NY State Senate Bill 2023-S8139

Senate Bill S8139

2023-2024 Legislative Session

Relates to reciprocity between the state and New York city for businesses that are certified as minority and women-owned business enterprises

download bill text pdf

Current Bill Status - On Floor Calendar

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 07, 2024	ordered to third reading rules cal.581 substituted for a10324a
Jun 06, 2024	referred to ways and means delivered to assembly passed senate
Jun 03, 2024	amended on third reading 8139a
Feb 28, 2024	advanced to third reading
Feb 27, 2024	2nd report cal.
Feb 26, 2024	1st report cal.504
Jan 09, 2024	referred to procurement and contracts

Votes

- Jun 6, 2024 - Floor Vote
  S8139
  
  61
  
  Aye
  
  0
  
  Nay
  
  0
  
  Absent
  
  1
  
  Excused
  
  0
  
  Abstained
  - - Floor Vote: Jun 6, 2024
      
      aye (61)
      
      Addabbo Jr.
      
      Ashby
      
      Bailey
      
      Borrello
      
      Breslin
      
      Brisport
      
      Brouk
      
      Canzoneri-Fitzpatrick
      
      Chu
      
      Cleare
      
      Comrie
      
      Cooney
      
      Felder
      
      Fernandez
      
      Gallivan
      
      Gianaris
      
      Gonzalez
      
      Gounardes
      
      Griffo
      
      Harckham
      
      Helming
      
      Hinchey
      
      Hoylman-Sigal
      
      Jackson
      
      Kavanagh
      
      Krueger
      
      Lanza
      
      Liu
      
      Mannion
      
      Martinez
      
      Martins
      
      Mattera
      
      May
      
      Mayer
      
      Murray
      
      Myrie
      
      O'Mara
      
      Oberacker
      
      Ortt
      
      Palumbo
      
      Parker
      
      Persaud
      
      Ramos
      
      Rhoads
      
      Rivera
      
      Rolison
      
      Ryan
      
      Salazar
      
      Sanders Jr.
      
      Scarcella-Spanton
      
      Sepúlveda
      
      Serrano
      
      Skoufis
      
      Stavisky
      
      Stec
      
      Stewart-Cousins
      
      Tedisco
      
      Thomas
      
      Webb
      
      Weber
      
      Weik
      
      excused (1)
      
      Walczyk
  Feb 26, 2024 - Procurement And Contracts Committee Vote
  S8139
  
  6
  
  Aye
  
  1
  
  Nay
  
  0
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Procurement And Contracts Committee Vote: Feb 26, 2024
      
      aye (6)
      
      Cooney
      
      Gonzalez
      
      Rolison
      
      Sanders Jr.
      
      Stavisky
      
      Webb
      
      nay (1)
      
      Martins

Bill Amendments

Original

A (Active)

co-Sponsors

2023-S8139 - Details

Law Section:: Executive Law
Laws Affected:: Amd §314, Exec L

2023-S8139 - Summary

Authorizes the director of the division of minority and women's business development and the mayor of the city of New York to enter into a memorandum of understanding to allow reciprocity between the state and New York City for businesses that are certified as minority and women-owned business enterprises.

2023-S8139 - Sponsor Memo

                                 
BILL NUMBER: S8139

SPONSOR: SANDERS
 
TITLE OF BILL:

An act to amend the executive law, in relation to reciprocal minority
and women-owned business enterprise certification

 
SUMMARY OF PROVISIONS:

This act contains two sections. Section one of the act would amend
subdivision 2-a of section 314 of the Executive Law by adding a new
paragraph (d), which would provide that the Director of the Division of
Minority and Women's Business Development of the New York State Depart-
ment of Economic Development (better known as Empire State Development
("ESD")) and the Mayor of a city with a population greater than
1,000,000 persons may enter into a memorandum of understanding providing
for the reciprocal acceptance of minority and women-owned business
enterprise ("MWBE") certification between an MWBE program operated by
such city and the New York State MWBE program operated by ESD. This
paragraph would authorize this memorandum of understanding to include
one or more exemptions where such exemptions are in the best interest of
both programs. This paragraph would also clarify that this memorandum of

understanding would not restrict each program from amending their
respective certification standards and processes.

Section two of the act provides that the act would take effect 270 days
after it becomes law, provided that the amendments made by section one
of this act would not affect the expiration of article 15-A of the Exec-
utive Law pursuant to chapter 261 of the laws of 1988, as amended, and
would expire and be deemed repealed along with article 15-A.

