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REGULAR COUNCIL MEETING
The Regular Council Meeting was held on October 22, 2018 at 7:30 p.m. with Council President
Slavin presiding. Council members present were Mr. Anderson, Mr. Sudler, Mr. Neil, Mr. Cole,
Mr. Polce, Mr. Hare, and Mr. Lindell. Mr. Lewis was absent.
Staff members present were Major Stump, Ms. Peddicord, Mrs. Mitchell, Mr. Hugg, Fire Chief
Carey, City Solicitor Rodriguez, and Mrs. McDowell. Mayor Christiansen was also present
(departed at 7:45 p.m.).
OPEN FORUM
The Open Forum was held at 7:15 p.m., prior to commencement of the Official Council Meeting.
Council President Slavin declared the Open Forum in session and reminded those present that
Council was not in official session and could not take formal action.
There was no one present wishing to speak during the Open Forum.
The invocation was given by Bishop Thomas L. Holsey, followed by the Pledge of Allegiance.
AGENDA ADDITIONS/DELETIONS
Mr. Sudler moved for approval of the agenda, seconded by Mr. Neil and unanimously carried.
Mr. Hare moved for approval of the consent agenda, seconded by Mr. Lindell and carried by
a unanimous roll call vote (Lewis absent).
ADOPTION OF MINUTES - REGULAR COUNCIL MEETING OF OCTOBER 8, 2018
The Minutes of the Regular Council Meeting of October 8, 2018 were unanimously approved
by motion of Mr. Hare, seconded by Mr. Lindell and bore the written approval of
Mayor Christiansen.
CERTIFICATE OF RECOGNITION AND CONGRATULATIONS -
GREGORY M. PARSELL
The City Clerk read the following Certificate of Appreciation and Congratulations into the record:
MAYOR AND COUNCIL
Be It Hereby Known To All That The Mayor and Council Commend
GREGORY M. PARSELL
for Dedicated Service to the City of Dover
May 1994 - October 2018
24 Years of Service
The Mayor and Council Extend Sincere Appreciation and Congratulations
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 2
On behalf of the Mayor and Council, Mayor Christiansen presented the Certificate, City Plaque, and
Dover Cup in appreciation of the years of service provided by Mr. Parsell.
TRIBUTE NO. 2018-02 - ROBERT M. SADUSKY
A TRIBUTE EXPRESSING SYMPATHY AND CONDOLENCES UPON THE PASSING OF
ROBERT M. SADUSKY.
WHEREAS, the Mayor and Council of the City of Dover have been greatly saddened by the death
of Robert M. Sadusky, former Councilman and member of the City of Dover Planning Commission,
who passed away on August 23, 2018; and
WHEREAS, Robert M. Sadusky served on the Planning Commission as the Second District
Representative from August 11, 1997 until being sworn in as Councilman of the Second District on
May 10, 2004. He served with distinction as Councilman until May 8, 2006 and, during his tenure,
served as Chair of the Consolidated Plan Advisory Group, and Parks, Recreation, and Community
Enhancement Committee and as a member of the Assessment Appeals Committee, Construction
Code Board of Appeals, and Utility Committee; and
WHEREAS, Robert M. Sadusky served with gentle sincerity and contributed greatly to the
betterment of the City and its residents. During a period of rapid growth, he demonstrated a
commitment to assure that a high quality of life would be preserved for future generations.
NOW, THEREFORE, BE IT RESOLVED that the Mayor and Council extend their deepest
sympathy and condolences to the family and friends of Robert M. Sadusky and hope that they will
be consoled by the memories of his exemplary life and commendable achievements.
BE IT FURTHER RESOLVED that the Mayor and Council direct the City Clerk to place this
Tribute in the permanent records of the City of Dover and that a copy of this Tribute be provided to
the family of Robert M. Sadusky.
ADOPTED: OCTOBER 22, 2018
On behalf of the Mayor and Council, Mayor Christiansen presented the Tribute and a City of Dover
flag to the Sadusky family.
Mr. Hare moved for adoption of Tribute No. 2018-02, seconded by Mr. Anderson and
unanimously carried.
TRIBUTE NO. 2018-03 - JOHN "JACK" E. RICHTER
A TRIBUTE EXPRESSING SYMPATHY AND CONDOLENCES UPON THE PASSING OF
JOHN “JACK” E. RICHTER.
WHEREAS, the Mayor and Council of the City of Dover have been greatly saddened by the death
of John “Jack” E. Richter, former Mayor and Councilman, who passed away on September 25, 2018;
and
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 3
WHEREAS, John E. Richter was sworn into office as Councilman of the First District on
June 23, 1980 and served with distinction until May 9, 1988. During his tenure as Councilman, he
served as Vice-Mayor, Chair of the Utility Committee and as a member of the Chamber of
Commerce and County Government Committee, Constitution Place Advisory Committee,
Legislative and Finance Committee, Long Range Planning Committee, and Tax Appeals Committee.
Following his eight years of service as a Councilman, John E. Richter was sworn into office as the
Mayor of the City of Dover on May 9, 1988 and served with distinction until May 11, 1992. During
his tenure as Mayor, he served as a member of the Delmarva Advisory Council Program Committee
and Downtown Dover Development Corporation; and
WHEREAS, during his many years of service, John E. Richter demonstrated devotion to the
City of Dover and served his fellow citizens tirelessly. During his time in office, he established the
Dover Arts Council, Kirkwood Street Improvement and Downtown Dover Programs, initiated the
Parenting Center and St. Jones River Greenway, and supported the Police Department in its
pro-active force for community improvement and crime prevention. John E. Richter’s contributions
to the community extended well beyond his service to the City of Dover and, as President and a
longtime member of the Friends of Old Dover, he worked diligently to preserve the rapidly
disappearing history of our hometown.
NOW, THEREFORE, BE IT RESOLVED that the Mayor and Council extend their deepest
sympathy and condolences to the family and friends of “Jack” Richter, and hope that they will be
consoled by the memories of his exemplary life and commendable achievements.
BE IT FURTHER RESOLVED that the Mayor and Council direct the City Clerk to place this
Tribute in the permanent records of the City of Dover and that a copy of this Tribute be provided to
the family of John “Jack” E. Richter.
ADOPTED: OCTOBER 22, 2018
Mayor Christiansen advised that he presented the Tribute to the Richter family earlier in the day at
the memorial service.
Mr. Hare moved for adoption of Tribute No. 2018-03, seconded by Mr. Neil and unanimously
carried.
COUNCIL COMMITTEE OF THE WHOLE REPORT - OCTOBER 9, 2018
The Council Committee of the Whole met on October 9, 2018 at 6:00 p.m., with
Council President Slavin presiding. Members of Council present were
Mr. Anderson, Mr. Sudler, Mr. Neil, Mr. Lewis, Mr. Cole, Mr. Polce, Mr. Hare, and
Mr. Lindell (arrived at 6:02 p.m.). Mayor Christiansen was also present. Civilian
members present for their Committee meetings were Mrs. Doyle (Utility).
Ms. Scarborough (Utility), and Mr. Shevock and Dr. Stewart (Legislative, Finance,
and Administration) were absent.
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 4
UTILITY COMMITTEE
The Utility Committee met with Chairman Cole presiding.
Evaluation of Bids - Lakewood Place Water Main Replacement
Mrs. Donna Mitchell, City Manager, reviewed the background and analysis for the
evaluation of bids for the Lakewood Place Water Main Replacement.
Staff recommended awarding the contract to Teal Construction, Inc., for the
City of Dover, Lakewood Place Water Main Replacement Project, Bid #19-0005PW,
for the amount of $164,094.00.
The Committee recommended approval of staff’s recommendation.
By consent agenda, Mr. Hare moved for approval of the Committee’s recommendation,
seconded by Mr. Lindell and carried by a unanimous roll call vote (Lewis absent).
LEGISLATIVE, FINANCE, AND ADMINISTRATION COMMITTEE
The Legislative, Finance, and Administration Committee met with Chairman Hare
presiding.
Proposed Amendments to the Purchasing Policy and Procedures
Mrs. Donna Mitchell, City Manager, reviewed the proposed amendments to the
Purchasing Policy and Procedures. She advised members that some of the
amendments were related to the new ERP system the City is implementing.
Mrs. Mitchell noted that there were also major changes proposed to Section 2 -
Ethics in Purchasing, and Chapter 30 - Standards of Ethical Conduct and Ethics
Commission was added as Appendix A. She explained that the cover letter for all
bids that go out will include a link to the City’s Purchasing Policy and reference
Appendix A, and vendors will be required to make sure that they are aware of the
provisions of the Policy. Mrs. Mitchell stated that the amendment includes new
language that “Vendors participating in the City procurement will be disqualified
from the procurement if the employee, official or vendor is found to be in violation
of the City’s ethical standards and a referral of the matter will be presented to the
Ethics Commission. Failure to familiarize oneself with the provisions of this policy
and appendices will not be accepted.”
Mrs. Mitchell advised that she was recommending an amendment to Section 3.10 -
Change Orders. She explained that she thought that giving someone authority to
make a change order for 25% of the original purchase price was a lot, and she
thought it should be 15% across the board.
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 5
Mrs. Mitchell, referring to page 13, advised that she had recommended striking
Section 6.7 - Minority Owned Vendor Preference, and Section 6.8 - Local Vendor
Preference, from the Policy. She stated that it was her understanding from the City’s
Purchaser, that a lot of entities in the State had gone away from this because they
were not getting the competitiveness out of the bid process. Mrs. Mitchell explained
that those entities were not getting the number of bids that they would expect for
certain contracts since they do not have the minority or local vendors in those areas.
She stated that she was not strongly recommending this change, however, she wanted
members to be aware and discuss it.
Mr. Anderson expressed concern regarding the amendment to the minority and local
vendor preferences. He stated that he did not know how this worked for the State but
that it did work for the City because the City seemed to get more bidders.
Mr. Anderson advised that before the City had enticement for local businesses, there
were projects that were tens of millions of dollars and no local contractors or
subcontractors. He noted that the preference rarely comes into play where it affects
the outcome of a bid, however, it has increased the competition in the City’s bidding
process and seems to have increased local involvement from minority businesses
over the last six (6) to seven (7) years. Mr. Anderson stated that he hoped that this
was something that the City would keep.
Mr. Polce thanked Mrs. Mitchell for taking on this task that he had requested,
explaining that his objective was to provide clarification regarding ethical guidelines
and standards for when requests for proposals go out to bid and come back to the
Committee and Council for comment. He stated that Mr. Anderson had made very
valid points regarding the minority and local vendor preferences and asked if
Mrs. Mitchell would leave those items in the Policy since she did not have a strong
objection. Mr. Polce stated that he thought that the amendments had captured the
overall objective and indicated that he thought that the revised Policy would bring
some ease moving forward, especially in regard to some of the larger projects that the
City is hoping to tackle.
Mr. Neil stated that he thought even if minority and local preferences are not working
in other areas, he believed the City should set the standard. He indicated that even
if the City does not get those types of bid submissions, he would prefer to keep the
preferences in the Policy to provide the incentive for people to participate.
Mr. Lindell stated that he concurred with Mr. Anderson and Mr. Neil regarding the
vendor preferences, noting that he thought it was important for the City to consider
local businesses. Referring to Section 2 - Ethics in Purchasing, he asked if the
proposed amendment pertaining to disqualifying vendors from the procurement
would cause any undue delay in looking at the various bids. Responding,
Mrs. Mitchell stated that she did not think that there would be any delay because the
intention is that staff would disqualify the vendors, refer the matter to the
Ethics Commission, and move forward with the remaining qualified bids.
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 6
Mr. Sudler stated that he concurred with his Council colleagues. He expressed his
hope that there may be more incentives to attract some of the minority contractors in
the future, noting that he had heard from a lot of them that it is difficult to get a
contract from the City. Mr. Sudler stated that, as a contractor, he had never bid for
any City jobs and he does not know the validity of the concerns that had been relayed
to him; however, he hoped to look into this with Mrs. Mitchell in the near future.
Mayor Christiansen stated that he concurred with members’ comments regarding the
vendor preferences, noting that although the State had done away with these
preferences, he thought that the City should set the standard. He stated that he
thought there should also be a provision for female-owned companies or gender
specific companies. Responding, Mr. Anderson indicated that a provision was
previously included for women under the Minority Owned Vendor Preference.
Mr. Lewis moved to recommend approval of the proposed amendments to the
Purchasing Policy and Procedures, with the changes recommended by Mr. Anderson
to keep Section 6.7 - Minority Owned Vendor Preference and Section 6.8 - Local
Vendor Preference. The motion was seconded by Mr. Neil.
Mayor Christiansen, referring to Section 6.7 - Minority Owned Vendor Preference,
asked if the State still maintained the Office of Minority and Women Business
Enterprises and whether the certification directory for minority ownership was still
subject to their oversight. In response, Mr. Polce stated that he believed the
Department of Human Resources, which is a separate entity, now had oversight but
asked Mrs. Mitchell to check that information.
The Committee recommended approval of the proposed amendments to the
Purchasing Policy and Procedures, with the changes recommended by Mr. Anderson
to keep Section 6.7 - Minority Owned Vendor Preference and Section 6.8 - Local
Vendor Preference.
By consent agenda, Mr. Hare moved for approval of the proposed amendments to the
Purchasing Policy and Procedures (Exhibit #1). The motion was seconded by Mr. Lindell and
carried by a unanimous roll call vote (Lewis absent).
