Bill Text: IN HB1183 | 2011 | Regular Session | Enrolled
Bill Title: Indiana business price preferences.
Spectrum: Slight Partisan Bill (Republican 2-1)
Status: (Passed) 2011-05-16 - Effective 07/01/2011 [HB1183 Detail]
Download: Indiana-2011-HB1183-Enrolled.html
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AN ACT to amend the Indiana Code concerning state offices and administration.
(1) Matters relating to veterans and veterans' affairs.
(2) Matters relating to the active and reserve members of the armed forces of the United States.
(b) The commission may study other topics assigned by the legislative council or as directed by the commission's chairman.
(c) The commission shall study veterans' procurement preferences and provide the legislative council with a report before November 1, 2011. The report must be in an electronic format under IC 5-14-6. As part of the study, the commission shall work with the Indiana department of administration created by IC 4-13-1-2.
(1) An Indiana business preference under rules adopted under section 20 of this chapter or IC 4-13.6-6-2.5.
(2) A preference for supplies as provided by sections 16, 18, 19,
and 24 of this chapter.
(3) An Indiana small business preference as provided by section
23 of this chapter.
(4) An Indiana farm product preference as provided by
section 23.5 of this chapter.
(b) An offeror may not claim more than one (1) preference as
provided by sections 16, 18, 19, and 24 of this chapter for a given
supply item.
(c) This section does not:
(1) apply to; or
(2) limit;
action of the Indiana department of administration under rules adopted
under section 21 of this chapter.
(b) As used in this section, "Indiana business" refers to any of the following:
(1) A business whose principal place of business is located in Indiana.
(2) A business that pays a majority of its payroll (in dollar volume) to residents of Indiana.
(3) A business that employs Indiana residents as a majority of its employees.
(4) A business that makes significant capital investments in Indiana.
(5) A business that has a substantial positive economic impact on Indiana as defined by criteria developed under subsection (c).
(c) The Indiana department of administration shall consult with the Indiana economic development corporation in developing criteria for determining whether a business is an Indiana business under subsection (b). The Indiana department of administration may consult with the Indiana economic development corporation to determine whether a particular business meets the requirements of this section and the criteria developed under this subsection.
(d) There are the following price preferences for supplies purchased from an Indiana business:
(1) Five percent (5%) for a purchase expected by the state agency to be less than five hundred thousand dollars ($500,000).
(2) Three percent (3%) for a purchase expected by the state agency to be at least five hundred thousand dollars ($500,000) but
less than one million dollars ($1,000,000).
(3) One percent (1%) for a purchase expected by the state agency
to be at least one million dollars ($1,000,000).
(e) Notwithstanding subsection (d), a state agency shall award a
contract to the lowest responsive and responsible offeror, regardless of
the preference provided in this section, if:
(1) the offeror is an Indiana business; or
(2) the offeror is a business from a state bordering Indiana and the
business's home state does not provide a preference to the home
state's businesses more favorable than is provided by Indiana law
to Indiana businesses.
(e) If an Indiana business offers to provide supplies
manufactured, assembled, or produced in Indiana, and if two (2)
or more bids submitted were the same, the following price
preference is available to the Indiana business, in addition to the
price preference available under subsection (d):
(1) Three percent (3%) for a purchase expected by the state
agency to be less than five hundred thousand dollars
($500,000).
(2) Two percent (2%) for a purchase expected by the state
agency to be at least five hundred thousand dollars ($500,000)
but less than one million dollars ($1,000,000).
(3) One percent (1%) for a purchase expected by the state
agency to be at least one million dollars ($1,000,000).
The Indiana department of administration shall adopt rules under
IC 4-22-2 to establish guidelines for determining when supplies are
manufactured or assembled in Indiana.
(f) A business that wants to claim a preference provided under this
section must do all of the following:
(1) State in the business's bid that the business claims the
preference provided by this section.
(2) Provide the following information to the department:
(A) The location of the business's principal place of business.
If the business claims the preference as an Indiana business
described in subsection (b)(1), a statement explaining the
reasons the business considers the location named as the
business's principal place of business.
(B) The amount of the business's total payroll and the amount
of the business's payroll paid to Indiana residents.
(C) The number of the business's employees and the number
of the business's employees who are Indiana residents.
(D) If the business claims the preference as an Indiana
business described in subsection (b)(4), a description of the
capital investments made in Indiana and a statement of the
amount of those capital investments.
(E) If the business claims the preference as an Indiana
business described in subsection (b)(5), a description of the
substantial positive economic impact the business has on
Indiana.
(b) A governmental body may adopt rules to establish criteria to carry out this section.
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