HomeMy WebLinkAboutR-2019-085 The City of Dania Beach, Florida, Creating a City Contracts Policy; Providing for Conflicts; Further Providing for an Effective Date. RESOLUTION NO. 2019-085
A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DANIA
BEACH, FLORIDA, CREATING A CITY CONTRACTS POLICY;
PROVIDING FOR CONFLICTS; FURTHER, PROVIDING FOR AN
EFFECTIVE DATE.
WHEREAS, the City Commission has requested the creation of a"Contracts Policy" to
allow for the Commission to review contracts prior to their respective expiration dates; and
WHEREAS, the Finance Department of the City of Dania Beach has created a policy
that will provide the City Commission on a monthly basis with a copy of a"Contracts List"to be
provided by designated procurement personnel;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
CITY OF DANIA BEACH,FLORIDA:
Section 1. That the City of Dania Beach has created a policy entitled, "Contracts
Policy", a copy of which policy is attached as Exhibit "A", and incorporated by this reference,
which is adopted by the City Commission, and will become effective October 1, 2019.
Section 2. That all resolutions or parts of resolutions in conflict with this Resolution
are repealed to the extent of such conflict.
Section 3. That this Resolution shall be in force and take effect immediately upon its
passage and adoption.
PASSED AND ADOPTED on Jul 019.
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THOMAS SCHNEIDER, CMC LORI EWELLEN
CITY CLERK MAYOR
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APPROVED-AS TO FORM AND CORRECTNESS:
TH . A SBRO
CITY ORNEY
2019
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City of Dania Beach, Florida
Contracts Policy
2019
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City of Dania Beach
100 W. Dania Beach Blvd
Dania Beach, FL 33004
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Title: Contracts Policy Page 1 of 5
TRACTS POLICY 2019
Table of Contents
1 INTRODUCTION ...................................................................................................................................3
1.1 OVERVIEW...................................................................................................................................3
2 MONITORING CONTRACTS................................................................................................................3
2.1 GENERAL....................................................................................................................................3
3 CONTRACT RENEWALS.....................................................................................................................4
3.1 GENERAL.....................................................................................................................................4
4. CONTRACT EXTENSIONS ..................................................................................................................5
4.1 GENERAL.....................................................................................................................................5
5. CONTRACT MODIFICATIONS.............................................................................................................5
5.1 GENERAL.....................................................................................................................................5
6. TERMS AND DEFINITIONS..................................................................................................................5
Title: Contracts Policy Page 2 of 5
F.
INTRODUCTION
1.1.1 The City needs to maintain contracts, and managing them can be a full time job. An
essential part of contract management is being aware of contracts up for renewal and
renewing them as soon as possible to avoid disrupting business. These policies and
procedures will assist departments with ensuring timely contract renewal.
1.1.2 Designated procurement personnel working in conjunction with the Department Heads,
City Attorney, City Manager or their designees must carefully monitor their contracts and
ensure the renewal process is addressed at the appropriate time. Contracts may be
cancelled, or options not exercised, if contractual requirements are not met. It is the
responsibility of the designated procurement personnel, Department Head or designees to
initiate the request for changes with the City Commission, City Manager or City Attorney
as applicable to ensure contracts are renewed timely.
1.1.3 The goal of the designated procurement personnel is to align the City with best practices
and achieve contracts that are in the best interest of the City of Dania Beach and
centralize this process for better accountability and results.
MONITORING CONTRACTS
2.1.1 Monitoring of contracts is an ongoing process. Various monitoring activities may be
conducted throughout the life of the contract. The purpose of monitoring is to ensure the
provider complies and performs in accordance with the agreement terms and conditions.
2.1.2 Designated Procurement Personnel: Designated Procurement Personnel will ensure the
City Contracts List is maintained by City staff. The City Contracts List will be sent monthly
to the City Commission, City Manager's Office, Department Heads, and Administrative
staff who are involved in purchasing and contracts for the various departments.
