Chapter 2
ADMINISTRATION*
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*Cross reference(s)‑‑Cemeteries, ch. 18; community development, ch. 22; housing commission, Sec. 22-121 et seq.; elections, ch. 26; environment, ch. 30; fire department, Sec. 34-26 et seq.; harbor commission, Sec. 38-26 et seq.; harbormaster, Sec. 38-56 et seq.; port authority, Sec. 38-81 et seq.; health and sanitation, ch. 42; human relations, ch. 46; offenses affecting governmental functions, Sec. 54-26 et seq.; parks and recreation, ch. 58; parks and cemetery commission, Sec. 58-36 et seq.; Liberty Hyde Bailey park board, Sec. 58-51 et seq.; planning, ch. 62; planning commission, Sec. 62-26 et seq.
State law reference(s)‑‑Standards of conduct and ethics, MCL 15.341 et seq., MSA 4.1700(71) et seq.; open meetings act, MCL 15.261 et seq., MSA 4.1800(11) et seq.; freedom of information act, MCL 15.231 et seq., MSA 4.1801(1) et seq.
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Sec. 2-1. Smoking in council chambers.
Secs. 2-2‑‑2-25. Reserved.
Sec. 2-26. Residency requirement.
Secs. 2-27‑‑2-45. Reserved.
Division 1. Generally
Sec. 2-46. Contracts.
Sec. 2-47. Surplus stock.
Sec. 2-48. Collecting accounts.
Sec. 2-49. Creation of fund from sale of utility.
Sec. 2-50. Sale or lease of real estate.
Secs. 2-51‑‑2-60. Reserved.
Division 2. Purchasing
Sec. 2-61. Purpose of division.
Sec. 2-62. Application of division.
Sec. 2-63. Definitions.
Sec. 2-64. City purchasing manager‑‑Appointment.
Sec. 2-65. Same‑‑Powers and duties.
Sec. 2-66. Purchasing committee; creation, duties.
Sec. 2-67. Purchases‑‑Small items or services under $500.00.
Sec. 2-68. Same‑‑Items or services over $500.00 and less than $5,000.00.
Sec. 2-69. Same‑‑Over $5,000.00.
Sec. 2-70. Determining best bid.
Sec. 2-71. Bid by person in default.
Sec. 2-72. Bid deposits.
Sec. 2-73. Bid opening procedure.
Sec. 2-74. Appropriation sufficiency.
Sec. 2-75. Purchases through state bid contracts.
Sec. 2-76. Purchasing order.
Sec. 2-77. Emergency purchases.
Sec. 2-78. Public improvements.
Sec. 2-79. Cooperative purchasing.
Sec. 2-80. Purchasing services available to other public agencies.
Sec. 2-81. Payment to the contractor.
Sec. 2-82. Change order approval procedure.
Secs. 2-83‑‑2-105. Reserved.
Division 1. Generally
Secs. 2-106‑‑2-115. Reserved.
Division 2. Board of Review
Sec. 2-116. Board of review‑‑Appointments and function.
Sec. 2-117. Same‑‑Meetings and compensation.
Secs. 2-118‑‑2-130. Reserved.
Division 3. "Local Officers" Compensation Commission
Sec. 2-131. Creation; members; appointment; terms; vacancies.
Sec. 2-132. Determination of salaries.
Sec. 2-133. Meetings; quorum; election of chairman; compensation.
Sec. 2-1. Smoking in council chambers.
(a) It shall be unlawful to smoke or possess lighted tobacco in any form in the city council chambers in the city hall.
(b) There shall be ash trays or similar fireproof containers at the entrance to such city council chambers for the disposal of any such lighted tobacco.
(c) Any person violating any provision of this section shall be fined not less than $5.00 nor more than $25.00 for each offense.
(Code 1965, Sec. 2.07)
Secs. 2-2‑‑2-25. Reserved.
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*Charter reference(s)‑‑Elections, ch. 3; organization of government, ch. 4; legislation, ch. 7.
Cross reference(s)‑‑Any ordinance prescribing the number, classification or compensation of any city officers or employees saved from repeal, Sec. 1-11(13).
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Sec. 2-26. Residency requirement.
