S T A T E O F N E W Y O R K
________________________________________________________________________
274
2009-2010 Regular Sessions
I N S E N A T E
(PREFILED)
January 7, 2009
___________
Introduced by Sen. LITTLE -- read twice and ordered printed, and when
printed to be committed to the Committee on Local Government
AN ACT to amend the general municipal law, in relation to the awarding
of contracts, payments by contractors to subcontractors and local
government procurement practices
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] FIFTY thousand dollars and all purchase contracts
involving an expenditure of more than [ten] TWENTY thousand dollars,
shall be awarded by the appropriate officer, board or agency of a poli-
tical subdivision or of any district therein including but not limited
to a soil conservation district, to the lowest responsible bidder
furnishing the required security after advertisement for sealed bids in
the manner provided by this section. In any case where a responsible
bidder's gross price is reducible by an allowance for the value of used
machinery, equipment, apparatus 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. 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
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00972-01-9
S. 274 2
bids submitted in an electronic format, provided that the governing
board of the political subdivision 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 poli-
tical 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 there-
under 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 estab-
lished 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 specifications shall be the responsi-
bility solely of each bidder or prospective bidder. No political subdi-
vision or district therein shall incur any liability from delays of or
interruptions in the receiving device designated for the submission and
receipt of electronic bids.
S 2. Section 103 of the general municipal law is amended by adding
three new subdivisions 1-b, 1-c and 16 to read as follows:
1-B. WHEN THE OFFICER, BOARD OR AGENCY OF ANY POLITICAL SUBDIVISION
OR OF ANY DISTRICT THEREIN CHARGED WITH THE AWARDING OF CONTRACTS UNDER
THIS SECTION DETERMINES THAT IT IS IN THE BEST INTEREST OF THE POLITICAL
SUBDIVISION OR DISTRICT THEREIN, THEY MAY AWARD CONTRACTS FOR SERVICES
ON THE BASIS OF BEST VALUE AS DEFINED IN SECTION ONE HUNDRED SIXTY-THREE
OF THE STATE FINANCE LAW TO RESPONSIVE AND RESPONSIBLE OFFERERS.
NOTWITHSTANDING ANY OTHER PROVISION OF THIS SECTION, A CONTRACT FOR
SERVICES MAY BE AWARDED ON THE BASIS OF BEST VALUE PROVIDED THAT THE
CONTRACTING PROCESS AND AWARD SHALL COMPLY WITH THE GUIDELINES ESTAB-
LISHED UNDER SECTION ONE HUNDRED SIXTY-THREE OF THE STATE FINANCE LAW BY
THE STATE PROCUREMENT COUNCIL. ANY PROCUREMENT MADE UNDER THIS SUBDIVI-
SION SHALL BE APPROVED BY THE GOVERNING BODY OF THE PURCHASING POLITICAL
SUBDIVISION OR DISTRICT THEREIN.
1-C. A POLITICAL SUBDIVISION OR ANY DISTRICT THEREIN SHALL HAVE THE
OPTION OF PURCHASING INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS HARD-
WARE, SOFTWARE AND PROFESSIONAL SERVICES THROUGH COOPERATIVE PURCHASING
PERMISSIBLE PURSUANT TO FEDERAL GENERAL SERVICES ADMINISTRATION INFORMA-
TION TECHNOLOGY SCHEDULE SEVENTY OR ANY SUCCESSOR SCHEDULE. A POLITICAL
SUBDIVISION OR ANY DISTRICT THEREIN THAT PURCHASES THROUGH GENERAL
SERVICES ADMINISTRATION SCHEDULE SEVENTY, INFORMATION TECHNOLOGY AND
CONSOLIDATED SCHEDULE CONTRACTS SHALL COMPLY WITH FEDERAL SCHEDULE
ORDERING PROCEDURES AS PROVIDED IN FEDERAL ACQUISITION REGULATION
8.405-1 OR 8.405-2, WHICHEVER IS APPLICABLE. ADHERENCE TO SUCH PROCEDURE
SHALL CONSTITUTE COMPLIANCE WITH THE COMPETITIVE BIDDING REQUIREMENTS
UNDER THIS SECTION.
16. NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION ONE OF THIS SECTION
AND IN ADDITION TO THE PROVISIONS OF SUBDIVISION THREE OF THIS SECTION
AND SECTION ONE HUNDRED FOUR OF THIS ARTICLE, ANY OFFICER, BOARD OR
AGENCY OF A POLITICAL SUBDIVISION OR OF ANY DISTRICT THEREIN AUTHORIZED
TO MAKE PURCHASES OF MATERIALS, EQUIPMENT AND SUPPLIES MAY MAKE SUCH
PURCHASES AS MAY BE REQUIRED BY SUCH POLITICAL SUBDIVISION OR ANY
DISTRICT THEREIN THROUGH THE USE OF A CONTRACT LET BY ANY OTHER STATE OR
POLITICAL SUBDIVISION IF SUCH CONTRACT WAS LET IN ACCORDANCE WITH
COMPETITIVE BIDDING REQUIREMENTS THAT ARE CONSISTENT WITH THIS SECTION
S. 274 3
AND WITH THE INTENT OF EXTENDING ITS USE TO CERTAIN OTHER GOVERNMENTAL
ENTITIES. PRIOR TO MAKING SUCH A PURCHASE, THE GOVERNING BOARD OF THE
POLITICAL SUBDIVISION OR DISTRICT MAKING THE PURCHASE SHALL DETERMINE,
UPON REVIEW OF ANY NECESSARY DOCUMENTATION AND, AS APPROPRIATE, UPON
ADVICE OF ITS COUNSEL, THAT THE REQUIREMENTS OF THIS SUBDIVISION HAVE
BEEN MET, AND SHALL CERTIFY, BY RESOLUTION, THAT SUCH PURCHASE IS
PERMITTED UNDER THE PROCUREMENT POLICIES AND PROCEDURES OF THE POLITICAL
SUBDIVISION OR DISTRICT, ADOPTED PURSUANT TO SECTION ONE HUNDRED FOUR-B
OF THIS ARTICLE.
S 3. This act shall take effect immediately provided that the amend-
ments to subdivision 1 of section 103 of the general municipal law made
by section one of this act shall not affect the expiration of such
subdivision and shall be deemed to expire therewith.