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HomeMy WebLinkAbout2023-078 - Res. Amending Res. 106-16 Purchasing and Contracting Policy RESOLUTION NO._23-0r4g AMENDING RESOLUTION NO. 106-16 AND AMENDING MASON COUNTY CODE TITLE 2,CHAPTER 2.21 MASON COUNTY PURCHASING AND CONTRACTING POLICY WHEREAS,the Board of Mason County Commissioners has "the care of the county property and the management of the county funds and business...", per RCW 36.32.120, and; WHEREAS, it is in the best interest of Mason County to update the purchasing and contracting policy to guide county employees in the practice of procurement in compliance with federal and state laws and internal county guidelines. NOW,THEREFORE,BE IT RESOLVED,that the Board Mason County Commissioners does hereby adopt the Mason County Purchasing and Contracting Policy (Attachment A)to this resolution. DATED this 5V^ day of�k�3. ATTEST: BOARD OF COUNTY COMMISSIONERS MASON COUNTY,WASHINGTON 23 onnm1X Q rnu� J` McKenzie SmitlV,Clerk of the Board Sharon Trask, APPROVED AS TO FORM: Kevin Sh y, ommissioner Tim Whitehead,Chief DPA RAY Neatherlin,Commissioner 4Y�pN Cpb�?' � A 1854 Mason County Purchasing and Contracting Policy Chapter 1 - PURPOSE AND SCOPE 1.1 Purpose 1.1.1.The purpose of this procurement and contracting policy is to ensure that all persons involved in the procurement process follow applicable laws and maximize the value of products and services purchased with public funds consistent with the Mason County Conflict of Interest Policy,County Code Chapter 2.24. 1.1.2.This policy does not create any enforceable rights or causes of action in third parties and does not in any way limit the County's ability to procure goods and services or enter into contracts in accordance with state and federal law. If there is any conflict between this policy and state and federal law,the applicable state and federal law supersedes this policy. 1.1.3. Nothing in this policy prevents the County from complying with the terms and conditions of any grant,gift, or bequest which is otherwise consistent with federal, state, and local laws, provided the grant,gift or bequest does not obligate another Office or Department to incur unanticipated expenses without its approval by the affected Office or Department and the Board of County Commissioners (BOCC). 1.2 Scope 1.2.1.All elected officials, directors,employees, and agents of the County must comply with this policy except where otherwise governed by federal or state law. Offices and Departments may develop their own internal policies which may be more detailed or more stringent than the minimum County requirements listed in this policy. Chapter 2 - GENERAL PROCUREMENT AND CONTRACTING POLICY 2.1.All Offices and Departments must purchase goods and services in compliance with federal and state laws,County code,and all applicable rules and policies including Attachment A, B, &C Purchasing Policy Work Flow Elements attached and incorporated into this policy. 2.2.The purchase of goods and services and associated contracting shall comply with approved 1 budgetary authority or approved budget amendments. 2.3.All Offices and Departments must use the Total Cost of Acquisition (TCA) as defined in this policy to determine the dollar thresholds in applying this policy. 2.4.The County encourages competitive bidding. 2.5.The Board of County Commissioners delegates authority to elected officials, directors, or their designee to approve,award, execute and amend all contracts, except those listed in the Attachments to this policy, provided they do so in compliance with federal and state law and the provisions of this policy and its supporting procedures. In circumstances where contracting authority is unclear, or where there is a joint commitment, signatures of the Board and an elected official may be required. 2.6. Board approval is required for: 2.6.1. All contracts entered into by an Office/Department following a formal bidding or competitive request for proposals (RFP) as stated in the Procurement Policy Work Flow Elements, Attachments A, B, & C; 2.6.2. All multi-year expenditure contracts, unless a non-appropriation clause is included in the contract; 2.6.3. All noncompetitive procurement contracts over$50,000; 2.6.4. All real property acquisitions and disposals, including leases; 2.6.5. All union labor agreements; 2.6.6. Interlocal agreements; 2.6.7. New grant applications so that the Board may evaluate the financial impact of the program and recognize new revenue and expenditure authority as necessary; 2.6.8. Recurring grant applications if there is a required County match; 2.6.9. Any contract that, by statute, must be approved by the governing body of the County. 2.6.10. All amendments for contracts requiring a formal bidding or competitive RFP that causes cumulative change orders/amendments that exceed 10%of the original amount of the contract. 2.7.The Board may waive the competitive bid requirements of this policy and in Attachment C for service contracts upon request of an elected official or department director, as permitted by state law. 2.8. Offices and Departments must not break any project into units or phases if it is done for the purpose of avoiding the dollar threshold of a contract that would require using one of the County Rosters or a competitive bid process. 2.9. Architectural and engineering (A&E) services must be procured pursuant to RCW 39.80. See Section H, Procurement Using Federal Funds, below,for A&E restrictions when using Federal funds. 