Washington State
House of Representatives
Office of Program Research
BILL
ANALYSIS

Local Government Committee

HB 2274


This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Brief Description: Increasing competitive bid limits for the purchase of materials, equipment, or supplies.

Sponsors: Representatives McIntire, B. Sullivan and Lovick.

Brief Summary of Bill
  • Increases the threshold purchase amount from two thousand five hundred dollars to five thousand dollars before a county must use specified vendor list procedures in awarding purchase contracts.
  • Eliminates specified contracting requirements with respect to county purchases of less than five thousand dollars.

Hearing Date: 2/26/07

Staff: Thamas Osborn (786-7129).

Background:

Purchase Contracts and Competitive Bidding by Local Governments
Local governments generally are allowed to purchase materials, supplies, and equipment below a certain dollar value without following a competitive bidding procedure. Formal competitive bidding procedures must be followed for purchases above a certain dollar value, with exceptions for emergency purchases and sole source purchases.

"Vendor List" Purchasing Contract Procedure
Legislation was enacted in 1993 establishing a uniform vendor list procedure for a number of different types of local governments to award medium dollar valued contracts for purchasing materials, supplies, equipment, or services.

A vendor list is established by publishing a notice, at least twice a year, soliciting vendors for inclusion on the list and initiating procedures for securing telephone or written quotations from at least three different vendors on the list. The purpose of this process is the ensure that a competitive price is established and the award is made to the lowest responsible bidder.

Requirements for Small Value County Purchasing Contracts
State law requires that a county must dispense with the formal bidding process and, instead, use the uniform "vendor list" contracting procedure for purchases of between two thousand five hundred dollars and twenty-five thousand dollars.

The county legislative authority is given broad discretion with respect to purchases of less than two thousand five hundred dollars and no specific procedures are required by statute.

Summary of Bill:

Increases the threshold purchase amount from two thousand five hundred dollars to five thousand dollars before a county must use specified vendor list procedures in awarding purchase contracts.

Eliminates specified contracting requirements with respect to county purchases of less than five thousand dollars.

Appropriation: None.

Fiscal Note: Not requested.

Effective Date: The bill takes effect 90 days after adjournment of session in which bill is passed.