•  Summary 
  •  
  •  Actions 
  •  
  •  Committee Votes 
  •  
  •  Floor Votes 
  •  
  •  Memo 
  •  
  •  Text 
  •  
  •  LFIN 
  •  
  •  Chamber Video/Transcript 

A07925 Summary:

BILL NOA07925
 
SAME ASSAME AS S06809
 
SPONSORZebrowski
 
COSPNSRMcDonald, Abinanti
 
MLTSPNSR
 
Amd §112, St Fin L; rpld §355 subs 5 & 6, sub 16 ¶b, §373 sub 12, §6218 subs a & a-1, §6283, amd §§355, 373 & 6218, Ed L
 
Relates to restoring the oversight of certain contracts by the state comptroller; makes technical corrections therefor; makes related provisions.
Go to top    

A07925 Actions:

BILL NOA07925
 
06/01/2021referred to governmental operations
Go to top

A07925 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A7925
 
SPONSOR: Zebrowski
  TITLE OF BILL: An act to amend the state finance law and the education law, in relation to restoring oversight of certain contracts by the comptroller; and to repeal certain provisions of the education law relating thereto   PURPOSE OR GENERAL IDEA OF BILL: To restore the Office of the State Comptroller's oversight for certain state contracts.   SUMMARY OF PROVISIONS: Section 1 of the bill amends paragraph (a) of subdivision 2 of § 112 of the state finance law to restore the Comptroller's authority to review OGS centralized contracts that exceed $85,000, as well as purchase orders and other procurement transactions issued under such centralized contracts. Sections 2 and 3 of the bill restore the Comptroller's oversight author- ity for certain SUNY contracts by revising subdivisions 5 and 6 of § 355 of the education law. These sections will authorize SUNY Trustees, with- out Comptroller review but subject to rules and regulations promulgated by the Comptroller, to: *purchase materials and certain proprietary electronic information resources so long as a single purchase does not exceed $50,000; and *and execute contracts for services, construction and printing for an amount not exceeding $50,000. Section 4 of the bill revises paragraph b of subdivision 16 of section 355 of the education law to restore the Comptroller's oversight for contracts where SUNY is functioning as a health care provider. This section will allow SUNY trustees to authorize contracts for the purchase of goods and services for SUNY health care facilities for certain contracts without Comptroller review so long as such contracts do not exceed $75,000. Section 5 of the bill revises subdivision 12 of § 373 of the education law to restore the Comptroller's oversight for SUNY Construction Fund contracts. Section 6 of the bill revises subdivision a of § 6218 of the education law to restore the Comptroller's oversight for certain CUNY contracts. This section will authorize SUNY Trustees, without Comptroller review but subject to rules and regulations promulgated by the Comptroller, to: *purchase materials and certain proprietary electronic information resources so long as a single purchase does not exceed $50,000; and *and execute contracts for services, construction and printing for an amount not exceeding $50,000. Section 7 of the bill repeals subdivision a-1 of § 6218 of education law because its provisions were consolidated into section 6 of this bill. Section 8 of the bill repeals § 6283 of the education law to restore the Comptroller's oversight for CUNY Construction Fund Contracts. Section 9 of the bill provides that this act shall take effect imme- diately.   JUSTIFICATION: Starting in 2011, the state budget process has been used to erode the state Comptroller's oversight authority for various state contracts. At the time, these alterations to the Comptroller's oversight authority were presented as creating cost-saving measures and new efficiencies that would ensure the success of one of the Governor's economic develop- ment programs, the Buffalo Billion. A few years later, the Buffalo Billion was marred by scandal, in which several state officials were implicated for accepting bribes in exchange for steering state contracts. In response to the scandal, the Governor's office entered into a memo- randum of understanding with the Office of the State Comptroller, restoring some of the Comptroller's oversight authority. This memorandum is not sufficient; legislative action is needed to properly restore the Comptroller's oversight authority and restore public confidence in the state's procurement process. This bill is a first step toward achieving these goals.   PRIOR LEGISLATIVE HISTORY: New bill.   FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: To be determined.   EFFECTIVE DATE: This act shall take effect immediately.
Go to top

A07925 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          7925
 
                               2021-2022 Regular Sessions
 
                   IN ASSEMBLY
 
                                      June 1, 2021
                                       ___________
 
        Introduced  by  M.  of  A.  ZEBROWSKI  --  read once and referred to the
          Committee on Governmental Operations
 
        AN ACT to amend the state finance law and the education law, in relation
          to restoring oversight of certain contracts by the comptroller; and to
          repeal certain provisions of the education law relating thereto

