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June 17, 2010

Re:    5-Year Bid Threshold Increase Announcement

Dear Mayor:

The Division of Local Government Services recently released Local Finance Notice 2010-13, which adjusts the bid thresholds for awarding contracts by various contracting units.  The bid threshold for contracting units governed by the Local Public Contracts Law (N.J.S.A. 40A:11-2) and the Public School Contracts Law (N.J.S.A. 18A:18A-2) will rise from $21,000 to $26,000 on July 1, 2010.

Contracting units that have appointed a Qualified Purchasing Agent pursuant to N.J.S.A. 40A:11-9(b) and take advantage of a higher bid threshold pursuant to N.J.S.A. 40A:11-3(a) and 18A:18A-3(a), have their maximum bid threshold increased from $29,000 to $36,000. 

Contracting units should review their procurement policies and enabling resolutions or ordinances to determine what action, if any, is needed to take advantage of the higher bid and quotation thresholds.

You can find Local Finance Notice 2010-13 at

Very truly yours,


William G. Dressel, Jr.
Executive Director


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