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Public procurement preference margin
On June 12, 2012, the Tucson City Council adopted a local bid preference law that applies to city contracts for goods and services. Under Ordinance Number 10992, 'Type A' businesses (those whose principal business offices are physically located within Pima County) receive a five percent preference over other businesses. The ordinance also recognizes as 'Type B' businesses those whose principal business offices are located outside of Pima County but within Arizona, which receive a three percent bid preference. 'Type C' businesses operate a franchise within Pima County and are owned by Pima County residents, and are eligible for a one and a half percent preference.
The Goldwater Institute brought suit against the city for this policy, which was then struck down by a state judge in 2014.
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