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CITIZEN ADVOCACY CENTER

GUIDE TO PROCUREMENT

 

THE 1999 DUPAGE COUNTY PURCHASING ORDINACE

Introduction

Goods or non-professional services between $0 and $1,000.

Goods or non-professional services between $1,001 and $4,999.

Goods or non-professional services between $5,000 and $9,999.99.

NON - PROFESSIONAL SERVICES FOR LESS THAN $10,000 CHART

PROCUREMENT OF GOODS AND SERVICES THAT COST MORE THAN $10,000, ARE NOT CLEARLY DEFINED, OR ARE PROFESSIONAL SERVICES CHART

Competitive Sealed Bid for goods or non-professional services greater than $10,000.

Request for Proposal (RFP).

Procurement of Professional Services

Exceptions to Procurement Policies

 

 

INTRODUCTION

The 1999 DuPage County Procurement Ordinance states that"[t]he underlying purpose and policies of this ordinance are to manage the procurement process in accordance with the law; spend tax payer's money wisely and fairly; protect against fraud and favoritism; and to best meet the needs of DuPage County Departments through continuous improvement of purchasing systems and procedures." (DuPage County, IL Code art. 6 §2-300-1-101)(1999).

This ordinance attempts to obtain two sometimes-conflicting goals of maximizing both the efficiency and the transparency of the County's procurement process to ensure political integrity. One manner in which continuity and efficiency are to be created is through the use of the DuPage County Purchasing Division.

The Purchasing Division serves as the procurement agency for DuPage County, and has the authority to set standard contractual terms and conditions, create standard invitation to bid and proposal documents, and recommend preferred vendors, except for vendors in Transportation goods and services. (DuPage County, IL Code art. 6 §2-300.2-101)(1999).

The 1999 Ordinance also created the position of DuPage County Purchasing Manger. The Purchasing manager authorizes county purchase orders, change orders, and agreements to contract. The Purchasing Manager is required to develop a program for specification standardization, and to evaluate vendor performance. (DuPage County, IL Code art. 6 §2-300.2-101)(1999).

The Ordinance requires the Purchasing Department to draft specifications for goods and services that both promote economy and encourage competition. Requiring specifications to be drafted to foster competition seeks to prevent County officials from "steering" a contract to a specific vendor by establishing specifications that only that vendor can comply with. DuPage County, IL Code art. 6 §2-300.5-101 (1999).

The Ordinance also requires the County department that uses a vendor's goods or services to match the contract's terms. The using department must then transmit the vendor's performance record to the Purchasing Department to help the Purchasing Department evaluate the vendor's for purposes of future bids.

However, Parent Committee or County Board approval is required when a vendor submits a change order that:

a) increases the cost of the contract;

b) decreases the cost of a contract by $10,000 or more;

c) alters the scope of the work to be performed; or

d) extends the term of the contract for 30 days or more. If the change order is necessitated by an unforeseen event, and it is in the best interest of the County to react quickly, the Purchasing Department may approve the change order and then present the change order to the County Board or appropriate Parent Committee. DuPage County, IL Code art. 6 §2-300.4-301 (1999).

The 1999 Ordinance established the following six basic methods for procuring goods and services:

1. Goods or non-professional services between $0 and $1,000.

The procurement of goods or non-professional services expected to cost up to $1,000 must be procured according to the following steps:

a. Incidental and non-recurring purchases under $1,000 per transaction are made using a payment voucher purchasing procedure. Competitive bidding is not required, but goods and services must be purchased in a manner that is in the best interest of the County. DuPage County, IL Code art. 6 §2-300.4-101(1999).

b. Competitive bidding is required for goods or service costing $1,000 or less if the good or service will be purchased several times during one year from a single vendor so that the total cost exceeds $10,000. DuPage County Department of Finance Purchasing Division, Purchasing Procedures and Guidelines Manual § 5-1 (1999).

c. The ordinance expressly forbids "stringing" or dividing up the purchase of a particular good or service in order to fall below the $10,000 barrier and avoid competitive bid requirements. DuPage County, IL Code art. 6 §2-300.3-101 (1999).

d. Each ordering agency is required to ensure that all purchases are fair and reasonably priced even though they are exempt from the competitive bid process. DuPage County Department of Finance Purchasing Division, Purchasing Procedures and Guidelines Manual § 5-1 (1999)

2. Goods or non-professional services between $1,001 and $4,999.

The procurement of goods or non-professional services expected to cost between $1,001 and $4,999 must be procured according to the following steps:

a. Competitive bidding is not required, but the county department that will use the good or service must obtain either three price quotes or as many as may feasibly be obtained. The quotes need not be obtained in writing.

b. The using department must create a file for the purchase, and memorialize in writing any price quotes that they receive.

c. After obtaining up to three available price quotes, the using department must send a purchase requisition to the Purchasing Department.

d. The Purchasing Department may change the vendor selected by the using department if DuPage County already has a contract for that good or service with another vendor, or the Purchasing Department can obtain a better price from a different vendor. DuPage County, IL Code art. 6 §2-300.4-101 (1999).

