63-56-404 Preference for providers of state products.
(1) (a) All public procurement units shall, in all purchases of goods, supplies, equipment, materials, and printing, give a reciprocal preference to those bidders offering goods, supplies, equipment, materials, or printing produced, manufactured, mined, grown, or performed in Utah as against those bidders offering goods, supplies, equipment, materials, or printing produced, manufactured, mined, grown, or performed in any state that gives or requires a preference to goods, supplies, equipment, materials, or printing produced, manufactured, mined, grown, or performed in that state.
(b) The amount of reciprocal preference shall be equal to the amount of the preference applied by the other state for that particular good, supply, equipment, material, or printing.
(c) (i) The bidder shall certify on the bid that the goods, supplies, equipment, materials, or printing offered are produced, manufactured, mined, grown, or performed in Utah.
(ii) The reciprocal preference is waived if that certification does not appear on the bid.
(2) (a) If the bidder submitting the lowest responsive and responsible bid offers goods, supplies, equipment, materials, or printing produced, manufactured, mined, grown, or performed in a state that gives or requires a preference, and if another bidder has submitted a responsive and responsible bid offering goods, supplies, equipment, materials, or printing produced, manufactured, mined, grown, or performed in Utah, and with the benefit of the reciprocal preference, his bid is equal to or less than the original lowest bid, the procurement officer shall:
(i) give notice to the bidder offering goods, supplies, equipment, materials, or printing produced, manufactured, mined, grown, or performed in Utah that he qualifies as a preferred bidder; and
(ii) make the purchase from the preferred bidder if, within 72 hours after notification to him that he is a preferred bidder, he agrees, in writing, to meet the low bid.
(b) The procurement officer shall include the exact price submitted by the lowest bidder in the notice he submits to the preferred bidder.
(c) The procurement officer may not enter into a contract with any other bidder for the purchase until 72 hours have elapsed after notification to the preferred bidder.
(3) (a) If there is more than one preferred bidder, the procurement officer shall award the contract to the willing preferred bidder who was the lowest preferred bidder originally.
(b) If there were two or more equally low preferred bidders, the procurement officer shall comply with the rules adopted by the Procurement Policy Board to determine which bidder should be awarded the contract.
(4) The provisions of this section do not apply if application of this section might jeopardize the receipt of federal funds.

63-56-405 Preference for resident contractors.
(1) As used in this section, "resident contractor" means a person, partnership, corporation, or other business entity that:
(a) either has its principal place of business in Utah or that employs workers who are residents of this state when available; and
(b) was transacting business on the date when bids for the public contract were first solicited.
(2) (a) When awarding contracts for construction, a public procurement unit shall grant a resident contractor a reciprocal preference as against a nonresident contractor from any state that gives or requires a preference to contractors from that state.
(b) The amount of the reciprocal preference shall be equal to the amount of the preference applied by the state of the nonresident contractor.
(3) (a) The bidder shall certify on the bid that he qualifies as a resident contractor.
(b) The reciprocal preference is waived if that certification does not appear on the bid.
(4) (a) If the contractor submitting the lowest responsive and responsible bid is not a resident contractor and has his principal place of business in any state that gives or requires a preference to contractors from that state, and if a resident contractor has also submitted a responsive and responsible bid, and, with the benefit of the reciprocal preference, the resident contractor's bid is equal to or less than the original lowest bid, the procurement officer shall:
(i) give notice to the resident contractor that he qualifies as a preferred resident contractor; and
(ii) issue the contract to the resident contractor if, within 72 hours after notification to him that he is a preferred resident contractor, he agrees, in writing, to meet the low bid.
(b) The procurement officer shall include the exact price submitted by the lowest bidder in the notice he submits to the preferred resident contractor.
(c) The procurement officer may not enter into a contract with any other bidder for the construction until 72 hours have elapsed after notification to the preferred resident contractor.
(5) (a) If there is more than one preferred resident contractor, the procurement officer shall award the contract to the willing preferred resident contractor who was the lowest preferred resident contractor originally.
(b) If there were two or more equally low preferred resident contractors, the procurement officer shall comply with the rules adopted by the Procurement Policy Board to determine which bidder should be awarded the contract.
(6) The provisions of this section do not apply if application of this section might jeopardize the receipt of federal funds.

