LANSING – The state House today passed a plan supported by State Representative Lee Gonzales (D-Flint Township) that will allow small businesses to participate in the state's bulk purchasing program, a move that will cut their costs and create jobs for Michigan workers.
"Small businesses form the backbone of Michigan's economy, and it's in the state's best interests to give them access to the state's bulk-purchasing program," Gonzales said. "I encourage my colleagues in the Senate to give this plan fast approval so small business owners can re-invest these savings in expanding their companies and hiring more workers."
The plan allows small businesses to participate in the cooperative bulk purchasing program administered through the Department of Management and Budget (DMB). Using the program will reduce the costs of purchasing goods and services for small businesses, which tend to operate on extremely tight budgets.
Small businesses are defined as ones that are independently owned and operated, employ fewer than 30 employees, and have gross annual sales of less than $1 million. Neither small businesses nor vendors will be required to participate in the program. Businesses would pay a small fee to participate.
Currently, access to the state's cooperative bulk purchasing program is limited to certain governmental bodies and nonprofit hospitals.