NY State Senate Bill 2021-S5479B

Senate Bill S5479B

2021-2022 Legislative Session

Allows for in-state suppliers to receive preference in certain situations when the state is awarding contracts

download bill text pdf

Archive: Last Bill Status - In Senate Committee Procurement And Contracts 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

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 05, 2022	referred to procurement and contracts
May 18, 2021	reported and committed to finance
Apr 27, 2021	print number 5479b
Apr 27, 2021	amend and recommit to procurement and contracts
Mar 10, 2021	committee discharged and committed to procurement and contracts print number 5479a
Mar 10, 2021	amend and recommit to finance
Mar 08, 2021	referred to finance

Votes

- May 18, 2021 - Procurement And Contracts Committee Vote
  S5479B
  
  6
  
  Aye
  
  0
  
  Nay
  
  1
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Procurement And Contracts Committee Vote: May 18, 2021
      
      aye (6)
      
      Borrello
      
      Comrie
      
      Jordan
      
      Kaplan
      
      Reichlin-Melnick
      
      Sanders Jr.
      
      aye wr (1)
      
      Cooney

Bill Amendments

Original

B (Active)

2021-S5479 - Details

Current Committee:: Senate Procurement And Contracts
Law Section:: State Finance Law
Laws Affected:: Add §149, St Fin L
Versions Introduced in 2023-2024 Legislative Session:: S1074

2021-S5479 - Summary

Allows for in-state suppliers to receive preference in certain situations when the state is awarding contracts.

2021-S5479 - Sponsor Memo

                                
 
BILL NUMBER: S5479

SPONSOR: BORRELLO
 
TITLE OF BILL:

An act to amend the state finance law, in relation to allowing for
in-state suppliers to receive preference in certain situations when the
state is awarding contracts

 
PURPOSE OR GENERAL IDEA OF BILL:

This bill will help in-state suppliers better compete in bids for New
York State contracts

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1: The state finance law is amended by adding a new section 148
to address the meanings of "State agency" and "existing in-state suppli-
er." If a New York State contract bid by an in-state supplier is not
more than 10 percent of the lowest responsible bid from an out-of-state
supplier, the instate supplier will have the opportunity to match.

Section 2: Provides the effective date

 
JUSTIFICATION:

There has been a disturbing trend of New York State taxpayer money being
spent to contract with out-of-state companies. Particularly, with so
many in our business community struggling to stay afloat, bolstering the
competitors of New York businesses and the economies of other states is
increasingly difficult to justify.

Many in-state suppliers are already at a disadvantage because the cost
of doing business in New York is largely attributed to onerous state
government taxes, laws and regulations. This bill would allow any
in-state vendors who are within 10 percent of the lowest bid, the oppor-
tunity to match the lowest responsible bid of an out-of-state supplier.
Agencies would then have the opportunity to give preference to the
in-state bidder.

This will also help address any potential abuse by in-state bidders, who
think they have the advantage and can bid much higher than what a market
rate may be for the product or service they are providing.

 
PRIOR LEGISLATIVE HISTORY:

New Bill

 
FISCAL IMPLICATIONS:

None

 
EFFECTIVE DATE:
This act shall take effect immediately.

2021-S5479 - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5479
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                               March 8, 2021
                                ___________
 
 Introduced  by Sen. BORRELLO -- 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  allowing  for
   in-state  suppliers  to  receive preference in certain situations when
   the state is awarding contracts

