S T A T E O F N E W Y O R K
________________________________________________________________________
1262
2009-2010 Regular Sessions
I N A S S E M B L Y
(PREFILED)
January 7, 2009
___________
Introduced by M. of A. COLTON, SCHROEDER, HOYT, GREENE, GABRYSZAK,
DelMONTE -- Multi-Sponsored by -- M. of A. GIGLIO, MILLER, PEOPLES,
QUINN, SPANO -- read once and referred to the Committee on Economic
Development, Job Creation, Commerce and Industry
AN ACT to amend the economic development law, in relation to enacting
the "jobs, trade and democracy act"
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Short title. This act shall be known and may be cited as
the "jobs, trade and democracy act".
S 2. The economic development law is amended by adding a new article
10-A to read as follows:
ARTICLE 10-A
JOBS, TRADE AND DEMOCRACY ACT
SECTION 226. LEGISLATIVE INTENT.
227. ROLE OF THE LEGISLATURE IN TRADE POLICY.
228. OFFICE OF TRADE ENFORCEMENT AND CITIZEN'S COMMISSION ON
GLOBALIZATION.
S 226. LEGISLATIVE INTENT. THE LEGISLATURE HEREBY DETERMINES AND
DECLARES THAT:
1. STATES HAVE TRADITIONALLY ENJOYED A LARGE DEGREE OF AUTONOMY TO SET
THEIR OWN PROCUREMENT POLICIES UNDER THE U.S. SYSTEM OF FEDERALISM.
2. RECENT INTERNATIONAL TRADE AGREEMENTS THREATEN TO ERODE THIS TRADI-
TIONAL STATE AUTONOMY BY REQUIRING STATE GOVERNMENTS TO ACCORD FOREIGN
SUPPLIERS OF GOODS AND SERVICES TREATMENT NO LESS FAVORABLE THAN THAT
AFFORDED TO IN-STATE SUPPLIERS. IN ADDITION, THE AGREEMENTS STIPULATE
THAT STATE CONTRACT SPECIFICATIONS MUST NOT BURDEN TRADE ANY MORE THAN
NECESSARY, AND LIMIT SUPPLIER QUALIFICATIONS TO THOSE THAT ARE "ESSEN-
TIAL" TO THE PERFORMANCE OF THE CONTRACT.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04306-01-9
A. 1262 2
3. THE GOVERNOR, NOT THE STATE LEGISLATURE, CHOSE TO BIND THE STATE TO
THE TERMS OF VARIOUS INTERNATIONAL TRADE AGREEMENTS UPON THE REQUEST OF
THE UNITED STATES TRADE REPRESENTATIVE (USTR).
4. STATE LEGISLATORS HAVE AN IMPORTANT ROLE TO PLAY IN PRESERVING
STATE AUTHORITY OVER PROCUREMENT POLICY. THESE CRITICAL DECISIONS SHOULD
BE MADE ONLY WITH THE INVOLVEMENT OF THE LEGISLATURE, AND ONLY AFTER THE
PUBLIC HAS BEEN ADEQUATELY INFORMED AND HAS OPENLY DEBATED THE ISSUES
INVOLVED.
5. IT IS CRITICAL FOR CITIZENS, STATE AGENCIES, THE LEGISLATURE, AND
OTHER ELECTED OFFICIALS IN THE STATE TO HAVE ACCESS TO INFORMATION ABOUT
HOW TRADE IMPACTS STATE LEGISLATIVE AUTHORITY, THE STATE'S ECONOMY, AND
EXISTING STATE LAWS IN ORDER TO PARTICIPATE IN AN INFORMED DEBATE ABOUT
INTERNATIONAL TRADE ISSUES.
6. IT IS THE SENSE OF THIS LEGISLATURE THAT THE CONGRESS OF THE UNITED
STATES SHOULD PASS LEGISLATION INSTRUCTING THE USTR TO FULLY AND FORMAL-
LY CONSULT INDIVIDUAL STATE LEGISLATURES REGARDING PROCUREMENT,
SERVICES, INVESTMENT, OR ANY OTHER TRADE AGREEMENT RULES THAT IMPACT
STATE LAWS OR AUTHORITY BEFORE NEGOTIATIONS BEGIN AND AS THEY DEVELOP,
AND TO SEEK CONSENT FROM STATE LEGISLATURES IN ADDITION TO GOVERNORS
PRIOR TO BINDING STATES TO CONFORM THEIR LAWS TO THE TERMS OF INTERNA-
TIONAL COMMERCIAL AGREEMENTS. SUCH LEGISLATION IS NECESSARY TO ENSURE
THE PRIOR INFORMED CONSENT OF THE STATE WITH REGARD TO FUTURE INTERNA-
TIONAL TRADE AND INVESTMENT AGREEMENTS.
