S T A T E O F N E W Y O R K
________________________________________________________________________
7738
2023-2024 Regular Sessions
I N S E N A T E
November 3, 2023
___________
Introduced by Sen. SANDERS -- read twice and ordered printed, and when
printed to be committed to the Committee on Rules
AN ACT to amend the insurance law and the state finance law, in relation
to requiring insurers and companies contracting with the state to
report investments and profits from slavery and slaveholder insurance
policies issued during the slavery era
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. This act shall be known and may be cited as the "New York
slavery era business and state procurement disclosure act".
§ 2. The insurance law is amended by adding a new article 27-A to read
as follows:
ARTICLE 27-A
SLAVERY ERA INSURANCE POLICIES
SECTION 2751. DEFINITIONS.
2752. REPORTS FROM INSURERS.
2753. SUBSTANTIAL COMPLIANCE.
2754. RULES AND REGULATIONS.
§ 2751. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE:
(A) "CONTROL", "HOLDING COMPANY", AND "HOLDING COMPANY SYSTEM" AND ANY
OTHER TERMS USED IN THIS ARTICLE BUT NOT OTHERWISE DEFINED SHALL HAVE
THE SAME MEANINGS AS THEY HAVE IN ARTICLE FIFTEEN OF THIS CHAPTER.
(B) "INSURANCE POLICY" SHALL MEAN ANY POLICY OF INSURANCE SUBSTANTIAL-
LY SIMILAR TO ANY KIND OF INSURANCE THAT WAS AUTHORIZED AT ANY TIME IN
NEW YORK DURING THE SLAVERY ERA OR AUTHORIZED BY THE JURISDICTION IN
WHICH THE POLICY WAS SOLD AT THE TIME IT WAS SOLD, INCLUDING BUT NOT
LIMITED TO ANY FORM OF LIFE, ACCIDENT AND HEALTH, ANNUITIES, PROPERTY,
CASUALTY, EDUCATION OR DOWRY INSURANCE.
(C) "MEMBER OF A HOLDING COMPANY SYSTEM" SHALL HAVE THE SAME MEANING
AS IT HAS IN SUBSECTION (E) OF SECTION TWO THOUSAND SEVEN HUNDRED ONE OF
THIS CHAPTER.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD13479-03-3
S. 7738 2
(D) "DESCENDANT OF SLAVES" SHALL MEAN A PERSON WHOSE ANCESTORS WERE
DEFINED AS PRIVATE PROPERTY, DEHUMANIZED, DIVIDED FROM THEIR FAMILIES,
AND FORCED TO PERFORM LABOR WITHOUT APPROPRIATE COMPENSATION OR BENE-
FITS, AND WHOSE ANCESTORS' OWNERS WERE COMPENSATED FOR DAMAGES BY INSUR-
ERS.
§ 2752. REPORTS FROM INSURERS. (A) EVERY INSURER ORGANIZED, LICENSED,
REGISTERED OR ACCREDITED TO DO AN INSURANCE BUSINESS IN THIS STATE WHICH
HAD AN ANNUAL REVENUE OF AT LEAST ONE MILLION DOLLARS IN THE PRECEDING
YEAR SHALL REPORT OR SHALL CAUSE ITS HOLDING COMPANY TO REPORT TO THE
SUPERINTENDENT THE FOLLOWING INFORMATION:
(1) WHETHER IT IS A MEMBER OF A HOLDING COMPANY SYSTEM INCLUDING ANY
INSURER, ANY OTHER MEMBER, SUBSIDIARY OR DIVISION IN EACH CASE WHETHER A
LICENSEE OR NOT, THAT COULD POSSIBLY BE EXPECTED TO HAVE ISSUED AN
INSURANCE POLICY TO A SLAVEHOLDER DURING THE SLAVERY ERA THAT PROVIDED
COVERAGE FOR DAMAGE TO OR DEATH TO SUCH SLAVEHOLDERS' SLAVES AND A LIST
OF EACH SUCH ENTITY;
(2) IF REQUESTED BY THE SUPERINTENDENT AND TO THE EXTENT CONSISTENT
WITH APPLICABLE LAWS AND CONFIDENTIALITY OBLIGATIONS, WITH RESPECT TO
EACH SUCH INSURANCE POLICY, THE NAME OF THE OWNER, THE NAME OF THE BENE-
FICIARY AND THE FACE AMOUNT OR PAY-OUT VALUE;
(3) IF REQUESTED BY THE SUPERINTENDENT, AN EXPLANATION OF ANY DENIAL
OR PENDING REVIEW OF A REQUEST BY ANY PERSON WHO ALLEGES OR HAS ALLEGED
THAT HE OR SHE IS A DESCENDANT OF SLAVES TO DISCLOSE THE INFORMATION
REQUIRED TO BE REPORTED BY INSURERS PURSUANT TO THIS SUBSECTION;
(4) A SUMMARY OF THE LENGTH OF TIME FOR THE PROCESSING AND DISPOSITION
OF SUCH A REQUEST BY THE INSURER; AND
(5) IN THE EVENT THAT THE INSURER IS UNABLE TO PROVIDE ANY OF THE
INFORMATION REQUIRED BY THIS SECTION, AN EXPLANATION OF THE REASONS WHY
AND WHETHER SUCH INFORMATION MAY, IN THE FUTURE, BE ASCERTAINABLE. THE
REPORTS REQUIRED BY THIS SUBSECTION SHALL BE MADE WITHIN THIRTY DAYS
AFTER THE END OF THE CALENDAR YEAR IN WHICH THIS ARTICLE SHALL HAVE
BECOME EFFECTIVE AND ANNUALLY THEREAFTER, EXCEPT AS OTHERWISE PROVIDED
IN THIS SECTION.