   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  The  state finance law is amended by adding a new section
 148 to read as follows:
   § 148. IN-STATE  SUPPLIER  PREFERENCE  FOR  STATE  CONTRACTS.  1.  FOR
 PURPOSES  OF  THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING
 MEANINGS:
   (A) "STATE AGENCY" SHALL HAVE THE SAME MEANING AS DEFINED  IN  SECTION
 ONE HUNDRED SEVENTY-NINE-E OF THIS CHAPTER.
   (B)  "EXISTING  IN-STATE  SUPPLIER" SHALL MEAN AN INDIVIDUAL OR ENTITY
 WHO IS RESIDENT IN THE STATE  AND  REGULARLY  AND  CONSISTENTLY  DOES  A
 MAJORITY OF THEIR BUSINESS WITHIN THE STATE WHO IS ABLE TO PROVIDE GOODS
 OR SERVICES THAT THE STATE IS LOOKING TO CONTRACT FOR.
   2.  WHEN  A STATE CONTRACT FOR THE PURCHASE OF GOODS OR SERVICES IS TO
 BE MADE AND AWARDED TO THE LOWEST RESPONSIBLE BIDDER, AN OTHERWISE QUAL-
 IFIED BIDDER WHO WILL FULFILL THE CONTRACT WHO IS AN  EXISTING  IN-STATE
 SUPPLIER  OF SUCH GOODS OR SERVICES SHALL BE ALLOWED TO MATCH THE BID OF
 THE LOWEST RESPONSIBLE BIDDER BEFORE ANY CONTRACT IS MADE AND AWARDED BY
 THE STATE OR BY ANY STATE AGENCY IF SUCH LOWEST  RESPONSIBLE  BIDDER  IS
 NOT  AN  EXISTING  IN-STATE SUPPLIER, PROVIDED THAT THE COST INCLUDED IN
 THE BID OF SUCH EXISTING IN-STATE SUPPLIER IS NOT MORE THAN TEN  PERCENT
 GREATER  THAN  THE  COST  INCLUDED  IN THE BID OF THE LOWEST RESPONSIBLE
 BIDDER WHO IS NOT AN EXISTING IN-STATE SUPPLIER.
   3. IF AN OTHERWISE  QUALIFIED  BIDDER  WHO  IS  AN  EXISTING  IN-STATE
 SUPPLIER  CHOOSES  TO  MATCH THE LOWEST RESPONSIBLE BIDDER WHO IS NOT AN
 EXISTING IN-STATE SUPPLIER, THEN THE STATE OR A STATE  AGENCY  MAY  GIVE
 PREFERENCE  TO  SUCH EXISTING IN-STATE SUPPLIER WHEN MAKING AND AWARDING
 SUCH CONTRACT.
   § 2. This act shall take effect immediately.

 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10055-01-1

co-Sponsors

2021-S5479A - Details

Current Committee:: Senate Procurement And Contracts
Law Section:: State Finance Law
Laws Affected:: Add §149, St Fin L
Versions Introduced in 2023-2024 Legislative Session:: S1074

2021-S5479A - Summary

Allows for in-state suppliers to receive preference in certain situations when the state is awarding contracts.

2021-S5479A - Sponsor Memo

                                
 
BILL NUMBER: S5479A

SPONSOR: BORRELLO
 
TITLE OF BILL:

An act to amend the state finance law, in relation to allowing for
in-state suppliers to receive preference in certain situations when the
state is awarding contracts

 
PURPOSE OR GENERAL IDEA OF BILL:

This bill will help in-state suppliers better compete in bids for New
York State contracts.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1: The state finance law is amended by adding a new section 148
to address the meanings of "State agency" and "existing in-state suppli-
er." If a New York State contract bid by an in-state supplier is not
more than 10 percent of the lowest responsible bid from an out-of-state
supplier, the instate supplier will have the opportunity to match.

If a New York State contract bid by an in-state Minority Women Owned
Business (MWBE) is not more than 15 percent of the lowest responsible
bid from an out-of-state supplier, the in-state MWBE supplier will have
the opportunity to match.

Section 2: Provides the effective date

 
JUSTIFICATION:

There has been a disturbing trend of New York State taxpayer money being
spent to contract with out-of-state companies. Particularly, with so
many in our business community struggling to stay afloat, bolstering the
competitors of New York businesses and the economies of other states is
increasingly difficult to justify.

