Bill Text: NY A00059 | 2011-2012 | General Assembly | Introduced


Bill Title: Includes net economic impact as a factor to consider in awarding state procurement contracts.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2012-01-04 - referred to governmental operations [A00059 Detail]

Download: New_York-2011-A00059-Introduced.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                          59
                              2011-2012 Regular Sessions
                                 I N  A S S E M B L Y
                                      (PREFILED)
                                    January 5, 2011
                                      ___________
       Introduced by M. of A. CAHILL -- read once and referred to the Committee
         on Governmental Operations
       AN ACT to amend the state finance law, the economic development law, the
         general  municipal  law and the public authorities law, in relation to
         considering net economic impact in procurement contracts
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.  Short  title. This act shall be known and may be cited as
    2  the "competitive procurement act".
    3    S 2. Legislative findings. The legislature hereby finds that in  order
    4  to  assure the economically sound use of public funds for the benefit of
    5  the entire state and to facilitate the  acquisition  of  facilities  and
    6  commodities  of  maximum quality, this article shall require the negoti-
    7  ation  of  such  procurement  contracts  for  public  works  and  public
    8  purchases to make the net economic impact of such contract a priority in
    9  awarding such procurement contracts. Although the economic impact tradi-
   10  tionally  includes  evaluation  of  the  direct,  indirect,  and induced
   11  impacts of a contract on the economy  of  this  state,  the  legislature
   12  further  finds that the "net economic impact" must include consideration
   13  of the lowest responsible bid and best  value  as  additional  component
   14  criteria in determining the overall economic impact of a contract on the
   15  state's  economy.  Therefore,  it  is  in  the public's best interest to
   16  incorporate the lowest responsible bid and best value criteria into  the
   17  net  economic  impact  criterion in order to award the most economically
   18  viable procurement contracts in New York state.
   19    S 3. The state finance law is amended by adding a new section 139-l to
   20  read as follows:
