Carolinas AGC-Opposed Bidding Bill Gets Defeated

News provided by

Carolinas Associated General Contractors

May 07, 2013, 01:00 ET

RALEIGH, N.C., May 7, 2013 /PRNewswire-USNewswire/ -- The North Carolina House Government Committee has defeated for now a Carolinas AGC-opposed bill that would have given local bidding preferences on public construction work to companies based in the municipality or county where the work is to be done for that local government unit. Under the bill, municipal or county governments could have given either a 5 percent bidding advantage or $10,000 (whichever is less) to a bidder whose principal place of business is located in that jurisdiction if the low bidder's principal business is located elsewhere.

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Carolinas AGC (CAGC) strongly opposes the bill as it would:

  • Limit the number of bids in the traditional competitive, sealed-bid process on public work in North Carolina.
  • Unfairly penalize contractors whose principal place of business are not located within that local government jurisdiction.
  • Unfairly penalize contractors whose principal place of business are located in municipalities or counties with little or no construction work occurring.
  • Legislate against the free enterprise system.
  • Burden taxpayers by limiting competition on public work.

In an 18-11 vote, the committee defeated a motion to refer House Bill 284 out of the committee without a yes or no vote, so it will stay for now in House Government.

"This is not good for business," said committee co-chair Rep. Mike Stone, R-Lee. Other committee members who opposed it include Mitchell S. Setzer, R-Catawba, Yvonne Lewis Holley, D-Wake, and Mark Brody, R-Union.

For more information contact CAGC NC Government Relations & Building Director Dave Simpson, 704/372-1450, ext. 5724.

Carolinas AGC (CAGC) represents contractors and construction-related firms in North Carolina and South Carolina, and serves as a chapter of AGC of America and ARTBA. Through diverse partnerships, Carolinas AGC effectively innovates and shares knowledge across sectors and generations; advancing the construction industry to enhance the quality of life and deliver a sustainable difference in the Carolinas. Visit us at www.cagc.org.

SOURCE Carolinas Associated General Contractors

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