S-0416.1 _______________________________________________
SENATE BILL 5048
_______________________________________________
State of Washington 53rd Legislature 1993 Regular Session
By Senator Haugen
Read first time 01/11/93. Referred to Committee on Government Operations.
AN ACT Relating to bidding practices of municipalities; and amending RCW 39.04.155, 39.04.190, 39.04.200, 39.30.045, 36.32.240, 36.32.253, 36.32.245, 36.32.250, 35.22.620, 35.23.352, 52.14.110, 52.14.120, 53.08.120, 54.04.070, 54.04.082, 56.08.070, 56.08.080, 56.08.090, 57.08.015, 57.08.016, 57.08.050, and 70.44.140.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 1. RCW 39.04.155 and 1991 c 363 s 109 are each amended to read as follows:
(1) This section provides a uniform process to
award contracts for public works projects by those ((counties)) municipalities
that are authorized to use a small works roster in lieu of the requirements for
formal sealed bidding. The state statutes governing ((counties)) a
specific type of municipality shall establish the maximum dollar thresholds
of the contracts that can be awarded under this process, and may include other
matters concerning the small works roster process, for the ((county)) municipality.
(2) ((Counties)) Such municipalities
may create a single general small works roster, or may create a small works
roster for different categories of anticipated work. The small works roster or
rosters shall consist of all responsible contractors who have requested to be
on the list, and where required by law are properly licensed or registered to
perform such work in this state. At least ((once)) twice a year,
the ((county)) municipality shall publish in a newspaper of
general circulation within the jurisdiction a notice of the existence of the
roster or rosters and solicit the names of contractors for such roster or
rosters.
The governing body of the ((county)) municipality
shall establish a procedure for securing telephone or written quotations from
the contractors on the general small works roster, or a specific small works
roster for the appropriate category of work, to assure that a competitive price
is established and to award contracts to the lowest responsible bidder, as
defined in RCW 43.19.1911. Such invitations for quotations shall include an
estimate of the scope and nature of the work to be performed as well as materials
and equipment to be furnished. Whenever possible at least five contractors
shall be invited to submit bids. Once a contractor has been afforded an
opportunity to submit a proposal, that contractor shall not be offered another
opportunity until all other appropriate contractors on the small works roster
have been afforded an opportunity to submit a proposal on a contract. Proposals
may be invited from all appropriate contractors on the small works roster.
A contract awarded from a small works roster under this section need not be advertised.
Immediately after an award is made, the bid quotations obtained shall be recorded, open to public inspection, and available by telephone inquiry.
Sec. 2. RCW 39.04.190 and 1991 c 363 s 110 are each amended to read as follows:
(1) This section provides a uniform process to
award contracts for the purchase of any materials, equipment, supplies, or
services by those ((counties)) municipalities that are authorized
to use this process in lieu of the requirements for formal sealed bidding. The
state statutes governing ((counties)) a specific type of municipality
shall establish the maximum dollar thresholds of the contracts that can be
awarded under this process, and may include other matters concerning the
awarding of contracts for purchases, for the ((county)) municipality.
(2) At least ((once)) twice per
year, the ((county)) municipality shall publish in a newspaper of
general circulation within the jurisdiction a notice of the existence of vendor
lists and solicit the names of vendors for the lists. ((Counties)) Municipalities
shall by resolution establish a procedure for securing telephone or written
quotations, or both, from at least three different vendors whenever possible to
assure that a competitive price is established and for awarding the contracts
for the purchase of any materials, equipment, supplies, or services to the
lowest responsible bidder as defined in RCW 43.19.1911. Immediately after the
award is made, the bid quotations obtained shall be recorded, open to public
inspection, and shall be available by telephone inquiry. A contract awarded
pursuant to this section need not be advertised.
Sec. 3. RCW 39.04.200 and 1991 c 363 s 111 are each amended to read as follows:
Any ((county)) municipality that
utilizes the small works roster process established in RCW 39.04.155 to award
contracts for public works projects, or the uniform process established in RCW
39.04.190 to award contracts for purchases, must post a list of the contracts
awarded under RCW 39.04.155 and 39.04.190 at least once every two months. The
list shall contain the name of the contractor or vendor awarded the contract,
the amount of the contract, a brief description of the type of work performed
or items purchased under the contract, and the date it was awarded. The list
shall also state the location where the bid quotations for these contracts are
available for public inspection.
Sec. 4. RCW 39.30.045 and 1991 c 363 s 112 are each amended to read as follows:
Any ((county)) municipality, as
defined in RCW 39.04.010, may purchase any supplies, equipment, or
materials at auctions conducted by the government of the United States or any
agency thereof, any agency of the state of Washington, any municipality or
other government agency, or any private party without being subject to public
bidding requirements if the items can be obtained at a competitive price.
Sec. 5. RCW 36.32.240 and 1991 c 363 s 57 are each amended to read as follows:
In any county the county legislative authority may by resolution establish a county purchasing department. The purchasing department shall contract on a competitive basis for all public works, enter into leases of personal property on a competitive basis, and purchase all supplies, materials, and equipment, on a competitive basis, for all departments of the county, as provided in this chapter and chapter 39.04 RCW, except that the county purchasing department is not required to make purchases for the county hospital, or make purchases that are paid from the county road fund or equipment rental and revolving fund.
Sec. 6. RCW 36.32.253 and 1991 c 363 s 63 are each amended to read as follows:
No lease of personal property may be
entered into by the county legislative authority or by any elected or appointed
officer of the county ((until after bids have been submitted to the county.