Review of Pension Benefits - Cost of Living Adjustment (COLA) (2018 Budget
Hearing)
During their Regular Meeting of August 27, 2018, City Council accepted the
Committee's action to table this matter for consideration at a future date when
Mrs. Donna Mitchell, City Manager, has gathered the appropriate data, and that it be
communicated to Mr. Lester Blakeman and the retirees in advance so they can be a
part of the discussion.
Mrs. Mitchell reviewed the FY17 funding liability, percentages of payroll, and FY18
medical premium expense related to General and Police Pension and Other Post-
Employment Benefits (OPEB), as well as the Government Finance Officers
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 7
Association (GFOA) Advisory regarding “Responsible Management and Design
Practices for Defined Benefit Pension Plans.” She noted that the GFOA recommends
not doing ad hoc cost of living increases.
Mrs. Mitchell reminded members that her recommendation during the Council
Committee of the Whole meeting of July 24, 2018 was that future ad hoc cost of
living increases for the participants of the Defined Benefit Plan be taken under
consideration in years where the Pension Plan is fully funded; however, as a
compromise, she would recommend Council review future ad hoc cost of living
increases for the participants of the Defined Benefit Plan every five (5) years. She
explained that, as the City Manager, she sees this from a different perspective
because she sees the financial liabilities as well as the physical assets, the liabilities
in the infrastructure, and all of the things that the City needs to make improvements
to. Mrs. Mitchell advised that some of these affect the City’s employees, some affect
the citizens, and some affect both. She stated that she thought that it seemed
cumbersome to address this every year.
Staff recommended that future ad hoc cost of living increases for the participants of
the Defined Benefit Plan be taken under consideration in years where the pension
plan is fully funded or every five (5) years.
Mr. Anderson stated that he thought that Mrs. Mitchell’s compromise to review this
matter every five (5) years had a lot of wisdom. He noted that prior to 2018, Council
had not approved a COLA since 2006 and he was concerned with not looking at it.
Mr. Neil stated that he receives a pension, Social Security, and a state pension from
the State of Maryland. He advised that the State of Maryland had decided that
retirees will no longer receive a benefit from a subsidized insurance plan for
prescriptions and now have to utilize Medicare Part D, which will increase the cost
of medication for those retirees. Mr. Neil explained that one of the things that
attracted employees to those State jobs was that they were guaranteed to have
medical, dental, and prescription insurance and, although they were not going to be
paid top dollar, those benefits would be important as employees got older because the
cost would go up if they were independent. He noted that the benefits become
extremely important in order to get and keep employees. Mr. Neil stated that he
thinks it’s fate on the City’s part to maintain those benefits for those people who have
retired. He advised that the principle insurance for retirees is Social Security and the
additional insurance comes from pension, and while some retirees may be able to live
on Social Security, others might not and retirees will certainly not have as good a life
if they do not have both.
Mr. Neil advised that retirees also deal with inflation and although there is currently
a period of very low inflation, when it increases all of a sudden it puts a lot of burden
on the retirees. He stated that he would really like to make sure that the City’s
retirees are going to be looked after and let them know that the City cares about them
and the service that they have provided.
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 8
Mr. Slavin noted that there are 210 non-police members in the Defined Benefit Plan
and asked what the age range was of those members. In response, Mrs. Mitchell
stated that she did not know the ages; however, she informed members that there are
both spouses and retirees in the Plan and she thought that some of the spouses were
probably older than the retirees. Responding to Mr. Slavin, Mrs. Mitchell confirmed
that this is not a liability, it is an expense that the City has to plan for over many
years. She noted that because the City has had a lot of baby boomers retiring, she
thought the average age of Plan members had gone down.
Mr. Slavin stated that when the City does a cost of living adjustment (COLA) of 2%,
which previously cost $88,000, which at the end of the budget process could be
found in that budget; however, he noted that the cost would continue as an
incremental adjustment in the budget every year until the last person in the Plan is
alive. He asked if the City has the ability to give a one-time stipend, that would not
go to the base rate of the retiree, in a year where the City may find an additional
amount of cash. He noted that this would not increase the City’s liability; however,
it would put cash in the hands of the retiree. Responding, Mrs. Mitchell stated that
she thought that the City could do a one-time stipend because it would be reported
on the retirees 1099 and would not be considered part of the base that grows every
year. Mr. Slavin asked if this would be an option that the City could explore in off
years if the Plan is not fully funded and the City is concerned about the liability
growing. Mrs. Mitchell stated that it would be better if this came out of the
General Fund and utility monies rather than the Pension Fund.
Mr. Sudler thanked Mrs. Mitchell for her insight and acknowledging the complexities
that she and members of Council are facing.
Mr. Polce asked if any City retirees currently had step or fixed increases.
Responding, Mrs. Mitchell advised that the old Police Pension Plan has an automatic
2% COLA and the City is reimbursed by the State Pension Office for the COLA
increase each year from State grant money. She indicated that the new State Police
Pension Plan does not have an automatic increase. In response to Mr. Polce,
Mrs. Mitchell stated that she thought that the old Police Pension Plan had less than
50 members now. She confirmed that the City sends the State an affidavit of the cost
and they subsidize it. Mrs. Mitchell stated that the State does an actuarial study and
sends it to the City.
Mr. Lester Blakeman, Sr., 209 Falmouth Way, reviewed information he compiled and
provided to members regarding the civilian pension plan, including pages from
Comprehensive Annual Financial Reports (CAFR’s), and spreadsheets that he
created depicting revenue sources for the pension plan, and payments from the
pension plan. Mr. Blakeman also provided a notebook of additional information he
compiled related to the civilian pension plan. He noted that the Comprehensive
Annual Financial Report (CAFR) pages that he provided were from 2003 through
2017, and he started with 2003 for consistency because there was a change in the way
the information was reported beginning in 2003. Referring to his spreadsheet
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 9
regarding the revenue sources for the pension plan, Mr. Blakeman noted that it had
taken five (5) years to increase the fund by $2,000,000 and with an unfunded liability
of $20,000,000, it would take 45 years to fully fund the plan at that rate. He
expressed concern that the unfunded balance would increase since payments are
made from the fund and staff had recommended that COLA’s be considered once the
plan is fully funded.
Mr. Blakeman stated that there are essentially three (3) pension plans, the police plan,
the civilian plan, and the Defined Contribution Plan. He noted that the police plan
receives a 2% COLA every year. Mr. Blakeman stated that it was his understanding
the employees in the Defined Contribution Plan contribute a percentage of their
annual salary and receive a matching contribution from the City up to a certain
percentage. He explained that he thought that these employees were getting a
pension increase as well, since the pension contributions continually increase as the
employees receive pay increases. In response, Mrs. Mitchell advised that if
employees get a pay raise, their percentage of pension contribution will increase as
well, noting that this is the same for employees in the Defined Benefit Plan as it is
for those in the 401 Plan. She explained that the City employees in the 401 receive
whatever contributions were invested over their lifetime plus their earnings; whereas,
the payments for those in the Defined Benefit Plan are based on their last three (3)
highest year earnings.
Mr. Blakeman noted that there is a trust fund for the Defined Benefit Plan; however,
it is not really a trust fund because it is used to make pension payments. He
explained that when the Other Post-Employment Benefits (OPEB) Trust Fund was
created there was a restriction that the money in the Fund could not be used to pay
current expenses. He stated that he would like a restriction to be added to the
Defined Benefit Plan trust fund so the money cannot be used to pay current pensions,
explaining that when you draw it down, the unfunded liability goes up. Responding,
Mrs. Mitchell explained that the City contributions are not intended to equal the
pension payments. She stated that employee contributions and investment earnings
are supposed to cover the payments and create a surplus for future retirees.
Mrs. Mitchell advised that the OPEB Trust was developed like a legal document
through the City Solicitor for a Trust Fund. She stated that the pension trusts were
done years ago and are ordinances; however, they are trust funds in all aspects. She
explained that the pension payments for retirees come out of the pension trust fund
and the OPEB payments, for retiree medical benefits, come out of the OPEB trust.
Mrs. Mitchell advised that the City has two (2) bank accounts, an investment account
with Wells Fargo and a cash account with M&T Bank, and staff transfers the City’s
appropriation toward retirees’ medical benefits to the checking account because the
premiums are paid out of the checking account. She explained that it would not
make sense to transfer the money to the investment account and then transfer it back
to the checking account to pay the premiums, so you never see the monies go through
the Wells Fargo account but it is budgeted for in the operating funds and comes out
of the OPEB trust fund.
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 10
Mr. Sudler thanked Mr. Blakeman for his initiative and trying to help the City.
Mr. Neil moved to recommend approval of staff’s recommendation that future ad hoc
cost of living increases for the participants of the Defined Benefit Plan be taken
under consideration in years where the pension plan is fully funded, seconded by
Mr. Slavin.
Mr. Polce stated that he thought that Mrs. Mitchell’s suggestion regarding a five-year
review had a lot of merit; however, it was his understanding that the motion was to
recommend that future ad hoc cost of living increases for the participants of the
Defined Benefit Plan be taken under consideration in years where the pension plan
is fully funded, which is undefined. Mr. Polce encouraged members to define the
recommendation to five (5) years. Responding, Mr. Slavin stated that he would be
amenable to changing the wording of the motion.
Mr. Hare suggested the possibility of reviewing this matter every three (3) years and,
if the pension plan is not fully funded in the first three (3) years, members could
consider making a stipend payment, and then review the matter three (3) years later
and, if it’s fully funded, possibly provide an increase at that time. In response,
Mrs. Mitchell advised that she would not recommend scheduling ad hoc COLA’s,
noting that, because of the GASB pronouncements, the City would run into all kinds
of problems with unfunded liabilities. She stated that the best approach would be for
members to make a decision when they review it. Mr. Hare suggested reviewing this
matter every three (3) years, noting that he liked Mr. Slavin’s suggestion regarding
a stipend.
Mr. Neil stated that he agreed with Mr. Hare and was not sure what the procedure
would be to include the stipend suggested by Mr. Slavin in the motion.
Mr. Neil and Mr. Slavin withdrew the motion to recommend approval of staff’s
recommendation that future ad hoc cost of living increases for the participants of the
Defined Benefit Plan be taken under consideration in years where the pension plan
is fully funded.
Mr. Slavin moved to recommend that future ad hoc cost of living increases for the
participants of the Defined Benefit Plan be taken under consideration every three (3)
years, seconded by Mr. Lindell.
Mr. Anderson asked if the three-year review would include stipend considerations.
Responding, Mr. Slavin stated that it would include any options that are available.
Mr. Cole stated that he thought that the stipend could be discussed during the three-
year review, noting that he did not think members should have anything set for what
they plan to do.
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 11
The Committee recommended that future ad hoc cost of living increases for the
participants of the Defined Benefit Plan be taken under consideration every three (3)
years.
By consent agenda, Mr. Hare moved for approval of the Committee’s recommendation,
seconded by Mr. Lindell and carried by a unanimous roll call vote (Lewis absent).
By consent agenda, Mr. Hare moved for acceptance of the Council Committee of the Whole
Report, seconded by Mr. Lindell and carried by a unanimous roll call vote (Lewis absent).
QUARTERLY REVENUE REPORT
Members were provided the Quarterly Revenue Report as of September 30, 2018.
By consent agenda, Mr. Hare moved for acceptance of the Quarterly Revenue Report as of
September 30, 2018. The motion was seconded by Mr. Lindell and carried by a unanimous
roll call vote (Lewis absent).
SEMI-ANNUAL INSPECTION BY CITY MANAGER - ROBBINS HOSE COMPANY
In accordance with Chapter 46 - Fire Prevention and Protection, Article II - Fire Department,
Division 1 - Generally, Section 46-43 - Semiannual Inspections, of the City Code, the City Manager,
Mrs. Donna S. Mitchell, met with the Fire Chief to discuss fire company issues. Mrs. Mitchell
submitted a memorandum outlining the items discussed.
By consent agenda, Mr. Hare moved for acceptance of the report of the Semi-Annual Robbins
Hose Company Inspection, as submitted by the City Manager. The motion was seconded by
Mr. Lindell and carried by a unanimous roll call vote (Lewis absent).
APPOINTMENT OF JUDGES - ROBBINS HOSE COMPANY ELECTION
The Robbins Hose Company election is scheduled for November 19, 2018. The following persons
were recommended to serve as judges for the election:
1. James Howlett 2. James Hurley 3. Woodrow Postle
By consent agenda, Mr. Hare moved for approval of the appointment of judges for the
Robbins Hose Company election as recommended. The motion was seconded by Mr. Lindell
and carried by a unanimous roll call vote (Lewis absent).
REZONING REQUEST - FIRST READING OF PROPOSED ORDINANCE #2018-11
A request was received to rezone properties located at 971, 975, 983, 987, and 991 Forest Street,
21 and 27 Saulsbury Road, and 20 and 30 Carver Road, consisting of nine (9) parcels of land totaling
2.32 +/- acres, owned by Faithwork LLC and Paul Davis and Justine J. Davis (Paul and Justine Davis
Revocable Trust). The properties are currently zoned IO (Institutional and Office Zone), C-1A
(Limited Commercial Zone), and C-PO (Commercial and Professional Office Zone) subject to the
COZ-1 (Corridor Overlay Zone) and the proposed zoning is C-2A (Limited Central Commercial
Zone) subject to the COZ-1 (Corridor Overlay Zone).
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CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 12
Prior to amending the zoning ordinances and zoning map of the City of Dover, a public hearing is
required.
Mr. Neil moved to refer the request to the Planning Commission on November 19, 2018 and
set a public hearing before City Council for December 10, 2018 at 7:30 p.m. The motion was
seconded by Mr. Lindell and unanimously carried.