S 227. ROLE OF THE LEGISLATURE IN TRADE POLICY. 1. IT SHALL BE THE
POLICY OF THE STATE THAT APPROVAL FOR THE STATE TO BE BOUND BY ANY TRADE
AGREEMENT REQUIRES THE CONSENT OF THE LEGISLATURE.
2. TWO LEGISLATIVE POINTS OF CONTACT (LPCS) WILL BE APPOINTED AT THE
BEGINNING OF EACH LEGISLATIVE SESSION; ONE BY THE TEMPORARY PRESIDENT
AND MINORITY LEADER OF THE SENATE, AND ONE BY THE SPEAKER AND MINORITY
LEADER OF THE ASSEMBLY. THE LEGISLATURE DECLARES THAT THE PURPOSES OF
THE LPCS ARE TO:
A. SERVE AS THE STATE'S OFFICIAL LIAISONS WITH THE FEDERAL GOVERNMENT
AND AS THE LEGISLATURE'S LIAISONS WITH THE GOVERNOR ON TRADE-RELATED
MATTERS;
B. SERVE AS THE DESIGNATED RECIPIENTS OF FEDERAL REQUESTS FOR CONSENT
OR CONSULTATION REGARDING INVESTMENT, PROCUREMENT, SERVICES OR OTHER
PROVISIONS OF INTERNATIONAL TRADE AGREEMENTS WHICH IMPINGE ON STATE LAW
OR REGULATORY AUTHORITY RESERVED TO THE STATE;
C. TRANSMIT INFORMATION REGARDING FEDERAL REQUESTS FOR CONSENT TO THE
OFFICE OF THE GOVERNOR, THE ATTORNEY GENERAL, ALL APPROPRIATE LEGISLA-
TIVE COMMITTEES, AND THE OFFICE OF TRADE ENFORCEMENT ESTABLISHED BY
SECTION TWO HUNDRED TWENTY-EIGHT OF THIS ARTICLE;
D. ISSUE A FORMAL REQUEST TO OFFICE OF TRADE ENFORCEMENT AND OTHER
APPROPRIATE STATE AGENCIES TO PROVIDE ANALYSIS OF ALL PROPOSED TRADE
AGREEMENTS' IMPACT ON LEGISLATIVE AUTHORITY AND THE ECONOMY OF THE
STATE;
E. INFORM ALL MEMBERS OF THE LEGISLATURE ON A REGULAR BASIS ABOUT
ONGOING TRADE NEGOTIATIONS AND DISPUTE SETTLEMENT PROCEEDINGS WITH
IMPLICATIONS FOR THE STATE MORE GENERALLY;
