NY State Assembly Bill 2023-A9544A

Assembly Bill A9544A

2023-2024 Legislative Session

Relates to preferred source status for entities that provide employment to certain persons

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Current Bill Status - In Senate Committee Rules 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
Jun 06, 2024	referred to rules delivered to senate passed assembly
Jun 03, 2024	ordered to third reading rules cal.350 rules report cal.350 reported reported referred to rules
May 21, 2024	reported referred to ways and means
May 16, 2024	print number 9544a
May 16, 2024	amend and recommit to governmental operations
Mar 20, 2024	referred to governmental operations

Bill Amendments

Original

A (Active)

co-Sponsors

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2023-A9544 - Details

See Senate Version of this Bill:: S8937
Current Committee:: Senate Rules
Law Section:: State Finance Law
Laws Affected:: Amd §162, St Fin L

2023-A9544 - Summary

Includes entities that provide employment or services to formerly incarcerated persons in the preferred source exemption for purposes of state purchasing.

2023-A9544 - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9544
 
                           I N  A S S E M B L Y
 
                              March 20, 2024
                                ___________
 
 Introduced  by  M.  of A. McDONALD, BURDICK -- read once and referred to
   the Committee on Governmental Operations
 
 AN ACT to amend the state finance law, in relation to  preferred  source
   status  for  entities  that provide employment and services to certain
   persons
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section  1.  Subdivision 1 of section 162 of the state finance law, as
 added by chapter 83 of the laws of 1995, is amended to read as follows:
   1. Purpose. To advance special social  and  economic  goals,  selected
 providers  shall  have  preferred  source  status  for  the  purposes of
 procurement in accordance with the provisions of this section.  Procure-
 ment from  these  providers  shall  be  exempted  from  the  competitive
 procurement  provisions of section one hundred sixty-three of this arti-
 cle and other competitive procurement  statutes.  Such  exemption  shall
 apply  to  commodities  produced,  manufactured  or assembled, including
 those repackaged, ASSEMBLED OR FULFILLED to meet the form, function  and
 utility  required  by  state  agencies,  in New York state and, where so
 designated, services provided by those sources in accordance  with  this
 section.
   §  2. Paragraph d of subdivision 2 of section 162 of the state finance
 law, as amended by chapter 565 of the laws of 2022, is amended  to  read
 as follows:
   d.  Commodities and services produced by any qualified charitable non-
 profit-making agency for other disabled persons AND/OR  FORMERLY  INCAR-
 CERATED PERSONS approved for such purposes by the commissioner of educa-
 tion, or incorporated under the laws of this state and approved for such
 purposes by the commissioner of education;
   §  2-a.  Paragraph  d  of  subdivision  2  of section 162 of the state
 finance law, as amended by chapter 501 of the laws of 2002,  is  amended
 to read as follows:
   d.  Commodities and services produced by any qualified charitable non-
 profit-making agency for other severely disabled persons AND/OR FORMERLY
 INCARCERATED PERSONS approved for such purposes by the  commissioner  of
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD13984-01-4
 A. 9544                             2
 