In accordance with Section 1-9 of the Dover Code, Council acknowledged the First Reading of
Proposed Ordinance #2018-11 as read by the City Clerk, by title only, as follows:
AN ORDINANCE AMENDING THE ZONING ORDINANCE AND ZONING MAP OF THE CITY
OF DOVER BY CHANGING THE ZONING DESIGNATION OF PROPERTY LOCATED AT 971,
975, 983, 987, AND 991 FOREST STREET, 21 AND 27 SAULSBURY ROAD, AND 20 AND
30 CARVER ROAD
CITY MANAGER'S ANNOUNCEMENTS
Mrs. Donna Mitchell, City Manager, announced the following: 1) Flushing began October 7th and
was scheduled to conclude on October 26th; 2) The Silver Lake drawdown concluded on
October 19th; 3) Leaf collection began on October 15th and was scheduled to conclude on
January 11, 2019; 4) The police department and FOP Lodge 15 will be participating in No Shave
November. Each officer participating will donate $30 to benefit the Delaware Prostate Cancer
Coalition; and 5) Friday from 6:00 - 8:00 p.m., the Dover Police Department and DDP will be
having the annual Trunk or Treat on Legislative Mall with over 70 vendors, businesses, and
organizations. No costume is necessary for kids 13 and under.
COUNCIL MEMBERS' ANNOUNCEMENTS
At the request of Mr. Anderson, Reverend Carol E. Harris, coordinator for the Vines Community
Project, thanked City Council for its support of the Vines Community Project and Kent Goes Purple,
which ran from September 9th through September 22nd. She invited members to the official launch
of Kent Goes Purple on November 1st. Reverend Harris advised that Lieutenant Governor Bethany
Hall-Long would be their keynote speaker and Mayor Christiansen has committed to giving remarks
as well.
Mr. Sudler moved for adjournment, seconded by Mr. Neil and unanimously carried.
Meeting adjourned at 7:52 p.m.
TRACI A. McDOWELL
CITY CLERK
Page 13
CITY COUNCIL MEETING OF OCTOBER 22, 2018 PAGE 13
All ordinances, resolutions, motions, and orders adopted by City Council during their Regular
Meeting of October 22, 2018, are hereby approved.
ROBIN R. CHRISTIANSEN
MAYOR
TM/jt
S:\AGENDAS-MINUTES-PACKETS-PRESENTATIONS-ATT&EXH\Council-Minutes\2018\10-22-2018 Council Minutes.wpd
Exhibits
Exhibit #1 - Purchasing Policy and Procedures
Page 14
EXHIBIT #1
Regular Council Meeting of 10/22/2018
CITY OF DOVER
PURCHASING POLICY & PROCEDURES
ISSUED BY: FINANCE & CENTRAL SERVICES
AMENDED OCTOBER 22, 2018
Page 15
Purchasing Policy & Procedures
Table of Contents
Section Title Page #
Purchasing Flow Chart ............................................................................... 3
1 The Purpose ................................................................................................ 4
2 Ethics in Purchasing ................................................................................... 4
3 Purchasing Limits & Authority .................................................................. 4
3.1 General Guidelines...................................................................................... 4
3.2 Subdividing Purchases ............................................................................... 5
3.3 Fleet Vehicles & Associated Equipment ................................................... 5
3.4 Equipment Purchases $25,000 - $199,999 ................................................ 5
3.5 Purchasing Threshold Table ...................................................................... 6
3.6 Cooperative Purchasing ............................................................................. 7
3.7 Standard Forms .......................................................................................... 7
3.8 Inspection and Full Payment ...................................................................... 7
3.9 Warranties .................................................................................................. 7
3.10 Authorized Personnel ................................................................................. 7
3.11 Change Orders ........................................................................................... 7
4 Professional Services Guidelines ............................................................... 8
4.1 Request for Proposals ................................................................................ 8
4.2 Total Cost Up to $7,500 ............................................................................. 8
4.3 Total Cost Between $7,500 and $25,000 ................................................... 9
4.4 Total Cost Greater Than $25,000 .............................................................. 9
4.5 Subdividing the Purchases of Services ...................................................... 9
4.6 Documentation ........................................................................................... 9
4.7 Change Orders ........................................................................................... 9
5 Public Works & Utility Type Contracts & Certain Professional Services. 9
6 Exceptions .................................................................................................. 11
6.1 Sole Source Procurement ........................................................................... 11
6.2 Warehouse Stock ....................................................................................... 11
6.3 Negotiations ............................................................................................... 11
6.4 Used Materials and Equipment .................................................................. 11
6.5 Continuity of Service ................................................................................. 11
6.6 Emergency ................................................................................................. 11
6.7 Minority Owned Vendor Preference ......................................................... 12
6.8 Local Vendor Preference ........................................................................... 12
7 Receiving ................................................................................................... 12
8 Credit Card Purchases ................................................................................ 13
9 Invoices and Payments ............................................................................... 13
10 Green Procurement .................................................................................... 14
11 Debarment of Vendors for Consideration of Awards ................................ 15
12 Committees/Commissions ......................................................................... 16
Appendix A Standards of Ethical Conduct and Ethics Commission .............................. 17
Appendix B Invitation to Bid and Request for Proposal Procedures ............................. 28
Appendix C Sample Bid Bond ....................................................................................... 31
Appendix D Sample Performance Bond ........................................................................ 32
Appendix E Glossary ..................................................................................................... 34
Appendix F Quotation Worksheet (for Purchases between $5,000 and $24,999) ......... 39
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Purchasing Flow Chart
Less Than Yes Department Process Invoice
$5,000 Stamp, Code, Signature and
Key into Munis Quotes
Optional)
No
$5,000 to (See Legend 3 Written Department
Yes
$24,999 Below) Quotes Process P.O.
P.O. Required and Key
into Munis
CM & Forward quotes &
No Treasurer support to Central
Approve Services
P.O.
$25,000 & Sealed Pre-Solicitation Meeting
Over Yes Bid or with Procurement Manager Final Bid or
P.O. Required RFP – 3 Discuss Procedures & RFP
Vendors Specifications
CAF Review – Bid Bid Opening Public
City Manager& Award Advertising
Controller/Treasurer
Committee/Council
Approval Central Service Process CM & Treasurer
(See Legend Below) P. O. Approve P.O.
Lowest & Best Bid
LEGEND:
Requires Council Approval if:
Sole Source Procurement
Not low bid
Bids that exceed amount budgeted
Projects $200,000 and greater
Vehicles/Equipment $200,000 and greater
Professional Services $25,000 and greater (non-Public Works & Utilities)
Professional Services $50,000 and greater (Public Works & Utilities)
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CITY OF DOVER
PURCHASING POLICY
SECTION 1 - THE PURPOSE
The purpose of the adoption of a purchasing policy is to establish the authority, limits and procedures
relating to the purchasing of materials, supplies, equipment, construction, Public Works type
contracts, and professional services.
SECTION 2 - ETHICS IN PURCHASING
Public employees and elected officials must discharge their duties impartially to assure competitive
access to governmental procurement by responsible contractors. Moreover, they should conduct
themselves in such a manner as to foster public confidence in the integrity of City procurement.
Dover Code Article II Section 30 (Appendix A), establishes standards of ethical conduct among
public officials and employees. Vendors participating in the City procurement will be disqualified
from the procurement if the employee, official or vendor is found to be in violation of the City’s
ethical standards and a referral of the matter will be presented to the Ethics Commission. Failure to
familiarize oneself with the provisions of this policy and appendices will not be accepted.
SECTION 3 - PURCHASING LIMITS & AUTHORITY
3.1 GENERAL GUIDELINES
This section outlines the purchasing limits and guidelines for materials and supplies based
on the purchase amount. No department or employee shall commit the expenditure of City
funds until the procedures of this section have been complied. No employee or official shall
have purchases shipped directly to their home.
For this policy, the purchase amount is considered the purchase order total. Warehouse
stock must be reduced to the item’s reorder level prior to using open market purchases as
authorized by this policy.
While purchasing goods and services for the City, the procedures and guidelines which are
described in this purchasing policy are to be strictly followed. All purchasing related
records must be kept in the Central Services Department for the period prescribed in the
State Bureau of Archives Retention Schedule. These records may include, but are not
limited to, request for proposals, vendor proposals, analysis of proposals, change orders and
a copy of the purchase order(s).
The Information Technology Department is to provide a technical review of all
specifications for computer software and hardware purchases regardless of cost. The
applicable Information Technology personnel should be consulted on all bid evaluations for
computer hardware, software, or other related equipment.
No agreement or contract shall be entered into, nor expense incurred by any division, which
will result in an obligation more than the appropriation made to the division. It is the
division’s responsibility to see that funds are in the proper accounts before obligating or
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expending funds. If the funds are not in the proper account, the transaction will not be
processed. The department must request a transfer of funds through the City Manager’s
Office and Finance Department. Override of funds availability must be approved by the
Controller/Treasurer and the City Manager.
3.2 SUBDIVIDING PURCHASES:
Multiple purchase orders issued by a department for the same items during the same time
frame in an attempt to negate the purchasing policy restrictions will be considered a clear
violation of the purchasing policy; also considered subdividing purchases.
3.3 FLEET VEHICLES & ASSOCIATED EQUIPMENT:
Purchases of fleet vehicles and associated equipment shall not require Council approval
when the purchases have been approved in the budget for the then current fiscal year.
However, no vehicle designated as a replacement for any vehicle then currently owned by
the City of Dover shall be purchased or ordered for purchase unless and until the then
currently City-owned vehicle has been mechanically evaluated and determined by Fleet
Maintenance to be no longer reliable for use in its then current capacity. All items within
the amount budgeted must have a vehicle/equipment replacement request completed and
forwarded to the City Manager for approval. Council approval is always required when the
purchase is from sole source procurement, when the vendor is not the low bidder, or when
the purchase price is higher than the budgeted amount for that vehicle and the overage
cannot be made up through savings on other vehicles and equipment. To qualify as low
bidder, the bid must meet the bid specifications. The City Purchasing Agent is authorized to
purchase vehicles through the State of Delaware contract when in the best interest of the
City.
3.4 EQUIPMENT PURCHASES $25,000 - $199,999:
Budgeted equipment specifically identified in the Capital Improvement Plan does not need
Council approval unless the purchase is sole vendor, sole source procurement, or not low
bid. The purchase does not require construction or ancillary services. Equipment purchases
$200,000 or greater requires Council approval.
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3.5 PURCHASING THRESHOLD TABLE
PURCHASING THRESHOLDS
Less than $5,000 $5,000 to $24,999 $25,000 & Over
Open market; Department Head Department Head solicit no less than Formal Invitation to Bid (ITB) or Request for
discretion to obtain quotes; three (3) written quotations; If fewer Proposal (RFP/RFQ); No less than three (3)
than three (3) quotations, justification potential vendors supplied to Central Services;
must be included;
Purchases will be made by Quotations and support Pre-Solicitation Meeting required of the
designated personnel; documentation to be maintained in respective Department & Procurement
Central Services files as public record; Manager to discuss appropriate procedures and
Use the quotation worksheet in specifications;
Appendix F.
Approved invoices sent to Requires requisition and purchase Public sealed bid or sealed proposal procedures
Accounts Payable for payment. order through the financial system; as outlined in Appendix B;
Purchases under existing City All purchases will be made by Central Public Advertising at least once a week for two
contracts shall be made in Services or the Police Department (2) consecutive weeks in publication with
accordance with the terms of such Purchase Coordinator by Purchase circulation in each county of the State;
contract. Order or Contract, Additional advertising discretionary;
Supplies available from City stock Award shall be made to the lowest Lowest and/or most responsive bid will be
should not be procured from third and the best quotation; Vendor accepted; Vendor references may be checked to
party vendors. references may be checked; verify ability to meet contract requirements;
Item numbers, quantities, unit Item numbers, quantities, unit cost, Public Bid/Proposal Opening; Time and date of
cost, and extension must be and extension must be completed on public bid opening shall be stated in the notice
completed on every purchase every purchase order for materials or for bids; Delivered to Central Services, 710
order for materials or paying for paying for contracted labor at hourly William Street, Dover, DE 19904
contracted labor at hourly rates; rates;
Approval assigned at Department Fax and email quotations are Bid Bond or certified check in the amount
Head Level acceptable; equivalent to ten percent (10%) of the bid
amount for items/contracts over $25,000; Can
be waived by Purchasing Agent and
Department Head;
Departmental approval assigned by Performance Bond required for construction
Department Head; Electronic work;
Approval – Asst. City Manager, City
Manager & Controller/Treasurer
Purchase Order to include: Faxed bid is not acceptable for this category;
Unit Cost $; Account number; project Sealed bids may be emailed to
number if applicable; Brief description bids@dover.de.us or as agreed to with the
of item or service when not identifiable; Department Head;
Quotes from each vendor in comments;
Purchases exceeding $25,000 shall require
NOTE – Changes to Purchase Orders Council approval for sole source procurement,
are to be completed through the greater than budget and not low bidder;
financial systems. Purchase Orders Committee/Council Action Forms to include:
received with manual changes to Budget $, P. O. $ or Unit Cost $; Account
amounts/unit cost will not be number; project number; page number in budget;
processed by the Finance Department. Bid/RFP number if applicable. If unit cost bid
includes cost comparison. If blanket bid or
proposal is for recurring services, provide
average annual cost for past three years for the
service. Description and recommended action.
