Rockford, Illinois News

Rockford aldermen pass ordinance to help local companies secure more city contracts

ROCKFORD – The Rockford City Council, on Monday, approved a new ordinance designed to help local businesses secure more city contracts.

Traditionally, the lowest qualified bidder won city work, regardless of their business location. The new ordinance allows an automatic local business downward adjustment for public works and construction contracts.

If a local business wants to participate, they opt into the automatic adjustment at the time of bid submission. If a non-local bidder is the lowest responsible bidder, but a local bidder would be lower by applying the automatic downward adjustment–and they have opted in with their bid–the city will apply the downward adjustment and recommend awarding the bid to the local vendor.

The automatic downward adjustment is 5%, not to exceed $20,000.

The local bidder must honor the downward adjustment or the business will be barred from future bidding for one year.

“We want to see as much business as possible stay in our local area,” Rockford Mayor Tom McNamara said. “This new ordinance allows us to keep a fair and competitive process while giving our local vendors the best chance to be awarded the work.”

In other city business, aldermen awarded BUSH Development a $4 million in pay-as-you-go TIF funds on a new six-story apartment building at 227 Wyman St. the complex will include 85 residential units, a restaurant and two commercial spaces along the Rock River. The property was previously owned by the Rockford Public Library. The existing building will be demolished.

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