purchasing

Alabama Resident Bidder Preference

Revised March 2, 2015

Note: Public Works contracts are governed by Title 39 of the Code of Alabama. See Alabama Reciprocal Preference, below.

Alabama Code, §41-16-57. In the purchase of or contract for personal property or contractual services, preference is given to commodities produced in Alabama or sold by Alabama persons, firms, or corporations provided there is no sacrifice or loss in price or quality.

Alabama Code, §41-16-27. In the purchase of or contract for personal property or contractual services, preference is given to commodities produced in Alabama or sold by Alabama persons, firms, or corporations provided there is no sacrifice or loss in price or quality. Preference is given to an Alabama business entity (defined as any sole proprietorship, partnership, or corporation organized in the State of Alabama) in contractual services and purchases of personal property regarding the athletic department, food services, and transit services negotiated on behalf of two-year and four-year colleges and universities awarded without competitive bidding, unless the product or service supplied by a foreign corporation is substantially different or superior to the product or service supplied by the Alabama business entity.

Alabama Code, §23-1-51. All motor fuels, oils, greases and lubricants bought by or for the State Department of Transportation for use in the construction, maintenance and repair of the county roads and bridges in counties in which the construction, maintenance and repair of the county roads and bridges have been transferred to the State Department of Transportation shall be purchased from vendors and suppliers residing in the county where such motor fuels, oils, greases, and lubricants are to be used.

Alabama Code, §41-16-50. If a bid is received for personal property to be purchased or contracted for from a person, firm, or corporation deemed to be a responsible bidder, having a place of business within a "local preference zone" where a county, a municipality, or an instrumentality thereof is the awarding authority, and the bid is no more than 3.0% greater than the bid of the lowest responsible bidder, the awarding authority may award the contract to the resident responsible bidder.

Alabama Code, §41-16-20. If a bid is received for labor, services, work, or for the purchase or lease of materials, equipment, supplies, other personal property or other nonprofessional services involving $15,000 or more from a person, firm, or corporation deemed to be a responsible bidder and a preferred vendor where any state higher education institution, department, board, bureau, commission, committee, institution, corporation, authority, or office is the awarding authority and the bid is no more than 5.0% greater than the bid of the lowest responsible bidder, the awarding authority may award the contract to the preferred vendor. Preferred vendors are prioritized, as to the product, by producing or manufacturing within Alabama, having an assembly or distribution facility in Alabama, and having a certain organizational structure organized under Alabama law and maintaining a retail outlet or service center in Alabama for at least a year.

ALABAMA RECIPROCAL PREFERENCE

Alabama Code, §39-3-5. Reciprocal preference provided in public contracts in which state, county, or municipal funds are utilized, except contracts funded in whole or in part with funds received from a federal agency.