SB79 Summary

• Amends Section 41-16-20 of the Alabama Code to require state awarding authorities to give a 5 percent preference to qualified resident business entities when evaluating competitive bids.

• Applies to contracts totaling $100,000 or less for labor, services, materials, equipment, supplies, and nonprofessional services valued at $15,000 or more.

• Defines "preferred vendor" as a business that meets at least one of four priority criteria: produces/manufactures products in-state, has assembly or distribution facilities in-state, is organized under state law with a retail outlet or service center in-state for one year, or has not defaulted on previous state bids.

• Allows awarding authorities to award contracts to preferred vendors when their bids are no more than 5 percent greater than the lowest responsible bidder's bid.

• Becomes effective on the first day of the third month following passage and approval by the Governor.