purchasing

Alaska Resident Bidder Preference

Revised March, 2015

Alaska Statutes, §35.27.020. Use of state cultural resources and selection of Alaska resident artists for commission of art works for public buildings and facilities is encouraged.

Alaska Statutes, §36.30.321. "Alaska bidder" is defined (in A.S. 36.30.990(25)) as a person who holds a current Alaska business license; submits a bid for goods, services, or construction under the name on the Alaska business license; has maintained a place of business in the state for at least six months prior to the bid; and is incorporated or qualified to do business in Alaska, is an Alaska resident if a sole proprietor, is organized under specific Alaska law and all members are Alaska residents if a LLC, is a partnership under specific Alaska law and all partners are Alaska residents; and, if a joint venture, is composed entirely of ventures that otherwise qualify.. A 5.0% preference is applied to the price in the bid of an Alaska bidder. Except as to preferences provided in this section regarding persons with disabilities, a 15% preference is applied to the price in the bid of an Alaska bidder offering services through an employment program. A 5.0% preference is applied to the price in the bid of an Alaska bidder that is also an Alaska domestic insurer if the procurement is for an insurance-related contract. A 10% preference is applied to a price in the bid of an Alaska bidder that is owned by persons with disabilities (the sole proprietor, each partner of an partnership under Alaska law, each member of an LLC organized under Alaska law, each individual owner of corporation wholly owned by individuals, or a joint venture composed of ventures that otherwise qualify). A 5.0% preference not to exceed $5,000 is applied to the price in the bid of an Alaska bidder that is also a "qualifying entity," which is defined as a sole proprietorship owned by an Alaska veteran, a partnership or LLC under Alaska law if a majority of partners or members, respectively, are Alaska veterans, or a corporation wholly owned by individuals of whom a majority of Alaska veterans. This section does not apply to solicitations or contracts for lease space under Alaska Statute, §36.30.080, to procurements under Alaska Statute, §§36.30.305 -- 36.30.310 (limited competition procurements, innovative procurements, and emergency procurements) or, except as provided otherwise by regulation under Alaska Statute, §36.30.320, to small procurements under Alaska Statute, §36.30.320 (supplies or services of $100,000 or less, construction of $200,000 or less, and lease of space of 7,000 square feet or less).

Alaska Statutes, §36.15.010. Whenever practicable, only timber, lumber, and manufactured lumber products originating in Alaska from local forests shall be used when such products are required in a project financed by state money.

Alaska Statutes, §36.15.050. Agricultural products harvested in the state receive a 7.0% price preference when purchased by the state or by a school district that receives state money. Fisheries products harvested or processed within the jurisdiction of the state receive a 7.0% price preference when purchased by the state or by a school district that receives state money.

Alaska Statutes, §36.30.322. Only timber, lumber, and manufactured lumber products originating in Alaska from Alaska forests may be procured by an agency or used in construction projects of an agency unless the manufacturers and suppliers who have notified the commissioner of commerce, community, and economic development of their willingness to manufacture or supply Alaska forest products have been given reasonable notice of the forest product procurement needs and no such manufacturer or supplier is the low bidder after all applicable preferences have been applied to the price of the forest product.

Alaska Statutes, §36.30.324. Alaska products shall be used whenever practicable in procurements for an agency. Recycled Alaska products shall be used when they are of comparable quality, of equivalent price, and appropriate for the intended use.

Alaska Statutes, §36.30.328. In bid evaluation, a bid designating use of Alaska products identified in specifications and designated as Class I, Class II, or Class III state products under Alaska Statutes, §36.30.322 is decreased by the corresponding percentage of value under Alaska Statutes, §36.30.322.

Alaska Statutes, §36.30.332. Materials and supplies with value added in Alaska that are more than 25% and less than 50% produced or manufactured in Alaska are Class I products, which are given a 3.0% preference in bid evaluation. Those that are 50% or more and less than 75% produced and manufactured in Alaska are Class II products, which are given a 5.0% preference in bid evaluation. Those that are 75% or more produced and manufactured in Alaska are Class III products, which are given a 7.0% preference in bid evaluation.

Alaska Statutes, §36.30.336. The preferences provided in Alaska Statutes, §36.15.050 and Alaska Statutes, §§36.30.321 – 36.30.338 are cumulative.

Alaska Administrative Code, Title 2, §12.260. Except for solicitations or contracts for lease space under Alaska Statutes, §36.30.080, in evaluating price, the proposed price of an Alaska bidder is reduced by 5.0% and all other applicable preferences are applied. Except for solicitations or contracts for lease space under Alaska Statutes, §36.30.080, if a numerical rating system is used, an Alaska offeror's preference of at least 10% of the total possible rating system value must be assigned to an Alaska bidder's proposal.