The bill amends Sections 16-13B-1, 16-13B-4, and 16-13B-5 of the Code of Alabama 1975, increasing the minimum contract amount for competitive bidding by city and county boards of education from $15,000 to $25,000. This adjustment aims to streamline the bidding process by ensuring that only larger expenditures are subject to competitive bidding requirements. Additionally, the bill introduces a provision for a cost adjustment of these thresholds every three years based on the Consumer Price Index, helping to keep the bidding limits aligned with inflation. It also maintains the requirement for sealed bids and public openings while allowing for reverse auction procedures under certain conditions. Moreover, the bill addresses penalties for collusive bidding practices, stating that any collusion among bidders for contracts of $25,000 or less will result in disqualification from future bidding and classify the participants as guilty of a Class A misdemeanor. In contrast, collusion involving bids over $25,000 will be classified as a Class C felony. The legislation clarifies that it will not be subject to additional requirements under Section 111.05 of the Constitution of Alabama of 2022, as it does not introduce or modify existing crimes. The act is set to take effect on the first day of the third month following its passage and approval by the Governor, having already received unanimous support in the Senate.

Statutes affected:
Introduced: 16-13B-1, 16-13B-4, 16-13B-5
Engrossed: 16-13B-1, 16-13B-4, 16-13B-5