City looking to save with reverse bidding

philly.com

When the city wants to buy anything, from pencils to welding materials, it issues a request for bids and then buys from the company with the lowest first offer.

City officials call that a lost opportunity, and have moved toward a process of letting sellers compete until the lowest price is reached. Officials say it could save the city millions.

“They can see the prices and continue to lower the price they’re willing to sell to us at until they’re the last one standing,” said Rebecca Rhynhart, the city’s chief administrative officer.

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