CITY COUNCIL REGULAR MEETING AGENDA PACKET

Page 1 of 2 Item #5 CITY COUNCIL AGENDA REPORT June 18, 2024 Finance TITLE: APPROVE FISCAL YEAR 2024/25 RECURRING PURCHASE ORDER AGREEMENTS SUMMARY The City’s Purchasing Policy establishes the types and values of goods and services requiring City Council approval. The Recurring Purchase Order Agreements (RPOAs) included in this report require City Council approval due to their cumulative values in a fiscal year exceeding $100,000. If approved, staff will be authorized to issue RPOAs to the vendors included in the list of recommended recurring purchase orders for FY 2024/25 provided as Attachment 1. RECOMMENDATION Authorize the issuance of RPOAs to vendors and amounts up to those listed on Attachment 1 for FY 2024/25. BACKGROUND The City’s Purchasing Policy establishes requirements for vendor selection based on the type and value of the goods or services to be purchased. For purchases of goods and ancillary services less than $100,000, the City Manager is authorized to approve selection of the qualified low bidder resulting from a request for bids process. If the purchase is in excess of $100,000 City Council approval is required. DISCUSSION As part of the City’s annual purchasing process, individual vendors are provided with RPOAs authorizing departments to make numerous as-needed purchases on a regular basis throughout the year. As an example, a firm operating in accordance with a RPOA for office supplies may have many individual sales with the City, all of which are valued at less than a few hundred dollars; however, the overall annual purchase may be equal to or greater than $100,000. In reviewing this year’s listing of RPOAs, staff identified a number of vendors that, based on previous activity, will provide products that collectively may be in excess of $100,000. As a result, staff determined that it is appropriate to forward these to the City Council for approval prior to issuing a RPOA for FY 2024/25. As indicated in Attachment 1, some RPOAs are in the middle of a multi-year agreement; however, the City Council is asked to approve only FY 2024/25 RPOA requests. Competitive Bidding All the vendors listed on Attachment 1 have either been selected through the City’s competitive bidding process or have been declared sole source vendors. If a vendor is designated a sole source vendor, an explanation is provided. Fiscal Year 2024/25 competitive bids for RPOAs for $100,000 or more have been completed. If additional RPOAs for $100,000 or more are Page 53 of 248