NY State Senate Bill 2011-S6117

Archive: Last Bill Status Via A8692 - Signed by Governor

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 27, 2012	signed chap.2
Jan 25, 2012	delivered to governor
Jan 18, 2012	returned to assembly passed senate 3rd reading cal.15 substituted for s6117
Jan 18, 2012	substituted by a8692
Jan 09, 2012	ordered to third reading cal.15 reported and committed to rules
Jan 04, 2012	referred to local government

Votes

- Jan 18, 2012 - Floor Vote
  A8692
  
  59
  
  Aye
  
  0
  
  Nay
  
  0
  
  Absent
  
  2
  
  Excused
  
  0
  
  Abstained
  - - Floor Vote: Jan 18, 2012
      
      aye (59)
      
      Adams
      
      Addabbo Jr.
      
      Alesi
      
      Avella
      
      Ball
      
      Bonacic
      
      Breslin
      
      Carlucci
      
      DeFrancisco
      
      Diaz
      
      Dilan
      
      Duane
      
      Espaillat
      
      Farley
      
      Flanagan
      
      Fuschillo
      
      Gallivan
      
      Gianaris
      
      Golden
      
      Griffo
      
      Grisanti
      
      Hannon
      
      Hassell-Thompson
      
      Huntley
      
      Johnson
      
      Kennedy
      
      Klein
      
      Krueger
      
      LaValle
      
      Lanza
      
      Libous
      
      Little
      
      Marcellino
      
      Martins
      
      Maziarz
      
      McDonald
      
      Nozzolio
      
      O'Mara
      
      Oppenheimer
      
      Parker
      
      Peralta
      
      Perkins
      
      Ranzenhofer
      
      Ritchie
      
      Rivera
      
      Robach
      
      Saland
      
      Sampson
      
      Savino
      
      Serrano
      
      Seward
      
      Skelos
      
      Smith
      
      Squadron
      
      Stavisky
      
      Stewart-Cousins
      
      Valesky
      
      Young
      
      Zeldin
      
      excused (2)
      
      Larkin
      
      Montgomery
  Jan 9, 2012 - Rules Committee Vote
  S6117
  
  22
  
  Aye
  
  2
  
  Nay
  
  0
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Rules Committee Vote: Jan 9, 2012
      
      aye (22)
      
      Alesi
      
      Breslin
      
      Dilan
      
      Farley
      
      Hannon
      
      Hassell-Thompson
      
      Johnson
      
      Krueger
      
      LaValle
      
      Larkin
      
      Libous
      
      Marcellino
      
      Maziarz
      
      Montgomery
      
      Nozzolio
      
      Perkins
      
      Saland
      
      Sampson
      
      Seward
      
      Skelos
      
      Smith
      
      Stewart-Cousins
      
      nay (2)
      
      Duane
      
      Parker
  Jan 9, 2012 - Local Government Committee Vote
  S6117
  
  8
  
  Aye
  
  0
  
  Nay
  
  0
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Local Government Committee Vote: Jan 9, 2012
      
      aye (8)
      
      Ball
      
      Klein
      
      Little
      
      Martins
      
      McDonald
      
      Oppenheimer
      
      Ritchie
      
      Stewart-Cousins

2011-S6117 (ACTIVE) - Details

See Assembly Version of this Bill:: A8692
Law Section:: General Municipal Law
Laws Affected:: Amd §103, Gen Muni L (as proposed in S.4753A and A.7357A)

2011-S6117 (ACTIVE) - Summary

Enacts a chapter amendment relating to obtaining the best value for contracts for public work and purchase contracts.

2011-S6117 (ACTIVE) - Sponsor Memo

                                BILL NUMBER:S6117

TITLE OF BILL:

An act
to amend the general municipal law, in relation to obtaining
best value for purchase contracts

PURPOSE OR GENERAL IDEA OF BILL:

This bill would amend a chapter of the laws of 2011, as proposed in
legislative bills numbers S.4753-A and A.7357-A, relating to
obtaining best value for purchase contracts, to provide that awarding
contracts on the basis of the best value is optional and except in a
city with a population of one million inhabitants or more that the
use of best value must be authorized by a local law.