The county shall use the same)) except upon use of the procedures
specified in ((RCW 36.32.245 and 39.04.190)) this chapter and chapter
39.04 RCW for awarding contracts for purchases when it leases property from
the lowest responsible bidder.
Sec. 7. RCW 36.32.245 and 1991 c 363 s 62 are each amended to read as follows:
(1) No contract for the purchase of materials,
equipment, supplies, or services may be entered into by the county legislative
authority or by any elected or appointed officer of the county until after bids
have been submitted to the county. Bid specifications shall be in writing and
shall be filed with the clerk of the county legislative authority for public
inspection. An advertisement shall be published in the official newspaper of
the county stating the time and place where bids will be opened, the time after
which bids will not be received, the materials, equipment, supplies, or
services to be purchased, and that the specifications may be seen at the office
of the clerk of the county legislative authority. The advertisement shall be
published at least once at least ((ten)) thirteen days prior to
the last date upon which bids will be received.
(2) The bids shall be in writing and filed with the clerk. The bids shall be opened and read in public at the time and place named in the advertisement. Contracts requiring competitive bidding under this section may be awarded only to the lowest responsible bidder. Immediately after the award is made, the bid quotations shall be recorded and open to public inspection and shall be available by telephone inquiry. Any or all bids may be rejected for good cause.
(3) For advertisement and formal sealed bidding to be dispensed with as to purchases between two thousand five hundred and twenty‑five thousand dollars, the county legislative authority must use the uniform process to award contracts as provided in RCW 39.04.190. Advertisement and formal sealed bidding may be dispensed with as to purchases of less than two thousand five hundred dollars upon the order of the county legislative authority.
(4) This section does not apply to performance‑based contracts, as defined in RCW 39.35A.020(3), that are negotiated under chapter 39.35A RCW; or contracts and purchases for the printing of election ballots, voting machine labels, and all other election material containing the names of candidates and ballot titles.
(5) Nothing in this section shall prohibit the legislative authority of any county from allowing for preferential purchase of products made from recycled materials or products that may be recycled or reused.
Sec. 8. RCW 36.32.250 and 1991 c 363 s 58 are each amended to read as follows:
No contract for public works may be entered
into by the county legislative authority or by any elected or appointed officer
of the county until after bids have been submitted to the county upon
specifications therefor. Such specifications shall be in writing and shall be
filed with the clerk of the county legislative authority for public
inspection. An advertisement shall be published in the county official
newspaper stating the time and place where bids will be opened, the time after
which bids will not be received, the character of the work to be done, the
materials and equipment to be furnished, and that specifications therefor may
be seen at the office of the clerk of the county legislative authority. An
advertisement shall also be published in a legal newspaper of general
circulation in or as near as possible to that part of the county in which such
work is to be done. If the county official newspaper is a newspaper of general
circulation covering at least forty percent of the residences in that part of
the county in which such public works are to be done, then the publication of
an advertisement of the applicable specifications in the county official
newspaper shall be sufficient. Such advertisements shall be published at least
once at least ((ten)) thirteen days prior to the last date upon
which bids will be received. The bids shall be in writing, shall be filed with
the clerk, shall be opened and read in public at the time and place named
therefor in the advertisements, and after being opened, shall be filed for
public inspection. No bid may be considered for public work unless it is
accompanied by a bid deposit in the form of a surety bond, postal money order,
cash, cashier's check, or certified check in an amount equal to five percent of
the amount of the bid proposed. The contract for the public work shall be
awarded to the lowest responsible bidder. Any or all bids may be rejected for
good cause. The county legislative authority shall require from the successful
bidder for such public work a contractor's bond in the amount and with the
conditions imposed by law. If the bidder to whom the contract is awarded fails
to enter into the contract and furnish the contractor's bond as required within
ten days after notice of the award, exclusive of the day of notice, the amount
of the bid deposit shall be forfeited to the county and the contract awarded to
the next lowest and best bidder. The bid deposit of all unsuccessful bidders
shall be returned after the contract is awarded and the required contractor's
bond given by the successful bidder is accepted by the county legislative
authority. In the letting of any contract for public works involving
less than ten thousand dollars, advertisement and competitive bidding may be
dispensed with on order of the county legislative authority. Immediately after
the award is made, the bid quotations obtained shall be recorded and open to
public inspection and shall be available by telephone inquiry.
For advertisement and competitive bidding to be
dispensed with as to public works projects with an estimated value of ten
thousand dollars up to one hundred thousand dollars ((or less)), a
county must use a small works roster process as provided in RCW 39.04.155.
This section does not apply to performance‑based contracts, as defined in RCW 39.35A.020(3), that are negotiated under chapter 39.35A RCW.
Sec. 9. RCW 35.22.620 and 1989 c 431 s 59 are each amended to read as follows:
(1) As used in this section, the term "public works" means as defined in RCW 39.04.010.
(2) A first class city may have public works performed by contract pursuant to public notice and call for competitive bids. As limited by subsection (3) of this section, a first class city may have public works performed by city employees in any annual or biennial budget period equal to a dollar value not exceeding ten percent of the public works construction budget, including any amount in a supplemental public works construction budget, over the budget period. The amount of public works that a first class city has a county perform for it under RCW 35.77.020 shall be included within this ten percent limitation.
If a first class city has public works performed by public employees in any budget period that are in excess of this ten percent limitation, the amount in excess of the permitted amount shall be reduced from the otherwise permitted amount of public works that may be performed by public employees for that city in its next budget period. Twenty percent of the motor vehicle fuel tax distributions to that city shall be withheld if two years after the year in which the excess amount of work occurred, the city has failed to so reduce the amount of public works that it has performed by public employees. The amount so withheld shall be distributed to the city when it has demonstrated in its reports to the state auditor that the amount of public works it has performed by public employees has been so reduced.
