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City of Santa Clarita saves $200K through competitive shopping

Posted: February 13, 2009 11:02 p.m.
Updated: February 14, 2009 8:00 a.m.
The city of Santa Clarita saved nearly $200,000 in the last fiscal quarter through the use of the competitive process in purchasing.

By shopping around for the best price for projects and procurements, the city proactively ensures that public funds are spent in the most responsible manner.

The city's purchasing policy, established in the municipal code, states that most purchases costing $2,000 or more require a purchase order and at least three competitive quotes or responses from prospective bidders.

Purchases of $20,000 or more, except professional services and public projects, must go through a formal bid process where city staff creates a bid package explaining the product up for bid.

Bid information is posted on Santa Clarita's Web site and is also sent to vendors. Practicing its own advocacy to shop local, the city goes above and beyond to ensure that every chance to bid on city projects and procurements is available to our local businesses.

In addition to steps taken to advertise business opportunities, the city enacted a Support of Santa Clarita Businesses policy from the Municipal Code.

This policy provides a process that may award business opportunities to local companies within 5 percent of the low bid.

Purchases made through the formal bid process are awarded to the lowest responsive bidder meeting all requirements.

"Our money is the public's money," said Mayor Frank Ferry. "Last quarter's savings reflect our efforts to do everything possible to spend it in the most conscientious and cost effective manner."

Santa Clarita's purchasing process creates healthy competition and tests the marketplace periodically, allowing for savings that may not be possible without allowing other businesses to propose more cost effective and efficient responses. The city also makes a point to award purchases to local businesses with the lowest responsive bid whenever possible.


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