COLDWATER, MI (WTVB) – The Coldwater B.P.U. Board of Directors approved an updated Purchasing Policy during a mostly routine 15 minute meeting Wednesday night.
It was decided during 2022 to update the policy and make it a more modern document. During the course of updating the policy, a number of purchasing policies were reviewed from other Michigan cities.
City Finance Director Tom Eldridge said they did not try to reinvent the wheel. He pointed out it’s been awhile since the policy was updated.
The most notable updates are in the Purchasing Thresholds which Eldridge says have been increased to reflect changes in costs of the goods and services.
Purchases up to $5,000 can be authorized by Departments Heads.
Purchases of $5,001 – $15,000 require the Department Head to submit a requisition to the City Manager/Utility Director.
Purchases of $15,001 – $25,000 require bids, with the City Manager/Utility Director approving the most appropriate bid.
Purchases in excess of $25,000 follow the same procedure except that the City Manager/Utility Director will bring the bids and staff recommendation to the City Council/Utility Board.
An exception to this is that given the volume and nature of materials used within the utility operations that the Utility Director has the authority to approve purchases up to $50,000.
The Coldwater City Council is scheduled to take action on the update policy next Monday night, January 9, 2023.
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