Think, for a minute, about everything it takes to keep a city running. You need people of course — the mayor, the budget director, bus drivers, teachers, and so many others.
But you also need things like trucks, snow chains, paper, and pencils. Typically, cities buy these products by asking companies what price they're asking for.
Each company sends the city a "bid," a proposal that says what the company charges for a certain item. Maybe a pencil manufacturer says it'll charge the city 20 cents a pencil. Then city looks the bids over and awards the contract to the lowest "responsible" bidder.
Philadelphia is about to start doing things differently, at least for some of its purchases. In June, it'll launch "reverse auctions."
Read the full version of this report at Keystone Crossroads' website. Keystone Crossroads is a new statewide public media initiative reporting on the challenges facing Pennsylvania's cities. WPSU is a participating station.