 education, or incorporated under the laws of this state and approved for
 such purposes by the commissioner of education;
   § 3. Subparagraph (iii) of paragraph a of subdivision 4 of section 162
 of the state finance law, as amended by chapter 565 of the laws of 2022,
 is amended to read as follows:
   (iii) When commodities are available, in the form, function and utili-
 ty  required by, a state agency or political subdivision or public bene-
 fit corporation having their own purchasing agency, and such commodities
 are not available pursuant to subparagraphs (i) and (ii) of  this  para-
 graph,  said  commodities  shall then be purchased from a qualified non-
 profit-making agency for other disabled persons AND/OR  FORMERLY  INCAR-
 CERATED PERSONS, a qualified special employment program for mentally ill
 persons,  or  a  qualified  veterans'  entity;  provided,  however,  the
 preferred source shall perform fifty percent or more of the work;
   § 3-a. Subparagraph (iii) of paragraph a of subdivision 4  of  section
 162  of  the  state  finance  law, as added by chapter 83 of the laws of
 1995, is amended to read as follows:
   (iii) When commodities are available, in the form, function and utili-
 ty required by, a state agency or political subdivision or public  bene-
 fit corporation having their own purchasing agency, and such commodities
 are  not  available pursuant to subparagraphs (i) and (ii) of this para-
 graph, said commodities shall then be purchased from  a  qualified  non-
 profit-making agency for other severely disabled persons AND/OR FORMERLY
 INCARCERATED PERSONS, a qualified special employment program for mental-
 ly ill persons, or a qualified veterans' workshop;
   §  4. The opening paragraph of paragraph b of subdivision 4 of section
 162 of the state finance law, as amended by chapter 565 of the  laws  of
 2022, is amended to read as follows:
   When  services  are  available,  in  the  form,  function  and utility
 required by, a state agency or political subdivision or  public  benefit
 corporation  having their own purchasing agency, equal priority shall be
 accorded the services rendered and offered for sale  by  qualified  non-
 profit-making  agencies for the blind and those for [the] other disabled
 PERSONS AND/OR  FORMERLY  INCARCERATED  PERSONS,  by  qualified  special
 employment  programs for mentally ill persons and by qualified veterans'
 entities; provided, however, the preferred source  shall  perform  fifty
 percent or more of the work. In the case of services:
   §  4-a.  The  opening  paragraph  of  paragraph  b of subdivision 4 of
 section 162 of the state finance law, as added by chapter 83 of the laws
 of 1995,  is amended to read as follows:
   When services  are  available,  in  the  form,  function  and  utility
 required  by,  a state agency or political subdivision or public benefit
 corporation having their own purchasing agency, equal priority shall  be
 accorded  the  services  rendered and offered for sale by qualified non-
 profit-making agencies for the blind and those for [the] other  severely
 disabled  PERSONS  AND/OR  FORMERLY  INCARCERATED  PERSONS, by qualified
 special employment programs for mentally ill persons  and  by  qualified
 veterans' workshops. In the case of services:
   §  5. Subdivision 5 of section 162 of the state finance law is amended
 by adding a new paragraph c to read as follows:
   C. SUCH QUALIFIED CHARITABLE NON-PROFIT-MAKING AGENCIES FOR THE  BLIND
 AND OTHER DISABLED PERSONS AND/OR FORMERLY INCARCERATED PERSONS MAY MAKE
 PURCHASES  OF SERVICES FROM A RESPONSIBLE SUB-CONTRACTOR SO LONG AS SAID
 PURCHASE IS DE MINIMIS TO THE OVERALL CONTRACT.  FOR  PURPOSES  OF  THIS
 PARAGRAPH, "DE MINIMIS" MEANS NOT TO EXCEED EIGHT PERCENT OF THE OVERALL
 CONTRACT VALUE.
 A. 9544                             3
 
