Buy Indiana
One of Governor Daniels' first priorities was introduction of the Buy Indiana initiative. In Executive Order 05-05, he established a goal for state agencies to procure ninety cents of each dollar from Indiana businesses. In addition, he established the criteria for defining an Indiana business. The order established five (5) guidelines under which a company may qualify as an Indiana business. The order also instructed the Indiana Department of Administration (IDOA) to develop policies and procedures around the Buy Indiana preference. The following information is the policy developed by the Indiana Department of Administration (IDOA), the Office of Management and Budget (OMB), and the Indiana Economic Development Corporation (IEDC).
Defining an Indiana Business:
The Executive Order designates an entity as being an Indiana business if it meets any one of the five conditions as set out in I.C. 5-22-15-20.5.
- (1) A business whose principal place of business is located in Indiana.
- (2) A business that pays a majority of its payroll (in dollar volume) to residents of Indiana.
- (3) A business that employs Indiana residents as a majority of its employees.
- (4) A business that makes significant capital investments in Indiana as defined below.
- (5) A business that has a substantial positive economic impact on Indiana as defined below.
Substantial Capital Investment:
Any company that can demonstrate a minimum capital investment of $5 million or more in plant and/or equipment or annual lease payments of $2.5 million or more shall qualify as an Indiana business under category #4. If an out of state company does not meet one of these criteria, it may submit documentation/justification to the State for additional review and consideration for inclusion under this category.
Substantial Indiana Economic Impact:
Any company that is in the top 500 companies for one of the following categories: number of employees (DWD), unemployment taxes (DWD), payroll withholding taxes (DOR), or corporate income taxes (DOR); shall qualify as an Indiana business under category #5. If an out of state company does not meet one of these criteria, it may submit documentation/justification to the State for additional review and consideration for inclusion under this category. If you need assistance in determining if your business qualifies under this criterion, please send an email inquiry to buyindianainvest@idoa.in.gov and you will receive a response within forty-eight (48) hours.
The Buy Indiana Preference
Depending on the size of the State's purchase, the Buy Indiana preference is applied as follows:
- 1% on purchase of $1 million and up,
- 3% on 500K to $1M purchases, and
- 5% on purchases valued at less than 500K.
Procurement Methods and Basis for Award:
Bids - follows the process set forth in statute - I.C. 5-22-15-20.5.
Request for Proposals and Professional Services - uses a revised scoring system for determining the award as follows:
| Management Assessment/Quality | 30 pts |
| Price | 25 pts |
| Buy Indiana (Indiana Company 10pts; Indiana Economic Impact 15pts) |
25 pts |
| MWBE Requirement | 20 pts |
| 10 pts each for Women and Minority participation | |
| Total | 100 pts |
A more complete review of point calculations are awarded is included in every State-issued RFP and RFS.
If you have previously registered your business with IDOA, please click on the link to update your registration. Click the tab titled Buy Indiana. Please select the appropriate category for your business. You may only select one category. The next step is to certify the selection by clicking the check box next to the certification paragraph. Once this is complete, please save your selection and exit your account. If you have not previously registered with IDOA, please click on the link to register your business. During the registration process, you will follow the steps outlined in the paragraph above to certify your status.
IDOA is committed to advancing the Governor's plan for revitalizing Indiana's economy. A key component of this endeavor is for state government to invest in and support those firms that have made, and continue to make, significant economic investment in Indiana. Thank you for your support and we encourage you to take this opportunity to become an Indiana Business partner with State government. If you have any questions concerning the policy or the certification process, please contact the Department of Administration at (317) 232-3150.
Links:
- Register your Business with the Department of Administration
- Update your existing business registration profile
- BuyIndiana Directory. To be listed on the Buy Indiana Directory you must first register your business with the Department of Administration.
- Buy Indiana Information Session Power Point
- Governor Mitch Daniels' Buy Indiana Initiative: 2007 Progress Report
