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91-1920 � .� �, .,��t--,�'c-�.�-�e.J �����.7:' . � ``�Council File # �— ���� � �,_.-�! ordinance #` /7��� Green Sheet #� �(c7�� ORDINANCE � TY OF SAINT PAUL, MINNESOTA � . , � _� Presented By �Z�%L�GI Refe Committee: Date 1 2 3 An ordinance creating Chapter 94 of the Saint Paul 4 Administrative Code to provide for a process of 5 suspension or debarment of persons from contracting 6 with the City of Saint Paul because of specific 7 infractions and a procedure for bringing complaints 8 regarding infractions and administering their 9 resolution; said Chapter to be entitled "Debarment or 10 Suspension of Contractors" . 11 12 THE COUNCIL OF THE CITY OF SAINT PAUL DOES ORDAIN: 13 14 Section 1 15 16 Section 94.oi. Policy. 17 18 (a) In order to protect the public interest, it is the 19 policy of the City of Saint Paul to conduct business only with 20 responsible persons. Debarment and suspension are discretionary 21 actions that, taken in accordance with this chapter are 22 appropriate means to implement this policy. The City shall not 23 solicit proposals from, award agreements to, or approve or 24 consent to sub-agreements with organizations and individuals that 25 are suspended, proposed for debarment, debarred, ineligible, or 26 voluntarily excluded. 27 28 (b) Debarment and suspension are serious actions which 29 shall be used only in the public interest and for the City's 30 protection and not for purposes of punishment. The City may 31 impose debarment or suspension for the causes and in accordance 32 with the procedures set forth in these regulations. 33 34 (c) The existence of a cause for debarment or suspension, 35 however, does not necessarily require that the contractor be 36 debarred; the seriousness of the contractor's acts or omissions 37 and any mitigating factors should be considered in making any 38 debarment decision. 39 40 8ection 94.02. Definitions. 41 42 For the purposes of this chapter, the following words and 43 phrases shall have the meanings set forth in this section, except 44 where the context clearly indicates that a different meaning is 45 intended: 46 47 Affiliate. Persons are affiliates of each other if, directly or 48 indirectly, either one controls or has the power to control the � ����� � � � �/-/��� � o�her, or a third person controls or has the power to control � 2 both. Evidence of control include, but are not limited to: / ��' 3 interlocking management or ownership, identity of interests among 4 family members, shared facilities and equipment, common use of 5 employees, or a business entity organized following the 6 suspension or debarment of a person which has the same or similar 7 management, ownership, or principal employees as the suspended or 8 debarred person. 9 10 Debarment. An action taken by debarring officials in 11 accordance with this chapter to exclude a person from 12 participating in covered transactions. A person so excluded is 13 "debarred. " 14 15 Debarring officials. Officials authorized to impose debarment. The 16 debarring officials are either: 17 18 (a) The Debarment Review Committee, or 19 20 (b) The Saint Paul Human Rights Commission as provided for 21 in Chapter 183 of the Saint Paul Legislative Code. 22 23 Notice. A written communication served in person or sent by 24 certified mail, return receipt requested, or its equivalent, to 25 the last known address of a party, its identified counsel, its 26 aqent for service of process, or any partner, officer, director, 27 owner or joint venturer of the party. Notice, if undeliverable, 28 shall be considered to have been received by the addressee five 29 days after being properly sent to the last address known by the 30 city. 31 32 Participani. Any person who submits a proposal for, enters into, 33 or reasonably may be expected to enter into a covered 34 transaction. This term also includes any person who acts on 35 behalf of or is authorized to commit a participant in a covered 36 transaction as an agent or representative of another participant. 37 38 Person. Any individual, corporation, partnership, 39 association, unit of government or legal entity, however 40 organized, except foreign governments or foreign governmental 41 entities, public international organizations, foreign government 42 owned or controlled entities, and entities consisting wholly or 43 partially of foreign governments or foreign government entities. 44 45 Preponderance of evidence. Proof by information or testimony that, 46 compared with that opposing it, leads to the conclusion that the 47 fact at issue is more probably true than not. 48 49 Princlpal. Officer, director, owner, partner, key employee, or 50 other person within a participant with primary management or 51 supervisory responsibilities; or a person who has a critical 52 influence on or substantive control over a covered transaction, 53 whether or not employed by the participant. 54 55 Proposal. A solicited or unsolicited bid, application, 56 request, invitation to consider or similar coYnmunication by or on 57 behalf of a person seeking to participate or to receive a benefit 58 directly or indirectly, in or under a covered transaction. 59 2 C7��I�I�IA� �y/-/�a� 1 � Respondeni A person against whom a debarment or suspension 2 action has been initiated. �7y� � 3 4 Suspenslon. An action taken in accordance with these 5 regulations that immediately excludes a person from participating 6 in covered transactions for a temporary period, pending 7 completion of an investigation and such legal or debarment 8 proceedings as may ensue. A person so excluded is "suspended. " 9 10 Bection 9�.03. Appliaabilitp. 11 12 (a) This Chapter apply to all persons who have 13 participated, are currently participating or may reasonably be 14 expected to participate in "covered transactions. " 15 16 "Covered transactions" shall mean and include any 17 contract under City procurement programs to which the 18 City is a party for the performance of construction, 19 repair, or the furnishing of goods and shall further 20 include those contracts for professional services and 21 labor. "Covered transactions" shall also include those 22 transactions specifically designated by the U.S. 23 Department of Housing and Urban Development in such 24 agency's regulations governing debarment and suspension 25 and as administered or monitored by the Department of 26 Planning and Economic Development and other 27 construction projects not handled through a city 28 procurement program but which are financed or 29 economically supported in whole or in part by city 30 funds or property. 31 32 Section 94.04. Effect of Action. 