SENATE BILL NO. 415

INTRODUCED BY R. JABS

A BILL FOR AN ACT ENTITLED: "AN ACT PROVIDING A RESIDENT BIDDING PREFERENCE FOR COUNTY CONTRACTS; AND AMENDING SECTIONS 7-5-2301 AND 7-5-2302, MCA."

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:

NEW SECTION. Section 1. Optional bidding preference for county resident. (1) If there are no out-of-state bidders for a contract subject to competitive bid under this part, the contract may be awarded to the lowest and best responsible bidder that is a county resident and that makes a bid that is no more than $500 or 3% higher, whichever is less, than the bid of the lowest responsible bidder that is not a county resident.

(2) If there is one or more out-of-state bidder for a contract subject to competitive bid under this part, the state resident bid preference provided in 18-1-102 applies.

(3) For the purposes of this section, "county resident" means a person, corporation, business, or other entity whose principal business location is within the county.

Section 2. Section 7-5-2301, MCA, is amended to read:

"7-5-2301. Competitive, advertised bidding required for certain large purchases or construction contracts. (1) Except as provided in 7-5-2304, a contract for the purchase of any vehicle, road machinery or other machinery, apparatus, appliances, equipment, or materials or supplies in excess of $20,000 or for the construction, repair, or maintenance of any building, road, or bridge in excess of $50,000 may not be entered into by a county governing body without first publishing a notice calling for bids.

(2) The notice must be published as provided in 7-1-2121.

(3) Subject to [section 1], every contract subject to bidding must be let to the lowest and best responsible bidder."

Section 3. Section 7-5-2302, MCA, is amended to read:

"7-5-2302. Use of competitive, nonadvertised bidding for certain purchases. (1) Except as provided in 7-5-2303, a county governing body may enter a contract for the purchase of any vehicle, road machinery or other machinery, apparatus, appliances, equipment, or materials or supplies in excess of $20,000 but less than $50,000 if bids are solicited without advertising from persons, firms, or corporations who have filed with the governing body of the county a request in writing that its name be listed with the governing body for solicitations on the particular items set forth in the request. The governing body shall solicit bids from listed prospective suppliers. The solicitation must contain the same information required to be set forth in advertisements. If a person, firm, or corporation whose name is listed fails for a period of 1 year to respond to any solicitation for bids, the listing may be canceled.

(2) Subject to [section 1], the governing body of the county shall let a contract to the lowest and best responsible bidder.

(3) Compliance with the provisions of this section is considered as meeting the requirements of 7-5-2301."

NEW SECTION. Section 4. Codification instruction. [Section 1] is intended to be codified as an integral part of Title 7, chapter 5, part 23, and the provisions of Title 7, chapter 5, part 23, apply to [section 1].

NEW SECTION. Section 5. Saving clause. [This act] does not affect rights and duties that matured, penalties that were incurred, or proceedings that were begun before [the effective date of this act].

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