
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: WEDNESDAY, March 4, 1992                   TAG: 9203040167
SECTION: CURRENT                    PAGE: NRV-7   EDITION: NEW RIVER VALLEY 
SOURCE: PAUL DELLINGER
DATELINE: PULASKI                                LENGTH: Medium

TOWN PUT $3.6 MILLION INTO LOCAL POCKETS

The Town of Pulaski contributed more than $3.6 million to the local economy during the last budget year, the town manager told Town Council Tuesday.

That includes $988,000 worth of business with vendors in the town and Pulaski County during the 1990-91 budget year, in line with the town's policy to use local businesses where possible.

During the 1991 calendar year, the town also contributed to the local economy with a payroll of nearly $1.9 million to employees and contract employees living in the town or county.

The town also lent more than $380,000 through Urban Development Action Grant funds to local businesses to create new jobs and keep existing ones.

And it paid $421,000 to Appalachian Power Co., United Cities Gas and C&P Telephone for utilities.

Town Manager Don E. Holycross said the figures came from data he obtained for a Pulaski County Chamber of Commerce seminar last week on doing business with local government.

"In preparation for that seminar, I asked the Finance Department to determine how much business the town had done with local vendors and contractors," he said. "The figures were quite impressive and somewhat surprising."

Holycross said the town's policy, when contracting for goods or services, is to use local businesses unless the costs are too far out of line or there is some legal regulation requiring services from outside.

The town's new purchasing procedures, approved by council last September, provide a 4 percent preference for local vendors for purchases under $15,000. That means the town can award a contract to a town or county vendor even if that vendor hasn't submitted the lowest quote, if the quote is within 4 percent of the lowest.

Each town department has flexibility in making purchases of less than $1,000. Between $1,000 and $2,500, a department head must get two quotes (by phone is OK) and the town manager's approval. From $2,500 to $14,999 requires written quotes.

The state requires competitive sealed bidding on purchases of $15,000 or more. The 4 percent preference does not apply to these.

by CNB