Item 4FCity of Southlake, Texas
M E M O R A N D U M
June 5, 2012
To: Shana Yelverton, City Manager
From: Sharen Jackson, Finance Director
Tim Slifka, Purchasing Manager
Item 4F Approve Resolution # 12-030, authorizing the City of
Subject:
Southlake to adopt rules to ensure the identification, security and
confidentiality of electronic bids or proposals and providing an
effective date.
_____________________________________________________________________
Action Requested:
Approve Resolution # 12-030, authorizing the City of Southlake to adopt
rules to ensure the identification, security and confidentiality of electronic
bids or proposals and providing an effective date.
Background
Information:
The Finance Department has identified electronic bid and proposal
submission as a way to streamline operations and possibly reduce the
cost of the bid and proposal process. To provide an electronic means of
receiving and securing bid/proposals the City must adopt the required
rules by resolution.
Local Government Code Chapter 252.0415 states, “A municipality may
receive bids or proposals under this chapter through electronic
transmission if the governing body adopt rules to ensure the
identification, security and confidentiality of electronic bids or
proposals and to ensure that the electronic bids or proposals
remain effectively unopened until the proper time.”
Financial
Considerations:
There is no cost to adopt Resolution # 12-030.
Strategic Link
: Approving Resolution # 12-030 achieves multiple areas of the City’s
Strategy Map including:
B5 – Improve performance of delivery and operation processes
B6 – Optimize use of technology
Citizen Input/
Board Review:
None
Legal Review:
Review of Resolution # 12-030 and required rules completed by TOASE,
the City’s Attorney.
Alternatives:
Deny approval of Resolution # 12-030 and not accept electronic
submission of bids or proposals.
Supporting
Documents:
Resolution # 12-030 and documentation of rules.
Staff
Recommendation:
City Council approval of Resolution # 12-030 to accept electronic
submission of bids or proposals.
RESOLUTION NO. 12-030
A RESOLUTION OF THE CITY OF SOUTHLAKE, TEXAS ADOPTING
RULES TO ENSURE THE IDENTIFICATION, SECURITY, AND
CONFIDENTIALITY OF ELECTRONIC BIDS OR PROPOSALS; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS,
the City of Southlake, Texas, is a home rule municipality acting under its
charter adopted by the electorate pursuant to Article XI, Section 5 of the Texas Constitution and
Chapter 9 of the Local Government Code; and
WHEREAS,
it is necessary for the city to make purchases of supplies, equipment, materials
and other things requisite for public purposes; and
WHEREAS,
in order to receive bids or proposals in a more timely and efficient manner, the
City Council desires to accept bids or proposals through electronic transmission; and
WHEREAS,
Section 252.0415 of the Texas Local Government Code authorizes a
municipality to receive bids or proposals through electronic transmission, provided the governing
body of the municipality first adopts rules to ensure the identification, security, and confidentiality of
electronic bids or proposals and to ensure that the electronic bids or proposals remain effectively
unopened until the proper time; and
WHEREAS,
the City Council, in compliance with Section 252.0415 of the Texas Local
Government Code, now deems it necessary to adopt rules to ensure the identification, security, and
confidentiality of electronic bids or proposals.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SOUTHLAKE, TEXAS THAT:
SECTION 1.
The City Council of the City of Southlake, Texas, hereby adopts electronic bidding rules to
ensure the identification, security, and confidentiality of electronic bids or proposals, which are
attached hereto on Exhibit A.
SECTION 2.
This Resolution shall be effective immediately upon its adoption and approval.
PASSED AND APPROVED THIS THE ______ DAY OF ___________________, 2012.
________________________________
John Terrell, Mayor
ATTEST:
__________________________________ APPROVED:
Alicia Richardson, TRMC City Secretary __________________________
Ý·¬§ß¬¬±®²»§
EXHIBIT “A”
ELECTRONIC BIDDING RULES
When entering into an agreement with a third party provider (“Provider”) to assist the City with
electronic bidding services, such Provider must agree to provide a system that meets the
following standards:
All logins and registered use of the system are required to be performed via a Secure
Socket Layer (SSL) which ensures 256-bit encryption to and from individual user’s
computers.
The SSL should be a cryptographic protocol that provides communication security over
the Internet, encrypting the segments of network connections above the Transport Layer,
using asymmetric cryptography for key exchange, symmetric encryption for privacy, and
message authentication codes for message integrity. This protocol allows client-server
applications to communicate across a network in a way designed to prevent
eavesdropping and tampering.
The SSL Certificate of the system should encrypt all information moving to and from the
website. This means no exchange between the Provider and its visitors can be
intentionally or accidentally “overheard” or tampered with by a third party, regardless of
whether the visitor is uploading, submitting, or downloading documents, including the
viewing of submitted bids and proposals. The SSL Certificate should not only confirm
the identity of the Provider to the visitor’s browser, but also should encrypt information
sent and received by the Provider.
The system must utilize a high-grade 256-bit SSL encryption to protect online
transactions and use of the system. The coding and encryption of the system must
prevent the opening and access of bids and proposals by any user other than the vendor
who submitted documents through the Provider’s website. A “security curtain” should be
encoded into the system that prevents city staff from viewing the source of vendor
submitted bids and proposals and the actual submitted documents until the designated bid
closing date and time has passed. With the release of the access and information
restriction to the city at the bid closing time, the security curtain instantly falls in place
for vendors so they can no longer access the documents they have submitted. This code
for the security curtain must be written and password protected within the administrator
panel of the system so it is not accessible to either city or vendor users at any time.