House File 2320 - Introduced HOUSE FILE 2320 BY RIZER A BILL FOR An Act permitting counties and cities to award competitively 1 bid contracts for purchases and projects to local and 2 in-state bidders under certain circumstances and including 3 applicability provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 5921YH (3) 86 je/nh

H.F. 2320 Section 1. NEW SECTION . 73.13 County and city competitive 1 bidding —— permissible local and state preference. 2 1. Notwithstanding any other provision of law other than 3 section 73.11 to the contrary: 4 a. If a county engages in a competitive bidding process 5 for a contract for any purchase or project, the county may 6 award the contract to a responsive, responsible bidder whose 7 principal place of business is located within the boundaries 8 of the county, regardless of whether such bidder submitted 9 the lowest bid. If the county received multiple responsive, 10 responsible bids from bidders whose principal place of business 11 is located within the boundaries of the county, only the bidder 12 that submitted the lowest bid may be awarded the contract in 13 this way. 14 b. If a county engages in a competitive bidding process 15 for a contract for any purchase or project, and the county 16 receives no responsive, responsible bids from bidders whose 17 principal place of business is located within the boundaries of 18 the county, the county may award the contract to a responsive, 19 responsible bidder whose principal place of business is located 20 in Iowa, regardless of whether such bidder submitted the lowest 21 bid. If the county received multiple responsive, responsible 22 bids from bidders whose principal place of business is located 23 in Iowa, only the bidder that submitted the lowest bid may be 24 awarded the contract in this way. 25 2. Notwithstanding any other provision of law other than 26 section 73.11 to the contrary: 27 a. If a city engages in a competitive bidding process for a 28 contract for any purchase or project, the city may award the 29 contract to a responsive, responsible bidder whose principal 30 place of business is located within the boundaries of the city, 31 regardless of whether such bidder submitted the lowest bid. If 32 the city received multiple responsive, responsible bids from 33 bidders whose principal place of business is located within 34 the boundaries of the city, only the bidder that submitted the 35 -1- LSB 5921YH (3) 86 je/nh 1/ 3

H.F. 2320 lowest bid may be awarded the contract in this way. 1 b. If a city engages in a competitive bidding process for 2 a contract for any purchase or project, and the city receives 3 no responsive, responsible bids from bidders whose principal 4 place of business is located within the boundaries of the city, 5 the city may award the contract to a responsive, responsible 6 bidder whose principal place of business is located in Iowa, 7 regardless of whether such bidder submitted the lowest bid. If 8 the city received multiple responsive, responsible bids from 9 bidders whose principal place of business is located in Iowa, 10 only the bidder that submitted the lowest bid may be awarded 11 the contract in this way. 12 3. This section shall not be construed to require a county 13 or city that engages in a competitive bidding process for a 14 contract for any purchase or project to award the contract 15 to any bidder other than the lowest responsive, responsible 16 bidder. 17 Sec. 2. APPLICABILITY. This Act applies to competitive 18 bidding processes initiated by counties and cities on and after 19 January 1, 2017. 20 EXPLANATION 21 The inclusion of this explanation does not constitute agreement with 22 the explanation’s substance by the members of the general assembly. 23 This bill permits a county that engages in a competitive 24 bidding process for a contract for any purchase or project to 25 award the contract to a responsive, responsible bidder whose 26 principal place of business is located within the boundaries 27 of the county, regardless of whether such bidder submitted 28 the lowest bid. If the county received multiple responsive, 29 responsible bids from bidders whose principal place of business 30 is located within the boundaries of the county, only the bidder 31 that submitted the lowest bid may be awarded the contract in 32 this way. 33 The bill permits a county that engages in a competitive 34 bidding process for a contract for any purchase or project and 35 -2- LSB 5921YH (3) 86 je/nh 2/ 3

H.F. 2320 that receives no responsive, responsible bids from bidders 1 whose principal place of business is located within the 2 boundaries of the county to award the contract to a responsive, 3 responsible bidder whose principal place of business is located 4 in Iowa, regardless of whether such bidder submitted the lowest 5 bid. If the county received multiple responsive, responsible 6 bids from bidders whose principal place of business is located 7 in Iowa, only the bidder that submitted the lowest bid may be 8 awarded the contract in this way. 9 The bill permits cities to engage in similar actions. 10 The bill applies notwithstanding any other provision of law 11 to the contrary. 12 The bill shall not be construed to require a county or city 13 that engages in a competitive bidding process for a contract 14 for any purchase or project to award the contract to any bidder 15 other than the lowest responsive, responsible bidder. 16 Under current Code section 73.11, a provision of the bill 17 would be suspended if the attorney general determines that such 18 provision would cause denial of funds or services from the 19 United States government which would otherwise be available, or 20 would otherwise be inconsistent with requirements of federal 21 law, but only to the extent necessary to prevent denial of 22 such funds or services or to eliminate the inconsistency with 23 federal requirements. 24 The bill applies to competitive bidding processes initiated 25 by counties and cities on and after January 1, 2017. 26 -3- LSB 5921YH (3) 86 je/nh 3/ 3