Ohio Department of Commerce Publishes Increased Bidding Threshold for Numerous Public Entities for 2025
Effective January 1, 2025, the competitive bidding threshold for numerous Ohio public entities as set forth in Ohio Revised Code (“ORC”) Section 9.17 increased from $75,000 to $77,250 through 2025. The Director of the Department of Commerce determines and publishes the amount annually to account for a three percent increase pursuant to ORC Section 9.17. This is the first such annual increase as initiated by the 2023 changes in the bidding threshold for Ohio political subdivisions.
Each type of political subdivision in Ohio has its own competitive bidding statute. The chart below summarizes the competitive bidding thresholds for various political subdivisions. However, this chart does not capture the full statutory requirements for each political subdivision, which are not the same. Additionally, there may be exceptions to competitive bidding requirements for specific political subdivisions. Also note that different statutory procurement processes and dollar thresholds may apply to engage design professionals, construction managers at risk, and design-builders.
|
Political Subdivision |
Competitive Bidding Threshold |
ORC Citation |
|
|
Cities and Villages* |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§§ 735.05, 731.14, 731.141 |
|
|
Counties* |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§ 307.86 |
|
|
County Sewer Districts |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§§ 6117.27, 307.86 |
|
|
Hospitals, County* |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§§ 307.86, 307.92 |
|
|
Hospitals, Joint Township Hospital Districts |
No threshold requirements are found in the Ohio Revised Code. |
||
|
Hospitals, Municipal |
$50,000 for construction projects subject to approval of the board of hospital trustees |
§ 749.26 |
|
|
Public Libraries* |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§ 3375.41 |
|
|
Metropolitan Housing Authorities |
All projects, regardless of cost, are subject to competitive bidding. |
§ 3735.36 |
|
|
Municipal Utilities (Water, Sewer, Gas and Electric)* |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§ 735.05 |
|
|
Port Authorities |
$150,000 |
§§ 4582.12(A), 4582.31(A)(18)(b) |
|
|
Public School Districts |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§ 3313.46(A) |
|
|
Regional Airport Authority* |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§ 308.13(A) |
|
|
Regional Sewer Districts |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§ 6119.10 |
|
|
Regional Transit Authority |
$100,000 |
§ 306.43(E)(3) |
|
|
Soil and Conservation Districts |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§§ 940.06(H)(1), 307.86 |
|
|
$250,000 (effective 1/19/2023; to be reviewed and adjusted every five years) |
§§ 153.01; 153.53 |
|
|
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) for most projects, but requirements vary depending on the purpose of the contract |
§§ 505.37, 511.12, 515.01, 515.07, 521.05, 505.35, 505.50 |
|
|
Park Districts |
As defined by ORC 9.17 ($77,250 through 2025, increased 3% yearly) |
§ 1545.07 |
* The law explicitly prohibits this political subdivision from dividing projects in order to avoid the competitive bidding requirements. However, it is implied and recommended practice for all public entities to refrain from doing so as well.
Each political subdivision should review the applicable statutory requirements and its own internal policies in consultation with legal counsel to determine the proper procedures for procurement, including bidding for construction contracts and other types of purchases.
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