S T A T E O F N E W Y O R K
________________________________________________________________________
1301
2009-2010 Regular Sessions
I N A S S E M B L Y
(PREFILED)
January 7, 2009
___________
Introduced by M. of A. WRIGHT, HOOPER, SCHROEDER, CHRISTENSEN -- Multi-
Sponsored by -- M. of A. AUBRY, COLTON, COOK, DINOWITZ, GREENE, JOHN,
MAGEE, MILLMAN, PHEFFER, REILLY -- read once and referred to the
Committee on Local Governments
AN ACT to amend the general municipal law and the state finance law, in
relation to granting preferences to New York state domiciliaries in
the awarding of contracts for public work
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 1 of section 103 of the general municipal law,
as amended by chapter 741 of the laws of 2005, is amended to read as
follows:
1. Except as otherwise expressly provided by an act of the legislature
or by a local law adopted prior to September first, nineteen hundred
fifty-three, all contracts for public work involving an expenditure of
more than twenty thousand dollars and all purchase contracts involving
an expenditure of more than ten thousand dollars, shall be awarded by
the appropriate officer, board or agency of a political subdivision or
of any district therein including but not limited to a soil conservation
district, to the lowest responsible bidder furnishing the required secu-
rity after advertisement for sealed bids in the manner provided by this
section. In any case where a responsible bidder's gross price is reduci-
ble by an allowance for the value of used machinery, equipment, appara-
tus or tools to be traded in by a political subdivision, the gross price
shall be reduced by the amount of such allowance, for the purpose of
determining the low bid. NOTWITHSTANDING THE FOREGOING, IN ANY CASE
WHERE A RESPONSIBLE BIDDER WHO IS A NEW YORK STATE RESIDENT, FIRM OR
CORPORATION AND WHO IS FURNISHING THE REQUIRED SECURITY IS FOUND BY SUCH
OFFICER, BOARD OR AGENCY TO BE WITHIN TWO PERCENT OF THE BID OF THE
LOWEST RESPONSIBLE BIDDER, SUCH OFFICER, BOARD OR AGENCY MAY PREFER SUCH
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00139-01-9
A. 1301 2
RESPONSIBLE BIDDER OVER THE LOWEST RESPONSIBLE BIDDER AND AWARD THE
CONTRACT TO SUCH RESPONSIBLE BIDDER; PROVIDED, HOWEVER, WHERE MORE THAN
ONE RESPONSIBLE BIDDER QUALIFIES HEREUNDER, SUCH OFFICER, BOARD OR AGEN-
CY SHALL AWARD THE CONTRACT TO SUCH QUALIFIED RESPONSIBLE BIDDER SUBMIT-
TING THE LOWEST BID. In cases where two or more responsible bidders
furnishing the required security submit identical bids as to price, such
officer, board or agency may award the contract to any of such bidders.
Such officer, board or agency may, in his or its discretion, reject all
bids and readvertise for new bids in the manner provided by this
section. For purposes of this section, "sealed bids", as that term
applies to purchase contracts, shall include bids submitted in an elec-
tronic format, provided that the governing board of the political subdi-
vision or district, by resolution, has authorized the receipt of bids in
such format. Submission in electronic format may not, however, be
required as the sole method for the submission of bids. Bids submitted
in an electronic format shall be transmitted by bidders to the receiving
device designated by the political subdivision or district. Any method
used to receive electronic bids shall comply with article three of the
state technology law, and any rules and regulations promulgated and
guidelines developed thereunder and, at a minimum, must (a) document the
time and date of receipt of each bid received electronically; (b)
authenticate the identity of the sender; (c) ensure the security of the
information transmitted; and (d) ensure the confidentiality of the bid
until the time and date established for the opening of bids. The timely
submission of an electronic bid in compliance with instructions provided
for such submission in the advertisement for bids and/or the specifica-
tions shall be the responsibility solely of each bidder or prospective
bidder. No political subdivision or district therein shall incur any
liability from delays of or interruptions in the receiving device desig-
nated for the submission and receipt of electronic bids.
