Bidding, Bonding and Insurance

Bid Limits

Bid amounts of $100,000.00 or more:

Bid amounts of less than $100,000.00: 

  • A formal bid is not required
  • Local governments must receive at least two quotes

Small Purchases:

  • City of Saint Paul departments are authorized to make small purchases directly using a procurement card – limit: $2,500.00

Bid Bond

In order to be more equitable and align with the Minnesota State Statute, the City of Saint Paul now only requires bid bonds on projects over $100,000.00.  A 5% bid bond is required for all bids $100,000.00 or more.

Insurance

Overview

Saint Paul contracts typically contain a requirement that the contract holder provide evidence of insurance coverage.

  • Specific coverage requirements are governed by Minnesota Statute and risk management policies adopted by each government.
  • Potential bidders and proposers are advised to check the specification documents for the requirements on each contract.
  • Once a contract award has been made, the successful bidder/proposer usually has ten days to submit all of the required documents.

Insurance Requirements

Insurance coverage is required for contracts to protect both the contractor and the government.

Vendors with questions about the requirements should contact the buyer referenced on the Event Solicitation.

Useful Tips

Documents for your insurance agent:

  • Bids and quotes:  The successful vendor will receive an award notification letter containing the required coverage requirements. Give this to your insurance agent and tell the agent that the certificate must match the requirements or it will be returned for correction.
  • Request for Proposals (RFP):  Give your insurance agent the insurance requirements section of the RFP.
  • Make sure that the City of Saint Paul is named as an Additional Insured (as appropriate) on the insurance certificate. The language should state the following: "The City of Saint Paul, its officials, employees, agents and representatives are Additional Insureds."

Automobile Coverage

Evidence of automobile coverage is generally required when an individual must drive a vehicle (whether a personal, corporate vehicle, or rental car) to perform the services required by the contract.

Worker's Compensation

Worker's compensation is required by Minnesota Statute for companies with ten or more employees. The City of Saint Paul does not have the authority to exempt a contractor from providing worker's compensation coverage.

If you are not required to have Workers' Compensation Insurance, you must fill out this form.