   21    S 139-L. NET ECONOMIC IMPACT IN PROCUREMENT CONTRACTS.    1.  NOTWITH-
   22  STANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, WHERE A CONTRACT IS
   23  TO BE AWARDED BY A STATE AGENCY, PUBLIC AUTHORITY OR MUNICIPALITY PURSU-
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD01079-01-1
       A. 59                               2
    1  ANT  TO A COMPETITIVE BIDDING PROCESS OR A REQUEST FOR PROPOSAL PROCESS,
    2  SUCH STATE AGENCY, PUBLIC AUTHORITY OR MUNICIPALITY SHALL  REQUIRE  THAT
    3  ANY  PROPOSAL  SUBMITTED BY A PROSPECTIVE CONTRACTOR IN RESPONSE THERETO
    4  INCLUDE  AN  ECONOMIC  IMPACT  STATEMENT  DETAILING  HOW AN AWARD OF THE
    5  CONTRACT TO THE PARTICULAR CONTRACTOR WOULD BENEFIT THE ECONOMY  OF  NEW
    6  YORK STATE AND SHALL PROVIDE THAT NET ECONOMIC IMPACT WILL BE CONSIDERED
    7  IN  MAKING THE AWARD. THE WEIGHT TO BE GIVEN TO SUCH NET ECONOMIC IMPACT
    8  CRITERION RELATIVE TO OTHER CRITERIA USED  TO  EVALUATE  THE  PROPOSALS,
    9  INCLUDING  LOWEST RESPONSIBLE BIDDER AND BEST VALUE, SHALL BE DETERMINED
   10  BY THE CONTRACTING AGENCY, AUTHORITY OR MUNICIPALITY ON A CASE  BY  CASE
   11  BASIS.  THE  STATE  AGENCY, PUBLIC AUTHORITY, OR MUNICIPALITY SHALL GIVE
   12  PRIORITY TO THE NET ECONOMIC IMPACT CRITERION WHEREVER  PRACTICABLE  AND
   13  SET FORTH THE BASIS FOR ITS AWARD IN WRITING.
   14    2.  FOR  THE  PURPOSES OF THIS SECTION, THE FOLLOWING TERMS SHALL HAVE
   15  THE FOLLOWING DEFINITIONS:
   16    (A) "NET ECONOMIC IMPACT" MEANS THE MEASURE  OF  ECONOMIC  STIMULATION
   17  THAT  OCCURS  FROM PURCHASING TRANSACTIONS THAT HAVE OCCURRED WITHIN THE
   18  LOCAL ECONOMY OF NEW YORK STATE AND  THE  LOWEST  RESPONSIBLE  BID.  NET
   19  ECONOMIC  IMPACT SHALL BE MEASURED BY DIRECT IMPACT, INDIRECT IMPACT AND
   20  INDUCED IMPACT, AS WELL AS LOWEST RESPONSIBLE BID AND BEST VALUE,  WHICH
   21  ARE DEFINED AS:
   22    (1)  "DIRECT  IMPACT"  MEANS  THE  AMOUNT  OF DIRECT ECONOMIC ACTIVITY
   23  GENERATED BY THE PURCHASING TRANSACTION, OR  BUSINESS  TRANSACTIONS,  IN
   24  QUESTION.  THE  SETS  OF  NUMBERS  USED TO DETERMINE DIRECT IMPACT ARE A
   25  RESULT OF DEVELOPING PER CAPITA NUMBERS BASED ON  ACTUAL  ECONOMIC  DATA
   26  SUPPLIED BY TRANSACTION MANAGEMENT, ATTENDANCE FIGURES, AND OTHER FINAN-
   27  CIAL  INFORMATION  FOR  ALL  TRANSACTION-RELATED  ACTIVITIES, AS WELL AS
   28  USING AVAILABLE TRANSACTION  INDUSTRY  AVERAGE  PER  CAPITA  EXPENDITURE
   29  LEVELS FOR VARIOUS ITEMS.
   30    (2) "INDIRECT IMPACT" INCLUDES ECONOMIC ACTIVITY FELT BY BUSINESSES AS
   31  AN INDIRECT RESULT OF THE PURCHASING OR BUSINESS TRANSACTION.
   32    (3)  "INDUCED  IMPACT"  IS THE IMPACT GENERATED WHEN THOSE SURROUNDING
   33  BUSINESSES PURCHASE ADDITIONAL PRODUCTS  AND  SERVICES,  AND  HIRE  MORE
   34  EMPLOYEES TO MEET THE DEMAND BROUGHT ON BY DIRECT AND INDIRECT IMPACTS.
   35    (4)  "LOWEST  RESPONSIBLE BIDDER" MEANS ANY PERSON, FIRM, CORPORATION,
   36  SUCCESSOR CORPORATION, CONTRACTOR OR SUBCONTRACTOR WHO (I)  SUBMITS  THE
   37  LOWEST  RESPONSIBLE  BID  AND  (II)  IS  NOT  DISQUALIFIED ON ANY OF THE
   38  GROUNDS PROVIDED BY LAW, RULE OR REGULATION.
