How to sell to South Carolina counties

South Carolina has 46 counties. Rather than one statewide county bidding law, the state requires each county to write its own procurement rules (S.C. Code 11-35-5320). Thresholds, notice, award and bid security are therefore set county by county. A few state laws do reach counties: construction payment bonds, prompt payment and retainage (Title 29, Chapter 6), and E-Verify on service contracts (Title 8, Chapter 14).

At a glance

Who buys

Each county is governed by an elected County Council. Most counties have a procurement department and a procurement code adopted by ordinance.

The Consolidated Procurement Code governs state agencies. Its definition of "governmental body" excludes local political subdivisions such as counties (S.C. Code 11-35-310). Section 11-35-5320 defines political subdivisions to include all counties and requires them to adopt ordinances or procedures "embodying sound principles of appropriately competitive procurement." Otherwise the Code does not generally apply to them (Division of Procurement Services). A 1981 model ordinance is available for local governments to adopt.

Goods and services

No statewide county small purchase limit, quote range or formal bid threshold applies. Each county's ordinance sets them (11-35-5320). When you read a county code, look for:

• Small purchase limit: the amount below which a department buys with one quote or a purchasing card.
• Quote range: where the county asks for several written quotes instead of sealed bids.
• Sealed bid threshold: where public advertising and a public bid opening are required.
• Requests for proposals: when the county may weigh qualifications and price together.
• Protests: how many days you have to protest an award, and to whom.

Construction and public works

County ordinances set construction thresholds, notice and bid security (11-35-5320). State law adds:

• Surety choice. A political subdivision may not require that a surety bond come from a particular surety company, agent or broker (S.C. Code 11-35-5310).
• Payment bond. When a governmental body, which here includes local political subdivisions, contracts to improve real property and the contract exceeds $50,000, the contractor must give a labor and material payment bond for 100% of the contract. It must be cash-secured or from a South Carolina-licensed surety rated at least "A" by Best's. A "B+" surety is allowed under $100,000 with written justification (S.C. Code 29-6-250).
• Performance bond. No statewide county rule was confirmed; check the solicitation.
• Retainage. The owner may withhold "a reasonable amount for retainage" (S.C. Code 29-6-40). We found no percentage cap for public projects.

Notice and award

We found no statewide county notice or award rule. The state Code's competitive sealed bidding and proposal sections (11-35-1520 and 11-35-1530) apply to state agencies only. County ordinances decide where notices are posted (newspaper, county website or bid platform), how long they run, and the award standard. Whether counties must post in South Carolina Business Opportunities (SCBO) was not confirmed.

Prevailing wage

South Carolina has no state prevailing wage law (U.S. Department of Labor). Federally funded projects may still carry Davis-Bacon rates.

Getting paid

South Carolina's prompt payment law covers owners that are "state, local, or municipal government agencies, instrumentalities, or entities" on contracts to improve real property (S.C. Code 29-6-10):

• The owner pays the undisputed amount within 21 days of a pay request (29-6-30).
• The contractor pays subcontractors within 7 days of receiving payment (29-6-30).
• Late payments earn 1% per month interest, if the payor was told about this section when payment was requested (29-6-50).

A prompt payment rule for county goods and services was not confirmed; check the contract.

Cooperative purchasing and state contracts

All counties may buy from statewide term contracts awarded by the Division of Procurement Services unless a contract says otherwise (Division of Procurement Services, Statewide Contracts). Counties may also buy through intergovernmental agreements (Division of Procurement Services). See cooperative purchasing.

Preferences and required certifications

• State preferences don't bind counties. The state's in-state and U.S. end-product preferences (11-35-1524) work through state procurement officers, and the Code excludes counties from "governmental body" (11-35-310). Local preferences are a county policy choice.
• E-Verify on service contracts. A county may not sign a service contract for physical services in South Carolina unless the contractor agrees to register in and use E-Verify for new employees and requires its subcontractors to do the same (S.C. Code 8-14-20). This covers contracts worth more than $15,000 over 12 months with a political subdivision, where manual labor is more than 30% of total labor cost or more than 5% of the price. Contracts mainly for an end product or for professional or consulting services are excluded (S.C. Code 8-14-10; Division of Procurement Services).
• E-Verify for all employers. Private employers subject to federal I-9 rules must verify new hires through E-Verify within 3 business days (S.C. Code 41-8-20).

An Israel boycott certification for county contracts was not confirmed; check the solicitation.

Architects and engineers

The state's architect and engineer selection procedures (11-35-3220) apply to state governmental bodies. Whether a county uses qualifications-based selection depends on its own ordinance; we did not confirm a statewide county rule.

Practical tips for South Carolina

• Read the county's procurement code first. It sets the quote and bid thresholds, advertising, bid security and protest rules.
• Line up a 100% payment bond for any county construction contract over $50,000 (S.C. Code 29-6-250).
• Register on the county's vendor list or bid platform; many counties notify registered vendors.
• Get on a statewide term contract; counties can buy from it without their own bid.
• Check South Carolina counties for each county's bid platform, contacts and agendas.