33 34 (a) Except to the extent prohibited by law, persons who are 35 debarred or suspended shall be excluded from covered transactions 36 as either participants or principals throughout the operations of 37 the City of Saint Paul for the period of their debarment or 38 suspension. Accordingly, no employee or agent of the City shall 39 enter into covered transactions with such debarred or suspended 40 persons during such period, except as permitted pursuant to 41 94. 03 (b) . 42 43 (b) Notwithstanding the debarment or suspension of any 44 person, the City and participants may continue covered 45 transactions in existence at the time the person was debarred or 46 suspended. A decision as to the type of termination action, if 47 any, to be taken should be made only after thorough review to 48 ensure the propriety of the proposed action. 49 50 (c) The City shall not enter into or renew or extend 51 covered transactions with any person or affiliate who is debarred 52 or suspended. Extensions shall include change orders to contracts 53 already in effect unless specific written authorization for the 54 change order has been issued by Debarment Review Committee. SS 3 ��I�'►������ �-y/-��a a 2 (d) No affiliate, participant, person, principal or /�/`°�� 3 respondent who has been debarred or suspended in accordance with 4 this chapter may contract nor receive the benefits from any 5 contract where the City is a funding source for the contract 6 through an intermediary so long as the period of debarment or 7 suspension is in effect. The Purchasing Systems Manager shall 8 cause language to be inserted in the bids or contract forms to 9 reflect this provision. 10 11 (e) No affiliate, participant, person, principal or 12 respondent shall be awarded any contract if, after being debarred 13 or suspended and within six months thereafter, it reconstitutes 14 or reforms itself in such a way as to avoid the effect of 15 debarment or suspension. Such a determination will be made by 16 the Purchasing Systems Manger applying the standards set forth 17 concerning evidence of control as set forth in the definition of 18 affiliate. 19 20 Section 94.05. Causes for Debarment. 21 22 (a) Debarment or suspension may be imposed upon any person 23 or participant in accordance with the provisions of this Chapter 24 for: 25 26 1) Conviction of or civil judgement for the commission of 27 fraud or a criminal offense in connection with obtaining, 28 attempting to obtain or performing a public or private agreement 29 or transaction; violation of Federal or State antitrust statutes, 30 including those proscribing price fixing between competitors, 31 allocation of customers between competitors, and bid rigging; 32 commission of embezzlement, theft, forgery, bribery, 33 falsification or destruction of records, making false statements, 34 receiving stolen property, making false claims, or obstruction of 35 justice; a violation of Minnesota consumer protection statutes, 36 or commission of any other offense indicating a lack of business 37 integrity or business honesty that seriously and directly affects 38 the present responsibility of a person. 39 40 2) Material violation of the terms of a public agreement or 41 transaction, such as: A willful failure to perform in accordance 42 with the terms of one or more public agreements or transactions; 43 a history of failure to perform or of unsatisfactory performance 44 of one or more public agreements or transactions; or, a willful 45 violation of a statutory or regulatory provision or requirement 46 applicable to a public agreement or transaction. 47 48 3) Any of the following causes: a procurement or non- 49 procurement debarment by any Federal or State agency; knowingly 50 doing business with a debarred or suspended excluded person in 51 connection with a covered transaction; except as permitted in 52 94.03 (b) ; violation of a material provision of a voluntary 53 exclusion agreement entered into or of any settlement of a 54 debarment or suspension action; or 55 56 4) Any other cause so serious or compelling that it affects 57 the present responsibility of a person. 58 4 ������'�r��. �y� �q�z o • 1 ' 5) These causes include but are not limited to: violation /7y�(� 2 of Federal, State, or local laws regarding civil rights, 3 affirmative action, or equal employment opportunity; violation of 4 any law, regulation, or agreement relating to conflict of 5 interest; violation of any nondiscrimination provisions included 6 in any agreement or contract. 7 8 6) Suspension may be applied for any of the causes 9 identified in 94.05 when immediate action is necessary to protect 10 the public interest. 11 12 Section 94.06. Debarment Process. 13 14 (a) The Purchasing Division shall have responsibility for 15 coordinating any debarment proceedings for the City and shall be 16 responsible for receiving all requests for debarment, 17 administering the proceedings, maintaining the official records, 18 and maintaining and disseminating lists of debarred persons or 19 organizations. 20 21 (b) Information concerning the existence of a cause for 22 debarment from city staff or a private complainant shall be 23 promptly investigated and the results referred to the Purchasing 24 Systems Manager. If the Purchasing Systems Manager determines 25 that no cause exists to commence the debarment proceedings, the 26 manager shall issue a summary written statement as to the 27 essentials of the complaint with a brief explanation as to the 28 reasons for not proceeding with debarment. 29 30 (c) If the Purchasing Systems Manager determines that just 31 cause exists to commence debarment proceedings, the Manager shall 32 issue a notice of the proposed debarment proceedings to the party 33 or participant having a covered transaction with the City. The 34 notice shall advise the party or participant of the following: 35 36 1) That debarment is being considered; 37 38 2) The reasons or causes for the proposed action 39 in terms sufficient to put the person or 40 participant on notice of the conduct or 41 transaction(s) upon which it is based; 42 43 3) The potential effect of the proposed action; 44 45 4) That the person or participant is entitled to 46 be heard and to submit information relevant 47 to the transaction(s) involved for 48 consideration; 49 50 5) The timeline and process for submitting 51 materials and completing the review process. 52 53 (d) Within fifteen (15) working days of receipt of a notice 54 of proposed debarment any person or participant, including any 55 affiliate thereof, desiring a hearing shall file a written 56 request for a hearing with the Purchasing Systems Manager. If no 57 request is filed within the time limit, the proposed decision to 58 debar shall be final. 