317/2023 item 8
City Council
Meeting
Item #8 (RTC 23-264)
Action to Waive First Reading and Approve
CITY OF Introduction of an Ordinance Amending
Sections 17.30.040, 17.30.080, 17.30.090,
17.30.120, and 17.30.130 of the Santa Clara
1852 City Code to Provide the Executive
Director of the Stadium Authority With
THE MISSION CIT Signature Authority For Contracts Up To $100,000 in Allocated Value
March 7, 2023
City of
Santa Clara
The Center of What's Possible
Background
• In October 2019, Council approved Ordinance No. 2005 which rescinded Executive Director's authority to enter into
agreements without Board approval.
• Prior to Ordinance No. 2005, the Executive Director had delegated authority to enter into contracts to acquire supplies, materials, and equipment with a contract amount less than $250,000 and for services with a contract amount up to and including $250,000.
• Chapter 17.30 is silent on delegated signature authority for , public works projects.
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City of
Santa Clara
The Center of What's Possible
Background Cont.
• Stadium Manager has authority to execute contracts on behalf of Stadium Authority to the extent the Executive Director has such authority pursuant to Sections 17.30.010 - 17.30.180 (Section 2.1 of First Amendment to the Stadium Management Agreement). • As result of Ordinance No. 2005, Stadium Manager is also required to request Board approval before entering into agreements on behalf of Stadium Authority.
3 City of
Santa Clara
The Center of What's Possible
Background Cont.
• Section 5 of the August 31, 2022 Settlement Agreement and Mutual Release between Stadium Authority, Stadium Manager, and StadCo provides that staff will recommend for Council consideration an Ordinance to reinstate the Executive
Director's signature authority to execute contracts
that are no greater than $100,000 in value to Stadium
Authority.
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City of
Santa Clara
The Center of What's Possible
Proposed Changes
• Proposed amendments to Sections 17.30.040, 17.30.080, 17.30.090,
17.30.120, and 17.30.130 Will:
1. Remove language that requires Board approval for contracts in any amount; and
2. Provide Executive Director with signature authority to execute contracts for services and public works and to acquire supplies, goods and equipment in an amount up to and including $100,000 as allocated to and authorized by the Stadium Authority by adoption of the annual budget.
• Changes were coordinated with Stadium Manager's Director of Procurement.
City of
Santa Clara
The Center of What's Possible
Contract Thresholds
• Settlement Agreement states: "in value to the Stadium Authority".
• Most Shared Expenses are split 50/50 between Stadium
Authority and StadCo (Tenant of Levi's Stadium), except for Groundskeeping (70/30 split - StadCo responsible for larger share).
• Contracts for Shared Expenses will not require Board approval until they reach $200,000 or $333,333 (Groundskeeping only) in total value.
3 City of
Santa Clara
The Center of What's Possible
Future Work Efforts
• Updates to other sections/provisions in Chapter 17.30 to better align with public procurement best practices and address existing gaps within policy.
• Stadium Manager and Stadium Authority staff will work on these updates for a subsequent Ordinance for Council approval. • Stadium Manager will follow Chapter 2.105 City's purchasing requirements as a best practice and continue practice of conducting public works as set forth under City Charter Section 1310.
City of
Santa Clara
The Center of What's Possible
Staff Recommendation
• Waive First Reading and approve the Introduction of an Ordinance amending Sections 17.30.040 ("Supplies, Goods and Equipment"),
17.30.080 ("Best Value Selection Procedures"), 17.30.090 ("Formal Bidding Procedure"), 17.30.120 ("Service Contracts - Signature Authority"), and 17.30.130 ("Public Works") of Title 17 ("Development") of "The Code of the City of Santa Clara, California" to provide the Stadium Authority Executive Director with signature authority to execute contracts for services and public works and to acquire supplies, goods, and equipment, in an amount up to and including $100,000 as allocated to and authorized by the Stadium • Authority by adoption of the annual budget.
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