§ 147. Mentor-protege program. 1. In every state agency, department
and authority which has let more than ten million dollars in service and
construction contracts in the prior fiscal year, the chief executive
officer of that agency, department or authority shall develop a
mentor-protege program to foster long-term relationships between
approved mentor firms, and small business concerns and minority and
women-owned businesses certified pursuant to article fifteen-A of the
executive law, in order to enhance the capabilities of small and
minority and women-owned business concerns, improve their success in
contracting with the state or receiving subcontracts under a state
contract, and to create sources of reliable contractors and
subcontractors ready to perform larger jobs and responsibilities.
Participation in the program shall be voluntary for both the mentor firm
and the protege firm.

2. The chief executive officer of each agency, department or
authority, in consultation with the division of minority and women's
business development and the division for small-business shall develop
requirements for:

(a) approval of contractors participating in the program established
pursuant to subdivision one of this section, to be known, for the
purposes of such program, as "mentor firms". Mentor firms must
demonstrate commitment and ability to assist protege firms, including
favorable financial health, good character, and experience in
contracting with the state. Once approved, a mentor firm must annually
certify that it continues to possess good character and a favorable
financial position. Incentives for mentor firms to participate in the
program may include: (i) where contracts are awarded by best value,
additional evaluation points as specified in the request for proposal;
and (ii) where protege firms are certified minority and women-owned
businesses, credit towards fulfillment of minority and women-owned
business participation requirements, including without limitation
additional credit towards fulfillment of minority and women-owned
business subcontracting participation goals based on costs incurred by a
mentor firm in providing assistance to a certified minority and
women-owned business protege firm.

(b) approval for small and certified minority and women-owned business
concerns receiving assistance under the program established pursuant to
subdivision one of this section, to be known, for the purposes of such
program, as "protege firms". A protege firm may have only one mentor at
a time and may participate in the mentor-protege program for a maximum
of five years.

(c) a process by which each mentor firm, before providing assistance
to a protege firm under the program, shall enter into a mentor-protege
agreement regarding the assistance to be provided by the mentor firm,
for a period as determined by the chief executive officer of the agency,
department or authority. A mentor firm may provide a protege firm with
assistance and training in general business management; financial
management, engineering, safety and technical matters; bonding
assistance or bonding waivers; subcontracts; rent-free use of facilities
and/or equipment; joint venture arrangements; and any other assistance
as determined by the chief executive officer of the agency, department
or authority. Mentor-protege agreements shall be approved by the chief
executive officer of the agency, department or authority, and shall
provide that either party may terminate the agreement with thirty days
advance notice and notice to the chief executive officer. No
determination of affiliation or control may be found between a protege
firm and its mentor firm based on the mentor-protege agreement or any
assistance provided pursuant to such agreement.