Bid-splitting” or “cost-splitting” is the dividing of orders for supplies or services into smaller quantities in order to avoid the statutory threshold for advertised competition.
Bid/Cost Splitting Examples:
A vendor provides a quote for services at $2,000.00 to avoid the contract process you ask the vendor to reduce their price to $1,999.00.
The vendor provides a quote for $4,000 but you want to use different fund accounts to pay for the service so you submit multiple requisitions under $2,000.00.
The vendor provides a quote for $65,000.00 but you submit multiple requisitions for different dates of service.