NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A7405
SPONSOR: McDonald TITLE OF BILL:
An act to amend the state finance law and the public authorities law, in
relation to protest procedures
PURPOSE:
This bill would require all state agencies and public authorities to
provide bidders and interested parties with the opportunity to protest a
contract award.
SUMMARY OF PROVISIONS:
Section 1 of this bill amends the State Finance Law section 163(1) to
provide definitions for "bidder," "contract award," "interested party,"
"protest," "solicitation," and "protest procedure."
Section 2 of this bill amends the State Finance Law section 163 by
adding a new subdivision 12 to require every State agency to make avail-
able protest procedures to interested parties, provide notice of their
protest procedures in solicitation documents, and provide all bidders
with written notice of the contract award. This section also provides
the minimum requirements for an agency's protest procedures.
Section 3 of this bill amends the Public Authorities Law section 2879 to
add a new subdivision 10 to require every public authority to make
available protest procedures to interested parties, provide notice of
their protest procedures in solicitation documents, and provide all
bidders with written notice of the contract award. This section also
provides the minimum requirements for an authority's protest procedures.
Section 4 of this bill provides the effective date.
JUSTIFICATION:
While many State agencies currently provide bidders and interested
parties with a process to object to a contract award, they are not
required to do so. This bill would require all State agencies and public
authorities to establish protest procedures, that meet minimum require-
ments, and to provide notice of those procedures in solicitation docu-
ments.
The State procurement process is intended to facilitate each procuring
entity's mission while protecting the interests of the State and its
taxpayers and promoting fairness in the contracting process. Requiring
State agencies and public authorities to establish protest procedures
will provide bidders and interested parties a fair and clear process to
object a contract award and provides an opportunity for bidders and
interested parties to express any concerns with the bid or award proc-
ess.
LEGISLATIVE HISTORY:
New Bill.
FISCAL IMPLICATIONS:
None to the State.
EFFECTIVE DATE:
This act shall take effect on the sixtieth day after it shall have
become law.
