Bill Text: NY A01491 | 2019-2020 | General Assembly | Introduced


Bill Title: Requires utilization of minority and women-owned business enterprises as subcontractors as a condition when awarding sole source procurement contracts; relates to the issuance of waivers of the obligation to comply with the minority and women-owned business enterprise participation requirements of a contract if such contract is a single source or sole source procurement contract; requires municipalities to require contract award recipients to utilize the services of minority and women-owned business enterprises; makes conforming changes.

Spectrum: Partisan Bill (Democrat 11-0)

Status: (Introduced - Dead) 2020-01-08 - referred to governmental operations [A01491 Detail]

Download: New_York-2019-A01491-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          1491
                               2019-2020 Regular Sessions
                   IN ASSEMBLY
                                    January 15, 2019
                                       ___________
        Introduced  by  M.  of  A.  BICHOTTE,  MOSLEY, HYNDMAN, WALKER, SOLAGES,
          SEAWRIGHT, BLAKE, GOTTFRIED, JEAN-PIERRE, COOK --  Multi-Sponsored  by
          --  M.  of  A.  SIMON  --  read  once and referred to the Committee on
          Governmental Operations
        AN ACT to amend the state finance law, in relation to requiring utiliza-
          tion of minority and women-owned business enterprises  as  subcontrac-
          tors  as  a condition when awarding sole source procurement contracts;
          to amend the executive law, in relation to the issuance of waivers  of
          the  obligation  to  comply with the minority and women-owned business
          enterprise participation requirements of a contract if  such  contract
          is  a  single source or sole source procurement contract; to amend the
          general municipal law, in  relation  to  requiring  municipalities  to
          require  contract award recipients to utilize the services of minority
          and women-owned business enterprises; to amend the executive  law,  in
          relation to making conforming changes; and providing for the repeal of
          certain provisions upon expiration thereof
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. Paragraph b of subdivision 10 of section 163 of  the  state
     2  finance  law  is  amended  by adding a new subparagraph (iii) to read as
     3  follows:
     4    (iii) All single source or  sole  source  procurement  contracts  made
     5  pursuant  to  the  provisions  of  this paragraph shall require that the
     6  award recipient comply with the provisions of article fifteen-A  of  the
     7  executive  law  relating to minority and women-owned business enterprise
     8  participation when contracting with subcontractors.
     9    § 2. Subdivision 6 of section 313 of the executive law, as amended  by
    10  chapter 175 of the laws of 2010, is amended to read as follows:
    11    6.  (a)  Where it appears that a contractor cannot, after a good faith
    12  effort, comply with the minority  and  women-owned  business  enterprise
    13  participation  requirements  set forth in a particular state contract, a
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD00429-01-9

        A. 1491                             2
     1  contractor may file a written application with  the  contracting  agency
     2  requesting  a partial or total waiver of such requirements setting forth
     3  the reasons for such contractor's inability to meet any or  all  of  the
     4  participation  requirements  together with an explanation of the efforts
     5  undertaken by the contractor to obtain the required minority and  women-
     6  owned  business enterprise participation. In implementing the provisions
     7  of this section, the contracting agency shall consider  the  number  and
     8  types  of  minority  and women-owned business enterprises located in the
     9  region in which the state contract is to be performed, the total  dollar
    10  value  of  the state contract, the scope of work to be performed and the
    11  project size and term. If, based on such considerations, the contracting
    12  agency determines there is not a reasonable availability of  contractors
    13  on  the  list of certified business to furnish services for the project,
    14  it shall issue a waiver of compliance to the contractor. In making  such
    15  determination,  the  contracting  agency shall first consider the avail-
    16  ability of other business enterprises located in the  region  and  shall
    17  thereafter  consider  the  financial ability of minority and women-owned
    18  businesses located outside the region in which the  contract  is  to  be
    19  performed to perform the state contract.
    20    (b)  A  contracting agency shall not issue a total waiver of the obli-
    21  gation to comply with the minority and women-owned  business  enterprise
    22  participation  requirements  of  a contract if such contract is a single
    23  source or sole source procurement contract as described in  section  one
    24  hundred sixty-three of the state finance law; provided, however, that if
    25  the contracting agency determines there is not a reasonable availability
    26  of contractors on the list of certified business to furnish services for
    27  the  project,  the  contracting  agency  may  issue  a partial waiver of
    28  compliance to the contractor.
    29    § 3. Section 103 of the general municipal law is amended by  adding  a
    30  new subdivision 17 to read as follows:
    31    17.  All contracts awarded pursuant to the provisions of this section,
    32  including single source or  sole  source  procurement  contracts,  shall
    33  require  the contract recipient to comply with the provisions of section
    34  three hundred thirteen of the executive law, to  the  extent  that  such
    35  provisions apply; provided, however, that a contract recipient granted a
    36  waiver  of  compliance  as provided in section three hundred thirteen of
    37  the executive law  shall  be  deemed  to  be  in  compliance  with  such
    38  provisions.
    39    §  4.  Subdivisions  2,  3 and 13 of section 310 of the executive law,
    40  subdivisions 2 and 3 as added by chapter 261 of the  laws  of  1988  and
    41  subdivision  13  as  amended  by  chapter  506  of the laws of 2009, are
    42  amended to read as follows:
    43    2. "Contracting agency" shall mean; (a) a  state  agency  which  is  a
    44  party or a proposed party to a state contract or, in the case of a state
    45  contract  described  in  paragraph  (c)  of subdivision thirteen of this
    46  section, shall mean the New York state housing finance  agency,  housing
    47  trust  fund corporation or affordable housing corporation, whichever has
    48  made or proposes to make the grant or loan for the state assisted  hous-
    49  ing project; and (b) a municipality which is a party or a proposed party
    50  to a municipal contract.
    51    3.  "Contractor"  shall  mean  an  individual,  a business enterprise,
    52  including a sole proprietorship, a partnership, a  corporation,  a  not-
    53  for-profit  corporation,  or  any  other  party  to a state or municipal
    54  contract, or a bidder in conjunction with the award of a state or munic-
    55  ipal contract or a proposed party to a state or municipal contract.