   39    (5) "BEST VALUE" MEANS THE SAME AS IN SUBDIVISION ONE OF  SECTION  ONE
   40  HUNDRED SIXTY-THREE OF THIS CHAPTER.
   41    (B) "MUNICIPALITY" SHALL MEAN ANY CITY, TOWN, VILLAGE, COUNTY, MUNICI-
   42  PAL  CORPORATION,  DISTRICT CORPORATION, DISTRICT OR ANY OFFICE, DEPART-
   43  MENT OR AGENCY, THEREOF.
   44    (C) "STATE AGENCY" SHALL, NOTWITHSTANDING ANY OTHER PROVISION OF  LAW,
   45  MEAN  ANY  STATE  DEPARTMENT,  BOARD, BUREAU, DIVISION, OFFICE, COUNCIL,
   46  COMMITTEE OR OFFICER OF THE STATE, OR THE STATE UNIVERSITY OF NEW  YORK,
   47  OR THE SENIOR COLLEGES OF THE CITY UNIVERSITY OF NEW YORK, OR ANY PUBLIC
   48  BENEFIT  CORPORATION  OR  COMMISSION  AT  LEAST ONE OF WHOSE MEMBERS ARE
   49  APPOINTED BY THE GOVERNOR.
   50    3. THE COMPTROLLER AND THE COMMISSIONER OF THE DEPARTMENT OF  ECONOMIC
   51  DEVELOPMENT SHALL ESTABLISH, THROUGH THE PROMULGATION OF RULES AND REGU-
   52  LATIONS,  AND IN CONSULTATION WITH THE HEADS OF STATE AGENCIES, A METHOD
   53  FOR STRUCTURING REQUESTS  FOR  PROPOSALS  TO  REQUIRE  INCLUSION  OF  AN
   54  ECONOMIC  IMPACT  STATEMENT AND IN EVALUATING RESPONSES TO SUCH REQUESTS
   55  FOR PROPOSALS. THE COMPTROLLER SHALL ALSO ESTABLISH THROUGH THE  PROMUL-
   56  GATION OF RULES AND REGULATIONS GUIDELINES FOR AGENCIES, AUTHORITIES AND
       A. 59                               3
    1  MUNICIPALITIES  TO  INCORPORATE  CONSIDERATION OF THE LOWEST RESPONSIBLE
    2  BIDDER CRITERIA INTO THE NET ECONOMIC IMPACT FORMULA. SUCH NET  ECONOMIC
    3  IMPACT  SHALL  INCLUDE,  BUT  NOT  BE LIMITED TO, CONSIDERATION OF WHERE
    4  SUBCONTRACTORS  USED  BY  CONTRACTORS TO FULFILL A CONTRACT ARE LOCATED,
    5  HOW MANY JOBS IN THE STATE, IF ANY, WILL BE CREATED BY THE  AWARDING  OF
    6  SUCH  A  CONTRACT,  AND THE ESTIMATED TAX REVENUE AND ANCILLARY ECONOMIC
    7  ACTIVITY THAT WOULD BE GENERATED IN THE STATE THROUGH  THE  AWARDING  OF
    8  SUCH  CONTRACTS AND SUBSEQUENT SUBCONTRACTS, LOWEST RESPONSIBLE BID, AND
    9  BEST VALUE. SUCH RULES AND REGULATIONS SHALL INCLUDE A PROCEDURE WHEREBY
   10  A STATE AGENCY, PUBLIC AUTHORITY OR MUNICIPALITY MAY  REQUEST  A  WAIVER
   11  FROM THE REQUIREMENTS OF THIS SECTION.
   12    4. (A) THE PROVISIONS OF THIS SECTION SHALL NOT APPLY TO CONTRACTS FOR
   13  WHICH  A  STATE AGENCY, PUBLIC AUTHORITY, OR MUNICIPALITY RECEIVES FUNDS
   14  ADMINISTERED BY THE FEDERAL GOVERNMENT, EXCEPT TO THE  EXTENT  THAT  THE
   15  FEDERAL  GOVERNMENT  WOULD  NOT  WITHHOLD  SUCH FUNDS OWING TO THE STATE
   16  AGENCY'S, PUBLIC AUTHORITY'S, OR  MUNICIPALITY'S  COMPLIANCE  WITH  THIS
   17  SECTION.
   18    (B)  THE  PROVISIONS  OF  THIS  SECTION  SHALL  NOT APPLY TO CONTRACTS
   19  BETWEEN A STATE AGENCY, PUBLIC AUTHORITY, OR MUNICIPALITY IN  NEGOTIATED
   20  RECIPROCITY  FOR  GOODS  OR SERVICES, EXCEPT TO THE EXTENT THAT SUCH NET
   21  ECONOMIC IMPACT SHALL NOT UNDERMINE SUCH RECIPROCAL CONTRACT AGREEMENT.
   22    5. ANY PERSON, FIRM, CORPORATION, SUCCESSOR CORPORATION, LABOR  ORGAN-
   23  IZATION, CONTRACTOR OR SUBCONTRACTOR MAY, WITHIN TEN DAYS AFTER A BID IS
   24  ACCEPTED,  FILE  AN  APPLICATION  TO CHALLENGE THE DETERMINATION.   UPON
