To: Board of Supervisors
Department or Agency Name(s): Sonoma County Public Infrastructure
Staff Name and Phone Number: Johannes J. Hoevertsz-SPI, 707-565-2550
Vote Requirement: Majority
Supervisorial District(s): All
Title:
Title
Increase to Services Procurement Threshold - Adopt Ordinance
Recommended Action:
Recommended action
Adopt an ordinance amending Sonoma County Code Section 2-58, to increase the competitive procurement threshold for services contracts from $50,000 to $75,000 annually.
end
Executive Summary:
Sonoma County Public Infrastructure (SPI), Purchasing Division (Purchasing), recommends amending the Sonoma County Code section 2-58 to increase the annual threshold requiring a formal competitive solicitation for services contracts from $50,000 to $75,000.
The proposed $75,000 threshold would align with the contracting authority delegated to department and agency heads by Resolution No. 26-0334 adopted on August 25, 2026.
This alignment is intended to standardize procurement requirements, reduce administrative delays, and improve consistency across County contracting practices.
Discussion:
In 2025 the Board of Supervisors approved an increase to the Purchasing Agent’s delegated authority for services agreements, from $100,000 to $200,000 annually, for agreements not to exceed three years. Other delegated-authority and competitive-procurement thresholds for services and goods have not been substantially updated since 2016, despite inflation, increased contract complexity, and changing operational needs; all of which have materially changed the County’s contracting environment.
The County’s procurement authority framework is primarily governed by Sonoma County Code Chapter 2, Article V, existing Board resolutions, and associated procurement policies and procedures. Many of the current procurement thresholds were established more than ten years ago and no longer reflect current operational needs.
In 2016, the Board adopted Ordinance No. 6165 and related Resolutions increasing delegated authority thresholds for services agreements from $25,000 to $50,000 and establishing a general formal competitive solicitation requirement for most service agreements exceeding $50,000 annually.
Since that time, County departments have experienced:
• Increased administrative workload related to preparation and processing of lower-value agreements, including procurement timelines and increased staff and legal review.
• Greater operational demands resulting from changing local, state and federal requirements, community needs, emergency response, inflation, and expanded service delivery.
The proposed amendment to the County Code is part of the procurement-modernization package presented and approved by your Board on August 25, 2026. The updates are intended to improve efficiency while preserving internal controls and oversight.
Procurement Activity and Operational Data
Based on Fiscal Year 2025-26 procurement activity, the County executed approximately 708 service agreements with a total value of approximately $283 million, in addition to numerous agreements for goods, grants, leases, and construction.
Of the 708 service agreements executed during that fiscal year, 363 had a total value between $0 and $75,000. Of those, 48 were valued between $50,001 and $75,000 and would have qualified under the updated thresholds. These 48 agreements represent approximately 13% of agreements valued at $75,000 or less and generally involve routine operational needs that could be processed more efficiently while maintaining appropriate oversight and internal controls.
Following is a breakdown of Fiscal Year 2025-26 Service Contract procurement data:
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Service Contract Value |
Contract Count |
Total Amount |
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$50,000 and Under |
315 |
$7,458,778 |
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$50,001 - $75,000 |
48 |
$3,185,666 |
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$75,001 - $200,000 |
151 |
$20,512,654 |
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$200,001 and Over |
194 |
$251,930,033 |
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Historical procurement review data also indicates that a significant number of professional services agreements fall within the proposed increased thresholds.
For example, in Fiscal Year 2024-2025, approximately 812 professional services agreements were executed Countywide. Of those, approximately 393 agreements were under $50,000 annually and approved by Department Heads, and approximately 46 agreements were between $50,000 and $75,000 annually and required Purchasing Agent approval.
Proposed Amendment: Increase Competitive Procurement Thresholds
Background: Sonoma County Code Section 2-58(a) requires formal competitive solicitation processes in general for most services agreements exceeding $50,000 annually. For Goods procurement, solicitation thresholds are set by the County “Goods Policy” maintained by the Purchasing Division pursuant to Sonoma County Code section 2-53.
The current thresholds no longer align with current procurement realities, inflation-adjusted contract values, or operational needs.
Proposed Solution: The proposed Ordinance would increase formal competitive solicitation thresholds to $75,000 annually for services contracts. If enacted, Purchasing intends to update the Goods Policy to align with the increased service contract threshold.
For contracts below the revised thresholds, departments would continue to be responsible for utilizing informal competitive processes and methods designed to secure the lowest competitive pricing consistent with operational requirements.
Departments would remain subject to all applicable:
• County procurement policies.
• State procurement laws.
• Conflict-of-interest requirements.
• Internal control requirements.
• Audit and documentation standards.
• Competitive procurement procedures.
County Departments will still need to secure approval from the Purchasing Agent for any sole source or single source procurement.
Operational Benefits: The proposed amendment is anticipated to provide the following operational benefits:
• Reduced administrative workload.
• Faster procurement processing timelines.
• Improved operational responsiveness.
• Improved procurement consistency.
• Improved vendor experience.
• More efficient allocation of Purchasing and County Counsel resources.
