Sens. McDonald Rivet, Damoose sponsor bipartisan bills to help local businesses compete on state contracts
LANSING, Mich. (May 2, 2023) — Sen. Kristen McDonald Rivet (D-Bay City) introduced legislation on Tuesday as part of a bipartisan package encouraging the state to hire more Michigan businesses when considering bids for goods or services.
“Buy Michigan” (Senate Bills 316–317) aims to give Michigan-headquartered businesses a chance to counter lower bids from out-of-state companies in the State of Michigan’s procurement process. According to the bill sponsors, the legislation is designed to keep more state tax dollars working to strengthen Michigan’s local economies and increase better-paying jobs in our state.
“I will always push for good jobs and opportunities that strengthen Michigan’s economy,” said Sen. McDonald Rivet. “We can give Michigan businesses this second chance to win state contracts while maintaining fair market competitiveness. With this proposal, we can utilize our tax dollars better by keeping more of them in-state. This is a pro-Michigan plan at all levels— our employers, workers, and state taxpayers would all benefit.”
Sen. John Damoose (R-Harbor Springs) remarked, “In recent years, the Legislature has worked to approve numerous measures that support Michigan businesses and promote growth in our state. This is another great step forward and encourages a partnership between Michigan’s private and public sectors to keep more money moving through Michigan’s economy.”
The proposed legislation would give Michigan businesses an additional window of time to resubmit a lower bid for a state contract if the initial lowest bid came from an out-of-state company. By doing so, local businesses will have another option to win the contract keeping Michigan taxpayer dollars right here at home while providing the state with the lowest possible pricing. Under current law, Michigan’s Department of Technology, Management and Budget is not required to select an in-state supplier who offers the better and lowest bid.
Sen. McDonald Rivet added, “The State of Michigan contracts about $16 billion annually for goods and services. This approach ensures the best price for the same or higher quality goods and services while prioritizing Michigan-based businesses and jobs. I’m glad to see it’s getting early bipartisan support.”
The Buy Michigan plan is supported by a diverse coalition of business, labor, and local governments, including: Small Business Association of Michigan, AFSCME, Michigan Chamber, Southwest Michigan Regional Chamber, the City of Detroit, Wayne County, Oakland County, Macomb County, and Genesee County.
Senate Bills 316 and 317 have been referred to the Regulatory Affairs Committee for further consideration.
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