   § 6. Subdivision 6 of section 162 of the state finance law, as amended
 by chapter 565 of the laws of 2022, is amended to read as follows:
   6.  Prices  charged  by agencies for the blind, other disabled PERSONS
 AND/OR FORMERLY INCARCERATED PERSONS and veterans' entity.
   a. Except with respect to the correctional industries program  of  the
 department  of  corrections  and  community supervision, it shall be the
 duty of the commissioner to determine, and from time to time review, the
 prices of all commodities and to  approve  the  price  of  all  services
 provided  by  preferred  sources as specified in this section offered to
 state agencies, political subdivisions or  public  benefit  corporations
 having  their own purchasing office. The commissioner's price review and
 approval shall not be required for any purchases below one hundred thou-
 sand dollars.
   b. In determining and revising  the  prices  of  such  commodities  or
 services, consideration shall be given to the reasonable costs of labor,
 materials  and  overhead  necessarily incurred by such preferred sources
 under efficient methods  of  procurement,  production,  performance  and
 administration;  however, the prices of such products and services shall
 be as close to prevailing market price as practicable, but in  no  event
 greater  than fifteen percent above the prevailing market prices for the
 same or equivalent commodities or services.
   c. Such qualified charitable non-profit-making agencies for the  blind
 and other disabled PERSONS AND/OR FORMERLY INCARCERATED PERSONS may make
 purchases  of materials, equipment or supplies, except printed material,
 from centralized contracts for commodities in accordance with the condi-
 tions set by the office of general services; provided that the qualified
 charitable non-profit-making agency for  the  blind  or  other  disabled
 PERSONS AND/OR FORMERLY INCARCERATED PERSONS shall accept sole responsi-
 bility for any payment due the vendor.
   d.  Such qualified charitable non-profit-making agencies for the blind
 and other disabled PERSONS AND/OR FORMERLY INCARCERATED PERSONS may make
 purchases of materials, equipment and supplies directly from the correc-
 tional  industries  program  administered   by   the   commissioner   of
 corrections  and  community supervision, subject to such rules as may be
 established from time to time pursuant to the correction  law;  provided
 that  the qualified charitable non-profit-making agency for the blind or
 other disabled PERSONS AND/OR FORMERLY INCARCERATED PERSONS shall accept
 sole responsibility for any payment due the  department  of  corrections
 and community supervision.
   e.  The  commissioner  of  the  office of children and family services
 shall appoint the New York state commission  for  the  blind,  or  other
 non-profit-making agency, other than the agency representing [the] other
 disabled PERSONS AND/OR FORMERLY INCARCERATED PERSONS, to facilitate the
 distribution  of  orders  among  qualified  non-profit-making charitable
 agencies for the  blind.  The  state  commissioner  of  education  shall
 appoint  a  non-profit-making agency, other than the agency representing
 the blind, to facilitate the  distribution  of  orders  among  qualified
 non-profit-making  charitable  agencies for [the] other disabled PERSONS
 AND/OR FORMERLY INCARCERATED PERSONS and  the  veterans'  entities.  The
 state commissioner of mental health shall facilitate the distribution of
 orders  among qualified special employment programs operated or approved
 by the office of mental health serving mentally ill persons.
   f. The commissioner may  request  the  state  comptroller  to  conduct
 audits and examinations to be made of all records, books and data of any
 agency  for  the  blind  or [the] other disabled PERSONS AND/OR FORMERLY
 INCARCERATED PERSONS, any special employment program  for  mentally  ill
 A. 9544                             4

 persons  or  any veterans' entity qualified under this section to deter-
 mine the costs of manufacture or  the  rendering  of  services  and  the
 manner and efficiency of production and administration of such agency or
 special  employment  program  or  veterans'  entity with relation to any
 product or services purchased by a state agency or political subdivision
 or public benefit corporation and to furnish the results of  such  audit
 and  examination  to  the  commissioner for such action as he or she may
 deem appropriate under this section.
   § 7. This act shall take effect immediately; provided, however, that:
   (a) the amendment to paragraph d of subdivision 2 of  section  162  of
 the  state  finance law made by section two of this act shall be subject
 to the expiration and reversion of such paragraph pursuant to section  4
 of  chapter 565 of the laws of 2022, as amended, when upon such date the
 provisions of section two-a of this act shall take effect;
   (b) the amendment to subparagraph (iii) of paragraph a of  subdivision
 4  of section 162 of the state finance law made by section three of this
 act shall be subject to the expiration and reversion  of  such  subpara-
 graph  pursuant  to  section  4  of  chapter 565 of the laws of 2022, as
 amended, when upon such date the provisions of section three-a  of  this
 act shall take effect; and
   (c) the amendments to the opening paragraph of paragraph b of subdivi-
 sion  4  of section 162 of the state finance law made by section four of
 this act shall be subject to the expiration and reversion of such  para-
 graph  pursuant  to  section  4  of  chapter 565 of the laws of 2022, as
 amended, when upon such date the provisions of section  four-a  of  this
 act shall take effect.

