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City of Goodyear, Arizona
For Immediate Release: Jan. 13, 2009
New purchasing policy helps keep city dollars in Goodyear
GOODYEAR, ARIZ. (Jan. 13, 2009) – Sales tax revenues are a big part of every city’s budget, including Goodyear’s.
To bolster those sales tax revenues, Goodyear has adopted a new purchasing policy designed to maximize in-city spending.
Here are the highlights of the new purchasing policy:
- Purchases of less than $5,000 can be made from local vendors without going through the bid process if the pricing is reasonable.
- Purchases between $5,000 and $50,000 require three written quotes, two of which must come from local vendors whenever possible.
- When considering bids, the city can take into account the fact that a vendor is located in Goodyear and will be collecting sales tax that is paid to the city.
- City sales tax can be subtracted from a Goodyear vendor’s total bid when pricing is compared to other vendors. Local vendors must be current on their tax reporting and payments to the city.
- Price quotes should be Free On Board, or FOB. This includes freight, delivery and handling charges. This is helpful for local vendors who have items in stock and don’t need to pay for additional shipping, handling or other taxes.
- Goodyear businesses can be certified as local vendors by using Goodyear’s ePro Procurement system, which helps the city find local vendors. For information on ePro Procurement, vendors can contact their procurement liaison or the Office of Procurement in Goodyear.
- Goodyear has set up blanket purchase orders with local vendors for making small purchases easily. This helps minimize paperwork and encourages spending city dollars with local vendors.
- To help reach out to local vendors, city employees are encouraged to let the Procurement Office know whenever new businesses open in Goodyear. The city holds vendor shows where local businesses are often invited to promote their goods and services.
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