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(a) Residents of the City shall be given a preference over nonresidents if the written bid amount or price quotation from a resident is not more than five percent above the bid from a nonresident.

(b) In determining whether a purchase from a resident or a nonresident is most advantageous to the City, the written bid amount or price quotation by the resident shall be considered to be reduced by a sum equal to five percent of the price quoted.

(c) This preference shall not be interpreted to mean that although the written bid amount or price quoted by the resident is less than five percent in excess of that provided in writing by the nonresident, the City is precluded from making the purchase from whatever source is the most advantageous to the City after considering all factors in the public interest.

(d) A preference under this section will only be given to an individual or firm who:

(1) Holds a current Alaska business license;

(2) Submits a proposal for goods and services under the name on the Alaska business license;

(3) Is a resident as defined in this chapter;

(4) Is incorporated or qualified to do business under the laws of the State of Alaska with its principal place of business in the City, is a proprietorship and the proprietor is a resident of the City, or is a partnership and all partners are residents of the City;

(5) Is not in arrears to the City for payment of sales tax, utilities, or other accounts receivable; and

(6) If a joint venture, all joint venture partners must qualify under subsections (d)(1) through (d)(5) of this section. [Code 1979 § 06.06.050.]