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Senate Democrats pass jobs bill

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Wednesday, April 11, 2012 7:39 PM

DENVER — Senate Democrats passed their marquee “jobs bill” Wednesday, but the proposal faces very long odds in the House.

The bill gives a preference in state contracting to companies that hire Colorado workers.

Republicans and business groups, though, opposed the idea, saying it would muddle state contracts and potentially cost taxpayers millions of dollars.

Senate Democrats liked the bill so much they crowned it with the title Senate Bill 1, denoting that it is their highest priority. But last year, similar bidding preference bills died in the Republican-controlled House.

“I don’t see why or how a bill that is designed to create jobs, stimulate the economy, becomes a partisan issue,” said Senate President Brandon Shaffer, D-Longmont.

But Republicans said SB 1 is simply a bad idea.

“The business community of Colorado did not see this as something that would get us jump-started and back to work. They saw it as something that would set us back,” said Sen. Ellen Roberts, R-Durango.

The bill offers a preference of up to 5 percent on bids for state contracts for more than $1 million. To get the full preference, a company’s workforce has to be at least 90 percent Colorado residents, and companies have to offer health coverage and apprenticeship programs.

It could add a cost of $50,000 to every $1 million in state contracts. Shaffer said the state spends $700 million on private contracts every year.

“This is an opportunity to use the tools that are at our disposal. We have an enormous amount of money in contracts to private companies. Let’s use that,” he said.

But Roberts argued that senators don’t know how much the bill might end up costing the state, so Colorado should continue to look for the best value in its contracts, regardless of where workers live.

Roberts and Sen. Greg Brophy, R-Wray, also said the bill might penalize businesses in their border communities.

Many businesses operate out of Colorado but employ workers who live just across the state line, Brophy said, “putting you at a 5 percent disadvantage just because you happen to operate your business out of a border community. This bill doesn’t create jobs – it creates problems.”

The bill passed on a 19-16 vote, with all Republicans and one Democrat opposed.

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