Contracts FAQ 7

Is it possible to avoid the competitive bid law by dividing the work into a series of small contracts each of which are under $25,000?
In most cases, no. In general, municipalities cannot evade the statutory bid requirements by dividing a public construction project into small segments that fall under the $25,000 statutory bidding threshold. Menzl v.City of Milwaukee, 32 Wis.2d 266, 274, 145 N.W.2d 198, 202 (1966); see also Contracts # 350. However, in public contracts for the construction, repair, remodeling or improvement of a public building or structure, other than highway structures and facilities, a municipality may bid such construction based on a single or multiple division of the work. Wis. Stat. sec. 66.0901(6).