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Board raises purchase order threshold and capitalization level in procurement code change

Nelson County Board of Supervisors · September 9, 2025
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Summary

After a public hearing with no speakers, the Board adopted Ordinance O2025‑08 to increase the county purchasing authorization threshold from $2,500 to $5,000 and to raise the fixed‑asset capitalization threshold from $5,000 to $10,000, aligning local practice with OMB guidance and neighboring localities.

Nelson County adopted an amendment to Chapter 2 (Administration) on Sept. 9 that raises the county purchasing authorization threshold and increases the fixed‑asset capitalization limit.

Grace E. Mawyer, Director of Finance and Human Resources, explained the proposed ordinance (O2025‑08) would change the purchasing authority threshold for department heads from $2,500 to $5,000 and raise the asset capitalization threshold from $5,000 to $10,000. Mawyer said the OMB updated uniform guidance in 2024 to raise the federal definition of equipment to $10,000, and the county’s auditors support the change.

After an advertised public hearing with no speakers, the Board voted unanimously (3–0) to adopt the ordinance. Mawyer said staff will update the Purchasing Policy to reflect the new thresholds and circulate the revised policy to departments.

The ordinance revisions modify language throughout Sec. 2‑1 including requisition and small purchase procurement thresholds and require updated documentation procedures for purchases above the new thresholds.