget, qualifications and approach to the project. 6. Contract negotiations. The ranking of firms for all CCNA contracts shall be presented to the Board of County Commissioners for consideration and approval. Upon Board approval of firm rankings, staff shall negotiate a contract with the most qualified firm (number one ranked firm) for professional services for compensation which is deemed to be fair and reasonable. Detailed discussions must be held by the firm and the County to establish the scope of the project and the exact services to be performed by the firm. Should the County and the firm fail to agree upon the terms of an acceptable contract, negotiations with the top firm shall be terminated and negotiations with the second ranked firm shall commence. If again unsuccessful, the process is repeated with the next ranked firm. This process is continued until a mutually agreeable contract is concluded or the project is abandoned, or the procurement process is otherwise terminated.

B. Other Professional Services. Because differences in price may only be a minor concern compared to qualitative considerations, professional services that fall outside the scope of the CCNA


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except as otherwise provided by law and outlined below, may be exempted by the Procurement Services Director from the competitive bidding process. Instead, professional services will be typically acquired through one of the following methods:

1. Competitive Selection and Negotiation as set forth immediately above; or 2. Competitive Proposals (pursuant to Section 12).

3. In addition to the definition set forth in the CCNA, 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:

a. Appraisal Services - real and personal property appraisers. b. Audit and Accounting Services - auditors and accountants (excepting the

selection of the annual auditor which shall be conducted as per F.S. § 11.45,). c. Consultants - planning, management, technological or scientific advisors. d. Financial Services - bond counsel, rating and underwriting, financial advisor,

and investment services. e. Legal Services - attorneys and legal professionals. f. Medical Services - medicine, psychiatry, dental, hospital, and other health

professionals. 4. Final selection of the professional service provider (award of contract) shall be made

by the Board of County Commissioners.

5. Requests for outside legal services will be consistent with both this Procurement Ordinance and the County Attorney’s Ordinance (Ord. No. 2013-34). The retention 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 Procurement Ordinance, and must first be approved by the Board.

COMPETITVE PROPOSALS (Procurement Ordinance Section 12: Competitive Proposals)

A. The Competitive Proposals process is a method of contract selection that may be utilized by the Procurement Services 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.


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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 vendor 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 solicitation process will be utilized. The process will be conducted in a manner similar to the sealed bid process as set forth under Section 10 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. Notice of said request(s) shall be publicly posted by the Procurement Services Division at least 21 calendar days preceding the last day established for the receipt of proposals.

2. Each Request for Proposals shall identify the evaluation procedures and criteria to be

applied to the selection of the best proposal among the respondents. Each RFP pertaining to the award of a design/build contract(s) shall be subject to the requirements of F.S. § 287.055 and Section13 below.

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. 4. Proposals may be solicited and/or received in one or more steps as permitted by law

and deemed appropriate by the Procurement Services Director. Unless otherwise prohibited by law, the Procurement Services Director shall have the discretion to solicit and conduct simultaneous or concurrent negotiations with one or more firms.

PROCUREMENT OF DESIGN-BUILD CONTRACTS (Procurement Ordinance Section 13: 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 design-build firm selected in a manner permitted under F.S. § 287.055 and the procedures set forth in this section. B. Upon completion of the Design Criteria Package, the procurement of Design/Build services shall be processed in a manner consistent with Section 12 hereof entitled "Competitive Proposals." C. 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 qualified design-build firm available at that time.


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LOCAL VENDOR PREFERENCE (Procurement Ordinance Section 15: Local Vendor Preference)

Compliance with local, state and federal laws as well as the requirements of funding sources is the responsibility of the operating division receiving the grant award. For the procurement of goods or services less than the formal competitive threshold, the operating division will make an effort to solicit one, or more, quotes from local vendors, if available. Due to the multiple funding streams applied to many construction projects and the attendant administrative burden of determining on an individual project basis whether 50 percent or more of cost will be paid from state-appropriated funds, staff have removed local vendor preference language from construction solicitations in order to insure compliance with the Florida Statute.