S 2. Subdivision 1 of section 103 of the general municipal law, as
amended by chapter 413 of the laws of 1991, is amended to read as
follows:
1. Except as otherwise expressly provided by an act of the legislature
or by a local law adopted prior to September first, nineteen hundred
fifty-three, all contracts for public work involving an expenditure of
more than twenty thousand dollars and all purchase contracts involving
an expenditure of more than ten thousand dollars, shall be awarded by
the appropriate officer, board or agency of a political subdivision or
of any district therein including but not limited to a soil conservation
district, to the lowest responsible bidder furnishing the required secu-
rity after advertisement for sealed bids in the manner provided by this
section. In any case where a responsible bidder's gross price is reduci-
ble by an allowance for the value of used machinery, equipment, appara-
tus or tools to be traded in by a political subdivision, the gross price
shall be reduced by the amount of such allowance, for the purpose of
determining the low bid. NOTWITHSTANDING THE FOREGOING, IN ANY CASE
WHERE A RESPONSIBLE BIDDER WHO IS A NEW YORK STATE RESIDENT, FIRM OR
CORPORATION AND WHO IS FURNISHING THE REQUIRED SECURITY IS FOUND BY SUCH
OFFICER, BOARD OR AGENCY TO BE WITHIN TWO PERCENT OF THE BID OF THE
LOWEST RESPONSIBLE BIDDER, SUCH OFFICER, BOARD OR AGENCY MAY PREFER SUCH
RESPONSIBLE BIDDER OVER THE LOWEST RESPONSIBLE BIDDER AND AWARD THE
CONTRACT TO SUCH RESPONSIBLE BIDDER; PROVIDED, HOWEVER, WHERE MORE THAN
ONE RESPONSIBLE BIDDER QUALIFIES HEREUNDER, SUCH OFFICER, BOARD OR AGEN-
CY SHALL AWARD THE CONTRACT TO SUCH QUALIFIED RESPONSIBLE BIDDER SUBMIT-
TING THE LOWEST BID. In cases where two or more responsible bidders
A. 1301 3
furnishing the required security submit identical bids as to price, such
officer, board or agency may award the contract to any of such bidders.
Such officer, board or agency may, in his or its discretion, reject all
bids and readvertise for new bids in the manner provided by this
section.
S 3. Section 135 of the state finance law is amended by adding a new
closing paragraph to read as follows:
NOTWITHSTANDING ANY OTHER PROVISION OF LAW, WHENEVER THE LOWEST
RESPONSIBLE BIDDER IS A FOREIGN OR OUT-OF-STATE INDIVIDUAL, FIRM OR
CORPORATION AND AT LEAST ONE NEW YORK STATE RESIDENT, FIRM OR CORPO-
RATION HAS SUBMITTED A RESPONSIBLE BID WHICH IS WITHIN TWO PERCENT OF
THE LOWEST RESPONSIBLE BID, THE CONTRACT MAY BE AWARDED TO THE LOWEST
RESPONSIBLE BIDDER WHO IS A NEW YORK STATE RESIDENT, FIRM OR CORPO-
RATION; PROVIDED, HOWEVER, WHERE MORE THAN ONE RESPONSIBLE BIDDER QUALI-
FIES HEREUNDER, SUCH OFFICER, BOARD OR AGENCY SHALL AWARD THE CONTRACT
TO SUCH QUALIFIED RESPONSIBLE BIDDER SUBMITTING THE LOWEST BID.
S 4. This act shall take effect on the first of September next
succeeding the date on which it shall have become a law; provided,
however, that the amendments to subdivision 1 of section 103 of the
general municipal law made by section one of this act shall not affect
the expiration and reversion of such subdivision as provided in subdivi-
sion (a) of section 41 of part X of chapter 62 of the laws of 2003, as
amended, when upon such date the provisions of section two of this act
shall take effect.