Chapter 16. Purchasing

Chapter 16 PURCHASING

ARTICLE I Title

§ 16-1. Title.

ARTICLE II Definitions

§ 16-2. Definitions.

ARTICLE III Purchases, contracts and agreements; when to let by bids

§ 16-3. Bidding not required.

§ 16-3a. Purchases, and contracts under the threshold amount

§ 16-3a. Subdividing Contract prohibited.

§ 16-3b. Purchase and contracts under state contract.

§ 16-3c. Purchase and contracts in case of emergency.

§ 16-4. Bidding required.

§ 16-4a. Purchase and contracts exceeding the threshold amount

§ 16-4b. Exempted purchases and contracts.

ARTICLE IV

§ 16-5. Designation.

§ 16-6. Authority and powers to make awards and contracts under the threshold amount

§ 16-6a. Solicitation of quotations for purchases and contracts $1000. or more.

§ 16-6b. Quotations not required for purchases and contracts less than $1000.

§ 16-7. Authority and power to advertise and receive bids.

§ 16-8. Authority and power to award purchases and contracts exceeding the threshold amount in cases of emergency.

ARTICLE V Receipt of bids and award and execution of contracts.

§ 16-9. Receipt of Bids, location.

§ 16-10. Award of contracts to lowest responsible bidder.

§ 16-11. Execution of contracts and agreements.

ARTICLE VI PURCHASE CONTROL

§ 16-12. General provisions.

§ 16-12a. Form.

§ 16-12b. Requisition.

§ 16-12c. Approval.

§ 16-12d. Treasurer.

§ 16-12e. Purchase order.

§ 16-13. Department statement.

§ 16-14. Approval of purchase order

§ 16-15. Emergency work

§ 16-16. Miscellaneous purchases from particular vendor, limitation.

§ 16-17. Inspection upon delivery and performance.

§ 16-18. Encumbrance reservation.

§ 16-19. Inconsistency.

§ 16-20. Severability.

§ 16-21. Effective date.

[HISTORY: Adopted by the Township Council of the Township of Gloucester as

Ord. No. 0-84-58 on l-14-85.](Amended 6-12-89 by Ord. No. 0-89-27.)

BE IT ORDAINED by the Township Council of the Township of Gloucester, in the County of Camden, New Jersey, that Chapter 16 of the Code of the Township of Gloucester, entitled "Purchasing" be and is hereby amended to read as follows:

ARTICLE I Title

§ 16-1. TITLE.

This ordinance shall be known and may be cited as the "Gloucester Township Purchasing and Payment of Claims Ordinance."

ARTICLE II Definitions

§ 16-2. DEFINITIONS.

For the purpose of this ordinance, the terms herein are defined as followings:

CONTRACTING AGENT - The Township Official having the power to prepare the advertisements, to advertise for and receive bids and, as permit­ted by law and authorized by this ordinance, to make awards for the Township in connection with purchases, contracts or agreements.

TOWNSHIP COUNCIL - the Township Council of the Township of Gloucester, in the County of Camden, New Jersey.

"THE THRESHOLD AMOUNT - that amount established under the provisions of N.J.S.A. 40A:11-3 as the amount under which public contracts may be negotiated or awarded without public advertisement of bids.

TOWNSHIP - The Township of Gloucester, in the County of Camden, and State of New Jersey.(Amended 6-12-89 by Ord.No. 0-89-27)

ARTICLE III Purchases, contracts and agreements when to be let by bids.

16-3. Bidding not required; Purchases and contracts under the threshold _____ amount.

Any purchase, contract or agreement for the performance of any work or the furnishing or hiring of materials or supplies, the cost or price of which, together with any other sums expended or to be expend­ed for the performance of any work or services in connection with the same immediate program, undertaking, activity or project or the furnishing of similar materials or supplies during the same fiscal year paid with or out of public funds, does not exceed the total sum of under the threshold amount in the fiscal year may be made, negotiated or awarded without public advertising for bids, as provided by N.J.S.A. 40A:11-3.(Amended 5-29-85 by Ord. No. 0-85-31) (Amended 6-12-89 by Ord.No.0-89-27)

16-3a. Subdividing Contract Prohibited.

