Guam § 5008 - Policy in Favor of Local Procurement.
Full text of Guam Guam Code Annotated § 5008 — Policy in Favor of Local Procurement., with citation guidance and answers to common questions.
§ 5008. Policy in Favor of Local Procurement.
All procurement of supplies and services shall be made from among businesses licensed to do business
on Guam and that maintain an office or other facility on Guam, whenever a business that is willing to be a
contractor is:
(a) a licensed bona fide manufacturing business that adds at least twenty-five percent of the value
of an item, not to include administrative overhead, using workers who are U. S. Citizens or lawfully
admitted permanent residents or nationals of the United States, or persons who are lawfully admitted
to the United State to work, based on their former citizenship in the Trust Territory of the Pacific
Islands; or
(b) a business that regularly carries an inventory for regular immediate sale of at least fifty percent
(50%) of the items of supplies to be procured; or
(c) a business that has a bona fide retail or wholesale business location that regularly carries an
inventory on Guam of a value of at least one half of the value of the bid or One Hundred Fifty Thousand
Dollars ($150,000) whichever is less, of supplies and items of a similar nature to those being sought;
or
(d) A service business actually in business, doing a substantial portion of its business on Guam,
and hiring at least 95% U. S. Citizens, lawfully admitted permanent residents or nationals of the United
States, or persons who are lawfully admitted to the United States to work, based on their citizenship
in any of the nations previously comprising the Trust Territory of the Pacific Islands.
Procurement of supplies and services from off Guam may be made if no business for such supplies or
services may be found on Guam or if the total cost F.O.B. job site, unloaded, of procurement from off
island is no greater than eighty-five percent (85%) of the total cost F.O.B. job site, unloaded, of the
same supplies or services when procured from a business licensed to do business on Guam that
maintains an office or other facility on Guam and that is one of the above-designated businesses
entitled to preference.
COL 2026-04-23
(e) The specifications, terms, conditions and qualifications for all solicitations shall be drafted to
promote participation in the solicitation by local bidders and offerors to the maximum extent
practicable consistent with the needs of Guam. No specification, term, condition or qualification shall
preclude due consideration of a bidder or offeror on the basis of Guam-only experience; provided, the
experience of such bidder or offeror is otherwise responsive to the solicitation. No specification, term,
condition or qualification of a solicitation shall require off-island experience or past performance
unless there is a written determination of the Chief Procurement Officer, the Director of Public Works,
or the head of the procuring agency or government of Guam branch conducting the solicitation which
justifies the need for such experience or performance, and such written determination is made part of
the solicitation documents.
Source: official Guam text · Last verified 2026-08-27
Frequently Asked Questions About Guam § 5008
What does Guam Code Annotated § 5008 cover?
Section 5008 ("Policy in Favor of Local Procurement.") is part of the Guam Code Annotated, the codified statutory law of Guam. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Guam § 5008?
A common citation format is "Guam Code Annotated § 5008" (Guam). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Guam law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Guam official source linked on this page or consult a licensed Guam attorney.
How does Guam § 5008 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Guam can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Guam.