JANUARY 24, 2002
SUBJECT: SAFE PROCUREMENT POLICY
ACTION: APPROVAL OF SAFE’S PROCUREMENT POLICY
RECOMMENDATION
Approve the Procurement Policy (Attachment A), which includes the delegation of procurement authority to the SAFE Executive Officer, developed specifically for SAFE.
ISSUE
SAFE is authorized pursuant to California Streets and Highways Code Section 2554 to contract and undertake any act convenient or necessary to carry out its duties. However, SAFE currently has no specific procurement policies or procedures developed and/or approved for its own use.
POLICY IMPLICATIONS
The purpose of approving the Procurement Policy is to provide SAFE with specific Board approved guidelines as to how to conduct procurement activities for SAFE. The implication of this policy is to ensure the integrity of SAFE’s procurement process, while ensuring that purchases are made in a cost effective, timely manner; with fair and open competition; and in accordance with all applicable laws and regulations. Approval of the policy will enable SAFE to develop streamlined procedures developed to address SAFE’s business needs.
Included in the Procurement Policy is the delegation of procurement authority to the SAFE Executive Officer. The delegation is consistent with the delegated levels of authority approved by the Metro Board of Directors.
OPTIONS
The Board has the option of not approving the Procurement Policy. This option is not recommended as SAFE would continue to have no specific approved Procurement Policy to govern its procurement activities.
FINANCIAL IMPACT
Approval of this policy is expected to provide administrative efficiencies for SAFE through the implementation of streamlined procurement activities.
BACKGROUND
The Los Angeles County Service Authority for Freeway Emergencies was created in 1988 and assumed the installation, operation, maintenance and administration of the Los Angeles County Kenneth Hahn Call Box System from the County Department of Public Works. In March 1988 SAFE, then housed with the Los Angeles County Transportation Commission, adopted the use of LACTC’s procurement policy specifically for consultant services. In May 1988, the Court of Appeal, Fourth District, issued a ruling that SAFE’s were not subject to California Public Contract Code Section 20128 or 20162 and were therefore not required to engage in competitive bidding.
Since 1988, SAFE has continued to use Metro’s, and its predecessor LACTC’s, procurement policy and procedures to conduct SAFE procurement activities. However, because Metro’s procurement policies and procedures have been developed based upon requirements and regulations specific to the Metro, many of the policies and conditions do not apply and are not suitable for SAFE. This has required SAFE to continually revise and edit procurement documents developed based upon the Metro procurement policies and procedures. The development and approval of SAFE’s Procurement Policy will ensure that SAFE procurements are conducted consistently and within Board approved guidelines applicable to SAFE.
NEXT STEPS
Upon approval of the policy, SAFE will develop procedures consistent with the policy.
ATTACHMENT
A. Los Angeles County Service Authority for Freeway Emergencies Procurement Policy
Prepared by:
Kenneth Coleman
Program Manager
__________________________________
Roger
Snoble
Executive Officer
Service Authority for Freeway Emergencies