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4.10 4.10 Labor&Policy\Uniform Guidance for Federal Awards Relating to Town Purchasing Policy—8-6-18 RESOLUTION AUTHORIZING ADOPTION OF UNIFORM GUIDANCE FOR FEDERAL AWARDS RELATING TO THE TOWN'S PURCHASING POLICY RESOLUTION NO.: ,2018 INTRODUCED BY: WHO MOVED ITS ADOPTION SECONDED BY: WHEREAS, The Town of Queensbury previously adopted a Town of Queensbury Purchasing Policy(Policy), and WHEREAS, in order for municipalities who receive federal grant funds or anticipate receiving federal grant funding, municipalities must adopt Uniform Guidance for Federal Awards as part of their Procurement Policies, and WHEREAS, the Town Board wishes to accordingly adopt the Uniform Guidance for Federal Awards which relates to the Town's Purchasing Policy to comply with federal requirements as presented at this meeting, NOW, THEREFORE, BE IT RESOLVED, that the Queensbury Town Board hereby adopts the Uniform Guidance for Federal Awards which relates to the Town's Purchasing Policy and which details additional rules to be followed in the case of Federal Awards in substantially the form presented at this meeting, and BE IT FURTHER, RESOLVED, that the Town Board further authorizes and directs the Town's Purchasing Agent or Budget Officer to distribute copies of the Uniform Guidance for Federal Awards modifying the Town Purchasing Policy in the case of Federal Awards to all Town Department Managers, and BE IT FURTHER, RESOLVED, that the Town Board further authorizes and directs the Town Supervisor, Budget Officer and/or Purchasing Agent to take any actions necessary to effectuate the terms of this Resolution. Duly adopted this 6ffi day of August, 2018 by the following vote: AYES NOES ABSENT : A Uniform Guidance for Federal Awards Purpose. The Code of Federal Regulations (CFR) Title 2 Part 200 (subparts A-F) of the "Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards" requires organizations receiving Federal awards to establish and maintain effective internal controls over Federal awards. This includes those instances where the Town of Queensbury (Town) is a sub-recipient of the state. General Policy Statement. The Town does not have a centralized grants department, therefore, it is the responsibility of each department obtaining a grant to be familiar with and follow all grant documents and requirements. For the purpose of this policy, "Program Director" shall apply to the individual(s) within a given Town Department who will be responsible for the grant. A list of the name(s) of the Program Director(s) along with the corresponding grants that they oversee shall be supplied to the Town Supervisor. To comply with 2 CFR Part 200 (subparts A-F), the Town implements policies and procedures to include, but not be limited to, those contained herein. In addition, Appendix I1 to Part 200 - Contract Provisions for Non-Federal Entity Contracts under Federal Awards shall be applicable and is on file in the Accounting Department. §200.318 General Procurement Standards. A. The Town will use its own procurement procedures which reflect applicable State and Local Laws and Regulations, provided that the procurements conform to applicable Federal Law and Uniform Guidance. As such, Town procurements related to Federal grants will be subject to New York State General Municipal Law,the Town's Purchasing Policy and Uniform Guidance Requirements. B. The Program Director within each Department shall maintain oversight to ensure that contractors perform in accordance with the terms, conditions, and specifications of their contracts or purchase orders. C. No employee, officer or agent may participate in the selection, award, or administration of a contract supported by a Federal award if he/she has a real or apparent conflict of interest. Such a conflict of interest would arise when the employee, officer or agent, any member of his/her immediate family, his/her partner, or an organization which employees or is about to employ any of the parties indicated herein, has a financial or other interest in or a tangible personal benefit from a firm considered for contract. The officers, employees and agents of -1- the Town may neither solicit nor accept gratuities, favors, or anything of monetary value from contractors or parties to subcontracts. Standards for situations in which the financial interest is not substantial or the gift is an unsolicited item of nominal value shall be governed by the Town's Code of Ethics. The Code of Ethics provides for enforcement actions to be applied for violations of such standards by officers, employees, or agents of the Town. D. The Town will avoid acquisition of unnecessary or duplicative items. Consideration should be given to consolidating or breaking out procurements to obtain a more economical purchase. Where appropriate, an analysis will be made of lease versus purchase alternatives, and any appropriate analysis to determine the most economical approach. E. The Town may enter into state and local intermunicipal agreements, where appropriate, for procurement or use of common or shared goods and services. F. The Town may consider Federal excess and surplus property in lieu of purchasing new equipment and property whenever such use is feasible and reduces project costs. G. The Town may use value engineering clauses in contracts for construction projects of sufficient size to offer reasonable opportunities for cost reductions. Value engineering is a systematic and creative analysis of each contract item or task to ensure that its essential function is provided at the overall lower cost. H. The Town will only award contracts to responsible vendors and will document, in writing, such determination. To aid in the documentation process, the "Vendor Responsibility Questionnaire" shall be included in any competitive solicitations issued that will use Federal grant funding. §200.213 Suspension and debarment shall also apply: 1. A contract award must not be made to parties listed on the government- wide exclusions in the System for Award Management (SAM), in accordance with OMB guidelines at 2 CFR 180 that implement Executive Orders 12549 and 12689 "Debarment and Suspension". 