Preference to Supplies, Equipment, Materials, and Agricultural Products Produced in Georgia Generally; Determination as to Reasonableness of Preference

  1. Law
  2. Georgia Code
  3. State Government
  4. Department of Administrative Services
  5. State Purchasing
  6. General Authority, Duties, and Procedure
  7. Preference to Supplies, Equipment, Materials, and Agricultural Products Produced in Georgia Generally; Determination as to Reasonableness of Preference

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  1. The state and any department, agency, or commission thereof, when contracting for or purchasing supplies, materials, equipment, or agricultural products, excluding beverages for immediate consumption, shall give preference as far as may be reasonable and practicable to such supplies, materials, equipment, and agricultural products as may be manufactured or produced in this state. Such preference shall not sacrifice quality.
  2. Vendors resident in the State of Georgia are to be granted the same preference over vendors resident in another state in the same manner, on the same basis, and to the same extent that preference is granted in awarding bids for the same goods or services by such other state, or by any local government of such state, to vendors resident therein over vendors resident in the State of Georgia.
  3. In determining whether such a preference is reasonable in any case where the value of a contract for or purchase of such supplies, materials, equipment, or agricultural products exceeds $100,000.00, the state or its department, agency, or commission shall consider, among other factors, information submitted by the bidder which may include the bidder's estimate of the multiplier effect on gross state domestic product and the effect on public revenues of the state and the effect on public revenues of political subdivisions resulting from acceptance of a bid or offer to sell Georgia manufactured or produced goods as opposed to out-of-state manufactured or produced goods. Any such estimates shall be in writing. The state or its department, agency, or commission shall not divide a contract or purchase which exceeds $100,000.00 for the purpose of avoiding the requirements of this subsection.
  4. Nothing in this Code section shall negate the requirements of Code Section 50-5-73.

(Ga. L. 1933, p. 1178; Code 1933, § 40-1903; Ga. L. 1937, p. 503, § 11; Ga. L. 1990, p. 1466, § 1; Ga. L. 2009, p. 204, § 3/SB 44; Ga. L. 2012, p. 1098, § 1/SB 358.)

The 2012 amendment, effective July 1, 2012, inserted ", or by any local government of such state," near the end of subsection (b).

Cross references.

- Conspiracy in restraint of free and open competition in transactions with state or political subdivisions, § 16-10-22.

Preferences for products manufactured in Georgia, § 36-84-1.

OPINIONS OF THE ATTORNEY GENERAL

Contracting with foreign corporations.

- This section does not prohibit the department from contracting with foreign corporations where the state will benefit as a result of such arrangement. 1948-49 Op. Att'y Gen. p. 568.

Purchases of drugs covered by federal patents.

- The department has no authority under Ga. L. 1939, p. 160, § 6 (see O.C.G.A. § 50-5-55) either to authorize or prohibit purchases of foreign made drugs that, if made in this country, would be covered by United States patents; insofar as a rule sought to carry forth the intent of that section, favoring of Georgia products, it would be perfectly within its power and authority. 1963-65 Op. Att'y Gen. p. 55.

RESEARCH REFERENCES

Am. Jur. 2d.

- 64 Am. Jur. 2d, Public Works and Contracts, § 21.

ALR.

- Validity, construction, and effect of state and local laws requiring governmental units to give "purchase preference" to goods manufactured or services performed in state, 84 A.L.R.4th 419.


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