House Bill 1060

AN ACT TO AMEND SECTIONS 31-7-15 AND 31-7-47, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT MISSISSIPPI-BASED BUSINESSES SHALL BE GIVEN PREFERENCE OVER NON-MISSISSIPPI BUSINESSES IN PUBLIC PURCHASES AND CONTRACTING IF THE PRICES IN BIDS RECEIVED FROM THE MISSISSIPPI-BASED BUSINESSES ARE NOT MORE THAN FIVE PERCENT GREATER THAN THE PRICES IN BIDS RECEIVED FROM NON-MISSISSIPPI BUSINESSES AND ALL OTHER THINGS STATED IN THE RECEIVED BIDS ARE SUBSTANTIALLY EQUAL WITH RESPECT TO QUALITY AND SERVICE; TO PROVIDE THAT IN PUBLIC PURCHASES FOR COMMODITIES, PREFERENCE SHALL BE GIVEN TO BIDS RELATING TO COMMODITIES GROWN, PROCESSED OR MANUFACTURED IN MISSISSIPPI IF THE PRICES IN RECEIVED BIDS THAT RELATE TO THE MISSISSIPPI COMMODITIES ARE NOT MORE THAN FIVE PERCENT GREATER THAN THE LOWEST AND BEST BIDDER AND ALL OTHER THINGS STATED IN THE RECEIVED BIDS ARE SUBSTANTIALLY EQUAL WITH RESPECT TO QUALITY AND SERVICE; TO PROVIDE THAT THE MISSISSIPPI DEVELOPMENT AUTHORITY AND THE DEPARTMENT OF FINANCE AND ADMINISTRATION JOINTLY SHALL PROMOTE THE POLICY OF "BUY MISSISSIPPI FIRST" BY MAKING PRESENTATIONS AND PROVIDING INFORMATIONAL MATERIALS TO BUSINESSES THROUGHOUT THE STATE THAT OUTLINE THE PUBLIC PURCHASING PROCEDURES OF THE STATE, AND EXPLAIN HOW THEY CAN BUILD THEIR BUSINESSES BY SELLING THEIR PRODUCTS TO STATE AND LOCAL GOVERNMENTS; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 31-7-15, Mississippi Code of 1972, is amended as follows:

31-7-15. (1) (a) Whenever two (2) or more competitive bids are received and one or more of the bids is from a business that is based in Mississippi, the bids received from the Mississippi-based businesses shall be given preference if:

(i) The prices in bids received from the Mississippi-based businesses are not more than five percent (5%) greater than the prices in bids received from businesses that are not based in Mississippi; and

(ii) All other things stated in the received bids are substantially equal with respect to quality and service.

(b) A preference similar to that authorized in paragraph (a) of this subsection shall be given to businesses that are based in Mississippi whenever purchases are made without competitive bids.

(c) For the purposes of this subsection, the term "business that is based in Mississippi" or "Mississippi-based business" means a company that (i) has its principal place of business in the State of Mississippi; or (ii) is incorporated in the State of Mississippi and has been so incorporated for not less than one (1) year before bidding on any contract with the State of Mississippi; or (iii) employs not less than one hundred (100) employees who work in the State of Mississippi.

(2) (a) Whenever two (2) or more competitive bids are received and one or more * * * relates to commodities grown, processed or manufactured within this state, the bids relating to commodities grown, processed or manufactured within this state shall be given preference if:

(i) The prices in received bids that relate to the commodities grown, processed or manufactured in this state are not more than five percent (5%) greater than the lowest and best bidder; and

(ii) All other things stated in the received bids are substantially equal with respect to * * * quality and service.

(b) A * * * preference similar to that authorized in paragraph (a) of this subsection shall be given to commodities grown, processed or manufactured within this state whenever purchases are made without competitive bids, and when practical, the Department of Finance and Administration may by regulation establish reasonable preferential policies for other commodities, giving preference to resident suppliers of this state. * * *

(3) Any foreign manufacturing company with a factory in the state and with over fifty (50) employees working in the state shall have preference over any other foreign company where both price and quality are the same, regardless of where the product is manufactured.

(4) * * * The Department of Finance and Administration shall adopt bid and product specifications to be utilized by all state agencies that encourage the procurement of commodities made from recovered materials. Preference in awarding contracts for commodities shall be given to commodities offered at a competitive price.

(5) Each state agency is required to procure products made from recovered materials when those products are available at a competitive price. For purposes of this subsection, "competitive price" means a price not greater than ten percent (10%) above the lowest and best bidder. A decision not to procure products made from recovered materials must be based on a determination that such procurement:

(a) Is not available within a reasonable period of time; or

(b) Fails to meet the performance standards set forth in the applicable specifications; or

(6) Whenever economically feasible, each state agency is required to purchase products manufactured or sold by the Mississippi Industries for the Blind.

SECTION 2. Section 31-7-47, Mississippi Code of 1972, is amended as follows:

31-7-47. In the letting of public contracts, whenever all things stated in the bids are substantially equal with regard to quality and service but differ only with respect to price, preference shall be given to resident contractors if the prices in bids received from the resident contractors are not more than five percent (5%) greater than the prices in bids received from nonresident contractors. A nonresident bidder domiciled in a state, city, county, parish, province, nation or political subdivision having laws granting preference to local contractors shall be awarded Mississippi public contracts only on the same basis as the nonresident bidder's state, city, county, parish, province, nation or political subdivision awards contracts to Mississippi contractors bidding under similar circumstances. Resident contractors actually domiciled in Mississippi, be they corporate, individuals or partnerships, are to be granted preference over nonresidents in awarding of contracts in the same manner and to the same extent as provided by the laws of the state, city, county, parish, province, nation or political subdivision of domicile of the nonresident.

SECTION 3. The Mississippi Development Authority and the Department of Finance and Administration jointly shall promote the policy of "Buy Mississippi First" by making presentations and providing informational materials to businesses throughout the state that outline the public purchasing procedures of the state, and explain how they can build their businesses by selling their products to state and local governments. In addition, the authority and the department shall help business owners locate opportunities for selling to state and local governments and help them understand how to submit high-quality bids.

SECTION 4. This act shall take effect and be in force from and after July 1, 2012.