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This information has been prepared to provide you with general information about the City's procurement functions and policies. We hope these general guidelines will simplify your visits and efforts to do business with the City of Sacramento. This information can also be downloaded as a .PDF formatted brochure, which can be printed and distributed.
The Procurement Services Division is responsible for obtaining supplies and services necessary for the efficient operation of City government. To obtain maximum value and provide reliable services, most City purchases for commodities and nonprofessional services are made through the competitive bidding process, with bids awarded to the lowest responsible bidder. Professional service contract awards are usually made on a best value basis that is determined during the proposal evaluation process.
Vendors wishing to do business with the City should register as a vendor with PlanetBids, the official electronic bid database for the City. Notifications of bids are sent out automatically to registered vendors. There is no cost to register as a vendor when it is done through the City’s public website. From the City’s webpage, view the drop-down list for “Online Services” and click on “Bid Center”.
After visiting the above link you will click on the following button to register:
What the City Buys
The Procurement Services Division buys a variety of goods and services. Staff is assigned by commodities or service groups. You may contact the Procurement Services Division at (916) 808-6240 to obtain the name of the appropriate Procurement Services representative responsible for the commodities or service groups you are interested in. Should you wish to meet with Procurement staff, calling in advance to schedule an appointment would be appreciated.
Current bid opportunities and past bid solicitations may be viewed on the PlanetBids database for the City. After visiting the above link you will click on the following button to view bids:
Bids are assigned with a general description of the nature of the purchase. This description is called a “category”. All vendors who have expressed an interest in that category are sent an automatic email notification of the new bid. It is therefore important to make sure that your company’s email address is updated and current. It is recommended that the email used to register as a vendor is a company mailbox as opposed to an individual’s mailbox.
Anyone may view a general description of a bid. Only registered vendors may download the bid information package. The system automatically creates a list of vendors who have downloaded the bid information package, called “Prospective Vendors”. Addenda, Q&A, and other notifications pertaining to the bid are sent to the contacts on the Prospective Vendors list. For this reason, it is highly recommended that all interested companies register with PlanetBids even if they have obtained the bid information package through a third party, such as a builders’ exchange.
It is very important for prospective vendors to carefully review the bid information package and to complete and sign all forms. Incomplete or unsigned bids may be rejected. For informal telephone solicitations, bid deadlines will be given by City staff during the telephone conversation. Bid deadlines are clearly printed on all written request forms and/or posted in the bid description in PlanetBids. Completed bid forms shall be returned to the City in a manner and to the location specified in the printed bid request and/or in PlanetBids. Vendors must allow adequate time for delivery; the City is not responsible for bids or proposals that are lost intransit. No bid modifications are allowed after the deadline; bids received after the deadline will not be considered. Vendors may call the City contact listed in the bid information package to verify that their bid has been received before the deadline.
The City solicits bids for goods and services in the following ways:
Purchases of $100,000 or more
Purchases of $100,000 or more usually require formal competitive bidding. These bid opportunities are advertised on the City’s website. Bids are opened and read by the City Clerk on the bid due-date. Bid openings are open to the public. All bidders are welcome to attend. Following bid tabulation and analysis, recommendations for awards that exceed $100k appear on the City Council Agenda. Awards are normally made during regularly scheduled City Council meetings on Tuesday evenings.
Purchases of $25,000 up to $100,000
Most purchases of $25,000 or more require formal competitive bidding. These bid opportunities are advertised on the City’s website. Bids are opened at the offices of the City department that has posted the bid (exact location will be listed in the bid information package). Purchases of $25,000 up to $100,000 may be approved by the City Manager or his or her designee.
Purchases of $5,000 up to $25,000
Most purchases of $5,000 up to $25,000 are solicited by informal quotes sent out by the department. The department designee sends informal quotation requests directly to a minimum of three potential vendors. Such quotations may or may not be advertised on the PlanetBids website.
Purchases of less than $5,000
Items not on contract and less than $5,000 are considered discretionary purchases and can be purchased directly by City staff without competitive bidding and usually are not advertised on the PlanetBids website.
Local Business 5% Preference
Local Business 5% Preference
On April 3, 2012, the City Council adopted a Local Business Enterprise program (LBE) to provide enhanced opportunities for local businesses.
On November 19, 2013, the City Council increased the LBE preference from 2% to 5%.
A bid or quotation submitted by a firm that is located within the City limits or within unincorporated Sacramento County will receive a 5% bid evaluation preference. This preference will be used for the purpose of determining the lowest responsible bidder for supplies and services.
The Small Business Enterprise (SBE) and the Emerging Business Enterprise (EBE) preferences have been eliminated.
Local Sales Tax 1% Preference
The City currently allows vendors located within the Sacramento City limits a 1% bid evaluation preference on taxable purchases.
Invoicing and Payment
Each shipment of goods must be invoiced separately. To receive payment, vendors are required to submit an itemized invoice to the address provided at time of purchase. All invoices must be numbered and reference the City's purchase order number. Invoices must describe in detail the goods or services provided. Payment is usually made within 30 days after a properly completed invoice is received. Whenever possible, the City tries to take advantage of prompt-payment discounts. For more information about payments and invoicing, contact the City Department being invoiced.
All contractors doing business with the city for the first time must provide their federal tax ID (or social security number if a sole proprietor) as well as their W-9 and 590 forms.