Senate Bill 369 amends several sections of the Tennessee Code Annotated regarding competitive sealed bids. It introduces a provision in Section 5-14-204(1) that allows changes to the applicable threshold for public advertisement and sealed competitive bids to be made by resolution of the governing body, in accordance with Section 12-3-1212. Additionally, Sections 5-14-205 and 6-56-305 are both deleted and replaced with new language that permits purchases, leases, or lease-purchase agreements under the established bid threshold to be made in the open market without the need for newspaper notice. However, it requires at least three written quotations for purchases that exceed 40% of the bid threshold or a lower amount set by the governing body.

The bill aims to streamline the procurement process for local governments by reducing the requirements for smaller expenditures while still ensuring some level of competition through the quotation process. The changes are intended to enhance efficiency in public purchasing while maintaining accountability and transparency in government spending. The act will take effect upon becoming law.

Statutes affected:
Introduced: 5-14-204(1), 5-14-204, 5-14-205, 6-56-305