As a condition of continued employment, each full-time emergency service employee, and each full-time on-call employee of the city is required to establish and maintain his bona fide residence and primary domicile within the geographic area described in this section as follows:
(1) The city manager shall establish his/her primary and bona fide residence and primary domicile within the corporate limits of the city per the provisions of the City Charter.
(2) The police chief and fire chief must establish his/her primary and bona fide residence within the corporate limits of the city within six months of the day of employment with the city.
(3) Within 12 months after his/her date of hire, an employee of the following departments shall establish his/her primary and bona fide residence within an eight-mile radius of the Fire: Police Complex at 90 Blue Star Highway: fire, street, wastewater treatment, water filtration, water and sewer distribution, electric distribution, and finance department on-call employees.
(4) Within 12 months after his/her date of hire, an employee in the police department shall establish his/her primary and bona fide domicile within a 12-mile radius of the Fire: Police Complex at 90 Blue Star Highway.
(5) Upon written request and approval by the city manager, the time for compliance with the residence policy and requirements may be extended for a reasonable period of time when a compelling need for such an extension is established to the city manager's satisfaction. The city manager shall notify the council of such extensions.
(6) There are no other residency restrictions implicit or implied.
(Ord. No. 710, Sec. 1, 5-12-88; Ord. No. 826, Sec. 1, 6-19-95)
Charter reference(s)‑‑Authority to prescribe residency requirements, Sec. 5.1.
Secs. 2-27‑‑2-45. Reserved.
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*State law reference(s)‑‑Municipal finance act, MCL 131.1 et seq., MSA 5.3188(1) et seq.; uniform budgeting and accounting act, MCL 141.421 et seq., MSA 5.3228(21) et seq.
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DIVISION 1. GENERALLY
Sec. 2-46. Contracts.
All contracts must be approved by the city manager and the city attorney as to form.
(Ord. No. 749, Sec. 1(4.20), 2-3-92)
Sec. 2-47. Surplus stock.
All agencies shall submit to the purchasing manager, at such times and in such form as the purchasing manager shall prescribe, reports showing stocks of all supplies which are no longer used or which have become obsolete, worn out or scrapped.
(1) Sale. The purchasing manager shall have the authority to sell all supplies which have become unsuitable for public use, or to exchange the same for, or trade in the same on, new supplies pursuant to provisions of the city Charter or to conduct an auction for sale of items. Sales under this section shall be made to the highest responsible bidder.
(2) Sales procedure. Sales shall be made by the same procedures regulating purchases.
(3) Transfer. The purchasing manager shall have the authority to transfer surplus stock to other agencies.
(Ord. No. 749, Sec. 1(4.21), 2-3-92)
Sec. 2-48. Collecting accounts.
The city attorney is authorized to commence and carry on actions in all courts for the purpose of collecting accounts owed to the city or to any of its administrative departments when requested by any city officer or administrative employee charged with the collection of any such accounts.
(Code 1965, Sec. 2.05)
Sec. 2-49. Creation of fund from sale of utility.
(a) There is hereby created a fund for the purpose of receiving funds from the sale of any municipally owned utility if its sale is approved by a three-fifths vote of its qualified electors voting on the proposition, as provided by the city Charter.
(b) Such fund shall be used for the purpose of acquiring, constructing, extending, altering, repairing or equipping public improvements or public buildings which the city may, by provisions of its Charter or the general law, be authorized to acquire, construct, extend, alter, enlarge, equip or repair.
(c) The council shall have and exercise control over the fund, subject to the provision that the principal of the fund may be expended only after receiving approval by affirmative vote of a three-fifths majority of the electors of the city voting thereon at a regular or special election.
(d) The council shall invest the fund only in securities authorized by law. The earnings from such investments shall not be a part of the fund but shall become part of the general revenue of the city and may be used for general city purposes.
(Code 1965, Sec. 2.04)
Charter reference(s)‑‑Disposal of utility plants and property, Sec. 13.5.
Sec. 2-50. Sale or lease of real estate.