Whenever a first class city has had public works performed in any budget period up to the maximum permitted amount for that budget period, all remaining public works within that budget period shall be done by contract pursuant to public notice and call for competitive bids.
The state auditor shall report to the state treasurer any first class city that exceeds this amount and the extent to which the city has or has not reduced the amount of public works it has performed by public employees in subsequent years.
(3) In addition to the percentage limitation provided in subsection (2) of this section, a first class city with a population in excess of one hundred fifty thousand shall not have public employees perform a public works project in excess of fifty thousand dollars if more than a single craft or trade is involved with the public works project, or a public works project in excess of twenty-five thousand dollars if only a single craft or trade is involved with the public works project or the public works project is street signalization or street lighting. In addition to the percentage limitation provided in subsection (2) of this section, a first class city with a population of one hundred fifty thousand or less shall not have public employees perform a public works project in excess of thirty-five thousand dollars if more than one craft or trade is involved with the public works project, or a public works project in excess of twenty thousand dollars if only a single craft or trade is involved with the public works project or the public works project is street signalization or street lighting. A public works project means a complete project. The restrictions in this subsection do not permit the division of the project into units of work or classes of work to avoid the restriction on work that may be performed by day labor on a single project.
(4) In addition to the accounting and record-keeping requirements contained in RCW 39.04.070, every first class city annually shall prepare a report for the state auditor indicating the total public works construction budget and supplemental public works construction budget for that year, the total construction costs of public works performed by public employees for that year, and the amount of public works that is performed by public employees above or below ten percent of the total construction budget. However, if a city budgets on a biennial basis, this annual report shall indicate the amount of public works that is performed by public employees within the current biennial period that is above or below ten percent of the total biennial construction budget.
After September 1, 1987, each first class city with a population of one hundred fifty thousand or less shall use the form required by RCW 43.09.205 to account and record costs of public works in excess of five thousand dollars that are not let by contract.
(5) The cost of a separate public works project shall be the costs of materials, supplies, equipment, and labor on the construction of that project. The value of the public works budget shall be the value of all the separate public works projects within the budget.
(6) When any emergency shall require the immediate execution of such public work, upon the finding of the existence of such emergency by the authority having power to direct such public work to be done and duly entered of record, publication of description and estimate may be made within seven days after the commencement of the work. Within two weeks of the finding that such an emergency existed, the city council shall adopt a resolution certifying the existence of this emergency situation.
(7) In lieu of the procedures of subsections
(2) and (6) of this section, a first class city may use a small works roster process
and award contracts ((under this subsection for contracts)) for
public works projects with an estimated value of one hundred thousand
dollars or less as provided in RCW 39.04.155.
(((a) The city may maintain a small works
roster comprised of all contractors who have requested to be on the roster and
are, where required by law, properly licensed or registered to perform such
work in this state.
(b) Whenever work is done by contract, the
estimated cost of which is one hundred thousand dollars or less, and the city
uses the small works roster, the city shall invite proposals from all
appropriate contractors on the small works roster: PROVIDED, That not less
than five separate appropriate contractors, if available, shall be invited to
submit bids on any one contract: PROVIDED FURTHER, That)) Whenever possible, the city shall invite at
least one proposal from a minority or woman contractor who shall otherwise
qualify under this section. ((Once a bidder on the small works roster has
been offered an opportunity to bid, that bidder shall not be offered another
opportunity until all other appropriate contractors on the small works roster
have been afforded an opportunity to submit a bid. Invitations shall include an
estimate of the scope and nature of the work to be performed, and materials and
equipment to be furnished.
(c) When awarding such a contract for work, the
estimated cost of which is one hundred thousand dollars or less, the city shall
award the contract to the contractor submitting the lowest responsible bid.))
(8) The allocation of public works projects to be performed by city employees shall not be subject to a collective bargaining agreement.
(9) This section does not apply to performance-based contracts, as defined in RCW 39.35A.020(3), that are negotiated under chapter 39.35A RCW.
(10) Nothing in this section shall prohibit any first class city from allowing for preferential purchase of products made from recycled materials or products that may be recycled or reused.
Sec. 10. RCW 35.23.352 and 1989 c 431 s 56 are each amended to read as follows:
(1) Any second or third class city or any town may construct any public works, as defined in RCW 39.04.010, by contract or day labor without calling for bids therefor whenever the estimated cost of the work or improvement, including cost of materials, supplies and equipment will not exceed the sum of thirty thousand dollars if more than one craft or trade is involved with the public works, or twenty thousand dollars if a single craft or trade is involved with the public works or the public works project is street signalization or street lighting. A public works project means a complete project. The restrictions in this subsection do not permit the division of the project into units of work or classes of work to avoid the restriction on work that may be performed by day labor on a single project.
Whenever the cost of the public work or
improvement, including materials, supplies and equipment, will exceed these
figures, the same shall be done by contract. All such contracts shall be let
at public bidding upon ((posting)) publication of notice calling
for sealed bids upon the work. The notice ((thereof shall be posted in a
public place in the city or town and by publication)) shall be published
in the official newspaper, or a newspaper of general circulation most likely to
bring responsive bids, ((once each week for two consecutive weeks before))
at least thirteen days prior to the ((date fixed for opening the bids))
last date upon which bids will be received. The notice shall generally
state the nature of the work to be done that plans and specifications therefor
shall then be on file in the city or town hall for public inspections, and
require that bids be sealed and filed with the council or commission within the
time specified therein. Each bid shall be accompanied by a bid proposal
deposit in the form of a cashier's check, postal money order, or surety bond to
the council or commission for a sum of not less than five percent of the amount
of the bid, and no bid shall be considered unless accompanied by such bid
proposal deposit. The council or commission of the city or town shall let the
contract to the lowest responsible bidder or shall have power by resolution to
reject any or all bids and to make further calls for bids in the same manner as
the original call.
