Application of Part

  1. Law
  2. Tennessee Code
  3. Cities and Towns
  4. Fiscal Affairs
  5. Municipal Purchasing Law of 1983
  6. Application of Part

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This part shall apply to all purchases by authorized officials in all municipalities using or encumbering municipal funds, except as follows:

  1. This part shall not apply to purchases by authorized officials in municipalities that have a charter provision or private act that either establishes within the charter or act itself dollar limits over which competitive bidding is required, or authorizes the municipality to set a dollar limit by ordinance but establishes the maximum dollar limit over which competitive bidding is required, and the municipality has established either by charter, private act, or ordinance general bidding procedures that include, but are not limited to, public advertising, securing and opening bids, and any exemptions from competitive bidding. Any exemptions must be substantially similar to those listed in § 6-56-304, except that any dollar amounts listed must be established in accordance with the municipality's charter or private act;
  2. This part shall not apply to purchases by authorized officials in municipalities that have charter provisions relative to competitive bidding but that do not establish a dollar limit over which competitive bidding is required, as long as the municipality, by ordinance, establishes:
    1. A dollar limit over which competitive bidding is required, which may not exceed twenty-five thousand dollars ($25,000);
    2. A dollar limit, which may not exceed forty percent (40%) of the amount established under subdivision (2)(A), over which the municipality need not advertise but must, when possible, obtain three (3) competitive bids and below which no advertisement or competitive bidding is required;
    3. Procedures for public advertising, securing, and opening bids; and
    4. Any exemptions from competitive bidding, which must be substantially similar to those listed in § 6-56-304, except that any dollar amounts listed must be in accordance with the municipality's ordinances;
  3. This part shall not apply to purchases made under § 12-3-1201;
  4. This part shall not apply to investments in or purchases from the pooled investment fund established pursuant to title 9, chapter 4, part 7;
  5. This part shall not apply to purchases from instrumentalities created by two (2) or more cooperating governments such as, but not limited to, those established pursuant to the Interlocal Cooperation Act, compiled in title 12, chapter 9; and
  6. This part shall not apply to purchases from nonprofit corporations such as, but not limited to, the Local Government Data Processing Corporation, whose purpose or one of whose purposes is to provide goods or services specifically to municipalities.


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