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Home My WebLink AboutFIN 2017-04-18 Item 2B - Ordinance - TMC Section "Unbudgeted Equipment or Fixed Asset Items"City of Tukwila Allan Ekberg, Mayor INFORMATIONAL MEMORANDUM TO: Allan Ekberg Finance Committee FROM: Peggy McCarthy, Finance Director BY: Craig ZeUUerhoff, Fiscal Coordinator DATE: April 12,2017 SUBJECT: Update Tukwila Municipal Code by removing section 3-32-040 "^Umbudgeted Equipment or Fixed Assets" ISSUE Streamline purchasing practices by removing section 3.32.040 "Unbudgeted Equipment or Fixed Assets" from the Tukwila Municipal Code (TK8C) and repealing Ordinance No. 2245. BACKGROUND Council control over procurement. Fio9d,4ySetG. |n November 1S97. City Council adopted Ordinance No. 1817 establishing Chapter 3.32' Budget Provisions, which included section 3.32.040 "UUbudQ8ted Equipment Or Fixed Assets". TW1C 3.32.040 requires the approval of the Mayor and three affirmative votes ofthe respective Council Committee to approve the purchase of unbudgeted capital equipment or fixed assets, including components or Sen/icoa of it8nnG related to capital equipment or fixed 8SGe[S. Fixed asset items were defined as costing at least $1,000 and having a useful life of at least two years, Ordinance No. 2010. adopted in December 2002. changed the minimum limit for capital equipment from $1.00OtO$5,OOO. Other Goods and Services. TK8C section 3.32.030 "Bids" requires Council approval Of all purchases $4O thousand and above. DISCUSSION It is the City's responsibility to utilize taxpayers' dollars in the most effective and efficient way possible while adhering toapplicable laws and regulations. Council has established a$4O,OOO mayoral 8pp[OVa| limit for the procurement of goods and Sen/iC8S. COUOCi| 8pp[Ov@| is required for all purchases Of goods and services $40,000 and above. The process Vfobtaining Council approval for the purchase of the uDbVdgeted fixed assets between $5,000 and $40,000 takes Council and staff time and in an effort to streamline practices in accordance with LEAN principles, it is recommended that section 3.32.040 "UObUdgeted Equipment or Fixed Assets" be removed from the TK4C and the remaining TMC 3.32.030 "Bids" serve as Council control over procurement Of all goods and services, including unbudgg18d fixed assets. RECOMMENDATION Council is being asked to approve the Ordinance toamend Ordinance No. 2245 by removing section 3.32.040 "Unbudg8tHd Equipment or Fixed Assets". This item is scheduled for the April 24.2Oi7 Committee of the Whole, and the May 1,2O17 Regular Council Meeting. ATTACHMENTS Ordinance tO repeal Ordinance No. 2245. Copy Of Ordinance No. 2245 30 TAW AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, REPEALING ORDINANCE NO. 2245 §1 (PART), AS CODIFIED AT TUKWILA MUNICIPAL CODE SECTION 3.32.040, "UNBUDGETED EQUIPMENT OR FIXED ASSET ITEMS"; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the process for unbudgeted equipment or fixed asset items was originally adopted in 2002, and the City routinely reviews processes and procedures to validate their effectiveness; and WHEREAS, it is the City's standard operating procedure to ensure spending does not exceed the approved final budget, and eliminating this section of the code will streamline processes for greater efficiency; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: Section 1. Repealer. Ordinance No. 2245 §1 (part), as codified at Tukwila Municipal Code (TMC) Section 3.32.040, "Unbudgeted Equipment or Fixed Asset Items," is hereby repealed, thereby eliminating TMC Section 3.32.040. Section 2. Corrections by City Clerk or Code Reviser. Upon approval of the City Attorney, the City Clerk and the code reviser are authorized to make necessary corrections to this ordinance, including the correction of clerical errors; references to other local, state or federal laws, codes, rules, or regulations; or ordinance numbering and section/subsection numbering. Section 3. Severability. If any section, subsection, paragraph, sentence, clause or phrase of this ordinance or its application to any person or situation should be held to be invalid or unconstitutional for any reason by a court of competent jurisdiction, such invalidity or unconstitutionality shall not affect the validity or constitutionality of the remaining portions of this ordinance or its application to any other person or situation. W: Word Processing\Ordinances\Repeal ordinances relating to TMC 3.32.040 4-12-17 CZ:bjs Page 1 of 2 31 Section 4. Effective Date. This ordinance or a summary thereof shall be published in the official newspaper of the City, and shall take effect and be in full force five days after passage and publication as provided by law. