§ 139-I — Obligations with respect to procurement contracts with New York state and foreign business enterprises

§ 139-i. Obligations with respect to procurement contracts with New\nYork state and foreign business enterprises. 1. As used in this section,\nthe following terms shall have the following meanings, unless a\ndifferent meaning appears from the context:\n (a) "Foreign business enterprise" shall mean a business enterprise,\nincluding a sole proprietorship, partnership or corporation, which\noffers for sale, lease or other form of exchange, goods sought by the\nstate agency or department and which are substantially produced outside\nNew York state, or services sought by the state agency or department and\nwhich are substantially performed outside New York state.\n (b) "New York state business enterprise" shall mean a business\nenterprise, including a sole proprietorship, partnership, or\ncorporation, which offers for sale or lease or other form of exchange,\ngoods which are sought by the state agency or department and which are\nsubstantially manufactured, produced or assembled in New York state, or\nservices which are sought by the state agency or department and which\nare substantially performed within New York state.\n (c) "New York resident" shall mean a natural person who maintains a\nfixed, permanent and principal home located within New York state and to\nwhich such person, whenever temporarily located, always intends to\nreturn.\n (d) "Procurement contract" shall have the same meaning as that set\nforth in subdivision two of section one hundred forty-one of the\neconomic development law.\n 2. In every state agency and department, the chief executive officer\nshall:\n (a) notify the commissioner of economic development of the award of a\nprocurement contract for the purchase of goods or services from a\nforeign business enterprise in an amount equal to or greater than one\nmillion dollars simultaneously with notifying the successful bidder\ntherefor. No state agency or department shall thereafter enter into a\nprocurement contract for said goods or services until at least fifteen\ndays has elapsed, except for procurement contracts awarded on an\nemergency or critical basis, or where the commissioner of economic\ndevelopment waives the provisions of this sentence. The notification to\nthe commissioner of economic development shall include the name, address\nand telephone and facsimile number of the foreign business enterprise, a\nbrief description of the goods or services to be obtained pursuant to\nthe proposed procurement contract, the amount of the proposed\nprocurement contract, the term of the proposed procurement contract, and\nthe name of the individual at the foreign business enterprise or acting\non behalf of the same who is principally responsible for the proposed\nprocurement contract. Such notification shall be used by the\ncommissioner of economic development solely to provide notification to\nNew York state business enterprises of opportunities to participate as\nsubcontractors and suppliers on such procurement contracts, to promote\nand encourage the location and development of new business in the state,\nto assist New York state business enterprises in obtaining offset\ncredits from foreign countries, and to otherwise investigate, study and\nundertake means of promoting and encouraging the prosperous development\nand protection of the legitimate interest and welfare of New York state\nbusiness enterprises, industry and commerce.\n (b) include in all bid documents provided to potential bidders a\nstatement that information concerning the availability of New York state\nsubcontractors and suppliers is available from the New York state\ndepartment of economic development, which shall include the directory of\ncertified minority and women-owned businesses, and it is the policy of\nNew York state to encourage the use of New York state subcontractors and\nsuppliers, and to promote the participation of minority and women-owned\nbusinesses, where possible, in the procurement of goods and services.\n (c) provide annually, on or before the first business day of June of\neach year, to the department of economic development information\npertaining to procurement contracts entered into in an amount equal to\nor greater than one hundred thousand dollars by such agency or\ndepartment during the previous year. Such information shall include the\nsubject matter and value of such contracts, designation of each\ncontractor as a New York state business enterprise or a foreign business\nenterprise, the process used to select such contractors, as well as the\nstatus of such contracts; and\n (d) adopt policies to promote the participation by New York state\nbusiness enterprises and New York state residents in procurement\ncontracts, with the cooperation of the department of economic\ndevelopment and the community services division of the department of\nlabor including, but not limited to, providing through cooperative\nefforts with contractors for the notification of New York state business\nenterprises of opportunities to participate as subcontractors and\nsuppliers on procurement contracts in an amount estimated to be equal to\nor greater than one million dollars and for the notification of New York\nstate residents of employment opportunities arising in New York state\nout of procurement contracts in an amount estimated to be equal to or\ngreater than one million dollars; and promulgating procedures which will\nassure compliance by contractors with such notification. Once awarded\nthe contract, such contractors shall document their efforts to encourage\nthe participation of New York state business enterprises as suppliers\nand subcontractors on procurement contracts equal to or greater than one\nmillion dollars. Documented efforts by a successful contractor shall\nconsist of and be limited to showing that such contractor has (a)\nsolicited bids, in a timely and adequate manner, from New York state\nbusiness enterprises including certified minority and women-owned\nbusiness, or (b) contacted the New York state department of economic\ndevelopment to obtain listings of New York state business enterprises,\nor (c) placed notices for subcontractors and suppliers in newspapers,\njournals and other trade publications distributed in New York state, or\n(d) participated in bidder outreach conferences. If the contractor\ndetermines that New York state business enterprises are not available to\nparticipate on the contract as subcontractors or suppliers, the\ncontractor shall provide a statement indicating the method by which such\ndetermination was made. If the contractor does not intend to use\nsubcontractors on the contract, the contractor shall provide a statement\nverifying such intent. Such contractors shall also provide notification\nto New York state residents of employment opportunities through listing\nany such positions with the community services division, or providing\nfor such notification in such manner as is consistent with existing\ncollective bargaining contracts or agreements. On or before the\neffective date of this section, each state agency or department shall\nsubmit such policies to the division of the budget and copies thereof to\nthe department of audit and control, the department of economic\ndevelopment, the senate finance committee and the assembly ways and\nmeans committee.\n (e) include in each set of documents soliciting bids on procurement\ncontracts to let by the state agency or department a statement notifying\npotential bidders located in foreign countries that the state agency or\ndepartment may assign or otherwise transfer offset credits created by\nsuch procurement contract to third parties located in New York state;\nprovide for the assignment or other form of transfer of offset credits\ncreated by such procurement contracts, directly or indirectly, to third\nparties located in New York state, in accordance with the written\ndirections of the commissioner of economic development; and provide for\nthe state agency or department to otherwise cooperate with the\ndepartment of economic development in efforts to get foreign countries\nto recognize offset credits assigned or transferred to third parties\nlocated in New York state created by such procurement contracts.\n (f) promulgate procedures which will assure compliance with the\nfederal equal employment opportunity act of 1972 (P.L.92-261), as\namended, by contractors of the state agency or department.\n