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F I S C A L I M P A C T R E P O R T

SPONSOR Ulabarri

ORIGINAL DATE

LAST UPDATED

1/26/08

HB

SHORT TITLE Competitive Sealed Bids and Small Purchases Increase SB 457

ANALYST Propst

APPROPRIATION (dollars in thousands)

Appropriation

Recurring

or Non-Rec

Fund

Affected

FY08

FY09

NFI

General Fund

(Parenthesis ( ) Indicate Expenditure Decreases)

SOURCES OF INFORMATION

LFC Files

Responses Received From

General Services Department (GSD)

SUMMARY

Synopsis of Bill

Senate Bill 457, Relating to Procurement; Increasing the Limits for Expenditures for

Competitive Sealed Bids and for Small Business, raises the limit required for formal bids and

advertisement for small purchase from $20 thousand to $30 thousand.

FISCAL IMPLICATIONS

The appropriation of $0.0 thousand contained in this bill is a non-recurring expense to the

general fund. Any unexpended or unencumbered balance remaining at the end of FY09 shall

revert to the general fund.

SIGNIFICANT ISSUES

GSD notes that SB 457 eliminates the formal bid process, including public notice, for purchases

of goods and non-professional services between $20 thousand and $30 thousand. (The limit for

professional services, as defined in Section 13-1-76 of the Procurement Code, is $50 thousand.)

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