   25  RECEIPT OF SUCH APPLICATION, THE COMPTROLLER, OR HIS  OR  HER  DESIGNEE,
   26  SHALL  CONDUCT  A  HEARING TO DETERMINE THE VALIDITY OF THE APPLICATION.
   27  NOTICE SHALL BE GIVEN TO THE APPLICANT AND TO THE PROPOSED CONTRACT  BID
   28  AWARDEE  OF  THE  DATE, TIME AND PLACE OF THE HEARING. THE APPLICANT AND
   29  THE PROPOSED CONTRACT BID AWARDEE SHALL  BE  GIVEN  THE  OPPORTUNITY  TO
   30  PRESENT  EVIDENCE AND WITNESSES ON THEIR BEHALF. THE COMPTROLLER, OR HIS
   31  OR HER DESIGNEE, PRESIDING OVER SUCH HEARING SHALL ISSUE A WRITTEN DECI-
   32  SION WITH FINDINGS OF FACT WHETHER THE PROPOSED CONTRACT BID AWARDEE  IS
   33  VALID  DETERMINATION.  SUCH  CONTRACT SHALL NOT BE AWARDED PRIOR TO SUCH
   34  DECISION. THE AWARDING AGENCY, AUTHORITY, OR MUNICIPALITY  SHALL  NOTIFY
   35  ALL  BIDDERS  REGARDING THE SELECTION OF ITS PROPOSED CONTRACT BID AWAR-
   36  DEE.
   37    S 4. The opening paragraph and paragraph c of subdivision 2, the open-
   38  ing paragraph and subparagraphs (ii), (v) and (vi) of  paragraph  a  and
   39  subparagraph  (i)  of paragraph b of subdivision 3 of section 163 of the
   40  state finance law, as added by chapter 83  of  the  laws  of  1995,  are
   41  amended to read as follows:
   42    The  objective  of state procurement is to facilitate each state agen-
   43  cy's mission while protecting the interests of the state and its taxpay-
   44  ers and promoting fairness in contracting with the  business  community.
   45  The  state's  procurement  process  shall  be guided by the NET ECONOMIC
   46  IMPACT, PURSUANT TO SECTION ONE HUNDRED THIRTY-NINE-L OF  THIS  CHAPTER,
   47  OF A CONTRACT ON THE STATE AND THE following principles:
   48    c.  To  encourage  the  investment  of  the private and not-for-profit
   49  sectors in New York state by making reasonable efforts  to  ensure  that
   50  offerers  are  apprised  of procurement opportunities; by specifying the
   51  elements of a responsive bid and disclosing  the  process  for  awarding
   52  contracts  including,  if  applicable,  the  relative  importance and/or
   53  weight of [cost] NET ECONOMIC IMPACT and the overall technical criterion
   54  for evaluating offers; and by  ensuring  the  procurement  is  conducted
   55  accordingly.
       A. 59                               4
    1    State  agency  procurement practices for commodities shall incorporate
    2  NET ECONOMIC IMPACT, PURSUANT TO SECTION ONE  HUNDRED  THIRTY-NINE-L  OF
    3  THIS CHAPTER, AND THEN the following:
    4    (ii)  Commodities  contracts  shall be awarded on the basis of [lowest
    5  price to] NET ECONOMIC IMPACT OF a responsive and  responsible  offerer;
    6  or,  in  the  case of multiple awards, in accordance with paragraph c of
    7  subdivision ten of this section.
    8    (v) Consistent with guidelines issued by the state  procurement  coun-
    9  cil,  state  agencies may competitively purchase commodities procured in
   10  accordance with this article in lieu of using centralized contracts when
   11  the resultant [price is less] NET ECONOMIC IMPACT IS  GREATER  than  the
   12  centralized contract [price].