2. The Town will include a suspension/debarment clause within its "Standard Clauses for Federal Awards"requiring the vendor/contractor to certify that it is not suspended or debarred. The contract will also contain language requiring the vendor/contractor to notify the Government immediately upon becoming suspended or debarred. 3. The Program Director within each Department shall be required to check -2- the Vendor/Contractor's name through SAM to determine any exclusion. A copy of the SAM search shall be included with the contract documentation. To register on the SAM website, use this link: https://www.sam/goy/portal/SAM#1 4. If a Vendor/Contractor is found to be suspended or debarred, the Town will immediately cease to do business with the vendor. I. The Program Director within each Department shall maintain grant files. Documentation must include a significant history of the procurement, including the rationale for the method of procurement, selection of contract type, contractor selection or rejection, and the basis of contract price. J. The Town will only utilize time and material contracts when it has been determined that no other contract type is suitable. K. The Town must be responsible, in accordance with good administrative practice and sound business judgment for the settlement of all contractual and administrative issues arising out of procurements. These issues include, but are not limited to, source evaluation, protests, disputes, and claims. These standards do not relieve the Town of any contractual responsibilities under its contracts. The Federal awarding agency will not substitute its judgment for that of the Town unless the matter is primarily a Federal concern. Violations of law will be referred to the local, state, or federal authority having proper jurisdiction. §200.319 Competition. A. Procurements will provide for full and open competition as set forth in the Uniform Guidance, or State and local procurement policy/law, whichever is most restrictive. B. The Town shall conduct procurements in a manner that prohibits the use of statutorily or administratively imposed state, local or tribal geographical preferences in the evaluation of bids or proposals, except in those cases where applicable Federal statutes expressly mandate or encourage geographic preference. §200.320 Methods of Procurement to be Followed. [See Appendix C Competitive Procurement Standards for further information that pertains to all competitive solicitations.] Procurement by noncompetitive proposals is procurement through solicitation of a proposal from only one source and may be used only when one or more of the following circumstances apply: -3- ,e A. The item is available only from a single source. Documentation from the manufacturer must be provided to substantiate this. B. The public need or emergency for the requirement will not permit a delay resulting from competitive solicitation. This should not be the result of poor planning. C. The Federal awarding agency or pass-through entity expressly authorizes noncompetitive proposals in response to a written request from the County. D. After solicitation of a number of sources, competition is determined inadequate. §200.321 Contracting With Small and Minority Businesses, Woman-Owned Business Enterprises and Labor Surplus Area Firms. A. The Town shall take all necessary affirmative steps to assure that minority businesses, woman-owned business enterprises, and labor surplus firms are used when possible. Steps to include: 1. Placing qualified small and minority businesses and woman-owned business enterprises on solicitation lists; 2. Assuring that small and minority businesses and woman-owned business enterprises are solicited whenever they are potential sources; 3. Dividing total requirements, when economically feasible, into smaller tasks or quantities to permit maximum participation by small and minority businesses, and woman-owned business enterprises; 4. Establishing delivery schedules, where the requirement permits, which encourage participation by small and minority businesses and woman- owned business enterprises; and 5. Requiring the prime contractor, if subcontracts are to be let, to take the affirmative steps listed in paragraphs 1-4 of this section. §200.323 Contract Cost and Price. The Town must perform a cost or price analysis in connection with every procurement action in excess of the Simplified Acquisition Threshold (as of December 2017 - $150,000) including contract modifications. The method and degree of analysis is dependent on the facts surrounding the particular procurement situation, but as a starting point, the County will make independent estimates before receiving bids or proposals. Costs or prices based on estimated costs for -4- contracts under the Federal award are allowable only to the extent that costs incurred or cost estimates included in negotiated prices would be allowable for the Town under Subpart E - Cost Principles of this part. The cost plus percentage of cost and percentage of construction cost methods of contracting will not be used. §200.324 Federal Awarding Agency or Pass-Through Entity Review. The Town shall make available, upon request of the Federal awarding agency or pass-through entity, technical specifications on proposed procurements where the Federal awarding agency or pass-through entity believes such review is needed. §200.325 Bonding Requirements. For construction or facility improvement contracts or subcontracts exceeding the Simplified Acquisition Threshold, the County shall require: A. A bid guarantee from each bidder equivalent to 5%of the bid price; B. A performance bond on the part of the contractor for 100% of the contract price; and C. A payment bond on the part of the contractor for 100% of the contract price. §200.326 Contract Provisions. Town contracts under Federal awards shall contain the "Standard Clauses for Federal Awards" in conformance with the provisions described in Appendix II to Part 200 - Contract Provisions for non-Federal Entity Contracts Under Federal Awards. Program Directors shall ensure that these clauses are included with any procurement contract that is part of a Federal award. MISCELLANEOUS\Uniform Guidance for Federal Awards—to Purchasing Policy—8-6-18 -5-