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3.6 COOPERATIVE PURCHASING:
The City of Dover is permitted to use state, county, municipal, and other government
contracts to purchase material once it has been determined that the procedures outlined
within this policy will not be violated. To use cooperative purchasing the quantities and
timing of the materials must be coordinated with the partnering entity to insure cost savings
through economies of scale. Any deviation from this policy for cooperative purchasing
must be approved by the City Manger and Treasurer prior to entering into any purchase
agreement. Cooperative Purchasing will not be permitted for any vehicles or equipment
valued over $200,000. Sealed bids will be required.
3.7 STANDARD FORMS:
All purchasing related forms and bid documents are developed and standardized for the City
of Dover by Central Services. No substitutions of the City of Dover purchase order form or
other standardized forms will be permitted. Where applicable, unit(s) of measure and unit
cost must be included in the purchase order. Purchase orders with the quantity of one (1)
will not be accepted unless the quantity is truly one (1).
3.8 INSPECTION AND FULL PAYMENT:
Upon receiving materials and equipment and upon completion of construction, the City of
Dover shall cause a detailed inspection. Full payments for the purchases will be made only
upon the department head's complete satisfaction as to the fulfillment of all the conditions of
the contract. The department will notify Central Services that the purchase order may be
released for payment.
3.9 WARRANTIES:
The department requesting the material or service shall monitor and maintain all warranties.
3.10 AUTHORIZED PERSONNEL:
Only authorized personnel can purchase goods for the City of Dover. The authorized
signature must appear on the purchase order and invoices. The original Authorized
Signature Form must be kept in the Finance Office – Accounts Payable. This form must be
updated if a new employee will be signing invoices and purchase orders. The Form can be
found in Public Docs.
3.11 CHANGE ORDERS:
If, after a purchase contract is awarded, it becomes necessary to add items/work because of
unforeseen findings or a scheduled change, a change order can be issued without Council
approval as follows:
A) For purchases at $5,000 - $24,999 the Procurement Manager is authorized to sign
purchase order changes up to and including 15% of the original purchase amount when the
total dollar value of the purchase does not exceed $25,000 and the amount of the item is still
within the amount budgeted for that item.
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B) For purchases at $25,000 or greater, the City Manager and Controller/Treasurer are
authorized to approve change orders as follows:
15% of the original purchase amount when the purchase is made on a unit cost basis,
the purchase is within the approved (project) budget and/or the approved Council
Action Form.
SECTION 4 - PROFESSIONAL SERVICES GUIDELINES
Professional Services are normally solicited by use of a Request for Proposal. This section provides
the guidelines and procedures for the procurement of professional services that are not covered by
Section 5 – Public Works & Utility Type Contracts and Certain Professional Services.
Examples of the professional services covered under this section are consulting for rate studies;
audit services, financial services, and computer related consulting. These are only examples, and
the scope of the provisions of this section is not limited to these examples.
4.1 REQUEST FOR PROPOSALS
Evaluation of proposals must adhere to the following guidelines:
1. Determine what proposals are acceptable and unacceptable
2. A determination that a proposal is unacceptable shall be in writing, state the basis for the
determination and be retained in the procurement file
3. The offeror shall not be afforded an opportunity to modify its offer
Negotiation with individual offerors:
1. The department can negotiate with individual offerors after their proposals are opened.
2. The department shall develop formalized procedures to be consistently applied to each
offer
3. Disclosure of one offerors price to another is prohibited
4. The department must send a written request for best and final offers setting forth the date,
time, and place for submission of best and final offers
5. The department must inform the offerors that if they do not submit a notice of withdrawal
or a best and final offer, their immediate previous offer will be construed as their best and
final
Final Award:
1. The contract shall be awarded within 90 days of the closing date.
2. The department shall award a contract to the offeror whose proposal is determined in
writing to be most advantageous to the City
3. The determination shall explain the basis of the award
4. Central Services shall notify each unsuccessful offeror in writing of the award
4.2 TOTAL COST UP TO $7,500:
Professional services covered under this section may be obtained using open market prices.
It is the Department Head’s discretion to require written proposals from the service
providers. The decision to award the contract for professional service shall be based on
performance track records, fees, time schedule and known quality of work. Fax and email
proposals are acceptable for this category.
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4.3 TOTAL COST BETWEEN $7,500 AND $25,000:
For procuring professional services covered under this section, the department shall use the
"Request for Proposal" method and in conjunction with the Central Services Manager or
authorized purchaser send requests for proposals to available service providers. The request
for proposal will clearly include the following:
1. scope of work
2. schedule for work
3. request to provide fees, expenses and payment schedules;
4. last date for submitting the proposal
5. evaluation method
6. address, contact person and phone number.
The services procured under this provision must have the approval of the department head.
A purchase order must be issued to include, but not limited to the above, for the total
amount, providing details and a reference of the professional services agreement number, if
any, and the location. Fax and email proposals are acceptable for this category.
4.4 TOTAL COST GREATER THAN $25,000:
For professional services with fees and expenses totaling more than $25,000, the City
Council's approval is required. The requirements of 4.3 shall be applicable as a solicitation
basis. Email proposals are acceptable for this category.
4.5 SUBDIVIDING THE PURCHASES OF SERVICES:
The City of Dover departments shall NOT subdivide the purchase or the contract for
professional services to avoid the requirements of this purchasing policy.
4.6 DOCUMENTATION:
If a firm/consultant under contract to the City of Dover issues a bid/proposal as part of their
contract, the original documents must be provided to the City. The final determination for
all awards shall rest with the City.
4.7 CHANGE ORDERS:
The same procedures as outlined in paragraph 3.10 will apply to professional services
regarding change orders.
SECTION 5 - PUBLIC WORKS & UTILITY TYPE CONTRACTS AND
CERTAIN PROFESSIONAL SERVICES
"Public Works Contract" means any contract for the construction, reconstruction, alteration or repair
of any public building, road, street, highway, water utility, wastewater utility, electric utility or other
public improvement, the cost of which will be paid with public funds. Any project materials and
supplies purchased by the City, and not a Contractor or Service Provider, are to be procured under
Section 3 of this policy.
"Certain Professional Services" means those services within the scope of the practice of
architecture, professional engineering, professional land surveying, landscape architecture and
geology.
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All Public Works and Utility contracts entered for less than $200,000 that are specifically
identified in the Capital Improvement Plan does not need Council approval unless the purchase is
sole vendor, sole source procurement, or not low bid. Procurement $200,000 or greater requires
Council approval.
Public Works & Utilities
Less than $25,000 $25,000 - $199,999 $200,000 & Over
Open market Solicit three (3) written quotations – Formal Bidding – Purchaser
MANDATORY
$0 - $10,000 quotations optional Letters Bids/Contract Admin. Public Advertising
discretionary
$10,001 - $25,000; Solicit three (3) Specifications and/or plans Specifications and/or plans
phone quotes (attach to purchase discretionary
order)
Specifications and/or plans Bid bond discretionary Bid Bond discretionary
discretionary
Record quotations on quotation Public Opening discretionary Public Opening
summary form (attach to purchase
order)
Formal Contract discretionary Formal Contract
Performance Bond discretionary Performance Bond
Purchase Order to include: Unit Cost $; Account number; project number if applicable; Brief description of item or service
when not identifiable; Quotes from each vendor in comments
Committee/Council Action Forms to include: Budget $, P. O. $ or Unit Cost $; Account number; project number; page
number in budget; Bid/RFP number if applicable. If unit cost bid includes cost comparison. If blanket bid or proposal is for
recurring services, provide average annual cost for past three years for the service. Description and recommended action.
Footnote – When a project is partially or wholly funded by the State of Delaware: prevailing wage rates apply to
projects over $15,000 for repairs, alterations, rehabs, demolition, or reconstruction or $100,000 for new construction.
Public Works & Utilities – Certain Professional Services
Less than $50,000 $50,000 & Over
Open Market Formal RFP Process
Use same procedure as Section 4.2 Public Advertising; use same
procedure as Section 4.4
Professional Services for Public Works & Utilities includes services within the scope of practice of architectural,
professional engineering, professional land surveying, landscape architectural services and geology.
PRE-QUALIFICATION OF BIDDERS
Prequalification of Bidders is permitted to screen potential vendors in which such factors as
financial capability, reputation and management are considered to develop a list of qualified
vendors. The vendors should provide background information on their company, implementation
methods, and references. Once the list of qualified vendors is established a Request for Proposal
will be developed to include clear specifications, expectations and clearly outlined evaluation
criteria. A price range may be requested but is not necessary. Detailed information will be
provided during the RFP process.
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SECTION 6 - EXCEPTIONS
6.1 SOLE SOURCE PROCUREMENT:
Sole source procurement is not permissible unless a requirement is available from only a
single supplier/manufacturer. A requirement for a propriety item does not justify sole
source procurement if there is more than one potential bidder or offeror for that item. The
following are examples of circumstances which could necessitate sole source procurement:
Where the compatibility of equipment, accessories, or replacement parts is the
paramount consideration; items of comparable quality and equal function are not to
be considered under sole source procurement.
Where the sole supplier’s item is needed for trial use or testing;
If the purchase is over $25,000 however, it must be presented to Council for approval. Sole
suppliers/manufacturers must be justified in writing by the Department Director and the
justification must accompany the procurement request to Central Services and approved by
the City Manager.
6.2 WAREHOUSE STOCK:
Items placed on annual or multi-year contracts for warehouse stock shall not be subject to
Council approval as these items are purchased as individual units and not in blocks.
Procurement of items specifically procured for projects through non-stock contracts shall be
approved by the City Manager and Treasurer. Increases in unit prices greater than 15%
shall be communicated to the respective Department Heads, the City Manager and
Controller/Treasurer.
6.3 NEGOTIATIONS:
Negotiations are authorized during the Request for Proposal evaluation process, when sole
source has been pre-approved or when a material specification or scope of work change
occurs after the award of a competitively bid contract.
6.4 USED MATERIALS AND EQUIPMENT:
For the purchase of used or surplus materials or equipment, the provisions of this policy may
not apply. Purchases of $25,000 or greater must be presented to Council for their approval.
6.5 CONTINUITY OF SERVICE:
When there is an abrupt discontinuation of service due to breakdown, accident, or other
similar event and it is necessary to obtain materials or equipment to continue service to the
citizens, the provisions of this policy may be waived by the City Manager. For no other
reason should a purchase order be issued for this exception.
6.6 EMERGENCY:
An emergency condition is a situation which creates a threat to public health, welfare, or
safety such as may arise. The existence of such condition creates an immediate and serious
need for supplies, services, or construction that cannot be met through normal procurement
methods and the lack of which would seriously threaten:
1. The functioning of the City government.
2. The preservation or protection of property; or
3. The health or safety of any person.
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Emergency procurement shall be limited to those supplies, services, or construction items
necessary to meet the emergency. The Mayor or City Manager will be responsible for
deciding as to the existence of the emergency.
6.7 MINORITY OWNED VENDOR PREFERENCE:
Minority owned vendor preference shall be three percent (3%) of the value of the award.
The vendor must identify qualification and claim to the preference on the submitted bid
documents. The vendor must provide authoritative proof of minority ownership such as
identification in the certification directory maintained by the State of Delaware, Office of
Management and Budget, Office of Supplier Diversity to qualify for this preference. This
preference is to be considered as a stand alone and cannot be added to any other preference
that may be allowed. This preference shall not apply to sub-contractors.
6.8 LOCAL VENDOR PREFERENCE:
Local vendor preference shall be considered for materials, equipment, construction
contracts, and utility contracts. Local vendor preference shall be three percent (3%) of the
value of the award. A local vendor is a vendor with a “remit to” address or physical store
location in the local area as identified below. The term local vendor is defined as a
gradually increasing range with preference assigned as follows:
Rule 1: Vendor located within the city limits of the City of Dover.
Rule 2: Vendor located within Kent County (if no vendor qualifies under Rule 1)
Rule 3: Vendor located within the State of Delaware (if no vendor qualifies under Rules
1 & 2)
If no vendor qualifies under rules 1, 2, or 3 no local vendor preference shall be awarded.
The vendor must identify qualification and claim to the preference on the submitted bid
documents. This preference shall not apply to sub-contractors.
SECTION 7 - RECEIVING
7.1 No employee shall pick up or receive goods without his or her supervisor's authorization. In
the case of a special project, deliveries may be made to the job site, but should be
coordinated through Central Services. Central Services will take charge of the delivery
ticket for file and paying of the invoice.
Packing slips (proof of receipt) when appropriate are to be attached to the invoice or
payment will not be disbursed until these conditions are met. If only an invoice is provided
by the vendor, then the employee receiving the item shall sign the invoice as proof of
receipt. Proof of receipt must have who receive item and the date item was received.
7.2 While taking delivery of items the individual accepting the item will sign any one of these
documents: Receiving/payment copy of the purchase order, vendor's invoice, delivery slip
or packing ticket. The person receiving the goods and signing the receipt document must
verify the quantity and item description/part number with the purchase order or any other
document and must check the condition of the items/packages to make reasonably sure that
there are no problems with the delivery. If the problems are observed, the notes must be
made on the receiving documents or the delivery must be returned. Partial delivery is
acceptable. The original receipt of all documents must be forwarded to Central Services.
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7.3 No City employee will sign for any item or service, which is not received.
7.4 Payment for the goods will be made only to the extent the goods are received by the City.
SECTION 8 - CREDIT CARD PURCHASES
8.1 The City does not encourage credit card purchases.
8.2 The City has a very limited number of credit cards for stores where the purchases are more
easily made with a credit card or where vendors do not bill the City and credit cards are
necessary.