PAYMENT OF INVOICES (Procurement Ordinance Section 16: Payment of Invoices)

Except where otherwise provided by federal or state law or other funding source restrictions or as otherwise set forth in the Collier County Procurement Manual, the payment procedures include:

16:1 Credit card payments 16:2 Goods and non-construction services 16:3 Construction services 16.4 Annual report to the Board 16.5 Payable Report 16:6 Expenditure Report

16:1 Credit Card Payments Unless specified otherwise in the contract documents, payments are made in accordance with the Local Government Prompt Payment Act, F.S. § 218, or as provided for in the Board approved contract, to the County’s credit card financial institution. Operating divisions who utilize the County’s credit cards will be expected to review transactions, research purchase background, attach documentation and reconcile transactions per the County’s CMA 5808 Purchasing Card Program and Procedure. 16:2 Goods and Non-construction Services Unless specified otherwise in the solicitation and contract documents, payments are made in accordance with the Local Government Prompt Payment Act, F.S. § 218. In order to expedite payment, the County recommends that vendor invoices include: • Purchase Order Number. • Description and quantities of the goods or services provided per instructions on the County’s

purchase order or contract. Payment methods include: • Traditional – payment by check, wire transfer or other cash equivalent.


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• Standard – payment by purchasing card. Collier County’s Purchasing Card Program is supported by standard bank credit suppliers (i.e. VISA and MasterCard), and as such, is cognizant of the Rules for VISA Merchants and MasterCard Merchant Rules.

Upon delivery of the goods and/or completion of the services by the vendor, operating divisions acknowledge receipt in the County’s financial system. Invoices will be submitted to the Clerk of the Courts Finance Division by the vendor. Collier County reserves the right to withhold and/or reduce an amount of any payment for goods not received, work not performed, or for unsatisfactory performance of contractual requirements. The following invoice documentation will be requested for:

Lump Sum (Fixed Price): The invoice identifies a firm fixed total price offering for a project; the risks are transferred from the County to the contractor; and, as a business practice there are no hourly or material invoices presented, rather, the contractor must perform to the satisfaction of the County’s project manager before payment for the fixed price contract is authorized. Time and Materials: The invoices as a general business practice, includes back-up documentation of the number of hours worked and billing rate by position (and not company (or subcontractor) timekeeping or payroll records), material or equipment invoices, and other reimbursable documentation for the project. Unit Price: The invoice identifies the unit price and the number of units received (no contractor inventory or cost verification required).

Invoices will electronically workflow to the operating division who initiated the purchase order. To ensure compliance with prompt pay laws, operating divisions will process and / or approve valid invoices for goods and services for payment as quickly as possible. After review and approval by the operating division, the invoice will be pre-audited by the Clerk of Courts for determination of legality of expenditure. The legality of expenditure includes that the funds are spent for a public purpose, that the funds are spent in conformity with county procurement procedures or statutory bidding procedures, and, that the expenditure does not overspend the budget as finally adopted and recorded in the Office of the Clerk of Courts. In order to support the local vendor community and in compliance with the Fla. Stat. § 218.70, otherwise known as the "Local Government Prompt Payment Act”, the County established payment terms as “net immediate, unless otherwise determined by Florida Statute.” “Net immediate” is defined as the successful completion of the receipt of products or services by the operating division, a compliant pre-audit determination and approval by the Board as per Section 16 of the Procurement Ordinance (Payment of Invoices). Payments will be made for goods and/or services furnished, delivered, and accepted, upon receipt and approval of invoices submitted on the date of services or within six (6) months after completion of contract. Any untimely submission of invoices beyond the specified deadline period is subject to non-payment under the legal doctrine of “laches” as untimely submitted. Time is of the essence with respect to submission of invoices. In instances where the successful contractor may owe debts (including, but not limited to taxes or other fees) to Collier County, and the contractor has not satisfied nor made arrangement to satisfy these debts, the County reserves the right to off-set the amount owed to the County by applying the


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amount owed to the vendor or contractor for services performed or for materials delivered in association with a contract.

