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Governor signs bill to promote
KY businesses for government contracts

Tit-for-tat law levels playing field for in-state bidders; Kentucky treats out of state bidders the same way they treat Kentucky contractors doing business in their home states

FRANKFORT, KY May 24, 2010 - Gov. Steve Beshear today signed into law legislation that will provide Kentucky-based businesses a level playing field with out-of-state vendors as they compete for Kentucky state government contracts.

"This bill will go a long way toward leveling the paying field for Kentucky businesses," said Gov. Beshear. "In these tough economic times, we must use every tool available, including this new law, to allow Kentucky businesses to earn valuable contracts that keep Kentuckians working."

Senate Bill 45, sponsored by Sen. Gary Tapp, requires Kentucky's public contracting agencies, in determining procurement awards, to give preference to in-state bidders against out-of-state bidders, equal to the preference given to those out-of-state bidders when they bid on contracts in their home state.

"Senate Bill 45 is an important step to better protect Kentucky businesses," said Sen. Tapp. "The measure will level the playing field for Kentucky businesses bidding for state contracts."

Once the new legislation is enacted, if the low bidder for a government contract is from a state that grants a 10 percent preference to its own in-state bidders, then Kentucky-based businesses will receive a 10 percent preference against that out-of-state bidder. With the enactment of this legislation, Kentucky joins 35 other states that have similar legislation.

"As Kentucky families and businesses continue to endure this time of recession, it is essential that our state's businesses are competitive in bidding for new contracts," said Jonathan Miller, secretary of the Finance and Administration Cabinet. "More work results in new or retained jobs and a boost for our Commonwealth's economy,"

This story was posted on 2010-05-24 15:25:17
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