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Franklin council raises department purchasing authority from $5,000 to $15,000
Summary
Council amended procurement ordinance chapter 23.5 to allow department heads to approve contracts up to $15,000 without requiring the city manager's signature, citing state procurement thresholds and the goal of reducing administrative bottlenecks.
Franklin City Council voted on Aug. 26 to amend its procurement ordinance (chapter 23.5, article 1, section 23.5-06) to increase the threshold a department head may approve without requiring the city manager's signature from $5,000 to $15,000.
Staff said the change reflects current state procurement practice and reduces the city manager's administrative burden: state procurement rules do not require formal bids until $30,000, and raising the local threshold to $15,000 would allow routine purchases to proceed more efficiently while remaining subject to budget-line availability and auditor review.
Some council members raised concerns about fiscal control and the temptation for department heads to seek larger budgets; staff responded that purchases still must be charged to line items with available unencumbered balances and remain subject to audit. The ordinance language adopted specifies that department heads may execute contracts for goods, services or construction not exceeding $15,000 and not exceeding the unencumbered balance available in that budgetary line.
The ordinance takes effect immediately as adopted by the council on Aug. 26, 2024.
