Does a Mississippi county have to use reverse auction to purchase road and bridge construction equipment over $75,000?

Plain-English summary

Mississippi's general rule for big public purchases is straightforward: for purchases over $75,000, "reverse auctions shall be the primary method for receiving bids during the bidding process." Reverse auction is an online competitive process where multiple vendors bid down against each other in real time, like an eBay auction running in reverse.

The 2022 amendment to Section 31-7-13(c)(i)(2) carved out a major exception. Reverse auction "shall not be used for any public contract for design, construction, improvement, repair or remodeling of any public facilities, including the purchase of materials, supplies, equipment or goods for same and including buildings, roads and bridges."

Sunflower County asked the AG: do we have to use reverse auction to buy a bulldozer, a water truck, and a front-end loader for the County Road Department? The AG said no. These are equipment purchases for roads and bridges, which is exactly what the 2022 amendment excluded. The county can use traditional sealed bidding under § 31-7-13(c)(i)(1), or other authorized purchasing methods, but reverse auction is off-limits for this category.

The opinion is short, but the practical impact is significant. Counties and municipalities that purchase heavy equipment for road departments or public works do not have to navigate the reverse auction process for those purchases. They can use traditional sealed bidding, which often suits the heavy equipment market better (where vendor relationships, service support, and parts availability matter as much as price).

What this means for you

If you are a county supervisor or county purchasing agent buying road equipment

You are not required to use reverse auction for equipment used in road and bridge construction, improvement, or repair. That covers bulldozers, graders, dump trucks, water trucks, front-end loaders, backhoes, asphalt pavers, milling machines, and similar heavy equipment used for the county's road department. Use the regular sealed bid process under § 31-7-13(c)(i)(1), with public notice and bid opening procedures, and award to the lowest and best bidder.

If you are a municipal purchasing official

The same exception applies to municipal road and public works equipment. Cities and towns purchasing equipment for street departments fall within "public facilities" and "roads and bridges" under the amended language.

If you sell heavy equipment to Mississippi local governments

This affects how your customers will buy. Many local governments preferred sealed bidding over reverse auction for heavy equipment purchases (because the equipment is differentiated, financing terms vary, trade-in values matter, and service relationships matter). The 2022 amendment confirmed they have the option of staying with sealed bidding for road and bridge equipment. Adjust your sales approach accordingly: trade-in offers, service packages, and financing terms can be part of the bid response.

If you are a county attorney drafting purchasing procedures

Update your county's purchasing manual to reflect the 2022 carve-out. The reverse auction default still applies to many other categories of large purchases, so you cannot drop it entirely. But for road and bridge construction, repair, and equipment, reverse auction is prohibited.

If you are a state legislator

The 2022 amendment substantially narrowed reverse auction's reach. Other states use reverse auction more broadly for public purchasing. If you are reconsidering Mississippi's framework, the substance of this opinion is just an interpretive read of the amendment; the policy question of whether reverse auction should apply to road and bridge equipment is a legislative call.

Common questions

Q: What about non-road heavy equipment? Like a sanitation truck or a fire truck?
A: The exclusion is keyed to "design, construction, improvement, repair or remodeling of any public facilities, including . . . buildings, roads and bridges." Sanitation and fire trucks are not equipment for road or bridge construction; they are operational vehicles for other county functions. Whether they fall under "public facilities" more broadly is not addressed in this opinion. The cleaner reading is that reverse auction still applies to those purchases. But facts vary; a fire truck purchased as part of a fire station construction contract might be different from a standalone truck purchase. Counties should consult counsel on close cases.

Q: What about equipment used to maintain school buildings?
A: School buildings are public facilities. Equipment for school building construction, improvement, or repair would fall in the exclusion. Routine maintenance equipment (a school district van, office furniture) is a closer call.

Q: Does the exclusion apply to design and engineering services for roads and bridges?
A: Yes. The exclusion covers "design" services as well as construction and equipment. Professional services like engineering have separate procurement rules anyway under Mississippi law (qualifications-based selection), but reverse auction is also explicitly excluded.