F. COMMUNICATE THE INTERESTS AND CONCERNS OF THE LEGISLATURE TO THE
UNITED STATES TRADE REPRESENTATIVE (USTR) REGARDING ONGOING AND PROPOSED
TRADE NEGOTIATIONS; AND
G. NOTIFY THE USTR OF THE OUTCOME OF ANY LEGISLATIVE ACTION.
3. THE FOLLOWING ACTIONS ARE REQUIRED BEFORE THE STATE SHALL CONSENT
TO THE TERMS OF A TRADE AGREEMENT:
A. 1262 3
A. WHEN A REQUEST HAS BEEN RECEIVED, THE GOVERNOR, THE TEMPORARY PRES-
IDENT AND MINORITY LEADER OF THE SENATE, THE SPEAKER AND THE MINORITY
LEADER OF THE ASSEMBLY, OR RANKING MEMBER OF THE APPROPRIATE COMMITTEE
OF JURISDICTION MAY SUBMIT TO THE LEGISLATURE, ON A DAY ON WHICH BOTH
HOUSES ARE IN SESSION, A COPY OF THE FINAL LEGAL TEXT OF THE AGREEMENT,
TOGETHER WITH:
I. A REPORT BY THE OFFICE OF TRADE ENFORCEMENT WHICH SHALL INCLUDE AN
ANALYSIS OF HOW THE AGREEMENT OF THE STATE TO THE SPECIFIC PROVISIONS OF
THE AGREEMENT WILL CHANGE OR AFFECT EXISTING STATE LAW;
II. A STATEMENT OF ANY ADMINISTRATIVE ACTION PROPOSED TO IMPLEMENT
THESE TRADE AGREEMENT PROVISIONS IN THE STATE; AND
III. A DRAFT OF LEGISLATION AUTHORIZING THE STATE TO SIGN ON TO THE
SPECIFIC LISTED PROVISIONS OF THE AGREEMENT IN QUESTION.
B. A PUBLIC HEARING, WITH ADEQUATE PUBLIC NOTICE, SHALL OCCUR BEFORE
THE LEGISLATURE VOTES ON THE BILL; AND
C. THE BILL AUTHORIZING THE STATE TO SIGN ON TO SPECIFIC LISTED
PROVISIONS OF AN AGREEMENT IS ENACTED INTO LAW.
4. THE ATTORNEY GENERAL SHALL NOTIFY THE USTR OF THE POLICIES SET
FORTH IN THIS ARTICLE IN WRITING NO LATER THAN DECEMBER THIRTY-FIRST AND
SHALL PROVIDE COPIES OF SUCH NOTICE TO THE TEMPORARY PRESIDENT OF THE
SENATE, SPEAKER OF THE ASSEMBLY, THE GOVERNOR AND THE STATE'S CONGRES-
SIONAL DELEGATION.
S 228. OFFICE OF TRADE ENFORCEMENT AND CITIZEN'S COMMISSION ON GLOBAL-
IZATION. 1. THE STATE SHALL ESTABLISH AN OFFICE OF TRADE ENFORCEMENT
AND A CITIZEN'S COMMISSION ON GLOBALIZATION.
2. THE OFFICE OF TRADE ENFORCEMENT IS DIRECTED TO:
A. MONITOR TRADE NEGOTIATIONS AND DISPUTES IMPACTING THE STATE ECONO-
MY.
B. ANALYZE PENDING TRADE AGREEMENTS THE STATE IS CONSIDERING SIGNING
AND PROVIDE THE ANALYSIS TO THE GOVERNOR, THE LEGISLATURE, THE CITIZEN'S
COMMISSION ON GLOBALIZATION AND THE PUBLIC.
C. PROVIDE TECHNICAL ASSISTANCE TO WORKERS AND FIRMS IMPACTED BY
UNFAIR TRADE PRACTICES.
D. PROVIDE A TRADE IMPACT REPORT TO THE GOVERNOR, THE LEGISLATURE, THE
CITIZEN'S COMMISSION ON GLOBALIZATION AND THE PUBLIC NO LATER THAN
DECEMBER THIRTY-FIRST AND ANNUALLY THEREAFTER.
E. PROVIDE ADDITIONAL RESEARCH AND ANALYSIS AS REQUESTED BY THE GOVER-
NOR, THE LEGISLATURE, AND THE CITIZEN'S COMMISSION ON GLOBALIZATION.
3. EACH ANNUAL TRADE IMPACT REPORT REQUIRED BY THIS SECTION SHALL
INCLUDE:
A. AN AUDIT OF THE AMOUNT OF PUBLIC CONTRACT WORK BEING PERFORMED
OVERSEAS;
B. AN AUDIT OF GOVERNMENT GOODS BEING PROCURED FROM OVERSEAS;
C. A STUDY OF TRADE'S IMPACTS ON STATE AND LOCAL EMPLOYMENT LEVELS,
TAX REVENUES AND RETRAINING AND ADJUSTMENT COSTS;
D. AN ANALYSIS OF THE CONSTRAINTS TRADE RULES PLACE ON STATE REGULATO-
RY AUTHORITY, INCLUDING BUT NOT LIMITED TO THE STATE'S ABILITY TO
PRESERVE THE ENVIRONMENT, PROTECT PUBLIC HEALTH AND SAFETY, AND PROVIDE
HIGH-QUALITY PUBLIC SERVICES; AND
E. FINDINGS AND RECOMMENDATIONS OF SPECIFIC ACTIONS THE STATE SHOULD
TAKE IN RESPONSE TO THE IMPACTS OF TRADE ON THE STATE IDENTIFIED ABOVE.
