63G-6-405 - Preference for resident contractors.
63G-6-405. Preference for resident contractors.
(1) As used in this section, "resident contractor" means a person, partnership,corporation, or other business entity that:
(a) either has its principal place of business in Utah or that employs workers who areresidents of this state when available; and
(b) was transacting business on the date when bids for the public contract were firstsolicited.
(2) (a) When awarding contracts for construction, a public procurement unit shall grant aresident contractor a reciprocal preference as against a nonresident contractor from any state thatgives or requires a preference to contractors from that state.
(b) The amount of the reciprocal preference shall be equal to the amount of thepreference applied by the state of the nonresident contractor.
(3) (a) The bidder shall certify on the bid that the bidder qualifies as a resident contractor.
(b) The reciprocal preference is waived if that certification does not appear on the bid.
(4) (a) If the contractor submitting the lowest responsive and responsible bid is not aresident contractor and has his principal place of business in any state that gives or requires apreference to contractors from that state, and if a resident contractor has also submitted aresponsive and responsible bid, and, with the benefit of the reciprocal preference, the residentcontractor's bid is equal to or less than the original lowest bid, the procurement officer shall:
(i) give notice to the resident contractor that the resident contractor qualifies as apreferred resident contractor; and
(ii) issue the contract to the resident contractor if the resident contractor agrees, inwriting, to meet the low bid within 72 hours after notification that the resident contractor is apreferred resident contractor.
(b) The procurement officer shall include the exact price submitted by the lowest bidderin the notice the procurement officer submits to the preferred resident contractor.
(c) The procurement officer may not enter into a contract with any other bidder for theconstruction until 72 hours have elapsed after notification to the preferred resident contractor.
(5) (a) If there is more than one preferred resident contractor, the procurement officershall award the contract to the willing preferred resident contractor who was the lowest preferredresident contractor originally.
(b) If there were two or more equally low preferred resident contractors, the procurementofficer shall comply with the rules adopted by the Procurement Policy Board to determine whichbidder should be awarded the contract.
(6) The provisions of this section do not apply if application of this section mightjeopardize the receipt of federal funds.
Renumbered and Amended by Chapter 382, 2008 General Session