No purchase, contract or agreement, which is single in character or which necessarily or by reason of the quantities required to effectuate the purpose of the purchase, contract or agreement, in­cludes the furnishing of additional services or buying or hiring of materials of supplies or the doing of additional work, shall be subdivided, so as to bring it or any of the parts thereof under the maximum price or cost limitation of the threshold amount thus dispensing with the requirement of public advertising and bidding therefor; and in pur­chasing or contracting for or agreeing for the furnishing of, any services, the doing of any work or the supplying of any materials or the supplying or hiring of any materials or supplies, included in or incident to the performance of completion of any project, program, activity or undertaking which is single in character or inclusive of the furnishings of additional services or buying or hiring of mate­rials or supplies or the doing of additional work, or which requires the furnishing of more than one article of equipment or buying or hiring of materials or supplies, all of the services, materials or property requisite for the completion of such project shall be includ­ed in one purchase, contract or agreement.

(Amended 5-29-85 by Ord. No. 0-85-31.) (Amended 6-12-89 by Ord.No. 0-89-27)

§ 16-3b. Purchases and contracts under state contract.

The purchase of materials, supplies or equipment may be made without advertising for bids or having rejected all bids pursuant to advertising therefor, if the purchase is to be made under any contract or contracts for such materials, supplies or equipment entered into on behalf of the State of New Jersey by the Division of Purchase and Property in the Department of the Treasury as provided under N.J.S.A. 40A:11-12.

§ 16-3c. Purchases and contracts in case of emergency

Any purchase, contract or agreement for work, labor, materials, supplies or services may be negotiated or awarded without public advertising for bids and bidding notwithstanding the cost or contract price will exceed the threshold amount when an emergency affecting public health, safety or welfare requires immediate delivery of the article or the performance of services, provided the award or the making of such purchase, contract or agreement is made in compliance with the pro­visions of N.J.S.A. 40A:11-6.

(Amended 5-29-86 by Ord. No. 0-85-31.)(Amended 6-12-89 by Ord. No. 0-89-27.)

§ 16-4. Bidding required; Purchase and contracts exceeding the threshold ­­______ amount.

Every contract or agreement for the performance of any work or the furnishing or hiring of any materials or supplies, the cost or the contract price is to be paid out of public funds, not included within the terms or Paragraph A of Section l shall be made or awarded by the Township Council after public advertising for bids and bidding there­for, except as otherwise exempted or specifically provided by law; and no work, materials or supplies shall be undertaken, acquired or furnished for a sum exceeding in the aggregate the threshold amount, except by contract or agreement, as provided in N.J.S.A. 40A:11-4. (Amended 5-29-85 by Ord. No. 0-85-31.) (Amended 6-12-89 by Ord. No. 0-89-27.)

§ 16-4b. Exempted purchases and contracts.

Any purchase, contract or agreement of the character described in Paragraph A of § 16-4 may be negotiated or awarded by the Township Council without public advertising for bids and bidding if said purchase, contract or agreement is exempted or otherwise enumerated under the provisions of N.J.S.A. 40A:11-5 as an exception to the requirement of advertising for bids and bidding.

ARTICLE IV Contracting Agent

§ 16-5. Designation.

The Business Administrator and Director of the Department of Administration of the Township of Gloucester shall be, serve and act as, the contracting agent for the Township Council of the Township of Gloucester pursuant to the provisions of the Local Public Contracts Law (N.J.S.A. 40A:11-1, et seq.)

§ 16-6. Authority and powers to make awards and contracts under the threshold amount.

The contracting agent, in accordance with the provisions of N.J.S.A. 40A:11-3, shall be, and is hereby authorized and empowered by general delegation, to make, negotiate and award on behalf of the Township of Gloucester, without public bidding, all purchases, con­tracts or agreements for the purchases, contracts or agreements for the performance of any work or the furnishing or hiring of materials of supplies as provided in such statute, the cost or price of which does not exceed the sum of the threshold amount, (Amended 5-29-85 by Ord. No. 0-85-31.) (Amended 6-12-89 by Ord. No.0-89-27.)

§ 16-6a. Solicitation of quotations for purchases and contracts $1,000 or more.

Prior to the award of any purchase, contract or agreement which does not require public advertisement for bids and bidding but which is or exceeds the estimated cost or price of $1,000.00 (except for professional services), the contracting agent shall solicit at least three (3) quotations whenever practicable and the award shall be made on the basis of the lowest responsible quotation received which quotation is most advantageous to the Township, price and other factors considered; provided, however; that if the contracting agent deems it impracticable to solicit competitive quotations in the case of extraordinary unspecifiable services or in the case of any other purchase, contract or agreement awarded hereunder, having sought such quotations, determines that it should not be awarded on the basis of the lowest quotation received, the contracting agent shall file a statement of explanation of the reason or reasons therefor which shall be placed in the file with the purchase, contract or agreement.