co-Sponsors

View additional co-sponsors

2023-A9544A (ACTIVE) - Details

See Senate Version of this Bill:: S8937
Current Committee:: Senate Rules
Law Section:: State Finance Law
Laws Affected:: Amd §162, St Fin L

2023-A9544A (ACTIVE) - Summary

Includes entities that provide employment or services to formerly incarcerated persons in the preferred source exemption for purposes of state purchasing.

2023-A9544A (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  9544--A
 
                           I N  A S S E M B L Y
 
                              March 20, 2024
                                ___________
 
 Introduced by M. of A. McDONALD, BURDICK, SIMON, HEVESI, GLICK, WOERNER,
   DeSTEFANO,  DAVILA,  REYES,  BURGOS, BENDETT, HYNDMAN -- read once and
   referred to the Committee  on  Governmental  Operations  --  committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 AN  ACT  to amend the state finance law, in relation to preferred source
   status for entities that provide employment and  services  to  certain
   persons
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision 1 of section 162 of the state finance  law,  as
 added by chapter 83 of the laws of 1995, is amended to read as follows:
   1.  Purpose.  To  advance  special social and economic goals, selected
 providers shall  have  preferred  source  status  for  the  purposes  of
 procurement in accordance with the provisions of this section.  Procure-
 ment  from  these  providers  shall  be  exempted  from  the competitive
 procurement provisions of section one hundred sixty-three of this  arti-
 cle  and  other  competitive  procurement statutes. Such exemption shall
 apply to commodities  produced,  manufactured  or  assembled,  including
 those  repackaged, ASSEMBLED OR FULFILLED to meet the form, function and
 utility required by state agencies, in New  York  state  and,  where  so
 designated,  services  provided by those sources in accordance with this
 section.
   § 2. Paragraph d of subdivision 2 of section 162 of the state  finance
 law,  as  amended by chapter 565 of the laws of 2022, is amended to read
 as follows:
   d. Commodities and services produced by any qualified charitable  non-
 profit-making  agency  for other disabled persons AND/OR FORMERLY INCAR-
 CERATED PERSONS approved for such purposes by the commissioner of educa-
 tion, or incorporated under the laws of this state and approved for such
 purposes by the commissioner of education;
   § 2-a. Paragraph d of subdivision  2  of  section  162  of  the  state
 finance  law,  as amended by chapter 501 of the laws of 2002, is amended
 to read as follows:
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD13984-03-4
 A. 9544--A                          2
 