3. Goods or non-professional services between $5,000 and $9,999.99.

The procurement of goods or non-professional services expected to cost more than $5,000 but less than $10,000 must be procured according to the following steps:

a. Competitive bidding is not required, but county department that will use the good or service must obtain three written quotes from at least three vendors or as many as may feasibly be obtained.

b. The using department must create a file for the purchase that contains the written quotes received, and send the file and a purchase order to the Purchasing Department for approval.

c. Unlike goods or services that cost less than $5,000, the Purchasing Department, and not the using department, is responsible for obtaining a contract for the desired goods or services.

d. The appropriate Parent Committee must review and approve the contract before the Purchasing Department can execute the contract. DuPage County, IL Code art. 6 §2-300.4-101 (1999).

4. Competitive Sealed Bid for goods or non-professional services greater than $10,000.

Purchases of goods or services in excess of $10,000 are awarded using a competitive sealed bid selection process that proceeds through the following steps:

a. The using department submits a purchase order to the Purchasing Department.

b. The Purchasing Department issues an invitation to bid on the desired good or service which must include:

· a general description of the good or service and any required specifications;

· any non-negotiable contractual terms and conditions applicable to the specific purchase; and

· a description of the criteria by which bids will be evaluated.

c. The Purchasing Department must issue the invitation to bid at least 14 days prior the date on which the bids are due.

d. On the designated date, the Purchasing Department publicly opens the bids in the presence of at least one witness.

e. The contract is awarded to the lowest responsible and responsive bidder. A responsive bidder is one that conforms to the contract's required specifications. A responsible bidder is one that DuPage County deems capable of fully performing the contract. DuPage County, IL Code art. 6 §2-300-1-201 (1999).

f. If the good or service costs between $10,000 and $15,000, the appropriate County Board Committee must approve the contract before the Purchasing Department can execute the contract. If the good or service costs more than $15,000, the County Board must approve the contract before the Purchasing Department can execute the contract. (DuPage County, IL Code art. 6 §2-300.4-102)(2000).

5. Request for Proposal (RFP).

When a using department has identified a desired result, but isn't sure of the best way to obtain that result, the county may ask potential vendors to offer both a method to achieve the result, as well as offer a price quote through the use of an RFP:

a. Like an invitation to bid, a RFP must be published 14 days prior to the date the proposal is due. The RFP must include a brief description of the desired good or service, and the criteria that will be used to evaluate proposals.

b. After proposals are received, the Purchasing Department must enter into negotiations with vendors who have submitted "responsible" proposals. A "responsible proposal" is one that is determined to have a reasonable chance of being selected. The County cannot reveal the contents of another vendor's proposal while negotiating with a vendor.

c. If the proposed good or service costs between $10,000 and $15000, the appropriate Committee must approve the contract before the purchasing department can execute the contract.

If the good or service costs more than $15000 than the County Board must approve the contract before the purchasing department can execute the contract. DuPage County, IL Code art. 6 §2-300.4-104 (1999).

6 Procurement of Professional Services

DuPage County uses a different selection process for professional services in order to allow the County to evaluate "consultants" on criteria other than price. DuPage County, IL Code art. 6 §2-300.4-107 (1999); DuPage County Dept. of Finance Purchasing Division Purchasing Procedures and Guidelines Manual, § 15-1 (1999).

The Ordinance distinguishes between architectural, engineering, and land surveying services, and all other professional services. Architectural, Engineering and Land Surveying services must be procured in accordance with the Local Government Professional Services Selection Act, 50 ILCS 510/1.

If an architectural, engineering or land surveying service will cost more than $25,000 the Act requires DuPage County to:

a. maintain a list of qualified vendors;

b. mail a notice requesting a statement of interest in the specific project to all firms on the qualified vendor list; and

c. evaluate vendors submitting statements based on the vendor's: qualifications, personnel, past record and performance data on file, willingness to meet time and budget requirements, location, workload of firm, and other factors the political subdivision may determine in writing.

DuPage County defines all other professional services as project-specific services that "identify management issues related to policy, organizational or administrative aspects of government including recommendations, and the potential to assist in implementing recommendations."

An internal Purchasing Department staff committee reviews potential professional services providers, and makes a recommendation for the purposes of awarding a contract. The ordinance does not provide a formal method for reviewing or selecting professional service providers. DuPage County, IL Code art. 6 §2-300.4-107 (1999).

Exceptions to Procurement Policies

The DuPage County Procurement Ordinance also includes provisions that allow County officials to disregard the requirements of the above-listed procurement methods through various exceptions to the rules.

