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q +0 <br />AUTHORITY TO CONTRACT FOR SERVICES <br />PURPOSE <br />F -14 <br />To set forth the City's policy establishing authority for committing City funds for <br />Service Contracts. <br />LIMITATION <br />Contracts for services are distinct from contracts for procurement of specific material <br />items. If the only purpose of a contract is for the City to obtain material or equipment <br />to include related maintenance contracts), guidelines contained in the City's <br />Purchasing Procedures will be followed. The policy contained herein refers only to <br />awarding contracts for services, such as audit services, public works projects, and <br />custodial services. <br />AUTHORITY <br />Department Heads are authorized to award contracts for services of less than $30,000 <br />without further review, as long as the services were approved by the City Council as <br />part of the annual budget process. This authority may not be delegated below the <br />Deputy Department Head level. Contracts in excess of $30,000; contracts for services <br />not specified in the approved budget; and contracts for services which exceed the <br />amount authorized by the City Council in the Budget must be submitted to the City <br />Council for specific approval before the contract is awarded. The City Attorney will <br />review all contract documents prior to contract award. <br />City Purchase Orders are not required for service contracts. A copy of the Contract <br />shall be submitted directly to Accounts Payable (Fiscal Services Manager), where it will <br />be used as an encumbering document. Thereafter, progress payments will be handled <br />in the same manner as progress payments on a Purchase Order, i.e. invoices will be <br />approved by the Department Head and submitted to Accounts Payable for payment. It <br />is recognized that by their nature, service contracts cannot always be awarded as a <br />result of a competitive bid process. However, competitive bids should be obtained <br />whenever possible before resorting to negotiated awards. Professional services shall be <br />obtained by a qualifications based selection process pursuant to State law. <br />Adopted - January 24,1994 <br />Amended - April 13, 2004 <br />is 1