When the contract is let then all bid proposal
deposits shall be returned to the bidders except that of the successful bidder
which shall be retained until a contract is entered into and a bond to perform
the work furnished, with surety satisfactory to the council or commission, in
((the full amount of the contract price)) accordance with RCW
39.08.030. If the bidder fails to enter into the contract in accordance with
his or her bid and furnish a bond within ten days from the date at which
he or she is notified that he or she is the successful bidder,
the check or postal money order and the amount thereof shall be forfeited to
the council or commission or the council or commission shall recover the amount
of the surety bond.
If no bid is received on the first call the council or commission may readvertise and make a second call, or may enter into a contract without any further call or may purchase the supplies, material or equipment and perform the work or improvement by day labor.
(2) The allocation of public works projects to be performed by city or town employees shall not be subject to a collective bargaining agreement.
(3) In lieu of the procedures of subsection (1)
of this section, a second or third class city or a town may use a small works
roster process and award public works contracts ((under this
subsection for contracts)) with an estimated value of one hundred
thousand dollars or less as provided in RCW 39.04.155.
(((a) The city or town may maintain a small
works roster comprised of all contractors who have requested to be on the
roster and are, where required by law, properly licensed or registered to
perform such work in this state.
(b) Whenever work is done by contract, the
estimated cost of which is one hundred thousand dollars or less, and the city
uses the small works roster, the city or town shall invite proposals from all
appropriate contractors on the small works roster: PROVIDED, That)) Whenever possible, the city or town shall
invite at least one proposal from a minority or woman contractor who shall
otherwise qualify under this section. ((The invitation shall include an
estimate of the scope and nature of the work to be performed, and materials and
equipment to be furnished.
(c) When awarding such a contract for work, the
estimated cost of which is one hundred thousand dollars or less, the city or
town shall award the contract to the contractor submitting the lowest
responsible bid.))
(4) After September 1, 1987, each second class city, third class city, and town shall use the form required by RCW 43.09.205 to account and record costs of public works in excess of five thousand dollars that are not let by contract.
(5) The cost of a separate public works project shall be the costs of the materials, equipment, supplies, and labor on that construction project.
(6) Any purchase of supplies, material,
equipment or services other than professional services, except for public work
or improvement, where the cost thereof exceeds seven thousand five hundred
dollars shall be made upon call for bids((: PROVIDED, That the limitations
herein shall not apply to any purchases of materials at auctions conducted by
the government of the United States, any agency thereof or by the state of
Washington or a political subdivision thereof)).
(7) Bids shall be called annually and at a time
and in the manner prescribed by ordinance for the publication in a newspaper ((published
or)) of general circulation in the city or town of all notices or newspaper
publications required by law. The contract shall be awarded to the lowest
responsible bidder.
(8) For advertisement and ((competitive))
formal sealed bidding to be dispensed with as to purchases between seven
thousand five hundred and fifteen thousand dollars, the city legislative
authority must authorize by resolution ((a)), use of the uniform
procedure ((for securing telephone and/or written quotations from enough
vendors to assure establishment of a competitive price and for awarding the
contracts for purchase of materials, equipment, or services to the lowest
responsible bidder. Immediately after the award is made, the bid quotations
obtained shall be recorded and open to public inspection and shall be available
by telephone inquiry)) provided in RCW 39.04.190.
(9) These requirements for purchasing may be waived by resolution of the city or town council which declared that the purchase is clearly and legitimately limited to a single source or supply within the near vicinity, or the materials, supplies, equipment, or services are subject to special market conditions, and recites why this situation exists. Such actions are subject to RCW 39.30.020.
(10) This section does not apply to performance-based contracts, as defined in RCW 39.35A.020(3), that are negotiated under chapter 39.35A RCW.
(11) Nothing in this section shall prohibit any second or third class city or any town from allowing for preferential purchase of products made from recycled materials or products that may be recycled or reused.
Sec. 11. RCW 52.14.110 and 1984 c 238 s 3 are each amended to read as follows:
Insofar as practicable, purchases and any public works by the district shall be based on competitive bids. A formal sealed bid procedure shall be used as standard procedure for purchases and contracts for purchases executed by the board of commissioners. Formal sealed bidding shall not be required for:
(1) Emergency purchases if the sealed bidding procedure would prevent or hinder the emergency from being addressed appropriately. The term emergency means an occurrence that creates an immediate threat to life or property;
(2) The purchase of any materials, supplies, or
equipment if the cost will not exceed the sum of ((ten)) four
thousand five hundred dollars((: PROVIDED, That)). However,
whenever the estimated cost is from ((forty-five hundred)) four thousand
five hundred dollars up to ten thousand dollars, the commissioners ((shall
require quotations from at least three different sources to be obtained in
writing or by telephone, and recorded for public perusal to assure
establishment of a competitive price for such purchase)) may by
resolution use the process provided in RCW 39.04.190 to award contracts;
(3) Contracting for work to be done involving the construction or improvement of a fire station or other buildings where the estimated cost will not exceed the sum of two thousand five hundred dollars, which includes the costs of labor, material, and equipment. However, whenever the estimated cost is from two thousand five hundred dollars up to ten thousand dollars, the commissioner may by resolution use the small works roster process provided in RCW 39.04.155;
(4) Purchases which are clearly and legitimately limited to a single source of supply, or services, in which instances the purchase price may be best established by direct negotiation: PROVIDED, That this subsection shall not apply to purchases or contracts relating to public works as defined in chapter 39.04 RCW; and
(5) Purchases of insurance and bonds.