4. SUCH ACTIONS MAY INCLUDE, BUT SHALL NOT BE LIMITED TO:
A. REVOCATION OF THE STATE'S CONSENT TO BE BOUND BY THE PROCUREMENT
RULES OF INTERNATIONAL TRADE AGREEMENTS;
B. PROHIBITION OF OFFSHORE PERFORMANCE OF STATE CONTRACT WORK AND
PREFERENCES FOR DOMESTIC CONTENT IN STATE PURCHASING;
A. 1262 4
C. STATE SUPPORT FOR CASES BROUGHT UNDER FEDERAL TRADE LAWS BY RESI-
DENTS OF THE STATE;
D. STATE ADVOCACY FOR REFORM OF TRADE AGREEMENTS AND TRADE LAWS AT THE
FEDERAL LEVEL; AND
E. IMPLEMENTATION OF A HIGH-ROAD GROWTH STRATEGY FORMULATED WITH BUSI-
NESS, LABOR AND COMMUNITY PARTICIPATION.
5. SUCH A STRATEGY MAY INCLUDE, BUT NOT BE LIMITED TO:
A. MORE EFFECTIVE EARLY WARNING AND LAYOFF AVERSION MEASURES;
B. INCREASED ASSISTANCE AND ADJUSTMENT PROGRAMS FOR DISPLACED WORKERS
AND TRADE-IMPACTED COMMUNITIES;
C. STRONGER STANDARDS AND ACCOUNTABILITY FOR RECIPIENTS OF STATE
SUBSIDIES AND INCENTIVES;
D. INVESTMENTS IN WORKFORCE TRAINING AND DEVELOPMENT;
E. INVESTMENTS IN TECHNOLOGY AND INFRASTRUCTURE; AND
F. INCREASED ACCESS TO CAPITAL FOR LOCAL PRODUCERS.
6. WITHIN THIRTY DAYS OF RECEIPT OF THE ANNUAL TRADE IMPACT REPORT:
A. THE GOVERNOR SHALL REVIEW THE REPORT AND ISSUE A PUBLIC STATEMENT
EXPLAINING WHICH OF THE REPORT'S RECOMMENDATIONS FOR SPECIFIC ACTION THE
GOVERNOR WILL ACT UPON IN THE NEXT THIRTY DAYS, WHETHER THROUGH EXECU-
TIVE ACTION OR PROPOSED LEGISLATION.
B. THE LEGISLATURE SHALL REVIEW THE REPORT, HOLD PUBLIC HEARINGS ON
THE REPORT'S RECOMMENDATIONS FOR SPECIFIC ACTION AND INTRODUCE LEGIS-
LATION TO ENACT THOSE RECOMMENDATIONS ACCEPTED BY THE LEGISLATURE.
7. A CITIZEN'S COMMISSION ON GLOBALIZATION SHALL BE APPOINTED BY THE
GOVERNOR.
A. THE FOLLOWING STAKEHOLDERS SHALL BE EQUALLY REPRESENTED ON THE
COMMISSION: EMPLOYERS, LABOR ORGANIZATIONS, COMMUNITY ORGANIZATIONS AND
GOVERNMENT.
B. THE COMMISSION SHALL:
I. ASSESS THE LEGAL AND ECONOMIC IMPACTS OF TRADE AGREEMENTS;
II. PROVIDE INPUT ON THE ANNUAL TRADE IMPACT REPORT;
III. HOLD PUBLIC HEARINGS ON THE IMPACTS OF TRADE ON THE STATE AND
COMMUNITIES, AS WELL AS THE ANNUAL TRADE IMPACT REPORT IMPACTS OF TRADE
ON THE STATE; AND
IV. MAKE POLICY RECOMMENDATIONS TO THE GOVERNOR, LEGISLATURE, THE
STATE'S CONGRESSIONAL DELEGATION AND U.S. TRADE NEGOTIATORS.
S 3. This act shall take effect immediately.