DATE:
September 3, 2024
TO:
Paul Buddenhagen, City Manager
FROM:
Pedro Jimenez, Assistant City Manager
SUBJECT:
Resolution Of The City Council Of The City Of Emeryville Increasing The Purchasing Authority Of The City Manager From $45,000 To $75,000 For All Purchases, Including Professional Services, General Purchases Such As Supplies, Equipment And Leases, And “Public Projects” As Defined By The California Public Contract Code Recommendation
Staff recommends that the City Council approve the attached resolution increasing the purchasing authority of the City Manager from $45,000 to $75,000 for all purchases, including professional services, general purchases such as supplies, equipment and leases, and “public projects” as defined by the California Public Contract Code.
Background
The City Manager, who is also the City’s Purchasing Officer, currently has purchasing authority of up to $45,000. Purchases in an amount greater than $45,000 are brought to the City Council for review and approval. The City Manager’s purchasing authority was last increased from $25,000 to the current $45,000 limit in 2014.
Discussion
Changing the purchasing authority of the City Manager from $45,000 to $75,000 will mean that the City Manager can execute contracts up to $75,000 without City Council approval. This adjustment will accelerate the acquisition, processing, and delivery of essential City services and goods, leading to enhanced purchasing efficiency. This adjustment will not impact the applicable procurement methods for contracts, as set forth in AI 605.
Raising the City Manager’s purchasing authority to $75,000 is consistent with policies adopted by neighboring cities. Since 2014, inflation has increased by around 15.8%, while the expenses linked to services and supplies have escalated by roughly 17.2%. After factoring in inflation since 2014, the value of $45,000 would equate to approximately $52,000 in 2024. The following table summarizes administrative expenditures limits in nearby jurisdictions:
On August 13, 2024, the Budget and Governance Committee approved the recommendation to increase the City Manager’s purchasing authority to $75,000.
Fiscal Impact
There is no fiscal impact in adopting the proposed change.
Staff Communication with the Public
There has been no communication with the public.
Conclusion
Staff recommends that the City Council approve the attached Resolution increasing the purchasing authority of the City Manager from $45,000 to $75,000 for all purchases, including professional services, general purchases such as supplies, equipment and leases, and “public projects” as defined by the California Public Contract Code PREPARED BY: Pedro Jimenez, Assistant City Manager
Approved and Forwarded to the
City Council of the City of Emeryville:
Paul Buddenhagen, City Manager
Attachments
Draft Resolution
AI 0605 Purchasing and Accounts Payable
Increasing City Manager Purchasing Authority
City Council Meeting | September 3, 2024
City of Emeryville
CALIFORNIA
MEMORANDUM