Bid Thresholds Raised For 2023
According to the California Department of Education Office of Financial Accountability and Information Services, pursuant to Public Contract Code section 20111(a), the bid threshold for K-12 school district purchases of equipment, materials, supplies, and services (except construction services) has been adjusted to $109,300, effective January 1, 2023. The notice may be viewed here.
The California Community Colleges Chancellor’s Office is expected to announce a similar adjustment to the bid threshold for community college district purchases of equipment, materials, supplies, and services (except construction services), pursuant to Public Contract Code section 20651(a), sometime in the near future. Once released, that information will be available here.
The bid limit for construction projects remains at $15,000.
The bid thresholds for cities, counties, and special districts are not affected by the bid limits discussed above.
For those school districts and other public entities that have adopted the California Uniform Public Construction Cost Accounting Act (CUPCCAA), the force account limit remains at $60,000, the informal bid limit is $200,000 and the limit for awarding informal bids is up to $212,500, provided that the cost estimate is determined to be reasonable. These limits were last adjusted as of January 1, 2019. (See 2018 Client News Brief Number 47.)
For more information on the new bid limits or bidding in general, please contact one of the authors of this Client News Brief or an attorney at one of our eight offices located statewide. You can also subscribe to our podcast, follow us on Facebook, Twitter and LinkedIn or download our mobile app.
As the information contained herein is necessarily general, its application to a particular set of facts and circumstances may vary. For this reason, this News Brief does not constitute legal advice. We recommend that you consult with your counsel prior to acting on the information contained herein.