Chapter 3.56 CONTRACT REVIEW PROCEDURE

Chapter 3.56
CONTRACT REVIEW PROCEDURE*

* Editor’s Note: Prior Legislative History: This chapter was originally adopted by Resolution 104-1986. Ordinance 307 (2003) reenacted the chapter and amended it in its entirety.

Sections:

3.56.010 Assignment of contract administrator.

3.56.020 Contract control number.

3.56.030 Encumbering budget line item.

3.56.040 Approval by risk manager.

3.56.050 Approval by auditor’s office.

3.56.055 Approval by personnel manager.

3.56.060 Approval by prosecuting attorney.

3.56.070 Certification by contract administrator.

3.56.075 Subscribing authority.

3.56.080 Action by subscribing authority.

3.56.085 Reports of approved contracts.

3.56.090 Log of approved contracts.

3.56.100 Responsibilities of auditor.

3.56.110 Examination by auditor.

3.56.120 Voucher approval.

3.56.130 (Repealed)

3.56.140 Contract amendments.

3.56.150 Subdivision of purchases prohibited.

3.56.010 Assignment of contract administrator.

(a) Appointment and Duties of Contract Administrator. Whenever any department wishes to procure goods, services or facilities on a contractual basis from outside sources, a contract administrator from within that department shall be appointed to oversee and monitor the procurement. The contract administrator shall be initially and primarily responsible for all aspects of procurement and contracting. This responsibility shall include, but is not limited to, development of specifications, negotiation, language selection and contract drafting, compliance with legal requirements, compliance with auditing and budget requirements, compliance with grant requirements, monitoring of contract performance, and contract close-out.

(b) Assistance for Contract Administrator. To meet the responsibilities imposed by this chapter, the contract administrator may, so often as is reasonably necessary, consult with and receive assistance from other county personnel such as the department of administrative services and the purchasing office, and the auditor and prosecuting attorney.

(c) Approval of Contract. Before presenting a proposed contract for subscription, the contract administrator shall obtain the approvals required in this chapter. The necessary approvals shall be noted on a contract review sheet, which shall follow the proposed contract.

(d) Review by Department Director. The director of the department desiring the procurement shall review and approve a proposed contract before it is submitted to other departments for consideration and approval.

(e) In-Service Training. All contract administrators must complete one or more contract administrator training classes presented by the prosecutor’s office.

(Ord. 307 (2003) § 2, 2003)

3.56.020 Contract control number.

To commence the review process once the proposed contract or bid specifications are finalized, the contract administrator shall receive a contract control number from the commissioners’ office. If, for whatever reason, the contract is not ultimately consummated the contract administrator shall so advise the commissioners’ office and the contract control number shall be canceled.

(Ord. 307 (2003) § 3, 2003)

3.56.030 Encumbering budget line item.

(a) After having received the contract control number the contract administrator shall advise the accounting division of the auditor’s office of the anticipated amount of the contract and the budget line item from which the contract is to be paid; provided, when the contract amount is unknown because bids have not yet been received, the contract administrator shall contact the accounting division only after a successful bidder has been selected.

(b) The contract administrator shall ensure that the contract amount, together with any amendments, does not exceed the amount fixed in the budget.

(c) The accounting division shall forthwith upon receipt of the above information encumber the budget line item with the anticipated amount of the proposed contract.

(Ord. 307 (2003) § 4, 2003)

3.56.040 Approval by risk manager.

(a) The risk manager shall review each proposed contract and determine, from information contained in the proposal or supplied by the contract administrator, if the proposal is satisfactory with regard to hold harmless provisions, insurance, bonds, and other means to anticipate and allocate risk between the parties.

(b) If the contract requires the supplier to provide insurance or bonds to the benefit of the county, the contract administrator shall, as soon as they are available and prior to execution of the contract, provide copies of such to the risk manager. The risk manager shall permanently retain the policies or bonds.

(Ord. 307 (2003) § 5, 2003)

3.56.050 Approval by auditor’s office.

If the proposed contract involves funding a grant program, the auditor’s office shall review the proposal and determine, from information contained in the proposal or supplied by the contract administrator, whether it meets applicable requirements of the grant.

(Ord. 307 (2003) § 6, 2003)

3.56.055 Approval by personnel manager.

If the proposed contract pertains to the employment of a regular full-time or part-time employee, the personnel manager shall review the proposal and determine, from information contained in the proposal or supplied by the contract administrator, whether it is satisfactory with regard to federal and state labor and employment laws and regulations and Kitsap County personnel policies, and whether it meets applicable requirements of collective bargaining agreements and civil service rules.

(Ord. 307 (2003) § 7, 2003)

3.56.060 Approval by prosecuting attorney.

The prosecuting attorney shall review each proposed contract and determine, from the information contained in the proposal or supplied by the contract administrator, if the proposal meets applicable statutory or judicial requirements for contracts of its type, and has any apparent deficiencies with respect to its operative language.

(Ord. 307 (2003) § 8, 2003)

3.56.070 Certification by contract administrator.

Once a proposed contract has been approved as specified in this chapter the contract administrator shall so certify and shall thereafter present it to the subscribing authority.

