Bill giving businesses preference in public projects passes Assembly

Legislation giving Nevada companies a leg up in getting public works projects was approved by the Assembly Friday with just one dissenting vote.

Assemblywoman Debbie Smith, D-Sparks, said Assembly Bill 144 allows Nevada businesses to win state or local government public works contracts even if they are as much as 5 percent above the low bidder.

"The Nevada Jobs First bill is an important step to help Nevada businesses get back to work," she said.

But Smith said there are conditions on the act to make sure those businesses are actually benefiting the Nevada economy. She said at least 50 percent of the company's workers and 50 percent of their design professionals must be Nevada residents, they must register all their vehicles in the state, purchase at least 25 percent of all materials in Nevada and maintain payroll records for the project in Nevada.

Failure to do so would result in sanctions including losing the right to bid on other projects for up to five years.

She was joined by Assemblywoman Marilyn Kirkpatrick, D-Las Vegas, who said times are tough for all workers and businesses in Nevada.

"We simply cannot afford for businesses accepting taxpayer money to be using that money to send jobs out of state," she said.

Minority Leader Pete Goicoechea, R-Eureka, said he too supports the measure but recommended it to be amended in the Senate to pre-certify bidders as qualified Nevada companies to speed up the bid award process.

Smith said that and an amendment to handle situations when the materials just aren't available for purchase in Nevada are among the "tweaks" the bill needs once in the Senate.

The bill passed 39-1 with two members absent. The only vote against it was by Republican Ed Goedhart of Amargosa Valley.

He said he opposed the measure because it is "a protectionist bill that could spark retaliatory efforts in other states." He said it also will increase the cost of public works projects in Nevada.

"The answer to our economic recovery isn't to insert more government into the private sector but to get government out of its hair," he said.

The measure goes to the Senate.