HomeMy WebLinkAboutADMIN 82-15CORPORATION OF THE TOWN OF NEWCASTLE
40 TEMPERANCE STREET
BOWMANVILLE, ONTARIO
Ll C 3A6
/o io. q 9
REPORT TO THE GENERAL PURPOSE AND ADMINISTRATION COMMITTEE
MEETING OF FEBRUARY 22 1982
ADMIN. 82-15
SUBJECT: PURCHASING AND SUPPLY AGENT,
TREASURY DEPARTMENT,
CENTRAL PURCHASING SYSTEM
RECOMMENDATIONS:
1. That this report be received; and
2. That Council establish the position of
"Purchasing and Supply Agent" according
to the attached job description; and
3. That Council adopt the attached by-law giving
effect to the above.
BACKGROUND AND COMMENT:
TELEPHONE 623-3379
As Members of Council are aware, the Ministry of Municipal Affairs
and Housing made certain recommendations to the Town in July of
1981 on the municipality's purchasing system, through their report
on the "Financial and Budgetary Controls of the Town of Newcastle".
The Ministry felt that the Town's performance could be improved by
implementing a purchasing by-law and by eliminating the two independent
purchase order systems existing in the municipality. Towards this end,
staff have prepared the attached job description for transferring
the position of Shop Foreman/Purchasing Agent from the Department of
Public Works to the Treasury Department, and for re-establishing
the position according to expanded, specific requirements. According
to the job description, the Purchasing and Supply Agent would be \
specifically required to prepare, submit to Council, and on adoption, 1
administer a purchasing by-law (with complementary policies and S� ���{��✓
procedures) for the Town.
�� 1A
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ADMIN 82-15
It is recommended that Council include this position within
the Treasury section of the 1982 municipal budget and proceed
to fill the position immediately.
It is noted that due to the expanded duties and requirements of
the position that it would be appropriately rated at salary grade 12
in the non-union Salary Administration Program, $22,000
to 25,300 (1981 rates).
For the information of Committee, the attached purchasing by-law
has been drafted by staff for discussion purposes between departments.
Respectfully submitted,
DNS:nof D. N. Smith, M.C.I.P.
Administrator
THE CORPORATION OF THE TOWN OF NEWCASTLE
BY-LAW 82-24
being a by-law of the Town of Newcastle for
establishing the position of "Purchasing and
Supply Agent"
WHEREAS the Council of the Corporation of the Town of Newcastle
wishes to establish the position of "Purchasing and Supply Agent",
NOW THEREFORE the Corporation of the Town of Newcastle by its Council
ENACTS AS FOLLOWS:
1. The position of "Purchasing and Supply Agent"
is hereby established;
2. The position shall have the duties and
responsibilities as set out in Schedule "A"
to this by-law;
3. The position shall be compensated according
to the Town's policy in respect of non-union
salaries.
By -Law read a first time this lst day of March 1982
By -Law read a second time this lst day of March 1982
By -Law read a third time and finally passed this 1st day of March 1982
Garnet B. Rickard
ayor
David W. Oakes
Schedule "A" to By -Law 82-24
Summary of Duties
Responsible to the Treasurer for the implementation and administration
of the purchasing system of the Town of Newcastle.
Work Performed
1. The Purchasing and Supply Agent shall prepare and submit to
Council a "Purchasing By -Law" governing the purchase of goods,
materials and services by the Town. Such a by-law shall be accompanied
by the required administrative policies and procedures and shall set
out specific purchase and approval requirements.
2. The Purchasing and Supply Agent shall receive requisitions for
materials, goods and services from all municipal departments and in
accordance with the purchasing by-law and procedures, shall locate
sources of supply, obtain competitive prices and other pertinent
information and place orders accordingly.
3. The Purchasing and Supply Agent shall write specifications for
standard goods, commodities and services and shall assist departments
with writing specifications of a technical nature.
4. The Purchasing and. Supply Agent shall call for tenders on required
commodities and services and shall prepare tabulations and recommendations
for the approval of Council in accordance with the purchasing by-law.
