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24. Ordinance Amending City Manager's Contracting Authority for Non -Public Works and Public Works <br />Contracts Under Chapter 2, Article VI and Public Works Construction Rules and Regulations Under <br />Chapter 33, Article VIII of the Santa Ana Municipal Code <br />Department(s): Finance and Management Services <br />Recommended Action: Approve first reading of an ordinance amending City Manager's <br />contracting authority for non-public works and public works contracts under Chapter 2, Article VI 1, <br />Sections 2-748, 2-800 to 2-808 and public works construction rules and regulations under Chapter <br />33, Article VIII, Sections 33-200 to 33-203 of the Santa Ana Municipal Code as follows: <br />i) Amending Section 2-748 of Chapter 2, Article VI concerning the City Manager's contract <br />authority: <br />(1) non-public works contracts to increase from $50,000 to $250,000; <br />(2) emergency public works construction to increase from $100,000 to $750,000; <br />(3) non-public works and public works contracts change orders authority increase from 10 percent or <br />$25,000, whichever is greater, to 15 percent or $50,000, whichever is greater; and <br />(4) add language codifying contract limits will be applied on a fiscal year basis by departments. <br />ii) Amending Section 2-800 to 2-808 of Chapter 2, Articles VII.II concerning the Purchasing Rules <br />and Regulations: <br />(1) clarifying language administrative in nature; <br />(2) extending local vendor preference to increase from procurement involving $5,000 and one <br />$100,000 to procurement involving $10,000 and $100,000; <br />(3) for reporting requirements to increase from $500 to $1,000; <br />(4) for administrative contracts to increase from $5,000 to ten $10,000; <br />(5) for informal contracts to increase from $5,000 and $25,000 to $10,000 and $50,000); <br />(6) for formal contracts to increase from $25,000 to $50,000; <br />(7) add language to coincide with current practices for awarding services contracts; and <br />(8) for non -bid purchases add City -owned software upgrades, maintenance, or additional licenses. <br />iii) Amending Sections 33-200 to 33-203 of Chapter 33, Article VIII concerning the Public Works <br />Construction Rules and Regulations: <br />(1) housekeeping language administrative in nature; and <br />(2) for non -emergency public works construction incorporate informal procurement process: <br />a) administrative contracts up to $50,000 <br />b) informal construction bid for contracts between $50,000 and $250,000 <br />c) formal for bid for contracts in excess of $250,000 <br />MINUTES: Executive Director of Finance and Management Services Agency Kathryn Downs <br />provided a brief presentation. <br />Council discussion ensued and direction provided to staff to bring back item. <br />Moved by Councilmember Penaloza, seconded by Mayor Pro Tern Bacerra to Approve. <br />YES: 3 — Penaloza, Phan, Bacerra <br />NO: 4 — Hernandez, — Lopez, — Mendoza, — Sarmiento <br />ABSTAIN: 0 <br />ABSENT:0 <br />Status: 3-4— 0-0 — Fail <br />25. Fiscal Year 2021-2022 Mid -Year Budget Update <br />City Council 12 3/1/2022 <br />