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NEWPORT BEACH
City Council Staff Report
COUNCIL STAFF REPORT
CITY OF
February 9, 2016
Agenda Item No. 7
ABSTRACT:
Staff recommends the City Council rescind Resolution No. 5036 and adopt the attached
Resolution which establishes updated guidelines for the opening of contract bid
packages per the California Public Contract Code. The updated resolution also
formalizes the practice of receiving bids electronically.
RECOMMENDATION:
Adopt Resolution No. 2016-25, A Resolution of the City Council of the City of Newport
Beach, California, Rescinding Resolution No. 5036 and Establishing Updated
Guidelines for the Opening of Bids.
FUNDING REQUIREMENTS:
There is no fiscal impact related to this item.
DISCUSSION:
In 1959, the City adopted Resolution No. 5036, designating the City Clerk to receive
and open bids under the provisions of Section 5243 of the Streets and Highways Code
of the State of California. This Section was repealed in 1982 and was superseded by
Subsection 20414 of the California Public Contract Code which allows a person
designated by resolution to receive and open proposals or bids in public. The most
current Public Contract Code also states that agencies may adopt methods and
procedures to receive bids on public works or other contracts over the Internet as long
as no bid can be opened before the bid deadline and all bids can be verified as
authentic.
TO:HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM:David A. Webb, Public Works Director - 949-644-3311,
dawebb@newportbeachca.gov
PREPARED BY:Lucie Delorme, Management Analyst,
ldelorme@newportbeachca.gov
PHONE:949-644-3394
TITLE:Resolution Establishing Updated Guidelines for the Opening of Bids
Resolution Establishing Updated Guidelines for the Opening of Bids
February 9, 2016
Page 2
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The Public Works Department, the City Clerk’s Office and the City Attorney’s office
collaborated and prepared an updated Resolution to update guidelines for the opening
of bids on Public Works contracts, reflect applicable Public Contract Code sections, and
allow the City to receive Public Work project bids electronically. A key provision in
receiving electronic bids is the stipulation that bids remain sealed until the bid deadline
and administrators are able to verify bids are authentic. Currently, the City is utilizing
PlanetBids, an online vendor and bid management system company, competitively
selected by the Finance Department.
Utilizing an online vendor registration and bid management system has become a
standard within the industry. Potential contractors receive electronic invitations,
requests, and project information allowing them to discern their interest in submitting
bids for capital projects. The system improves efficiency and transparency by displaying
the potential bidders, actual bidders, contractor questions and staff responses, and
other common requests for information. All prospective contractors must then register to
view the project specifics in order to submit bid documents. Bids cannot be viewed or
opened by staff or other users until the official bid opening date and time.
The public may electronically view the generic project information without registering.
However, in order to view the project details including the plans, specifications, and
addendums, the interested party must register. This is important because it allows the
City to reach out to all interested parties for any project questions, responses, and
changes known as addendums during the bidding period. It also informs all of the
interested parties of the final bid results. That being said, all of the plans, specifications
and addendums are also available at the Public Works Department office for review by
the public during normal business hours. Also, a set of plans and specifications is
placed in the City Council Chamber for review by the City Council at the date of the
contract award.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action is not subject to the California
Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not
result in a direct or reasonably foreseeable indirect physical change in the environment)
and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA
Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no
potential for resulting in physical change to the environment, directly or indirectly.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of
the meeting at which the City Council considers the item).
Resolution Establishing Updated Guidelines for the Opening of Bids
February 9, 2016
Page 3
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ATTACHMENTS:
Attachment A – Resolution 2016-____
Attachment B – Resolution No. 5036
RESOLUTION NO. 2016–____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH, CALIFORNIA RELATING TO THE
OPENING OF BIDS AND RESCINDING RESOLUTION NO.
5036
WHEREAS, pursuant to Section 1110 of the City Charter, the City Council is
authorized to establish standards and procedures applicable to the bidding and award
of contracts for projects for the construction or improvement of public buildings, works,
streets, drains, sewers, utilities, parks and playgrounds; and
WHEREAS, on June 15, 1959, the City Council adopted Resolution No. 5036,
which authorized and designated the City Clerk to open, examine and declare bids
received pursuant to Section 5243, Chapter 9, Part 3, Division 7 of the Streets and
Highways Code of the State of California; and
WHEREAS, Section 5243 of the Streets and Highways Code of the State of
California, has been superseded by provisions of the California Public Contract Code;
and
WHEREAS, the California Public Contract Code provides that the City may
adopt methods and procedures to provide for receipt of bids on public works contracts
over the Internet; and
WHEREAS, the City Council of the City of Newport Beach deems that adopting
of a procedure providing for electronic submissions of bids on public works will expedite
City business and encourages the use of an efficient and cost-effective method of doing
business.
NOW THEREFORE, the City Council of the City of Newport Beach hereby
resolves as follows:
Section 1: The recitals provided above are true and correct and are
incorporated into the operative part of this Resolution.
Section 2: The City Clerk, or his/her designee, is hereby authorized and
designated as the officer who shall open all proposals or bids, examine and declare the
proposals or bids received for all work, or for furnishing materials, supplies or
equipment, or any portion thereof as authorized by the City Charter and State law
including, in a public meeting called by her for that purpose. The City Clerk, or his/her
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Resolution No. 2016-__
Page 2 of __
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designee, shall report the results of the bidding to the City Council at the next regular
meeting after opening of the bids.
