NJ Division of Purchase and Property - Adjustment to Public Bidding Threshold

Adjustment to Public Bidding Threshold

TO: All Affected Agencies

FROM: Elizabeth Maher Muoio, State Treasurer

DATE: June 1, 2020

SUBJECT: Adjustment To Public Bidding Thresholds – 5 Year Schedule

Pursuant to the provisions of the Public Laws cited herein, after consulting with the Governor, in March 2020 the Treasurer exercised the statutory authority pursuant to N.J.S.A. 52:34-7 to adjust the bid thresholds for awarding a contract without advertising as noted below. Accordingly, all covered purchases and contracts, which exceed these established thresholds, must be achieved through open competitive bidding.

These adjustments are effective as of July 1, 2020.

	Jurisdiction	2010 Threshold	2015 Threshold	2020 Threshold
N.J.S.A. 18A:18A-3[1]	Public School Districts	$26,000	$29,000	$32,000
N.J.S.A. 18A:18A-3	Public School Districts With a Qualified Purchasing Agent	$36,000	$40,000	$44,000
N.J.S.A. 40A:11-3[2]	Local Public Contracts Law (including County Bridge Commissions and Joint Sewer Plants)	$17,500	$17,500	$17,500
N.J.S.A. 40A:11-3	Local Public Contracts Law (including County Bridge Commissions and Joint Sewer Plants) With a Qualified Purchasing Agent	$36,000	$40,000	$44,000
N.J.S.A. 52:34-14	State House Commission	$36,000	$40,000	$44,000
N.J.S.A. 58:1B-22	New Jersey Water Supply Authority (DEP) Contracts Necessary to Water Supply Management	$36,000	$40,000	$44,000
N.J.S.A. 5:10-21.1	New Jersey Sports and Exposition Authority	$36,000	$40,000	$44,000
N.J.S.A. 27:23-6.1	New Jersey Turnpike Authority	$36,000	$40,000	$44,000
N.J.S.A. 13:17-6.1[3]	Hackensack Meadowlands Development Commission	$36,000	$40,000	$44,000
N.J.S.A. 18A:71A-10	Higher Education Student Assistance Authority	$36,000	$40,000	$44,000
N.J.S.A. 27:25A-8	South Jersey Transportation Authority	$36,000	$40,000	$44,000
N.J.S.A. 52:25-23 N.J.S.A. 52:34-7	Division of Purchase and Property	$36,000	$40,000	$44,000
N.J.S.A. 52:34-7	Division of Building and Construction	$59,000	$65,000	$71,000

Any questions or comments regarding this memo should be directed to the Director’s Office, Department of the Treasury, Division of Purchase and Property at 609-292-4886 or to the Department of Community Affairs, Division of Local Government Services, Purchasing & Procurement Unit at 609-292-6110.

¹ Pursuant to N.J.S.A. 18A:18A-3(a), “the board of education may adopt a resolution to set a lower threshold for the receipt of public bids or the solicitation of competitive quotations.”

²Pursuant to N.J.S.A. 40A:11-3 and Local Finance Notice 2011-15, the bid threshold, for entities without a Qualified Purchasing Agent, under the Local Public Contracts Law was set at $17,500 and is not subject to the Governor’s adjustment. Additionally pursuant to N.J.S.A. 40A:11-3(a) “the governing body of any contracting unit may adopt an ordinance or resolution to set a lower threshold for the receipt of public bids or the solicitation of competitive quotes.”

³In February 2015 the Hackensack Meadowlands Development Commission (N.J.S.A. 13:17-6.1) a/k/a New Jersey Meadowlands Commission was consolidated into the New Jersey Sports and Exposition Authority.