 
REASONS FOR SUPPORT:

The most recent disparity studies conducted by both the State of New
York ("State") and the City of New York ("City") demonstrate that
discrimination continues to affect MWBEs seeking to do business in the
markets where the City and the State conduct their procurements.  The
State and City are committed to addressing these disparities by operat-
ing MWBE programs that encourage the participation of MWBEs in their
respective procurements. The pool of firms that wish to participate in
procurements at both the City and State level is significant: more than
40% of firms certified by the State are also certified by the City.

Currently, the process to establish and to maintain certification at
both levels of government can be administratively burdensome for MWBEs.
These separate and duplicative processes lead to cost, confusion, and
lost opportunities for MWBEs and complicate the work of all entities
-including government agencies, prime vendors, and other private sector
entities- seeking to do business with MWBEs. By authorizing reciprocal
certification, this act would enable the establishment of a procedure
focused on coordination and partnership between the City and State, and
would eliminate the layered administrative burdens current imposed by
the existing regulatory landscape. This change would increase the
success of both the City's and the State's MWBE programs.

Accordingly, the Mayor urges the earliest possible favorable consider-
ation of this proposal by the Legislature.

2023-S8139 - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8139
 
                             I N  S E N A T E
 
                              January 9, 2024
                                ___________
 
 Introduced  by  Sen. SANDERS -- read twice and ordered printed, and when
   printed to be committed to the Committee on Procurement and Contracts
 
 AN ACT to amend the executive law, in relation  to  reciprocal  minority
   and women-owned business enterprise certification
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. Subdivision 2-a of section 314  of  the  executive  law  is
 amended by adding a new paragraph (d) to read as follows:
   (D)  NOTWITHSTANDING  ANY  OTHER  PROVISION OF LAW, THE DIRECTOR AND A
 CITY WITH A POPULATION GREATER THAN ONE MILLION PERSONS, ACTING  THROUGH
 ITS  MAYOR, MAY ENTER INTO A MEMORANDUM OF UNDERSTANDING SETTING FORTH A
 PROCEDURE THROUGH WHICH: (I) SUCH CITY SHALL ACCEPT AN APPLICANT'S STATE
 CERTIFICATION VERIFICATION  IN  LIEU  OF  REQUIRING  SUCH  APPLICANT  TO
 COMPLETE  SUCH  CITY'S PROCESS FOR CERTIFICATION AS A MINORITY OR WOMEN-
 OWNED BUSINESS ENTERPRISE OR MEET THE CERTIFICATION  STANDARDS  OF  SUCH
 CITY'S  MINORITY  AND  WOMEN-OWNED BUSINESS ENTERPRISE PROGRAM; AND (II)
 THE OFFICE SHALL ACCEPT AN APPLICANT'S CITY  CERTIFICATION  VERIFICATION
 IN  LIEU  OF  REQUIRING AN APPLICANT TO COMPLETE THE PROCESS FOR CERTIF-
 ICATION AS A MINORITY OR WOMEN-OWNED BUSINESS  ENTERPRISE  OR  MEET  THE
 APPLICABLE  CERTIFICATION STANDARDS SET FORTH IN THIS ARTICLE; PROVIDED,
 HOWEVER, THAT SUCH MEMORANDUM OF UNDERSTANDING MAY INCLUDE ONE  OR  MORE
 EXCEPTIONS  IN CIRCUMSTANCES WHERE THE DIRECTOR AND SUCH MAYOR DETERMINE
 THAT SUCH EXCEPTIONS WOULD BE IN THE BEST INTERESTS OF BOTH SUCH  CITY'S
 PROGRAM  AND  THE PROGRAM ESTABLISHED PURSUANT TO THIS ARTICLE.  NOTHING
 IN THIS PARAGRAPH SHALL BE CONSTRUED TO LIMIT THE DIRECTOR OR SUCH  CITY
 FROM  AMENDING  THEIR  RESPECTIVE  PROCESSES OR STANDARDS FOR CERTIFYING
 MINORITY AND WOMEN-OWNED BUSINESS ENTERPRISES.
   § 2. This act shall take effect on  the  two  hundred  seventieth  day
 after it shall have become a law; provided, however, that the amendments
 to  subdivision  2-a of section 314 of the executive law made by section
 one of this act shall not affect the repeal of article 15-A of the exec-
 utive law pursuant to chapter 261 of the laws of 1988, as  amended,  and
 shall be deemed repealed therewith.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11217-01-3

co-Sponsors

2023-S8139A (ACTIVE) - Details

Law Section:: Executive Law
Laws Affected:: Amd §314, Exec L

2023-S8139A (ACTIVE) - Summary

2023-S8139A (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S8139A

SPONSOR: SANDERS
 
TITLE OF BILL:

