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2001-376ORDINANCE NO. a001 _ 0 7 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, AMENDING CHAPTER 10, ARTICLE II "PURCHASING" OF THE CODE OF ORDINANCES OF THE CITY OF DENTON, TEXAS TO PROVIDE THAT THE CITY OF DENTON MAY UTILIZE ANY PURCHASING AND PROCUREMENT METHOD AUTHORIZED BY LAW; ALLOWING ALTERNATIVE PROCUREMENT METHODS FOR DENTON MUNICIPAL ELECTRIC; PROVIDING A SEVERABILITY CLAUSE AND A REPEALER CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the 77th Texas State Legislature revised Chapters 252 and 271 of the Local Government Code to allow municipalities the flexibility to utilize a number of alternative procurement methods including, best value purchases, competitive sealed proposals, design-build contracts, construction manager contracts, and job order contracts; and WHEREAS, Chapter 10, Article II of the Code of Ordinances of the City of Denton is obsolete because it restricts City procurements to only those methods allowed by state law prior to the recent legislative changes; and WHEREAS, the City Council finds that it is in the public interest to authorize any procurement method that is authorized by law and it is in the public interest to allow alternative procurement methods for Denton Municipal Electric as provided herein as these alternative procurement methods serve a public purpose to allow Denton Municipal Electric to compete on a more equal basis with non-municipally owned electric utilities; NOW, THEREFORE THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. Chapter 10 Article II "Purchasing" of the Code of Ordinances of the City of Denton, Texas ("Chapter 10, Article II") is hereby amended in its entirety to read as follows: ARTICLE II. PURCHASING Sec. 10-26. Purchasing and Procurement Methods and Procedures. (a) The Purchasing Agent of the City of Denton (the "Purchasing Agent") shall make all purchases and sales for the City in accordance with the provisions of state law, the Charter and in accordance with this article. The City may utilize any purchasing or procurement method or procedure authorized by law to purchase or contract for goods, services or public works. The Purchasing Agent is authorized to determine which method of procurement provides the best value to the City under Sections 271.113, 271.114, and 252.022(d) of the Texas Local Government Code, as amended. As authorized by Subsection 252.022(c) of the Texas Local Government Code the Purchasing Agent is hereby authorized to use any procurement procedure S:\Our Documents\Ordinances\01\Purchasing Proceduresldoc or method for the construction or installation of any public work for Denton Municipal Electric that is authorized by Subchapter H, Chapter 271 of the Texas Local Government Code, as amended, even if the public work is for the construction of a public work defined in Subsection 252.043(d) of the Texas Local Government Code. This ordinance shall constitute a resolution for purposes of Subsection 252.022(c) of the Texas Local Government Code. (b) The Purchasing Agent shall have full authority to purchase or provide for the purchase of all materials, supplies and equipment for the use of all departments, utilities, commissions and boards comprising the city government. Sec. 10-27 Requisitions for Supplies The Purchasing Agent shall not furnish any supplies to any department unless there is to the credit of such department an available appropriation balance in excess of all unpaid obligations sufficient to pay such supplies. Sec. 10-28 Procedures for Purchases Based on Certain Values The City Manager or his designee, is authorized to make purchases of budgeted items of $25,000 or less without city council approval. Sec. 10-29 Contracts with Former City Council Members The City shall not, within one hundred eighty (180) days after a council member leaves office, enter into a contract with any business entity as defined by Chapter 171 of the Texas Local Government Code ("Chapter 171 in which the former council member has a substantial interest as defined by Chapter 171. This prohibition does not apply to: (1) A contract required to be awarded to the lowest responsible through competitive sealed bids; (2) A contract to purchase items that are available from only one source as specified in Chapter 252 of the Texas Local Government Code; (3) A contract required to receive a city service or participate in a city program which is available to the general public; (4) A contract that is necessary to preserve or protect the public health or safety of the citizens or because of a public calamity that requires the immediate appropriation of money to relieve the necessity of the city's residents or to preserve the property of the city; and (5) The purchase of real estate or an interest in real estate. Page 2 SECTION 2. All other provisions of Chapter 10, Article II are repealed in their entirety. To the extent of any conflict between this ordinance and any other ordinance of the City of Denton this ordinance shall supercede any such conflicting provision. SECTION 3. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid by any court, such invalidity shall not affect the validity of other provisions or applications, and to this end the provisions of this ordinance are severable. SECTION 4. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this theo_ - day of ('2001. &m~xd_ EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HER BY: Page 3