Short Circuit #1: Emergency Procurement

Provided the use of one of the six basic procurement methods would result in the "imminent disruption of essential operations or conditions," and the good or service to be purchased costs more than $10,000, the County Board Chairman may declare an emergency procurement situation. The declaration of an emergency allows the Purchasing Department to disregard any applicable bidding and notice requirements. In addition, it permits the County Board Chairman to contract for goods and services without the approval of the County Board. After the emergency procurement has occurred, a resolution explaining why an emergency existed must be submitted to the County Board or the appropriate Parent Committee. DuPage County, IL Code art. 6 §2-300.4-105 (1999).

Short Circuit #2: Procurement in Cooperation with Another Government Entity

DuPage County may participate in cooperative purchasing agreements with other government entities. The purchasing agreement must comply with the 1999 DuPage County Purchasing Ordinance provided that the agreement conforms with the Illinois Procurement Code and other applicable Illinois statutes. DuPage County, IL Code art. 6 §2-300.4-106 (1999).

Short Circuit #3: Sole-Source Procurement

Provided the desired good or service costs less than $10,000, the Purchasing Department has the authority to dispense with formal procurement procedures, and contract directly with a vendor. Sole source procurements are permissible when: a) the Purchasing Department determines it is not feasible to secure three price quotes or b) the Purchasing Department determines that it is in the County's best interest to consider only one supplier with previous expertise regarding the desired good or service. The Purchasing Department must state in writing the reason a sole source procurement was utilized, and include the explanation in the procurement's contract file. DuPage County, IL Code art. 6 §2-300.4-101 (1999).

Short Circuit #4: Declare the Lowest Bidder/Offeror "Non-Responsible"

If a bidder/offeror who would have been awarded a contract is determined to be "non responsible" the County is not required to award that bidder a contract for up to two years. The County may categorize a bidder as "non responsible" based on a criminal conviction incident to obtaining or performing a public or private contract, a criminal conviction indicating a lack of business integrity or honesty, a violation of contract provisions so serious as to evidence nonresponsibility, or any other cause that the Purchasing Manager determines to be so serious and compelling as to affect responsibility.

If a contract is awarded to a bidder/offeror other than the lowest priced bidder/offeror as a result of a declaration of non-responsibility, a written explanation of the determination must be sent to the contractor at issue and included in the contract file. DuPage County, IL Code art. 6 §2-300.4-101; §2-300.4-201; § 2-300.6-101 (1999).

Short Circuit #5: Establish a Satisfactory Relationship with an Architectural, Engineering, or Land Surveying Firm.

The Local Government Professional Services Selection Act allows DuPage County to bypass the procurement process for an architectural, engineering, or land-surveying firm provided that the County has established a "satisfactory relationship" with a particular vendor. The Act does not define a "satisfactory relationship." DuPage County, IL Code art. 6 §2-300.4-107 (1999); (50 ILCS 510/1).

Short Circuit #6: Pick the bid/proposal the Parent Committee or County Board prefers.

Two separate provisions of the 1999 Purchasing Ordinance grant the County Board or appropriate Parent Committee the right to accept or reject any bid/offer received by the County. DuPage County, IL Code art. 6 §2-300.4-405; §2-300.4-102 (1999). Protesting a Procurement Decision If any actual or prospective bidder, offeror, or contractor believes that a procurement decision has been reached in a manner that violates the Ordinance, the vendor may submit a written appeal of procurement decision to the Purchasing Department within seven calendar days of the decision.

The Purchasing Manager must submit a written response to the protesting vendor within five calendar days of receipt of the protest. If the vendor's protest is denied, she may next appeal the decision to the County Board Chairman within five calendar days of receipt of the Purchasing Manager's decision. The Chairman is required to rule on the vendor's appeal within ten days of receiving the appeal, and may chose to delay the procurement until the vendor's challenge is resolved. DuPage County, IL Code art. 6 §2-300.6-201 (1999).

The DuPage County Purchasing Ordinance does not permit private citizens to protest a procurement decision. The Ordinance allows only actual or prospective bidders who believe they have been adversely affected by a procurement decision to protest. However, nothing prevents a private citizen from bringing a perceived violation of the DuPage County Purchasing Ordinance to the attention of the Purchasing Department, and thereafter to the Office of the State's Attorney. While a private citizen may not challenge a procurement decision directly, a private citizen may allege a procurement decision violated the DuPage County Ethics Ordinance.

A written and signed complaint alleging an ethics violation should be directed to the DuPage County Ethics Officer. If after investigating a complaint the Ethics Officer determines a violation of the Ethics Ordinance has occurred, the Ethics Officer must transmit her findings to the DuPage County State's Attorney. DuPage County employees found to have violated the Ethics Ordinance may be terminated. DuPage County elected officials found to have violated the Ethics Ordinance are subject to a public disclosure of the violation. In addition, a violation of the Illinois Public Officer Prohibited Activities Act is considered a Class 4 felony.

The Citizen Advocacy Center, a non-partisan, 501(c)(3), non-profit organization, is dedicated to building democracy for the 21st century by strengthening the public's capacities, resources, and institutions for self-government. The Center does not engage in partisan political activities and does not endorse or oppose candidates.

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