AB 45

Current law generally authorizes the Department of Administration (DOA) to

purchase, or delegate the authority to purchase, all necessary materials and

contractual services for all state agencies. With some exceptions, orders or contracts

must be awarded to the lowest bidder. One such exception requires, if all other

factors are substantially equal, the purchasing agent to purchase materials which

are mined, produced, manufactured, fabricated, or assembled (manufactured) to the

greatest extent in the United States. Under this bill, with limited exceptions, the

state must purchase materials that are manufactured to the greatest extent in the

United States, regardless of whether all other factors are substantially equal. This

bill also requires, with limited exceptions, that a contract for a public works or public

improvement project must contain a provision that the contractor will use materials

that are manufactured in the United States.

Generally under current law, if a city, village, town, county, school district,

sewer district, technical college district, or other local unit of government wishes to

let a public contract involving the construction or repair of any public work or

building, or the furnishing of supplies or materials, there are a number of bidding

requirements that apply to such contracts. For example, if the value of the contract

is above a certain amount, or between certain amounts, certain local units of

government must publish a notice in the newspaper before it contracts for the work.

This bill adds another requirement to public contracts entered into by local units of

government. Under this bill, such a public contract must contain a provision that the

contractor will use materials that are manufactured in the United States in the

performance of the contract.