5. The Purchasing and Supply Agent shall work in close liaison
with all municipal departments concerning their requirements, and shall
assist and recommend on their selection of goods and services.
.2
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Schedule "A" to By -Law 82-24
6. The Purchasing and Supply Agent shall implement, and administer
an inventory control program and shall supervise the Accounts Clerk
(Public Works).
7. The Purchasing and Supply Agent shall research, gather information
and statistical data required to establish long term buying programs
or contracts and shall be responsible for updating purchasing procedures
and recommending policy changes.
8. The Purchasing and Supply Agent shall preside at all tender openings
and shall be responsible for answering the enquiries of elected or
appointed officials.
9. The Purchasing and Supply Agent shall interview sales representatives and
visit suppliers when necessary to obtain product or vendor information.
10. The Purchasing and Supply Agent shall perform duties related to
the above as may be assigned by the Treasurer or the Chief Administrative
Officer.
Qualifications
1. A minimum of five years experience, preferably in a municipal
or governmental purchasing department.
o uivalent "t
2. A minimum of a senior matriculation/, and t e successful completion
of a professional development program through the Purchasing Management
Association of Canada and the National Institute of Governmental Purchasing.
3. The ability to communicate effectively with Council and staff, and
the ability to negotiate effectively with suppliers and other levels
of government.
4. A current motor vehicle operator's licence in good standing.
7iG
THE CORPORATION OF THE TOWN OF HAT 0MF1 7,
BY—LAW NO.
A By -Law of Purchasing and Turnderi-ng Procedures
and to define the duties, powers and respons
ibilities of the Purchasing Agent.
�- „Je 9 srl
The Council of the Corporation of The Town o �Ys:
hereby ENACTS as follows:
A. DEFINITIONS:
"Purchasing Agent" shall mean head of the Central.Purchasing
System.
"Contractual Services shall refer, to formal contracts awarded
by Council for .the construction of all.
capital assets with the exception of such
assets as roads, bridges, curbs', sidewalks,
and -ewers which are constructed under the
supervision of the Town Erig±nu3n7tag t,Jo/RKs
Department.
"Goods" shall mean and include all kinds of
operational materials, equipment maintenanc(
rental services,telephone service, printin(
�J/RrErf�r c� s—u ucriptions,Vadvertising, publications or
any other similar type service requiring
public funds.
"Council" shall mean the Council of the Corporation
of The Town of B3-.
&'.5evCasr'gr
B. The Purchasing Agent shall have the following duties, powers
and responsibilities under the direction of the Town Treasurer.
B.I. To have charge of and be responsible for the organization,
establishment and maintenance of a Central Purchasing System
9
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13ear�s-an to provide an Inter -Department
Courier System -Responsible for the Telephone System,
t#e-T-yeas-ur-erwizTr -the-handl- ,ott7D aranee mfJ_ttBXs.
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B.2.
To have charge of and be responsible for the purchase of all
goods and contractual services required by using departments
for or on behalf of. the Corporation; hereafter no goods shal
be purchased for or, services contracted for on behalf of
S�
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the Corporation except through the Purchasing Agent.
B.3.
To prescribe and maintain such forms as may reasonably be',
necessary for the operation of the Central Purchasing System
and prepare and adopt a stores catalogue for use of using"-,
departments as volume warrants the need.
B4.
To interview all Salesmen and where necessary refer them to;
other departments where tchnical information is required
providing that should this referral lead to the'requisition'i
of goods or services, alternative quotations may be'lobtained
in accordance with the purchasing procedures outlined.
B.S.
To group, correlate and unify, the requirements of using
departments of the Corporation and by standardization reduce
the kinds of goods used by the Corporation,00-to the minimum
number consistent with the needs of the using` departments.
