Bidding and Insurance
Bid amounts of $100,000 or more:
- The City of Saint Paul is required to use a formal, sealed, and competitive bidding process per the State of Minnesota's Uniform Municipal Contracting Law - Chapter 471, Section 471.345.
Bid amounts of less than $100,000:
- A formal bid is not required
- Local governments must receive at least two quotes
- City of Saint Paul departments are authorized to make small purchases directly using a procurement card – limit: $2,500
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.
- Saint Paul requirements are higher than the minimums under the Minnesota State Statute.
- Potential bidders and proposers are advised to check the specification or Requests for Proposal (RFP) 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 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 bid/RFP cover form.
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.
- RFPs: 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.
Bid or RFP Number
Ask your insurance agent to mark the Bid or RFP number on the insurance certificate or clearly state the name of the project on it. The Procurement office receives dozens of insurance documents each day, so it is important for procurement staff to be able to correctly match the insurance certificate to the appropriate project.
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 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.