59 5 �I�r����' � ;� ��� i�z� � 1 '�� Upon receipt of a written request from a person or 2 participant, the Purchasing Systems Manager shall arrange a /7110��' 3 hearing before the Debarment Review Committee as soon as 4 possible, but no later than thirty (30) days after receipt. 5 6 (f) The Debarment Review Committee shall consist of the 7 Director of Finance and Management Services Department, the 8 Director of the Human Rights Department and the Building 9 Official. Any two shall constitute a quorum. 10 11 (g) After the person or participant has been afforded an 12 opportunity to meet adverse testimony or evidence by cross- 13 examination and rebuttal evidence and to be heard otherwise, the 14 Committee shall make a written determination on the evidence 15 presented, including, where appropriate, any evidence of 16 mitigating circumstances. If it is proposed that the sanction 17 include an affiliate, the Committee shall indicate whether and to 18 what extent the determination applies to the affiliate. The 19 Committee's determination shall be transmitted to all affected 20 parties by certified mail, return receipt requested. 21 22 (h) The cause for debarment must be established by a 23 preponderance of the evidence. If the debarment is based upon a 24 criminal conviction, a civil judgment arising out of its normal 25 business affairs; or debarment by a Federal or State agency, the 26 standard shall be deemed to have been met. 27 28 (i) The City has the burden of proving cause for debarment. 29 The person or participant has the burden of proof for 30 establishing mitigating circumstances. 31 32 (j) Each determination of the Committee shall become a part 33 of the record. If the decision is not to impose debarment, the 34 person or participant shall be given prompt notice of that 35 decision. A decision not to impose debarment shall be without 36 prejudice to a subsequent imposition of debarment. If the 37 decision is to debar, a final notice shall be issued to the 38 respondent containing the following information: 39 40 1) a reference to the notice of the action and 41 any hearing or fact finding conference; 42 43 2) the specific reasons for the action; 44 45 3) the period of debarment, including effective 46 dates; and 47 48 4) a listing of transactions covered by the 49 debarment. 50 51 Section 94.07. Process for Appeal. 52 53 Any person or participant adversely affected by a decision 54 of the Committee may, within fifteen (15) days from the date 55 thereof, appeal the decision to the City Council by filing a 56 notice with the City Clerk. The City Clerk shall assign a date 57 for a hearing on the appeal which shall be heard no later than 58 fifteen (15) days thereafter. Notice thereof shall be mailed by 6 ���I�i���o� ��q/-/��o 1 the Purchasing Systems Manager to the person or participant � 2 initiating the appeal. /7�'Jo��P 3 . � 4 The Council shall consider the evidence contained in the ��� � 5 minutes, findings and conclusions of the Committee and shall not 6 consider any factual testimony not previously submitted and 7 considered. After receipt of the Committee's minutes, findings 8 and conclusions, the Council shall provide the person or 9 participant an opportunity to present oral or written arguments 10 alleging error on the part of the Committee in the application of 11 the law or interpretation of the facts, and to present argument 12 related to the Committee's decision. Upon conclusion of that 13 hearing and after consideration of the Committee�s minutes, 14 findings and conclusions together with such additional arguments 15 presented at the hearing, the Council shall determine what, if 16 any, adverse action shall be taken which, which action shall be 17 by resolution. The Council may modify or reject the decision of 18 the Committee upon a finding of error, but otherwise shall accept 19 the decision as rendered. 20 21 Section 94.08. Debarment Period. 22 23 (a) Debarment shall be for a period commensurate with the 24 seriousness of the cause(s) . A debarment shall not exceed three 25 (3) years. If a suspension precedes a debarment, the suspension 26 period shall be considered in determining the debarment period. 27 28 (b) All suspensions shall be for a temporary period pending 29 the completion of an investigation and such legal or debarment 30 proceedings as may ensue. A suspension shall become effective 31 immediately upon issuance of the notice specified in 94.06(c) . 32 33 (c) The Debarment Review Committee may renew an existing 34 debarment for an additional period if the committee determines 35 that an extension is necessary to protect the public interest. 36 However, a debarment may not be extended solely on the basis of 37 the facts and circumstances upon which the initial debarment 38 action was based. If debarment for an additional period is 39 determined to be necessary, the procedures of 94.06 shall be 40 followed to extend the debarment. 41 42 (d) A person or participant may request the Committee to 43 reverse the debarment decision or to reduce the period or scope 44 of debarment. Such a request shall be in writing and supported 45 by documentation and shall not be submitted earlier than six 46 months after the final decision to debar. In no event may more 47 than one such request be submitted within any 12-month period. 48 49 The Committee may grant such a request for reasons including, but 50 not limited to: 51 52 1) newly discovered material evidence; 53 54 2) reversal of the conviction or civil judgment upon which 55 the debarment was based; 56 57 3) bona fide change in ownership or management; 58 � . �►i����� �. �"y�i9�a 4� elimination of other causes for which the debarment was �a�p 2 imposed; or �� � 3 4 5) other reasons the Review Committee deems appropriate. 5 6 8sation 94.09. Human Riqhts violations. 7 8 (a) Whenever the Purchasing Systems Manager shall receive a 9 request for a debarment based on violation of Chapter 183 of the 10 Saint Paul Legislative Code or other Federal or State civil 11 rights, affirmative action, or equal employment law, the request 12 shall be forwarded to the Director of the Human Rights Office. 13 14 (b) Any debarment referred to the Director shall be handled 15 in accordance with Chapter 183 of the Saint Paul Legislative 16 Code. 17 18 (c) If the Human Rights Director initiates a debarment 19 process, whether as a result of a direct request, or as a result 20 of a referral from the Purchasing Systems Manager, the Director 21 shall notify the Debarment Review Committee of the outcome of the 22 process and transmit copies of any written decisions. 23 24 Bection 94.10. Debarment Records. 