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AN ORDINANCE TO UPDATE CITY OF JONESBORO PURCHASING GUIDELINES TO REFLECT AMENDMENT TO STATE OF ARKANSAS LEGISLATIVE PURCHASING PROCEDURES
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WHEREAS, Act 435 of the 2021 Arkansas Legislative session amended state required purchasing procedures; and
WHEREAS, municipal governing bodies shall provide by ordinance the procedure for making all purchases that do not exceed the sum set forth in Ark. Code Ann. 14-58-303; and
WHEREAS, with the proposed update of purchasing guidelines, the approval authority of the Mayor (or designee) remains unchanged.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF JONESBORO, ARKANSAS THAT:
SECTION 1: Purchases up to $2,000.00 (before sales tax and freight) shall include a purchase requisition and supporting invoice approved by the Department Manager (or designee).
SECTION 2: Purchases between $2,001.00 and $5,000.00 (before sales tax and freight), excluding usual, customary and ongoing service or maintenance of city owned equipment, shall include not less than three documented telephone quotes. Approval of the Mayor (or designee) and Finance Director (or designee) will be required. In instances where three or more documented telephone quotes are not obtainable, the Purchasing Agent shall document the said reasons therefore.
SECTION 3: Purchases up to $3,000.00 (before sales tax and freight), relating to usual, customary and ongoing service or maintenance of city owned equipment, shall include a purchase requisition and supporting invoice approved by the Department Manager (or designee).
SECTION 4: Purchases above $5,001.00, but less than the amount set forth in Ark. Code Ann. 14-58-303 (before sales tax and freight) shall include not less than three written bids or documented quotes. Approval of the Mayor (or designee) and Finance Director (or designee) will be required. In instances where three or more written bids or documented quotes are not obtainable, the Purchasing Agent shall document the said reasons therefore.
SECTION 5: Purchases that exceed the amount set forth in Ark. Code Ann. 14-58-303, currently $35,000.00 (before sales tax and freight), the Purchasing Agent shall follow the competitive bidding procedures as outlined in Ark. Code Ann. 14-58-303.
SECTION 6: Beginning January 1, 2025 and on each January 1 at subsequent five-year intervals, Ark. Code Ann. 14-58-303 provides that the amount in section 5 shall be adjusted to reflect the percentage increase in the Consumer Price Index for All Urban Consumers. The adjusted increase and corresponding updated amount, requiring competitive bidding, shall be provided by the Department of Finance and Administration.
SECTION 7: All Ordinances and parts of Ordinances in conflict herewith are hereby repealed.
PASSED AND APPROVED THIS 20TH DAY OF JUNE, 2023.