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REFERENCE TITLE: procurement; veterans; Arizona bidders; preference |
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State of Arizona House of Representatives Fifty-fourth Legislature First Regular Session 2019
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HB 2105 |
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Introduced by Representatives Espinoza: Andrade, Cano, Fernandez, Friese, Gabaldón, Hernandez A, Meza, Rivero, Rodriguez, Sierra
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AN ACT
amending title 41, chapter 23, article 1, Arizona Revised Statutes, by adding section 41‑2505; relating to the procurement code.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 41, chapter 23, article 1, Arizona Revised Statutes, is amended by adding section 41-2505, to read:
41-2505. Preference for veteran-owned business bidders and Arizona bidders for identical bids; reciprocal preference; definitions
A. For contracts awarded pursuant to section 41-2533, subsection G, a purchasing agency shall give preference to a veteran-owned business bidder or an Arizona bidder, in that order, over a nonresident bidder if there are two or more low, responsive offers from responsible bidders that are identical in price.
B. A purchasing agency shall add a percentage increase to the bid of a nonresident bidder that is equal to the percentage, if any, of the preference given to the bidder in the state in which the bidder resides. On or before January 1 of each year, the department shall publish a list of states that give preference to in‑state bidders and shall include the percentage increase applied in each state. A purchasing agency may rely on the published list in determining the lowest responsible bidder without incurring any liability to any bidder.
C. For the purposes of this section:
1. "Arizona bidder" means a bidder that satisfies all of the following:
(a) Is authorized to transact business in this state.
(b) Maintains its headquarters in this state for at least twelve consecutive months before submitting a bid, except that this requirement does not apply if the bidder employs five hundred or more full‑time residents of this state who are provided health care benefits through their employer.
(c) Pays all assessed taxes.
2. "Headquarters" means a principal central administrative office where primary headquarters‑related functions and services are performed, including financial, personnel, administrative, legal, planning and similar business functions.
3. "Veteran" means a person who is a veteran of the armed forces of the United States and who is separated from the armed forces of the United States under honorable conditions.
4. "Veteran‑owned business" means a business to which all of the following apply:
(a) The business is an individual proprietorship, partnership, corporation or joint venture that is at least fifty‑one percent owned by one or more veterans or, for a business whose stock is publicly held, at least fifty‑one percent of the stock is owned by one or more veterans.
(b) The management and daily operations of the business are controlled by one or more veterans who own the business.
(c) The home office of the business is located in this state and is not a branch or subsidiary of a foreign corporation or firm or other foreign business.