   13    (vi)  When  justified  by [price] NET ECONOMIC IMPACT, state agencies,
   14  and hospitals and facilities managed and controlled  by  state  agencies
   15  eligible  pursuant to section twenty-eight hundred three-a of the public
   16  health law, shall be eligible to make purchases pursuant  to  guidelines
   17  issued  by the state procurement council from a consortium or comparable
   18  entity in lieu of using centralized contracts for commodities.
   19    (i) determine, in cooperation with the state procurement  council  and
   20  state  agencies,  the  identity,  form,  function  and  utility of those
   21  commodities which shall be made  available  on  or  through  centralized
   22  contracts. CRITERIA SHALL INCLUDE THE NET ECONOMIC IMPACT, AS DEFINED IN
   23  SECTION  ONE  HUNDRED THIRTY-NINE-L OF THIS CHAPTER, ON NEW YORK STATE'S
   24  ECONOMY. Criteria may include, but need not be limited  to,  the  avail-
   25  ability  of  a  volume  discount, prior use of the commodity among state
   26  agencies and the relative cost of establishing the contract, its  antic-
   27  ipated  use  and expected actual savings for the state. The commissioner
   28  may also act as a broker for state agencies to procure commodities.
   29    S 5. The opening paragraph and paragraph d of subdivision 4 of section
   30  163 of the state finance law, as added by chapter  83  of  the  laws  of
   31  1995, are amended to read as follows:
   32    State  agency procurement practices for services shall incorporate THE
   33  NET ECONOMIC IMPACT, AS DEFINED IN SECTION ONE HUNDRED THIRTY-NINE-L  OF
   34  THIS CHAPTER, AND THEN the following:
   35    d.  Service contracts shall be awarded on the basis of [best value to]
   36  NET ECONOMIC IMPACT OF a responsive and responsible offerer; or, in  the
   37  case  of  multiple awards, in accordance with paragraph c of subdivision
   38  ten of this section.
   39    S 6. Subdivision 7, paragraphs a and b of subdivision 9,  the  opening
   40  paragraph  and  paragraph  a of subdivision 10, the opening paragraph of
   41  subdivision 11 and paragraph (i) of subdivision 14 of section 163 of the
   42  state finance law, as added by chapter 83 of the laws of 1995,  subdivi-
   43  sion  7 as amended by section 10 of part FF of chapter 56 of the laws of
   44  2010, and paragraph (i) of subdivision 14 as amended by  chapter  95  of
   45  the laws of 2000, are amended to read as follows:
   46    7. Method of procurement. Consistent with the requirements of subdivi-
   47  sions  three and four of this section, state agencies shall select among
   48  permissible methods of procurement including, but  not  limited  to,  an
   49  invitation for bid, request for proposals or other means of solicitation
   50  pursuant  to  guidelines  issued by the state procurement council. State
   51  agencies may accept bids  electronically  including  submission  of  the
   52  statement of non-collusion required by section one hundred thirty-nine-d
   53  of  this chapter and may, for technology contracts and, in addition, for
   54  the period from July first, two thousand ten, to July first,  two  thou-
   55  sand  twelve,  fuels (home heating, diesel, gasoline, natural gas), road
   56  salt, recycled paper, tires,  telecommunications  equipment,  industrial
       A. 59                               5
    1  supplies  (tools, equipment), bituminous materials, drainage and culvert
    2  pipe, and road aggregate (gravel), require electronic submission as  the
    3  sole  method  for  the submission of bids for the solicitation, provided
    4  that  the  agency has made a determination, which shall be documented in
    5  the procurement record, that such method affords a fair and equal oppor-
    6  tunity for offerers to submit responsive offers. Except where  otherwise
    7  provided  by  law, procurements shall be competitive, and state agencies
    8  shall conduct formal competitive  procurements  to  the  maximum  extent
    9  practicable.  State  agencies  shall  document  the determination of the
   10  method of procurement and the basis of award in the procurement  record.
