Notice

Bidding Thresholds Increase for 2026 (Effective Jan. 1, 2026)

The Pennsylvania Department of Labor & Industry has released the updated bidding thresholds for 2026. Under state law, these thresholds are adjusted annually based on changes in the Consumer Price Index for All Urban Consumers (CPI-U) for the 12-month period ending September 30.

For the period ending September 30, 2025, the CPI-U increased by 3.0%, which is the statutory maximum allowable adjustment. As a result, the base amounts that determine when public bids, telephonic bids, or separate bids are required will increase by 3.0% for 2026.

Using the Department’s formula, the commonly used base amount of $23,781.36 for 2025 was adjusted upward by 3.0%, resulting in a new Final Adjusted Base Amount (FAA) of $24,500, effective January 1, 2026. Other bidding thresholds based on prior Preliminary Adjusted Bases are similarly increased.  

Updated thresholds for 2026 include:

• Purchases and contracts below $13,200 (2025 threshold; updated 2026 amount pending final rounding) require no formal bidding or written/telephonic quotations.  
• Purchases and contracts between $13,200 and $24,500 require three written/telephonic quotations.  
• Purchases and contracts over $24,500 require formal public bidding.

For additional information regarding this notice, click here.

For additional details or questions regarding the 2026 thresholds, please contact Ron Grutza at rgrutza@boroughs.org or Logan Stover at lstover@boroughs.org.