§ 16-6b. Quotations not required for purchases and contracts less than $1000.

Any purchase, contract or agreement which does not require public advertisement for bids and bidding and the cost or price of which does not exceed $1,000.00 may be made, negotiated and awarded by the contracting agent without the solicitation of three (3) quotations.

§ 16.7. Authority and power to advertise and receive bids.

The contracting agent, in accordance with the provisions of N.J.S.A. 40A:11-80 and 23, shall be and is hereby authorized and empowered, by general delegation, to prepare advertisements, to advertise for and to receive bids for all contracts or agreements for the performance of any work or the furnishing or hiring of any mate­rials or supplies, the cost or the contract price of which exceeds the sum of the threshold amount, and which contracts or agreements are required, pursuant to the provisions of N.J.S.A. 40A:ll-4, to be awarded by the Township Council after advertising for bids and bidding. Notwith­standing said general authorization and delegation, the Township Council, from time to time, may by resolution authorize the Township Engineer or some other Township official to prepare specifications, advertisements and to advertise for bids on contracts and agreements for specific projects or undertakings under the supervision and with the approval of the contracting agent. In no event, however, shall the contracting agent or other person authorized to prepare specifica­tions or advertisements actually advertise for bids on any contract or agreement unless prior authorization or approval therefor is specif­ically granted by the Township Council. (Amended 5-29-85 by Ord. No. 0-85-31.)(Amended 6-12-89 by Ord. No. 0-89-27.)

§ 16-7a. Preparation of Advertisements.

In preparing advertisements and advertising for and receiving bids, the contracting agent shall comply with the applicable pro­visions of the Local Public Contacts Law (N.J.S.A. 40A:11-1, et seq.) and the Local Public Contracts Guidelines and Regulations promulgated by the New Jersey Department of Community Affairs, Division of Local Government Services.

§ 16-7b. Receiving and reporting bids.

At the designated and advertised time and place at which all bids are to be received and opened, the contracting agent shall publicly receive the bids and thereupon immediately proceed to unseal them and publicly announce the contents, which announcement shall be made in the presence of any parties bidding or their agents, who are then and there present, and shall also make proper record of the prices and terms, upon the minutes of the Township Council, if the award is to be made by the Township Council, or in a book kept for such purpose if the award is to be made by other than the Township Council, and in such latter case it shall be reported to the Township Council for its action when such action thereon is required. No bids shall be re­ceived after the time designated in the advertisement.

§ 16-8. Authority and power to award purchases and contracts exceeding the threshold amount, in cases of emergency.

The contracting agent, in accordance with the provisions of N.J.S.A. 40A;11-6 shall be and is hereby authorized and empowered to negotiate to award a purchase, contract or agreement for work, labor, materials, supplies, or services without public advertising for bids and bidding notwithstanding that the cost or contract price will exceed the threshold amount, when an emergency affecting the public health, safety, or welfare requires immediate delivery of the articles or the performance of services, provided the award or making of such pur­chases, contracts or agreements are made in accordance with the terms and provisions of said statute. (Amended 5-29-85 by Ord. 0-85-31.)

(Amended 6-12-89 by Ord. No. 0-89-27.)

ARTICLE V Receipt of bids and award and execution of contracts.

§ 16-9. Receipt of bids, location.

All bids solicited pursuant to public advertising shall be sealed and received at the Municipal Building in the Township of Gloucester at the time designated in the public notice and no bid shall be received after the time designated. All sealed bids submitted pursuant to public advertising shall be publicly opened and announced at the time and place designed in the public notice.

§ 16-10. Award of Contracts to lowest responsible bidder.

All purchases, contracts, or agreements which require public advertisement for bids and bidding shall be awarded to the lowest responsible bidder as provided by law.

§ 16.11. Execution of contracts and agreements.

All contracts and agreements awarded by the Township Council and authorized pursuant to law shall be executed and signed on behalf of the Township of Gloucester by the Mayor and shall be attested by the Township Clerk. In those instances where the cost or price of the purchase, contract or agreement is less than the threshold amount, the contracting agent may execute and sign the purchase, contract or agreement on behalf of the Township of Gloucester. (Amended 5-29-85 by Ord. No. 0-85-31.) (Amended 6-12-89 by Ord.No. 0-89-27.)

ARTICLE VI Purchase Control

§ 16-12. General procedures.