   11  Where the basis for award is the best [value] NET ECONOMIC IMPACT offer,
   12  the  state  agency  shall  document,  in  the  procurement record and in
   13  advance of the initial receipt of offers, the determination of the eval-
   14  uation criteria, which whenever possible, shall be quantifiable, and the
   15  process to be used in the determination of  best  [value]  NET  ECONOMIC
   16  IMPACT  and  the  manner  in  which the evaluation process and selection
   17  shall be conducted.
   18    a. The commissioner or a state agency shall select  a  formal  compet-
   19  itive  procurement  process in accordance with guidelines established by
   20  the state procurement council and  document  its  determination  in  the
   21  procurement  record. The process shall include, but is not limited to, a
   22  clear statement of need; a description of  the  required  specifications
   23  governing  performance  and  related  factors;  a reasonable process for
   24  ensuring a competitive field; a fair and equal opportunity for  offerers
   25  to  submit  responsive  offers; and a balanced and fair method of award.
   26  Where the basis for the award  is  best  [value]  NET  ECONOMIC  IMPACT,
   27  documentation  in  the  procurement  record  shall,  where  practicable,
   28  include a quantification of the  application  of  the  criteria  to  the
   29  rating  of proposals and the evaluation results, or, where not practica-
   30  ble, such other justification which demonstrates that best  [value]  NET
   31  ECONOMIC IMPACT will be achieved.
   32    b.  The  solicitation  shall  prescribe  the minimum specifications or
   33  requirements that must be met in order to be considered  responsive  and
   34  shall  describe  and disclose the general manner in which the evaluation
   35  and selection shall be conducted. Where  appropriate,  the  solicitation
   36  shall  identify  the  relative  importance  and/or  weight of [cost] NET
   37  ECONOMIC IMPACT and the overall technical criterion to be considered  by
   38  a state agency in its determination of best [value] NET ECONOMIC IMPACT.
   39    Contracts  for  commodities  shall  be awarded on the basis of [lowest
   40  price to] NET ECONOMIC IMPACT OF a responsive and  responsible  offerer,
   41  PURSUANT   TO   SECTION  ONE  HUNDRED  THIRTY-NINE-L  OF  THIS  CHAPTER.
   42  Contracts for services shall be awarded on the basis of best [value] NET
   43  ECONOMIC IMPACT from a responsive and responsible offerer,  PURSUANT  TO
   44  SECTION  ONE HUNDRED THIRTY-NINE-L OF THIS CHAPTER.  Multiple awards for
   45  services and commodities shall be conducted in accordance with paragraph
   46  c of this subdivision.
   47    a. Selection and  award  shall  be  a  written  determination  in  the
   48  procurement  record  made  by  the  commissioner  or a state agency in a
   49  manner consistent with the provisions of the solicitation. In the  event
   50  two offers are found to be substantially equivalent, [price] NET ECONOM-
   51  IC  IMPACT  shall  be  the basis for determining the award recipient or,
   52  when [price] NET ECONOMIC IMPACT and  other  factors  are  found  to  be
   53  substantially equivalent, the determination of the commissioner or agen-
   54  cy  head  to  award  a  contract to one or more of such bidders shall be
   55  final. The basis for determining the award shall be  documented  in  the
   56  procurement record.