Section 3: The City Council does hereby authorize the City Clerk to receive
bids on public works or other contracts over the Internet, but only if no bid can be
opened before the bid deadline and all bids can be verified as authentic.
Section 4: That on or after the date of this Resolution, the City Council does
hereby rescind Resolution No. 5036 in its entirety and adopts this Resolution
establishing updated guidelines for the opening of bids on public works contracts as that
term is defined in Chapter 1.6 California Public Contract Code.
Section 5: If any section, subsection, sentence, clause or phrase of this
resolution is, for any reason, held to be invalid or unconstitutional, such decision shall
not affect the validity or constitutionality of the remaining portions of this Resolution.
The City Council hereby declares that it would have passed this Resolution, and each
section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any
one or more sections, subsections, sentences, clauses or phrases be declared invalid
or unconstitutional.
Section 6: The City Council finds the adoption of this Resolution is not subject to
the California Environmental Quality Act (“CEQA”) pursuant to Sections 15060(c)(2) (the
activity will not result in a direct or reasonably foreseeable indirect physical change in
the environment) and 15060(c)(3) (the activity is not a project as defined in Section
15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3,
because it has no potential for resulting in physical change to the environment, directly
or indirectly.
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Resolution No. 2016-__
Page 3 of __
3
Section 7: This Resolution shall take effect immediately upon its adoption by the
City Council, and the City Clerk shall certify the vote adopting the Resolution.
ADOPTED this ____ day of _________, 2016.
______________________
Diane B. Dixon
Mayor
ATTEST:
__________________________
Leilani I. Brown
City Clerk
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RESOLUTION NO. 5036
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH, CALIFORNIA, IN THE MATTER OF THE
OPENING OF BIDS RECEIVED FOR WORK UNDER DIVISION
7 OF THE STREETS AND HIGHWAYS CODE OF THE STATE
OF CALIFORNIA
WHEREAS, Section 5243;,-Chapter 9, Part 3, Division 7
of the Streets and Highways Code of the State of California
has been amended to authorize the legislative body by resolution
to designate an officer to open, examine and declare bids
received pursuant to any of the work authorized under said
Division; and
WHEREAS, the City Council of the City of Newport Beach
deems that the adoption of said procedure would tend to greatly
expedite City business.
NOW, THEREFORE, IT IS HEREBY RESOLVED BY THE
CITY COUNCIL OF THE CITY OF NEWPORT BEACH,
CALIFORNIA, AS FOLLOWS:
SECTION 1. That on or after the date of this Resolution,
pursuant to the authority granted by Section 5243 of the Streets
and Highways Code, the City Clerk be and she is hereby authorized
and designated as the officer who shall open, examine and declare
the proposals or bids received for all work, or for furnishing
materials, supplies or equipment, or any portion thereof authorized
by said Division 7 of the Streets and Highways Code, and shall,
open all proposals or bids in a public meeting called by her for
that purpose, and report the results of the bidding to the City
Council at the next regular meeting after the opening of the bids.
SECTION 2. That the City Clerk be and she is hereby
authorized and instructed to insert in all such notices inviting
bids the time and place of said public meeting and the officer
designated to open, examine and declare bids received, pursuant
1-
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to Division 7 of the Streets and Highways Code, and that the same
shall be submitted to the City Council at its next regular meeting
after said openingfor the consideration of the said City Council.
APPROVED and ADQFTED this
he City of Newport Beh,
California t
ATTEST:
CITY CLERK
STATE OF CALIFORNIA
COUNTY OF ORANGE , SS
CITY OF NEWPORT BEACH )_
959
I, MARGERY SCHROUDER, City Clerk of the City of Newport Beach,
California, DO HEREBY CERTIFY that the foregoing Resolution, being
Resolution No.5036 was duly passed, approved and adopted by the
City Council of said city, approved and signed by the Mayor, and
attested by the City Clerk, all at an adjourned regular meeting_
of said City Council held on the 15th day of June 1959
and that the same was passed and adopted by the following vote,
to wits
SEAL)
AYES: councilmen Kingsley, Atkinson, Higbie, Stoddard,
Hart, Lorenz, Somers
NOES: Councilmen None
ABSENT: Councilmen None
Dated this 16th day of June 1959.
CITY CLERK of the City of
Newport Beach, California
2-
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STATE OF CALIFORNIA )
COUNTY OF ORANGE )
CITY OF NEWPORT BEACH )
SS
I, MARGERY SCHROUDER, City Clerk of the City of Newport
Beach, California, do hereby certify that according to the records
of the City of Newport Beach filed and maintained in my office,
the foregoing Resolution No. 5036 was duly and
regularly adopted, passed, and approved by the City Council of
adjourned
the City of Newport Beach, California, at a regular /meeting of
said City Council held at the regular meeting place thereof, on
the 1_ 5t_ day of Jae 9 1959, by the following
vote, to wit:
AYES, COUNCILMENs Kingsley, Atkinson, Higbie, Stoddard,
Hart, Lorenz, Somers
NOES, COUNCILMEN: None
ABbENT, COUNCILMEN. None
Dated this 16th day of June 9 59
City Clerk Ind Ex-Officio Clerk of the
City Council, City of Newport Beach,
State of California.
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