• Enhanced standardization.
The amendment would reduce the number of routine, lower-value agreements requiring formal solicitation, allowing departments, Purchasing staff, County Counsel, and the Board to focus resources on higher-value and more complex procurements.
The Department Heads and leadership of the affiliated agencies and districts support the proposed amendment and view the recommended change as operationally beneficial and consistent with best procurement practices.
Strategic Plan:
This item directly supports the County’s Five-year Strategic Plan.
Pillar: Organizational Excellence
Goal: Goal 1: Strengthen operational effectiveness, fiscal reliability, and accountability
Objective: Objective 4: Streamline routine administrative procedures and workflows and delegate more signature authority to department heads in order to re-direct work force resources to more strategic priorities.
Racial Equity:
Was this item identified as an opportunity to apply the Racial Equity Toolkit?
No.
Prior Board Actions:
• August 25, 2026: Increase to Department Head delegated authority for services contracts - Resolution No. 26-0334. Adopted a Resolution introducing, reading the title of, and waiving further reading of the proposed Ordinance amending Sonoma County Code Section 2-58, to increase the competitive procurement threshold (First Read). Adopt a Resolution updating delegations of authority to the General Manager of the Sonoma County Agricultural Preservation and Open Space District - Resolution No. 26-0335.
• March 15, 2026: Increase Delegated Signature Authority Sonoma County Water- Resolution No. 16-0103 (March 15, 2016), increasing delegated signature authority of the Sonoma County Water Agency General Manager for sanitation district service agreements from $25,000 to $50,000.
• May 13, 2025: Increase Purchasing Agent Authority - Increase Purchasing Agent authority to $200,000 and standardize County contract templates and procurement practices. (Ordinance No.6524 <https://library.municode.com/ca/sonoma_county/ordinances/code_of_ordinances?nodeId=1369946>)
• July 16, 2016: Increase Delegated Signature Authority CDC - Resolution No. 16-0272 (July 19, 2016), increasing delegated signature authority of the Community Development Commission Executive Director from $25,000 to $50,000.
• May 24, 2016: Revise Purchasing Agent delegated Authority - Sonoma County Ordinance No. 6165 (May 24, 2016), amending Sonoma County Code Chapter 2 to revise Purchasing Agent delegated authority and establish formal competitive solicitation requirements for services contracts exceeding $50,000 annually. (sonoma-county.granicus.com <https://sonoma-county.granicus.com/MetaViewer.php?clip_id=614&meta_id=191571&view_id=3&utm_source=chatgpt.com>)
• March 15, 2016: Increase Delegated Signature Authority - Resolution No. 16-0102 (March 15, 2016), increasing delegated signature authority for County Department Heads, Sonoma County Water Agency, Sonoma County Agricultural Preservation and Open Space District, and related entities from $25,000 to $50,000 annually for services agreements. (sonoma-county.granicus.com <https://sonoma-county.granicus.com/MetaViewer.php?clip_id=614&meta_id=191571&view_id=3&utm_source=chatgpt.com>)
• April 23, 2002: Grant of authority to Ag + Open Space General Manager - Resolution No. 02-0405, granting authority to the General Manager to enter into contracts for services and supplies up to $25,000.
• March 12, 2002: Grant authority to Sonoma County Water Agency - Resolution No. 02-0234 (March 12, 2002), granting authority to the Sonoma County Water Agency General Manager/Chief Engineer to engage independent contractors for services up to $25,000.
• March 21, 1995: Establish Exemptions for Purchasing Procedures - Resolution No. 95-0328 (March 21, 1995), establishing exemptions from Purchasing procedures for County officers authorized to execute agreements within Board-established limits.
• April 6, 1993: Authorize Purchasing Agent to engage Independent Contractors - Sonoma County Ordinance No. 4654 (April 6, 1993), authorizing the Purchasing Agent to engage independent contractors for services up to $25,000.
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Expenditures |
FY 26-27 Adopted |
FY 27-28 Projected |
FY 28-29 Projected |
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Budgeted Expenses |
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Additional Appropriation Requested |
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Total Expenditures |
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General Fund/WA GF |
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State/Federal |
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Fees/Other |
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Use of Fund Balance |
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Contingencies |
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Total Sources |
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Narrative Explanation of Fiscal Impacts:
There are no direct fiscal impacts associated with the recommended action. The proposed ordinance amendments are anticipated to improve operational efficiency, reduce administrative processing time, and allow more efficient use of existing County staff resources.
Staffing Impacts:
None.
Narrative Explanation of Staffing Impacts (If Required):
None.
Attachments:
1 - Proposed Ordinance Amending Sonoma County Code Chapter 2, Article V. - Strikeout
2 - Proposed Ordinance Amending Sonoma County Code Chapter 2, Article V. - Clean
Related Items “On File” with the Clerk of the Board:
Resolution No. 16-0102.
Resolution No. 16-0103.
Resolution No. 16-0272.
Resolution No. 02-0234.
Resolution No. 95-0328.
Ordinance No. 6165.
Ordinance No. 4654.
Ordinance No. 6524.