The bidding thresholds for 2017 for public entities were set by the Pennsylvania Department of Labor and Industry. Under several Acts of 2011, the bidding threshold is adjusted annually based upon an increase in the Consumer Price Index-Urban for the previous 12 months. For 2016, the increase was 1.5%. Accordingly, the new bidding thresholds, effective January 1, 2017, are as follows:
- Any contract or purchase under $10,700 does not require formal bidding or telephone quotes;
- Any contract or purchase equal to or greater than $10,700 and less than $19,700 requires three telephone quotes or written/email quotes; and
- Any contract or purchase equal to or greater than $19,700 requires formal bidding as required by the governing code for the public entity (Borough Code, First/Second Class Township Code, Municipality Authorities Act, School Code, etc.).