7-Local Preference Consideration - Instructions.pdf

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Attached to
Spray Patch Emulsion CRS-2 State and local contract opportunity
Solicitation number
SB-01-26
Issued by
Tyler County, Texas

About this file

This document is a Local Preference Consideration instruction set from the City of San Angelo, Texas Purchasing Division, detailing the municipal policy for considering local businesses in competitive sealed bid processes. The local preference policy allows the city to potentially award a contract to a local bidder whose principal place of business is within San Angelo city limits, even if their bid is slightly higher than the lowest bid from a non-local vendor. This applies to contracts less than $500,000, where the local bidder's price is within 5% of the lowest bid, or for contracts over $500,000, where the local bidder's price is within 3% of the lowest bid.

The document explicitly states that local preference does not apply to construction projects over $100,000 or to telecommunications and information technology bids/purchases. To qualify for local preference, businesses must have their principal place of business within San Angelo city limits and must complete a Local Preference Consideration Application. This application requires the local bidder to describe and document additional economic development opportunities, including the number of San Angelo residents they will employ and the increased tax revenues that will be generated if awarded the contract. The city emphasizes that while local businesses are given this consideration, all bids and proposals from all businesses are welcome and will be reviewed.

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CITY OF SAN ANGELO, TEXAS

PURCHASING DIVISION

72 West College Avenue, San Angelo, Texas 76903

325.657.4219 • sapurch@cosatx.us

CITY OF SAN ANGELO, TEXAS • LOCAL PREFERENCE CONSIDERATION

Local Preference Consideration Instructions

Section 271.9051 of the Texas Local Government Code “CONSIDERATION OF

LOCATION OF RESPONDENTS PRINCIPAL

PLACE OF BUSINESS”:

In accordance with Section 271.9051 of the Texas Local Government Code, if a local government receives one or more competitive sealed bids from a bidder whose principal place of business is in the municipality and whose bid is within five (5%) percent of the lowest bid price received from a bidder who is not a resident of the municipality, on contracts less than $500,000 and three percent (3%) on contracts over $500,000.00 the municipality may enter into a contract with (a) the lowest bidder or (b) the bidder whose principal place of business is in the municipality if the governing body of the local government determines, in writing, that the local bidder offers the local government the best combination of contract price and additional economic development opportunities for the local government created by the contract award, including the employment of residents of the local government and increased tax revenues to the local government.

Local Preference Consideration DOES NOT apply to Construction Projects over $100,000 or Telecommunication and Information Technology Bids/Purchases.

If you DO NOT have your principal place of business located within the City of San Angelo city limits – stop – do not fill out this form.

This “Application for Local Preference Consideration” does not mean that the City of San Angelo is limiting responses to this request for bids/proposals to only those businesses located within the city limits. All bids/proposals are welcome.

Respondents who wish to qualify under the local preferences law must have their principal place of business located within the San Angelo city limits.

If your principal place of business is within the San Angelo city limits and you want to apply for local preference consideration, then you must:

1. Complete the Local Preference Consideration Application, and

2. Describe in writing and attach supporting documentation, the additional economic development opportunities for the City of San Angelo that will be created if you are awarded this contract. Include the number of City of San Angelo residents that you will employ to complete this contract and the increased tax revenues that will be generated for the City of San Angelo if you are awarded this contract.

mailto:sapurch@cosatx.us

CITY OF SAN ANGELO, TEXAS

PURCHASING DIVISION

72 West College Avenue, San Angelo, Texas 76903

325.657.4219 • sapurch@cosatx.us

CITY OF SAN ANGELO, TEXAS • LOCAL PREFERENCE CONSIDERATION

mailto:sapurch@cosatx.us

Local Preference Consideration Instructions

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