The Aurora City Council has approved an option in its bidding procedures for city contracts to give preference to businesses located within the city limits.
Aldermen unanimously approved the local preference option that would be figured on contracts up to $2 million and would be done on a sliding scale.
The new rules would allow a 4 percent break on contracts up to $500,000; 3 percent between $500,000 and $1 million; 2 percent between $1 million and $1.5 million; and 1 percent between $1.5 million and $2 million.
The local preference means the city can choose a bid from a local company, even if it’s not the lowest bid.
Officials promoting the local preference have said it’s an economic development move to stimulate local business and boost job creation.
They also have said the local preference is a first move for the city and can be adjusted later.
Martin Lyons, chief financial officer for the city, has said the plan is to analyze the local preference program for a year and see how much of an incentive the city has given local contractors.
The city would begin the practice after Labor Day. That would give officials time to get the word out to vendors and companies that do business with the city, Lyons has said.
The city has already sent a short survey to its list of top 20 contractors.
