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Section 4: Purchasing Alternatives <br />4.1 Uniform Municipal Contracting Law, Chapter 471.345 <br />It shall be the policy of the City of Ramsey that the Uniform Municipal Contracting Law, Minnesota Statutes <br />Chapter 471.345 shall be the policy of the city. Changes in this law will automatically become the policy of the <br />city. City policy may be more restrictive then State Law, but may not be less restrictive. Records of quotes and <br />bids shall be retained for at least one year after the completion of the contract or purchase or until the annual audit <br />for the year of purchase is completed, whichever is longer. <br />4.2 Sealed Bids/Major Purchases (See League of MN Cities Information Memo Entitled Competitive <br />Bidding Requirements in Cities) <br />• A formal sealed bid procedure is required for all purchases in excess of $100,000 except professional <br />services. <br />• A purchase (contract) that exceeds $100,000 cannot be split into several smaller purchases (contracts) to <br />avoid the sealed bid process. <br />• City Council approves all bids and specifications. <br />• A published notice is required in the official city newspaper at least ten days in advance of the bid opening. <br />The notice may also be published on the city's official website or in a recognized trade journal. <br />o A public construction project that exceeds $50,000 must meet the Responsible Contractor <br />Requirements (Minn Statute 16C.285) <br />• All bid openings are to be administered by the City Administrator and/or the originating department. <br />• The preparation of all specifications are to be the responsibility of the City Administrator and/or the <br />originating department. <br />• Required authorization for plans and specifications is the responsibility of the City Administrator and/or the <br />originating department. <br />• The City Council must formally approve the bid contract. <br />4.3 Quotes/Intermediate Purchases <br />If a purchase is estimated to exceed $25,000 but not to exceed $100,000, the purchase may be made either by <br />sealed bids or by direct negotiation based upon quotations. If a purchase is made in this range, staff members are <br />required to obtain at least two written quotes and the quotations must be kept on file for at least one year. All such <br />quotes must be forwarded to the Finance Department with the purchasing documents. <br />If a purchase is estimated to be $25,000 or less, the purchase may be made by either obtaining quotations or by <br />buying the item directly on the "open market". If the quotation option is chosen, at least two quotes will be <br />obtained and forwarded to the Finance Department with the purchasing documents. <br />4.4 Professional Service Contracts: <br />• Cities are not required to follow the competitive bidding process when contracting for professional <br />services such as those provided by doctors, engineers, lawyers, architects, accountants, as well as <br />other services requiring technical, scientific or professional training. <br />The city retains outside professional services in the area of: <br />• Legal <br />• Planning <br />• Auditing <br />• Assessing <br />• Engineering <br />• Banking <br />• Towing <br />3 <br />