All purchases to be made by the contracting agent on behalf of the Township, for supplies, materials, equipment, labor or other contractual services, the cost or price of which does not exceed the threshold amount, and are not required to be advertised for bid and awarded by the Township Council, shall be made pursuant to and in accordance with a requisition and purchase order system which shall operate as fol­lows: (Amends 5-29-86 by Ord. No. 0-85-31.)(Amended 6-12-89 by Ord. No. 0-89-27.)

A. Form: A written prenumbered requisition and purchase order combined in one (1) form and consisting of an original and four copies, prepared and prescribed by the Business Admin­istrator, shall be utilized in making all purchases.

B. Requisition: The head of a department in need and requiring the purchase of supplies, materials, equipment, labor or other contractual services, shall prepare, complete, code and sign a prescribed requisition form for the same.

C. ApprovaL: Each requisition shall be submitted to and approved by the contracting agent. If the contracting agent shall approve the same, he shall indicate his approval by affixing his signature thereon.

D. Treasurer: Each requisition shall be submitted to the Treasurer who shall ascertain the existence of proper and sufficient appropriations for the requisitioned purchase. If there exists sufficient unencumbered appropriations for such purpose, the Treasurer shall authorize the purchase by signing the requisition and assigning a purchase order number.

E. Purchase Order: The purchase order and copies shall be distributed as follows:

1) Original - shall be given to the vendor. It shall be the voucher which is to be properly completed and signed by the vendor and submitted to the Treasurer for approval and payment after satisfactory delivery or performance of the supplies, materials, equip­ment, labor or other service furnished or provided by the vendor.

2) First Copy - shall also be given to the vendor. It shall be the purchase order.

3) Second Copy - shall be given to the department that is to receive the purchase, When the purchase is received, the second copy shall be given to the contracting agent to review the same and then returned to the Treasurer with the delivery or invoice ticket. If no delivery or invoice ticket is available, the person receiving the goods or services shall so signify in writing.

4) Third Copy - shall be retained by the Treasurer and filed in alphabetical order until payment is made. Thereafter it shall be pulled from said file and filed in alphabetical order in a paid file.

5) - shall be retained by the Treasurer and after payment is made, returned to the Department Head originally making the requisition.

§ 16.13. Department statement.

Each Department shall follow the prescribed requisition and purchase order system, and upon request of the contracting agent,shall submit a complete statement of the supplies, materials, equipment, work,labor and services under contract which will be required for said Department during the ensuing year, half year or quarter year, as the contracting agent may determine, according to the best estimate of the Department Head. Such statement shall be in writing and in such form and detail as the contracting agent may require.

§ 16-14. Approval of purchase order.

No officer, employee, agent or servant of the Township shall make any purchase on the part of the Township unless such shall have been properly approved and authorized by a purchase order.

§ 16-15. Emergency work.

In cases of emergency, during off-hours, work may be authorized but a purchase order must be obtained therefor on the next working day.

§ 16-16. Miscellaneous purchases from particular vendor, limitation.

In instances where numerous miscellaneous purchases are made from a particular vendor, a purchase order may be issued in an amount not to exceed Two Hundred Fifty ($250.00) Dollars for a specific month. When the purchases total said sum, an additional purchase order may be issued in an amount not to exceed Two Hundred Fifty ($250.00) Dollars for a specific month.

§ 16-17. Inspection upon delivery or performance.

The contracting agent shall make, or cause to be made proper inspection and inquiry of purchases to ascertain whether the supplies, materials, equipment, labor or services have been delivered or per­formed in accordance with specifications of the purchase order or contract.

§ 16-18. Encumberance reservation.

Upon approval of a requisition and assignment of purchase order by the Treasurer, the Treasurer shall cause an encumberance reserva­tion in the amount of the proposed purchase or contract to be made against said requisition for said purchase or contract; provided, however, that if the purchase or contract is made under a specific budgetary line item appropriation therefor, the encumberance reserva­tion shall be against such line item appropriation. No purchase or contract shall be authorized unless there is available sufficient uncommitted unencumbered appropriations to provide for payment there­for.

The Township Treasurer shall prepare and issue a purchase order, establish and maintain files and records and cause an encumberance reservation to be made against the appropriate budgetary line item for all purchases, contracts or agreements made, authorized or awarded by the Township Council.

§ 16-19. Inconsistency.

All ordinances and provisions thereof inconsistent with the provisions of this ordinance shall be and are hereby repealed to the extent of such inconsistency.

§ 16-20. Severability.

If any section, subsection, sentence, clause, phrase or portion of this ordinance is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such section, subsection, sentence, clause, phrase or portion shall be deemed a separate, distinct and independent provisions and holding shall not affect the validity of the remaining portions thereof.