(B) EVERY INSURER ORGANIZED, REGISTERED, ACCREDITED OR LICENSED TO DO
AN INSURANCE BUSINESS IN THIS STATE, WHICH HAD AN ANNUAL REVENUE OF AT
LEAST ONE MILLION DOLLARS IN THE PRECEDING YEAR, SHALL FILE OR SHALL
CAUSE ITS HOLDING COMPANY TO FILE WITH THE SUPERINTENDENT, WITHIN ONE
HUNDRED TWENTY DAYS OF THE EFFECTIVE DATE OF THIS ARTICLE, A REPORT
SETTING FORTH SUCH INSURER'S PLAN FOR COMPLYING WITH THE PROVISIONS OF
THIS ARTICLE. ANY INSURER WHICH HAS DETERMINED THAT IT DOES NOT HAVE ANY
OF THE INFORMATION REQUESTED IN SUBSECTION (A) OF THIS SECTION SHALL
FILE OR CAUSE ITS HOLDING COMPANY TO FILE A REPORT STATING THAT THEY
HAVE NO SUCH INFORMATION. IN ADDITION, AN INSURER MAY REQUEST TO BE
RELIEVED FROM FILING ANY FURTHER REPORTS UPON PROVIDING EVIDENCE SATIS-
FACTORY TO THE SUPERINTENDENT THAT SUCH INSURER HAS FULFILLED ITS
OBLIGATIONS UNDER THIS ARTICLE.
(C) REPORTS SUBMITTED TO THE SUPERINTENDENT PURSUANT TO THIS SECTION
SHALL BE CERTIFIED AND AFFIRMED UNDER OATH AS BEING TRUE AND NOT
MISLEADING AND AS CONTAINING THE MOST ACCURATE INFORMATION AVAILABLE AT
THE TIME OF SUCH REPORT'S SUBMISSION.
(D) THE SUPERINTENDENT IS AUTHORIZED TO USE ANY POWER AVAILABLE TO THE
STATE TO COMPEL HOLDING COMPANY SYSTEMS THAT INCLUDE ISSUERS OF INSUR-
ANCE POLICIES TO SLAVEHOLDERS TO SUBMIT REPORTS PURSUANT TO THIS ARTICLE
AND TO COMPLY WITH THE PROVISIONS OF THIS ARTICLE.
S. 7738 3
(E) ANY INSURER WHICH KNOWINGLY OR RECKLESSLY FILES A FALSE OR
MISLEADING CERTIFICATION REQUIRED BY THIS SECTION MAY BE BARRED FROM
FURTHER SALES OF INSURANCE IN NEW YORK FOR A PERIOD OF UP TO TEN YEARS.
§ 2753. SUBSTANTIAL COMPLIANCE. AN INSURER WHICH, PURSUANT TO THE LAWS
OF ANOTHER JURISDICTION IS REQUIRED (OR WHOSE HOLDING COMPANY IS
REQUIRED) TO REPORT, CERTIFY OR OTHERWISE DISCLOSE INFORMATION SUBSTAN-
TIALLY EQUIVALENT TO THAT REQUIRED BY SECTION TWO THOUSAND SEVEN HUNDRED
FIFTY-TWO OF THIS ARTICLE, MAY SATISFY THE REQUIREMENTS OF SECTION TWO
THOUSAND SEVEN HUNDRED FIFTY-TWO OF THIS ARTICLE BY FILING WITH THE
SUPERINTENDENT WITHIN THE APPLICABLE PERIODS PRESCRIBED HEREUNDER,
COPIES OF SUCH MATERIAL FILED WITH SUCH JURISDICTION. THE DETERMINATION
AS TO WHETHER THE REQUIREMENTS OF A GIVEN JURISDICTION ARE SUBSTANTIALLY
EQUIVALENT TO THOSE OF SECTION TWO THOUSAND SEVEN HUNDRED FIFTY-TWO OF
THIS ARTICLE SHALL BE MADE BY THE SUPERINTENDENT IN HIS OR HER
DISCRETION. THE SUPERINTENDENT MAY REQUIRE THAT ANY SUCH FILING BE
SUPPLEMENTED BY A SCHEDULE OR INDEX REFERRING TO THE SPECIFIC REQUIRE-
MENTS OF SECTION TWO THOUSAND SEVEN HUNDRED FIFTY-TWO OF THIS ARTICLE OR
THE REGULATIONS PROMULGATED THEREUNDER.
