Local Preference Purchasing Ordinance - PowerPoint PPT Presentation

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Local Preference Purchasing Ordinance

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  1. Local PreferencePurchasing Ordinance City of Salinas

  2. Presentation Goals • Local preference purchasing benefits • Explain Local Preference Ordinance • Doing business with the City • Communicate with local businesses

  3. Local Preference Purchasing Benefits • Support local economy • Higher employment rates • Increase sales and Measure V tax • Supports City services • “Buy local” and “shop local”

  4. Ordinance History • Local groups request “buy local program” • Council approved the “Win-Win” program • Adopted on October 9, 2008 • Salinas Municipal Code Article III Section 12-27.1

  5. Win-Win Local Preference Program • Supports local businesses • Locals can compete against non-locals • Provides sound fiscal policy • Award to “lowest responsible bidder”

  6. Business Points • Locals get 10% preference • Right of first refusal • Business located within City limits • Must have Salinas business license • Must pay sales tax if applicable • Purchases over $5,000 • Supplies, equipment, nonprofessional services • Formal and informal bids

  7. Business Points (Does Not Apply) • Professional services • Construction bids • Emergency purchases • Direct or sole source purchases • Some grant funded purchases

  8. Physicians Attorneys Appraisers Architects Engineers Auctioneers Consultants Arbitrators Designers Auditors Insurance Professional Services Evaluation Based on Qualifications

  9. Local Business Requirements • Current business license • Business License Application • Business must be within City limits • In business locally one year prior to bid

  10. Informal Bids • Purchases over $5,000 to $20,000 • Bids usually conducted by phone • Need hard copy of quote or bid • Ensure correct item being quote • Authorized signature

  11. Formal Bids • Purchases over $20,000 • Bid document • Bid opening advertised (no later than ten days) • Award needs Council approval

  12. Cooperative Purchasing Groups • California Statewide Contracts • California Multiple Award Schedule (CMAS) • Western States Contracting Alliance (WSCA) • US Communities • National Intergovernmental Purchasing Alliance (National IPA) • Houston-Galveston Area Council (HGAC)

  13. Cooperative Purchasing • Conduct their own formal bid process • Over $20,000 needs Council approval • Successful local competition

  14. When is the City requesting bids? • Salinas Californian “Legal Section” • Website www.ci.salinas.ca.us/ • Contact Purchasing at 758-7371

  15. How does City find local businesses? • Communicate with local business organizations

  16. Local Business Organizations • Salinas Chamber of Commerce • Salinas Oldtown Association • Salinas United Business Association • Salinas Valley Builders Exchange • Grower-Shipper Association of Central California

  17. City Goals • Ordinance compliance • Knowledge of City bid procedures • Communication with local business organizations