Any agreement or contract whereby the city leases its own property to any lessee for a period longer than five years shall be subject for 30 days to the same referendum procedures as is provided in the case of ordinances passed by the council. The transfer or assignment of any agreement or contract for leasing of public property may be made only upon approval of the council, but approval of any transfer shall not be subject to a referendum. Leases and renewals thereof shall be for a fair consideration as determined by the council.
(Ord. No. 749, Sec. 1(4.08), 2-3-92)
Charter reference(s)‑‑Purchase, sale, lease of property, ch. 12; council vote required if realty, Sec.Sec. 7.6(b)(2), 7.6(b)(8), 12.4.
Secs. 2-51‑‑2-60. Reserved.
DIVISION 2. PURCHASING
Sec. 2-61. Purpose of division.
The purpose of this division is to provide for consistency in public purchasing.
(Ord. No. 749, Sec. 1(4.02), 2-3-92)
Sec. 2-62. Application of division.
This division applies to contracts for procurement of supplies, services, and construction, entered into by the city, unless otherwise provided for in this article. It shall apply to every expenditure of public funds by a public agency for public purchasing irrespective of its source. When a procurement involves the expenditure of federal assistance or contract funds, it shall be conducted in accordance with any federal law and regulation. No procurement contract shall prevent any public agency from complying with the terms and conditions of any grant, gift or bequest which are otherwise consistent with law.
(Ord. No. 749, Sec. 1(4.03), 2-3-92)
Sec. 2-63. Definitions.
The following words, terms and phrases, when used in this division, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:
City purchasing manager or purchasing manager means the purchasing manager of the city.
Contractual services means and includes the rental, repair or maintenance of equipment, machinery, roads and other city-owned property providing operations and/or services.
Public improvement means any enhancement to property belonging to the city.
Supplies means and includes all materials and equipment.
(Ord. No. 749, Sec. 1(4.04), 2-3-92)
Cross reference(s)‑‑Definitions generally, Sec. 1-2.
Sec. 2-64. City purchasing manager‑‑Appointment.
The purchasing manager shall be responsible for the purchase and sale of all city property, and the purchasing manager shall be appointed and designated as such by the city manager.
(Ord. No. 749, Sec. 1(4.05), 2-3-92)
Sec. 2-65. Same‑‑Powers and duties.
The purchasing manager shall have the following powers and duties:
(1) Bulk purchases. Exploit the possibilities of buying in bulk so as to take full advantage of discounts.
(2) Encourage competition. Endeavor to obtain as full and open competition as possible on all purchases and sales.
(3) Federal tax exemptions. Act so as to procure for the city all federal tax exemptions to which it is entitled.
(4) Forms. Prescribe and maintain such forms as are reasonable and necessary for the operation of this article.
(5) Minimize expenditure. Act to procure for the city the highest quality in supplies and contractual services at the least expense to the city.
(6) Purchasing analysis. Keep informed of current developments in the field of purchasing, prices, market conditions and new products in the field of purchasing by other governmental jurisdictions, national technical societies, trade associations having national recognition and private businesses and organizations.
(7) Rules and regulations. Establish and amend, when necessary, all rules and regulations authorized by this article and any others necessary to its operation.
(8) Vendor’s catalog file. Prepare, adopt and maintain a vendor’s catalog file. The catalog shall be filed according to materials and shall contain descriptions of vendors" commodities, prices and discounts.
(9) Disqualification of bidders. Have the authority to declare vendors who default on their quotations irresponsible bidders and to disqualify them from receiving any business from the municipality for a stated period of time.
(10) Cooperation with the city manager and finance group director. Cooperate with the city manager and finance group director so as to secure for the city the maximum efficiency in budgeting and accounting.
(11) Other. Perform other duties as may be designated by the city manager or ordained by the city council.
(Ord. No. 749, Sec. 1(4.06), 2-3-92)
Sec. 2-66. Purchasing committee; creation, duties.
(a) The purchasing committee is an administrative committee consisting of the city manager, purchasing manager, and finance group manager. The group manager or department head of the department that is purchasing items will serve as a fourth ad hoc member of the committee.
(b) The duties of the purchasing committee shall include but not be limited to:
(1) Preparation and/or review of plans and specifications for the purchase of any materials, supplies, or services.
