S T A T E O F N E W Y O R K
________________________________________________________________________
7055
2009-2010 Regular Sessions
I N A S S E M B L Y
March 19, 2009
___________
Introduced by M. of A. BALL -- read once and referred to the Committee
on Governmental Operations
AN ACT to amend the state finance law, in relation to disqualifications
to contract with the state
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 139-b of the state finance law, as amended by chap-
ter 268 of the laws of 1971, is amended to read as follows:
S 139-b. Disqualification to contract with state. 1. Any person who,
when called before a grand jury, head of a state department, temporary
state commission or other state agency, or the organized crime task
force in the department of law, which is empowered to compel the attend-
ance of witnesses and examine them under oath, to testify in an investi-
gation, concerning any transaction or contract had with the state, any
political subdivision thereof, a public authority or with a public
department, agency or official of the state or of any political subdivi-
sion thereof or of a public authority, refuses to sign a waiver of immu-
nity against subsequent criminal prosecution or to answer any relevant
question concerning such transaction or contract, and any firm, partner-
ship or corporation of which he is a member, partner, director or offi-
cer shall be disqualified from thereafter selling to or submitting bids
to or receiving awards from or entering into any contracts with the
state or any public department, agency or official thereof, for goods,
work or services, for a period of five years after such refusal or until
a disqualification shall be removed pursuant to the provisions of
section one hundred thirty-nine-c of this article.
2. It shall be the duty of the officer conducting the investigation
before the grand jury, the head of a state department, the chairman of
the temporary state commission or other state agency, or the organized
crime task force in the department of law before which the refusal
occurs to send notice of such refusal, together with the names of any
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD05972-01-9
A. 7055 2
firm, partnership or corporation of which the person so refusing is
known to be a member, partner, officer or director, to the state commis-
sioner of transportation, except in the event the investigation concerns
a public building transaction or contract said notice shall be sent to
the state commissioner of general services, and the appropriate depart-
ments, agencies and officials of the state, political subdivisions ther-
eof or public authorities with whom the person so refusing and any firm,
partnership or corporation of which he is a member, partner, director or
officer, is known to have a contract. However, when such refusal occurs
before a body other than a grand jury, notice of refusal shall not be
sent for a period of ten days after such refusal occurs. Prior to the
expiration of this ten day period, any person, firm, partnership or
corporation which has become liable to the cancellation or termination
of a contract or disqualification to contract on account of such refusal
may commence a special proceeding at a special term of the supreme
court, held within the judicial district in which the refusal occurred,
for an order determining whether the questions in response to which the
refusal occurred were relevant and material to the inquiry. Upon the
commencement of such proceeding, the sending of such notice of refusal
to answer shall be subject to order of the court in which the proceeding
was brought in a manner and on such terms as the court may deem just. If
a proceeding is not brought within ten days, notice of refusal shall
thereupon be sent as provided herein.
3. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISIONS ONE AND TWO OF THIS
SECTION OR ANY OTHER PROVISION OF LAW, ANY PERSON WHO HAS A TRANSACTION
OR HAS ENTERED INTO A CONTRACT WITH THE STATE, ANY POLITICAL SUBDIVISION
THEREOF, A PUBLIC AUTHORITY OR WITH A PUBLIC DEPARTMENT, AGENCY OR OFFI-
CIAL OF THE STATE OR OF ANY POLITICAL SUBDIVISION THEREOF OR OF A PUBLIC
AUTHORITY AND EMPLOYS ILLEGAL ALIENS IN CARRYING OUT SUCH TRANSACTION OR
CONTRACT, HE OR SHE AND ANY FIRM, PARTNERSHIP, LIMITED LIABILITY COMPANY
OR CORPORATION OF WHICH HE OR SHE IS A MEMBER, PARTNER, DIRECTOR OR
OFFICER SHALL BE DISQUALIFIED FROM THEREAFTER SELLING TO OR SUBMITTING
TO OR RECEIVING AWARDS FROM OR ENTERING INTO ANY CONTRACTS WITH THE
STATE OR ANY PUBLIC DEPARTMENT, AGENCY OR OFFICIAL, FOR GOODS, WORK OR
SERVICES FOR A PERIOD OF TEN YEARS AFTER THE DISCOVERY OF THE USE OF
SAID ILLEGAL ALIENS OR UNTIL A DISQUALIFICATION SHALL BE REMOVED PURSU-
ANT TO THE PROVISIONS OF SECTION ONE HUNDRED THIRTY-NINE-C OF THIS ARTI-
CLE.
S 2. This act shall take effect immediately.