Skip to main content

Municipal Technical Advisory Service (MTAS)

Competitive Bidding with Centralized Purchasing Authority

Reference Number: MTAS-3004
Reviewed Date: 12/21/2021
Public advertisement and competitive bid thresholds are established as part of the Municipal Purchasing Law of 1983. However, with the passage of TCA § 12-3-1212 additional authority to raise the public advertisement and competitive bid limit is available only to those local government entities that have centralized purchasing authority and a full-time purchasing agent.
By ordinance, the threshold over which public advertisement and competitive sealed bids or proposals are required may be increased to an amount not to exceed $25,000 for non-emergency proprietary purchases, regardless of language in a charter or private act to the contrary. For purchases costing less than the threshold but more than 40% of the threshold or some lower amount set by the governing body, three written quotations are required whenever possible. For purposes of teh bid threshold, purchases of like items are to be aggregated.