purchasing

Arkansas Resident Bidder Preference

Revised September 10, 2020

Title 19: Public Finance
Chapter 11: Purchasing and Contracts
Subchapter 2: Arkansas Procurement Law
Section 19.11.259: Preferences among bidders

• (b)
  • (1)
    • (A) In the purchase of commodities by competitive bidding, all public agencies shall accept the lowest qualified bid from a firm resident in Arkansas.
    • (B) This bid shall be accepted only if the bid does not exceed the lowest qualified bid from a nonresident firm by more than five percent (5%) and if one (1) or more firms resident in Arkansas made written claim for a preference at the time the bids were submitted.
    • (C)
      • (i) In calculating the preference to be allowed, the appropriate procurement officials, pursuant to §§ 19-11-201 — 19-11-259, shall take the amount of each bid of the Arkansas dealers who claimed the preference and deduct five percent (5%) from its total.
      • (ii) If, after making such deduction, the bid of any Arkansas bidder claiming the preference is lower than the bid of the nonresident firm, then the award shall be made to the Arkansas firm which submitted the lowest bid, regardless of whether that particular Arkansas firm claimed the preference.
    • (2)
      • (A) The preference provided for in this section shall be applicable only in comparing bids where one (1) or more bids are by a firm resident in Arkansas and the other bid or bids are by a nonresident firm.
      • (B) This preference shall have no application with respect to competing bids if both bidders are firms resident in Arkansas, as defined in this section.
      • (C)
        • (i) All public agencies shall be responsible for carrying out the spirit and intent of this section in their procurement policies.
        • (ii) Any public agency which, through any employee or designated agent, is found guilty of violating the provisions of this section or committing an unlawful act under it, shall be guilty of a misdemeanor.
      • (D) Notwithstanding any other provisions of Arkansas law, upon conviction that person shall be subject to imprisonment for not more than six (6) months or a fine of not more than one thousand dollars ($1,000), or both.
      • (E)
        • (i) If any provision or condition of this subchapter conflicts with any provision of federal law or any rule or regulation made under federal law pertaining to federal grants-in-aid programs or other federal aid programs, such provision or condition shall not apply to such federal-supported contracts for the purchase of commodities to the extent that the conflict exists.
        • (ii) However, all provisions or conditions of this subchapter with which there is no conflict shall apply to contracts to purchase commodities to be paid, in whole or in part, from federal funds.

• (c)
  • (1)
    • (A) This section applies only to projects designed to provide utility needs of a county or municipality.
    • (B) Those projects shall include without limitation pipeline installation, sanitary projects, and waterline, sewage, and water works.
  • (2) To the extent that federal purchasing laws or bidding preferences conflict, this subchapter does not apply to projects related to supplying water or wastewater utility services, operations, or maintenance to a federal military installation by a municipality of the state.

Title 19: Public Finance
Chapter 11: Purchasing and Contracts
Subchapter 3: Bidding – State Industry Priority
Section 19.11.304: Priority for state industries.

In the bidding process for the sale of products for use by the state, bids submitted by private industries located within the State of Arkansas and employing Arkansas taxpayers shall be given priority over bids submitted by out-of-state penal institutions employing convict labor.

Title 19: Public Finance
Chapter 11: Purchasing and Contracts
Subchapter 3: Bidding – State Industry Priority
Section 19.11.305: Award to lowest state bidder – Exceptions.

Subject to any applicable bonding requirements, in all bidding procedures involving a bid by one (1) or more out-of-state penal institutions and a bid by one (1) or more private industries located within the State of Arkansas, the contract shall be awarded to the sole Arkansas bidder or lowest Arkansas bidder if the Arkansas bidder is not underbid by more than five percent (5%), as provided in § 19-11-259, by another representative of private industry located outside the State of Arkansas or by more than fifteen percent (15%) by an out-of-state correctional institution.

Title 19: Public Finance
Chapter 11: Purchasing and Contracts
Subchapter 3: Bidding – State Industry Priority
Section 19.11.306: Underbid by nonresident industry or penal institution

Subject to any applicable bonding requirements, in the event that a private Arkansas bidder is underbid by more than five percent (5%), as provided in § 19-11-259, by another representative of private industry located outside the State of Arkansas or is underbid by more than fifteen percent (15%) by an out-of-state correctional institution, the state contract shall be awarded to the lowest responsible bidder, whether that bidder is a penal or correctional institution or is a representative of private industry.

Title 19: Public Finance
Chapter 11: Purchasing and Contracts
Subchapter 8: Procurement of Professional Services
Section 19.11.803: Evaluation of Qualifications.

In evaluating the qualifications of each firm, the state agency or political subdivision shall consider:

• (1) The specialized experience and technical competence of the firm with respect to the type of professional services required;
• (2) The capacity and capability of the firm to perform the work in question, including specialized services, within the time limitations fixed for the completion of the project;
• (3) The past record of performance of the firm with respect to such factors as control of costs, quality of work, and ability to meet schedules and deadlines; and
• (4) The firm’s proximity to and familiarity with the area in which the project is located.