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Lewistown commission updates purchasing thresholds, sets July 1, 2026 effective date
Summary
The commission approved inflation-linked updates to the city's purchasing policy, raising several procurement thresholds (general purchases to $1,000; small purchases to $1,007–$7,500; purchase requisitions to $7,500–$20,000; large purchases threshold to $75,000) and set the policy to take effect July 1, 2026.
The Lewistown City Commission voted to update its purchasing policy to reflect inflation and to emphasize use of local vendors for smaller purchases. City Manager Holly Phelps outlined threshold changes: general purchasing authority rises to $1,000 (from $500); purchases between $1,007 and $7,500 would require at least two quotes; purchase requisitions would apply to purchases from $7,500 up to $20,000 before items come to the commission; and the formal bidding threshold for large purchases would move from $50,000 to $75,000.
Phelps said the city has historically set internal rules more stringent than state law and that the revised thresholds are intended as an inflationary adjustment. Commissioners discussed whether to implement the changes immediately or align them with the fiscal year; the commission set an effective date of July 1, 2026 "to fit with the budget cycle," Phelps said.
Commissioners also heard a staff recommendation to encourage use of local vendors for small purchases to keep more spending in the community. A motion to approve the purchasing policy update with an effective date of 07/01/2026 passed by recorded ayes.
Next steps: the updated procurement rules will take effect July 1, 2026; staff said they will communicate changes to departments and align capital purchase planning with the new thresholds.