2.1.3 Finance Department: Finance staff will collaborate with the designated procurement
personnel to maintain and provide a City Contracts List for all known contracts to notify
departments four to six months in advance of a contract's expiration. The list consists of
the vendor name, date of contract, expiration date, renewal options, and other pertinent
contract details.
2.1.4 Department Head: Once a contract is properly executed by the appropriate parties, the
designated procurement personnel in conjunction with the Department Head is
responsible for managing their contracts. The Department Head should assign a designee
to review their contracts on a monthly basis to ensure timely renewal, extension, or
competitive solicitation as necessitated to ensure City services are procured competitively
Title: Contracts Policy Page 3 of 5
CITY OF DANIA 131CH ONTRACTC POLICY 019F'
and that such services are not interrupted. The designee should maintain a copy of all
documents and materials that comprise the contract agreement. The contract file should
be maintained in a logical and neat manner and be organized so that the activities
conducted during the contract management process can be reconstructed and understood
by someone who is not familiar with the contract. The Department Head or designee is
responsible for monitoring provider performance, verifying receipt of
commodities/contractual services, certifying quality of commodities/services, validating
and auditing contract pricing and payment, enforcing terms and conditions, and managing
changes to the contract.
Department Heads are further responsible for monitoring the life of the contract and
notifying the designated procurement personnel if any contracts exist that are not on the
City Contracts list.
CONTRACT
3.1.1 If the original contract contains a renewal clause, the contract may be renewed for the
specific period of time as outlined in the original contract with the proper approvals.
Contracts that are renewed are subject to the same terms and conditions that were
specified in the original contract.
3.1.2 For contracts that are the result of a competitive solicitation, contract pricing and terms for
the renewal must be specified in the initial competitive solicitation. Before a contract is
renewed the Department in conjunction with the designated procurement personnel and the
City Attorney must:
• Verify the contract is eligible to be renewed
• Verify the availability of funds
• Request any updated documents necessary to support the new contract term
• Renewal must be agreed to by both parties; executed in writing and approved by
the City Commission or City Manager in accordance with the Code of Ordinances
and provisions of the original contract
• Renewal is contingent upon satisfactory performance by the vendor
3.1.4 Contract renewal is often time sensitive.A renewal must be in place before a contract
expires. Best practices indicate the contract renewal process should begin at least Ninety
(90) days prior to the expiration of the Contract if permitted in the contract language and
both parties are agreeable.
CONTRACT •
4.1.1 An extension is an increase in the length of the contract term. Extensions should not be a
standard practice. Extensions for contractual services contract, must be in writing, and
Title: Contracts Policy Page 4 of 5
: , 2019
must be subject to the same terms and conditions set forth in the initial contract and any
written amendments signed by the parties.
CONTRACT •D •
5.1.1 A contract modification also called a contract amendment, must be mutually agreed upon
and may introduce or cancel specifications or terms of an existing contract, while leaving
intact its overall purpose and effect. Unilateral modifications are issued usually through a
change order (modification order), the bilateral ones through a supplemental agreement.
Contract amendments must be done in accordance with the original contract provisions
and approved by the City Commission or City Manager as determined by the City's Code
of Ordinances.
DEFINITIONS6 TERMS AND
As used in this policy, the following terms shall mean:
City: City of Dania Beach, Florida
Contract: A legally binding agreement which recognizes and governs the rights and duties of the
parties to the agreement.
Extension: An extension to the duration of the Contract, but not including any alteration to the scope of
the Contract.
Modification: Any change, in part or whole, occurring to a legally binding agreement between two or
more parties. Any contract can be modified before or after signing the agreement, but all parties must
agree to the changes. If any party doesn't agree to the modification, the changes are invalid.
Monitoring: Maintaining regular surveillance over the contract.
Renewal: Keeping an existing contract in force for an additional period of time.
Title: Contracts Policy Page 5 of 5