Chapter 3.17


3.17.010    Purpose and intent.

3.17.020    Definitions.

3.17.030    Contractor responsibilities.

3.17.040    Right to audit.

3.17.050    Debarment for false claims.

3.17.060    Procedures for administrative debarment.

3.17.070    Period of debarment.

3.17.080    Incorporation into contract.

3.17.090    Retroactivity.

3.17.010 Purpose and intent.

The city council finds that, in awarding contracts for the construction of public works projects, and for other city jobs and supplies, it is acting with public funds and is responsible to the residents of the city of San Pablo to spend such funds responsibly, it is the intent of the city council that contractors and consultants who have failed to comply with the terms of their contracts, or who have submitted false claims to the city or redevelopment agency, should not be considered responsible bidders for the purpose of awarding city contracts to the lowest responsible bidder. (Ord. 2000-003 § 1 (part), 2000)

3.17.020 Definitions.

For purposes of this chapter, the words set out in this section shall have the following meanings:

“Claim” includes any request or demand for money, property, or services made to any employee, officer or agent of the city or redevelopment agency, or to any person, grantee or other recipient, whether under contract or not, if any portion of the money, property or services requested or demanded issue from, or was provided by, the city or redevelopment agency.

“Knowing” and “knowingly” mean that a person, with respect to information, does any of the following:

1.    Has actual knowledge of the information;

2.    Acts in deliberate ignorance of the truth or falsity of the information;

3.    Acts in reckless disregard of the truth or falsity of the information.

Proof of specific intent to defraud is not required.

“Person” includes any natural person, corporation, firm, association, organization, partnership, limited liability company, business or trust. (Ord. 2000-003 § 1 (part), 2000)

3.17.030 Contractor responsibilities.

Successful bidders for city jobs shall be required to comply with all terms of their contracts with the city or redevelopment agency, and shall not submit any invoices or requests for payment unless they have first reviewed such invoices and requests thoroughly, and are satisfied that such invoices or requests are authorized by the contract, are factually accurate, and are supported by adequate documentation. The failure to so review or to provide adequate documentation shall be considered to be reckless disregard or deliberate ignorance of the truth or falsity of the information should the invoice or request, or the information contained therein, turn out to be false. (Ord. 2000-003 § 1 (part), 2000)

3.17.040 Right to audit.

The city shall have the right to audit the business records of any contractor whose invoices are not supported by adequate documentation. Refusal to provide such documentation, or allow such audit, within a reasonable period of time, shall be unlawful. This section shall be incorporated by reference into all public works contracts. (Ord. 2000-003 § 1 (part), 2000)

3.17.050 Debarment for false claims.

Any person who fails to comply with the terms of its contract with the city, or who knowingly submits false claims, may be declared an irresponsible bidder or an unqualified consultant and debarred according to the procedures set forth in this chapter. (Ord. 2000-003 § 1 (part), 2000)

3.17.060 Procedures for administrative debarment.

Notwithstanding and not exclusive or preclusive of any pending or contemplated legal action, any division manager of the city responsible for the contracted work may bring charges to his or her department head against a person for violation of a contract or for submitting a false claim. The department head shall give written notice to the person of the charges and of all evidence supporting such charges. The department head shall then conduct a hearing where the charges and all evidence shall be presented. The person shall be entitled to offer rebuttal evidence in support of his or her position. Formal rules of evidence and procedure shall not apply. In the alternative, the department head may appoint a hearing officer to conduct such hearing and make a recommendation to be submitted to the department head. Following the hearing, at which evidence is required to be taken, the department head shall render a final written decision based solely on the evidence and testimony presented. The decision shall provide notification of rights to challenge the decision in court under Code of Civil Procedure Sections 1094.5 and 1094.6. (Ord. 2000-003 § 1 (part), 2000)

3.17.070 Period of debarment.

Any final written decision by the department head that includes a determination of non-responsibility or disqualification shall provide for a term of debarment. The maximum period for debarment shall be five years. During such debarment, the person shall not be permitted to act as a contractor or consultant for the city or development agency, and bids from such persons shall not be opened. Following any decision finding a person nonresponsible, the department head retains authority to modify the decision. (Ord. 2000-003 § 1 (part), 2000)

3.17.080 Incorporation into contract.

All specifications for public works contracts shall, and all other city contracts may, contain the following provision:

The submittal of false claims to the City of San Pablo is unlawful under Chapter 3.17 of the San Pablo Municipal Code. Submittal of false claims shall be vigorously defended and such claims shall be submitted to the City Attorney for investigation and a determination of whether or not to file an action for civil penalties against the person under Section 12960, et seq. of the California Government Code. In addition, submittal of false claims may result in a determination of non-responsibility and disqualification from bidding on City or Redevelopment Agency projects for a five-year period. Chapter 3.17 is specifically incorporated by reference into this contract. (Ord. 2000-003 § 1 (part), 2000)

3.17.090 Retroactivity.

This chapter shall apply so that any person who has contracted with the city within two years prior to the effective date of this chapter may be debarred for false claims made during such prior contracts. (Ord. 2000-003 § 1 (part), 2000)