§ 2754. RULES AND REGULATIONS. THE SUPERINTENDENT, BY REGULATION,
SHALL PROVIDE FOR THE IMPLEMENTATION OF THE PROVISIONS OF THIS ARTICLE
AND FOR FACILITATING, MONITORING AND VERIFYING COMPLIANCE WITH THIS
ARTICLE.
§ 3. The state finance law is amended by adding a new section 165-b to
read as follows:
§ 165-B. SLAVERY ERA FINANCING DISCLOSURE. 1. AS USED IN THIS SECTION,
THE FOLLOWING DEFINITIONS SHALL APPLY:
(A) "INVESTMENT" SHALL HAVE THE SAME MEANING AS SET FORTH IN PARAGRAPH
(C) OF SUBDIVISION ONE OF SECTION ONE HUNDRED SIXTY-FIVE-A OF THIS ARTI-
CLE.
(B) (1) "PERSON" MEANS ANY OF THE FOLLOWING:
(A) A NATURAL PERSON, CORPORATION, COMPANY, LIMITED LIABILITY COMPANY,
BUSINESS ASSOCIATION, PARTNERSHIP, SOCIETY, TRUST, OR ANY OTHER NONGOV-
ERNMENTAL ENTITY, ORGANIZATION, OR GROUP.
(B) ANY GOVERNMENTAL ENTITY OR INSTRUMENTALITY OF A GOVERNMENT,
INCLUDING A MULTILATERAL DEVELOPMENT INSTITUTION, AS DEFINED IN SECTION
1701(C)(3) OF THE INTERNATIONAL FINANCIAL INSTITUTIONS ACT (22 U.S.C.
262R(C)(3)).
(C) ANY SUCCESSOR, SUBUNIT, PARENT ENTITY, OR SUBSIDIARY OF, OR ANY
ENTITY UNDER COMMON OWNERSHIP OR CONTROL WITH, ANY ENTITY DESCRIBED IN
CLAUSE (A) OR (B) OF THIS SUBPARAGRAPH.
(2) FOR THE PURPOSES OF THIS SECTION "PERSON" SHALL ONLY MEAN AND
INCLUDE ENTITIES WITH AN ANNUAL REVENUE OF AT LEAST ONE MILLION DOLLARS
FOR THE CALENDAR YEAR PRIOR TO THE SUBMISSION OF A BID FOR OR RENEWAL OF
A STATE CONTRACT.
(C) "SLAVERY ERA FINANCING" MEANS INVESTMENTS OR PROFITS FROM SLAVERY
OR SLAVEHOLDER INSURANCE POLICIES DURING THE SLAVERY ERA.
2. (A) NOT LATER THAN ONE HUNDRED TWENTY DAYS AFTER THE EFFECTIVE DATE
OF THIS SECTION, THE COMMISSIONER SHALL DEVELOP OR CONTRACT TO DEVELOP,
USING CREDIBLE INFORMATION AVAILABLE TO THE PUBLIC, A LIST OF PERSONS
THE COMMISSIONER DETERMINES ENGAGED IN SLAVERY ERA FINANCING. IF THE
COMMISSIONER HAS CONTRACTED TO DEVELOP THE LIST, THE LIST SHALL BE
FINALLY DEVELOPED NOT LATER THAN ONE HUNDRED TWENTY DAYS AFTER THIS
SECTION SHALL TAKE EFFECT. SUCH LIST, WHEN COMPLETED, SHALL BE POSTED
ON THE WEBSITE OF THE OFFICE OF GENERAL SERVICES.
(B) THE COMMISSIONER SHALL UPDATE THE LIST EVERY ONE HUNDRED EIGHTY
DAYS.
S. 7738 4
(C) THE COMMISSIONER SHALL MAKE EVERY EFFORT TO AVOID ERRONEOUSLY
INCLUDING A PERSON ON THE LIST.