Sec. 12. RCW 52.14.120 and 1984 c 238 s 4 are each amended to read as follows:
(1) Notice of the call for bids shall be given
by ((posting notice in three public places in the district and by
publication once each week for two consecutive weeks. The posting and first
publication shall be at least two weeks before the date fixed for opening of
the bids, and the publication shall be)) publishing the notice in a
newspaper of general circulation within the district at least thirteen days
before the last date upon which bids will be received. If no bid is
received on the first call, the commissioners may readvertise and make a second
call, or may enter into a contract without a further call.
(2) A public work involving three or more specialty contractors requires that the district retain the services of a general contractor as defined in RCW 18.27.010.
Sec. 13. RCW 53.08.120 and 1988 c 235 s 1 are each amended to read as follows:
All material required by a port district may be
procured in the open market or by contract and all work ordered may be done by
contract or day labor. All such contracts for work, the estimated cost of
which exceeds one hundred thousand dollars, shall be let at public bidding upon
notice published in a newspaper of general circulation in the district
at least ((ten)) thirteen days before the ((letting)) last
date upon which bids will be received, calling for sealed bids upon the
work, plans and specifications for which shall then be on file in the office of
the commission for public inspection. The same notice may call for bids on
such work or material based upon plans and specifications submitted by the
bidder.
Each port district shall maintain a small works
roster ((which shall be comprised of all contractors who have requested to
be on the roster and are, where required by law, properly licensed or
registered to perform such work in the state of Washington.)), as
provided in RCW 39.04.155, and may use the small works roster process to award
contracts in lieu of calling for sealed bids whenever work is done by
contract, the estimated cost of which is one hundred thousand dollars or less((,
the managing official of the port district may invite proposals from all
appropriate contractors on the small works roster: PROVIDED, That not less
than five separate appropriate contractors shall be invited to submit proposals
on any individual contract: PROVIDED FURTHER, That)). Whenever
possible, the managing official shall invite at least one proposal from a
minority contractor who shall otherwise qualify under this section. ((Such
invitation shall include an estimate of the scope and nature of the work to be
performed, and materials and equipment to be furnished.))
When awarding such a contract for work, when utilizing proposals from the small works roster, the managing official shall give weight to the contractor submitting the lowest and best proposal, and whenever it would not violate the public interest, such contracts shall be distributed equally among contractors, including minority contractors, on the small works roster.
Sec. 14. RCW 54.04.070 and 1990 c 251 s 1 are each amended to read as follows:
Any item, or items of the same kind of
materials, equipment, or supplies purchased, the estimated cost of which is in
excess of five thousand dollars, exclusive of sales tax shall be by contract:
PROVIDED, That a district may make purchases of the same kind of items of
materials, equipment and supplies not exceeding five thousand dollars in any
calendar month without a contract, purchasing any excess thereof over five
thousand dollars by contract. Any work ordered by a district commission, the
estimated cost of which is in excess of ten thousand dollars exclusive of sales
tax, shall be by contract, except that a district commission may have its own
regularly employed personnel perform work which is an accepted industry
practice under prudent utility management without a contract. Prudent utility
management means performing work with regularly employed personnel utilizing
material of a worth not exceeding fifty thousand dollars in value without a
contract: PROVIDED, That such limit on the value of material being utilized in
work being performed by regularly employed personnel shall not include the
value of individual items of equipment purchased or acquired and used as one
unit of a project. Before awarding such a contract, the commission shall
publish a notice once or more in a newspaper of general circulation in the
district at least ((twenty)) thirteen days before the ((letting
of the contract)) last date upon which bids will be received,
inviting sealed proposals for the work or materials; plans and specifications
of which shall at the time of the publication be on file at the office of the
district subject to public inspection((: PROVIDED, That any)). Any
published notice ordering work to be performed for the district shall be mailed
at the time of publication to any established trade association which files a
written request with the district to receive such notices. The commission may
at the same time and as part of the same notice, invite tenders for the work or
materials upon plans and specifications to be submitted by the bidders.
Notwithstanding any other provisions herein,
all contract projects, the estimated cost of which is less than one hundred
thousand dollars, may be awarded to a contractor ((on)) using the
small works roster((. The small works roster shall be comprised of all
responsible contractors who have requested to be on the list. The commission
shall authorize by resolution a procedure for securing telephone and/or written
quotations from the contractors on the small works roster to assure
establishment of a competitive price and for awarding contracts to the lowest
responsible bidder. Such procedure shall require that a good-faith effort be
made to request quotations from all contractors on the small works roster.
Immediately after an award is made, the bid quotations obtained shall be
recorded, open to public inspection, and available by telephone inquiry. The
small works roster shall be revised once a year)) process provided in
RCW 39.04.155. All contract projects equal to or in excess of one hundred
thousand dollars shall be let by competitive bidding.
Whenever equipment or materials required by a district are held by a governmental agency and are available for sale but such agency is unwilling to submit a proposal, the commission may ascertain the price of such items and file a statement of such price supported by the sworn affidavit of one member of the commission and may consider such price as a bid without a deposit or bond. In the event of an emergency when the public interest or property of the district would suffer material injury or damage by delay, upon resolution of the commission, or proclamation of an official designated by the board to act for the board during such emergencies, declaring the existence of such emergency and reciting the facts constituting the same, the board, or the official acting for the board, may waive the requirements of this chapter with reference to any purchase or contract, after having taken precautions to secure the lowest price practicable under the circumstances.