8.3 The employee using a store credit card must make sure of the purchase price, quantity,
quality and the necessity of the item. The person must sign as required and turn in the
purchaser's copy of the credit card receipt slip to their department for processing and send to
Accounts Payable immediately.
8.4 The credit card must be used only by authorized personnel and cannot be used for personal
business.
8.5 All credit cards shall be handled through the Finance Department as outlined in Procedure
F346.
8.6 The City does not encourage use of personal credit cards for business purchases. Where use
of a personal credit card is necessary to complete City of Dover business in a timely and/or
efficient manner, the employee is not authorized to approve their own reimbursement
request. The reimbursement request must be approved by other authorized personnel.
SECTION 9 - INVOICES AND PAYMENTS
9.1 For payment purposes, the original invoices must carry the following: approval stamp,
authorized signature, G/L# and date. All employee travel expenditures are to be processed
with a purchase order including other reimbursements. Purchases over $5,000 must also
include a purchase order. Each department will be entering their own Invoices and Purchase
Orders into Tyler-Hub (Munis). Batches will be released and/or approve by departments
before Accounts Payable can review and process payments to vendors. When processing
invoices/requisitions/purchase orders, do not enter at the last minute, as this will delay
payment to vendors. Invoices/Purchase Orders and other documentation related to
payments must be upload to Munis in Invoice/Purchase Order Entry. Do not forward
vendors to the Finance office to look for payment or pickup checks. Departments are
responsible for corresponding with vendors when there are discrepancies in past due
invoices and payment status.
9.2 Invoices for vendors not loaded in Munis (Tyler) must be accompanied by the City of Dover
new vendor form and a completed IRS form W-9, both of which are in public documents.
Department and Vendors must use the Munis Self Service - Vendor Self Service Portal to
upload W-9 or other vendor related documents. One-time vendor payment must be less than
$600.00 for the calendar year and does not require a W9.
9.3 The purchaser/authorized personnel must note that it is the City's policy to take all discounts
and therefore the payment documents must be submitted to Accounts Payable immediately.
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In other cases, it is the City's policy to pay the invoices on time and, therefore, the payment
documents must be submitted to Accounts Payable as soon as possible.
SECTION 10 – GREEN PROCUREMENT
10.1 The City of Dover is committed to using and purchasing energy efficient/environmentally
preferable products in the most cost effective and environmentally responsible manner
possible. Purchasing energy efficient products reduces energy costs without compromising
quality. Purchases should be based on:
1. Consideration on the impact to the environment, economy, and human health and
well-being.
2. Consideration of specification compliance, delivery time and price.
3. Preference given to environmentally preferable materials when they perform
satisfactorily and can be obtained at a reasonable price.
10.2 The US Government in Executive Order 12873 defined environmentally preferable products
as “products or services that have a lesser or reduced effect on human health and the
environment when compared with competing products or services that serve the same
purpose.” This should include items that are energy efficient, conserve water, reduces
toxins, conserves natural resources, has recycled content and minimizes waste.
10.3 The Procurement Manager shall establish a price preference of up to ten percent (10%) for
recycled and other environmentally preferable products. This price preference must be
established in advance of any bid and must be included in the bid specifications, cover letter
or evaluation criteria. This percentage may be modified from time to time at the discretion
of the Procurement Manager with the objective of maximizing the City’s purchase of
environmentally preferable products.
10.4 LIFE CYCLE COST ANALYSIS
The requesting department shall perform lifecycle costing analysis on equipment that has
the potential to reduce operating, maintenance or energy costs over the useful life of the
equipment. Based on said analysis, the contracting agency shall incorporate specifications
in the contract for equipment that has the lowest total cost of ownership and operation over
the useful life of the equipment. The use of lifecycle costing analysis may be waived by the
department head, in writing, if the equipment is not appropriate for lifecycle costing
analysis. Appendix E contains a sample form for life cycle cost analysis.
10.5 ENERGY EFFICIENT PRODUCTS
A) The City shall purchase Energy Star products, as designated by the federal
Environmental Protection Agency, when such products are available. The department may
include non-Energy Star rated equipment as an alternate in the bid documents to enable
lifecycle costing analysis to be performed as part of the analysis of responsive bids. The
department shall be required to award a contract that includes the procurement of Energy
Star rated equipment unless they can demonstrate, in writing, to the satisfaction of the City
Manager, that the interests of the city would be better served by procuring non-Energy Star
rated equipment.
B) Prior to initiating a request for procurement of any product, the department shall
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review the specifications for such product to determine whether an Energy Star product is
available. If an Energy Star product is available, the department is required to include in its
bid specifications the requirement that the product be an Energy Star product unless it can
be demonstrated, in writing, to the satisfaction of the department head, that a product with
an Energy Star rating meets at least 1 of the following criteria:
1. The product is not available competitively,
2. The product is not available within a reasonable time frame, or
3. The product does not meet appropriate performance standards.
SECTION 11 – DEBARMENT OF VENDORS FOR CONSIDERATION OF AWARDS
11.1 Any vendor who fails to perform a contract or complete a project within the time established
within the contract or invitation to bid may be subject for suspension or debarment. Once a
problem with a vendor/contractor is discovered, the Department responsible for the contract
will document the problem and all attempts at resolution. The vendor/contractor will be
held in breach of contract. The responsible Department must submit a recommendation of
debarment to the City Manager and the Procurement Manager. If enough cause is
determined, the City Manager (with advice from the City Solicitor, if necessary) and/or
the Procurement Manager will provide reasonable notice to the Vendor and allow a
reasonable time for that vendor to be heard. The City Manager shall have the authority to
debar a vendor/contractor for cause from consideration for award of contracts. The
debarment shall not be for a period of more than three years.
11.2 The causes for debarment include:
A) Conviction of or civil judgment for commission of a fraud or a criminal offense in
connection with obtaining or attempting to obtain or performing a public or private
contract or subcontract;
B) Conviction under state or federal statutes of embezzlement, theft, forgery, bribery,
falsification or destruction of records, receiving stolen property, or any other offense
indicating a lack of business integrity or business honesty;
C) Conviction under state or federal antitrust statutes arising out of the submission of
bids or proposals;
D) Violation of contract provisions, as set forth below, of a character which is
regarded by the City Manager to be so serious as to justify debarment action:
i. Deliberate failure without good cause to perform in accordance with the
specifications or within the time limit provided in the contract; or
ii. A recent record of failure to perform or of unsatisfactory performance in
accordance with the terms of one (1) or more contracts; if failure to perform or
unsatisfactory performance caused by acts beyond the control of the contractor shall not
be a basis for debarment;
E) Any other cause the City Manager determines to be as serious and compelling as
to affect responsibility as a City contractor, including debarment by another
governmental entity for any cause listed in this article; and
F) For violation of the ethical standards set forth in Section 2 of this policy or Dover
Code, Chapter 30.
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11.3 The City Manager is authorized to suspend a person from consideration for award of
contracts pending his/her decision if there is probable cause to believe that the person has
engaged in any activity which might lead to debarment. The suspension shall continue
until the debarment decision has been made. The City Manager shall notify the person to
be debarred in writing and set forth the basis for the action. A copy of the notification
shall be sent to the Mayor and Council. The written notification shall be delivered to the
person to be suspended either in person or by certified mail. The decision shall state the
basis for the action taken.
11.4 Before the award of any contracts utilizing federal funds, the user must exclude any
vendors listed on the Federal Government’s Excluded Parties Listing located at
www.epls.gov.
SECTION 12 - COMMITTEES/COMMISSIONS
12.1 All City of Dover appointed Committees and Commissions are required to follow the City
of Dover purchasing policy, unless otherwise directed by City Council.
12.2 The Committee Chair or designated City staff member is authorized to purchase materials.
12.3 A list of the names of the individuals authorized to make purchases along with each
authorized individuals’ signature are to be submitted to the Finance Department.
12.4 A proposed work plan or budget will be required prior to disbursement of funds.
12.5 The Central Services and Finance Departments will give each Committee Chairperson a
purchasing orientation. A copy of the Purchasing Policy will be provided.
EFFECTIVE DATE
Adopted by City Council December 8, 2008
Amended by City Council February 28, 2011
Amended by City Council October 22, 2018
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APPENDIX A
STANDARDS OF ETHICAL CONDUCT AND ETHICS COMMISSION
ARTICLE II – STANDARDS OF ETHICAL CONDUCT
Chapter 30, Section 30-20. - Established.
High ethical standards among public officials and employees are essential to gain and maintain
the confidence of the people, because such confidence is essential to the conduct of free
government. Public officials and employees are agents of the people and hold office for the
benefit of the public. They are bound to observe in their official acts the highest standards of
morality and to discharge faithfully and impartially the duties of their offices, regardless of
personal considerations, recognizing that the public interest must be their primary concern. Their
conduct in both their official and private affairs should be above reproach. These standards of
ethical conduct are adopted in order to secure this desired high level of public trust, ensure the
impartiality of public officials and employees, and impose standards of accountability.
(a) General responsibilities of officials and employees.
(1) Officials and employees have the common obligation of serving the public. In
performing their duties, they shall treat the public and each other with respect,
concern, and responsiveness, recognizing that their common goal of exceptional
public service can only be achieved by working together. Disputes that arise among
public servants shall be resolved at the lowest possible level; keeping in mind that
public money spent on resolving these disputes is money not spent on important
public needs.
(2) Officials and employees shall treat their position as a public trust, with a fiduciary
duty to use the powers and resources of public office only to advance the public
interest and not to obtain personal benefits or pursue private interests.
(3) Officials and employees shall conduct themselves in a manner that justifies the
confidence placed in them by the people, at all times maintaining the integrity and
discharging ethically the high responsibilities of public service.
(4) Full disclosure of real or potential conflicts of interest shall be a guiding principle
for determining appropriate conduct. At all times, reasonable efforts shall be made
to avoid undue influence and abuse of office in public service.
(5) No official or employee may request or receive, and no person may offer any
money, thing of value or promise thereof, other than any city pay received, that is
conditioned upon or given in exchange for promised performance of an official act.
(b) Appearance of violation. Each city employee and official shall endeavor to pursue a
course of conduct which will not raise suspicion among the public that he is engaging in
acts which are in violation of his public trust and which will not reflect unfavorably
upon the city and its government.
(c) Private interest; gifts. No city employee or official shall have any interest in any
private enterprise, nor shall he incur any obligation of any nature which is in substantial
conflict with the proper performance of his duties in the public interest. No city
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employee or official shall accept other employment, any compensation, gift, payment of
expenses or any other thing of monetary value under circumstances in which such
acceptance may result in any of the following:
(1) Impairment of independence of judgment in the exercise of official duties;
(2) An undertaking to give preferential treatment to any person;
(3) The making of a governmental decision outside official channels; or
(4) Any adverse effect on the confidence of the public in the integrity of the
government of the city.
(d) Interest in private enterprise. No city employee or official shall acquire a financial
interest in any private enterprise which he has reason to believe may be directly
involved in decisions to be made by him in an official capacity on behalf of the city.
(e) Prohibitions relating to conflicts of interest. No councilman or other official or
employee, whether paid or unpaid, shall engage in any business or transaction or shall
have a financial or other personal interest, direct or indirect, which is incompatible with
the proper discharge of his official duties in the public interest or would tend to impair
his independence of judgment or action in the performance of his official duties.
Personal as distinguished from financial interest includes an interest arising from blood
or marriage relationships or close business or political association provided, that upon
request from any person with official responsibility with respect to the matter, any such
person who has such a personal or private interest may nevertheless respond to
questions concerning any such matter.
(1) Restrictions on exercise of official authority.
a. Prohibited participation. No city employee or official may participate on
behalf of the city in the review or disposition of any matter pending before the
city in which he has a personal or private interest, provided that, upon request
from any person with official responsibility with respect to the matter, any
such person who has such a personal or private interest may nevertheless
respond to questions concerning any such matter. A personal or private interest
in a matter is an interest which tends to impair a person's independence of
judgment in the performance of his duties with respect to that matter.
b. Impairment of judgment. A person has an interest which tends to impair his
independence of judgment in the performance of his duties with respect to any
matter when:
i. Any action or inaction with respect to the matter would result in a
financial benefit or detriment to accrue to the person or a close relative to
a greater extent than such benefit or detriment would accrue to others who
are members of the same class or group of persons; or
ii. The person or a close relative has a financial interest in a private
enterprise which enterprise or interest would be affected by any action or
inaction on a matter to a lesser or greater extent than like enterprises or
other interests in the same enterprise.
c. Statutory responsibility. In any case where a person has a statutory
responsibility with respect to action or inaction on any matter where he has a
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personal or private interest and there is no provision for the delegation of such
responsibility to another person, the person may exercise responsibility with
respect to such matter, provided that, promptly after becoming aware of such
conflict of interest, he files a written statement with the ethics commission,
fully disclosing the personal or private interest and explaining why it is not
possible to delegate responsibility for the matter to another person.
(2) Restrictions on representing another's interest before the city.
a. Prohibited. No city employee or official may represent or otherwise assist any
private enterprise with respect to any matter before the city.
b. Exception. This subsection shall not preclude any city employee or official
from appearing before the city or otherwise assisting any private enterprise
with respect to any matter in the exercise of his official duties.
(3) Restriction on contracting with the city.
a. Prohibited. No city employee or official shall benefit from any contract with
the city, nor solicit any contract, and shall not enter into any contract with the
city (other than an employment contract).
b. Ownership of enterprise. No private enterprise in which a city employee or
official has a legal or equitable ownership of more than ten percent (more than
one percent in the case of a corporation the stock of which is regularly traded
on an established securities market) shall enter into any contract with the city
(other than an employment contract) unless such contract was made or let after
public notice and competitive bidding.