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1. Paragraph (a) of subdivision 2 of section 112 of the state
     2  finance law, as amended by section 18 of part L of  chapter  55  of  the
     3  laws of 2012, is amended to read as follows:
     4    (a)  Before  any contract made for or by any state agency, department,
     5  board, officer, commission, or institution, except the office of general
     6  services, shall be executed or become effective, whenever such  contract
     7  exceeds  fifty  thousand  dollars in amount and before any contract made
     8  for or by the office of general services shall  be  executed  or  become
     9  effective,  whenever  such contract exceeds eighty-five thousand dollars
    10  in amount, it shall first be approved by the comptroller  and  filed  in
    11  his  or  her  office[,  with the exception of contracts established as a
    12  centralized contract through the office of general services and purchase
    13  orders or other procurement transactions issued under  such  centralized
    14  contracts.  The].  Provided,  however, that the comptroller shall make a
    15  final written determination with respect to approval  of  such  contract
    16  within  ninety  days  of  the  submission of such contract to his or her
    17  office unless the comptroller shall notify, in writing, the state  agen-
    18  cy, department, board, officer, commission, or institution, prior to the
    19  expiration of the ninety day period, and for good cause, of the need for
    20  an  extension  of  not more than fifteen days, or a reasonable period of
    21  time agreed to by such state agency, department, board, officer, commis-
    22  sion, or institution and provided, further, that such  written  determi-
    23  nation  or extension shall be made part of the procurement record pursu-
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD11386-03-1

        A. 7925                             2
 
     1  ant to paragraph f of subdivision one of section one hundred sixty-three
     2  of this chapter.
     3    § 2. Subdivision 5 of section 355 of the education law is REPEALED and
     4  a new subdivision 5 is added to read as follows:
     5    5.  Notwithstanding  the  provisions  of  paragraph two of section one
     6  hundred twelve and sections one hundred fifteen, one hundred  sixty-one,
     7  and  one  hundred sixty-three of the state finance law and section three
     8  of the New York state printing and public documents law or any other law
     9  to the contrary,  the  state  university  trustees  are  authorized  and
    10  empowered to:
    11    a.   (i)   purchase   materials,  proprietary  electronic  information
    12  resources including but  not  limited  to  academic,  professional,  and
    13  industry  journals,  reference  handbooks and manuals, research tracking
    14  tools, indexes and abstracts equipment and supplies, including  computer
    15  equipment  and  motor  vehicles,  where the amount for a single purchase
    16  does not exceed fifty  thousand  dollars,  (ii)  execute  contracts  for
    17  services  and  construction  contracts  to an amount not exceeding fifty
    18  thousand dollars, and (iii) contract  for  printing  to  an  amount  not
    19  exceeding  fifty  thousand  dollars, without prior approval by any other
    20  state officer or agency, but subject to rules  and  regulations  of  the
    21  state comptroller not otherwise inconsistent with the provisions of this
    22  section  and  in accordance with the guidelines promulgated by the state
    23  university board of trustees after consultation  with  the  state  comp-
    24  troller.  In addition, the trustees, after consultation with the commis-
    25  sioner of general services, are authorized to  annually  negotiate  with
    26  the  state comptroller increases in the aforementioned dollar limits and
    27  the exemption of any articles,  categories  of  articles,  services,  or
    28  commodities from these limits;
    29    b. establish cash advance accounts for the purpose of purchasing mate-
    30  rials,  supplies, or services, for cash advances for travel expenses and
    31  per diem allowances, or for advance payment of  wages  and  salary.  The
    32  account  may  be  used to purchase such materials, supplies, or services
    33  where the amount of a single  purchase  does  not  exceed  one  thousand
    34  dollars,  in  accordance  with such guidelines as shall be prescribed by
    35  the state university trustees after consultation with  the  state  comp-
    36  troller;
    37    c.  establish  guidelines  in  consultation  with  the commissioner of
    38  general services authorizing participation by the  state  university  in
    39  programs administered by the office of general services for the purchase
    40  of  available  New York state food products. The commissioner of general
    41  services shall provide assistance to the state university  necessary  to
    42  enable the university to participate in these programs; and
    43    d. award contract extensions for campus transportation without compet-
    44  itive  bidding  where such contracts were secured either through compet-
    45  itive bidding or through evaluation of proposals however such extensions
    46  may be rejected if the amount to be paid to the contractor in  any  year
    47  of such proposed extension fails to reflect any decrease in the regional
    48  consumer price index for the New York, New York-Northeastern, New Jersey
    49  area,  based  upon  the  consumer  price  index  for all urban consumers
    50  (CPI-U) during the preceding twelve-month period. At  the  time  of  any
    51  contract  extension,  consideration  shall  be  given to any competitive
    52  proposal offered by a public transportation agency. Such contract may be
    53  increased for each year of the contract extension by an  amount  not  to
    54  exceed  the regional consumer price index increase for the New York, New
    55  York-Northeastern, New Jersey area, based upon the consumer price  index
    56  for all urban consumers (CPI-U), during the preceding twelve-month peri-