After determination by the commission during a public meeting that a particular purchase is available clearly and legitimately only from a single source of supply, the bidding requirements of this section may be waived by the commission.
Sec. 15. RCW 54.04.082 and 1977 ex.s. c 116 s 1 are each amended to read as follows:
For the awarding of a contract to purchase any
item, or items of the same kind of materials, equipment, or supplies in an
amount exceeding five thousand dollars, but less than fifteen thousand dollars,
exclusive of sales tax, the commission may, in lieu of the procedure described
in RCW 54.04.070 and 54.04.080 requiring public notice to invite sealed
proposals for such materials, equipment, or supplies, ((authorize by)) pursuant
to commission resolution ((a staff procedure for securing telephone
and/or written quotations from enough vendors to assure establishment of a
competitive price and for awarding such contracts for purchase of materials,
equipment, or supplies to the lowest responsible bidder. Immediately after the
award is made, the bid quotations obtained shall be recorded and shall be
posted or otherwise made available at the office of the commission or any other
officially designated location)) use the process provided in RCW
39.04.190. Waiver of the deposit or bid bond required under RCW 54.04.080
may be authorized by the commission in securing such bid quotations.
Sec. 16. RCW 56.08.070 and 1989 c 105 s 1 are each amended to read as follows:
(1) All materials purchased and work ordered,
the estimated cost of which is in excess of five thousand dollars shall be let
by contract. All contract projects, the estimated cost of which is less than
fifty thousand dollars, may be awarded to a contractor ((on)) using
the small works roster((. The small works roster shall be comprised of all
responsible contractors who have requested to be on the list)) process
provided in RCW 39.04.155 or the process provided in RCW 39.04.190 for
purchases. The board of sewer commissioners may set up uniform procedures
to prequalify contractors for inclusion on the small works roster. ((The
board of sewer commissioners shall authorize by resolution a procedure for
securing telephone and/or written quotations from the contractors on the small
works roster to assure establishment of a competitive price and for awarding
contracts to the lowest responsible bidder. Such procedure shall require that a
good faith effort be made to request quotations from all contractors on the
small works roster. Immediately after an award is made, the bid quotations
obtained shall be recorded, open to public inspection, and available by
telephone inquiry. The small works roster shall be revised once a year.))
All contract projects equal to or in excess of fifty thousand dollars shall be
let by competitive bidding. Before awarding any competitive contract the board
of sewer commissioners shall ((cause)) publish a notice ((to
be published)) in a newspaper ((in)) of general circulation
where the district is located at least once, ((ten)) thirteen days
before the ((letting of such contract)) last date upon which bids
will be received, inviting sealed proposals for such work, plans and
specifications which must at the time of publication of such notice be on file
in the office of the board of sewer commissioners subject to public
inspection. Such notice shall state generally the work to be done and shall
call for proposals for doing the same to be sealed and filed with the board of
sewer commissioners on or before the day and hour named therein.
(2) Each bid shall be accompanied by a bid
proposal deposit in the form of a certified check, cashier's check, postal
money order, or surety bond payable to the order of the county treasurer for a
sum not less than five percent of the amount of the bid and no bid shall be
considered unless accompanied by such bid proposal deposit. At the time and
place named such bids shall be publicly opened and read and the board of sewer
commissioners shall proceed to canvass the bids and may let such contract to
the lowest responsible bidder upon plans and specifications: PROVIDED, That no
contract shall be let in excess of the cost of ((said)) the
materials or work, or if in the opinion of the board of sewer commissioners all
bids are unsatisfactory they may reject all of them and readvertise and in such
case all checks, cash or bid bonds shall be returned to the bidders. If such
contract be let, then all checks, cash or bid bonds shall be returned to the
bidders, except that of the successful bidder, which shall be retained until a
contract shall be entered into for the purchase of such materials or doing such
work, and a bond to perform such work furnished with sureties satisfactory to
the board of sewer commissioners in the full amount of the contract price
between the bidder and the commission in accordance with bid. If ((said))
the bidder fails to enter into ((said)) the contract in
accordance with ((said)) the bid and furnish such bond within ten
days from the date at which ((he)) the bidder is notified that he
or she is the successful bidder, the ((said)) check, cash,
or bid bonds and the amount thereof shall be forfeited to the sewer district.
(3) In the event of an emergency when the public interest or property of the sewer district would suffer material injury or damage by delay, upon resolution of the board of sewer commissioners, or proclamation of an official designated by the board to act for the board during such emergencies, declaring the existence of such emergency and reciting the facts constituting the same, the board, or the official acting for the board, may waive the requirements of this chapter with reference to any purchase or contract. In addition, these requirements may be waived for purchases which are clearly and legitimately limited to a single source of supply and purchases involving special facilities, services, or market conditions, in which instances the purchase price may be best established by direct negotiation.
Sec. 17. RCW 56.08.080 and 1989 c 308 s 5 are each amended to read as follows:
The board of commissioners of a sewer district may sell, at public or private sale, property belonging to the district if the board determines that the property is not and will not be needed for district purposes and if the board gives notice of intention to sell as in this section provided: PROVIDED, That no notice of intention is required to sell personal property of less than two thousand five hundred dollars in value.