2.10. The County is committed to providing Women and Minority Business Enterprises (WMBE) full access to County purchasing and contracting opportunities. Chapter 3 — PUBLIC WORK CONTRACTS (not limited to the Public Works Department- see definition of Public Work and RCW 39.04.010) 3.1. See Attachment A- Procurement Policy Work Flow Elements for specific dollar limits and other requirements that apply to the following: 3.1.1. Under a specific dollar limit, an Office or Department may award Public Works Contracts without advertising, competitive bidding, and/or the alternate requirements of the Small Works Roster process (RCW 36.2.250). 3.1.2. Within specific dollar limits, an Office or Department may use the Limited Public Works Process as defined in RCW 39.04.155(3)for Public Works Contracts. 3.1.3. Within specific dollar limits, an Office or Department may award Public Works Contracts through the Small Works Roster process, competitive bidding, or any other means so long as all legal requirements to enter into such contract are met.Those requirements include: 3.1.3.1. Obtaining a performance and payment bond or an acceptable substitute, and 3.1.3.2. Meeting prevailing wage and meeting retained percentage requirements, regardless of funding source. 3.1.3.3. Above a specific dollar amount, a competitive sealed bid process is required for Public Works Contracts. Chapter 4 - CONTRACTS OTHER THAN PUBLIC WORKS 4.1. See Procurement Policy Work Flow Elements, Attachments A, B, & C,for specific dollar limits and other requirements that apply to the following: 4.1.1. Under a specific dollar limit, an Office or Department may authorize goods and/or services purchases without advertisement,formal competitive process or written contract (RCW 36.32.245).All such purchases must be for the business of the County, considering the best interests of the County and in conformance with policies published by the County, including the Financial Policies and Procedures. 4.1.2. Within specific dollar limits, an Office or Department may award contracts for goods and/or services without advertising or a formal sealed bid process, provided the vendor was selected pursuant to RCW 39.04.190 and the Mason County Purchasing Procedure (RCW 36.32.245). 4.1.3. Above a specific dollar amount, an Office or Department must issue a Request for Quotes (RFQ) or Request for Proposals (RFP). Chapter 5- INORMATION TECHNOLOGY PURCHASES (RCW 39.04.270) 5.1.The Information Technology(IT) Steering Committee will establish all information technology equipment standards in accordance with County policy. If the desired purchase is included in the current standards,the IT Department will order through existing government contracts and the benefitting Department will make the purchase.The IT Department will maintain such contracts to ensure the best available technology pricing for the County. 5.2.All IT related purchases or leases require IT Department review-see Attachments B& C Information Technology Purchases. Chapter 6 - PROCUREMENT USING FEDERAL FUNDS 6.1. Federal Procurement Standards 6.1.1. When procuring goods or services using direct or indirect (pass-through) Federal award funds, Offices/Departments must utilize the procurement methods outlined in this policy and Attachments A, B, & C, and will also comply with Federal procurement standards outlined in §200.213, and §200.318 through §200.326 of 2 CFR 200—Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the "Uniform Guidance" or"Super Circular") 6.1.2. Refer to Attachment A for a comparison of Federal and non-federal procurement thresholds and authorized procurement methods. 6.1.3. Where there is a difference between County procurement policy and Federal procurement policy, the most restrictive policy will govern, in accordance with §200.319(c). 6.1.4. Offices and Departments will follow the grant guidelines in Financial Policies and Procedures Resolution when receiving and expending state and federal funds. 6.2. 2 CFR 200.324 Contract cost and price. 6.2.1.The non-Federal entity must perform a cost or price analysis in connection with every procurement action in excess of the Simplified Acquisition Threshold including contract modifications.The method and degree of analysis is dependent on the facts surrounding the particular procurement situation, but as a starting point, the non-Federal entity must make independent estimates before receiving bids or proposals. 6.2.2.The non-Federal entity must negotiate profit as a separate element of the price for each contract in which there is no price competition and in all cases where cost analysis is performed.To establish a fair and reasonable profit, consideration must be given to the complexity of the work to be performed,the risk borne by the contractor,the contractor's investment,the amount of subcontracting,the quality of its record of past performance, and industry profit rates in the surrounding geographical area for similar work. 6.2.3. Costs or prices based on estimated costs for contracts under the Federal award are allowable only to the extent that costs incurred or cost estimates included in negotiated prices would be allowable for the non-Federal entity under subpart E of 2 CFR 200.324. The non-Federal entity may reference its own cost principles that comply with the Federal cost principles. 6.2.4.The cost plus a percentage of cost and percentage of construction cost methods of contracting must not be used. 6.3. Suspension and Debarment 6.3.1. County Offices/Departments receiving federal awards must comply with debarment and suspension regulations implementing Executive Orders 12549 and 12689, 2 CFR Part 180, per§200.213. 