Oklahoma House Bill HB1133

Oklahoma 2022 Regular Session

• Introduced: 2/1/21
• Refer: 2/2/21

Caption

Public buildings and public works; Public Competitive Bidding Act of 1974; providing bid preference for certain entities; effective date.

Impact

The new legislation establishes a framework for local bid preferences that public agencies must follow, allowing them to prioritize local contractors while ensuring transparency and fairness. This amends existing statutes to ensure that local bidders can compete on a more level playing field against non-local bidders. This is particularly crucial for regions where local businesses may struggle to compete with larger firms that can offer lower bids due to economies of scale.

Summary

House Bill 1133 amends the Public Competitive Bidding Act of 1974, introducing provisions that allow local government entities to provide a bid preference of up to five percent for contractors within their jurisdiction when the public construction contract exceeds $50,000. This aim is to ensure that local businesses are given a fair chance when competing for public works contracts, particularly where there is demonstrated economic benefit to the local area. The bill seeks to balance competitive bidding with local economic interests, thereby fostering local business participation in government contracts.

Contention

While proponents argue that HB1133 will boost local economies and support small businesses, critics have expressed concern that such enactments could potentially increase costs for public projects. They argue that prioritizing local bids, while well-intentioned, might compromise the selection of the most capable contractors based solely on cost-effectiveness and quality, which are critical in public infrastructure projects. Some stakeholders are wary of introducing biases that favor local bidders at the expense of better value from non-local bidders.