S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7011

                            I N  S E N A T E

                              March 5, 2010
                               ___________

Introduced  by  Sen.  KLEIN  -- read twice and ordered printed, and when
  printed to be committed to the Committee on Finance

AN ACT to amend the state finance law, in relation to contracts by state
  agencies for consultant services

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Legislative  findings.  The  legislature finds that state
agencies must enter into contracts for services from private  businesses
to  perform  work  on behalf of the state. The legislature finds further
that the people of the state also  employ  a  skilled  experienced  work
force  who should perform work the state requires whenever possible. The
legislature finds further that a regularized transparent  process  would
enhance  public confidence in the expenditure of public money to private
entities for the performance of public services.
  S 2. The state finance law is amended by adding a new section  148  to
read as follows:
  S  148.  CONTRACTS  BY  STATE AGENCIES FOR CONSULTANT SERVICES. 1.  AS
USED IN THIS SECTION THE TERM "STATE AGENCY" SHALL MEAN ANY  DEPARTMENT,
STATE  UNIVERSITY  OF  NEW  YORK,  BOARD,  BUREAU, DIVISION, COMMISSION,
COMMITTEE, COUNCIL OR OFFICE OF THE STATE, BUT  SHALL  NOT  INCLUDE  THE
LEGISLATURE OR JUDICIARY.
  2.  AS  USED IN THIS SECTION THE TERM "CONSULTANT SERVICES" SHALL MEAN
ANY CONTRACT ENTERED INTO BY A STATE AGENCY  FOR  ANALYSIS,  EVALUATION,
RESEARCH,  TRAINING, DATA PROCESSING, COMPUTER PROGRAMMING, ENGINEERING,
ARCHITECTURE, ENVIRONMENTAL, HEALTH AND MENTAL HEALTH SERVICES, ACCOUNT-
ING, AUDITING, OR SIMILAR SERVICES, BUT SHALL NOT INCLUDE LEGAL SERVICES
OR SERVICES IN CONNECTION WITH LITIGATION INCLUDING EXPERT WITNESSES AND
SHALL NOT INCLUDE CONTRACTS FOR CONSTRUCTION OF PUBLIC WORKS.
  3. NO STATE AGENCY SHALL ENTER INTO A CONTRACT FOR CONSULTANT SERVICES
WHICH IS ANTICIPATED TO COST MORE THAN FIVE HUNDRED THOUSAND DOLLARS  IN
A  TWELVE-MONTH  PERIOD  UNLESS  THE  STATE AGENCY HAS FIRST CONDUCTED A
REVIEW TO DETERMINE WHETHER STATE EMPLOYEES  CAN  PRACTICABLY  MEET  THE
SAME NEED BY PROVIDING SERVICES OF THE SAME OR BETTER QUALITY FOR EQUIV-

