The Wisconsin Legislature is considering a new bill that would significantly change requirements for competitive bidding of public construction contracts by local government units and school districts.  Currently, school districts are not required to use the competitive bidding process although many school districts do follow that bidding process for its construction projects.  Local government units are required to follow a competitive bidding process for any public construction project that would exceed $25,000 in anticipated costs.

Under the new legislation contained in Senate Bill 236, the threshold amount for local government units that must be considered for competitive bidding will be increased to $50,000.  Public construction projects (not service contracts) in excess of $50,000 would have to be awarded based upon the competitive bidding requirements.  Further, all school districts would be required to use a competitive bidding process for any public construction projects that would exceed $50,000 in estimated value.  This would be a mandatory requirement for school districts whereas school districts currently have the discretion to decide whether or not to use a competitive bidding process.

The Bill is going through the public hearing process and will likely be voted on over the course of the next several days.  The Bill will then be referred to the entire Senate for consideration.