SUMMARY OF SPECIFIC PROVISIONS:

Sections one and two of this bill amend a chapter of the laws of 2011,
amending the general municipal law relating to obtaining best value
for purchase contracts, as proposed in legislative bills numbers
S.4753-A and A.7357-A, to provide that purchase contracts (including
contracts for service work, but excluding any purchase contracts
necessary for the completion of a public works contract pursuant to
Article eight of the Labor Law) may be awarded on the basis of best

value, except that in a political subdivision other than a city with
a population of one million inhabitants or more or any district,
board or agency therein the use of best value must be authorized by a
local law or, in the case of a district corporation, school district
or board of cooperative educational services, by rule, regulation
adopted at a public meeting.

EFFECTS OF PRESENT LAW WHICH THIS BILL WOULD ALTER:

Current law requires political subdivisions to award all contracts for
public work involving an expenditure of more than thirty-five
thousand dollars and all purchase contracts involving an expenditure
of more than twenty thousand dollars to the lowest responsible bidder.

JUSTIFICATION:

Enactment of this legislation would provide additional procurement
options to localities in ways that may expedite the procurement
process and result in cost savings. The "best value" standard for
selecting goods and services vendors, including janitorial and
security contracts, is critical to efforts to use strategic sourcing
principles to modernize the supply chain and ensure that taxpayers
obtain the highest quality goods and services at the lowest potential
cost, while also ensuring fairness to all competitors. Today, the
federal government approximately half of the states and many
localities have added best value selection processes to their
procurement options, in recognition of these advantages. With the
increased complexity of the goods and services that municipalities
must obtain in order to serve taxpayers, it is critical to consider
selection and evaluation criteria that measure factors other than


cost in the strictest sense.
Taxpayers are not well served when a public procurement results in low
unit costs at the outset, but ultimately engenders cost escalations
due to factors such as inferior quality, poor reliability and
difficulty of maintenance. Best value procurement links the
procurement process directly to the municipality's performance
requirements, incorporating selection factors such as useful life
span, quality and options and incentives for more timely performance
and/or additional services.
Even if the initial expenditure is higher, considering the total value
over the life of the procurement may result in a better value and
long-term investment of public funds. Best value procurement also
encourages competition and, in turn, often results in better pricing,
quality and customer service. Fostering healthy competition ensures
that bidders will continue to strive for excellence in identifying
and meeting municipalities' needs, including such important goals as
the participation of small, minority and women-owned businesses, and
the development of environmentally-preferable goods and service
delivery methods. Best value procurement will provide a much-needed
flexibility in obtaining important goods and services at favorable
prices, and will reduce the time to procure such goods and services.

PRIOR LEGISLATIVE HISTORY:

This is a new bill that would amend a chapter of the laws of 2011,
amending the general municipal law relating to obtaining best value
for purchase contracts, as proposed in legislative bills numbers
S.4753-A and A.7357-A.

FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENT:

None to the State and the potential for undetermined savings to local
governments.

EFFECTIVE DATE:

This act shall take effect on the same date and in the same manner as
a chapter of the laws of 2011, amending the general municipal law
relating to obtaining best value for purchase contracts, as proposed
in legislative bills numbers S.4753-A and A.7357-A, takes effect.

2011-S6117 (ACTIVE) - Bill Text download pdf

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

                                  6117

                            I N  S E N A T E

                               (PREFILED)

                             January 4, 2012
                               ___________

Introduced  by  Sen.  RANZENHOFER -- read twice and ordered printed, and
  when printed to be committed to the Committee on Local Government

AN ACT to amend the general municipal law, in relation to obtaining best
  value for purchase contracts

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

  Section  1. Subdivision 1 of section 103 of the general municipal law,
as amended by section 1 of a chapter of the laws of 2011,  amending  the
general  municipal  law  relating  to  obtaining best value for purchase
contracts, as proposed in legislative bills numbers  S.  4753-A  and  A.
7357-A, is amended to read as follows:
  1. Except as otherwise expressly provided by an act of the legislature
or  by  a  local  law adopted prior to September first, nineteen hundred
fifty-three, all contracts for public work involving an  expenditure  of
more  than  thirty-five  thousand  dollars  and  all  purchase contracts
involving an expenditure of more than twenty thousand dollars, shall  be
awarded  by  the  appropriate  officer,  board  or agency of a political
subdivision or of any district therein including but not  limited  to  a
soil  conservation  district [in the following manner: (a) contracts for
public work shall be awarded] to the lowest responsible bidder  furnish-
ing  the  required  security  after advertisement for sealed bids in the
manner provided by this section  [and,  (b)],  PROVIDED,  HOWEVER,  THAT
purchase  contracts (including contracts for service work, but excluding
any purchase contracts necessary for the completion of  a  public  works
contract  pursuant  to  article  eight  of the labor law) [shall] MAY be
awarded on the basis of best value, as defined in  section  one  hundred
sixty-three  of  the  state finance law, to a responsive and responsible
bidder or offerer in the manner provided by this section EXCEPT THAT  IN
A  POLITICAL  SUBDIVISION  OTHER  THAN  A  CITY WITH A POPULATION OF ONE
MILLION INHABITANTS OR MORE OR ANY DISTRICT, BOARD OR AGENCY WITH JURIS-
DICTION EXCLUSIVELY THEREIN  THE  USE  OF  BEST  VALUE  FOR  AWARDING  A
PURCHASE  CONTRACT OR PURCHASE CONTRACTS MUST BE AUTHORIZED BY LOCAL LAW
OR, IN THE CASE OF A DISTRICT CORPORATION, SCHOOL DISTRICT OR  BOARD  OF