(f) Postemployment restrictions. No person who has served as a city employee or official
shall represent or otherwise assist any private enterprise on any matter involving the
city, for a period of two years after termination of his employment or elected or
appointed status with the city, if he gave an opinion, conducted an investigation or
otherwise was directly and materially responsible for such matter in the course of his
official duties as a city employee or official, nor shall any former city employee or
official disclose confidential information gained by reason of his public position, nor
shall he otherwise use such information for personal gain or benefit.
(g) Unauthorized disclosure of confidential information. No person shall disclose any
information required to be maintained confidential by the ethics commission under
section 30-3(b), 30-73 or 30-74.
(h) Abuse of office.
(1) Political contributions. No elected city official shall agree to sponsor legislation,
or to influence in any manner the formulation or passage of legislation, in exchange
for political contributions or promises thereof.
(2) Substantial interest. No elected city official shall vote for, or promote in any
manner whatsoever, legislation affecting any subject matter in which he has a
substantial interest. Any such interest shall be disclosed by said elected official
prior to a vote on any such legislation, and said elected official shall vote "abstain"
when called upon to vote.
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(3) Use of city property. No city official or employee shall request or permit the use
of city-owned vehicles, equipment, materials, or property for personal convenience
or profit, except when such services are available to the public generally or are
provided for the use of such official or employee in the conduct of official business
as a matter of municipal policy.
(4) Personal gain. No city official or employee shall utilize the influence of his office
or position for personal pecuniary gain, or to avoid the legal consequences of his
personal conduct.
(i) Criminal sanctions.
(1) Penalties. Any person who knowingly or willfully violates any provision of this
section shall be guilty of a misdemeanor, punishable for each such violation by
imprisonment of not more than one year and by a fine as provided for in
Appendix F—Fees and Fines.
(2) Time limitations. A prosecution for a violation of this section shall be subject to
the time limitations of 11 Del. C. § 205.
(j) Contracts voidable by court action. In addition to any other penalty provided by law,
any contract entered into by any city agency in violation of this chapter shall be
voidable by the city agency; provided that in determining whether any court action
should be taken to void such a contract pursuant to this subsection, the city agency shall
consider the interests of innocent third parties who may be damaged thereby. Any court
action to void any transaction must be initiated within 30 days after the city agency
involved has, or should have, knowledge of such violation.
(k) Private gain. No city employee or official shall use his public office to secure
unwarranted privileges, private advancement or gain.
(l) Confidential information; prohibited activity. No city employee or official shall engage
in any activity beyond the scope of his public position which might reasonably be
expected to require or induce him to disclose confidential information acquired by him
by reason of his public position.
(m) Disclosure of information. No city employee or official shall, beyond the scope of his
public position, disclose confidential information gained by reason of his public
position, nor shall he otherwise use such information for personal gain or benefit
(n) Ex parte communications . No official or employee shall encourage, make or accept
any ex parte or other unilateral application or communication that excludes the interests
of other parties in a matter under consideration when such application or
communication is designed to influence official decision or conduct of the official or
other officials, employees or agencies in order to obtain a more favored treatment or
special consideration to advance the personal or private interests of himself or herself or
others. The purpose of this provision is to guarantee that all interested parties to any
matter shall have equal opportunity to express and represent their interests.
Any written ex parte communication received by an official or employee in matters
where all interested parties should have equal opportunity for a hearing shall be made
part of the record by the recipient.
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Any oral ex parte communication received under such conditions should be written
down in substance by the recipient and also made a part of the record.
A communication concerning only the status of a pending matter is not regarded as an
ex parte communication.
(o) Sexual favors. No city employee or official, in the course of his public responsibilities,
shall use the granting of sexual favors as a condition, either explicit or implicit, for an
individual's favorable treatment by that person or a city agency.
ARTICLE III. - ETHICS COMMISSION
Sec. 30-71. - Established; composition; removal; terms of office; vacancies; chairperson;
quorum; compensation; legal counsel.
(a) Established; composition; removal. The city ethics commission is hereby established
to administer and implement this chapter. The ethics commission shall consist of five
members appointed by the mayor and confirmed by the city council. No member of the
commission shall hold any elected or appointed office under the government of the
United States or the state, county, or city. Members of the ethics commission may be
removed by the mayor, with the concurrence of the city council, for substantial neglect
of duty, gross misconduct in office or a violation of this chapter.
(b) Terms of office; vacancies. A member of the ethics commission shall be appointed for
a term of office of five years and until his successor has been appointed and has
qualified. The members shall be appointed for staggered terms of office, and until their
successors have been appointed. When a vacancy occurs in the membership of the
ethics commission, it shall be filled by appointment for the unexpired portion of the
term in the same manner as the original appointment.
(c) Chairperson; quorum. The ethics commission shall elect a chairperson from among its
membership. Three members of the ethics commission shall constitute a quorum and, if
a quorum is present, a vacancy on the ethics commission shall not impair the right of
the remaining members to exercise all the powers of the ethics commission.
Disciplinary hearings may be conducted and sanctions may be imposed only by the
affirmative action of at least three members; otherwise, the ethics commission may
delegate authority to the chairperson to act for the ethics commission between meetings.
(d) Compensation. Members of the ethics commission shall receive no compensation.
(e) Legal counsel. The city solicitor shall provide legal counsel to the ethics commission
and shall be the legal representative of the ethics commission in connection with its
duties hereunder, on a case-by-case basis, or determine that outside counsel is needed
and obtain such outside counsel for a particular matter.
Sec. 30-72. - Powers and duties.
(a) The powers and duties of the ethics commission shall be:
(1) Standards of ethical conduct. To recommend to the mayor and council, from time
to time, such rules of conduct for public employees and officials as it shall deem
appropriate.
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(2) Advisory opinions. To issue written advisory opinions, upon the request of any
city employee or official, as to the applicability of this chapter to any particular
factual situation.
(3) Referrals to solicitor. To refer to the city solicitor for investigation any alleged
violation of this chapter and, after notice and hearing, to recommend such
disciplinary action as it may deem appropriate to such appropriate official or
agency as the ethics commission shall determine, or to take such other disciplinary
action as authorized by section 30-73(o) or other provisions of the city Charter or
this Code. The ethics commission may dismiss, without reference to the city
solicitor, any complaint which the ethics commission determines is frivolous or
fails to state a violation.
(4) Report of crimes. To report to the appropriate federal, state or city authorities any
substantial evidence of a violation of any criminal law which may come to its
attention in connection with any proceeding, whether advisory or disciplinary.
(5) Records. To maintain a file of its proceedings, waiver decisions and advisory
opinions with a view toward achieving consistency of opinions and
recommendations subject to the confidentiality requirements of sections 30-74 and
30-73(s).
(6) Procedures. To follow the procedural rules specified in section 30-73 and to
establish such other procedural rules as shall be consistent with the rules prescribed
therein.
(7) Witnesses, evidence. To subpoena witnesses, compel their attendance and
testimony, administer oaths and affirmations, take evidence and require, by
subpoena, the production of books, papers, records or other evidence needed for the
performance of the ethics commission's duties or exercise of its powers.
(8) Assistance to city personnel. To provide assistance to any city employee, official
or agency in administering the provisions of this chapter.
(9) Provide information. To prepare any necessary reports and studies to advance the
purpose of this chapter, to provide any necessary materials explaining the duties of
individuals covered by this chapter, and to supply instructions and public
information materials to facilitate compliance with, and enforcement of, this
chapter.
(10) Request city agencies for assistance. To request appropriate city agencies to
provide such professional assistance as it may require in the discharge of its duties.
Sec. 30-73. - Rules of procedure; complaints; hearings; dispositions.
(a) Any person, either personally or on behalf of an organization or governmental body,
may file a sworn complaint for the ethics commission with the city clerk. The complaint
must be in writing, be signed, and show the address of the person who submitted it. The
complaint must state that, to the best of the person's knowledge, information, and belief
formed after reasonable reflection, the information in the complaint is true. The
complaint must describe the facts that constitute the violation of the standards of ethical
conduct in sufficient detail so that the ethics commission and the person who is the
subject of the complaint can reasonably be expected to understand the nature of any
offense that is being alleged. The commission may request any additional information
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deemed necessary to screen the complaint or to render a decision. No complaints shall
be accepted or considered which relate to actions that took place more than one year
prior to the date of filing. The individual filing the sworn complaint has 60 days from
the date that the issue is brought to his or her attention to file a complaint.
(b) After the sworn complaint has been filed, none of the parties or their representatives
may communicate on an ex parte basis with any commission members pertaining to the
complaint. All communications pertaining to the complaint shall be submitted to the
city clerk.
(c) Within seven days of receiving a sworn complaint the city clerk shall send copies of
the complaint to each member of the ethics commission, the city solicitor, and the
official or officials against whom such complaint has been filed. Hereinafter, the
complaining party shall be referred to as the "complainant" and the official against
whom a complaint has been lodged shall be referred to as the "respondent."
(d) The commission recognizes that distribution to the public of a sworn complaint prior
to screening by the commission as required below could harm the reputation of an
innocent person and is contrary to the public interest; therefore, the public release of the
complaint is prohibited until the screening process has been completed. The
commission shall consult in confidence to screen the complaint within 14 days of
receiving the complaint. The commission may immediately dismiss a complaint if:
(1) It has no jurisdiction; or
(2) The alleged violation, if true, would not constitute a violation of the standards of
ethical conduct; or
(3) The alleged violation is a minor or de minimis violation; or
(4) The complaint is, on its face, frivolous, groundless, or brought for purposes of
harassment; or
(5) The matter has become moot because the person who is the subject of the
complaint is no longer an officer, official or employee; or
(6) The respondent had obtained an advisory opinion under section 30-74(c)
permitting the conduct; or
(7) The appointing authority of the respondent has already taken action as a result of
finding a violation and the commission believes the action was appropriate.
(e) In issues regarding standards of ethical conduct violations, the enforcement process is
intended to be corrective rather than remedial unless the violation is a repeated offense.
In the event the ethics commission determines a standards of ethical conduct violation
has occurred, and it is minor in nature, with the concurrence of the complainant and the
subject of the sworn complaint, the commission may dispense with the hearing process
and conduct a more informal mediation process in lieu of a hearing.
(f) If the sworn complaint is not dismissed or otherwise resolved pursuant to subsection
30-73(d), the city clerk shall promptly contact the members of the ethics commission,
the city solicitor, the complainant, and the respondent in order to ascertain a date and
time when a hearing can be convened on such complaint. As soon as a date and time
have been agreed upon for a hearing before the ethics commission, the city clerk shall
send written notice of such scheduling and a copy of the rules of procedure to the
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complainant and to the respondent. No copies of the complaint shall be provided to any
other parties before the respondent receives the complaint. The city solicitor shall be the
prosecuting attorney in all disciplinary proceedings before the ethics commission. In
any such investigation or proceeding, a defendant shall be given an opportunity to be
heard after notice, to be advised and assisted by legal counsel, to produce witnesses and
offer evidence, and to cross examine witnesses. A transcript of any such proceeding
shall be made and retained, subject to the confidentiality requirements of this chapter.
(g) The commission may dismiss a complaint if the complainant does not appear at the
hearing and if, in the opinion of the commission, it would be unfair to the respondent
not to have the opportunity to examine the complainant.
(h) As promptly as possible after the close of the hearing, the commission shall deliberate
to determine if the allegations have been proven by clear and convincing evidence. Only
ethics commission members who have been present for the hearing may participate in
the deliberations, and any findings and recommendations must be adopted by a majority
of the commission. The commission may consider, when making findings and
recommendations, the severity of the offense, the presence or absence of any intention
to conceal, deceive, or mislead, whether the violation was deliberate, negligent or
inadvertent, and whether the incident was isolated or part of a pattern.
(i) Within seven days of the conclusion of deliberations, the commission shall issue an
order setting forth its findings and recommendations. In the alternative, the commission
where it deems it appropriate, may issue an advisory opinion in lieu of making findings
and recommendations.
(j) If the respondent is an employee, the commission may, if it determines corrective
action is necessary, notify the city manager or the council president and recommend that
action be taken, including discipline.
(k) If the respondent is a city official, the commission may propose actions to the city
council that are appropriate to the finding as specified in section 30-73(o).
(l) The commission shall send a written copy of its findings and recommendations to the
respondent and the complainant.
(m) Proceeding relating to member. A member of the ethics commission shall be
ineligible to participate, as a member of the ethics commission, in any ethics
commission proceeding relating to his conduct. A member of the ethics commission
who has been found by the ethics commission to have violated this chapter shall be
ineligible to serve again as a member of the ethics commission.
(n) Self-disqualification. A member of the ethics commission may disqualify himself
from participating in any investigation of the conduct of any person upon submission, in
writing and under oath, of an affidavit or disqualification stating that he cannot render
an impartial and unbiased decision in the case in which he seeks to disqualify himself.
(o) Actions by ethics commission. With respect to any violation with which a person has
been charged and which the ethics commission has determined as proved, the ethics
commission may take any one or more of the following actions:
(1) Reprimand. Issue a written reprimand or censure of that person's conduct.
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(2) Discipline. With respect to a city employee, remove, suspend, demote or take
other appropriate disciplinary action with respect to that person, without regard to
any limits imposed by this chapter, but within the limits of the constitution, the
laws of the state, the Charter of the city, and ordinances and existing collective
bargaining agreements.
