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Date Available
9-10-2026
Year of Publication
2026
Document Type
Graduate Capstone Project
Degree Name
Master of Public Financial Management
College
Graduate School
Department/School/Program
Public Administration
Faculty
Iuliia Shybalkina
Committee Member
Rhonda Trautman
Faculty
Margaret Plattner
Abstract
Municipal procurement policies are intended to balance fiscal accountability with the efficient acquisition of goods and services necessary to support public operations. One of the primary mechanisms used to achieve this balance is the establishment of purchasing thresholds that determine when formal contracts are required. While these controls are essential for protecting public resources, procurement policies should also evolve to reflect changing economic conditions and contemporary public-sector management practices.
The City of Toledo currently requires formal contracts and legislative approval for purchases exceeding $10,000 pursuant to Toledo Municipal Code, Chapter 13, Section 228 (City of Toledo Municipal Code, 2026). This threshold has remained in place since at least 1992 despite more than three decades of inflation and significant increases in the costs of goods and services. As purchasing costs have increased, an expanding number of routine operational purchases now exceeds Toledo’s contract threshold. The purpose of this capstone project is to evaluate whether Toledo’s current contract threshold continues to provide an appropriate balance between fiscal accountability and administrative efficiency. Using a qualitative comparative policy analysis, the study examines procurement policies and administrative practices utilized by the cities of Akron, Cincinnati, Cleveland, Columbus, Dayton and Toledo.
The comparative analysis produced four principal findings. First, Toledo maintains the lowest contract threshold among all municipalities examined. Second, Toledo’s procurement process requires significantly more administrative review than comparable municipalities. Third, peer municipalities maintain strong fiscal accountability through alternative internal controls rather than relying on comparatively low contract thresholds. Finally, both the literature and the comparative policy analysis indicate that extensive procedural requirements generate direct and indirect transaction costs (Glas et al., 2024).
Based on these findings, this capstone recommends that the City of Toledo modernize its purchasing policy by increasing the formal contract threshold from $10,000 to $50,000 or higher, thereby aligning Toledo with comparable Ohio municipalities. The study also recommends incorporating an automatic annual inflation adjustment modeled after the O.R.C. §9.17. The study further recommends examining repetitive approval processes to eliminate administrative duplication and adopting selected procurement practices currently utilized by peer municipalities, particularly the City of Cleveland. Collectively, these recommendations are intended to improve procurement efficiency while preserving transparency and sound fiscal stewardship.
Recommended Citation
Baskey, Jennifer L., "Balancing Accountability and Efficiency: A Policy Review of the City of Toledo's Purchasing Contract Threshold" (2026). MPA/MPP/MPFM Capstone Projects. 486.
https://uknowledge.uky.edu/mpampp_etds/486