An act to amend the executive law, in relation to reciprocal minority
and women-owned business enterprise certification

 
SUMMARY OF PROVISIONS:

This act contains two sections. Section one of the act would amend
subdivision 2-a of section 314 of the Executive Law by adding a new
paragraph (d), which would provide that the Director of the Division of
Minority and Women's Business Development of the New York State Depart-
ment of Economic Development (better known as Empire State Development
("ESD")) and the Mayor of a city with a population greater than
1,000,000 persons may enter into a memorandum of understanding providing
for the reciprocal acceptance of minority and women-owned business
enterprise ("MWBE") certification between an MWBE program operated by
such city and the New York State MWBE program operated by ESD. This
paragraph would authorize this memorandum of understanding to include
one or more exemptions where such exemptions are in the best interest of
both programs. This paragraph would also clarify that this memorandum of

understanding would not restrict each program from amending their
respective certification standards and processes.

Section two of the act provides that the act would take effect 270 days
after it becomes law, provided that the amendments made by section one
of this act would not affect the expiration of article 15-A of the Exec-
utive Law pursuant to chapter 261 of the laws of 1988, as amended, and
would expire and be deemed repealed along with article 15-A.

 
REASONS FOR SUPPORT:

The most recent disparity studies conducted by both the State of New
York ("State") and the City of New York ("City") demonstrate that
discrimination continues to affect MWBEs seeking to do business in the
markets where the City and the State conduct their procurements.  The
State and City are committed to addressing these disparities by operat-
ing MWBE programs that encourage the participation of MWBEs in their
respective procurements. The pool of firms that wish to participate in
procurements at both the City and State level is significant: more than
40% of firms certified by the State are also certified by the City.

Currently, the process to establish and to maintain certification at
both levels of government can be administratively burdensome for MWBEs.
These separate and duplicative processes lead to cost, confusion, and
lost opportunities for MWBEs and complicate the work of all entities
-including government agencies, prime vendors, and other private sector
entities- seeking to do business with MWBEs. By authorizing reciprocal
certification, this act would enable the establishment of a procedure
focused on coordination and partnership between the City and State, and
would eliminate the layered administrative burdens current imposed by
the existing regulatory landscape. This change would increase the
success of both the City's and the State's MWBE programs.

Accordingly, the Mayor urges the earliest possible favorable consider-
ation of this proposal by the Legislature.

2023-S8139A (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  8139--A
     Cal. No. 504
 
                             I N  S E N A T E
 
                              January 9, 2024
                                ___________
 
 Introduced  by  Sens. SANDERS, FERNANDEZ, PARKER, WEBB -- read twice and
   ordered printed, and when printed to be committed to the Committee  on
   Procurement  and  Contracts -- 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 executive law, in relation  to  reciprocal  minority
   and women-owned business enterprise certification
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraphs (a) and (b) of subdivision 2-a of section 314 of
 the executive law, as amended by chapter 96 of the laws of 2019, subpar-
 agraph (i) of paragraph (a) as amended by chapter 669  of  the  laws  of
 2022, are amended to read as follows:
   (a)  The director shall establish a procedure [enabling] REQUIRING the
 office to accept New York municipal corporation certification  verifica-
 tion for minority and women-owned business enterprise applicants in lieu
 of  requiring  the applicant to complete the state certification process
 SEPARATELY.  [The] ANY MUNICIPAL CORPORATION THAT CHOOSES  TO  USE  SUCH
 PROCEDURE SHALL FIRST ENTER INTO A MEMORANDUM OF UNDERSTANDING REGARDING
 ACCEPTANCE OF SUCH MUNICIPAL CORPORATION CERTIFICATION VERIFICATION WITH
 THE  OFFICE,  AND THE director shall promulgate rules and regulations to
 set forth criteria for the acceptance of municipal  corporation  certif-
 ication.  [All  eligible municipal corporation certifications] AN APPLI-
 CANT CERTIFIED IN LIEU OF COMPLETING  THE  STATE  CERTIFICATION  PROCESS
 SEPARATELY  PURSUANT TO THIS SECTION shall [require] MEET THE DEFINITION
 OF A MINORITY-OWNED business [enterprises seeking certification to  meet
 the following standards:
   (i)  have  at  least fifty-one percent ownership by a minority] ENTER-
 PRISE or a women-owned BUSINESS  enterprise  [and  be  owned  by  United
 States citizens or permanent resident noncitizens;
   (ii)  be  an  enterprise  in which the minority and/or women-ownership
 interest is real, substantial and continuing;