(3) Recommend removal. With respect to an appointed official, recommend that
appropriate action be taken to remove the official from the appointed position.
(4) Recommend fine. With respect to an elected city official, recommend that such
official be fined in an amount recommended by the ethics commission.
(p) Rights of person charged. In any proceeding before the ethics commission, upon the
request of any person charged with a violation of this chapter, such person shall be
permitted to inspect, copy or photograph books, papers, documents, photographs or
other tangible objects which will be used as evidence against that person in a
disciplinary hearing and which are material to the preparation of his defense.
(q) Exculpatory information. In any proceeding before the ethics commission, if the city
solicitor or ethics commission at any time receives any exculpatory information
concerning an alleged violation against any person, it shall forthwith make such
information available to such person.
(r) Subpoenas. Any person charged with a violation of this chapter may apply to the ethics
commission for the issuance of subpoenas for the appearance of witnesses and for the
production of documents on his behalf. The application shall be granted upon a concise
showing by such person that the proposed testimony or evidence is relevant (or is
reasonably calculated to lead to the discovery of relevant evidence) and is not otherwise
available. The application shall be denied if not made at a reasonable time or if the
testimony or evidence would be merely cumulative.
(s) Confidentiality of proceedings.
(1) City employee. All proceedings before the ethics commission relating to a
violation of this chapter by a city employee shall be maintained confidential by the
ethics commission, unless:
a. Public disclosure is requested, in writing, by the person charged; or
b. The ethics commission determines after a hearing that a violation has
occurred.
(2) City official. All proceedings before the ethics commission relating to a violation
of this chapter by a city official, appointed or elected, shall be maintained
confidential by the ethics commission, unless:
a. Public disclosure is requested, in writing, by the person charged; or
b. The ethics commission determines after a hearing that a violation has
occurred.
(t) Appeals; public inspection. Notwithstanding the confidentiality requirements of
subsections (s)(1) and (2) of this section, the ethics commission shall make available for
public inspection the record of all proceedings relating to any decision of the ethics
commission which is appealed to the superior court and the ethics commission shall
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report to appropriate federal, state and/or city authorities any substantial evidence of a
violation of any criminal law which comes to its attention in connection with any
proceeding under this chapter.
(u) Confidentiality procedures. The chairperson of the ethics commission shall, with the
approval of the ethics commission, establish such procedures as, in the chairperson's
judgment, may be necessary to prevent the disclosure of any record of any proceedings
or other information received by the ethics commission, except as permitted by this
chapter.
Sec. 30-74. - Waivers of restrictions and advisory opinions.
(a) Authority of ethics commission. Notwithstanding the provisions of section 30-20,
upon the written request of any city agency or of any individual who is or was a city
employee or city official, the ethics commission may grant a waiver to the specific
prohibitions contained therein if the ethics commission determines that the literal
application of such prohibition in a particular case is not necessary to achieve the public
purposes of this chapter or would result in an undue hardship on any employee or
official. Any such waiver may be granted only by written decision of the ethics
commission. Any person who acts in good faith reliance upon any such waiver decision
shall not be subject to discipline or other sanction hereunder with respect to the matters
covered by the waiver decision, provided there was a full disclosure to the ethics
commission of all material facts necessary for the waiver decision.
(b) Waiver information confidential; exceptions. Any application for a waiver, any
proceeding and any decision with respect thereto shall be maintained confidential by the
ethics commission, provided that:
(1) Applicant's request. Public disclosure shall be made by the ethics commission
upon the written request of the applicant;
(2) Violations. The ethics commission may make such public disclosure as it
determines is required in connection with the prosecution of any violation of this
chapter;
(3) Evidence of crime. The ethics commission shall report to appropriate federal,
state and/or city authorities substantial evidence of any criminal violation which
may come to its attention; and
(4) Public record. In the event that a waiver is granted, the waiver decision and the
record of all proceedings relating thereto shall be open to public inspection.
(c) Advisory opinion authorized. Upon the written request of any city employee or
official, the ethics commission may issue an advisory opinion as to the applicability of
this chapter to any particular fact or situation. Any person who acts in good faith
reliance upon any such advisory opinion shall not be subject to discipline or other
sanction hereunder with respect to the matters covered by the advisory opinion,
provided there was a full disclosure to the ethics commission of all material facts
necessary for the advisory opinion.
(d) Advisory opinion confidential; exceptions. Any application for an advisory opinion,
any proceeding and any decision with respect thereto shall be maintained confidential
by the ethics commission, provided that:
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(1) Applicant's request. Public disclosure shall be made by the ethics commission
upon the written request of the applicant;
(2) Violations. The ethics commission may make such public disclosure as it
determines is required in connection with the prosecution of any violation of this
article; and
(3) Evidence of crime. The ethics commission shall report to appropriate federal,
state and/or city authorities substantial evidence of any criminal violation which
may come to its attention.
Sec. 30-75. - Judicial review.
In the event that the ethics commission finds that any person has violated any provision of
this chapter, said person shall have a right of appeal to the superior court of any such finding, and
of any sanctions imposed with respect thereto, by filing a notice of appeal with the superior court
within 30 days of the final action by the ethics commission in a particular case. The appeal shall
be on the record without a trial de novo. If the court determines that the record is insufficient for
its review, it shall remand the case to the ethics commission for further proceedings on the
record. The court's review, in the absence of actual fraud, shall be limited to a determination of
whether the ethics commission's decision was supported by substantial evidence on the record.
The burden of proof in any such appeal shall be on the appellant.
(Ord. No. 2017-14 , 12-11-2017)
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APPENDIX B
INVITATION TO BID AND REQUEST FOR PROPOSAL PROCEDURES
Departments will use the chart below to determine the appropriate sealed bid method. Advance
coordination with the Purchaser is required.
Competitive Sealed Bids VS Competitive Sealed Proposals
Activity Description Competitive Sealed Bids Competitive Sealed Proposals
Specifications Specific as to End results oriented by Scope of Work.
performance/design Proposer must develop and provide solution.
Opening Public – all data available to Public – only names of proposers are read;
other bidders and the public no pricing or other data made available
Evaluation Based strictly on Technical Based on quality with multi-member Criteria
Specifications – NO material Evaluation Committee assigning weighted
changes allowed values to various parts of each proposal
Discussion None Individual discussions with each proposer to
determine understanding of proposal
requirements
Changes None Each proposer can re-submit a Best and Final
Offer that might change the solution and the
price
Award Lowest Responsive and Best Value Proposal – not necessarily the
Responsible Bidder lowest price
I. COMPETITIVE SEALED BIDS
A. Preparing Specifications
The department requesting the purchases through Central Services will prepare the
complete specifications, with the assistance of the Purchaser (if requested) and submit
them to Central Services.
All specifications shall be written in such a manner as to describe the requirements to be
met, without having the effect of exclusively requiring a proprietary supply, service, or
construction item, or procurement from a sole source, unless no other manner of
description will suffice.
Where a brand name or equal specification is used in a solicitation, the solicitation shall
contain explanatory language that the use of a brand name is for describing the standard
of quality, performance, and characteristics desired and is not intended to limit or restrict
competition.
It is the general policy of the City to procure standard commercial products whenever
practicable. In developing specifications, accepted commercial standards shall be used
and unique requirements shall be avoided, to the extent practicable.
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B. If only one responsive bid is received in response to an invitation to bid or request for
proposal, an award may be made to the single bidder if the Department Director having
operational authority over the funds to be expended determines that the price submitted is
fair and reasonable, and that either other prospective bidders had reasonable opportunity
to respond, or there is not adequate time for resolicitiation. Otherwise the bid/proposal
may be rejected and new bids or offers may be solicited or the proposed procurement
may be cancelled.
C. Bids are to be delivered to the Central Services, 710 William Street, Dover, Delaware
19904. They will be opened in the presence of the Purchaser or her/his designee. All
bids shall become public record and shall be available for public inspection after it has
been determined that there is no proprietary information within the bids. Copies of bids
will not be provided to competing vendors. The documents related to the bids and award
of the contracts shall be retained for a minimum of three years for unaccepted bids and
five years for accepted bids by the Central Service Department. After this period, they
may be destroyed by the Central Services Department following the internal guidelines in
place by the City Clerk’s Office and the State Bureau of Archives Retention Schedule.
D. For materials, supplies, equipment, and construction work, the department requesting the
quotations will supply Central Services with clear bid specifications. Such specifications
should rigorously meet the need of the City of Dover, but not be so all inclusive as to
effectively eliminate all but one vendor.
E. The City reserves the right to pre-qualify bidders. This pre-qualification does not prohibit
the City from determining, in its sole opinion, the most suitable bid for the product or
projects.
F. For purchases $25,000 and greater, vendor references may be checked. This will be done to
verify the bidder's ability to perform the contract requirements, the quality of work and the
ability to meet obligations in case of non-fulfillment of the contract.
G. The bid notice prepared by Central Services shall provide the specifications or details of
how vendors can obtain specifications. The bid notice shall also specify the closing date,
time and place for receiving the bids, opening of the bids, where potential bidders may
obtain contract documents, and the fee for each contract. A fee in an amount capable of
recovering the cost of preparation of the specifications may be charged when specifications
are picked up by the vendor.
H. A bid bond or certified check in the amount equivalent to ten percent (10%) of the bid
amount should be required with each bid for construction work, materials, supplies, or
equipment over $25,000. The requirement for a bid bond may be waived by the Central
Services Purchaser and Department Head when the bid is for items being purchased for
stock. A bid bond may be required by the requesting department regardless of the dollar
value of the bid. Acceptable bid security shall be limited to a bid bond in a form satisfactory
to the City underwritten by a company licensed to issue bid bonds in this state or a bank
certified check. If a bid does not comply with security requirements, it shall be rejected as
being non-responsive. The required bid bond shall be in substantially the format as
identified in APPENDIX C.
The check or bid bond of the bidder to whom the contract is awarded will be forfeited to the
City of Dover as liquidated damages in case the contract and performance bond are not
executed within fifteen days after receiving official notification of award.
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J. A performance bond shall be required from the successful bidder for a construction contract.
Such a bond shall be for the full amount of the contract. If the contractor fails to provide
such a bond or a binder within fifteen days of the award of the contract, the award of the
contract or the contract shall be void. The required performance bond shall be in
substantially the format as identified in APPENDIX D.
Other insurance or bonds as required by State and/or Federal laws shall be furnished by the
contractor. The amounts and the types of the bonds and insurance required shall be
disclosed in the bid specifications. The bond shall be released by the City of Dover upon
successful completion of the contract and upon a detailed inspection of the contracted work.
K. The City of Dover shall have the right to reject any or all bids if deemed to be in the best
interest of the City.
L. All bids submitted to the City of Dover shall be such as to comply with the applicable local,
state and federal requirements.
II. COMPETITIVE SEALED PROPOSALS
Evaluation of proposals must adhere to the following guidelines:
a. Determine what proposals are acceptable and unacceptable
b. A determination that a proposal is unacceptable shall be in writing, state the basis for the
determination and be retained in the procurement file
c. The offeror shall not be afforded an opportunity to modify its offer
Negotiation with individual offerors
a. The department can negotiate with individual offerors after their proposals are opened.
b. Formalized procedures should be established and consistently applied to each offer
c. Disclosure of one offerors price to another is prohibited
d. The department must send a written request for best and final offers setting forth the date,
time, and place for submission of best and final offers
e. The department must inform the offerors that if they do not submit a notice of withdrawal or
a best and final offer, their immediate previous offer will be construed as their best and final
Final Award
a. The contract shall be awarded within 90 days of the closing date
b. The department shall award a contract to the offeror whose proposal is determined in
writing to be most advantageous to the City
c. The determination shall explain the basis of the award
d. Central Services shall notify each unsuccessful offeror in writing of the award
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APPENDIX C
SAMPLE BID BOND
Bond No. _________________
KNOW ALL MEN BY THESE PRESENTS, that we,
as Principal, hereinafter called the Principal and [Bonding Company] (hereinafter called the "Surety"), a corporation
duly authorized to transact business in and having its principal office at
_______________________, are held and firmly bound unto the City of Dover, for the sum of
_____________Dollars ($ ), for payment of which sum well and truly to be made, the said
Principal and said Surety bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and
severally, firmly by these presents.
WHEREAS, the Principal has submitted a bid for [Identify project by number and brief description].
NOW, THEREFORE, if the City of Dover shall accept the bid of the Principal and the Principal shall enter into a
Contract with the City of Dover in accordance with the terms of such bid, and give such bond or bonds as may be
specified in the bidding or Contract Documents with good and sufficient surety for the faithful performance of such
Contract and for the prompt payment of labor and material furnished in the prosecution thereof, or in the event of the
failure of the Principal to enter such Contract and give such bond or bonds, if the Principal shall pay to the City of
Dover the difference not to exceed the penalty hereof between the amount specified in said bid and such larger
amount for which the City of Dover may in good faith contract with another party to perform work covered by said
bid or an appropriate liquidated amount as specified in the Invitation for Bids then this obligation shall be null and
void, otherwise to remain in full force and effect
Signed and sealed this _________ day of ____________________, 20 _______.
Witness of Attest: (Witness)
By: (Principal)
By: (Surety)
IMPORTANT: Surety Companies executing BONDS must appear on the Treasury Department's most current list
(Circular 570 as amended) and be authorized to transact business in the state where the project is located.