The notice of intention to sell shall be
published once a week for ((three)) two consecutive weeks in a
newspaper of general circulation in the district. ((The last publication shall
be at least twenty days but not more than thirty days before the date of sale.))
The notice shall describe the property and state the time and place at which it
will be sold or offered for sale, the terms of sale, whether the property is to
be sold at public or private sale, and if at public sale the notice shall call
for bids, fix the conditions thereof and shall reserve the right to reject any
and all bids.
Sec. 18. RCW 56.08.090 and 1989 c 308 s 6 are each amended to read as follows:
(1) Subject to the provisions of subsection (2) of this section, no real property valued at two thousand five hundred dollars or more of the district shall be sold for less than ninety percent of the value thereof as established by a written appraisal made not more than six months prior to the date of sale by three disinterested real estate brokers licensed under the laws of the state or professionally designated real estate appraisers as defined in RCW 74.46.020. The appraisal shall be signed by the appraisers and filed with the secretary of the board of commissioners of the district, who shall keep it at the office of the district open to public inspection. Any notice of intention to sell real property of the district shall recite the appraised value thereof: PROVIDED, That there shall be no private sale of real property where the appraised value exceeds the sum of two thousand five hundred dollars.
(2) If no purchasers can be obtained for the
property at ninety percent or more of its appraised value after one hundred ((eighty))
twenty days of offering the property for sale, the board of
commissioners of the sewer district may adopt a resolution stating that the
district has been unable to sell the property at the ninety percent amount. The
sewer district then may sell the property at the highest price it can obtain at
public auction. A notice of intention to sell at public auction shall be
published once a week for ((three)) two consecutive weeks in a
newspaper of general circulation in the sewer district. ((The last
publication shall be at least twenty days but not more than thirty days before
the date of sale.)) The notice shall describe the property, state the time
and place at which it will be offered for sale and the terms of sale, and shall
call for bids, fix the conditions thereof, and reserve the right to reject any
and all bids.
Sec. 19. RCW 57.08.015 and 1989 c 308 s 7 are each amended to read as follows:
The board of commissioners of a water district may sell, at public or private sale, property belonging to the district if the board determines that the property is not and will not be needed for district purposes and if the board gives notice of intention to sell as in this section provided: PROVIDED, That no such notice of intention shall be required to sell personal property of less than two thousand five hundred dollars in value.
The notice of intention to sell shall be
published once a week for ((three)) two consecutive weeks in a
newspaper of general circulation in the district. ((The last publication
shall be at least twenty days but not more than thirty days before the date of
sale.)) The notice shall describe the property and state the time and
place at which it will be sold or offered for sale, the terms of sale, whether
the property is to be sold at public or private sale, and if at public sale the
notice shall call for bids, fix the conditions thereof and shall reserve the
right to reject any and all bids.
Sec. 20. RCW 57.08.016 and 1989 c 308 s 8 are each amended to read as follows:
(1) Subject to the provisions of subsection (2) of this section, no real property valued at two thousand five hundred dollars or more of the district shall be sold for less than ninety percent of the value thereof as established by a written appraisal made not more than six months prior to the date of sale by three disinterested real estate brokers licensed under the laws of the state or professionally designated real estate appraisers as defined in RCW 74.46.020. The appraisal shall be signed by the appraisers and filed with the secretary of the board of commissioners of the district, who shall keep it at the office of the district open to public inspection. Any notice of intention to sell real property of the district shall recite the appraised value thereof: PROVIDED, That there shall be no private sale of real property where the appraised value exceeds the sum of two thousand five hundred dollars.
(2) If no purchasers can be obtained for the
property at ninety percent or more of its appraised value after one hundred ((eighty))
twenty days of offering the property for sale, the board of
commissioners of the water district may adopt a resolution stating that the
district has been unable to sell the property at the ninety percent amount.
The water district then may sell the property at the highest price it can
obtain at public auction. A notice of intention to sell at public auction
shall be published once a week for ((three)) two consecutive
weeks in a newspaper of general circulation in the water district. ((The
last publication shall be at least twenty days but not more than thirty days
before the date of sale.)) The notice shall describe the property, state
the time and place at which it will be offered for sale and the terms of sale,
and shall call for bids, fix the conditions thereof, and reserve the right to
reject any and all bids.
Sec. 21. RCW 57.08.050 and 1989 c 105 s 2 are each amended to read as follows:
(1) The board of water commissioners shall have authority to create and fill such positions and fix salaries and bonds thereof as it may by resolution provide.
(2) All materials purchased and work ordered,
the estimated cost of which is in excess of five thousand dollars shall be let
by contract. All contract projects, the estimated cost of which is less than
fifty thousand dollars, may be awarded to a contractor ((on the)) using
a small works roster((. The small works roster shall be comprised of
all responsible contractors who have requested to be on the list)) process
provided in RCW 39.04.155 or the process provided in RCW 39.04.190 for
purchases. The board of water commissioners may set up uniform procedures
to prequalify contractors for inclusion on the small works roster. ((The
board of water commissioners shall authorize by resolution a procedure for
securing telephone and/or written quotations from the contractors on the small
works roster to assure establishment of a competitive price and for awarding
contracts to the lowest responsible bidder. Such procedure shall require that
a good faith effort be made to request quotations from all contractors on the
small works roster. Immediately after an award is made, the bid quotations
obtained shall be recorded, open to public inspection, and available by
telephone inquiry. The small works roster shall be revised once a year.))
