Page 136 - Yucaipa Valley Water District - Board Workshop

Workshop Memorandum 18-238

Date: October 9, 2018

Prepared By: Allison M. Edmisten, Chief Financial Officer

Subject: Review the Updated Procurement Policy for the Yucaipa Valley Water District

During the most recent year-end financial audit, District staff became aware that our procurement
policy was out of date and needed to be updated. Attached is a revised version of the District’s
current procurement policy that was adopted by the Board on June 20, 2007 [DM 07-070].

The changes to the procurement policy include:
• Definitions – “Formal Solicitation” (Page 1): clarified that all vendors should receive
the same information regarding scope/specifications and all responses received
must be kept in confidence until the bid is awarded.
• Section 1.9 (Page 3): Added “expenses, lodging and meals” to the Travel line item.
• Section 2.5 (Page 4): New language to clarify the first level of approval should
ensure the quotes are in accordance with the procurement policy.
• Authorization Table (Page 4): Updated titles across the top and changed the
Manager limit from $10,000 maximum to $25,000 which is in line with how the
District has been operating.
• Section 3.1 Table (Page 5): Changed the lower limit to $4,999 maximum and
updated language to state “Solicit two informal (phone/written) quotes whenever
practical.”
• Section 3.3: Clarified when it is appropriate to use a sole source vendor and how
it should be documented.
• Section 3.4: Added language to address the new Department of Industrial
Relations (DIR) requirements the District currently follows.

Legal counsel has reviewed the recommended policy as well as our auditors Vavrinek, Trine, Day
& Company, LLP.

Financial Consideration

There is no financial impact to the District by updating the procurement policy.

Yucaipa Valley Water District - October 9, 2018 - Page 136 of 172