Charter
608. Public contracts.

The City Council shall, by ordinance, adopt procedures and requirements for the purchase of supplies and equipment; for the provision of personal services, including without limitation, professional consultant agreements in excess of $50,000; and for the award of bids for public works projects. Such an ordinance should preserve public confidence in the integrity and openness of the City contracting process, protect public funds, and insure that the City obtains materials or service of appropriate quality. To the extent permitted by law, the City Council shall adopt procedures which encourage the award of City contracts to disadvantaged or minority persons. Pursuant to an ordinance duly adopted by the City Council, the personal services agreements subject to the dollar requirements of this Section may be adjusted by an amount no greater than the cumulative percentage increase in the Consumer Price Index as measured from the operative date of the last such adjustment, provided that such adjustments shall occur only once in any five year period. The Consumer Price Index (CPI) shall be the CPI for All Urban Consumers for the Los Angeles, Long Beach, Anaheim Metropolitan Area (All Items), provided by the United States Bureau of Labor Statistics or other comparable index determined to be appropriate by the City Council.

(Amended by Res. No. 1354CCS, adopted 12/14/54; General Municipal Election, November 3, 1992; certified by Res. No. 8503CCS)

Municipal Code
2.24.071 Public works contracts.

(a) Every contract involving an expenditure of more than one hundred seventy-five thousand dollars for public works projects including, but not limited to, the construction of public buildings, streets, drains, sewers, utilities and parks shall be let to the best bidder after publication of a notice inviting bids therefor. The publication shall be in a newspaper of general circulation in the City of Santa Monica, by two or more insertions, the first of which shall be published at least ten days before the time for opening bids. All notices inviting bids issued under this subsection (a) shall also be posted on the City’s online vendor portal website.

(b) Public works contracts of one hundred seventy-five thousand dollars or less may be let to contract by informal purchasing procedures as set forth in Section 2.24.090(b).

(c) For public works projects estimated to exceed one million dollars in cost or for public works projects with unique or complex characteristics, the City Manager may authorize a phased selection process for determining the best bidder if the characteristics of the project, including, but not limited to, its size, complexity, uniqueness or potential impact on the City, are such that a phased process would best effectuate the public interest. The phased selection process shall solicit, review and evaluate the qualifications of prospective bidders in accordance with the criteria set forth in Santa Monica Municipal Code Section 2.24.072, with project specifications and with such administrative instructions, rules and regulations as may be issued by the City Manager. The best bidder shall be competitively selected from those prospective bidders who have been determined as qualified to responsibly complete the project in accordance with applicable City criteria. The City Manager is authorized to issue administrative instructions, rules and regulations as necessary for the purpose of satisfying the requirements of this subsection.

(d) The City Council may reject any and all bids received whenever in the opinion of the City Council:

(1) The bid or bids do not comply with the bid notice and specifications;

(2) The proposed project or purchase should be abandoned or delayed;

(3) The materials or services may be purchased more reasonably on the open market or the work done less expensively by City personnel;

(4) The bids are higher than anticipated and a new call for bids would result in savings to the City;

(5) The best interests of the City would be served by a rejection of any or all bids.

(e) By two-thirds affirmative vote of its membership, the City Council may forego the bidding procedures otherwise required by this Section if the City Council finds that:

(1) The goods or services can be purchased more economically on the open market;

(2) There exists no competitive market for the provision of the goods or services necessary to construct the public works project; or

(3) Due to urgent necessity, the public health, welfare or safety would be jeopardized if the bidding procedures of this Section were followed.

(f) During any period of declared state of local emergency, the City Manager, the Emergency Services Manager, or the Purchasing Agent is authorized to implement such practices, policies and procedures for the construction, maintenance, or repair of public works projects as are necessary to protect the public health, welfare or safety without otherwise complying with this Section, if the City Manager or the Emergency Services Manager finds that complying with this Section would cause unnecessary expense or delay. The City Manager shall report all such findings at a regular meeting of the City Council no later than thirty days after the finding is made. (Added by Ord. No. 1743CCS § 2, adopted 5/10/94; amended by Ord. No. 1931CCS § 1, adopted 12/22/98; Ord. No. 1998CCS § 2, adopted 1/9/01; Ord. No. 2447CCS § 2, adopted 11/26/13)