Osage City Council
City to revise purchasing, bidding practices

DeAun Michael
Reporter

OSAGE CITY—A proposed policy statement and handbook, documenting the city’s purchasing and professional services selection practices, were presented to the Osage City Council at their regular meeting Nov. 12.

The current purchasing policy dates back to 1986. The revised policy will document current purchasing practices, and letting bids for purchases and services by the city manager and department heads. The proposed Purchasing Policy and Professional Services Selection Handbook contains guidelines for use by all city staff for making purchases under and over $10,000. Guidelines for requesting proposals and requesting qualifications for services or items are also included.

Osage City Manager Nick Hernandez noted the policy does not include a “local preference” provision.

“The reason behind not having a local preference is if we start going out for bid statewide or in multiple states, and they find out we have a local preference, then they may be reluctant to bid next time,” he said. “It’s another way for us to make sure the citizens get the best deal.”

In Osage City, the city manager has purchasing authority up to $10,000. However, Hernandez said, “Ninety-nine percent of the time for any non-typical item over a few thousand, I would come to the council for approval.”

Most items except for low value items will be let for bid in order to obtain the best price for the city, he said.

Department managers are able to purchase items within their department budget less than $10,000, however these are also generally subject to competitive practices and bidding.

“If it is something that is not budgeted and not yet approved, what would be the policy for a department head to obtain approval?” asked councilman Frank Towle.

Hernandez said department heads would have to come to him and the city treasurer to make sure funds are available for that purchase, make a presentation with at least three bids and include justification for the item. The information would then be reviewed and submitted for approval by the city manager, city treasurer and city clerk.

The council will further review the purchasing policy and handbook and it will be presented as a resolution for approval at the next council meeting.

Council also discussed the need to approve the 2007 and 2008 annual municipal audit contracts in order to get the audit process back on schedule after the 2006 audit.

“We need to get up to date,” Hernandez said. “After these two years are complete, and we get back on track, we will go back to a bid situation.”

The council unanimously approved the 2007 and 2008 audit contracts with Anderson & Eldridge, P.A.

In other business, the council:

• appointed Tracy Watkins as member of the Parks and Recreation Commission.


• annexed property at 1121 N. 15th St., owned by Bruce and Dawn Schoepflin, into the city limits.

• approved an ordinance that includes the comprehensive fee schedule presented at a previous meeting which includes various changes to utility, municipal court and parks and recreation fees.

•  adjourned to an executive session for 10 minutes to discuss attorney/client matters. No action was taken, following the closed-door session.