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

                                                            LBD11217-05-4
 S. 8139--A                          2

   (iii) be an enterprise in which the  minority  and/or  women-ownership
 has  and exercises the authority to control independently the day-to-day
 business decisions of the enterprise;
   (iv) be an enterprise authorized to do business in this state;
   (v)  be  subject to a physical site inspection to verify the fifty-one
 percent ownership requirement;
   (vi) be owned  by  an  individual  or  individuals,  whose  ownership,
 control and operation are relied upon for certification, with a personal
 net  worth  that  does not exceed fifteen million dollars and such other
 amount as the director shall set forth in regulations, as adjusted annu-
 ally for inflation according to the consumer price index; and
   (vii) be an enterprise that is a small business pursuant  to  subdivi-
 sion  twenty of] AS SET FORTH IN section three hundred ten of this arti-
 cle IN ORDER TO RECEIVE STATE CERTIFICATION.
   (b) The director shall work with all municipal corporations that  have
 a  municipal  minority  and  women-owned  business enterprise program to
 develop standards to accept state certification to  meet  the  municipal
 corporation  minority  and women-owned business enterprise certification
 standards WHENEVER A MUNICIPAL  CORPORATION  REQUESTS  ASSISTANCE.  UPON
 ENTERING INTO A MEMORANDUM OF UNDERSTANDING PURSUANT TO PARAGRAPH (A) OF
 THIS SUBDIVISION, EACH MUNICIPAL CORPORATION THAT HAS A MUNICIPAL MINOR-
 ITY AND WOMEN-OWNED BUSINESS ENTERPRISE PROGRAM SHALL ESTABLISH A PROCE-
 DURE REQUIRING SUCH MUNICIPALITY TO ACCEPT STATE CERTIFICATION VERIFICA-
 TION FOR MINORITY AND WOMEN-OWNED BUSINESS ENTERPRISE APPLICANTS IN LIEU
 OF  REQUIRING APPLICANTS TO APPLY TO EACH ENTITY SEPARATELY. THE MUNICI-
 PAL CORPORATION SHALL DEVELOP RULES AND REGULATIONS IN ORDER  TO  ACCEPT
 STATE CERTIFICATION IN SITUATIONS WHERE AN APPLICANT WHO IS CERTIFIED AS
 A  MINORITY  OR  WOMEN-OWNED  BUSINESS ENTERPRISE PURSUANT TO THE LAW OR
 RULE FOR SUCH MUNICIPAL CORPORATION'S CERTIFICATION PROGRAM  ALSO  MEETS
 THE  DEFINITION  OF  A MINORITY-OWNED BUSINESS ENTERPRISE OR WOMEN-OWNED
 BUSINESS ENTERPRISE AS SET FORTH IN SECTION THREE HUNDRED  TEN  OF  THIS
 ARTICLE.
   §  2.  This  act  shall  take effect on the two hundred seventieth day
 after it shall have become a law; provided, however, that the amendments
 to paragraphs (a) and (b) of subdivision 2-a of section 314 of the exec-
 utive law made by section one of this act shall not affect the repeal of
 such section and shall be deemed repealed therewith.

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Senate Bill S8139

Share this bill

Sponsored By

James Sanders Jr.

Current Bill Status - On Floor Calendar

Bill Amendments

co-Sponsors

Nathalia Fernandez

Kevin S. Parker

Lea Webb

2023-S8139 - Details

2023-S8139 - Summary

2023-S8139 - Sponsor Memo

2023-S8139 - Bill Text download pdf

co-Sponsors

Nathalia Fernandez

Kevin S. Parker

Lea Webb

2023-S8139A (ACTIVE) - Details

2023-S8139A (ACTIVE) - Summary

2023-S8139A (ACTIVE) - Sponsor Memo

2023-S8139A (ACTIVE) - Bill Text download pdf

Comments