05-12-26 City Council Workshop Packet

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26 | Page original order was placed with vendor and it is not feasible or practicable to contract separately for the additional need. • The purchase must match the existing piece or brand of equipment and is only available from one vendor. Sole source purchases must still follow the purchase process required based on the amount being purchased. For example, if the purchase is expected to exceed the State Statute (MSS 471.345), a competitive bidding process must be followed even if the expectation is that only one bid will be received. Emergency Management Under Minnesota’s Emergency Management Act (Minn. Stat. §12.01-12.61), the City has the authority to enter into contracts during an emergency without following many normally required procedures. An emergency is defined “an unforeseen combination of circumstances that calls for immediate action to prevent a disaster from developing or occurring.” A disaster is “a situation that creates an actual or imminent serious threat to the health and safety of persons, or a situation that has resulted or is likely to result in catastrophic loss to property or the environment, and for which traditional sources of relief and assistance within the affected area are unable to repair or prevent the injury or loss.” During an emergency or disaster, the City Council may waive compliance with the time- consuming procedures or formalities concerning: 1. The performance of public work; 2. Contracting; 3. Incurring obligations; 4. Renting equipment; and 5. Purchasing supplies and materials. Emergency purchases will only be allowed when the mayor issues a proclamation declaring an emergency, and the steps listed in Minn. Stat. §12.29 are completed. Withholding Certificates (IC134) No state agency or local unit of government can make final payment to a contractor until the Department of Revenue has certified that the contractor and any subcontractor have fulfilled the requirements of Minnesota withholding tax laws. If you are a prime contractor, a contractor or a subcontractor who did work on a project for the state of Minnesota or any of its local government subdivisions — such as a county, city or school district — you must submit a Contractor Affidavit to the Department of Revenue to receive a certificate of compliance. Contract Change Orders Change orders may occur due to City driven changes, errors and omissions, field directives, unforeseen/hidden conditions, regulatory requirements or changes that are contractor driven. Changes that need to be made during construction need to be addressed and approved in a timely manner in order to keep the project on schedule.