_ o t ..p rise'
r
-aTmnq-the-4ts-i-ng departments 1z of .-the. s pn at ion-,-the-Town
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B.10. Except where a non-competitive commodity is required, to
make all purchases on a competitive basis consistent with
price, quality, delivery and service# a11_ -t _. •al
c—' 0 9 9 C Erb--t.f—ivv*cr
_rd --a La goods --offered by—local-=-suppl-iers:-Canadiaxx-_Mannfa
{,*aads-�n l=tin-given-preforence,-all other'Pactora being -equal. , '
B.11. To visit suppliers when necessary to expedite deliveries,
inspect the supplier's goods, services and capacity to meet
the needs of the using departments and to create goodwill
between the Corporation and the supplier.
B.12. Where Tenders are required on formal contract, the head of
the using department will be responsible for the preparation
of all necessary plans and specifications with the assistane(
of the Purchasing Agent,
/ PURCHASE.BY NEGOTIATION:
The Purchasing Agent may, under the conditions as hereinafter
set out, purchase by negotiating with one or more sources or
bidders and in such case the requirements for inviting tenders
and quotations may be waived.
The methods of negotiation shall be those accepted as standard
negotiating procedures that employ fair ethical practices,
The information pertinent to and the results of all such
_ negotiations shall be'reported ,to the Department:Head and/or the.
Administrator and at the discrecti.on of the Administrator shall:',
be reported to Council. In the case of identical bids, such
information and results shall remain confidential.Any bidder
party to such negotiations may apply to the Council which may
order that such information or results be revealed'to him.l
C
. When due to market, conditions andinthe judgement of
"The Purchasing Agent" goods are in short, supply.
Where thereis only one.source'of supply for thegoodsor services.
. Where two or more identical bids have been received.
o
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' B.6.
To request and receive from the heads of the using
departments of the Corporation estimates of requirements
for future periods of time to enable the Purchasing Agent'
to determine the quantities of goods which should be
contracted for in advance of current need.
B.7.
To confer with the heads of the various using departments
regarding the preparation of plans and specifications,aztd
-determine_whether=or=-not the propased=pians-and
spee=f7i,c�ation$-are -practicable -in-the-view :point of supplier
and=eL,onami-exi-1--an,d` ams ble-for-the-£-arpo -a 4 on.
/ 7N' P/Arr If: "r- f
B.B.
To be responsible for all advertising including advertising
and issuing and receiving of all Tender Calls:
B.9.
To request and receive from the heads of using departments
of the Corporation from time to time itemized lists of all
goods which are no longer used or which have become obsolete
worn out, or scrapoed, and in the event that lFgy of the same'
can be used by any other department of the Corporation, to
make the same available for use by such othei.departmentp In
the event that any of such goods can no longer be used for
Municipal purpose, to arrange for the disposal of the same
subject to the approval of the Town
Treasurer.
_ ,&P,f fiYioas
C.
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B.10. Except where a non-competitive commodity is required, to
make all purchases on a competitive basis consistent with
price, quality, delivery and service# a11_ -t _. •al
c—' 0 9 9 C Erb--t.f—ivv*cr
_rd --a La goods --offered by—local-=-suppl-iers:-Canadiaxx-_Mannfa
{,*aads-�n l=tin-given-preforence,-all other'Pactora being -equal. , '
B.11. To visit suppliers when necessary to expedite deliveries,
inspect the supplier's goods, services and capacity to meet
the needs of the using departments and to create goodwill
between the Corporation and the supplier.
B.12. Where Tenders are required on formal contract, the head of
the using department will be responsible for the preparation
of all necessary plans and specifications with the assistane(
of the Purchasing Agent,
/ PURCHASE.BY NEGOTIATION:
The Purchasing Agent may, under the conditions as hereinafter
set out, purchase by negotiating with one or more sources or
bidders and in such case the requirements for inviting tenders
and quotations may be waived.
The methods of negotiation shall be those accepted as standard
negotiating procedures that employ fair ethical practices,
The information pertinent to and the results of all such
_ negotiations shall be'reported ,to the Department:Head and/or the.