25 26 (a) All documents and other data assembled pursuant to this 27 chapter shall be handled and retained by the Purchasing Division 28 in accordance with applicable local and state data retention 29 policies. 30 31 8ection 94.11. Business Licensinq. 32 33 (A) Whenever a debarment action is completed against a 34 participant who is also a holder of a business license from the 35 City, the Purchasing Systems Manager shall transmit a copy of the 36 written debarment decision along with copies of the materials 37 assembled during the debarment process to the City License 38 Inspector. Within ten (10) working days of receipt of the 39 decision and the materials, the License Inspector shall determine 40 whether to commence an Adverse License Hearing. Any such Adverse 41 hearing initiated shall be handled in accordance with Chapter 42 310. 05 of the Saint Paul Legislative Code. 43 44 (B) Any adverse action taken by the City concerning the 45 license of any person based on a breach of contractual 46 responsibilities shall be referred to the Purchasing Systems 47 Manager for a determination as to whether debarment proceedings 48 hereunder should be commenced. 49 50 Section 2 51 52 That this ordinance shall take effect and be in force thirty 53 (30) days after its passage, approval and publication. 54 55 56 57 58 59 s g�, �/ ��s;; � � --/ �w�La `i�'���� r�.'_ ,'xt'_� � � ��jqa� Yeas Navs Absent Requested by Department of: uerin �.--- on �� acca ee � e man f une � i son �= BY� Adopted by Council: Date �,;`3� � � ,�QZ Form Approved by City Attorney Adoption Cer ' i � by Co ic'l .S�ec etary By. : � �, _ l� ) � By' " � � %�+ �- } Approved by Mayor for Submi sion to Approved by M r: Date �U� 1 ���2 Council B .l0 4�G,�'�1�� By: Y� �tiS�ED JUN � '9? � � RECE�v�� � /-/�� ��? CITY OF SAINT PAUL MAR 12 1992 '�s►'��" ClTY CLERK � OFFICE OF THE CITY COUNCIL Members: Paula Maccabee, Chair PAULA MACCABEE Bob �ong Karl Neid Councilmember HUMAN SERVICES, HEALTH AND BUSINESS REGULATION COMMITTEE REPORT MEETING OF MARCH 12, 1992 1. Approval of minutes of ineeting held February 27, 1992. LAID OVER TWO WEEKS TO MARCH 26, 1992. 2. Resolution 90-1189 - Civic Center parking reimbursement for members of citizen committees not receiving a per diem. LAID OVER TWO WEEKS TO MARCH 26, 1992. �� a�a=���i 3. Ordinance 91-1920 - Debarment or suspension of contractors due to infraction. COMMITTEE RECOMMENDS APPROVAL WITH AMENDMENT. ADOPTED YEAS - 3 NAYS - 0 �'�,�ti.,�4. Ordinance 91-513 - Immediate family member liquor license partnership. COMMITTEE RECOMMENDS APPROVAL OF SUBSTITUTE ORDINANCE. . ADOPTED YEAS - 3 NAYS - 0 . 5. Ordinance 91-1835 - Taking adverse action against individual licenses. COMMITTEE RECOMMENDS APPROVAL OF SUBSTITUTE ORDINANCE. ADOPTED YEAS - 3 NAYS - 0 � 6. Ordinance (Green Sheet 16392) - Pawnshop license requirements. ' COMMITTEE RECOMMENDS APPROVAL WITH AMENDMENT. ADOPTED YEAS - 3 NAYS - 0 ? 7. Resolution - Authorizing development of Stolen Property Restitution Fund to recover stolen goods from pawnshops. COMMITTEE RECOMMENDS APPROYAL. ADOPTED YEAS - 3 NAYS - 0 8. Ordinance 91-1028 - Prohibition of certain conduct on licensed premises. Chair recommends withdrawal . COMMITTEE RECOMMENDS ITEM BE WITHDRAWN. . ' ADOPTED YEAS - 3 NAYS - 0 9. Ordinance 91-1029 - Prohibition of certain conduct on licensed premises. Chair recommends withdrawal . . COMMITTEE RECOMMENDS ITEM BE WITHDRAWN. ADOPTED YEAS - 3 NAYS - 0 ? 10. Ordinance - Amending Section 409.22(n) of the Legislative Code relating to . � the use of net proceeds from charitable gambling. COMMITTEE RECOMMENDS APPROVAL WITH AMENDMENT. C1TY HALL SEVENTH FLOOR SAINT PAUL, MINNESOTA 55102 6]2/298-5378 s�as Printed oa Rerycled Paper . . �i- ,�'�'v OFFICE OF THE CITY ATTORNEY IANE A.MC PEAI� CITYATTORNEY CITY OF SAINT PAUL 800 Landmark Towers Telephone lames Scheibel,Mayo► 345 St Peter Street Civi�29s6-5121 Sant Paul,Minnesota 55102 Criminal.•298-4271 Facsimile:612-298-5619 � April 27, 1992 Councilmember Paula Maccabee 7th Floor City Hall Re: Debarment Ordinance Dear Councilmember Maccabee: At the committee discussion held April 23, 1992 regarding the above-captioned subject, please find enclosed the ordinance in final form. The final form includes three further amendments decided by the committee and they are: 1) An amendment to Sec. 94 .05 (a) (1) by adding the phrase "a violation of Minnesota consumer protection statutes" therein; 2) An amendment to Sec. 94.06 (b) to add the phrase "or a private complainant" after the phrase 'city staff' ; 3) An amendment to Sec. 94.11 by adding a new paragraph (B) which will open the lines of communication from the License Inspector to the Purchasing Systems Manager so as to keep the Manager apprised of the possible need of debarment proceedings based on adverse license determinations. I hope that the ordinance is now in final form but if you wish anything further done to it, please do not hesitate to contact me. Yours truly, 1" -,��' PAUL F. MCC OSKEY Assistant city Attor ey �ECE�vE� Enc. �r p�� 0 5 �g92 cc: Councilmember Bob Long �,�1`( c���'�� Councilmember Karl Neid Linda Camp Roxanne Wilder ���� , n /� �—_.., , � . ' , �� Council File # 1`�I' "j'��� �__. � Ordinance # Green Sheet # ��� ORDINANCE C OF SAINT PAUL, MINNESOTA � � ,, s �. Presented By /' Referred To a Committee: Date /Q - /Q --�/ An ordinance creating Chapter 94 of the Saint Paul Administrative Code to provide for ;� process of suspension or debarment of persons� from contracting with the City of Saint Paul because of specific infractions and a procedure for,bringing complaints regarding infractions and admi�iistering their resolution; said Chapter to be entitled "Debarment or Suspension of Contractors". THE COUNCIL OF THE CITY OF SAIN'�� PAUL DOES ORDAIN: SeCtion 1 Section 94. 