SUBJECT:
title
Approval of a resolution authorizing the President & CEO, or her designee, to amend the CapMetro Procurement Acquisition Policy to raise the small purchasing threshold from $50,000 to $100,000 to align with state law, and make other minor clarifications.
end
FISCAL IMPACT:
This action has no fiscal impact.
STRATEGIC PLAN:
Strategic Goal Alignment:
☐ 1. Customer ☐ 2. Community
☐ 3. Workforce ☒ 4. Organizational Effectiveness
EXPLANATION OF STRATEGIC ALIGNMENT: This aligns with CapMetro’s strategy to improve organizational effectiveness by aligning our small purchasing threshold with the thresholds established by State law for certain political subdivisions of the state.
BUSINESS CASE: Increasing the small purchasing threshold will ease procurement rules for moderately sized expenditures, which allows for greater flexibility and faster procurement for routine or lower-cost transactions.
COMMITTEE RECOMMENDATION: This item will be presented to the full board on August 25, 2025.
EXECUTIVE SUMMARY: Senate Bill 1173 (SB 1173), filed during the 89th legislative session and passed by both the Senate and the House, raises the Small Purchasing Threshold for certain political subdivisions of the State of Texas from $50,000 to $100,000 (CapMetro’s current small purchase threshold is $50,000). SB 1173 becomes law on September 1, 2025, and CapMetro’s Procurement Acquisition Policy requires a revision to align with the new law.
While increasing the threshold, the bill still aims to ensure transparency and accountability in public spending by maintaining the requirement for competitive bidding on larger contracts. Benefits include streamlining procurement processes for moderately sized purchases, allowing greater flexibility and quicker purchases of lower-cost transactions.
This proposed change to the policy also includes clarifications to sections I-5 and II-1.
DBE/SBE PARTICIPATION: Does not apply.
PROCUREMENT: Does not apply.
RESPONSIBLE DEPARTMENT: Procurement
body
RESOLUTION
OF THE
CAPITAL METROPOLITAN TRANSPORTATION AUTHORITY
BOARD OF DIRECTORS
STATE OF TEXAS
COUNTY OF TRAVIS
AI-2025-1582
WHEREAS, the Capital Metropolitan Transportation Authority Board of Directors and CapMetro Management endeavor to periodically amend the Procurement Acquisition Policy to ensure compliance with local, state and federal regulations and best practices; and
WHEREAS, the 89th Legislature passed SB 1173, which raised the monetary threshold at which competitive procurement methods are required from $50,000 to $100,000;
WHEREAS, the Capital Metropolitan Transportation Authority Board of Directors and CapMetro Management recognize the need to raise the small purchasing threshold stated in CapMetro’s Procurement Acquisition Policy.
NOW, THEREFORE, BE IT RESOLVED by the Capital Metropolitan Transportation Authority Board of Directors that the President & CEO, or her designee, is authorized to amend the CapMetro Acquisition Policy to revise the small purchasing threshold to align with other political subdivisions and make clarifications.
____________________ Date: ____________________
Secretary of the Board
Becki Ross