   d. Commodities and services produced by any qualified charitable  non-
 profit-making agency for other severely disabled persons AND/OR FORMERLY
 INCARCERATED  PERSONS  approved for such purposes by the commissioner of
 education, or incorporated under the laws of this state and approved for
 such purposes by the commissioner of education;
   § 3. Subparagraph (iii) of paragraph a of subdivision 4 of section 162
 of the state finance law, as amended by chapter 565 of the laws of 2022,
 is amended to read as follows:
   (iii) When commodities are available, in the form, function and utili-
 ty  required by, a state agency or political subdivision or public bene-
 fit corporation having their own purchasing agency, and such commodities
 are not available pursuant to subparagraphs (i) and (ii) of  this  para-
 graph,  said  commodities  shall then be purchased from a qualified non-
 profit-making agency for other disabled persons AND/OR  FORMERLY  INCAR-
 CERATED PERSONS, a qualified special employment program for mentally ill
 persons,  or  a  qualified  veterans'  entity;  provided,  however,  the
 preferred source shall perform fifty percent or more of the work;
   § 3-a. Subparagraph (iii) of paragraph a of subdivision 4  of  section
 162  of  the  state  finance  law, as added by chapter 83 of the laws of
 1995, is amended to read as follows:
   (iii) When commodities are available, in the form, function and utili-
 ty required by, a state agency or political subdivision or public  bene-
 fit corporation having their own purchasing agency, and such commodities
 are  not  available pursuant to subparagraphs (i) and (ii) of this para-
 graph, said commodities shall then be purchased from  a  qualified  non-
 profit-making agency for other severely disabled persons AND/OR FORMERLY
 INCARCERATED PERSONS, a qualified special employment program for mental-
 ly ill persons, or a qualified veterans' workshop;
   §  4. The opening paragraph of paragraph b of subdivision 4 of section
 162 of the state finance law, as amended by chapter 565 of the  laws  of
 2022, is amended to read as follows:
   When  services  are  available,  in  the  form,  function  and utility
 required by, a state agency or political subdivision or  public  benefit
 corporation  having their own purchasing agency, equal priority shall be
 accorded the services rendered and offered for sale  by  qualified  non-
 profit-making  agencies for the blind and those for [the] other disabled
 PERSONS AND/OR  FORMERLY  INCARCERATED  PERSONS,  by  qualified  special
 employment  programs for mentally ill persons and by qualified veterans'
 entities; provided, however, the preferred source  shall  perform  fifty
 percent or more of the work. In the case of services:
   §  4-a.  The  opening  paragraph  of  paragraph  b of subdivision 4 of
 section 162 of the state finance law, as added by chapter 83 of the laws
 of 1995,  is amended to read as follows:
   When services  are  available,  in  the  form,  function  and  utility
 required  by,  a state agency or political subdivision or public benefit
 corporation having their own purchasing agency, equal priority shall  be
 accorded  the  services  rendered and offered for sale by qualified non-
 profit-making agencies for the blind and those for [the] other  severely
 disabled  PERSONS  AND/OR  FORMERLY  INCARCERATED  PERSONS, by qualified
 special employment programs for mentally ill persons  and  by  qualified
 veterans' workshops. In the case of services:
   § 5. Subdivision 6 of section 162 of the state finance law, as amended
 by chapter 565 of the laws of 2022, is amended to read as follows:
   6.  Prices  charged  by agencies for the blind, other disabled PERSONS
 AND/OR FORMERLY INCARCERATED PERSONS and veterans' entity.
 A. 9544--A                          3
 