01. Policy. ; (a) In order to protect the public interest, it is the policy of the City of Sair�t Paul to conduct business only with responsible persons. Dek��rment and suspension are discretionary actions that, taken in a�cordance with this chapter are appropriate means to im�lement this policy. The City shall not solicit proposals from award agreements to, or approve or consent to sub-agreem�nts with organizations and individuals that are suspended, propos�ed for debarment, debarred, ineligible, or voluntarily exclude . (b) Debarmen and suspension are serious actions which shall be used only in the public interest and for the City's protection and no for purposes of punishment. The City may impose debarment r suspension for the causes and in accordance with the procedu es set forth in these regulations. (c) The e istence of a cause for debarment or suspension, however, does not necessarily require that the contractor be debarred; the seriousness of the contractor's acts or omissions and any mitigating factors should be considered in making any debarment decision. Section 94.02 . Definitions. For the purposes of this chapter, the following words and phrases shall have the meanings set forth in this section, except where the context clearly indicates that a different meaning is intended: Affiliate. Persons are affiliates of each other if, directly or indirectly, either one controls or has the power to control the other, or a third person controls or has the power to control both. Evidence of control include, but are not limited to: �.1������� �� •1���1 • 2 interlocking management or ownership, identity of interests among family members, shared facilities and equipment, common use of employees, or a business entity organized following the suspension or debarment of a person which has the same or similar management, ownership, or principal employees as the suspended, debarred, ineligible, or voluntarily excluded,person. Debarment. An action taken by debarring ,official(s) in accordance with these regulations to exclude a person from participating in covered transactions. A person so excluded is "debarred. " Debarring officlals. Officials authorized to impose debarment. The debarring officials are either: (a) The Suspension and Debarment Review Committee, or (b) The Saint Paul Human Rights Commission as provided for in Chapter 183 of the Saint Paul Legislative Code. ineligible. The status of being excluded from participation in City procurement and non-procurement programs pursuant to a determination of ineligibility under statutory, executive order, or regulatory authority. A person is ineligible where the determination of ineligibility affects such person's eligibility to participate in more than one covered transaction. Notice. A written communication served in person or sent by certified mail, return receipt requested, or its equivalent, to the last known address o� a party, its identified counsel, its agent for service of prqcess, or any partner, officer, director, owner or joint venturer; of the party. Notice, if undeliverable, shall be considered to �have been received by the addressee five days after being prope#ly sent to the last address known by the City. Participant Any pers n who submits a proposal for, enters into, or reasonably may be expected to enter into a covered transaction. This t rm also includes any person who acts on behalf of or is autriorized to commit a participant in a covered transaction as an agent or representative of another participant. Person. Any individual, corporation, partnership, association, unit of government or legal entity, however organized, except foreign governments or foreign governmental entities, public international organizations, foreign government owned or controlled entities, and entities consisting wholly or partially of foreign governments or foreign government entities. Preponderance of evidence. Proof by information or testimony that, compared with that opposing it, leads to the conclusion that the fact at issue is more probably true than not. Principal. Officer, director, owner, partner, key employee, or other person within a participant with primary management or supervisory responsibilities; or a person who has a critical influence on or substantive control over a covered transaction, whether or not employed by the participant. ���ICC�r► � , �� - ��►� . , 3 ProposaL A solicited or unsolicited bid, application, request, invitation to consider or similar communication by or on behalf of a person seeking to participate or to receive a benefit directly or indirectly, in or under a covered transaction. Respondeni A person against whom a debarment or suspension action has been initiated. Suspending officla/s. Officials authorized to impose suspension. The suspending officials are either: (a) The Suspension and Debarment Review Committee, or (b) The Saint Paul Human Rights Commission as provided for in Chapter 183 of the Saint Paul Legislative Code. Suspens/on. An action taken by suspending officials in accordance with these regulations that immediately excludes a person from participating in covered transactions for a temporary period, pending completion of an investigation and such legal or debarment proceedings as may ens�e. A person so excluded is "suspended. ° Vo/untary exclusion or voluntarlly excludsd. A status of nonparticipation or limited participation in cove�ed transactions assumed by a person pursuant to the terms of a scttlement. Section 94.03. Applicabili,ty. (a) These regulatio s apply to all persons who have participated, are curren y participating or may reasonably be expected to participate n transactions under City procurement and non-procurement pro rams. For purposes of these regulations, such transactions will e referred to as "covered transactions. " 1 Except as noted i paragraph (b) of this section, covered transactions shall in lude but not be limited to: grants, cooperative agreement , scholarships, fellowships, contracts, contracts of assista ce, loans, loan guarantees, subsidies, insurance, payments or specified use, donation agreements, and any other procureme or non-procurement transaction between the City and a person. rCovered transactions also include those transactions specif�cally designated by the U.S. Department of Housing and Urban Development in such agency's regulations governing debarment and suspension. (b) Exceptions. The following transactions are not covered: 1) Statutory entitlement or mandatory awards; 2) Benefits to an individual as a personal entitlement without regard to the individual's present responsibility (benefits received in an individual's business capacity are not excepted) ; 3) City employment; ,, ���C�IWl� � � a�- ���� 4 4) Transactions pursuant to national or City-recognized emergencies or disasters; 5) Incidental benefits derived from ordinary governmental operations; and 6) Other transactions where the application of these regulations would be prohibited by law. Section 94.04. Effect of Action. (a) Except to the extent prohibited by law, persons who are debarred or suspended shall be excluded from covered transactions as either participants or principals throughout the operations of the City of Saint Paul for the period af their debarment or suspension. Accordingly, no employee or agent of the City shall enter into covered transactions with such debarred or suspended persons during such period, except as permitted pursuant to 94.03 (b) . (b) Notwithstanding the debarment, suspension, determination of ineligibility, or voluntary exclusion of any person, the City and participants may continue covered transactions in existence at the time the person was debarred, suspended, declared ineligible, or voluntarily excluded. A decision as to the type of termination action, if any, to be taken should be made only after thorough review to ensure the propriety of the proposed action. (c) The City shall not enter into or renew or extend covered transactions wit�1 any person who is debarred, suspended, ineligible, or voluntar�,�1y excluded. Extensions shall include change orders to contra ts already in effect unless specific written authorization or the change order has been issued by the Suspension and Debarm t Review Committee. Section 94.05. Caus s for Debanaent or Suspension. (a) Debarment r suspension may be imposed upon any person or participant in a�cordance with the provisions of this Chapter for: ! 