16:3 Construction Services The contractor will submit progress payment invoices, as outlined in the construction document(s), to the County’s project manager (or designee). After the date of each Application for Payment is stamped as received and within the timeframes set forth in F.S. § 218.735, the project manager, or designee will: (1) Indicate approval of the requested payment; (2) indicate approval of only a portion of the requested payment, stating in writing reasons therefore; or (3) return the Application for Payment to the Contractor indicating, in writing, the reason for refusing to approve payment. Payments of proper invoices in the amounts approved will be processed and paid in accordance with F.S. § 218.735. The County’s project manager will review and validate all documentation. 16:4 Annual Report to the Board Each December, the Procurement Services Director and the Clerk of the Courts Finance Director will prepare an executive summary and submit a report to the Board listing the number and total dollar amount of interest penalty payments made during the preceding fiscal year. 16:5 Payable Report to the Board Prior to payment, the Clerk of Court, or other Board approved payment official, will regularly present all outstanding invoice payable transactions to the Board. That payment official should prepare an executive summary which requests that the Board approve the payment with a finding that such payable serves a valid purpose. The report will minimally include the following detail for each transaction, including purchasing card transactions: record number, vendor name, division name, purchase order or purchasing card transaction number, invoice number and receipt date, purpose, and if purchasing card, merchant name who provided the service. 16:6 Expenditure Report The Clerk of Court, or other Board approved payment official, will regularly present all expenditures to the Board. That payment official should prepare an executive summary which requests that the Board approve the expenditure report prepared in accordance with F.S. §136.06 and is to be recorded into the Board’s Minutes.

ADVANCED PAYMENT FOR GOODS AND SERVICES (Procurement Ordinance Section 17: Advanced Payment)

As provided for in the Procurement Ordinance, F.S. § 28.235, and adopted by the State’s Chief Financial Officer’s adopted procedures, advanced payments are approved and authorized for dues and membership, insurance, maintenance agreements, subscriptions, travel arrangements, and postage. Advanced payments may be made for all other goods and services if approved in advance by the County Manager or designee up to Section 9: Formal Competitive Threshold; the Board may review and approve requests for advanced payment above the formal competitive threshold. The criteria for approval may include:

• Advance payment will result in a savings to the County, and/or,


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• The goods or services are essential to the operation of the County and are available only if advance payment is made.

Requests for advance payment approval must include information indicating that the payment meets one of the above criteria and that the division has complied with the applicable procurement requirements.

STANDARDIZATION AND COOPERATIVE PURCHASING (Procurement Ordinance Section 18: Standardization, Cooperative Purchasing Organizations and Governmental

Contracts) To secure purchases efficiently and economically, the Procurement Services Director will evaluate whether a purchase may be made by using a State of Florida or Federal GSA competitively bid or negotiated contract, a competitively solicited cooperative contract or a pre-existing competitive contract from another unit of government. The Procurement Services Director will verify that such cooperation will result in a fiscally competitive event and create process efficiencies in the best interest of the County. On an annual basis, the Procurement Services Director will create an executive summary for Board approval for the use of competitive purchasing cooperative organizations and government contracts. Operating divisions may use these contracts with no additional Board approval provided there are funds available in the operating division’s budget. For purchases made using Board approved cooperative or government contracts, a requisition is entered referencing the Board approved Executive Summary and any supporting quote or contract documentation by the operating division. As long as there is sufficient documentation, no additional action will be required. Use of cooperative or governmental contracts which have not been Board approved that are within the informal competitive threshold must be approved in advance by the Procurement Services Director. Attachments to the requisition may include Cooperative Governmental / Consortium Agreement form, quote information, bid tabulation or selection scoring/ranking, prices, contract, etc. Purchases using cooperative or governmental contracts which have not been Board approved that exceed the formal competitive threshold will be submitted to the Board on an executive summary prepared by the operating division. In authorizing all such purchases under pre-existing agreements, the Procurement Services Director will determine if a) the solicitation, terms and conditions of the purchase were competitive in the market and favorable to the County, b) the existing contract was publicly competed, procured by another public entity, or procured by a recognized public cooperative purchasing entity using a procedure substantially similar to those of Collier County, c) the existing contract is active at the time of order, d) the products and/or scope of services offered to the County are substantially similar to that in the existing contract, and e) where applicable, certificates of insurance and/or contract-related bonds have been obtained in accordance with prevailing County standards and state statutes. The Procurement Services Director may add non-contract goods or services to an existing similar contract subject to the terms and conditions outlined in the existing contract and the Board’s Procurement Ordinance Section 19 (C).


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CONTRACT ADMINISTRATION (Procurement Ordinance Section 19: 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 listing of the scope of services to be performed or commodities to be purchased. 2. A provision specifying the criteria and the final date, or number of days, by which such

criteria must be met for completion of the work. 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. A provision requiring the contractor/vendor to inform the County if he/she has been

convicted of a public entity crime subsequent to July 1, 1989. A purchase order that embodies these provisions shall be sufficient documentation of the

procurement. Except as otherwise provided in this Procurement Ordinance, the Procurement Services Director shall determine the circumstances under which a Board approved purchase order (and all documents included by reference) shall serve as the contract document.