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

                      [ ] is old law to be omitted.
                                                           LBD10947-07-2

S. 6117                             2

COOPERATIVE  EDUCATIONAL  SERVICES,  BY  RULE,  REGULATION OR RESOLUTION
ADOPTED AT A PUBLIC MEETING.  In any case where a  responsible  bidder's
or  responsible  offerer's  gross price is reducible by an allowance for
the  value of used machinery, equipment, apparatus or tools to be traded
in by a political subdivision, the gross price shall be reduced  by  the
amount of such allowance, for the purpose of determining the best value.
In  cases  where two or more responsible bidders furnishing the required
security submit identical bids as to price, such officer, board or agen-
cy may award the contract to any of such bidders. Such officer, board or
agency may, in his or her or its discretion, reject all bids  or  offers
and  readvertise  for  new bids or offers in the manner provided by this
section. In determining whether a purchase is an expenditure within  the
discretionary  threshold  amounts  established  by this subdivision, the
officer, board or agency of a political subdivision or of  any  district
therein  shall  consider the reasonably expected aggregate amount of all
purchases of the same commodities, services or  technology  to  be  made
within  the  twelve-month  period  commencing  on  the date of purchase.
Purchases of commodities, services or  technology  shall  not  be  arti-
ficially  divided for the purpose of satisfying the discretionary buying
thresholds established by this subdivision. A change to or a renewal  of
a discretionary purchase shall not be permitted if the change or renewal
would bring the reasonably expected aggregate amount of all purchases of
the  same  commodities,  services  or  technology from the same provider
within the twelve-month period commencing  on  the  date  of  the  first
purchase  to  an  amount greater than the discretionary buying threshold
amount. For purposes of this section, "sealed bids" and "sealed offers",
as that term applies to purchase  contracts,  (including  contracts  for
service  work,  but  excluding  any purchase contracts necessary for the
completion of a public works contract pursuant to article eight  of  the
labor  law)  shall  include  bids  and offers submitted in an electronic
format including submission of the statement of  non-collusion  required
by  section  one  hundred  three-d  of  this  article, provided that the
governing board of the political subdivision or district, by resolution,
has  authorized  the  receipt  of  bids  and  offers  in  such   format.
Submission  in  electronic format may, for technology contracts only, be
required as the sole method for the submission of bids and offers.  Bids
and  offers  submitted  in  an electronic format shall be transmitted by
bidders and offerers to the receiving device designated by the political
subdivision or district. Any method used to receive electronic bids  and
offers  shall comply with article three of the state technology law, and
any rules and regulations promulgated and  guidelines  developed  there-
under  and, at a minimum, must (a) document the time and date of receipt
of each bid and offer  received  electronically;  (b)  authenticate  the
identity of the sender; (c) ensure the security of the information tran-
smitted;  and  (d)  ensure the confidentiality of the bid or offer until
the time and date established for the opening of  bids  or  offers.  The
timely  submission  of  an  electronic  bid  or offer in compliance with
instructions provided for such submission in the advertisement for  bids
or  offers  and/or the specifications shall be the responsibility solely
of each bidder or offerer or prospective bidder or offerer.    No  poli-
tical  subdivision  or  district  therein shall incur any liability from
delays of or interruptions in the receiving device  designated  for  the
submission and receipt of electronic bids and offers.
  S  2.  Subdivision  1  of section 103 of the general municipal law, as
amended by section 2 of a chapter of the  laws  of  2011,  amending  the
general  municipal  law  relating  to  obtaining best value for purchase