6.3.2. County Offices/Departments will ensure and document that no agreement for goods or services is entered into with any entity or person (including subrecipients, contractors,vendors, and consultants)who has been disqualified (suspended or debarred)from participation in Federal programs or activities. 6.3.3. County Offices/Departments will ensure that subrecipients, contractors,vendors, and consultants include suspension and debarment requirements in lower-tier agreements under the award. 6.4. Subrecipients vs. Contractors 6.4.1. County Offices/Departments must determine and document whether each agreement it intends to make for the disbursement of Federal program funds casts the party 4 receiving the funds in the role of a subrecipient or a contractor, in accordance with the definitions outlined in §200.93 and §200.23, respectively, and the defining characteristics of each outlined in §200.330(a)-(c). 6.5. Subrecipient Risk Assessments and Monitoring 6.5.1. County Offices/Departments will evaluate each subrecipient's risk of noncompliance with Federal statutes, regulations, and the terms and conditions of the subaward in accordance with the risk factors outlined in §200.331(b)(1)-(4)to determine the appropriate levels of subrecipient monitoring and to determine whether additional subaward conditions should be imposed upon a subrecipient, per§200.207 and §200.331(c). 6.5.2. County Offices/Departments must conduct risk assessments prior to entering into any subaward and subsequent subaward amendment, and annually thereafter for the life of each subaward. 6.5.3. County Offices/Departments will monitor subrecipient financial and program performance to ensure that subawards are used for authorized purposes;that they are in compliance with Federal statutes, regulations, and the terms and conditions of the subaward; and that subaward performance goals are achieved, in accordance with §200.331(d), 6.5.4. Each subaward must be monitored in accordance with the grant requirements. Because the nature of grant funded activities varies depending on the program-specific needs and compliance requirements, Offices/Departments will use their best judgement in developing monitoring schedules and systems tailored to their programs' needs. 6.6. Subaward Agreements 6.6.1. Offices/Departments must obtain prior written approval from the Federal or pass- through funding agency to subaward out non-construction services using Federal funds, in accordance with §200.308(c)(1)(vi). 6.6.2. Each Subrecipient agreement (subaward) and each subsequent modification or amendment must be clearly identified to the subrecipient as a subaward and provide the federal award information outlined in §200.331(a)(1)-(6). 6.6.3. Each subaward will include appropriate Single Audit Act requirements pursuant to 2 CFR 200,Subpart F, including: 6.6.3.1. Subrecipient compliance with the Single Audit Act of 1984, as modified. 6.6.3.2. Independent auditor access to the subrecipient's financial records. 6.6.3.3. Provision by the subrecipient of any required Single Audits to the County within the time limit set forth in the Single Audit Act. 6.6.3.4. Access by the County to review of the subrecipient's financial records, in the event a Single Audit is not required. 6.6.3.5. Notification by the subrecipient and voiding of the subaward in the event of subrecipient suspension or debarment. 6.6.3.6. Verification by the subrecipient of non-suspension and non-debarment status prior to issuing lower-tier subawards or contracts. 6.6.4. Offices/Departments will verify that subrecipients whose aggregate Federal award funding expended during the respective fiscal year equaled or exceeded $750,000, including direct and pass-through,were audited in accordance with §200.501. 6.6.5. Offices/Departments must review subrecipients'audit reports annually to ensure compliance in Federal program areas in which the Office/Department passed through Federal award funds to the subrecipient, per§200.331(f). 6.7.Subrecipient and Contractor Payments 6.7.1.Offices/Departments must ensure that payments are made to subrecipients and contractors in accordance with contract provisions (§200.305(b)(1)and will be made within 30 calendar days after receipt of the contractor billing unless there is reasonable belief that the request is improper, per§200.305(b)(3). 6.8.Conflicts of Interest 6.8.1.County employees must abide by the Ethics and Conflict of Interest Policy,County Code Chapter 2.24. 6.8.2.The procurement of any contract supported by a Federal award must also comply with the more restrictive provisions of§200.318(c)(1),whereby all officers, employees, and agents of the County participating in the procurement process, including selection, award,or administration of a contract, must not have any real or apparent conflicts of interest regarding a purchase or contract. 6.8.3. Offices/Departments must report suspected violations of this policy to the Financial Management Committee and/or Internal Auditor for thorough and impartial investigation. Determined violations will be subject to disciplinary action, as deemed appropriate by the Financial Management Committee and the respective Director/Elected Official, in consultation with the Department of Human Resources. 6.8.4.Violations of this section may be grounds for dismissal or forfeiture of office. 6.8.5. Employees found to be in violation may also be liable to the County for monetary penalties as allowable by state law, in addition to any civil or criminal liabilities or penalties that may be imposed by law enforcement. 6.8.6. Contracts entered into in violation of this policy will be voided. 