(2) Opening and review of bids.
(3) Providing recommendations, tabulations and any other information helpful to council’s decision making.
(4) Providing a recommendation designating the lowest responsible bidder for all purchases requiring council approval.
(5) Determining that adequate funds are budgeted and available and further specifying the account number to be charged.
(6) Serving in an advisory capacity on all questions of purchasing policy and practices.
(Ord. No. 749, Sec. 1(4.07), 2-3-92)
Sec. 2-67. Purchases‑‑Small items or services under $500.00.
(a) All items under the price of $500.00 may be purchased from a local vendor by a department head, or his designated representative, when it has been determined by the department head that it is not cost effective to buy the item or service by competitive bidding.
(b) The department head shall promptly turn in a copy of the receipt for the item purchased to the finance department. The receipt will also contain the signature of the city employee who actually received the item.
(Ord. No. 749, Sec. 1(4.09), 2-3-92)
Sec. 2-68. Same‑‑Items or services over $500.00 and less than $5,000.00.
(a) All purchases under $1,000.00 and in excess of $500.00 shall be approved by the group manager. Competitive bidding shall not be required for purchases under this subsection. Before giving approval for any such purchase, the group manager shall make sure that an appropriation has first been approved by the city council, that a sufficient unencumbered balance remains in the appropriation, and that sufficient funds will be available to cover the claim or meet the obligation when it becomes due and payable.
(b) All purchases of services and supplies under $3,000.00 and in excess of $1,000.00 shall be approved by the city manager or his designated representative. Competitive bidding shall not be required for purchases under this subsection. Before giving approval for such purchases, the group manager shall make sure that an appropriation has first been approved by the city council, that a sufficient unencumbered balance remains in the appropriation and that sufficient funds will be available to cover the claim or meet the obligation when it becomes due and payable.
(c) All purchases of services and supplies under $15,000.00 and in excess of $3,000.00 will be approved by the City Manager or his designated representative. A minimum of three informal, unsealed written bids shall be taken on such items. If three bids cannot be obtained, sole source purchasing is permitted. Before giving approval for such purchases, the group manager shall make sure that an appropriation has first been approved by the City Council, that a sufficient unencumbered balance remains in the appropriation and that sufficient funds will be available to cover the claim or meet the obligation when it becomes due and payable. Informal bids will be advertised once in a newspaper of general circulation within the city or other general publications stating the necessary information to permit bids to be made. Notice inviting the bids shall be published at least five working days preceding the last day set for the receipt of proposals. The newspaper notice may include a general description of the supplies or services to be purchased and shall state whether and where the informal bids may be sent. The City manager shall reserve the right to reject any and all bids submitted, and such right of rejection shall be included with any notice of request for bids.
(Ord. No. 749, Sec. 1(4.10), 2-3-92; Ord. No. 879, Sec. 1, 2-21-00)
Sec. 2-69. Same‑‑Over $15,000.00.
(a) All contracts and purchases involving $15,000.00 or more must be approved by the city council.
(b) Except as provided in subsection (d) of this section, for purchases of services and supplies equal to or in excess of $5,000.00 but under $20,000.00, competitive bidding shall be required; provided that the city council, by unanimous resolution of those members present at a meeting based upon the written recommendation of the city manager, may determine that it would not be advantageous to require competitive bidding with respect to a particular purchase and may dispense with the requirements for competitive bidding and sealing bids in such case.
(c) Except as provided in subsection (d) of this section, all purchases of services and supplies for $20,000.00 or more shall require competitive bidding.
(d) Competitive bids shall not be required for:
(1) Professional services.
(2) Emergency purchases of repairs, supplies and services in accordance with section 2-77.
(3) All kinds and types of insurance.
(4) Any contract, agreement or arrangement, or renewal thereof, for the purchase of electricity at wholesale from a governmental unit or agency of a governmental unit, an authority, a private or public cooperative or association, a public utility or other entity.
(e) The requirements for competitive bidding shall not apply to intergovernmental agreements or purchases, sales or other transfers of property involved in such contracts.
(f) The requirements for competitive bidding shall not apply where a construction, renovation or repair project or service can be and is to be provided by city personn