1) Convictior� of or civil judgement for the commission of fraud or a criminal offense in connection with obtaining, attempting to obtain or performing a public or private agreement or transaction; violation of Federal or State antitrust statutes, including those proscribing price fixing between competitors, allocation of customers between competitors, and bid rigging; commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, receiving stolen property, making false claims, or obstruction of justice; or, commission of any other offense indicating a lack of business integrity or business honesty that seriously and directly affects the present responsibility of a person. 2) Material violation of the terms of a public agreement or transaction, such as: A willful failure to perform in accordance with the terms of one or more public agreements or transactions; a history of failure to perform or of unsatisfactory performance ' �-�>;��,�1�������'� �: � � � � . �� raa� �-- 5 of one or more public agreements or transactions; or, a willful violation of a statutory or regulatory provision or requirement applicable to a public agreement or transaction. 3) Any of the following causes: a procurement or non- procurement debarment by any Federal or State agency; knowingly doing business with a debarred, suspended, ineligible, or voluntarily excluded person in connection with a covered transaction except as permitted in 94 . 03 (b) ; violation of a material provision of a voluntary exclusion agreement entered into or of any settlement of a debarment or suspension action; or 4) Any other cause so serious or compelling that it affects the present responsibility of a person. 5) These causes include but are-� not limited to: violation of Federal, State, or local laws reg�rding civil rights, affirmative action, or equal employment opportunity; violation of any law, regulation, or agreement �elating to conflict of interest; violation of any nondis�rimination provisions included in any agreement or contract. 6) Suspension may be app�ied for any of the causes identified in 94 . 05 when immec�iate action is necessary to protect the public interest. j Section 94 . 06. Debarment o�'/ Suspension Process. ! (a) The Purchasing D�'vision shall have responsibility for coordinating any suspensi or debarment proceedings for the City and shall be responsible or receiving all requests for debarment or suspension, administe ing the proceedings, maintaining the official records, and ma ntaining and disseminating lists of debarred persons or org nizations. (b) Information oncerning the existence of a cause for debarment or suspensio from any source shall be promptly investigated, and ref red, when appropriate, to the Purchasing Systems Manager. Wit in fifteen (15) working days of receipt of a request for debarme t or suspension, the Purchasing Systems Manager shall conven the Suspension and Debarment Review Committee, who shall make a debarment determination. (c) The Suspe sion and Debarment Review Committee shall consist of the Purc,Y�iasing Systems Manager, the Chief Accountant and the Director of the City's Human Rights Department. The Committee shall have the ability to consult with technical experts where it will assist in evaluating the merits of the claim. (d) The Committee shall be responsible for reviewing information submitted and gathering such additional information that will permit a full and fair review of the claim. The review process shall include providing an opportunity for affected parties to be heard and to present information relevant to the claim. (e) Whenever the Suspension and Debarment Review Committee determines that the proposed debarment or suspension appears to ��.����M�l�lf. � � . �r=����v 6 have merit, the Purchasing Systems Manager shall issue a notice of the proposed debarment. The notice shall advise the respondent of the following: 1) That debarment or suspension and length thereof, is being considered. 2) The reasons for the proposed action in terms sufficient to put the respondent on notice of the conduct or transaction(s) upon which it is based; 3) The cause(s) relied upon for the proposed debarment or suspension; 4) The potential effect of the proposed action; 5) That the respondent is enti�led to be heard and to submit information relevant to the transaction(s) involved for consideration by the Committee; 6) The timeline and proces�' for submitting materials and completing the review p�rocess. (f) Within fifteen (15) �urking days of receipt of a notice of proposed debarment or suspefision, any participant or contractor, including any aff�liate, desiring a hearing shall file a written request for a;hearing with the Purchasing Systems Manager who shall forward the request to the other members of the Suspension and Debarnaent Ref�iiew Committee. If no appeal is filed within the time limit, the;�proposed decision to debar or suspend shall be final. / (g) Upon receipt o � a written re est the Purchasin 9 Systems Manager shall a�`range a hearing before the Suspension and Debarment Review Commi��tee as soon as possible, but no later than thirty (30) days after;`receipt. � (h) After the p�rticipant or contractor has been afforded an opportunity to be heard and confront and examine its accusors, the Committee shall ake a written determination on the evidence presented, includin , where appropriate, any evidence of mitigating circumst,ances. If it is proposed that the sanction include an affilia e, the Committee shall indicate whether and to what extent the d�termination applies to the affiliate. The Committee's determination shall be transmitted to all affected parties by certified mail, return receipt requested. (i) The cause for debarment or suspension must be established by a preponderance of the evidence. If the debarment is based upon a conviction, a civil