Q: Does the exclusion apply to subcontractors on a road project?
A: The exclusion is for "any public contract for" the listed activities. A road construction contract awarded by a county would fall within the exclusion. Subcontracts under that prime contract are within the prime contractor's purchasing process, which is governed by the prime contract terms and federal/state requirements applicable to subcontracts, not by § 31-7-13.

Q: What happens if a county uses reverse auction by mistake for a road equipment purchase?
A: That is a State Auditor question. Procedurally, the purchase may still be valid if other procedural requirements were met, but the methodology was wrong. Counties should self-correct going forward and document any past purchases that may have used the wrong method.

Q: Is the $75,000 threshold the trigger for reverse auction, or just for any bidding?
A: The $75,000 threshold under § 31-7-13(c) is the bidding threshold generally. Below that, simplified procedures apply. Above $75,000, reverse auction is the default for purchases that fall outside the road/bridge exclusion. Sealed bidding remains the default for purchases that fall within the exclusion.

Background and statutory framework

Section 31-7-13(c) sets up Mississippi's public purchasing rules. For purchases over $75,000, subsection (c)(i) lists allowed bidding methods:

(1) Sealed bids.
(2) Reverse auctions; however, reverse auction shall not be used for any public contract for design, construction, improvement, repair or remodeling of any public facilities, including the purchase of materials, supplies, equipment or goods for same and including buildings, roads and bridges.

Before the 2022 amendment, reverse auction was the default. The amendment kept reverse auction as the default but excluded a major category of purchases. The substantive reach of the exclusion is broad: design services, construction contracts, improvement contracts, repair contracts, remodeling contracts, and the equipment, materials, supplies, and goods purchased to support those activities. Buildings, roads, and bridges are listed as included examples but are not exhaustive.

The opinion does not attempt to define every edge case (sanitation, fire, school operations, parks). Counties facing close calls should look at whether the purchase is "for" road/bridge/public-facility construction, improvement, or repair.

Citations

• Miss. Code Ann. § 31-7-13(c)(i)(2)

Source

• Landing page: https://attorneygenerallynnfitch.com/divisions/opinions-and-policy/recent-opinions/
• Original PDF: https://attorneygenerallynnfitch.com/wp-content/uploads/2024/05/J.McWilliams-May-7-2024-Mississippi-Code-Annotated-Section-31-7-13ci2.pdf

Original opinion text

May 7, 2024
John H. McWilliams, Esq.
Attorney, Sunflower County Board of Supervisors
Post Office Box 107
Indianola, Mississippi 38751-0107
Re: Mississippi Code Annotated Section 31-7-13(c)(i)(2)

Dear Mr. McWilliams:
The Office of the Attorney General has received your request for an official opinion.

Question Presented
Is the county required to use the reverse auction procedure in Mississippi Code Annotated Section 31-7-13(c)(i)(2) to purchase equipment, including a bulldozer, water truck, and front-end loader for use by the County Road Department in construction, improvement, and repair of public roads and bridges within the county?

Brief Response
No. Pursuant to Section 31-7-13(c)(i)(2), any "purchase of materials, supplies, equipment or goods for same and including buildings, roads and bridges" shall not use the reverse auction procedure.

Applicable Law and Discussion
Pursuant to Section 31-7-13(c)(i)(2), for purchases over $75,000.00, "reverse auctions shall be the primary method for receiving bids during the bidding process." This section was amended in 2022 and now further provides: "[h]owever, reverse auction shall not be used for any public contract for design, construction, improvement, repair or remodeling of any public facilities, including the purchase of materials, supplies, equipment or goods for same and including buildings, roads and bridges." Id.

You ask whether the county is required to use reverse auctions to purchase equipment for use in the construction, improvement, and repair of public roads and bridges within the county. Based on the plain language of Section 31-7-13(c)(i)(2), the reverse auction method shall not be used for the "purchase of materials, supplies, equipment or goods for same and including buildings, roads and bridges."

If this office may be of any further assistance to you, please do not hesitate to contact us.

Sincerely,
LYNN FITCH, ATTORNEY GENERAL
By: /s/ Beebe Garrard
Beebe Garrard
Special Assistant Attorney General