6.9.Gifts and Gratuities 6.9.1.County officers, employees and agents involved in Federally supported procurement or contract administration must neither solicit nor accept gifts, including gratuities, favors,or anything of monetary value from contractors,subrecipients,or parties to subcontracts, per§200.318(c)(1). 6.10. Mandatory Disclosures 6.10.1. Offices/Departments must disclose in writing to the Federal awarding agency or pass-through entity all violations of Federal criminal law involving fraud, bribery,or gratuity violations potentially affecting the Federal award, in accordance with §200.113. 6.10.2. Disclosures must be made within 14(fourteen)calendar days of violation determination. 6.11.Architectural and engineering(A&E)services have more restrictive Federal requirements than RCW 39.80. 6.11.1. Proposals:A procurement method in which either a fixed price or cost- reimbursement type contract is awarded. Proposals are generally used when conditions are not appropriate for the use of sealed bids.They are awarded in accordance with the following requirements: 6.11.2. Requests for proposals must be publicized and identify all evaluation factors and their relative importance. Proposals must be solicited from an adequate number of 6 qualified offerors. Any response to publicized requests for proposals must be considered to the maximum extent practical; 6.11.3.The non-Federal entity must have a written method for conducting technical evaluations of the proposals received and making selections; 6.11.4. Contracts must be awarded to the responsible offeror whose proposal is most advantageous to the non-Federal entity,with price and other factors considered; and 6.11.5.The non-Federal entity may use competitive proposal procedures for qualifications- based procurement of architectural/engineering (A&E) professional services whereby offeror's qualifications are evaluated and the most qualified offeror is selected, subject to negotiation of fair and reasonable compensation. The method,where price is not used as a selection factor, can only be used in procurement of A&E professional services. It cannot be used to purchase other types of services through A&E firms that are a potential source to perform the proposed effort. Chapter 7 - COOPERATIVE PURCHASING 7.1.The County recognizes that using bid processes and contracts awarded by another public agency(also known as "piggybacking") can achieve efficiency and greater volume discounts. The County encourages the use of these opportunities in accordance with the provisions of Chapter 39.34 RCW requiring the public agency that awarded the bid, proposal, or contract to comply with its own procurement requirements and to post the bid or solicitation on the internet. The County is required to have an interlocal agreement with the public agency per RCW 39.34. 7.2. Offices and Departments may search for such opportunities, including but not limited to State of Washington contracts, Federal and U.S. Community contracts, and contracts offered by other municipal corporations within the State of Washington which conform with Chapter 39.34 RCW and Chapter 39.32 RCW. 7.3.The County has adopted Resolution No. 2023-004, which allows purchasing of various supplies, materials, and equipment from federal contracts (RCW 39.32.090). This is not technically considered "piggybacking" as such purchases are exempt from bidding and are not subject to RCW 39.34.030. Chapter 8 - RESPONSIBILITIES PRIOR TO ONSITE WORK 8.1. Certificates of Insurance 8.1.1. Certificates of Insurance requirements must be stated during the solicitation process. During solicitation contact the Risk Manager to assure the appropriate insurance requirements are being addressed. Certificates of Insurance must be submitted with the contract prior to on-site work. 8.2. Washington State Contractor's License 8.2.1. It is the Office/Department's responsibility to verify a current Washington State Contractor's License and current Workers' Comp status. 8.2.2. The Office/Department will also verify that the contractor is not on the federal debarment listing. 8.3. Business License 7 8.3.1. It is the Office/Department's responsibility to verify current business with the Department of Revenue. 8.4. Prevailing Wage Requirements—Ongoing, Pursuant to RCW 39.12 8.4.1. Prior to Getting an Estimate or a Quote—Notify the vendor that they are to pay prevailing wages and a Certification of Compliance with Wage Payment Statutes is required; 8.4.2. After a Vendor has been selected—The vendor is required to file a "Statement of Intent to Pay Prevailing Wages"with the Department of Labor and Industries; 8.4.3. After the work is completed—The vendor must also file an "Affidavit of Wages Paid" with the Department of Labor and Industries. 8.4.4. Payment will not be released until certified intents and affidavits have been received. Chapter 9 - POLICY EXCEPTIONS 9.1.See Attachment D, Procurement Policy Exceptions and Exemptions. Chapter 10 - POLICY DEFINITIONS 10.1.See Attachment E, Procurement Policy Definitions. Chapter 11 - POLICY COMPLIANCE 11.1. Elected Officials, Directors and employees who are responsible for conducting procurements and working with contracts are expected to read, understand,and follow this policy. Directors and employees who violate this policy may be disciplined, up to and including termination. Elected Officials, Directors and employees who violate federal or state laws and regulations regarding contracting and purchasing are subject to RCW 39.30.020. 