   a. Except with respect to the correctional industries program  of  the
 department  of  corrections  and  community supervision, it shall be the
 duty of the commissioner to determine, and from time to time review, the
 prices of all commodities and to  approve  the  price  of  all  services
 provided  by  preferred  sources as specified in this section offered to
 state agencies, political subdivisions or  public  benefit  corporations
 having  their own purchasing office. The commissioner's price review and
 approval shall not be required for any purchases below one hundred thou-
 sand dollars.
   b. In determining and revising  the  prices  of  such  commodities  or
 services, consideration shall be given to the reasonable costs of labor,
 materials  and  overhead  necessarily incurred by such preferred sources
 under efficient methods  of  procurement,  production,  performance  and
 administration;  however, the prices of such products and services shall
 be as close to prevailing market price as practicable, but in  no  event
 greater  than fifteen percent above the prevailing market prices for the
 same or equivalent commodities or services.
   c. Such qualified charitable non-profit-making agencies for the  blind
 and other disabled PERSONS AND/OR FORMERLY INCARCERATED PERSONS may make
 purchases  of materials, equipment or supplies, except printed material,
 from centralized contracts for commodities in accordance with the condi-
 tions set by the office of general services; provided that the qualified
 charitable non-profit-making agency for  the  blind  or  other  disabled
 PERSONS AND/OR FORMERLY INCARCERATED PERSONS shall accept sole responsi-
 bility for any payment due the vendor.
   d.  Such qualified charitable non-profit-making agencies for the blind
 and other disabled PERSONS AND/OR FORMERLY INCARCERATED PERSONS may make
 purchases of materials, equipment and supplies directly from the correc-
 tional  industries  program  administered   by   the   commissioner   of
 corrections  and  community supervision, subject to such rules as may be
 established from time to time pursuant to the correction  law;  provided
 that  the qualified charitable non-profit-making agency for the blind or
 other disabled PERSONS AND/OR FORMERLY INCARCERATED PERSONS shall accept
 sole responsibility for any payment due the  department  of  corrections
 and community supervision.
   e.  The  commissioner  of  the  office of children and family services
 shall appoint the New York state commission  for  the  blind,  or  other
 non-profit-making agency, other than the agency representing [the] other
 disabled PERSONS AND/OR FORMERLY INCARCERATED PERSONS, to facilitate the
 distribution  of  orders  among  qualified  non-profit-making charitable
 agencies for the  blind.  The  state  commissioner  of  education  shall
 appoint  a  non-profit-making agency, other than the agency representing
 the blind, to facilitate the  distribution  of  orders  among  qualified
 non-profit-making  charitable  agencies for [the] other disabled PERSONS
 AND/OR FORMERLY INCARCERATED PERSONS and  the  veterans'  entities.  The
 state commissioner of mental health shall facilitate the distribution of
 orders  among qualified special employment programs operated or approved
 by the office of mental health serving mentally ill persons.
   f. The commissioner may  request  the  state  comptroller  to  conduct
 audits and examinations to be made of all records, books and data of any
 agency  for  the  blind  or [the] other disabled PERSONS AND/OR FORMERLY
 INCARCERATED PERSONS, any special employment program  for  mentally  ill
 persons  or  any veterans' entity qualified under this section to deter-
 mine the costs of manufacture or  the  rendering  of  services  and  the
 manner and efficiency of production and administration of such agency or
 special  employment  program  or  veterans'  entity with relation to any
 A. 9544--A                          4
 
 product or services purchased by a state agency or political subdivision
 or public benefit corporation and to furnish the results of  such  audit
 and  examination  to  the  commissioner for such action as he or she may
 deem appropriate under this section.
   § 6. This act shall take effect immediately; provided, however, that:
   (a)  the  amendment  to paragraph d of subdivision 2 of section 162 of
 the state finance law made by section two of this act shall  be  subject
 to  the expiration and reversion of such paragraph pursuant to section 4
 of chapter 565 of the laws of 2022, as amended, when upon such date  the
 provisions of section two-a of this act shall take effect;
   (b)  the amendment to subparagraph (iii) of paragraph a of subdivision
 4 of section 162 of the state finance law made by section three of  this
 act  shall  be  subject to the expiration and reversion of such subpara-
 graph pursuant to section 4 of chapter 565  of  the  laws  of  2022,  as
 amended,  when  upon such date the provisions of section three-a of this
 act shall take effect; and
   (c) the amendments to the opening paragraph of paragraph b of subdivi-
 sion 4 of section 162 of the state finance law made by section  four  of
 this  act shall be subject to the expiration and reversion of such para-
 graph pursuant to section 4 of chapter 565  of  the  laws  of  2022,  as
 amended,  when  upon  such date the provisions of section four-a of this
 act shall take effect.

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Assembly Bill A9544A

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Sponsored By

MCDONALD

Current Bill Status - In Senate Committee Rules Committee

Bill Amendments

co-Sponsors

Chris Burdick

Jo Anne Simon

Andrew Hevesi

Deborah Glick

2023-A9544 - Details

2023-A9544 - Summary

2023-A9544 - Bill Text download pdf

co-Sponsors

Chris Burdick

Jo Anne Simon

Andrew Hevesi

Deborah Glick

2023-A9544A (ACTIVE) - Details

2023-A9544A (ACTIVE) - Summary

2023-A9544A (ACTIVE) - Bill Text download pdf

Comments