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Reciprocal Preference

  1. Definitions: (i) "Nonresident bidder" means a business that is not a resident of the state that submits a bid in response to an invitation to bid issued by the agency; and (ii) "Resident bidder" means a business that submits a bid in response to an invitation to bid issued by the agency and that has paid unemployment taxes or income taxes in this state during the twelve calendar months immediately preceding submission of such bid, has a business address in the state, and has affirmatively claimed such status in the bid submission.
  2. In the award of a contract, after the original bids have been received and the original lowest responsible qualified bid has been identified, the agency shall add a per cent increase to the original bid of a nonresident bidder equal to the per cent, if any, of the preference given to such nonresident bidder in the state in which such nonresident bidder resides. If, after application of such per cent increase, the bidder that submits the lowest responsible qualified bid is a resident bidder, the state contracting agency shall award such contract to such resident bidder provided such resident bidder agrees, in writing, to meet the original lowest responsible qualified bid. Any such agreement by such resident bidder to meet the original lowest responsible qualified bid shall be made not later than seventy-two (72) hours after such resident bidder receives notice from the agency that such resident bidder may be awarded such contract if such resident bidder agrees to meet the original lowest responsible qualified bid.
  3. In determining the lowest responsible bidder, the agency may rely upon the list published by the State Contracting Standards Board of states that give preference to in-state bidders and the per cent increase applied in each state.
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