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of )2017. ATTEST /AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk APPROVED AS TO FORM BY: Rachel B. Turpin, City Attorney Allan Ekberg, Mayor Filed with the City Clerk: Passed by the City Council: Published: Effective Date: Ordinance Number: W: Word Processing\Ordinances\Repeal ordinances relating to TMC 3.32.040 4-12-17 CZ:bjs 32 Page 2 of 2 y ut iukwila Washington Ordinance No. AN ORDINANCE OF THE CITY COUNCIL oiz "rHE CITY OFTLJKWILA, WASHINGTON, AMENDING REGULATIONS REGARD]NG, 1311.) PROCEDURES AND ADDING EMI.,"I((',,ENCY I"ROCUREMEN'T PROVISIONS; REPEALING ORDINANCE NOS. 2010 AND 1.817, AS CODIIJED AT TUKWILA MUNICIPAL CODE CHAPTEER, 132, PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN E" FFE("riv F DATE. WHEREAS, the City of Takwila seeks tc), e tablish an authorized lovel of prc)curement, vhich allows for effective and efficient operation of the City's busilless by the Mayor gar department directors; and WHEREAS, the authorized level of purchasing by the Mayor has ren'lailled at the same imountsince'1997; and WHEREAS, the City of'Fukwfla seeks tc) establish an emerglency purchasing policy consistent With State law; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY ORDAINS AS FOLLOWS: Section 1. Regulations Aniended.Tukwfla Municipal Code Chapter 332, "Buidg(l J-Irovision,,," is hereby amended to read as follows:: 3.32,010Transfers. Pursuant to RC VV 35A.33120, transfers within, as departimen� or division of the separate funds of the annual budget shall be by formal motlon of the City ( buncil ,3.32.020 Salary Increase. No saL)ry shafl be increased above the amount provided therefor in die annual bud�g,et and specified in the adopted salary pian of the (" ity. Salaric,s may be iricreased subsequ(mit to salary plan changes formally approved by the City Coumcj� 3.32.030 Bids. When pr(sVided for ill tile anlival budget, the Mayor is authorized to call for bids on public works projects or procure goods or profcssronal services when the project 01` procurement, ioClUding change orders or a rnend mci its, does riot exceed $40,000. 3. 32.040 Unbudgeted Equipment or Fixed Asset Items, Ali), unbudgeted capital equipment or fixed asset itens, including, cornponenvs or servic(,,as of items, shati be approved by the Mayor and three affirmative votes 0 the respective Council coll-mlittee assigned to the requesting department, "Frxed asset" items are defined as costing at least $5,000 and havii)g as LISCfUl life of at least two years, W 'Word PmO%Pons @ kk' 3 32 doc Yf kmi 07/14/200() 11age 1 of'2 33 3.32.050 Emergency Procurement. The Mayor or City Administrato)r is 1wreby authorized to waive corropetifive bidding requirements in the event of an emergerx'y, as defined by RCW 39,04.280(3), Such an emergeacy,will be, declared in wrifind; b y thie Mayo,)r or City Administra tor. 1 : he City Council will meet within two weeaks following, thcw award ()f' the contract io) consider adoption of as resolution cortifying that the emergency situation existed and for approval of the procurement. Section 2. Repealer. Ordinance Nos. 2010 and 1817, as codified at Tukwda Municipal Code Chapter 332, "Budget Provisions," are hereby re peale(t Section 3. Severability, If any section, subsection, para�,';Iraph, sentence, Clause or phrase of this ordinance or its application to any person or situation should be held to be imalicl or unconstitutional for any reason by as court of cornpetent �uriso:ficdon, such, invalidity or unconstitutionality shall not affect the validity or Constitutionality of the remaining portions of this ordinance or its application to any other person or situation. Section 4. Effective Date. 'Ihis ordinarice or a surnmar ' y thereof shall be published in the official newspaper of the City, and shall take effect and be in full forCe and effect five days after passage and I)LI11fiCatiOrl as provided by law. PA,SSET) BY THE CITY C0LJNCJ1,OFTH'F, WASHINGTON, ata Regular Meeting thereof this day of 2009, A'I " I'Egl'/ A ,Y'ri 'JENTICATFI)- Christy, O'Flaherty, CNIC, City derk APPROVED ASJ A M BY: 6ifim' 16, the City t rlle . . ................ ............................................... Jin a gger , An or ..... Filed with the City Clerk: Passed by the City C "'OUTIct ublished: E ff ecfive ---------- Ordinance Nunrl'.)er: 1 ) U I - W \Wwd Pnmsions `9 ifla 3, aQ doc 34 Sto k%n 07/W2009 11age 2 of2 SUMMARY OF Ordinance No. 2245 City of Tukwila, Washington On July 20, 2009 the City Council of the City of Tukwila, Washington, adopted Ordinance No. 2245, the main points of which are summarized by its title as follows: AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, AMENDING REGULATIONS REGARDING BID PROCEDURES AND ADDING EMERGENCY PROCUREMENT PROVISIONS; REPEALING ORDINANCE NOS. 2010 AND 1817, AS CODIFIED AT TUKWILA MUNICIPAL CODE CHAPTER 3.32; PROVIDING FOR SEVERABILITY; AND ESTABLISHING AN EFFECTIVE DATE. The full text of this ordinance will be mailed upon request. Approved by the City Council at a Regular Meeting thereof on July 20, 2009, QQ Christy O'Flahert, CMC, City Clerk Published Seattle Times: July 23, 2009, WAOrdSuninianes\Summary Ord 2245.doe 35