Many in-state suppliers are already at a disadvantage because the cost
of doing business in New York is largely attributed to onerous state
government. taxes, laws and regulations. This bill would allow in-state
vendors who are within 10 percent, or in-state MWBE's within 15 percent,
of the lowest bid, the opportunity to match the lowest responsible bid
of an out-of-state supplier. Agencies would then have the opportunity to
give preference to the in-state bidder.

This will also help address any potential abuse by in-state bidders, who
think they have the advantage and can bid much higher than what a market
rate may be for the product or service they are providing.

 
PRIOR LEGISLATIVE HISTORY:

New Bill

 
FISCAL IMPLICATIONS:

None

 
EFFECTIVE DATE:
This act shall take effect immediately.

2021-S5479A - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  5479--A
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                               March 8, 2021
                                ___________
 
 Introduced  by Sen. BORRELLO -- read twice and ordered printed, and when
   printed to be committed to  the  Committee  on  Finance  --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 AN  ACT  to  amend  the  state  finance law, in relation to allowing for
   in-state suppliers to receive preference in  certain  situations  when
   the state is awarding contracts
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The state finance law is amended by adding  a  new  section
 148 to read as follows:
   §  148.  IN-STATE  SUPPLIER  PREFERENCE  FOR  STATE  CONTRACTS. 1. FOR
 PURPOSES OF THIS SECTION, THE FOLLOWING TERMS SHALL HAVE  THE  FOLLOWING
 MEANINGS:
   (A)  "STATE  AGENCY" SHALL HAVE THE SAME MEANING AS DEFINED IN SECTION
 ONE HUNDRED SEVENTY-NINE-E OF THIS CHAPTER.
   (B) "EXISTING IN-STATE SUPPLIER" SHALL MEAN AN  INDIVIDUAL  OR  ENTITY
 WHO  IS  RESIDENT  IN  THE  STATE  AND REGULARLY AND CONSISTENTLY DOES A
 MAJORITY OF THEIR BUSINESS WITHIN THE STATE WHO IS ABLE TO PROVIDE GOODS
 OR SERVICES THAT THE STATE IS LOOKING TO CONTRACT FOR.
   2. (A) WHEN A STATE CONTRACT FOR THE PURCHASE OF GOODS OR SERVICES  IS
 TO  BE  MADE  AND AWARDED TO THE LOWEST RESPONSIBLE BIDDER, AN OTHERWISE
 QUALIFIED BIDDER WHO WILL  FULFILL  THE  CONTRACT  WHO  IS  AN  EXISTING
 IN-STATE  SUPPLIER  OF  SUCH GOODS OR SERVICES SHALL BE ALLOWED TO MATCH
 THE BID OF THE LOWEST RESPONSIBLE BIDDER BEFORE ANY CONTRACT IS MADE AND
 AWARDED BY THE STATE OR BY ANY STATE AGENCY IF SUCH  LOWEST  RESPONSIBLE
 BIDDER  IS  NOT  AN  EXISTING  IN-STATE SUPPLIER, PROVIDED THAT THE COST
 INCLUDED IN THE BID OF SUCH EXISTING IN-STATE SUPPLIER IS NOT MORE  THAN
 TEN  PERCENT  GREATER  THAN  THE  COST INCLUDED IN THE BID OF THE LOWEST
 RESPONSIBLE BIDDER WHO IS NOT AN EXISTING IN-STATE SUPPLIER.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10055-02-1

