Current through Register Vol. 50, No. 9, March 1, 2024
RELATES TO:
KRS
45A.050(7),
45A.070(1),
45A.090(2),
45A.180(1),
45A.182(1)(c),
45A.365,
45A.370,
45A.375,
45A.695,
45A.745,
45A.825,
45A.853,
160.303,
162.070,
164A.575,
164A.590,
176.010,
176.082.
NECESSITY, FUNCTION, AND CONFORMITY:
KRS
45A.494(6) requires that the
Finance and Administration Cabinet promulgate administrative regulations to
establish the procedure by which a reciprocal preference shall be given to
Kentucky resident bidders. This administrative regulation establishes the
procedures by which a reciprocal preference shall be given to Kentucky resident
bidders.
Section 1. Definitions.
(1) "Contract" is defined by
KRS
45A.490(1).
(2) "Nonresident bidder" is defined by
KRS
45A.494(3).
(3) "Public Agency" is defined by
KRS
45A.490(2).
(4) "Resident bidder" is defined by
KRS
45A.494(2).
(5) "Response" means any bid or response
submitted to a solicitation.
(6)
"Solicitation" means an invitation for bid, request for proposal, advertisement
for bid, or another formal method of soliciting a contract issued by a public
agency.
Section 2.
Claiming Resident Bidder Status.
(1) Any
individual, partnership, association, corporation, or other business entity
claiming resident bidder status shall submit along with its response a
notarized affidavit that affirms that it meets the criteria to be considered a
resident bidder as set forth in
KRS
45A.494(2).
(2) If requested, failure to provide
documentation to a public agency proving resident bidder status shall result in
disqualification of the bidder or contract termination.
Section 3. Determination of Residency for
Nonresident Bidders.
(1) The state of
residency for a nonresident bidder, for purposes of this administrative
regulation, shall be its principal office as identified in the bidder's
certificate of authority to transact business in Kentucky as filed with the
Commonwealth of Kentucky, Secretary of State.
(2) If the bidder is not required to obtain a
certificate of authority to transact business in Kentucky, its state of
residency shall be the mailing address provided in its bid.
Section 4. Applying the Reciprocal
Preference.
(1) Once all responsible and
responsive bidders to a solicitation have been scored and ranked, the residency
of each bidder shall be identified.
(2) A preference equal to the preference
given or required by the state of the highest evaluated nonresident bidders
shall be given to all responsive and responsible resident bidders.
(3) The responses shall then be rescored and
re-ranked to account for any applicable preferences.
(4) In awarding a contract, resident bidders
shall only receive preference against nonresident bidders residing in a state
that gives a preference to bidders from that state. This preference shall not
be applied against nonresident bidders residing in states that do not give
preference against Kentucky bidders.
(5) If a procurement determination results in
a tie between a resident bidder and a nonresident bidder, preference shall be
given to the resident bidder.
(6)
This administrative regulation shall not result in a nonresident bidder
receiving a preference over another nonresident bidder.
STATUTORY AUTHORITY:
KRS
45A.494