        A. 1491                             3
     1    13. "State contract" shall mean: (a) a written agreement  or  purchase
     2  order  instrument,  providing for a total expenditure in excess of twen-
     3  ty-five thousand dollars, whereby a contracting agency is  committed  to
     4  expend  or does expend funds in return for labor, services including but
     5  not  limited  to  legal,  financial  and  other  professional  services,
     6  supplies, equipment, materials or any combination of the  foregoing,  to
     7  be  performed  for,  or rendered or furnished to the contracting agency;
     8  (b) a written agreement in excess of one hundred thousand dollars where-
     9  by a contracting agency is committed to expend or does expend funds  for
    10  the  acquisition, construction, demolition, replacement, major repair or
    11  renovation of real property and improvements thereon; and (c) a  written
    12  agreement in excess of one hundred thousand dollars whereby the owner of
    13  a  state  assisted housing project is committed to expend or does expend
    14  funds for the acquisition, construction, demolition, replacement,  major
    15  repair  or renovation of real property and improvements thereon for such
    16  project.   For the purposes of  this  article,  "state  contract"  shall
    17  include  municipal  contracts as described in subdivision twenty-four of
    18  this section.
    19    § 5. Section 310 of the executive law  is  amended  by  adding  a  new
    20  subdivision 24 to read as follows:
    21    24.  "Municipal  contract"  shall  mean:  (a)  a  written agreement or
    22  purchase order instrument, providing for a total expenditure  in  excess
    23  of  twenty-five thousand dollars, whereby a municipal contracting agency
    24  is committed to expend  or  does  expend  funds  in  return  for  labor,
    25  services including but not limited to legal, financial and other profes-
    26  sional  services,  supplies,  equipment, materials or any combination of
    27  the foregoing, to be performed for, or  rendered  or  furnished  to  the
    28  municipal  contracting  agency; (b) a written agreement in excess of one
    29  hundred thousand dollars  whereby  a  municipal  contracting  agency  is
    30  committed   to   expend  or  does  expend  funds  for  the  acquisition,
    31  construction, demolition, replacement, major  repair  or  renovation  of
    32  real  property  and improvements thereon; and (c) a written agreement in
    33  excess of one hundred thousand dollars whereby the owner of a  municipal
    34  assisted housing project is committed to expend or does expend funds for
    35  the  acquisition, construction, demolition, replacement, major repair or
    36  renovation of real property and improvements thereon for such project.
    37    § 6. This act shall take effect immediately; provided,  however,  that
    38  section  three of this act shall expire on the same date and in the same
    39  manner as article 15-A of the executive law pursuant to subdivision  (h)
    40  of section 121 of chapter 261 of the laws of 1988, as amended; provided,
    41  however,  that  the  amendments to sections 310 and 313 of the executive
    42  law made by sections two, four and five of this act shall not affect the
    43  expiration of such sections  and  shall  be  deemed  expired  therewith;
    44  provided,  further  that the amendments to paragraph b of subdivision 10
    45  of section 163 of the state finance law made by section one of this  act
    46  shall not affect the repeal of such section and shall be deemed repealed
    47  therewith  or  shall  be  deemed repealed upon the expiration of article
    48  15-A of the executive law, whichever shall occur first.
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