judgment, or debarment by a Federal or State agency, the standard shall be deemed to have been met. (j) The party initiating the debarment or suspension process has the burden of proving cause for debarment. The respondent has the burden of proof for establishing mitigating circumstances. �RIC��'+�l� � . � � � . . �r- '��� . � (k) The Committee's determination shall be final. Each determination shall become a part of the record. If the decision is not to impose debarment or suspension, the respondent shall be given prompt notice of that decision. A decision not to impose debarment or suspension shall be without prejudice to a subsequent imposition of debarment or suspension. If the decision is to debar or suspend, a final notice shall be issued to the respondent containing the following information: 1) a reference to the notice of the action and any hearing or fact finding conference; 2) the specific reasons for the action; 3) the period of debarment or suspension, including effective dates; and 4) a listing of transactions covered by the debarment or suspension. Section 94.07. Period of Suspension or Debarment. (a) Debarment shall be for ,a period commensurate with the seriousness of the cause(s) . A;�debarment shall not exceed three (3) years. If a suspension pre,�edes a debarment, the suspension period shall be considered in �determining the debarment period. i (b) Al1 suspensions sh�(11 be for a temporary period pending the completion of an invest$�gation and such legal or debarment proceedings as may ensue. �, suspension shall become effective immediately upon issuance �f the notice specified in 94.06(k) . (c) The Suspension �nd Debarment Review Committee may renew an existing debarment fo}� an additional period if the committee determines that an exte ion is necessary to protect the public interest. However, a d�arment may not be extended solely on the basis of the facts and �circumstances upon which the initial debarment action was b sed. If debarment for an additional period is determined be necessary, the procedures of 94.06 shall be followed to xtend the debarment. (d) A person o� participant may request the Review Committee to reverse�� the debarment decision or to reduce the period or scope of dlebarment. Such a request shall be in writing and supported by da,'cumentation and shall not be submitted earlier than six months af�er the final decision to debar. In no event , may more than one such request be submitted within any 12-month period. The Review Committee may grant such a request for reasons including, but not limited to: 1) newly discovered material evidence; 2) reversal of the conviction or civil judgment upon which the debarnaent was based; 3) bona fide change in ownership or management; ;:�������� . , �Il-�`�� � s 4) elimination of other causes for which the debarment was imposed; or 5) other reasons the Review Committee deems appropriate. Section 94.08. Human Rights Violations. (a) Whenever the Purchasing Systems Manager shall receive a request for a debarment based on violation of Chapter 183 of the Saint Paul Legislative Code or other Federal or State civil rights, affirmative action, or equal employment law, the request shall be forwarded to the Director of the Human Rights Office. (b) Any debarment referred to the Director shall be handled in accordance with Chapter 183 of the Saint �Paul Legislative Code. (c) If the Human Rights Director �:hitiates a debarment process, whether as a result of a dire�t request, or as a result of a referral from the Purchasing Sys�ems Manager, the Director shall notify the Suspension and Deba�nent Review Committee of the outcome of the process and transmit 'copies of any written decisions. Section 94.09. Debarment or Sus�ension Records. , (a) All documents and ot�ier data assembled pursuant to this chapter shall be handled and�etained by the Purchasing Division in accordance with applicabl local and state data retention policies. i �' Section 2 That this ordinance hall take effect and be in forc� thirty (30) days after its pass ge, approva.l and publication. / / � �/ Yeas Nay� Absent Requested by Aepartment of: imon oswi z on acca ee -- e an une C�i s on By: � —��---- Adopted by Council: Date Form Approved by City Attorney Adoption Certified by Council Secretary g , ���-r�t3�.� �,�. �=y y � By� Approved by Mayor for S mission to Council Approved by Mayor: Date � / ,�,r�?.v4���f/� By: By� , f.�• . ;• . . .� ; q1-fqab ✓ DEPARTM[NTIOFFl(�JCOUNCIL pATE 1 ITIATE ' 9'� , 9/ GREEN SHEEfi No. S� CONTACT PER30N 8 PMONE INITIAU DA�'E ��ATE DEPARTMENT DIRECTOR �GTY COUNqL L i nda Cam 298-5501 �� �aT�'AN�NEV �CITV CIERK MU8T 8E ON OOUNCIL AOENDA BY(DAT� R01lTNIO �BUDOET DIRECTOA ' �FIN.8 MOT.SERVICES DIR. �MAYOR(OR A8318TANT) ! ❑ TOTAL#►OF SIGNATURE PAQES (CLIP ALL LOCATIONS FOR SIiiNATURE) ' ACT10N REQUESTED: , dopt the attached Ordinance creating the authority and '�process for debarring endors who fail to perform satisfactorily on City pro��cts. ' RECOMMENDATION8:Approvs(N u►RywY(Rl COUNCIL COMMITTEE/RESEARCH F�PORT I L _PLANNINQ OOMMISSION _CIVIL SERVIC�OOMMt8810N ANALYST � PMONE NO. _pB OOMMITTEE _ _BTAFF _ COMMENTB: —���«,� _ SEp 2 3 199� $�PPORTB WHICH C�JNCI�OBJECTIVE� O�e,� r fNIT1ATINO PFiOBLEM.18SUE.OPPORTUNITY(VYho�WMt.When.WMro�WMI� ' rom time to time the City ezperiences problems because Certain vendors fail o perform on City projects, Contracts, and Agreements. ' Such failures are ften costly for the City in terms of staff time and rea�. dollars. In additio , - ublic safety may be impacted on occasion. No authority' or process ezists With'n he current Administrative Code to prevent unsatisfactor�i vendors from articipating in the public bidding and contracting procpss. A new oriinance i eeded to rectify this problem. ; ADVANTAOES IF APPROVED: , ' City will be able to eaclude unsatisfaictory vendors from; public projects for specific periods, thus saving time an,E3 money. ' ;, ; ; , j ois�v�rr�s��ov��: Debarment rocess will take u st ff time and nerat a ditional a rwork. P P 9 e e � P P e ; , ; ' �, DISADVANTAOEB IF NOT APPHOVED: ; City will continue to egperienCe problems becau�e of poo�ly performing ' ' vendors. Only vay to handle will be on a con�ract- by co�tract basis. City vill continue to incur costs. � RECEIVED Cou�cii R����r�� �pn�er OCT 0 3 1991 - � SEP 2 6 1991 TOTAL AMOUNT OF TRANBACTION = COST/REVENUE BUD�TED(qRCL�ON� YE8 NO �'' i=UNDINO SOUl�E ACTIVITY NUMBER I' FlNANqAL INFORMATION:(EXPWN) ' j � � Z , - ,' , _ ..� �` � .;, * �, � `�NOTE: OONIPLETE DIRECTIONS ARE INCLUDED IN THE CiREEN 3HEET 1NSTRUCTIONAL MANUAI AVAIIABLE IN THE PURCHASINi�OFFICE(PHONE'NO. 29&4225). ROUTINti ORDEft: Below aro prefened routinga for the five most frequeM types of documenb: C�NTRACTS (aesumes autlwrfzed COUNCIL RESOLUTION (Amend, BdgtsJ :.