Chapter 4 - § 4.18 • PREFERENCES

• Jurisdiction: Colorado

§ 4.18 • PREFERENCES

Colorado law provides for local preferences to be given to "resident bidders" in limited circumstances.³⁰⁸ For a construction contract on a public project, a resident bidder is allowed a preference against a non-resident bidder equal to the preference given or required by the state or foreign country where the non-resident bidder resides.³⁰⁹ If the grant of such a local preference would cause the denial of federal monies that otherwise would have been available for the project or is otherwise inconsistent with a requirement of federal law, this local preference is suspended to the extent necessary to prevent the denial of the federal monies or to eliminate the inconsistency with federal law.³¹⁰

The term "public project" is defined broadly to include projects undertaken by a home rule county, municipality, school district, special district, or other political subdivision of the state, as well as any publicly funded construction contracts entered into by the state and its agencies that are subject to the Colorado Procurement Code.³¹¹ It also includes any highway or bridge construction undertaken by the Department of Transportation or any political subdivision of the state in which the expenditure of funds is expected to exceed $50,000.³¹² The term "resident bidder" is defined as "(a) a person that is authorized to transact business in Colorado and that maintains its principal place of business in Colorado; or (b) a person that (I) is authorized to transact business in Colorado; (II) maintains a place of business in Colorado; and (III) has paid Colorado unemployment compensation taxes in at least six of the eight quarters immediately prior to bidding on a construction contract for a public project."³¹³

In addition to preferences for resident bidders, the Colorado Procurement Code provides preferences for the purchase of goods and services from correctional industries, persons with severe disabilities, and the Rehabilitation Center for the Visually Impaired.³¹⁴

All invitations for bids for products must contain language that describes the availability of the purchasing preference for environmental products.³¹⁵ The preference for environmentally preferable products does not apply to the purchase of services, including construction services.³¹⁶ "Environmentally preferable products" are defined as "products that have a lesser or reduced adverse effect on human health and the environment when compared with competing products that serve the...