Amador County – The Ione City Council directed staff last week to draft an ordinance that would emphasize local material sources for bidders on its wastewater treatment plant, and would help encourage local spending on city projects. City Manager Kim Kerr told the council she wanted to verify that a “request for proposals” included that the companies would be using local firms and labor as much as possible. The city is taking an approach to the treatment plant to seek one company that has the capabilities of designing, building, operating and financing the project, but it may have the effect of the city needing to use an out-of-town corporation. Kerr said “staff discussed looking at whether to require the submittals from the firms on the wastewater project to use local contractors, haulers and materials.” She said while discussing the issue, staff found that “the city does not have a local preference ordinance for the purchase of goods and services.” Staff researched the city’s ability to create a local preference ordinance,” along with parameters the city can use, and associated implications. Kerr said the wastewater project was a “prime example of using local contractors as subcontractors.” Using local materials and haulers for the project “would keep the money spent on the project locally” and help residents of the city and Amador County. City attorney Kristen Castanos said there are some legal restrictions to giving preferences to local businesses, including the “Commerce Clause” and the “Equal Protection Clause.” Castanos said the city “can’t discriminate against outside companies” in local-preference ordinances. She said what they can do is give local businesses a 5 percent leeway in bids, because companies owned inside city limits pay sales tax to the city, which outside companies do not. Another thing Ione could do is if a local bidder is within 10 percent of the low bidder’s price, the city can “give them a chance to lower their bid to match the low bidder.” Castanos said “it has not been tested,” but a lot of cities are using it. Kerr said city staff encourages a “good faith effort to recruit local suppliers,” such as gravel, clay and other building materials. Kerr said if they adopt new rules, those could be sent out as addendums to the request for proposals for companies to work on the water treatment plant project. The council directed Castanos to draft the local preference ordinance to be considered by the council August 3rd. Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.
Wednesday, 28 July 2010 06:04
Ione Preps Local Preference Ordinance for Wastewater Treatment Plant
Written by Tom-
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Amador County – The Ione City Council directed staff last week to draft an ordinance that would emphasize local material sources for bidders on its wastewater treatment plant, and would help encourage local spending on city projects. City Manager Kim Kerr told the council she wanted to verify that a “request for proposals” included that the companies would be using local firms and labor as much as possible. The city is taking an approach to the treatment plant to seek one company that has the capabilities of designing, building, operating and financing the project, but it may have the effect of the city needing to use an out-of-town corporation. Kerr said “staff discussed looking at whether to require the submittals from the firms on the wastewater project to use local contractors, haulers and materials.” She said while discussing the issue, staff found that “the city does not have a local preference ordinance for the purchase of goods and services.” Staff researched the city’s ability to create a local preference ordinance,” along with parameters the city can use, and associated implications. Kerr said the wastewater project was a “prime example of using local contractors as subcontractors.” Using local materials and haulers for the project “would keep the money spent on the project locally” and help residents of the city and Amador County. City attorney Kristen Castanos said there are some legal restrictions to giving preferences to local businesses, including the “Commerce Clause” and the “Equal Protection Clause.” Castanos said the city “can’t discriminate against outside companies” in local-preference ordinances. She said what they can do is give local businesses a 5 percent leeway in bids, because companies owned inside city limits pay sales tax to the city, which outside companies do not. Another thing Ione could do is if a local bidder is within 10 percent of the low bidder’s price, the city can “give them a chance to lower their bid to match the low bidder.” Castanos said “it has not been tested,” but a lot of cities are using it. Kerr said city staff encourages a “good faith effort to recruit local suppliers,” such as gravel, clay and other building materials. Kerr said if they adopt new rules, those could be sent out as addendums to the request for proposals for companies to work on the water treatment plant project. The council directed Castanos to draft the local preference ordinance to be considered by the council August 3rd. Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.
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