3. (A) A STATE AGENCY SHALL REQUIRE A PERSON THAT SUBMITS A BID OR
OFFER IN RESPONSE TO A NOTICE OF PROCUREMENT, OR THAT PROPOSES TO RENEW
AN EXISTING PROCUREMENT CONTRACT WITH A STATE AGENCY OR PROPOSES TO
ASSUME THE RESPONSIBILITY OF A CONTRACTOR PURSUANT TO A PROCUREMENT
CONTRACT WITH A STATE AGENCY OR OTHERWISE PROPOSES TO ENTER INTO A
CONTRACT WITH A STATE AGENCY WITH RESPECT TO A CONTRACT FOR COMMODITIES,
SERVICES, CONSTRUCTION, OR CONTRACTS ENTERED PURSUANT TO SECTION SEVEN
OF THE NEW YORK STATE PRINTING AND PUBLIC DOCUMENTS LAW, SECTION EIGHT
OF THE PUBLIC BUILDINGS LAW, OR SECTION THIRTY-EIGHT OF THE HIGHWAY LAW,
TO CERTIFY, AT THE TIME THE BID IS SUBMITTED OR THE CONTRACT IS RENEWED
OR ASSIGNED, THAT THE PERSON OR THE ASSIGNEE HAS SEARCHED ANY AND ALL
RECORDS OF SUCH PERSON OR ASSIGNEE, AND ANY PREDECESSOR OF SUCH PERSON
OR ASSIGNEE, REGARDING RECORDS OF SLAVERY ERA FINANCING, AND THAT SUCH
PERSON IS NOT IDENTIFIED ON THE LIST CREATED PURSUANT TO PARAGRAPH (A)
OF SUBDIVISION TWO OF THIS SECTION. A STATE AGENCY SHALL INCLUDE SUCH
CERTIFICATION INFORMATION IN THE PROCUREMENT RECORD.
(B) A PERSON THAT SUBMITS A BID OR OFFER IN RESPONSE TO A NOTICE OF
PROCUREMENT OR THAT PROPOSES TO RENEW AN EXISTING PROCUREMENT CONTRACT
WITH A STATE AGENCY OR PROPOSES TO ASSUME THE RESPONSIBILITY OF A
CONTRACTOR PURSUANT TO A PROCUREMENT CONTRACT WITH A STATE AGENCY, OR
OTHERWISE PROPOSES TO ENTER INTO A CONTRACT WITH A STATE AGENCY WITH
RESPECT TO A CONTRACT FOR COMMODITIES, SERVICES, CONSTRUCTION, OR
CONTRACTS ENTERED PURSUANT TO SECTION SEVEN OF THE NEW YORK STATE PRINT-
ING AND PUBLIC DOCUMENTS LAW, SECTION EIGHT OF THE PUBLIC BUILDINGS LAW,
OR SECTION THIRTY-EIGHT OF THE HIGHWAY LAW SHALL NOT UTILIZE, ON THE
CONTRACT WITH THE STATE AGENCY, ANY SUBCONTRACTOR THAT IS IDENTIFIED ON
THE LIST CREATED PURSUANT TO PARAGRAPH (A) OF SUBDIVISION TWO OF THIS
SECTION.
4. UPON RECEIVING INFORMATION THAT A PERSON WHO HAS MADE THE CERTIF-
ICATION REQUIRED BY SUBDIVISION THREE OF THIS SECTION IS IN VIOLATION
THEREOF, THE STATE AGENCY SHALL TAKE SUCH ACTION AS MAY BE APPROPRIATE
AND PROVIDED FOR BY LAW, RULE OR CONTRACT, INCLUDING, BUT NOT LIMITED
TO, IMPOSING SANCTIONS, SEEKING COMPLIANCE, RECOVERING DAMAGES OR
DECLARING THE CONTRACTOR IN DEFAULT.
5. THE COMMISSIONER SHALL REPORT THE LIST CREATED PURSUANT TO PARA-
GRAPH (A) OF SUBDIVISION TWO OF THIS SECTION TO THE GOVERNOR AND THE
LEGISLATURE ANNUALLY ON OR BEFORE OCTOBER FIRST.
§ 4. Severability clause. If any clause, sentence, paragraph, subdivi-
sion, section or part of this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment shall not affect,
impair, or invalidate the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph, subdivision, section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the legislature that this act would have been enacted even if such
invalid provisions had not been included therein.
§ 5. This act shall take effect on the ninetieth day after it shall
have become a law. Effective immediately, the addition, amendment and/or
repeal of any rule or regulation necessary for the implementation of
this act on its effective date are authorized to be made and completed
on or before such effective date.