8 Attachment A - Procurement Policy Work Flow Elements Public Work * not limited to Public Works Department- see definition of Public Work & RCW 39.04.010 Public Work Contracts Contracts Contracts Non-Federal Award Less than $40,000 $40,000 to$350,000 Larger than $350,000 Federal Award Up to $10,000 Over$10,000 to$250,000 Larger than $250,000 Written Contract Required (RCW 39.04.010) Required (RCW 39.04.010) Required (RCW 39.04.010) Contract Review Non-standard only(Policy Only) Risk Management; Prosecuting Attorney Risk Management; Prosecuting Attorney Approvals Department Director or Elected Official Department Director or Elected Official BOCC(RCW 39.04.020) (RCW 39.04.020) (RCW 39.04.020) Bidding Use Small Works Roster(RCW 39.04.155) Use Small Works Roster(RCW 39.04.155) Formal Bid Required (RCW 39.04.010); Risk Management Review required prior to going out to bid Advertising Use Small Works Roster-yearly Roster ad Use Small Works Roster-yearly Roster ad Required (RCW 39.04.020) req. Contact 5 on roster. Rotate contacts req. Contact all for type of work on roster (RCW 39.04.155) (RCW 39.04.155) Bid Deposit At County's Discretion At County's Discretion Required (RCW 36.32.250) Award Soliciting Office/Dept.to responsible Soliciting Office/Dept to responsible bidder BOCC awards to responsible bidder with the bidder with the lowest responsive bid with the lowest responsive bid (BOCC lowest responsive bid (RCW 39.04.010; RCW (RCW 39.04.010; RCW 39.04.350) delegated by policy; RCW 39.04.010; RCW 39.04.350) 39.04.350) Execution of Contract Dept. Director or Elected Official (Policy Dept. Director or Elected Official per Dept. Director or Elected Official per provisions Only) provisions of Award (Policy Only) of Award (Policy Only) Identify Subcontractor(s) Not required Not required For contracts $1 million or more (RCW 39.30.060) Performance and Payment Required. Contractor may choose to have Required. Contractor may choose to have Bond required from state-approved surety Bond the County hold 10% of funds earned in the County hold 10% of funds earned in lieu company(RCW 39.08.010) lieu of bond for public work of$150,000 or of bond for public work of$150,000 or less. less. (RCW 39.08.010) (RCW 39.08.010) Prevailing Wage Required (RCW 39.12) Required (RCW 39.12) Required (RCW 39.12) Retained Percentage 5% Required unless funded by Federal 5% Required unless funded by Federal 5% Required unless funded by Federal Transportation Funds,then bond only Transportation Funds,then bond only(RCW Transportation Funds,then bond only (RCW (RCW 60.28.011) 60.28.011) 60.28.011) Federal Funds Determine whether the recipient is: (a) a vendor or a subrecipient-subrecipients require special contract language, or(b) Debarred or suspended or otherwise excluded from or ineligible for participation in Federal programs. The County must also perform a contract cost and price analysis when using federal funds as outlined in this policy under Chapter 6- Procurement Using Federal Funds,Section 2. Attachment 6 - Procurement Policy Work Flow Elements Purchases of Materials, Equipment and Supplies, and Leases of Equipment (RCW 32.32.245) Less than $10,000 $10,000 to$50,000 Greater than $50,000 Written Contract Not required, except for leases Not required, except for leases Required (RCW 36.32.245) Contract Review Not required, except for lease contracts Not required, except for lease contracts Risk Management; Prosecuting Attorney (lease contracts only) Approvals Elected Official or Department Director Elected Official or Department Director(RCW BOCC(RCW 36.32.245) (BOCC delegated by Policy) 39.04.190; BOCC delegated by Policy) Bidding Not required Formal bidding not required if using RCW RFQ/RFP Competitive bids on bid 39.04.190 process (vendor list), obtain specifications required (RCW 36.32.245); telephone or written quotes from at least 3 Risk Management review required prior different vendors (RCW 39.04.190) to going out to bid Advertising Not required Vendor List-twice yearly adv.Vendor list Required (RCW 36.32.245) (RCW 39.04.190) Bid Deposit Not required Not required Recommended Award n/a Director or Elected Official to lowest BOCC to lowest responsive bidder clerk responsive responsible bidder, Document the will post the award for public inspection. quotes &the award by completing a form & register with Clerk of the BOCC. Clerk will post the awards for public inspection. (RCW 39.04.190) Execution of Contract n/a Elected Official or Dept. Director per Elected Official or Dept. Director per provisions of award provisions of award Federal Funds Determine where the recipient is: (a)A vendor or a subrecipient-Subrecipient requires special contract language (b)Debarred or suspended or otherwise excluded from or ineligible for participation in Federal assistance programs. Information Technology Information Technology Approval is required for all purchases that integrate into the County network.The Information Technology Purchase I Department will determine if IT Steering Committee Approval is required-see Chapter 5 of the Policy. Attachment C - Procurement Policy Work Flow Elements Contract for Services (Except for Architectural & Engineering (A&E) See section H of Policy Body) Up to$10,000 $10,000 to$50,000 Greater than $50,000 Written Contract Not required Not required Required Contract Review Risk Management; Prosecuting Attorney Risk Management; Prosecuting Attorney not Risk Management; Prosecuting Attorney not required required Approvals Department Director or Elected Official Department Director or Elected Official BOCC (BOCC delegated by Policy) Bidding Not required. Refer to internal office/dept. Obtain telephone or written quotes from at Request for proposal (RFP) required procedures if applicable. least 3 different vendors Advertising Not Required Not Required Public Notice/notify vendors on the vendor list Bid Deposit