Administrator and at the discrecti.on of the Administrator shall:',
be reported to Council. In the case of identical bids, such
information and results shall remain confidential.Any bidder
party to such negotiations may apply to the Council which may
order that such information or results be revealed'to him.l
C
. When due to market, conditions andinthe judgement of
"The Purchasing Agent" goods are in short, supply.
Where thereis only one.source'of supply for thegoodsor services.
. Where two or more identical bids have been received.
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Where the Purchasing Agent has been previously
unsuccessful in breaking identical bids and the
same goods are again required.
C.5. Where the lowest bid meeting specifications is
excessive in total cost and/or substantially exceeds
the estimated costs.
C.6. When all bids received fail to meet the specifications
and/or tender terms and conditions and it is impractical
to recall tenders or quotations. {
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Any purchase contract exceeding $1 shall be subject
to resolution of Council save for an urgent situation
arising under the condition noted in clause C- 1 when
the purchasing contract shall be reported to th nex y
meeting of Council.
The following procedures shall apply to purchases of goods
_y t e Purchasing Agent,
D.j.. Every contract or gogds and services shall be processed
through the`Purchasing Agent.
D.2. Each using department shall requisition to the Purchasing
Agent for its requirements. Each purchase requisition
shall be signed by the head, ox--EP_�f of the head,
an au orize of the using department concerned.'
The names of the designated personnel authorized to sign
such requisitions shall be filed with the Purchasing Agent
and amended when necessary as a result of personnel changes.
D.3.. The Purchasing Agent _o order goods to an
r> estimated amount of 4��ve� Thousand Doliars::($�" 000.00) from
A, std supplier and upon such terms and conditions as he,shall
deem advisable.
M
D.9. The Purchasing Agent i-sorder goods to an
Fns es ated amount exceeding Thousand Dollars (W,,000.00)
and fin estimated amount of 144 'Vho,usand Dollars($,000.00)
„okays from SAsupplier and upon such terms and condits as he
etl�zdse shall deem advisable subject to his first obtaining at least
T• . OG o w..d Som.o ♦ ,
three quotations or tenders -for such goods e.
$u AJ'Bt?To NB pRou. s�
, ni SQc tie n. C
D.5: The Purchasing, Agent shall nut order goods to. an estimated
X75 amount between �"''Mousand ($3c0S000.00) and eEnThousand
Cf /jaE 9 v Dollars ($W,a000.00) without requesting and obtaining sealed
?"oova4 10°`' Tenders for such goods and any puAchase estimated to be
over F' Thousand Dollars ($1!5,000.000) must be by Sealed
Public Tender,unless authorised by Council.
E. Bidding and Tendering Procedure:
E.1. The tendering procedures for all contracts with an estimated
cost o£:$10,000.00, or more shalt -be in accordance with this
By -Law. In case of dispute on other points, the -basic rules
of procedure in the "Municipal Tendering Procedures" Manual'
February 1978jby the Ministry of Transport ,and -Communication'
will be used as a guide.
E.2. All purchases of, and contracts for good's and contractual)
services shall, except as specifically provided herein, be
based on competitive bids.
E.3. Notices inviting tenders €rq-rshould be
published at least once in the Daily Commercial. News providii
at least ten (10) days advance notice preceeding the last dal
set for the receipt of tenders.
r
4 _
E. 4.. Notices inviting ^a blie'enders oi- c aL�}a ac ric i=
where it is deemed a local contractor may be able to offer
a bid, should be publishedatleast once in a local paper
having reasonable cbverage,in the area, pro'viding'at least
ten (10) days advance notice preceeding the last date set
for the receipt of. tenders..
E.S. Advertisements shall not be placed until Tender documents
are available.
E.6. All tenders will be advertised in proper form andcloseat
12:00 Noon, in the afternoon on a specified date a
that +1, lowest er any tender ay net
��T—i,ccc✓�sizly
oGepted. Alle^, de=s s4i ' n -the -presence
/v f
of at least + shallbt_�hasi7g-Agent,
'red
=t}�areef. Cer
s iia 1 1--br-fled ia3 t2-tkrTown of e -k e e p i n g.
E.7.
