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HomePublic Utilities CodeDiv. 10Pt. 17Ch. 4Art. 4§ 106057 Public Contract Bidding Rules

§ 106057 Public Contract Bidding Rules

Public Utilities Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 106057 Public Contract Bidding Rules

This rule tells the school district how to buy things: big purchases over $150,000 must go to the lowest responsible bidder or the one that gives the best overall value, and medium purchases between $5,000 and $150,000 need at least three price quotes.

Key Takeaways

  • •Big buys over $150,000 need a lowest‑price or best‑value contract.
  • •Mid‑size buys between $5,000 and $150,000 need three price quotes.
  • •The rule stops working after January 1, 2030.

Example

The district needs new computers that cost $120,000.

Because the price is between $5,000 and $150,000, the district must get at least three quotes and compare them before deciding which vendor to pick.

How to Calculate

If PurchaseAmount > $150,000 → use lowest responsible bidder or best‑value selection; else if $5,000 < PurchaseAmount ≤ $150,000 → obtain at least three quotations; else → no special rule required.

  1. Look at how much the purchase will cost.
  2. If the cost is more than $150,000, choose the lowest responsible bidder or the bidder that gives the best overall value.
  3. If the cost is between $5,000 and $150,000, get at least three price quotes and compare them.
  4. If the cost is $5,000 or less, the rule does not require any special process.

The district wants to hire a cleaning service for $8,000.

Result: Because $8,000 is between $5,000 and $150,000, the district must get at least three quotations before picking a cleaning company.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 106057 Public Contract Bidding Rules

(a) The purchase of all services, supplies, equipment, and materials, when the expenditure required exceeds one hundred fifty thousand dollars ($150,000), shall, by contract, be let to the lowest responsible bidder, or, in the district’s discretion, to the responsible bidder who submitted a proposal that provides the best value to the district on the basis of the factors identified in the solicitation. “Best value” means the overall combination of quality, price, and other elements of a proposal that, when considered together, provide the greatest overall benefit in response to the requirements described in the solicitation documents. (b) To the extent practicable, the district shall obtain a minimum of three quotations, either written or oral, that permit prices and terms to be compared whenever the expected expenditure required for the purchase of services, supplies, equipment, or materials exceeds five thousand dollars ($5,000), but does not exceed one hundred fifty thousand dollars ($150,000). (c) For purposes of this section, the term “services” shall not include construction of public projects, as defined in Section 22002 of the Public Contract Code, or those services described in Section 4525 of the Government Code. (d) This section shall remain in effect only until January 1, 2030, and as of that date is repealed. (Amended by Stats. 2023, Ch. 107, Sec. 1. (SB 304) Effective January 1, 2024. Repealed as of January 1, 2030, by its own provisions. See later operative version added by Sec. 2 of Stats. 2023, Ch. 107.)

Last verified: January 11, 2026

Key Terms

contractbenefitofferfinecombinationqualityconstructionequipment

Related Statutes

  • § 102222 Public Contract Bidding Rules
  • § 728 Utility Rate Regulation
  • § 798 Utility Affiliate Payment Penalties
  • § 102161 Public Agency Service Contracts
  • § 120480 Local Sales Tax Authority

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Public Utilities Code. Section 106057.
View Official Source