Not Required Not Required Recommended Award Not Required Document the quotes &the award by Send documentation to the Clerk of the completing a form &forwarding it to the Cleck BOCC. Clerk will post for public of the BOCC. Clerk will post the award for inspection. public inspection. Execution of Contract Elected Official or Dept. Director Elected Official or Dept. Director Elected Official or Dept. Director Federal Funds Determine whether the recipient is: (a)A vendor or a subrecipient-subrecipient requires special contract language. (b) Debarred or suspended or otherwise excluded from or ineligible for participation in federal assistance programs. Health Care Providers HIPPA Language required in contract Information Technology Information Technology Approval is required for all purchases that integrate into the County network.The Information Technology Purchase Department will determine if IT Steering Committee Approval is required -see Chapter 5 of the Policy. Cooperative Purchasing of Construction Materials and Procurement of Goods and Services Allowed, also known as "piggybacking" Using other Public Agency Pursuant to Chapter RCW 39.34, including but not limited to State of Washington contracts, Federal and U.S. Community contracts, Contract and contracts offered by other municipal corporations within the State of Washington. A contract is required between the county and the vendor. Also, an interlocal agreement is required between the public agencies. Attachment D - Procurement Policy Exceptions and Exemptions Exempt from Procurement Policy Special Conditions Interfund agreements Comply with the Mason County Financial Policies and Procedures, Resolution No. 2021-088 Election materials and ballots Pursuant to RCW 36.32.245(4) Exempt from bidding and competitive solicitation only Auction Purchases Pursuant to RCW 39.30.045 Brokerage, securities,and debt transactions Pursuant to Mason County Investment and Debt Policies Emergency Purchases Pursuant to RCW 36.32.270 and RCW 39.04.280, must follow FEMA guidelines for declared Federal disasters Employment tests and employment test services Employment tests and employment testing services Expert Witnesses for legal proceedings Pursuant to RCW 39.26.125 Federal Highway Administration Blanket Proprietary Approvals for See https://wsdot.wa.gov/engineering-standards/design-topics/design-tools-and-support Washington State. Insurance Bonds Pursuant to RCW 39.04.280 Interlocal Agreements (Requires written contract regardless of dollar Pursuant to Chapter 39.34 RCW amount) Legal and public defender services Pursuant to RCW 36.32.245(6) Noncompetitive procurement(sole source): Purchases that are clearly Pursuant to RCW 39.04.280.The following steps are required to obtain Board approval for and legitimately limited to a single source of supply. Examples where a a noncompetitive procurement: sole source situation may exist: (1) Licensed, copyrighted, or (1) Conduct a screening process to justify the purchase of a specific good and service; patented products or services that only one vendor provides. (2) Document that the good or service is available only through one provider or (2) New equipment or products that must be compatible w/existing manufacturer(or distributor, and manufacturer so certifies); equipment that only one vendor provides. (3) (3) Document that the vendor certifies that the county is getting the lowest price it offers; Proprietary or custom-built software or information systems that only and one vendor provides. (4) (4) Draft a sole source resolution justification documenting why the particular product or Products or services where only one vendor meets the required service is mandatory and what efforts were made to find other vendors and present to the certificaitons or statutory requirements. Board for approval (5) Once approved, the Office/Department will place the order Park improvements or maintenance (Contracts with community service Pursuant to RCW 35.21.278 organizations) Performance based contracts for energy equipment Pursuant to Chapter 39.35A RCW Public depositaries Pursuant to RCW 36.48 Service Contracts with community, social service, health providers Use a Board-approved selection process (may include an adv. Board or committee) Special facilities or market conditions Pursuant to RCW 39.04.280 Water pollution control and/or solid waste handling facilities/services Pursuant to RCW 36.32.265 Attachment E - Procurement Policy Definitions Award The formal decision to accept a Bid or proposal. Bid An offer to perform a Contract for work and labor or supplying materials at a specified price.The response submitted by a bidder to an invitation for bids. Board Mason County Board of County Commissioners Code of Federal Regulations The Code of Federal Regulations(CFR)annual edition is the codification of the general and (CFR) permanent rules published in the Federal Register by the departments and agencies of the Federal Government. Competitive Bidding The offer of firm bids to supply specified services by individuals or firms competing for a contract. Competitive Sealed Bid A method of selecting the lowest responsive bid for a specific Public Work project.Written Bids are submitted by contractors based on plans and specifications in the Call for Sealed Bids.No negotiation with bidders is permitted. Contract Any agreement(other than a purchase order)between two or more parties stipulating obligations of one to another.It is a mutually binding legal relationship obligating the seller to furnish the product, materials,or services and the buyer to pay for them.To be enforceable,a Contract must contain five