For Economic Development Committee [August 12, 2021]
TO: Honorable Economic Development Committee Members
FROM: Marcus Fuller, City Manager
Title
Consideration of an Update to Rialto Municipal Code 2.48 - Purchasing Ordinance
Body
BACKGROUND:
Chapter 2.48 of the Rialto Municipal Code regulates the City's purchasing procedures, and was originally adopted pursuant to Ordinance No. 742 on March 20, 1978. At that time purchasing regulations were established requiring City Council approval of any purchase or contract in an amount exceeding $10,000 - the City Administrator's "Signature Authority."
Amendments to the purchasing regulations have occurred over time, as follows:
* Ordinance No. 1062, adopted May 3, 1989 to implement a 1% local business preference.
* Ordinance No. 1165 adopted March 3, 1992 replacing Chapter 2.48 in its entirety to update and conform to bidding standards at that time, including an increase of the Signature Authority to $15,000.
* Ordinance No. 1201, adopted November 2, 1993 to implement a 2% local business preference.
* Ordinance No. 1334 adopted July 2, 2002 replacing Chapter 2.48 in its entirety to update and conform to bidding standards at that time.
* Ordinance No. 1664 adopted February 26, 2019 amending certain provisions within Chapter 2.48
The last whole-sale update to the purchasing procedures was in 2002, and the Signature Authority of $15,000 has not been updated since 1992.
ANALYSIS/DISCUSSION:
The City's current purchasing regulations have not kept pace with changes in state law, or to allow for greater administrative efficiencies. For a city with a total budget of $200 million but with a Signature Authority of only $15,000 - the City Manager has limited ability to operate efficiently without burdening the City Council with approvals related to the most mundane and ministerial purchasing items.
The purchasing regulations are in need of an update to better identify the purchasing regulations related to materials, s...
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