 S. 5479--A                          2
 
   (B) IF SUCH OTHERWISE QUALIFIED BIDDER WHO WILL FULFILL  THE  CONTRACT
 WHO  IS AN EXISTING IN-STATE SUPPLIER IS A CERTIFIED MINORITY AND WOMEN-
 OWNED BUSINESS ENTERPRISE, THEN SUCH MINORITY AND  WOMEN-OWNED  BUSINESS
 ENTERPRISE  SHALL  BE ALLOWED TO MATCH THE BID OF THE LOWEST RESPONSIBLE
 BIDDER  IF  SUCH  LOWEST  RESPONSIBLE BIDDER IS NOT AN EXISTING IN-STATE
 SUPPLIER BEFORE ANY CONTRACT IS MADE AND AWARDED BY THE STATE OR BY  ANY
 STATE  AGENCY  IF  THE  COST  INCLUDED  IN  THE BID OF SUCH MINORITY AND
 WOMEN-OWNED BUSINESS ENTERPRISE IS NOT MORE THAN FIFTEEN PERCENT GREATER
 THAN THE COST INCLUDED IN THE BID OF THE LOWEST RESPONSIBLE  BIDDER  WHO
 IS NOT AN EXISTING IN-STATE SUPPLIER.
   3.  IF  AN  OTHERWISE  QUALIFIED  BIDDER  WHO  IS AN EXISTING IN-STATE
 SUPPLIER CHOOSES TO MATCH THE LOWEST RESPONSIBLE BIDDER WHO  IS  NOT  AN
 EXISTING  IN-STATE  SUPPLIER,  THEN THE STATE OR A STATE AGENCY MAY GIVE
 PREFERENCE TO SUCH EXISTING IN-STATE SUPPLIER WHEN MAKING  AND  AWARDING
 SUCH CONTRACT.
   § 2. This act shall take effect immediately.

co-Sponsors

2021-S5479B (ACTIVE) - Details

Current Committee:: Senate Procurement And Contracts
Law Section:: State Finance Law
Laws Affected:: Add §149, St Fin L
Versions Introduced in 2023-2024 Legislative Session:: S1074

2021-S5479B (ACTIVE) - Summary

Allows for in-state suppliers to receive preference in certain situations when the state is awarding contracts.

2021-S5479B (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S5479B

SPONSOR: BORRELLO
 
TITLE OF BILL:

An act to amend the state finance law, in relation to allowing for
in-state suppliers to receive preference in certain situations when the
state is awarding contracts

 
PURPOSE OR GENERAL IDEA OF BILL:

This bill will help in-state suppliers better compete in bids for New
York State contracts.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1: The state finance law is amended by adding a new section 148
to address the meanings of "State agency" and "existing in-state suppli-
er." If a New York State contract bid by an in-state supplier is not
more than 15 percent of the lowest responsible bid from an out-of-state
supplier, the instate supplier will have the opportunity to match.

Section 2: Provides the effective date

 
JUSTIFICATION:

There has been a disturbing trend of New York State taxpayer money being
spent to contract with out-of-state companies. Particularly, with so
many in our business community struggling to stay afloat, bolstering the
competitors of New York businesses and the economies of other states is
increasingly difficult to justify.

Many in-state suppliers are already at a disadvantage because the cost
of doing business in New York is largely attributed to onerous state
government taxes, laws and regulations. This bill would.allow in-state
vendors who are within 15 percent of the lowest bid, the opportunity to
match the lowest responsible bid of an out-of-state supplier. Agencies
would then have the opportunity to give preference to the in-state
bidder.

This will also help address any potential abuse by in-state bidders, who
think they have the advantage and can bid much higher than what a market
rate may be for the product or service they are providing.

 
PRIOR LEGISLATIVE HISTORY:

New Bill

 
FISCAL IMPLICATIONS:

None

 
EFFECTIVE DATE:
This act shall take effect immediately.