       A. 59                               6
    1    It  shall  be  the  responsibility of the head of each state agency to
    2  periodically sample the results of the procurement process to  test  for
    3  reasonableness; to ensure that the results withstand public scrutiny and
    4  that  the  quality  and  the  price  of the purchase makes sense; and to
    5  ensure that purchasing is conducted in a manner consistent with the best
    6  NET ECONOMIC IMPACT interests of the state.
    7    (i)  a  listing  of  individual  and  centralized contracts, including
    8  vendor name, comptroller approval dates, NET  ECONOMIC  IMPACT  OF  SUCH
    9  CONTRACTS,  dollar  value  of such contracts, the state agency which let
   10  the contract and/or  state  agencies  which  purchased  off  centralized
   11  contracts, expenditures made on each such contract and by which agencies
   12  during the fiscal year and life to date, citing contract category codes,
   13  source  selection  method, including ["lowest price", "best value",] NET
   14  ECONOMIC IMPACT, sole source, single source,  negotiated  and  emergency
   15  procurement subtotaled by agency and by type of commodity or service;
   16    S  7. Subdivision 1 of section 142 of the economic development law, as
   17  amended by chapter 137 of the laws  of  2008,  is  amended  to  read  as
   18  follows:
   19    1.  The  commissioner  shall  publish  on  a daily basis a procurement
   20  opportunities newsletter, which shall  contain  notices  of  procurement
   21  contract  opportunities and any other information the commissioner deems
   22  necessary to effectuate the purposes of this article INCLUDING, BUT  NOT
   23  LIMITED  TO,  ANY  CHANGES  IN  THE LAW, RULES AND REGULATIONS REGARDING
   24  PROCUREMENT CONTRACTS. Notices  of  procurement  contract  opportunities
   25  shall be available on the internet for at least fifteen days.
   26    S  8.  Section 100-a of the general municipal law, as added by chapter
   27  363 of the laws of 1964, is amended to read as follows:
   28    S 100-a. Declaration of policy. [It] NOTWITHSTANDING ANY PROVISION  OF
   29  THIS  ARTICLE TO THE CONTRARY, IT is hereby declared to be the policy of
   30  this state that this article  shall  [be  construed]  CONSIDER  THE  NET
   31  ECONOMIC  IMPACT, AS DEFINED IN SECTION ONE HUNDRED THIRTY-NINE-L OF THE
   32  STATE FINANCE LAW, AS THE PRIORITY in the negotiation of  contracts  for
   33  public  works  and  public purchases to which political subdivisions [or
   34  and district] AND/OR DISTRICTS therein [is] ARE a party so as to  assure
   35  the  prudent  and economical use of public moneys for the benefit of all
   36  the inhabitants of the state and to facilitate the acquisition of facil-
   37  ities and commodities of maximum quality [at the lowest possible cost].
   38    S 9. Subdivision 1 of section 2879 of the public authorities  law,  as
   39  amended  by  chapter  564  of  the  laws  of 1988, is amended to read as
   40  follows:
   41    1. Every public authority and public benefit corporation,  a  majority
   42  of  the  members  of  which  consist  of persons either appointed by the
   43  governor or who serve as members by virtue of holding a civil office  of
   44  the state, or a combination thereof, (such entities to be hereinafter in
   45  this  section  referred  to  as "corporation") shall adopt by resolution
   46  comprehensive guidelines which detail the corporation's operative policy
   47  and instructions regarding the use, awarding, monitoring  and  reporting
   48  of  procurement contracts.   NOTWITHSTANDING ANY OTHER PROVISION OF LAW,
   49  RULE OR REGULATION, SUCH GUIDELINES SHALL INCLUDE, BUT  NOT  BE  LIMITED
   50  TO,  MAKING  CONSIDERATION  OF  THE  NET  ECONOMIC IMPACT, AS DEFINED IN
   51  SECTION ONE HUNDRED THIRTY-NINE-L OF THE STATE FINANCE LAW, THE PRIORITY
   52  IN AWARDING PROCUREMENT CONTRACTS. Guidelines  approved  by  the  corpo-
   53  ration shall be annually reviewed and approved by the corporation.
   54    S  10.  This  act  shall  take effect on the one hundred eightieth day
   55  after it shall have become a law; provided, however, the  provisions  of
   56  this  act  shall  be  applied  to all contracts entered into on or after
       A. 59                               7
    1  April 1, 2011; and provided, further, however, that  the  amendments  to
    2  the  provisions of section 163 of the state finance law made by sections
    3  four, five and six of this act shall  not  affect  the  repeal  of  such
    4  section  and shall be deemed repealed therewith.  Effective immediately,
    5  the addition, amendment and/or repeal of any rule or  regulation  neces-
    6  sary for the implementation of this act on its effective date is author-
    7  ized and directed to be made and completed on or before such date.
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