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD15485-02-0
              

S. 7011                             2

ALENT  OR  LOWER  COST. SUCH REQUIREMENT SHALL NOT APPLY IF THE CONTRACT
MEETS ONE OF THE FOLLOWING CONDITIONS:
  (A)  THE  SERVICES  ARE  INCIDENTAL  TO A CONTRACT FOR THE PURCHASE OR
LEASE OF REAL OR PERSONAL PROPERTY, SUCH AS A  CONTRACT  TO  SERVICE  OR
MAINTAIN OFFICE EQUIPMENT;
  (B)  THE  CONTRACT IS NECESSARY TO AVOID A CONFLICT OF INTEREST ON THE
PART OF A STATE AGENCY OR AGENCY PERSONNEL;
  (C) THE SERVICES ARE OF SUCH A HIGHLY SPECIALIZED OR TECHNICAL  NATURE
THAT  IT  IS  NOT  FEASIBLE  TO HIRE STATE EMPLOYEES TO PERFORM THEM, OR
REQUIRE SPECIALIZED EQUIPMENT THAT IT IS NOT FEASIBLE FOR THE  STATE  TO
PURCHASE OR LEASE;
  (D)  THE SERVICES ARE OF SUCH AN URGENT NATURE THAT IT IS NOT FEASIBLE
TO UTILIZE STATE EMPLOYEES TO PERFORM THE SERVICES; OR
  (E) THE CONTRACT PROVIDES SERVICES OF A TYPE THAT ARE  ANTICIPATED  TO
BE  SHORT  TERM  AND ARE NOT LIKELY TO BE REPEATED OR EXTENDED AFTER THE
CONTRACT IS COMPLETED.
  4. IN CONDUCTING THE REVIEW OF COSTS REQUIRED BY SUBDIVISION THREE  OF
THIS  SECTION,  A  STATE  AGENCY  SHALL  COMPARE THE ANTICIPATED COST OF
CONSULTANT SERVICES WITH  THE  ANTICIPATED  COST  OF  PROVIDING  SIMILAR
SERVICES  BY STATE EMPLOYEES INCLUDING THE COST OF SALARIES AND BENEFITS
OF ANY ADDITIONAL EMPLOYEES  THAT  WOULD  BE  REQUIRED  TO  PERFORM  THE
SERVICES.  THE ANTICIPATED COST OF CONSULTANT SERVICES SHALL INCLUDE ALL
COSTS ASSOCIATED WITH THE CONTRACT INCLUDING THE COST TO THE STATE AGEN-
CY OF ADMINISTRATING THE CONTRACT.
  5. NOTHING IN THIS SECTION SHALL BE DEEMED TO AUTHORIZE A STATE AGENCY
TO CONTRACT FOR CONSULTANT SERVICES WHICH  ARE  OF  SUCH  AN  INHERENTLY
GOVERNMENTAL  OR REGULATORY NATURE THAT IT IS NOT IN THE PUBLIC INTEREST
TO PROVIDE SUCH SERVICES BY PERSONNEL OTHER THAN STATE EMPLOYEES.
  6. ANY STATE  AGENCY  THAT  ENTERS  INTO  A  CONTRACT  FOR  CONSULTANT
SERVICES  WITH  AN  ANTICIPATED  COST  OF MORE THAN ONE HUNDRED THOUSAND
DOLLARS SHALL MAKE AVAILABLE ON ITS WEBSITE A  LIST  OF  SUCH  CONTRACTS
WITH THE IDENTITY OF THE CONSULTANT, THE ESTIMATED AMOUNT, A DESCRIPTION
OF  THE  SERVICES AND A DESCRIPTION OF THE REASONS FOR ENTERING INTO THE
CONTRACT. THE STATE AGENCY SHALL MAKE AVAILABLE TO THE PUBLIC COPIES  OF
ALL SUCH CONTRACTS AND THE FINDINGS OF ANY REVIEW CONDUCTED BY THE STATE
AGENCY PURSUANT TO THIS SECTION. IN MAKING SUCH DISCLOSURE A STATE AGEN-
CY  SHALL  REDACT THE NAME AND SOCIAL SECURITY NUMBER OF ANY EMPLOYEE OF
THE CONSULTANT AND ANY INFORMATION THAT SHOULD NOT BE DISCLOSED PURSUANT
TO ARTICLE SIX OF THE PUBLIC OFFICERS LAW.
  7. AN AGENCY THAT ENTERS INTO A CONTRACT FOR CONSULTANT SERVICES SHALL
RETAIN ALL DATA, INCLUDING WRITTEN FINDINGS, RELEVANT TO  THE  CONTRACTS
AND  NECESSARY  FOR A SPECIFIC APPLICATION OF THE STANDARDS SET FORTH IN
THIS SECTION AS AN AGENCY RECORD PURSUANT TO ARTICLE SIX OF  THE  PUBLIC
OFFICERS LAW.
  S  3.  This  act shall take effect on the ninetieth day after it shall
have become a law.