S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  4877--A
     Cal. No. 1387
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             February 16, 2023
                                ___________
 
 Introduced  by  Sens.  MAYER, BAILEY, COONEY, FERNANDEZ, HARCKHAM, HOYL-
   MAN-SIGAL, MAY -- read twice and ordered printed, and when printed  to
   be  committed  to the Committee on Procurement and Contracts -- recom-
   mitted to the Committee on Procurement  and  Contracts  in  accordance
   with  Senate  Rule 6, sec. 8 -- reported favorably from said committee
   and committed to the Committee on Finance -- reported  favorably  from
   said committee, ordered to first and second report, ordered to a third
   reading,  amended  and  ordered  reprinted, retaining its place in the
   order of third reading
 
 AN ACT to amend the state finance  law,  in  relation  to  state  agency
   contracts with not-for-profit corporations
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 179-q of the state finance law is amended by adding
 a new subdivision 15 to read as follows:
   15. "NONCOMPLIANT STATE AGENCY" MEANS A STATE AGENCY THAT  HAS  FAILED
 TO EXECUTE CERTAIN CONTRACTS WITHIN REQUIRED TIME FRAMES.
   § 2. Section 179-t of the state finance law is amended by adding a new
 subdivision 4-a to read as follows:
   4-A.  A STATE AGENCY SHALL BE DEEMED TO BE NONCOMPLIANT IF, FOR SIX OF
 THE LAST TWELVE PRECEDING MONTHS,  IT  HAS  (A)  FAILED  TO  SUBMIT  ANY
 RENEWAL CONTRACTS TO THE ATTORNEY GENERAL WITHIN THE TIME FRAME REQUIRED
 BY  SUBDIVISION  FOUR  OF THIS SECTION WHEN NOT-FOR-PROFIT ORGANIZATIONS
 ARE PARTIES TO SUCH CONTRACTS AND A WRITTEN DIRECTIVE HAS  BEEN  ISSUED,
 (B) FAILED TO SUBMIT ANY RENEWAL CONTRACTS TO THE ATTORNEY GENERAL PRIOR
 TO  COMMENCEMENT  WHEN  NOT-FOR-PROFIT ORGANIZATIONS ARE PARTIES TO SUCH
 CONTRACTS, AND/OR (C) IN ANY OTHER MANNER  FAILED  TO  FULLY  EXECUTE  A
 CONTRACT BEFORE ITS START DATE.
   §  3.   Section 179-bb of the state finance law is amended by adding a
 new subdivision 4 to read as follows:
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD05711-05-4
              

 S. 4877--A                          2
 
   4. (A) A NONCOMPLIANT STATE AGENCY SHALL PREPARE AND TRANSMIT  TO  THE
 OFFICE  OF THE STATE COMPTROLLER, BY THE END OF EVERY MONTH FOR WHICH IT
 IS NONCOMPLIANT, A REPORT ADDRESSING THOSE RENEWAL CONTRACTS WHICH  HAVE
 NOT  BEEN  SUBMITTED  TO  THE  ATTORNEY  GENERAL  WITHIN  THE TIME FRAME
 REQUIRED  BY  SUBDIVISION  FOUR OF SECTION ONE HUNDRED SEVENTY-NINE-T OF
 THIS ARTICLE.  IN  ADDITION,  SUCH  AGENCY  SHALL  PROVIDE  NOTIFICATION
 REGARDING  THE SUBMISSION OF SUCH REPORT TO THE NOT-FOR-PROFIT ORGANIZA-
 TION IT  IS  CONTRACTING  WITH.  SUCH  REPORT  SHALL  (I)  DESCRIBE  THE
 CONTRACTS  THAT  HAVE  NOT  BEEN  SUBMITTED, (II) DETAIL THE REASONS THE
 CONTRACT HAS NOT BEEN SUBMITTED, (III) DETAIL THE STEPS  THE  AGENCY  IS
 TAKING  TO  SUBMIT  AND  FULLY EXECUTE THE CONTRACT, AND (IV) PROVIDE AN
 ESTIMATE OF WHEN IT SHALL SUBMIT AND FULLY  EXECUTE  THE  CONTRACT.  THE
 AGENCY SHALL ALSO MAKE SUCH REPORTS PUBLICLY ACCESSIBLE ON ITS WEBSITE.
   (B)  WITHIN  SIX  MONTHS OF BECOMING A NONCOMPLIANT STATE AGENCY, SUCH
 AGENCY SHALL PREPARE AND TRANSMIT TO  THE  OFFICE  OF  THE  STATE  COMP-
 TROLLER,  THE  TEMPORARY PRESIDENT OF THE SENATE, AND THE SPEAKER OF THE
 ASSEMBLY, A REPORT DESCRIBING ITS EFFORTS TO BECOME COMPLIANT  WITH  THE
 REQUIREMENTS OF SECTION ONE HUNDRED SEVENTY-NINE-T OF THIS ARTICLE. SUCH
 REPORT  SHALL DESCRIBE IN DETAIL EFFORTS TO REVISE INTERNAL POLICIES AND
 PROCEDURES,  IDENTIFY  BOTTLENECKS  AND  OTHER  BARRIERS  TO   EFFICIENT
 CONTRACTING,  RETRAIN STAFF AND MANAGEMENT, INCORPORATE IMPROVED MANAGE-
 MENT PRACTICES, REFORM PROCUREMENT PROCESSES, AND ANY OTHER FACTOR WHICH
 WILL ENABLE THE AGENCY TO MEET THE REQUIREMENTS OF SECTION  ONE  HUNDRED
 SEVENTY-NINE-T  OF  THIS  ARTICLE AS RELATED TO NOT-FOR-PROFIT ORGANIZA-
 TIONS. THE AGENCY SHALL ALSO PREPARE AND DELIVER UPDATED  REPORTS  EVERY
 SIX  MONTHS  AFTER  THE  DELIVERY  OF  THE  FIRST  REPORT DESCRIBING THE
 PROGRESS IT HAS MADE. SUCH REPORTS SHALL ALSO BE POSTED ON THE  AGENCY'S
 WEBSITE.
   §  4.  Subdivision  14  of  section 179-q of the state finance law, as
 added by chapter 166 of the laws of 1991, is amended to read as follows:
   14. "Written directive" means a written request by a state agency to a
 not-for-profit organization  authorizing  such  organization  either  to
 begin  providing  services  during  the  negotiation of a contract or to
 continue  providing  services  during  the  negotiation  of  a   renewal
 contract.  All  written  directives  shall  state  that  payment for the
 services provided is subject to  the  availability  of  appropriations[,
 execution  of  either  the contract or renewal contract, and approval of
 the contract or renewal contract by the  comptroller  and  the  attorney
 general].  ALL WRITTEN DIRECTIVES SHALL ALSO INCLUDE THE STATE'S PAYMENT
 SCHEDULE,  WHICH WILL REMAIN IN EFFECT UNTIL A CONTRACT IS APPROVED. ANY
 LATE PAYMENTS FROM THE STATE BASED ON THE SCHEDULE WILL  BE  SUBJECT  TO
 INTEREST.
   § 5. This act shall take effect immediately.