essential elements:an offer and acceptance of the offer;consideration;legal subject matter; competent parties;and essential terms and conditions. Contractor A vendor who has been awarded a contract for goods and/or services and has entered into a contract with Mason County. Contract Officer The County employee designated by the elected official or Department director to manage a Contract in compliance with this policy. Consultant A contractor or vendor offering or providing engineering,architectural,or other professional services. Cooperative Contract(also Group An agreement that utilizes Bids,proposals or Contracts awarded by another public agency to achieve Contract) efficiency,easier access,or greater volume discounts. County Mason County County Administrator The top executive position reporting to the Board of County Commissioners. Department A Mason County department established by the Board with an appointed director or a board or commission appointed by the Board. Emergency Purchases Purchases made to maintain safety,security,and/or preservation of County assets during exigent events,provided an emergency is declared by the Board or other lawful authority as soon as practicable. Exempted Public Work(XPW) Public Work Contracts less than$40,000.(RCW 36.32.250) Fleet Acquisitions The acquisition of any vehicle(such as cars,trucks,or trailers)that must be licensed according to state law for use on public roads,ride-on construction equipment(such as dozers,excavators,or pavers),and ride-on commercial-size equipment with wheels or tracks(such as lawn mowers,skid steer loaders,tractors,forklifts,and mobile work platforms). Grant Any gift,appropriation,donation,or advance by any donor,whether absolute or conditional,for any purpose.The County may be the donor(grantor)or the recipient(grantee). Information Technology(IT) The equipment,software and services used in storing,processing,copying,transmitting,and displaying all forms of electronic information.Information technology includes but is not limited to: equipment and services associated with personal computers,servers,laptops and portable computers,printers,and all associated peripheral devices.It also includes equipment and services associated with network components,backup systems,wireless networks,copy machines,fax machines,telephones,cell phones,software licenses,telecommunications equipment,imaging systems,and audio/visual/media systems.NOTE:Cabling and other IT related improvements to the infrastructure of a County owned or leased building is not included in this definition because such projects generally fall within the definition of a Public Work. Interlocal Agreement An agreement between the County and other public agency as defined under Chapter 39.34 RCW. Interfund Agreement A brief informal memo of understanding signed by the elected official or department director,which includes the scope of work and time period,may be written for work to be performed by one Count office/department for another County office/department.Interfund agreements are not considered a"purchase"or"contract"for the purposes of this policy. Attachment E - Procurement Policy Definitions Limited Public Work Process RCW 39.04.155(3))Provides uniform Small Works Roster provisions to Award Contracts for work, (LPW) construction,building,renovation,remodeling,alteration,repair,or improvement of real property that may be used by the County.These provisions may be used in lieu of other procedures to Award Public Work Contracts with an estimated cost of less than$35,000.However,the County has elected to invoke the authority provided to the Board to establish an alternative procedure for all Public Work Contracts under$40,000.(This definition and explanation is provided solely for the benefit of those who may be familiar with the RCW reference regarding the Limited Public Work Process.See definition-Exempted Public Work IXPW)). Office The office of a County elected official. Ordinary Maintenance Includes work to maintain an asset that is performed on a regular basis(i.e.weekly,monthly,or annually),except for janitorial services which include work performed by janitors,waxers, sham ooers and window cleaners only. Piggybacking An alternative to conducting a public bidding process,pursuant to RCW 39.34.030 Procurement The combined functions of purchasing,inventory control,transportation,receiving,inspection,store keeping,and salvage and disposal operations. Procurement Process All activities involved in finding,agreeing to terms,and acquiring goods,services,infrastructure,and public work either purchased or leased,including but not limited to: -identifying the need to procure; -selecting vendors; -contracting and making purchases;and -managing contracts and vendors. Professional Services Contract A Contract for professional or technical expertise contracted to accomplish a specific study,project, task or other work statement. Proposal An offer submitted by an vendor in response to a request for proposals and intended to be used as a basis for negotiation for a contract. Public Building Service Janitorial service Contracts on public buildings and/or assets and cover only work performed by Maintenance Contracts janitors,waxers,shampooers,and window cleaners,pursuant to WAC 296-127-01308. Public Work All work involving construction,alteration,repair,or improvement,other than Ordinary Maintenance,executed at the cost of the County.This includes,but is not limited to,demolition, remodeling,renovation,road construction,building construction,ferry construction,and utility construction.In terms of building construction,it includes anything that is permanently affixed to the building.