S. 6117                             3

contracts, as proposed in legislative bills numbers  S.  4753-A  and  A.
7357-A, is amended to read as follows:
  1. Except as otherwise expressly provided by an act of the legislature
or  by  a  local  law adopted prior to September first, nineteen hundred
fifty-three, all contracts for public work involving an  expenditure  of
more  than  thirty-five  thousand  dollars  and  all  purchase contracts
involving an expenditure of more than twenty thousand dollars, shall  be
awarded  by  the  appropriate  officer,  board  or agency of a political
subdivision or of any district therein including but not  limited  to  a
soil  conservation  district [in the following manner: (a) contracts for
public work shall be awarded] to the lowest responsible bidder  furnish-
ing  the  required  security  after advertisement for sealed bids in the
manner provided by this section  [and,  (b)],  PROVIDED,  HOWEVER,  THAT
purchase  contracts (including contracts for service work, but excluding
any purchase contracts necessary for the completion of  a  public  works
contract  pursuant  to  article  eight  of the labor law) [shall] MAY be
awarded on the basis of best value, as defined in  section  one  hundred
sixty-three  of  the  state finance law, to a responsive and responsible
bidder or offerer in the manner provided by this section EXCEPT THAT  IN
A  POLITICAL  SUBDIVISION  OTHER  THAN  A  CITY WITH A POPULATION OF ONE
MILLION INHABITANTS OR MORE OR ANY DISTRICT, BOARD OR AGENCY WITH JURIS-
DICTION EXCLUSIVELY THEREIN THE USE OF BEST VALUE OF AWARDING A PURCHASE
CONTRACT OR PURCHASE CONTRACTS MUST BE AUTHORIZED BY LOCAL  LAW  OR,  IN
THE  CASE OF A DISTRICT CORPORATION, SCHOOL DISTRICT OR BOARD OF COOPER-
ATIVE EDUCATIONAL SERVICES, BY RULE, REGULATION OR RESOLUTION ADOPTED AT
A PUBLIC MEETING.  In determining whether a purchase is  an  expenditure
within  the discretionary threshold amounts established by this subdivi-
sion, the officer, board or agency of a political subdivision or of  any
district therein shall consider the reasonably expected aggregate amount
of  all  purchases of the same commodities, services or technology to be
made within the twelve-month period commencing on the date of  purchase.
Purchases  of  commodities,  services  or  technology shall not be arti-
ficially divided for the purpose of satisfying the discretionary  buying
thresholds  established by this subdivision. A change to or a renewal of
a discretionary purchase shall not be permitted if the change or renewal
would bring the reasonably expected aggregate amount of all purchases of
the same commodities, services or  technology  from  the  same  provider
within  the  twelve-month  period  commencing  on  the date of the first
purchase to an amount greater than the  discretionary  buying  threshold
amount.  In  any  case  where  a  responsible  bidder's  or  responsible
offerer's gross price is reducible by an allowance for the value of used
machinery, equipment, apparatus or tools to be traded in by a  political
subdivision,  the  gross  price  shall  be reduced by the amount of such
allowance, for the purpose of determining the low bid or best value.  In
cases  where  two  or  more  responsible bidders furnishing the required
security submit identical bids as to price, such officer, board or agen-
cy may award the contract to any of such bidders. Such officer, board or
agency may, in his, her or its discretion, reject all bids or offers and
readvertise for new bids or  offers  in  the  manner  provided  by  this
section.
  S  3.  This  act  shall  take  effect on the same date and in the same
manner as a chapter of the laws of 2011, amending the general  municipal
law relating to obtaining best value for purchase contracts, as proposed
in legislative bills numbers S. 4753-A and A. 7357-A, takes effect.

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Senate Bill S6117

Sponsored By

Archive: Last Bill Status Via A8692 - Signed by Governor

Jan 18, 2012 - Floor Vote

Floor Vote: Jan 18, 2012

Jan 9, 2012 - Rules Committee Vote

Rules Committee Vote: Jan 9, 2012

Jan 9, 2012 - Local Government Committee Vote

Local Government Committee Vote: Jan 9, 2012

2011-S6117 (ACTIVE) - Details

2011-S6117 (ACTIVE) - Summary

2011-S6117 (ACTIVE) - Sponsor Memo

2011-S6117 (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S6117

Share this bill

Sponsored By

Michael H. Ranzenhofer

Archive: Last Bill Status Via A8692 - Signed by Governor

2011-S6117 (ACTIVE) - Details

2011-S6117 (ACTIVE) - Summary

2011-S6117 (ACTIVE) - Sponsor Memo

2011-S6117 (ACTIVE) - Bill Text download pdf

Comments