All contract projects equal to or in excess of fifty thousand dollars shall be
let by competitive bidding. Before awarding any such contract the board of
water commissioners shall ((cause)) publish a notice ((to be
published)) in a newspaper ((in)) of general circulation
where the district is located at least once ((ten)) thirteen days
before the ((letting of such contract)) last date upon which bids
will be received, inviting sealed proposals for such work, plans and
specifications which must at the time of publication of such notice be on file
in the office of the board of water commissioners subject to public
inspection. Such notice shall state generally the work to be done and shall
call for proposals for doing the same to be sealed and filed with the board of
water commissioners on or before the day and hour named therein.
(3) Each bid shall be accompanied by a
certified or cashier's check or postal money order payable to the order of the
county treasurer for a sum not less than five percent of the amount of the bid,
or accompanied by a bid bond in an amount not less than five percent of the bid
with a corporate surety licensed to do business in the state, conditioned that
the bidder will pay the district as liquidated damages the amount specified in
the bond, unless ((he)) the bidder enters into a contract in
accordance with his or her bid, and no bid shall be considered unless
accompanied by such check, cash or bid bond. At the time and place named such
bids shall be publicly opened and read and the board of water commissioners
shall proceed to canvass the bids and may let such contract to the lowest
responsible bidder upon plans and specifications on file or to the best bidder
submitting his or her own plans and specifications: PROVIDED, That no
contract shall be let in excess of the cost of ((said)) the
materials or work, or if in the opinion of the board of water commissioners all
bids are unsatisfactory they may reject all of them and readvertise and in such
case all checks, cash or bid bonds shall be returned to the bidders. If such
contract be let, then all checks, cash or bid bonds shall be returned to the
bidders, except that of the successful bidder, which shall be retained until a
contract shall be entered into for the purchase of such materials or doing such
work, and a bond to perform such work furnished with sureties satisfactory to
the board of water commissioners in the full amount of the contract price
between the bidder and the commission in accordance with the bid. If ((said))
the bidder fails to enter into ((said)) the contract in
accordance with ((said)) the bid and furnish such bond within ten
days from the date at which ((he)) the bidder is notified that he
or she is the successful bidder, the ((said)) check, cash or bid
bonds and the amount thereof shall be forfeited to the water district:
PROVIDED, That if the bidder fails to enter into a contract in accordance with
his or her bid, and the board of water commissioners deems it necessary
to take legal action to collect on any bid bond required herein, then the water
district shall be entitled to collect from ((said)) the bidder
any legal expenses, including reasonable attorneys' fees occasioned thereby.
(4) In the event of an emergency when the public interest or property of the water district would suffer material injury or damage by delay, upon resolution of the board of water commissioners, or proclamation of an official designated by the board to act for the board during such emergencies, declaring the existence of such emergency and reciting the facts constituting the same, the board, or official acting for the board, may waive the requirements of this chapter with reference to any purchase or contract. In addition, these requirements may be waived for purchases which are clearly and legitimately limited to a single source of supply and purchases involving special facilities, services, or market conditions, in which instances the purchase price may be best established by direct negotiation.
Sec. 22. RCW 70.44.140 and 1965 c 83 s 1 are each amended to read as follows:
(1) All materials purchased and work
ordered, the estimated cost of which is in excess of five thousand dollars, shall
be by contract. Before awarding any such contract, the commission shall ((cause
to be published)) publish a notice at least ((thirty)) thirteen
days before the ((letting of said contract)) last date upon which
bids will be received, inviting sealed proposals for such work((,)).
The plans and specifications ((which)) must at the time of the
publication of such notice be on file at the office of the public hospital
district, subject to public inspection: PROVIDED, HOWEVER, That the commission
may at the same time, and as part of the same notice, invite tenders for ((said))
the work or materials upon plans and specifications to be submitted by
bidders. ((Such)) The notice shall state generally the work to
be done, and shall call for proposals for doing the same, to be sealed and
filed with the commission on or before the day and hour named therein. Each
bid shall be accompanied by bid proposal security in the form of a certified
check, cashier's check, postal money order, or surety bond made payable to the
order of the commission, for a sum not less than five percent of the amount of
the bid, and no bid shall be considered unless accompanied by such bid proposal
security. At the time and place named, such bids shall be publicly opened and
read, and the commission shall proceed to canvass the bids, and may let such
contract to the lowest responsible bidder upon plans and specifications on
file, or to the best bidder submitting his or her own plans and
specifications: PROVIDED, HOWEVER, That no contract shall be let in excess of
the estimated cost of ((said)) the materials or work, or if, in
the opinion of the commission, all bids are unsatisfactory, they may reject all
of them and readvertise, and in such case all bid proposal security shall be
returned to the bidders; but if such contract be let, then and in such case all
bid proposal security shall be returned to the bidders, except that of the
successful bidder, which shall be retained until a contract shall be entered
into for the purchase of such materials for doing such work, and a bond to
perform such work furnished, with sureties satisfactory to the commission, in
an amount to be fixed by the commission, not less than twenty-five percent of
contract price in any case, between the bidder and commission, in accordance
with the bid. If such bidder fails to enter into ((said)) the
contract in accordance with ((said)) the bid and furnish such
bond within ten days from the date at which ((he)) the bidder is
notified that he or she is the successful bidder, the ((said))
bid proposal security and the amount thereof shall be forfeited to the public
hospital district.
(2) In lieu of the procedures of subsection (1) of this section, a public hospital district may use a small works roster process and award public works contracts for projects in excess of five thousand dollars up to fifty thousand dollars as provided in RCW 39.04.155.
(3) For advertisement and formal sealed bidding to be dispensed with as to purchases between five thousand and fifteen thousand dollars, the commission must authorize by resolution a procedure as provided in RCW 39.04.190.
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