Stanton council directs staff to draft 3% local vendor preference

The Stanton City Council on Oct. 8 voted to direct staff to prepare an amended purchasing policy that would raise the city's local vendor preference from 2% to 3% for non-exempt purchases.

City staff reviewed Stanton's current policy and the statutory and administrative context before the council. "To qualify as a local vendor, a business must have a valid city business license and a fixed business location within city limits," the staff presenter said, describing the existing 2% differential Stanton applies to eligible bids. The presenter noted that the preference cannot be applied to professional services or public projects where state or federal laws prohibit such preferences.

Council members discussed whether to pursue a higher percentage. One council member proposed a modest increase to 3% to show support for local businesses while avoiding the higher 5% cap that some case law has allowed. "I would think that 3 to 4 percent, just an increase that showed the businesses we love them, but I would hate to do the maximum 5% and get challenged on it," a council member said during the discussion.

The city attorney advised that case law has upheld preferences up to 5% in at least one jurisdiction when specific findings were made, but added that typical practice is 2% or 3%. After a substitute motion and second, the council approved direction to staff by voice vote with no recorded opposition.

What happens next: staff was asked to draft the amended purchasing policy reflecting a 3% local preference and to provide a listing of business use categories within the city for council review. The council did not enact the policy at the meeting; the item will return for formal adoption after staff brings back the draft and any necessary findings or legal analysis.