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APPENDIX D
SAMPLE PERFORMANCE BOND
Bond No. _________________
KNOW ALL MEN BY THESE PRESENTS, that [Here insert the full name and address or legal title of
the contractor] as Principal, hereinafter called Contractor, and [Bonding Company] (hereinafter called the
"Surety"), a corporation duly authorized to transact business in and having its
principal office at _______________________, are held and firmly bound unto the City of Dover, as
Obligee, in the amount of [Here insert a sum equal to the total amount of the contract price] Dollars ($ ),
for the payment whereof Contractor and Surety bind themselves, their heirs, executors, administrators,
successors and assigns, jointly and severally, firmly by these presents.
WHEREAS, Contractor has by written agreement dated ___________________, 20 _____, entered into a
contract with the City of Dover for [Describe project and insert project number] in accordance with
drawings and specifications prepared by [Here insert full name and address or legal title of Architect]
which contract is by reference made a part hereof, and is hereinafter referred to as the Contract.
NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION is such that, if the Contractor shall
promptly and faithfully perform said Contract then this obligation shall be null and void; otherwise it
shall remain in full force and effect. The Surety hereby waives notice of any alteration or extension of
time made by the City of Dover and its obligation is not affected by any such alteration or extension
provided the same is within the scope of the contract. Whenever the Contractor shall be, and is declared
by the City of Dover to be in default under the Contract, the City of Dover having performed the City of
Dover’s obligations thereunder, the Surety may promptly remedy the default or shall promptly:
1) Complete the Contract in accordance with its terms and conditions; or
2) Obtain a bid or bids for completing the Contract in accordance with its terms and conditions, and
upon determination by the City of Dover and the Surety jointly of the lowest responsive,
responsible bidder, arrange for a contract between such bidder and the City of Dover, and make
available as work progresses sufficient funds to pay the cost of completion less the balance of the
contract price; but not exceeding, including other costs and damages for which the Surety may be
liable hereunder the amount set forth in the first paragraph hereof. The term “balance of the
contract price,” as used in this paragraph, shall mean the total amount payable by the City of
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Dover to the Contractor under the Contract and any amendments thereto, less the amount
properly paid by the City of Dover to the Contractor. No right of action shall accrue on this bond
to or for the use of any person or corporation other than the City of Dover or successors of the
City of Dover.
Signed and sealed this _________ day of ____________________, 20 _______.
Witness of Attest: (Witness)
By: (Principal)
By: __ (Surety)
IMPORTANT: Surety Companies executing BONDS must appear on the Treasury Department's most
current list (Circular 570 as amended) and be authorized to transact business in the state where the project
is located.
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APPENDIX E
GLOSSARY
“Addendum” An addition or supplement to a document, for example, items or information
added to a procurement document.
“Award” The presentation, after careful consideration, of a purchase agreement or contract to
the selected bidder or offeror.
“Best and Final Offer” In competitive negotiation, the final proposal submitted after
negotiations are completed that contains the vendor’s most favorable terms for price and services
or products to be delivered.
“Best Value” An assessment of the return that can be achieved based on the total Life Cycle
Cost of the item; can include an assessment of the functionality of the item; can use cost/benefit
analysis to define the best combinations of quality, services, time, and cost considerations over
the useful life of the acquired item.
“Bid” An offer submitted by a prospective vendor in response to an invitation to bid issued by a
purchasing authority; becomes a contract upon acceptance by the buyer.
“Bid Bond” An insurance agreement, accompanied by a monetary commitment, by which a
third party (the Surety) accepts liability and guarantees that the bidder will not withdraw the bid,
the bidder will furnish bonds as required, and if the contract is awarded to the bonded (insured)
bidder, the bidder will accept the contract as bid, or else the surety will pay a specific amount.
“Bid Protest” A formal complaint made against the methods employed or decisions made by a
procurement authority in the process leading to the award of a contract.
“Brand Name or Equal Specification” A specification using one or more manufacturers’ brand
names, with identifying model numbers, to describe the standards of quality, performance or
other characteristics needed to meet the requirements of a solicitation, and which invites bids for
equivalent products from any manufacturer.
“Brand Name Specification” A specification using one or more manufacturers’ brand names,
with identifying model numbers, to describe the acceptable items; all other items will be
excluded.
“Buyer” 1: A purchaser can refer to the buying agency or government. 2: A worker in a
procurement office who is appointed to purchase a specific range of goods or services on a
routine basis, usually under the supervision of a section head or purchasing manager.
“Capital Asset” An asset with a life of more than one year, either tangible or intangible, with a
value above a certain minimum amount set by the jurisdiction. For the City, this amount is
$4,999.
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“Certain Professional Services” means those services within the scope of the practice of
architecture, professional engineering, professional land surveying, landscape architecture and
geology.
“Change Order” A written alteration to a contract or purchase order, signed by the purchasing
authority.
“Clarification” A communication with an offeror for the sole purpose of eliminating minor
irregularities or apparent clerical mistakes in a proposal; may be initiated by either offeror or
purchaser; does not give the offeror an opportunity to revise or modify its proposal, except to the
extent the correction of apparent clerical mistakes results in revision.
“Combination Specification” Has the features of both design specifications and performance
specifications.
“Commodity” Any moveable, tangible article of trade or commerce.
“Commodity Code” A system of words or numbers designed to identify and list commodities or
services by classes or sub-classes. For the City, the commodity code is the first three numbers of
stock code and the sub-commodity is the second three numbers of the stock code. A list can be
printed from HTE.
“Competitive Sealed Bidding” Preferred method of acquiring goods, services, and construction
for public use in which the award is made to the lowest responsive and responsible bidder, based
solely on the response to the criteria set forth in the invitation to bid; does not include
discussions or negotiations with bidders. Also called formal bid and formal advertised bid.
“Contract” 1: A legally binding promise, enforceable by law. 2: An agreement between parties,
with binding legal and moral force, usually exchanging goods or services for money or other
consideration. 3: All types of agreements, regardless of what they may be called, for the
procurement or disposal of supplies, services, or construction.
“Contract Modification” Any written alteration in specifications, delivery point, rate of
delivery, period of performance, price, quantity, or other provision of any contract, accomplished
by mutual action of parties to the contract.
“Depreciation” 1: A decrease in value because of use, time, deterioration, inadequacy or
obsolescence. 2: An accounting recognition of loss of value of a fixed asset.
“Designee” A duly authorized representative.
“Design Specification” A specification establishing the characteristics an item must possess,
including enough detail to show how it is to be manufactured.
“Economic Order Quantity (EOQ)” A quantity providing the lowest acquisition, inventory
costs at a minimum cost per unit.
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“Emergency Purchase” A purchase made to alleviate a situation in which there is a threat to
health, welfare, or safety under certain conditions defined as an emergency by the jurisdiction,
that does not allow time for normal, competitive purchasing procedures.
“F.O.B. Destination” Title changes hands from vendor to purchaser at the destination of the
shipment; Vendor owns goods in transit and files any claims. Payment of freight charges is
determined by contract terms.
“Functional Specification” A specification setting forth the results required from the supply or
service.
“Indemnify” 1: To protect against hurt or loss, to exempt from incurred penalties or liabilities.
2: To compensate or pay for damage.
“Informal Bid” A competitive bid or price quotation for supplies or services that is conveyed by
letter, telephone, or other means and does not require a sealed bid, public opening, or public
reading of the bids. See request for quotation.
“Invitation to Bid” A formal request to prospective vendors soliciting price quotations or bids;
contains, or incorporates by reference, the specifications or scope of work and all contractual
terms and conditions.
“May” Denotes the permissive in a contract clause or specification.
“Non-responsible Bid” A bid from a vendor who does not have the capability to perform fully
the contract requirements, or who does not have the integrity and reliability to assure
performance.
“Non-responsive Bid” A bid that does not conform to the mandatory or essential requirements
of the invitation to bid.
“Open Market Purchase” A purchase, usually of a limited monetary amount, from any
available source.
“Performance Bond” A bond executed after award by a successful bidder, to protect the buyer
from loss due to the bidder’s inability to complete the contract as agreed; Secures the fulfillment
of all contract requirements.
“Performance Specification” A specification setting forth the capabilities and performance
characteristics the article must satisfy.
“Pre-bid Conference” A meeting held with prospective bidders prior to solicitation of bids, to
clarify any ambiguities, answer bidder questions, and ensure all bidders have a common basis of
understanding regarding the supplies or services required.
“Pre-proposal Conference” Same as a pre-bid conference, but for competitive proposals.
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“Prequalification of Bidders” The screening of potential vendors in which such factors as
financial capability, reputation, and management are considered to develop a list of qualified
vendors.
“Procurement” 1: Purchasing, renting, leasing, or otherwise acquiring any supplies, services, or
construction; includes all functions that pertain to the acquisition, including description of
requirements, selection and solicitation of sources, preparation and award of contract, and all
phases of contract administration. 2: The combined functions of purchasing, inventory control,
traffic and transportation, receiving, receiving inspection, storekeeping, and salvage and disposal
operations.
“Professional Services” Services rendered by members of a recognized profession or possessing
a special skill. Such services are generally acquired to obtain information, advice, training, or
direct assistance (i.e. architectural & engineering services).
“Public Works and Utilities Contract” means any contract for the construction, reconstruction,
alteration or repair of any public building, road, street, highway, utility system or other public
improvement, the cost of which will be paid with public funds.
“Reasonable Cost” A cost that by its nature or amount does not exceed what would normally be
incurred by an ordinarily prudent person in the conduct of competitive business.
“Request for Proposal” All documents, whether attached or incorporated by reference, utilized
for soliciting competitive proposals.
“Request for Quotation” An informal solicitation or request for information, where oral or
written quotes are obtained from vendors, without formal advertising or receipt of sealed bids.
Used only where statutes do not require formal sealed bids, such as small or emergency
purchases, but price competition is desired.
“Responsible Bidder or Offeror” A bidder or offeror who has the capability in all respects to
perform fully the contract requirements, and the experience, integrity, perseverance, reliability,
capacity, facilities, equipment, and credit which will assure good faith performance.
“Responsive Bidder or Offeror” A bidder or offeror who has submitted a bid which conforms
in all material respects to the requirements stated in the Invitation to Bid.
“Restrictive Specification” Specification that unnecessarily limits competition by eliminating
items capable of satisfactorily meeting actual needs, often by requiring features which exceed the
minimum acceptable characteristics required for satisfactory performance.
“Shall” Denotes an imperative in contract clauses or specifications.
“Small Purchase” Any procurement not exceeding a given upper monetary limit, as established
by law or regulation.
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“Single Source Procurement” A contract for the purchase of goods and services entered after
soliciting and negotiating only with one source, usually because of the technology required or
uniqueness of the service provided.
“Sole Source Procurement” Only one vendor/manufacturer possesses the unique and singularly
available capability to meet the requirement of the solicitation, such as technical qualifications,
ability to deliver at a time, or services from a public utility.
“Specification” A description of the physical or functional characteristics, or the nature of a
supply, service, or construction item; the requirements to be satisfied by a product, material, or
process indicating, if appropriate, the procedures to determine whether the requirements are
satisfied. See Brand Name Specification, Brand Name or Equal Specification, Combination
Specification, Design Specification, Performance Specification, Restrictive Specification,
Standard Specification.
“Standard Specification” A specification that is to be used for all or most purchases of an item;
describes all required physical and functional characteristics of a good, service or construction.
“Statement of Work” A detailed description of the work which the purchasing jurisdiction
wants the contractor to perform.
“Term Contract” A contract in which a source of supply is established for a specified period for
specified services or supplies; Usually characterized by an estimated or definite minimum
quantity, with the possibility of additional requirements beyond the minimum, all at a
predetermined unit price.
Source of Definitions: Dictionary of Purchasing Terms published by the National Institute of
Governmental Purchasing.
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APPENDIX F
CITY OF DOVER QUOTATION WORKSHEET
(To be used for purchases between $5,000.00 and $24,999.99)
Department: ___________________________ Division: _________________________
Department Contact (Name & number): _______________________________________
Item/Service: ____________________________________________________________
Estimated Dollar Value: ___________________________________________________
Account Code: _________________________________ Project Code: ______________
Vendors (At least three vendors must be used. Include at least one minority or women owned
vendor, if available. Use of more than one minority or women owned vendor is encouraged):
1. Go to https://gss.omb.delaware.gov/osd/index.shtml.
2. Click on “Directory of Certified Businesses” button.
3. Select “Minority Business Enterprise” and/or “Women Business Enterprise” links.
4. Search by keyword i.e. Electrician, Construction, Furniture
List keyword(s) used: ______________________________________________
5. Each company displayed will have its assigned NAICS code listed.
List NAICS Code(s) used: __________________________________________
6. Refine search by NAICS Code if necessary.
7. Were Vendors Found: YES NO If so, how many: __________________
Vendor 1: _______________________________________________________Minority
Vendor 2: _______________________________________________________Minority
Vendor 3: _______________________________________________________Minority
If more than three vendors are used, list them on the reverse of this form.
Date sent out for quotes: __________________________
Date due back: _________________________
Date of award: _____________________
Vendor receiving the award: ________________________________________________
Was the 3% minority vendor preference applied in the evaluation? YES NO
Was this a minority vendor? YES NO
Total dollar amount of purchase or estimated total contract value: $_________________
Purchase Order produced: YES NO PO Number: ________________________
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Additional vendors used for this purchase
Vendor 4: _______________________________________________________Minority
Vendor 5: _______________________________________________________Minority
Vendor 6: _______________________________________________________Minority
Vendor 7: _______________________________________________________Minority
Vendor 8: _______________________________________________________Minority
Vendor 9: _______________________________________________________Minority
Vendor 10: ______________________________________________________Minority
Send completed form to the Procurement Office in Central Services.
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