Procurement Policies and Procedures

3.0 Procurement Methods when Competitive Bidding and Public

Advertising are Required

3.03 Contracts for Professional Services

Contracts for professional services are used when procuring services such as engineering services, architectural services, construction management services, surveying services, or energy related services that have as their purpose the reduction of energy costs in public facilities. TCA 12-4-107 and 12-4-110 authorizes cities to obtain qualifications and experience information from firms licensed in the state. Once this information is obtained, the city’s Purchasing Assistant and/or a selection committee will review the submitted information, interview the top-ranked firms as needed and deemed appropriate to discuss and evaluate their qualifications, and select the most qualified firm to provide the requested services based on qualifications, experience, and competence, not solely on cost. Once a qualified firm has been selected, the Purchasing Assistant will negotiate a proposed contract including scope of work, schedule, price, and other terms. If a contract cannot be agreed upon with the selected firm, the next qualified firm(s) will be given the opportunity to negotiate a contract until a satisfactory contract is reached. Once a proposed contract has been agreed upon, the City Attorney will review the contract and the City Council will then consider the contract for approval in a public meeting.

If the city has a satisfactory existing working relationship with a professional services firm, wants to continue that working relationship, and the firm has the technical competencies to perform the requested work, the above process is not required to be performed.

For projects funded in whole or in part by the U.S. Department of Transportation, Federal Highway Administration, or Tennessee Department of Transportation, the city shall follow the consultant selection policy as contained in the Local Government Guidelines Form 1-2 as adopted by the city.

Furthermore, the selected professional service firm shall provide, in addition to other required insurances, professional liability insurance covering the performance of their contract with policy limits of not less than $1,000,000 per claim and $3,000,000 in the aggregate.

3.04 Request for Proposals (RFP) for Construction Management Services

For construction projects or additions to existing city buildings, the city may elect to use a licensed architect, or a licensed engineer, or a construction management service to oversee those projects. TCA 12-4-107 authorizes cities to procure construction management services through a written request for proposal (RFP) process that is publicly advertised. The RFP process would state the services needed and the factors used for evaluating the proposals. The evaluation factors typically include the qualifications of assigned personnel, experience on similar projects, fees, costs, and any other additional factors deemed relevant by the city. Once a proposed contract has been agreed upon, the City Attorney will review the contract and the City Council will then consider the contract for approval in a public meeting to the best qualified and responsive responder.

A construction manager is prohibited from conducting actual construction work on a project he is overseeing the planning, bidding, or construction except in instances where bids have been solicited twice and no bids submitted where a good faith effort was made and a price has been agreed upon by the city. The city may perform work on a construction project with its own employees and may include the oversight of the work by a construction manager. However, all actual construction work shall be by competitive sealed bids opened at a public bid opening and names of the contractors and their bid amount announced.

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