(Ord. 307 (2003) § 9, 2003)

3.56.075 Subscribing authority.

(1) Department Directors. Department directors are authorized to subscribe the following contracts:

(a) Contracts in the amount of $10,000.00 or less, and amendments to such contracts provided the total amount of the contract, including amendments, does not exceed $10,000.00; and

(b) Amendments to contracts subscribed by the board or county administrator provided the amount of the amendment does not exceed $10,000.00 or ten percent of the original contact amount whichever is less and the total contract period including any amendments does not exceed three years.

(c) Amendments to contracts subscribed by the board for public works projects as specified in RCW 39.04 provided the amount of the amendment does not exceed ten percent of the original contract amount and the total contract period including any amendments does not exceed three years.

(2) County Administrator. The county administrator, and in the absence of the county administrator, the chair of the board of county commissioners, is authorized to subscribe the following:

(a) Contracts and grant awards in the amount of $50,000.00 or less, and amendments thereto provided the total amount of the contract, including amendments, does not exceed $50,000.00;

(b) Amendments to contracts subscribed by the board provided the amount of the amendment does not exceed $50,000.00 or ten percent of the original contract amount whichever is less and the total contract period including any amendments does not exceed three years; and

(3) Board of County Commissioners. Notwithstanding any other provision in this section, the following shall be presented only to the board of county commissioners for subscription:

(a) Interlocal and other agreements with other governmental agencies, provided, this provision excludes routine agreements with other governmental agencies where the board of county commissioners has authorized, by separate resolution, that the county administrator or department director shall sign;

(b) Contracts that result in additional revenue to the county;

(d) Amendments to contracts where the total amount of all amendments exceeds $50,000.00 or ten percent of the original contract amount or the total contract period with any amendments exceeds three years;

(e) Amendments to contracts subscribed by the board for public works projects as specified in RCW 39.04 where the total amount of all amendments exceed ten percent of the original contract amount or the total contract period including any amendments exceed three years;

(f) Contracts and grant awards that require a budget amendment; and

(g) Employment contracts.

(Ord. 325 (2004) (Attachment), 2004: Ord. 307 (2003) § 10 2003)

3.56.080 Action by subscribing authority.

Once the subscribing authority has approved a contract the subscribing authority shall:

(1) Transmit to the auditor an original of the executed contract and the original contract review sheet for permanent retention in the auditor’s files;

(2) Transmit all remaining, executed copies of the contract to the contract administrator; and

(3) Transmit one copy of the contract review sheet to the county administrator

(Ord. 307 (2003) § 11, 2003)

3.56.085 Reports of approved contracts.

At the board’s first regular meeting each month, the county administrator shall submit an information report (no action required) of all contracts and amendments approved by the chair of the board, county administrator, and department directors during the preceding month. For each contract and amendment, the report shall include:

(1) The identity of the contractor;

(2) A description of the scope of work;

(3) The amount of the contract or amendment;

(4) The date the contract or amendment was subscribed;

(5) The individual who subscribed the contract; and

(6) For contract amendments,

(a) The date the original contract and any subsequent amendments were approved; and

(b) The amount of the original contract and any subsequent amendments.

(Ord. 307 (2003) § 12, 2003)

3.56.090 Log of approved contracts.

The county administrator shall maintain a record of all executed contracts. The contract administrator shall notify the county administrator when the obligations under a contract are completed.

(Ord. 307 (2003) § 13, 2003)

3.56.100 Responsibilities of auditor.

The auditor shall permanently retain all contracts received pursuant to Section 3.56.080. The auditor shall not make or authorize any payment upon a contract unless the auditor has received the original of such contract.

(Ord. 307 (2003) § 14, 2003)

3.56.110 Examination by auditor.

An auditor may, from time to time, examine contracts, amendments and documents produced pursuant to this chapter to ascertain if such in fact comply with this chapter and other laws, rules, regulations, ordinances or statutes concerning procurement.

(Ord. 307 (2003) § 15, 2003)

3.56.120 Voucher approval.

When a contract administrator or department director approves a voucher in order to pay, in whole or in part, a contract obligation, such approval shall indicate that the payment is due under the contract and that the contractor, unless otherwise noted, is in compliance with the material provisions of the contract.

(Ord. 307 (2003) § 16, 2003)

3.56.130 (Repealed)*

* Editor’s Note: Former Section 3.56.130, “Duties of designee signator,” adopted by § 13 of Resolution 104-1986, was repealed by § 17 of Ord. 307 (2003).

3.56.140 Contract amendments.

For contract amendments, the contract administrator shall obtain the approvals required by subsection (d) of Section 3.56.010, and Sections 3.56.030, 3.56.040, 3.56.050, 3.56.055, and 3.56.060, and shall make the certification as required by Section 3.56.070. The necessary approvals shall be noted on a contract review sheet, which shall follow the proposed contract. A copy of the contract to be amended shall accompany the proposed amendment.

(Ord. 307 (2003) § 18, 2003)

3.56.150 Subdivision of purchases prohibited.

No procurement of goods, services or facilities shall be subdivided to avoid the requirements of this chapter. Simultaneous procurement of goods, supplies, services or facilities which are unrelated or otherwise not constituent parts of a contract do not constitute “subdivisions” for purposes of this section.

(Ord. 307 (2003) § 19, 2003)