� budgst exists) l0.ccspt. Grents) 1. Outsids Agency L DspsRment D�rector 2.' Initieting Department 2. Budget Director � 3. Gty Attomey 3. City Attomey 4. Mayor 4. Mayor/AssistaM 5. Finance 3 M�mt Svcs. OlreCtor 5. City Cou�cil 6. Ffner�ce AccouMing 8. Chlef AocouMaM, Fln&Mgmt Svcs. ADMINISTRATIVE ORDER (Budgst COUNCII.RESOLUTION (all others) Revisbn) and OFiDINANCE 1. Activiry Man�er 1. Initiatin9 DepaRment Director 2. Dsputmsnt Acoountant 2• �An�^�Y 3. DepertnwM Dirsctor 3. MayoNHs�istant 4. Budget�rodor 4. City Council 5. qty Clsrk 8. Chief AccouMant, Fin 8�Mgmt 3vcs. ADMINISTRA'EiVE ORDERS (all o�hers) 1. Initfatinp D�partment 2• Gty Attomsy 3. Mayor/As�sterM 4. Ciiy Cierk TOTAI NUMBER OF 31�3NATURE PA(iE3 Indk�ts H�s#�of p�gss an which�gnatwss aro required and paperc�iP aach oi the�s� ACTION REQUE8TED Ds�cribe wtW th�proJecUrpuest s�sks to accomplish In ekher chronobpl- c:el ordsr or adsr of importence�whid�ver is nast appropriate for the iseue. Do rwt write oomplste aeMencss.Bsgin�ach item in your Iist with a verb. RECOMMEN�ATIONS Complete if d�e isaw in quastion has besn pre�snted before any body� Publfc or privste. SUPPORTS WHIG`kl OOUNdL 08JECTIVE? Indfcate whfch Council obJscdw(s)Ycu�ProlecUreQusst supports by NsNnp the key word(s)(HOUSINt3, REC.ftEAT10N, NEKiHBORHOODS, ECONOMIC DEVELOPMENT, BUDC3ET, BEWER SEPARATION).(SEE COAAPLETE UST IN INSTRUCTIONAL MANUAL.) COUNdL COMIr11TTEE/RE8EARCH REPORT-OPTIONAL AS REOUESTED BY COUNCIL INI'MTIN(3 PROBLEM, ISSUE,OPPORTUNITY Explein the situatbn cx condida�s that croMed a need for�rour project or request. ADVANTAQES IF APPROVED IndiCate whether this is spnply an annwl bud�et prxedure requfrod by law/ charter or whMNsr tMre aro sp�ciflc wa ln which the Ciry of 3aint Paul and its citizens wfll bsnsflt fran this p�o�t/action. DISADVANTA(iES IF APPROVED What ne�ative etiscts or mejor chengss to exfstiny or past proceases might this ProlecUroqu�t P�oduc�if it ia pas�ed(e.p.,traiflc delsys, noise, tex incrsases or )?To Whom?When�For hoMr long? DI8ADVANTA(iE8 IF NOT APPROVED What will be the ne�ative conssquer�css ff the promised action is�ot approved?Inabilky to delhrer asrvice4 Condnued hroh traiNc, noise, ecckisnt rete?Loss of rovenus? FlNANGAL IMPACT ARhough you mu�taubr the infamation you provids here to the iasue you aro addressing, in qensrel you mu�answer two questions: How much is it ydnp to c�at4 Who b poinq to pay? , •, ; t � gJ_1q�,� . RE�E�vE� -�� CITY OF SAINT PAUL g 1992 l�;�y;°,� ? �Ay 0 �i-�ct;[�iE,:tl r �__.:,::� OFFICE OF THE CITY COUNCIL �LER� GI1Y PAULA MACCABEE NUMAN SERVICES, OMML TT EN RE ORT ESS REGULATION ; Councilmember Apl"1� Z3, 1992 1. Approval of Minutes for meeting of Thursday, April 9, 1992. HUMAN SERVICES COMMITTEE RECOMMENDS ITEM BE LAID OVER TO MAY 14TH. 2.�� Ordinance 91-1920 - Debarment or suspension of contractors due to infraction. � (To review drafted amendments as requested by Committee) HUMAN SERVICES COMMITTEE RECOMMENDS APPROVAL WITH AMENDMENTS. 3. Ordinance - 91-1973 - Amending the Administrative Code by establishing procedures for the adoption of rules and regulations by city departments, agencies, commissions, offices or employees empowered to enact rules and regulations. HUMAN SERVICES COMMITTEE RECOMMENDS ITEM BE LAID OVER TO MAY 14TH. 4. Resolution - 90-1189 - Amending Chapter A-4 of the Legislative Code pertaining to Civic Center parking reimbursement for members of citizen committees not receiving a per diem. (Laid over from April 9th) NUMAN SERVICES COMMITTEE RECOMMENDS ITEM BE LAID OVER INDEFINITELY. 5. Resolution - 92-457 - Approving the appointments by the Mayor of Ruth Tobar and Gina Weisblat as Assistants to the Mayor/Youth Coordinator effective March 23, 1992. (Laid over from April 9th) HUMAN SERVICES COMMITTEE RECOMMENDS APPROVAL WITH AMENDMENTS. 6. Discussion Item - Infant Mortality Reduction Project Update. NO ACTION REQUIRED. 7. Discussion - Concept paper for further reorganization of Health, Human Services, Environmental Protection, and Inspection Functions. (Laid over fram April 9th - Councilmember's to bring suggestions for discussion) HUMAN SERVICES COMMITTEE RECOMMENDS PROCESS BE ACCEPTED AND DISTRIBUTE POLICIES AS A TRIAL BALLOON. 8. Ordinance - Amending Chapter 409 of the Legislative Code establishing a temporary extension of service license for intoxicating liquor license holders (intoxicating) . (Laid over from April 9th) HUMAN SERVICES COMMITTEE RECOMMENDS APPROVAL WITH LAY OVER TO MAY 14TN FOR FINAL APPROVAL. 9. Ordinance - Amending Chapter 410 of the Legislative Code establishing a temporary extension of service license for intoxicating liquor license holders (non- intoxicating) . (Laid over from April 9th) HUMAN SERVICES COMMITTEE RECOMMENDS APPROVAL WITH LAY OVER TO MAY 14TH FOR FINAL APPROVAL. CiTY HALL SEVENTH FLOOR SAINT PAUL, MINNFSOTA 55102 612/298-5378 s�aa Ptlnted on Reryded Paper 9�- � 9°?a ��. OFFICE OF THE CTTY ATTORNEY � Natalre E.Hudson, City Auorney CITY OF SAINT PAUL 800�T� Telephone lamts Schabel,Mayw 345 St Peter Street Civifi 298-5121 Saint Paul,M'au�sota 55102 Crbntnak 298-4271 Pacsimi[e:612-29E-5619 DATE: June 19, 1992 �ECEIV�[� To: Mo l ly O'Rourke ��►� 2 2 1992 FROM: City Attorney's Office ��TX ����K RE: Renumbering in ordinance 17926 Dear Ms. O'Rourke: It has recently come to my attention that City ordinance 17926 contains a minor clerical error which needs to be corrected. On May 28, 1992, the Council adopted ordinance 17926 which calls for the creation of Chapter 94 of the Saint Paul Administrative Code entitled "Debarment or Suspension of Contractors��. However, prior to the adoption and subsequent publication of ordinance 17926 on June 6, 1992, Chapter 94 of the Administrative Code had already been assigned to ordinance 17879 and is currently entitled "Protection of Trade Secret Information". Pursuant to section 3.05(b) of the Administrative Code, the City Attorney has the authority to "renumber sections, subdivisions, or clauses [and] . . . change reference numbers to agree with renwmbered chapters, sections, subdivisions or clauses . . . " Accordingly, ordinance 17926 will be reassigned to Chapter 95 of the Administrative Code. Further, all sections, subdivision, or clauses in ordinance 17926 will be renumbered to coincide with this change. Please make the appropriate corrections in your records to in�ure that the proper numbering will be implemented � by the Code's publisher in the next supplement. Thank you for your prompt consideration in this matter. Respectfully, ���� �_��.�'" t MICHAEL T. 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