(RCW 39.04.010) Public Work Contract A Contract in writing for the execution of Public Work for a fixed or determinable amount awarded per procedures required by state law,pursuant to RCW 39.04.010. Purchase Order A document generated by the County that authorizes a purchase transaction.When accepted by the seller,it becomes a contract binding on both parties.A purchase order sets forth the descriptions, quantities,prices,discounts,payment terms,date of performance or shipment,other associated terms and conditions,and identifies a specific seller. Request for Proposal(RFP) A method used to solicit written proposals for services.A RFP may include a Request for Excluding Engineering, Information,Request for Qualifications or other similar methods used to solicit proposals for Architecture,and other services.The intent of the RFP is to acquire,by the most advantageous and flexible method,the professional services described in services needed at the highest possible quality.Unlike most material Contracts,where the primary Chapter concern is cost,in service procurement evaluative factors are generally based on qualifications and 39.80 RCW) ability to do the job.A RFP differs from a Competitive Sealed Bid in three important ways: 1. It permits discussions and negotiations with competing proposers and allows changes in their proposals including price.Alterations by negotiation in the nature of a proposal and in prices may be made after proposals are opened. 2. It allows comparative evaluations to be made when selecting among acceptable proposals for Contract Awards. 3. It provides a flexible method of approaching a project which has limited specifications or requirements.The results wanted are known but there may not be a clear understanding of the specific requirements needed to identify how or what the methods may be,or what the services may entail. Responsible Bidder-Public Work At the time of bid submittal,comply with the criteria set forth in RCW 39.04.350.For other types of contracting,the same criteria apply excepting those only related to the construction of facilities. Attachment E - Procurement Policy Definitions Responsive Bidder A bidder that has adequately addressed the requirements of the contract as set forth in the RFP/RFQ or other soliciting document.A bidder must be a Responsive Bidder in order to be considered a Responsible Bidder. Risk Assessment The assessment of each subrecipient's risk of noncompliance with Federal statutes,regulations,and the terms and conditions of the subaward for purposes of determining the appropriate subrecipient monitoring,which may include consideration of such factors as: -The subrecipient's prior experience with the same or similar subawards; -The results of previous audits; -Whether the subrecipient has new personnel or new or substantially changed systems;and -The extent and results of other Federal awarding agency monitoring(e.g.,if the subrecipient also receives Federal awards directly from a Federal awarding agency). Small Public Work(SPW) A Public Work of$300,000 or less,Total Net Cost of Acquisition. Small Works Roster (RCW 39.04.155)A list of pre-qualified contractors used for the purpose of obtaining quotations and awarding Contracts for Public Work with an estimated cost of$300,000 or less,Total Net Cost of Acquisition. Standard Form Contract Written contracts specific to various types of commonly procured goods and services drafted by the Office of the Prosecuting Attorney,Civil Division.The Standard Form Contracts will be made available through the Risk Management Division of Human Resources. Subrecipient A non-Federal entity that receives a subaward from a pass-through entity to carry out part of a Federal program.An individual that is a beneficiary of a Federal program is not a subrecipient A non- federal entity may concurrently receive Federal awards as a recipient,a subrecipient and a contractor(2 CFR 200.93).Characteristics which support the classification of the non-Federal entity as a subrecipient include when the non-Federal entity.(1)determines who is eligible to receive what Federal assistance;(2)has its performance measured in relation to whether objectives of a Federal program were met;(3)has responsibility for programmatic decision making;(4)is responsible for adherence to applicable Federal program requirements specified in the Federal award;and(5)in accordance with its agreement,uses the Federal funds to carry out a program for a public purpose specified in authorizing statute,as opposed to providing goods or services for the benefit of the pass through entity(§200.330(a)(I)-(5)). Sustainability Using natural,financial,and human resources in a responsible manner that meets existing needs without compromising the ability of future generations to meet their own needs Total Cost of Acquisition(TCA) The total of sales price,sales or use tax,freight or shipping charges,installation or set up charges, security deposits,and any other charges applicable to the acquisition Interest to be paid over the term of the Contract and bargain purchase option amount will be included,where applicable,for leases and installation purchases. Total Net Cost of Acquisition Total Cost of Acquisition less trade-in or other applicable credit. TNCA Vendor A potential provider of goods and/or services. WMBE(Women and Minority Companies that are certified by the State Office of Minority and Women's Business Enterprises as Owned Business Enterprises) being owned at least 51%by a woman or minority.Some Departments also use the term HUB (Historically Underutilized Business)with the same definition.