Government Relations Update
Bidding Thresholds Increase (Effective Jan. 1, 2023)
The Pennsylvania Department of Labor & Industry published the authority and municipal bidding thresholds for 2023. Under Act 90 of 2011, the bidding thresholds provide for an annual inflation adjustment based on the Consumer Price Index for All Urban Consumers.
The percentage change for the 12-month period ending September 30, 2022, is 8.2%. PLEASE NOTE: The law (Act 90 of 2011) caps an increase at a maximum of 3%.
Beginning January 1, 2023, the bidding thresholds for municipal authorities will be as follows:
- Purchases and contracts below $12,200 require no formal bidding or written/telephonic quotations.
- Purchases and contracts between $12,200 and $22,500 require three written/telephonic quotations.
- Purchases and contracts over $22,500 require formal bidding.
