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AL HB51
Bill
Status
4/12/2023
Primary Sponsor
Corley Ellis
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AI Summary
HB51 Summary
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Increases the competitive bidding threshold from $15,000 to $30,000 for state and local public awarding authorities, including counties, municipalities, school districts, and utility boards.
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Authorizes automatic cost adjustments to threshold amounts every three years beginning October 1, 2027, based on Consumer Price Index increases rounded to the nearest thousand dollars, subject to Legislative Council approval.
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Increases repair and equipment threshold from $22,500 to $40,000 for county and municipal highway and sanitation departments, and leasing thresholds from $5,000 to $10,000 monthly per unit.
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Modifies emergency contracting procedures to allow contracts without competitive bidding when delay would cause harm, provided the awarding authority documents price quotations and adopts a resolution declaring the circumstances and reasons.
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Becomes effective the first day of the third month following passage and gubernatorial approval.
Legislative Description
Relating to public contracts; to amend Sections 41-16-50, 41-16-51, 41-16-52, 41-16-53, 41-16-54, and 41-16-55, Code of Alabama 1975, to increase the threshold dollar amount for which competitive bidding is generally required for certain state and local public awarding authorities, with exceptions; to provide a legislative method for the increase of the threshold dollar amount; and in connection therewith would have as its purpose or effect the requirement of a new or increased expenditure of local funds within the meaning of Section 111.05 of the Constitution of Alabama of 2022.
Last Action
Referred to Committee to Senate Finance and Taxation Education
4/12/2023