The proposed bill, Substitute Senate Bill No. 525, mandates that state contracting agencies prioritize manufacturers, fabricators, and erectors located within Connecticut when awarding contracts for public works projects, including construction, renovation, and demolition of public buildings. If no in-state contractors are available, preference must then be given to those located elsewhere in the United States. This requirement overrides existing laws that typically necessitate competitive bidding to select the lowest responsible qualified bidder. The bill defines "contracting agency" in accordance with existing statutes and specifies that it does not apply to the judicial or legislative branches.

The bill is set to take effect on October 1, 2025, and introduces new fiscal implications, including an estimated cost of $227,000 for the Department of Administrative Services and $92,412 for the State Comptroller in the first two fiscal years due to the hiring of additional staff to manage the new bidding process. While the bill aims to support local businesses, it raises concerns regarding compliance with the U.S. Constitution's Commerce Clause, as it does not clarify the extent of the preference or the criteria for determining a contractor's location.