B. Contract Manager: Every procurement of services shall be administered by the requesting divisions. C. Contracts: Notices that terminate in its entirety a Board-approved purchase or contract must be approved by the Board of County Commissioners prior to its termination.

1. Modifications to Work Orders, Change Orders, and Amendments issued under a purchase order or contract that exceed ten (10%) of the current Board approved aggregate amount , or twenty percent (20%) of the current Board approved number of days must be approved by the Board.

2. Modifications to Work Orders, Change Orders, and Amendments issued under a purchase

order or contract that do not exceed ten (10%) of the current Board approved aggregate amount, or twenty percent (20%) of the current Board approved number of days will be reported on the Procurement Services Administrative Ratification Report and presented to the Board for approval.

3. Modifications to Board approved purchases or contracts by the issuances of the following, but

not limited to, direct material purchases, notices to proceed or non-compliance, stop work notices, authorization for the use of approved allowances and reallocation of funds between line items, supplemental agreements, and changes by letter may be authorized and executed by the Procurement Services Director without further approval by the Board.

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4. All material changes in scope of contracts must be approved by the Board in advance. “Materiality: is defined as: 1) a significant change in the magnitude of work to be performed; 2) a change designed to procure a totally different item or drastically alter the quality, character, nature or type of work contemplated; and 3) whether the cost of the work ordered greatly exceeds the original contract cost. All non-material changes may be added be added by the Procurement Services Director.

5. Sections C.1 through C.3 shall not be applicable to fixed 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 operating division(s). Such purchases shall be subject to all other provisions of this Procurement Ordinance.

The Board shall have broad authority, within the limits of the law, to evaluate and approve any recommended contract modification without requiring further competition. D. Contract Extension: Extension(s) of a Board-approved contract for commodities or non-construction services may be requested by the contract manager to the Procurement 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 contract, if the extension period is provided for in the Board approved contract. The Procurement Services Director shall have the authority to authorize and execute all such extensions, which must be issued prior to the expiration of the contract. Any extension(s) that exceed six months (cumulatively) shall be approved by the Board of County Commissioners. E. Contract Renewal: The Procurement Services Director shall 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 Procurement Services Director has received a request to renew from the Contractor or Project Manager verifying the Contractor's satisfactory performance.

2. That the Board-approved contract pursuant to Section 9 Formal Competitive Threshold, provided for a renewal and is renewed subject to the terms and conditions set forth in the initial contract. Cost and term modifications are addressed in the original solicitation document and/or resultant contract.

3. That the renewal is done for a set period of time identified in the solicitation document

and/or contract, commencing at the end of the contract period. 4. That a contract under the formal competitive threshold with multiple renewal year

option terms may be approved annually by the Procurement Services Director. 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 contracts for commodities and services exceeding Section 9: Formal Competitive Threshold shall be authorized by the Board of County Commissioners. Once approved, subsequent purchase orders referencing those Board approved contracts may be issued by the Procurement Services Director.

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Contracts below Section 9: Formal Competitive Threshold shall be subject to the review and approval by the County Attorney staff and signed by the Procurement Services Director. Purchase orders may be issued by the Procurement Services Director. G. Work Orders: The Procurement Services Director may execute any work order if the work order is equal to or below such Board approval parameters for work orders as are set forth in the Board approved term contract for services under which the work order is generated. Work orders must be in sufficient detail to audit according to the approved contract. H. Consent to Assignments of Contract: For all Board approved contracts, the Board of County Commissioners shall approve all assignments of contracts requested by the predecessor contracting party. I. Authority Limitation and Delegation; Promulgation of Procedures: The Procurement Services Director may delegate to one or more Procurement Services Division employees any or all aspects of the authority vested in the Procurement Services Director. All authority to execute documents that is vested pursuant to this Section 19 in the Procurement Services Director or any other person shall be subject to the limits of any applicable federal, state or other law. J. Payments to Contractors, Vendors and Consultants: Prior to the execution of a formal contract subject to this Procurement Ordinance, the Procurement Services Director shall establish a formal payment schedule and payment terms within the agreement. Such terms and conditions shall be consistent with the requirements of all applicable laws and the formal solicitation documents. In accordance with F.S. § 218.735(8), the Procurement Services Director may establish, subject to Board approval, procedures to reduce to 5% the amount of retainage withheld from each subsequent progress payment issued to a contractor where applicable. The Procurement Services Director may establish, in writing, a schedule(s) to further reduce the percentage of cumulative retainage held throughout the course of the project schedule where warranted and according to law. Recommendation 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 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 Procurement Services Director’s letter expressly sets forth the percentage of

cumulative retainage to be held for the remaining pay requests.