The newspaper notice required shall include -a general
description of the goods or contractual service to be
-
purchased or sold, shall state the name of the'Municipality
and the location where Tender forms and specifications may
be secured, and the closing time, the official designated
to receive tenders, the date, time and place ,where the
tenders will be opened, the bonding requirements, the charge,
if any, for contract documents, the type of :security that
must accompany the tender andlowest or any fender not
0 T
necessarilyga cceptedt 7Nr c<rou56rnE Mpy ,
E .
The Purchasing Agent may solicit sealed bids/or tenders from
all responsible prospective suppliers by sending: them a copy
of the plans, specifications and forms as will acquaint them
F w ti
with the proposed purchase or sale. invitations
t-t-he-uendox�11-be--l-imit-ed--t"oods-arid-contractual
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spr„i rA 4ia ar--- y -led
° kv
by -the trade--g-rtcup-to-wliiL-l1---the-i7iw-i-ta-tiens are sent.
3 oQ
y E.9.
Once a bid has been submitted and received, no'additions
o t
o c ° ♦
or deletions shall be permitted. Should the bidder wish to
U o v 2
amend his original bid submitted, he may do so on a separate
W
form or letter properly sealed and presented provided such
w , ti
amended bid or notice L;i submitted&e received prior to the
w o y
time, date and place for the receiving of smoh bidsdS AbUCr/5
$ i E.1D.
Tenders and Quotations shall be.o- -an
n z
_.thio -pub -#c. -notice . fenders-sYial3-be-eperted
v o
i*tree sonsistng-o£-'i`he itayor; or tis designate.
the. Purchasing -Agent-r-and-the Departme-nt-Head'-concerned; or
4 :t 3
t and quotes shall be
received 'by the r_=C for according I of date and 1
time received, and safe -keeping pending the opening of,.same,
A summary of all Tenders and Quotations received shallibe,'
kept by the Purchasing Agent. S`
a
E.p<” The Depart
2 npHiN�sspTdfl through the
to;
AgejLt,___in- t.
®sy,=,-arst3:=a.7.7,_b{•.� , >, ,, .� , �. x�;,n
nt Head concerned, shall report in writing
>_-suehw-'Feuer-s--reeea-ved..kai.th=.the
-known-such ot,#+er=facts,-' f arty-r�
Shall -be --g v nn -to --•the ,Purchasing : li
`a--dissenting-repor.t_.Lf;,necessary.
,.. V== � r "' ••.•. ae+.a key, '•zlst i'fiR�3k .'1 ,L .. +.z r">.h3a3�rv.:Y -69. wiuGsStd.a..�n'!+15it ,�f�S.i`."L�C"..` �mXA'.Lriis:NanPsitl� -
t�.MlIWA'�+3'.AWa r ,:....•r�-o.+w+.-+..1.SN...u.wWli0i1L.- ._ .wa. _.. .__...........�.a_tu�YWl.wA•` / (�
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E.1�. Any
tender award with respect to which a Government subsidy
is involved shall be awarded subject to the approval of the r,
appropriate authority being received for subsidy purposed A
duplicate copy of all contracts awarded shall be deposited
with the Town Clerk, for Municipal record purposes e,;�jSThe
respective Department Head shall inform the Town Treasurer in
writing respecting the release of tender deposits, progress
payments, and final payjnc:nt:;./�,P'`ut`r.', 72'e %L•Nnr/4j2;r}rc'Por'T of?ve
G. SeP�•i✓J N.vo rai,�'^ .�varesr f�,r•-uc�n' S.v��� Nar %`�' 4't,rcr,r�°.o r.+.n.rr�. TNd
14,yc Ace rN i9 �r•c io>r p i�no r.gn-�u •ly rrt'•H n<t'S rf a-�- 7trnos R ;.'
