Increases the threshold amount which triggers the publication requirement of procurement opportunities.
Ayes (57): Addabbo, Avella, Ball, Bonacic, Boyle, Breslin, Carlucci, DeFrancisco, Diaz, Dilan, Farley, Felder, Flanagan, Gallivan, Gianaris, Gipson, Griffo, Grisanti, Hannon, Hoylman, Kennedy, Klein, Krueger, Lanza, Larkin, Latimer, LaValle, Libous, Little, Marcellino, Marchione, Martins, Maziarz, Montgomery, Nozzolio, O'Brien, O'Mara, Parker, Peralta, Perkins, Ranzenhofer, Ritchie, Rivera, Robach, Sampson, Sanders, Savino, Serrano, Seward, Skelos, Squadron, Stavisky, Stewart-Cousins, Tkaczyk, Valesky, Young, Zeldin
Excused (4): Espaillat, Golden, Hassell-Thomps, Smith
TITLE OF BILL: An act to amend the economic development law and the state finance law, in relation to making technical corrections relating to thresholds for the publication of procurement opportunities
The purpose of this legislation is to eliminate certain Contract Reporter Exemption Request (CRER) threshold discrepancies. The definition of a procurement contract contained in Section 141 of Article 4-C of the Economic Development Law was amended in 2012 to increase the dollar value of such contract from $15,000 to $50,000.
However, the $15,000 threshold in Section 146 of Article 4-C of the Economic Development Law providing that in order to receive comptroller approval, a contract must be first advertised or an exemption granted was not similarly increased to $50,000.
Additionally, State Finance law, Section 163(6)(a) notwithstands Article 4-C of the Economic Development Law and allows the Office of General Services (OGS) to procure goods and commodities not exceeding $30,000 without prior approval of another state officer or agency. It seems that the impact of this provision is that the Comptroller would not enforce the publication/exemption requirements for OGS contracts up to $30,000.
SUMMARY OF PROVISIONS:
Section 1 amends Section 146 of the Economic Development Law to provide that the Comptroller shall not approve or file any procurement contract for the acquisition of goods or services in the amount of $50,000 or more unless notice as provided in Section 142 of article 4-C of the Economic Development Law shall first have been published in the procurement opportunities newsletter at least fifteen business days prior to the date on which a bid or proposal was due.
Section 2 amends Subdivision 6-a of Section 163 of the State Finance Law to provide that notwithstanding the provisions of Article 4-C of the Economic Development Law, the Commissioner of General Services may make purchases or enter into contracts for the acquisition of commodities and services having a value not exceeding $50,000 without prior approval by any other state officer or agency in accordance with procedures and requirements set forth in Article 11 of the State Finance Law.
PRIOR LEGISLATIVE HISTORY:
Since it is believed that the 2012 amendments to Section 141 of the Economic Development Law were intended to increase the threshold for publication in the Contract Reporter for all procuring agencies, it would have been clearer if the Legislature had also amended the
provisions of section 146 of the Economic Development Law. However, we believe that the provisions of Section 146 must be read in light of the legislative intent as reflected in the amendment to Section 141; and, therefore, that contracts below the $50,000 threshold do not have to be published or exempted from publication.
FISCAL IMPLICATIONS FOR STATE:
This bill has no significant State fiscal impact.
This act shall take effect immediately.
STATE OF NEW YORK ________________________________________________________________________ 7351 IN SENATE May 13, 2014 ___________Introduced by Sen. MARTINS -- (at request of the State Comptroller) -- read twice and ordered printed, and when printed to be committed to the Committee on Commerce, Economic Development and Small Business AN ACT to amend the economic development law and the state finance law, in relation to making technical corrections relating to thresholds for the publication of procurement opportunities THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Section 146 of the economic development law, as amended by chapter 95 of the laws of 2000 and renumbered by chapter 137 of the laws of 2008, is amended to read as follows: S 146. Approval of comptroller. The comptroller shall not approve or file any procurement contract for the acquisition of goods or services in the amount of
[fifteen]FIFTY thousand dollars or more unless notice as provided in section one hundred forty-two of this article shall first have been published in the procurement opportunities newsletter at least fifteen business days prior to the date on which a bid or proposal was due. Provided, however, such requirement of publication of advance notice shall not apply to contracts exempt from such requirement under section one hundred forty-four of this article; provided further, that the comptroller shall not be required to disapprove a contract if he OR SHE determines that there has been substantial compliance with the requirements of section one hundred forty-two and section one hundred forty-three of this article. The foregoing provisions of this section shall not be construed to limit, in any manner, the right of the comp- troller to demand evidence of adequate competition or such other proofs as he OR SHE may require in the discharge of his OR HER responsibilities pursuant to section one hundred twelve of the state finance law or any other provision of law. S 2. Subdivision 6-a of section 163 of the state finance law, as added by section 4 of part D of chapter 56 of the laws of 2006, is amended to read as follows: 6-a. Discretionary purchases. Notwithstanding the provisions of subdi- vision two of section one hundred twelve of this chapter relating to theEXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD13533-02-4 S. 7351 2
dollar threshold requiring the state comptroller's approval of contracts, the commissioner of general services may make purchases or enter into contracts for the acquisition of commodities and services having a value not exceeding eighty-five thousand dollars without prior approval by any other state officer or agency in accordance with proce- dures and requirements set forth in this article.
[Notwithstanding the provisions of article four-C of the economic development law, the commissioner of general services may make purchases or enter into contracts for the acquisition of commodities and services having a value not exceeding thirty thousand dollars without prior approval by any other state officer or agency in accordance with procedures and require- ments set forth in this article.]S 3. This act shall take effect immediately, provided, that the amend- ment to subdivision 6-a of section 163 of the state finance law made by section two of this act shall not affect the repeal of such section and shall be deemed repealed therewith.