SUBJECT
title
An Ordinance Of The City Of Laredo, Texas authorizing to amend Ordinance 2018-O-175, Article X, Local Preference Program, Of Chapter 2, Administration, Of The Code Of Ordinances To Set Forth The Guidelines For Granting A Local Preference In City Procurements; Providing That This Ordinance Shall Be Cumulative; Providing A Severability Clause; Providing For Publication; And Declaring An Effective Date (As Amended).
body
PREVIOUS COUNCIL ACTION
City Council on November 19, 2018.
BACKGROUND
This ordinance serves as an update to Ordinance 2018-O-175, Article X, Local Preference Program, of Chapter 2, Administration, of the Code of Ordinances, which was originally adopted by the Laredo City Council on November 19, 2018. The ordinance established the City of Laredo’s framework for granting a preference to local businesses in city procurements, promoting local economic growth and job creation. This amendment aligns the City's procurement practices with changes enacted by the 89th Texas Legislature through Senate Bill No. 1173. Effective September 1, 2025, Section 3 of S.B. No. 1173 increases the municipal procurement expenditure threshold from $50,000 to $100,000. Consequently, municipalities must follow competitive procurement procedures under Subchapter B and Subchapter C of Chapter 252, use the reverse auction method under Section 2155.062(d) of the Government Code, or comply with an alternative method described in Chapter 2269 of the Government Code for contracts exceeding that amount. This amendment ensures that the City of Laredo remains compliant with state law while continuing to prioritize local vendor participation in public contracts.
COMMITTEE RECOMMENDATION
N/A
STAFF RECOMMENDATION
recommendation
Approve and adopt the Amended and Final Reading of this Ordinance.
end
Fiscal Impact
Fiscal Year: 2026
Budgeted Y/N?:
Source of Funds:
Account #:
Change Order: Exceeds 25% Y/N:
FINANCIAL IMPACT:
No Fiscal Impact