Office of the Inspector General Advisory
The Office of the Inspector General, among others, have filed bills and lobbied extensively to eliminate the so called "dollar one" issue in the public building construction law, in an attempt to promote efficiency in government and cost effective administration. This Office is happy to announce that, effective November 24, 2009, Chapter 166 of the Acts of 2009, section 30, amended M.G.L. c.149, §44A(2) to allow for the use of sound business practices for the procurement of construction, reconstruction, installation, demolition, maintenance or repair of a building by a public agency, estimated to cost less than $5,000. This amendment removes the previous requirement to solicit at least three written price quotations when procuring these services. However, please note that your local rules may dictate more rigorous procedures for these contracts.
The amendment also states that when procuring building construction of less than $5,000 you must keep a record which, at a minimum, must include the name and address of the person from whom the services were procured.
This amendment does not eliminate the requirement to obtain a payment bond for projects costing $2,000 or more or the requirement to pay prevailing wage.
The amendment can be accessed at An Act Establishing Fiscal Stability Measures for Fiscal Year 2010