        A. 7925                             3
 
     1  od,  provided  it  has been satisfactorily established by the contractor
     2  that there has been at least an equivalent increase in the amount of his
     3  cost of operation, during the period of the contract.
     4    Guidelines  promulgated  by  the  state  university  board of trustees
     5  shall, to the extent practicable, require that competitive proposals  be
     6  solicited  for  purchases, and shall include requirements that purchases
     7  and contracts authorized under this section be at the  lowest  available
     8  price,  including  consideration of prices available through other state
     9  agencies, consistent with quality requirements, and as will best promote
    10  the public interest. Such  purchases  may  be  made  directly  from  any
    11  contractor pursuant to any contract for commodities let by the office of
    12  general services or any other state agency.
    13    § 3. Subdivision 6 of section 355 of the education law is REPEALED and
    14  a new subdivision 6 is added to read as follows:
    15    6.  To enter into any contract or agreement deemed necessary or advis-
    16  able after consultation with appropriate state agencies for carrying out
    17  the objects and purposes of the state university without prior review or
    18  approval by any state officer or agency other than the state comptroller
    19  and the attorney general  including  contracts  with  non-profit  corpo-
    20  rations  organized  by  officers,  employees,  alumni or students of the
    21  state university for  the  furtherance  of  its  objects  and  purposes.
    22  Contracts  or  agreements  entered  into  with the federal government to
    23  enable participation in federal student loan programs, including any and
    24  all instruments  required  thereunder,  shall  not  be  subject  to  the
    25  requirements  of  section  forty-one of the state finance law; provided,
    26  however, that the state shall not be  liable  for  any  portion  of  any
    27  defaults which it has agreed to assume pursuant to any such agreement in
    28  an  amount  in excess of money appropriated or otherwise lawfully avail-
    29  able therefor at the time the liability for payment arises.
    30    § 4. Paragraph b of subdivision 16 of section 355 of the education law
    31  is REPEALED and a new paragraph b is added to read as follows:
    32    b. (i) Notwithstanding the provisions of subdivision  two  of  section
    33  one  hundred  twelve  of  the  state  finance law relating to the dollar
    34  threshold requiring the comptroller's approval of contracts and subdivi-
    35  sion six of section one hundred sixty-three of the  state  finance  law,
    36  authorize  contracts  for  the  purchase of goods and services for state
    37  university health care facilities:
    38    (A) for any contract  which  does  not  exceed  seventy-five  thousand
    39  dollars; or
    40    (B)  for  joint  or  group purchasing arrangements which do not exceed
    41  seventy-five thousand dollars without prior approval by any other  state
    42  officer  or  agency in accordance with procedures and requirements found
    43  in paragraph a of subdivision five of this section.
    44    (ii) contracts authorized hereunder shall be subject to article  four-
    45  teen  of  the  civil service law and the applicable provisions of agree-
    46  ments between the state and employee organizations pursuant  to  article
    47  fourteen  of the civil service law. The trustees are authorized to nego-
    48  tiate annually with the state comptroller  increases  in  the  aforemen-
    49  tioned dollar limits.
    50    §  5.  Subdivision  12 of section 373 of the education law is REPEALED
    51  and a new subdivision 12 is added to read as follows:
    52    12. To make and execute contracts, lease  agreements,  and  all  other
    53  instruments  necessary  or  convenient for the exercise of its corporate
    54  powers and the fulfillment of its corporate purposes under this article;
    55    § 6. Subdivision a of section 6218 of the education  law  is  REPEALED
    56  and a new subdivision a is added to read as follows:

        A. 7925                             4

     1    a.  Notwithstanding  the  provisions  of  paragraph two of section one
     2  hundred twelve and sections one hundred fifteen, one  hundred  sixty-one
     3  and  one  hundred sixty-three of the state finance law and section three
     4  of the New York state printing and public documents law or any other law
     5  to  the  contrary,  the  city  university  trustees  are  authorized and
     6  empowered to:
     7    (i) purchase materials; proprietary electronic information  resources,
     8  including, but not limited to, academic, professional and industry jour-
     9  nals,  reference handbooks and manuals, research tracking tools, indexes
    10  and abstracts; and equipment and supplies, including computer  equipment
    11  and  motor  vehicles,  where  the  amount for a single purchase does not
    12  exceed fifty thousand dollars, (ii) execute contracts for services to an
    13  amount not exceeding fifty thousand  dollars,  and  (iii)  contract  for
    14  printing  to  an  amount  not  exceeding fifty thousand dollars, without
    15  prior approval by any other state officer  or  agency,  but  subject  to
    16  rules  and regulations of the state comptroller not otherwise inconsist-
    17  ent with the provisions of this  section  and  in  accordance  with  the
    18  guidelines  promulgated  by  the city university board of trustees after
    19  consultation with the state comptroller. In addition, the  trustees  are
    20  authorized to annually negotiate with the state comptroller increases in
    21  the  aforementioned  dollar  limits  and  the exemption of any articles,
    22  categories of articles, services,  or  commodities  from  these  limits.
    23  Guidelines  promulgated  by the city university board of trustees shall,
    24  to the extent practicable, require that competitive proposals be  solic-
    25  ited  for  purchases,  and shall include requirements that purchases and
    26  contracts authorized under this  section  be  at  the  lowest  available
    27  price.
    28    § 7. Subdivision a-1 of section 6218 of the education law is REPEALED.
    29    § 8. Section 6283 of the education law is REPEALED.
    30    § 9. This act shall take effect immediately.
Go to top