Senator Johnson's Bill to Disqualify Terror Companies From Obtaining State Contracts Passes Senate

Craig M. Johnson

July 1, 2010

Important legislation sponsored by Senator Craig M.Johnson, (D-Nassau),
that will prevent the state from contracting with companies that conduct
business with state sponsors of terror, was unanimously passed by the State
Senate yesterday.

“These countries support terrorist organizations that seek to kill
Americans, wipe Israel off the map and undermine our democratic values,”
Senator Johnson said. “This legislation will help us ensure that none of our
tax dollars support those who support these rouge nations.”

Under this measure (S.5538A), companies that seek to bid on a state contract
must disclose if they, or any of their subsidiaries, do business with
nations that the U.S. State Department identify as a state sponsor of
terror. That list currently includes Iran, Syria, Sudan and Cuba.

If such ties do exist, the state would be able to disqualify these
companies' application, even if they are the lowest bidder.

The bill has been delivered to the Assembly.

In 2007, Senator Johnson introduced the Iranian Divestment Act, and became
the first member of the State Legislature to call for a prohibition of state
pension fund investments in companies that conduct business with the current
Iranian government. That strategy was later adopted by State Comptroller Tom
DiNapoli.

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