HB396 Alabama 2020 Session

Summary

Primary Sponsor

Barbara DrummondRepresentative

Democrat

Session

Regular Session 2020

Title

State contracts, for goods and services, to create a statewide disadvantaged business enterprise program, to establish a study commission on disadvantaged business enterprises

Summary

HB396 would create a statewide disadvantaged business enterprise program for state contracts, including a certification process, bidding priority for DBEs, and a study commission to review DBE participation.

What This Bill Does

Establishes a certification process for disadvantaged businesses (women- or minority-owned) to qualify as DBEs, to be run by the Chief Procurement Officer. Identifies programs to assist small and disadvantaged businesses. Provides a bidding priority for DBEs and sets a goal that 15% of state contracts for goods and services go to DBEs. Creates a Study Commission on Disadvantaged Business Enterprises to study options and report back to the Legislature, after which the commission would be dissolved.

Who It Affects

• Disadvantaged businesses (women- or minority-owned firms) would be able to obtain DBE certification and receive bidding priority on state contracts, with the possibility of reaching the 15% contracting goal.
• State procurement agencies and other state contracting authorities would implement the certification process, apply DBE preferences in bids, and work toward the 15% DBE contracting goal.

Key Provisions

• Create a statewide DBE program with a certification process for DBEs and programs to assist small and disadvantaged businesses, led by the Chief Procurement Officer.
• Provide DBE bidding priority, set a 15% contract goal for DBEs, amend bidding rules to allow DBE preferences (including within-5% lowest-bid provisions), and establish a Study Commission on Disadvantaged Business Enterprises to study and report findings.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

State Contracts