63-56-426. Tie bids -- Preference for providers of state products -- Resolution of tie bids -- Record of tie bids.
(1) As used in this section:
(a) (i) "Commodity" means a good, product, material, or item, including an agricultural, manufacturing, or mining product;
(ii) "Commodity" does not include:
(A) a service; or
(B) construction materials or services.
(b) "Provider of state products" means a bidder offering goods, supplies, products, materials, or items that are produced, manufactured, mined, or grown in the state.
(c) "Tie bid" means a low responsive bid from a responsive bidder that is identical in price to a responsive bid from another responsive bidder.
(2) In the event of a tie bid for the provision of a commodity where only one of the bidders having the low responsive bid is a provider of state products, a public procurement unit shall award the contract to the provider of state products if:
(a) the quality of the commodity offered by the provider of state products is equal to or greater than the quality of the commodity offered by the other tied bidders;
(b) the commodity offered by the provider of state products is suitable for the use required by the public procurement unit; and
(c) the provider of state products is able to produce the commodity in sufficient quantity.
(3) Unless Subsection (2) applies, a public procurement unit shall make an award on a tie bid by using one of the following procedures, which shall be selected in the sole discretion of the procurement officer:
(a) where a tie bid includes the cost of delivery, awarding the contract to the bidder closest to the point of delivery;
(b) awarding the contract to the identical bidder who received the previous award, and continue to award succeeding contracts to the same bidder so long as all low bids are tie bids;
(c) awarding the contract to the bidder with the earliest delivery date;
(d) if the price of the tie bid is considered excessive or the bids are unsatisfactory for another reason, rejecting all bids and negotiating a more favorable contact on the open market; or
(e) if the procurement officer determines in writing that no method under this Subsection (3) will equitably resolve the tie bid, awarding the contract by drawing lots.
(4) Awards of tie bids shall not be made by:
(a) dividing business among tied bidders; or
(b) drawing lots, except as provided in Subsection (3)(e).
(5) (a) A state public procurement unit shall retain a record of each invitation for bids on which a tie bid is received, that shall include the following information:
(i) the invitation for bids;
(ii) the supply, service, or construction item requested by the invitation for bids;
(iii) all the bidders and the prices submitted;
(iv) the procedure used to resolve the tie bid; and
(v) the results of the procedure used to resolve the tie bid, including the name of the bidder awarded the contract.
(b) A copy of the record maintained under Subsection (5)(a) shall be provided to the attorney general for all contracts having a tie bid in excess of $50,000.

STATES WITH PREFERENCE LAWS

2006

STATE Amount of Preference

Alaska 5%* Alaska Bidders, Alaska Products 5-7%
Arkansas 15% Only against out of state correctional industries
California 5% California Small Businesses Only
Hawaii 3-10% Depending on amount of Hawaii input
Idaho 10% Printing only
Louisiana 10% Louisiana Products
Michigan * All printing is set aside
New Mexico 5% Construction and New Mexico Products
New York 3% Food Products Only
Ohio 5% Ohio Bidders
Oregon * All printing is set aside
South Carolina 7% South Carolina Products
West Virginia 2.5% West Virginia Businesses
Wyoming 5% Goods, 10% on Construction - Wyoming Looks to Modify Contractor Preference Law - Two laws designed to help in-state contractors. House Bill 111, tightens the definition of an “in-state” contractor. A second bill, Senate File 144, creates temporary restrictions requiring, among other things, at least 70 percent of subcontractors hired for public construction projects are from Wyoming.

A summary of these state's laws is in the State Purchasing director's office.

STATES WITH RECIPROCAL PREFERENCE LAWS

Colorado, Florida, Georgia, Hawaii, Idaho, Illinois, Iowa, Kansas, Louisiana, Maine, Maryland, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, New Jersey, New York, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, South Dakota, Tennessee, Texas, Utah, Virginia, Washington, West Virginia, Wisconsin