§ 66-4. Purpose and definitions.

(a)

Purpose. The purpose of this chapter is to implement Section 4.04 of the City Charter, and, consistent therewith, to:

(1)

Provide a uniform system for procurement and supply management;

(2)

Ensure a system of quality and integrity in procurement;

(3)

Simplify, clarify, and modernize methods governing procurement;

(4)

Maximize open competition;

(5)

Maximize the purchasing value of public funds;

(6)

Provide for public confidence in procedures followed in public procurement;

(7)

Promote fair treatment to all suppliers of goods, services, and construction; and

(8)

Encourage participation by local businesses.

(b)

Definitions. As used in this chapter, the following words and terms shall have the meanings respectively ascribed:

Broker means a business which purchases goods or services from another business or businesses for the sole purpose of resale to the city, or to a contractor doing business with the city, or to any subcontractor or sub-subcontractor doing work under a city contract.

Budget means the annual appropriations for each user department established by resolution of the city commission, together with resolutions amending the annual appropriations.

Budget detail means the proposed expenditures which appear specifically in the budget and are sufficiently described as to the nature and estimated amount of the goods, service, or construction to be procured.

Business net worth means total business assets minus total business liabilities. If the applicant owns more than one business, all of the businesses are included in the calculation.

Certified or certification means official recognition of the minority/women business enterprise status of a business by the city.

Completed procurement means the occurrence of the following: the city has executed a contract for the goods, services, or construction procured; and any appeals regarding the procurement have been resolved; or the city has determined that such goods, services, or construction are no longer needed and no further procurement solicitation will be issued.

Conduit means the minority/women business enterprise acting as a subcontractor to a contractor under a contract with the city, when the minority/women business enterprise does not perform the work under subcontract, but acts as a pass-through or broker, and instead the work under the subcontract is performed by a non-minority/women business enterprise.

Contractor means any person having a contract with the city.

Commercially useful business function means adding value to the services and goods supplied under contract. A business is considered to perform a commercially useful business function when it is responsible for execution of a distinct element of work of a contract and carrying outs its responsibilities by actually performing the work performed. Businesses that merely act as a conduit do not perform a commercially useful business function. In determining whether a business perform a commercially useful business function, consideration will include, but not be limited to, whether the business adds a value to the service or product provided; the amount of work subcontracted, industry practice; whether the business has a distributorship agreement with the manufacturer; whether the business warrants the product or service; whether the business provides the product or service to the public or other businesses.

Construction means services to construct, repair, alter, remodel, add to, demolish, subtract from or improve any building or structure, and related improvements to real estate including, but not limited to, services performed on bridges, roads and streets, or underground, and including construction management services and/or design/build services.

Debarment means the exclusion for cause of a contractor, consultant or vendor from bidding, proposing and/or receiving a contract to do business with the city.

Disparity study means the "City of West Palm Beach Disparity Study," dated August 2016, along with the Additional Report, dated June 2018, and any subsequent updates of the same.

Face of the city refers to any above ground changes involving streets, parks, buildings, or landscaping.

Goal means a targeted percentage level of minority/women business enterprise participation aspired to by the city. Participation goals shall be established as provided in this article unless prohibited by federal or state funding agencies for specific contracts.

Goods means supplies, materials, products, machinery, equipment, furniture, computers, vehicles, tools, and other tangible property used by the city.

Initiating a procurement means using a method other than merely seeking information which will result in a contract for goods, services, or construction for which the city is obligated to spend funds.

Minority or minorities means:

(1)

"African Americans," which includes persons having origins in any of the black racial groups of Africa;

(2)

"Hispanic Americans," which includes persons of Spanish or Portuguese culture with origins in Mexico, Puerto Rico, Cuba, Central or South America or the Caribbean Islands;

(3)

"Asian Americans," which includes persons having origins in any of the original peoples of the Far East, Southeast Asia, the Indian Subcontinent, or the Pacific Islands.

a.

"Far East" is defined to include China, Hong Kong, Macao, Japan, Korea, Taiwan and the Philippines.

b.

"Southeast Asia" is defined to include Burma, Kampuchea, Laos, Thailand, Vietnam, Malaysia, Brunei, Borneo, Indonesia and Cambodia.

c.

"Pacific Islands" is defined to include Micronesia, Polynesia, Melanesia and the area consisting of the Hawaiian Islands prior to 1778.

d.

"Indian Subcontinent" is defined to include India, Bangladesh, Sikkim, Nepal, Pakistan and Bhutan.

MWBE or minority/women business enterprise means a business that is either a minority-owned business enterprise or a women-owned business enterprise, or both. A M/WBE is any business concern which is organized to engage in commercial transactions, which is domiciled in Palm Beach County, and which is at least 51 percent owned by minority persons and/or women, whose management and daily operations are controlled by such persons, which has been subject to underrepresentation in participation of city contracts as identified in the disparity study, and which meets the certification requirements of this chapter.

Owned means having all the customary incidents of ownership, including the right of disposition, and the right or obligation to share in all risks and profits commensurate with the degree of ownership interest.

Pass-through means buying or obtaining goods or services from a non-minority/women business enterprise and reselling or transferring those goods or services to the city, to city contractors, or to other persons doing business with the city for the purpose of obtaining any advantage or benefit conferred under this article, without performing a commercially useful function.

Prime contractor means any person who has a contract directly with the city to provide goods, services, professional services or construction services.

Procurement solicitation means an invitation to bid, request for proposal, invitation to negotiate, invitation to participate, or any other form of procurement by competitive selection issued by the city.

Professional services has the same meaning as is provided for that term by F.S. § 287.055(2), as that subsection may from time to time be amended or replaced.

Respondent means a bidder, proposer, or other individual, firm, corporation, or business that submits a response to any form of procurement solicitation issued by the city.

Services means any labor, time and effort, professional expertise, consulting, insurance, maintenance, cleaning or other outside assistance used by the city.

Sheltered market means a program under which certain contracting opportunities are made available only to certified SBEs or MWBEs.

(Ord. No. 4292-10, § 2, 12-13-2010; Ord. No. 4679-18, § 6, 12-17-2018)