2021-S5479B (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  5479--B
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                               March 8, 2021
                                ___________
 
 Introduced  by  Sens.  BORRELLO,  OBERACKER,  O'MARA  --  read twice and
   ordered printed, and when printed to be committed to the Committee  on
   Finance  --  committee  discharged, bill amended, ordered reprinted as
   amended and recommitted to said committee -- committee discharged  and
   said  bill  committed to the Committee on Procurement and Contracts --
   committee discharged, bill amended, ordered reprinted as  amended  and
   recommitted to said committee
 
 AN  ACT  to  amend  the  state  finance law, in relation to allowing for
   in-state suppliers to receive preference in  certain  situations  when
   the state is awarding contracts
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The state finance law is amended by adding  a  new  section
 149 to read as follows:
   §  149.  IN-STATE  SUPPLIER  PREFERENCE  FOR  STATE  CONTRACTS. 1. FOR
 PURPOSES OF THIS SECTION, THE FOLLOWING TERMS SHALL HAVE  THE  FOLLOWING
 MEANINGS:
   (A)  "STATE  AGENCY" SHALL HAVE THE SAME MEANING AS DEFINED IN SECTION
 ONE HUNDRED SEVENTY-NINE-E OF THIS CHAPTER.
   (B) "EXISTING IN-STATE SUPPLIER" SHALL MEAN AN  INDIVIDUAL  OR  ENTITY
 WHO  IS  RESIDENT  IN  THE  STATE  AND REGULARLY AND CONSISTENTLY DOES A
 MAJORITY OF THEIR BUSINESS WITHIN THE STATE WHO IS ABLE TO PROVIDE GOODS
 OR SERVICES THAT THE STATE IS LOOKING TO CONTRACT FOR.
   2. WHEN A STATE CONTRACT FOR THE PURCHASE OF GOODS OR SERVICES  IS  TO
 BE MADE AND AWARDED TO THE LOWEST RESPONSIBLE BIDDER, AN OTHERWISE QUAL-
 IFIED  BIDDER  WHO WILL FULFILL THE CONTRACT WHO IS AN EXISTING IN-STATE
 SUPPLIER OF SUCH GOODS OR SERVICES SHALL BE ALLOWED TO MATCH THE BID  OF
 THE LOWEST RESPONSIBLE BIDDER BEFORE ANY CONTRACT IS MADE AND AWARDED BY
 THE  STATE  OR  BY ANY STATE AGENCY IF SUCH LOWEST RESPONSIBLE BIDDER IS
 NOT AN EXISTING IN-STATE SUPPLIER, PROVIDED THAT THE  COST  INCLUDED  IN
 THE  BID  OF  SUCH  EXISTING  IN-STATE SUPPLIER IS NOT MORE THAN FIFTEEN
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD10055-03-1

 S. 5479--B                          2
 
 PERCENT GREATER THAN THE COST INCLUDED IN THE BID OF THE LOWEST  RESPON-
 SIBLE BIDDER WHO IS NOT AN EXISTING IN-STATE SUPPLIER.
   3.  IF  AN  OTHERWISE  QUALIFIED  BIDDER  WHO  IS AN EXISTING IN-STATE
 SUPPLIER CHOOSES TO MATCH THE LOWEST RESPONSIBLE BIDDER WHO  IS  NOT  AN
 EXISTING  IN-STATE  SUPPLIER,  THEN THE STATE OR A STATE AGENCY MAY GIVE
 PREFERENCE TO SUCH EXISTING IN-STATE SUPPLIER WHEN MAKING  AND  AWARDING
 SUCH CONTRACT.
   § 2. This act shall take effect immediately.

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Senate Bill S5479B

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Sponsored By

George M. Borrello

Archive: Last Bill Status - In Senate Committee Procurement And Contracts Committee

Bill Amendments

2021-S5479 - Details

2021-S5479 - Summary

2021-S5479 - Sponsor Memo

2021-S5479 - Bill Text download pdf

co-Sponsors

Peter Oberacker

Thomas F. O'Mara

2021-S5479A - Details

2021-S5479A - Summary

2021-S5479A - Sponsor Memo

2021-S5479A - Bill Text download pdf

co-Sponsors

Daphne Jordan

Peter Oberacker

Thomas F. O'Mara

2021-S5479B (ACTIVE) - Details

2021-S5479B (ACTIVE) - Summary

2021-S5479B (ACTIVE) - Sponsor Memo

2021-S5479B (ACTIVE) - Bill Text download pdf

Comments