Politics & Government

Lowest Bidders Win County Contracts Under New Policy

"Taxpayers will be the beneficiaries of this," Supervisor Jeff Stone said.

A Riverside County policy that favors granting contracts to local companies bidding on county projects was amended by the Board of Supervisors Tuesday to ensure the lowest possible price is locked in before a bid is awarded.

In a 5-0 vote, the board revised the county's Local Preference Policy so even local businesses have to lower their bids in order to receive a contract.

"Taxpayers will be the beneficiaries of this," said Supervisor Jeff Stone, who represents Temecula and Murrieta.

Find out what's happening in Temeculawith free, real-time updates from Patch.

Previously, county-based businesses competing for contracts to provide the county with goods and services were often guaranteed a 5 percent discount to the lowest "responsible and responsive bidder" from outside the area.

In effect, a local vendor could come in with a price 5 percent higher than a business from outside the region offering the same services, but the preference policy would make the two bids even, resulting in the local vendor winning the bid -- even though the actual amount of his offer remained higher.

Find out what's happening in Temeculawith free, real-time updates from Patch.

Stone criticized the policy in November when an auto dealer outside the county offered a lower price on a fleet sale, but a local dealer still received the contract, despite his bid being $7,200 higher.

The board directed Department of Purchasing & Fleet Services Administrator Bob Howdyshell to modify the Local Preference Policy to encourage area vendors to lower their bids.

The amendment approved today states that a local bidder whose price quote is between 1 and 5 percent over the "lowest responsive and responsible non-local bidder" must match the lowest bid to win the contract, or lose out.

"We're still giving local businesses (an edge)," Stone said. "But now they'll have to match the price offered outside the county."

—City News Service


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