NY State Senate Bill 2017-S1847

Senate Bill S1847

2017-2018 Legislative Session

Relates to requiring third party oversight over the state's contracting agency's procurement procedure

download bill text pdf

Archive: Last Bill Status - In Senate Committee Finance Committee

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

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 11, 2017	referred to finance

2017-S1847 (ACTIVE) - Details

See other versions of this Bill:: A4437 ,; S7137 ,
Current Committee:: Senate Finance
Law Section:: Executive Law
Laws Affected:: Add §316-b, Exec L
Versions Introduced in Other Legislative Sessions:: 2015-2016: S5698, A6905
2019-2020: S213, A4686
2021-2022: S611, S8090, A6075
2023-2024: S5077, A3945

2017-S1847 (ACTIVE) - Summary

Relates to requiring third party oversight over the state's contracting agency's procurement procedure specific to the use of minority- and women-owned businesses.

2017-S1847 (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S1847

 TITLE OF BILL :  An act to amend the executive law, in relation to
third party oversight for state contracts involving minority and
women-owned businesses

 PURPOSE OR GENERAL IDEA OF BILL :

To ensure that State contracts are being reviewed and distributed
fairly among Minority and Women-Owned Business Enterprise bidders.

 SUMMARY OF SPECIFIC PROVISIONS :

Section 1 establishes an independent third party to oversee each
contracting agency's procurement procedure for contracts made with
Minority and Women-Owned Businesses. Each of these contracting
agencies submit information to this third party including proposed and
confirmed procurement opportunities, a list of all bids for each
contract, and a list of all contractors awarded waivers. This third
party shall create an evaluation system that asses each agency's
utilization of Minority and Women-Owned businesses' and the
established procurement goals. Additionally, this third party entity
is required to provide a monthly and annual metrics based reporting,
along with observations and recommendations for improvements of the
MWBE contracting process including a clearly defined MWBE point person
within each agency.

Section 2 defines the effective date of this act.

 JUSTIFICATION :

As we strive to achieve the MWBE goal as outlined by Governor Cuomo,
it is crucial that contracting agencies make considerations that are
both fair and impartial. Doing so will allow MBE's to transcend those
barriers, so that they may be judged n their merit alone. Equally
crucial is that we tackle any challenge, whether perceived or actual,
that poses a threat towards this balance of fairness and impartiality.
Such a threat is noted in the rise of MWBE fraud as outlined recently
by Manhattan District Attorney CY Vance. This legislation would
require a third party entity to oversee the MWBE auditing and
reporting procurement process. As part of this process the third party
entity would provide monthly and annual metrics based reporting and
recommendations. It would ensure an unbiased mechanism for review and
responsiveness without fear of a potential pushback from any
administration or legislature.

 PRIOR LEGISLATIVE HISTORY :

2016: S5698/A6905 - REFERRED TO FINANCE/ referred to governmental
operations
2015: S5698/A6905 - REFERRED TO FINANCE/ referred to governmental
operations

 FISCAL IMPLICATIONS :

To be determined.

 EFFECTIVE DATE :
This act shall take effect immediately and shall expire on the same
date and in the same manner as article 15-a of the executive law
pursuant to subdivision (h) of section 121 of chapter 261 of the laws
of 1988, as amended.

2017-S1847 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1847
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                             January 11, 2017
                                ___________
 
 Introduced  by Sen. SQUADRON -- read twice and ordered printed, and when
   printed to be committed to the Committee on Finance
 
 AN ACT to amend the executive law, in relation to third party  oversight
   for state contracts involving minority and women-owned businesses
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The executive law is amended by adding a new section  316-b
 to read as follows:
   §  316-B. THIRD PARTY OVERSIGHT. 1. A THIRD PARTY ENTITY NOT EMPLOYED,
 ENGAGED IN BUSINESS WITH OR HOLDING OFFICE IN NEW YORK  STATE  SHALL  BE
 SELECTED  BY  THE LEGISLATURE AND CONFIRMED BY THE CHIEF DIVERSITY OFFI-
 CER, AS DEFINED IN SECTION FOUR-A OF THIS CHAPTER, THROUGH A REQUEST FOR
 PROPOSAL PROCESS TO OVERSEE EACH CONTRACTING AGENCY'S PROCUREMENT PROCE-
 DURE FOR CONTRACTS MADE DIRECTLY OR INDIRECTLY TO  MINORITY  AND  WOMEN-
 OWNED BUSINESSES.
   2.  EACH  CONTRACTING AGENCY SHALL SUBMIT THE FOLLOWING INFORMATION TO
 SUCH THIRD PARTY ENTITY ON A QUARTERLY BASIS:
   (A) TOTAL AGENCY  PROCUREMENT  INCLUDING  FROM  WHICH  INDUSTRY  UNDER
 SUBDIVISION  ONE  OF SECTION THREE HUNDRED THIRTEEN OF THIS ARTICLE EACH
 CONTRACT IS CATEGORIZED;
   (B) UPCOMING CONFIRMED AND PROPOSED PROCUREMENT OPPORTUNITIES  INCLUD-
 ING  ESTIMATED  OVERALL  COST AND STEPS TAKEN OR TO BE TAKEN IN ORDER TO
 ENSURE MAXIMUM FEASIBLE PARTICIPATION OF MINORITY AND WOMEN-OWNED  BUSI-
 NESS;
   (C)  A  LIST  OF  ALL  BIDS  FOR EACH CONTRACT INCLUDING A LIST OF ALL
 CONTRACTORS, KNOWN SUBCONTRACTORS, AND WHETHER ANY OR ALL QUALIFY  AS  A
 MINORITY OR WOMEN-OWNED BUSINESS; AND
   (D)  A  LIST  OF  ALL  CONTRACTOR'S  AWARDED  WAIVERS  WITH SUPPORTING
 DOCUMENTATION ILLUSTRATING SUCH CONTRACTOR'S GOOD FAITH EFFORT TO COMPLY
 WITH THE CRITERIA OUTLINED IN SUBDIVISION SEVEN OF SECTION THREE HUNDRED
 THIRTEEN OF THIS ARTICLE.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD00161-01-7

 S. 1847                             2
 
   3. SUCH THIRD PARTY ENTITY SHALL DEVELOP  AN  EVALUATION  SYSTEM  THAT
 CLEARLY  DELINEATES  AND  COMPARES EACH AGENCY'S UTILIZATION OF MINORITY
 AND  WOMEN-OWNED  BUSINESSES  AND  THE  ESTABLISHED  PROCUREMENT   GOALS
 OUTLINED  IN  SUBDIVISION  ONE OF SECTION THREE HUNDRED THIRTEEN OF THIS
 ARTICLE.
   4.  SUCH THIRD PARTY ENTITY SHALL REPORT ANNUALLY ON THE FIFTEENTH DAY
 OF MAY DIRECTLY TO THE GOVERNOR, TEMPORARY PRESIDENT OF THE  SENATE  AND
 SPEAKER  OF  THE  ASSEMBLY  THE COLLECTIVE FINDINGS FROM THE PAST YEAR'S
 QUARTERLY SUBMISSIONS. ADDITIONALLY, SUCH REPORT SHALL BE MADE AVAILABLE
 ON THE EMPIRE STATE DEVELOPMENT DIVISION OF MINORITY AND  WOMEN'S  BUSI-
 NESS DEVELOPMENT WEBSITE FOR PUBLIC REVIEW.
   §  2.  This  act shall take effect immediately and shall expire on the
 same date and in the same manner as article 15-A of  the  executive  law
 pursuant to subdivision (h) of section 121 of chapter 261 of the laws of
 1988, as amended.

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