INCREASE IN SCHOOL DISTRICT BID LIMITS
On December 13, 2014, Pennsylvania’s Department of Labor and Industry announced a 1.7% increase to the base amounts used by public school districts to determine whether competitive bidding and/or multiple price quotes are required under Sections 751 and 807.1 of the Public School Code.
Accordingly, school districts may use the following dollar thresholds when determining whether competitive bidding and/or multiple price quotes are required for construction-related projects and non-exempt purchases:
• Section 751 – Construction Projects – Public bidding is required for construction, reconstruction, repairs, maintenance or work to public school buildings, where the entire cost, value, or amount of such work, including labor and material, exceeds $19,400. For construction-related work costing more than $10,500 and less than $19,400, three (3) written or telephonic quotations must be obtained. A school district’s own maintenance personnel may perform such work without soliciting bids or quotes, if the entire cost is less than $10,500.
• Section 751 – Separate Contracts– Separate specifications, bids and contracts for electrical, plumbing, mechanical and general trades work are required for construction-related work on any public school building, where the entire cost for such work exceeds $19,400.
• Section 751 – School Supplies– Public bidding is required for purchases of non-exempt furniture, equipment, school supplies and other appliances where the cost of the purchase is $19,400 or more. For non-exempt purchases costing more than $10,500 and less than $19,400, three (3) written or telephonic quotations must be obtained.
We hope you find this issue of KKAL’s Education Law Watch helpful and informative. Please understand that the Law Watch is designed to provide information about current developments and required actions. It does not constitute legal advice, and school districts should consult a lawyer knowledgeable in this area of the law prior to taking specific actions on the issues addressed.
If you have any questions regarding any education law matter, including the issues discussed in this newsletter, please do not hesitate to contact us at (717) 392-1100, or email us at the addresses below.
KEGEL KELIN ALMY & LORD LLP
Education Law Group
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Kegel Kelin Almy & Lord LLP is a regional law firm with offices in Lancaster, Pennsylvania. KKAL is solicitor and general counsel for 20 school districts and joint school systems – and bond counsel, finance counsel, or special joint counsel to many others in Central and Eastern Pennsylvania. In addition, KKAL frequently serves Pennsylvania school districts for unusual and challenging problems, projects, or litigation.