E.15. Tide bepartment Head in consultation with the Purchasing
Agent, in determining' the lowest responsible bidder, in
addition to price shall consider:
a) The ability of and capacity and skill of the bidder to
provide the goods or services required.
b) Whether the bidder can perform the contract or provide
the services promptly or at the time specified without
delay or interference.
c) The character, integrity, reputation, judgement,
experience, and efficiency of the bidder.
d) The quality and performance of previous contracts, goods,
or services.
e) The sufficiency of the financial resources y
of the bidder to perform the contract or provide the
goods or services.
f) The quality, availability,, and adaptability of the
goods or contractual services to the particular use
required.
g) The ability of the bidder to provide future maintenance
and servicesAfor the use of the subject of the contract.
h) The number and scope of conditions attached to the bid.
7 kI/'y
E.lv. a) Tender results east be given to the Public upon request
after the opening.
b) The name of the successful bidder and the accepted
price after award has been made, will be supplied to,
any unsuccessful bidder, or anyone, upon.request.
c) The names or number of plan takers will not be divulged
to general contractors prior, to the opening until six
(6) sets have been taken.
F. EMERGENCY PURCHASES
F.1. In the case of any emergency, during normal`'business hours,
which requires immediate purchase of supplies or contractual
S��o services, the Purchasing Agent, or using. Department Head,
6 p�FHNe n- expenditure r� contractual services regardless of the amount ex
shall secure b open market procedure an supplies or
i penditure
F:2. In the case of an emergency ogcuring after normal business
hours, on holidays, or weekends, the head of any using
department, or his designate, may purchase directly any
essential goods or services whose _immediate procurement is
essential to prevent serious delays in the work of the
using department.
In both cases, the Department Head will report the details
to the Purchasing Agent by Lhe next working day.
Ili" �'i t rr..,d_5
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vate Purchases
6
Personal Purchases for elected members and employees
of the Corporation of the Town of Herr-Yfills will
not be permitted. tva'a,C.rf r1-7
G.2. Payment of Accounts
G.3.
The Purchasing Agent shall be responsible for the
processing of all orders in accordance with the Accounts
Payable procedure set down by the Town Treasurer.
Inspection and Supervision of Goods and Services
A) The Purchasing Agent may inspect, or supervise the
inspection of all deliveries of goods or contractual
services to determine their conformance with the
specifications set forth in the purchase order, or
contract within his jurisdiction.
B) The using departments shall inspect all deliveries
made to such using departments to determine their
conformance with the specifications set forth in the
Purchase Order or contract.
C) The Purchasing Agent shall have the responsibility of
returning all goods or terminating all contractual
services which do not conform with the specifications
set forth in the Purchase Order or contract within
his jurisdiction.
G.4. Co -Operative Purchasing
The Purchasing Agent shall have the authority,to join
with other Municipal Boards o)-CoInpi.—p ons of the ".
Corporation of the Town of 1-1.- s, and any other
organization, in co-operative purchasing plans when the
best interest of the Corporation would be served thereby.
The Purchasing Agent shall r wort what action he recommends'
P� 4taking in such pians and secure the approval 'of the Town
Treasurer before proceeding on such contracts exceeding
Ten Thousand Dollars ($10,000.00).-
G.5. Customs and Sales Taxes
The Purchasing Agent shall:
a) Transact and attend to all matters pertaining to
customs in the imporation or exportation of goods
on behalf of the using departments.
b). Be responsible for providing such information as may
be required on the purchase order to enable the
Corporation to claim exemption on all Sales and Excise
Taxes where possible.
C) To assist in the preparation of all Sales Tax Claims.
d) Provide .the Town Treasurer with relevant information
to assist the Town Treasurer in paying the Provincial
Sales Tax for goods purchased out of the Province, of
Ontario if applicable:
7
Coun4�*1' r,.Lor--tQ sing
_jp�commcndationii' of i
ofcthiS_*By7-I,aw4
READ A FIRST AND SECOND TIME, THIS, DAY OF
THE MAYOR
CLERK A!UJINJ.Q�_Z2rYeR
BY-LAW READ A THIRD TIME, AND FINALLY PASSED THIS DAY
OF
THE MAYOR
CLERK ADf4-PMk,&DPAVOR