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K. The Procurement Services Director may authorize the partial release 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 as verified in writing by

the Project Manager. 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.

UNAUTHORIZED PURCHASES (Procurement Ordinance Section 21: Unauthorized Purchases)

County employees and officers are expected to ensure they do not intentionally make a purchase of commodities or services or execute a contract for commodities or services in conflict with the Procurement Ordinance.

21:1 Purchases made contrary to policy 21:2 Rectifying violations 21:3 Consequences for violations

21:1 Purchases Made Contrary to Ordinance Any purchase or contract made contrary to or in violation of the Procurement Ordinance may not be valid and may not be approved, therefore not binding the County in any way. 21:2 Rectifying Violations When a purchase transaction is found to be in violation of the Procurement Ordinance, the Procurement Services Director will consider the facts pertaining to the transaction, and in consultation with the operating division director, will determine whether it is in the best interests of the County to proceed with the purchase. If a determination is made to proceed with the purchase, the purchase will be evaluated based on purchasing thresholds. The Procurement Services Director may approve the purchase if value is less than Section 9: Formal Competitive Threshold. If the purchase value exceeds the formal competitive threshold, the operating division director will create an executive summary for final Board review and approval. 21:3 Consequences for Violations All employees making purchases in violation of the Procurement Ordinance are subject to the provisions of CMA 5311.1 - 2 Standards of Conduct, failure or refusal to abide by the administrative procedures or business operations procedures set forth in the Human Resources Practices and Procedures which may lead to disciplinary action up to and including discharge.


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EXIGENT CIRCUMSTANCES, EMERGENCY PROCUREMENT AND BOARD ABSENCE

(Procurement Ordinance Section 25: Exigent Circumstances, Emergency Procurement and Board Absence)

In case of an exigent circumstance, which is defined as any circumstance requiring immediate action or attention, a valid public emergency, or during the Board’s extended recess session(s) (all efforts should be made to obtain Board approval prior to anticipated recesses) whereby a purchase is necessary, the County Manager shall authorize the Procurement Services Director to secure by open market procedure as herein set forth, any commodities or services. The County Manager shall have the authority to take actions including, but not limited to the issuance of contracts, change orders, and/or supplemental agreements. Any action shall be reported at the first available meeting of the Board of County Commissioners. The County Manager under the same consultations noted above shall further be authorized to approve payment(s) to vendors at the time of or shortly after purchase should the circumstances warrant. These payments shall be reported at the first available meeting of the Board.

This section in no way constrains the provisions of Collier County’s Civil Emergency ordinances or powers and authority pursuant to F. S. § 252, Emergency Management.

PURCHASING CARD PROGRAM (Procurement Ordinance Section 27: Purchasing Card Program)

(Also refer to CMA #5808)

The Procurement Services Director shall be responsible for the overall management and operation of the County’s purchasing card program in conformance with the Collier County Administrative Practices and Procedures Manual. For the purpose of this Procurement Ordinance, 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 Procurement Services Director shall be authorized to assign cards to employees for these purchases. The Procurement Services Director shall be responsible for establishing the following dollar limits for each assigned card: A. Single Transaction Limit: Not to exceed $1,000.00 per card unless otherwise authorized by the Procurement Services Director. B. Monthly Spending Limit: Not to exceed $10,000.00 per card unless otherwise authorized by the Procurement Services Director. C. Strategic Purchases: The Procurement Services Director may utilize (or delegate the authority to other Agency 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 valid 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.


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D. Sales Tax Compliance: Pursuant to F.S. § 212.08(6), 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 fails to provide the vendor with the appropriate tax exemption information when the card is presented the cardholder may be responsible for payment of the tax. It is the position of the Board that it is not cost effective or in the public 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 Director is responsible to ensure the tax is returned to the County for the purchase. In all such instances, the Procurement Services 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 reported to the Fixed Assets Section of the Clerk of Courts Finance Division so that it can be properly recorded.

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