Bid & Quote Thresholds

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Horizontal Infrastructure
Vertical Infrastructure

Bid & Quote Thresholds
Definitions

General Guidance

Step 1. Determine if the work is horizontal or vertical infrastructure, according to the definitions below.

Horizontal infrastructure: Any publicly owned road, bridge or culvert.
Vertical infrastructure: As defined in 761 Iowa Administrative Code Chapter 180.

Step 2. Determine if the work is considered “construction, reconstruction, or improvement”; or if it is considered “maintenance or repair”, using the definitions at the bottom of this page.

Note: Examples of horizontal infrastructure work considered to be “construction, reconstruction or improvements” and horizontal infrastructure work considered to be “maintenance and repair” are provided for cities and counties in the City Street Finance Report Instructions and County Annual Report Instructions (1.85 MB) .pdf , respectively.

Horizontal Infrastructure

1. Construction

A. Cities

For construction, reconstruction, or improvement work estimated to exceed the current competitive bid threshold, bid the work and follow the procedures in Iowa Code sections 26.3 through 26.13. For cities, Iowa Code 314.1(2) makes Iowa Code 26.3 through 26.13 applicable to Horizontal Construction. 2017 Iowa Acts – Senate File 438 also applies. Section 2 of the bill added Iowa Code Section 26.16, which was effective beginning April 13, 2017.

B. Counties

For construction, reconstruction, or improvement work estimated to exceed the current competitive bid threshold, bid the work and follow the procedures in Iowa Code Section 331.341. County contracts for improvements which may be paid for from the secondary road fund shall be awarded in accordance with sections 309.40 to 309.43, 310.14, 314.1, 314.2, and other applicable state law. Counties do not follow the procedures of Iowa Code Chapter 26, due to the definition in Iowa Code Section 26.2.

Note for Cities and Counties:

Competitive quote procedures are not required for horizontal infrastructure.

2. Maintenance

Maintenance or repairs, regardless of the costs; and construction, reconstruction or improvement work estimated to be less than or equal to the current bid threshold, are not subject to the bid thresholds. This work may be accomplished by competitive bids, competitive quotes, city or county forces, or informal methods in accordance with city or county policies.

Vertical Infrastructure

1. Construction

If the estimated cost of the public improvement exceeds the current bid threshold, counties and cities should follow the competitive bid process in Iowa Code section 26.3 through 26.13. 2017 Iowa Acts – Senate File 438 also applies. Section 2 of the bill added Iowa Code Section 26.16, which was effective beginning April 13, 2017.

If the estimated cost of the public improvement is less than the current bid threshold, but more than the current competitive quote threshold, follow the competitive quotation process in Iowa Code 26.14 and 761 Iowa Administrative Code Chapter 180.

If the estimated cost of the public improvement is less than or equal to the competitive quote threshold, the work may be accomplished by city or county forces, or by informal methods in accordance with city or county policies.

Note for Cities and Counties:

Competitive quote procedures for vertical infrastructure were not implemented until Jan 1, 2007.

2. Maintenance

Maintenance or repairs may be performed by city or county forces and are not subject to the bid or quote thresholds, regardless of the estimated costs. However, if the work cannot be accomplished by city or county forces, the city or county must follow either the competitive bid or competitive quote process, as applicable, based on the estimated cost of the work, as described above.