S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  9892

                          I N  A S S E M B L Y

                             April 20, 2012
                               ___________

Introduced by M. of A. LAVINE -- read once and referred to the Committee
  on Veterans' Affairs

AN ACT to amend the executive law, in relation to veteran-owned business
  enterprises

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The executive law is amended by adding a new  article  17-A
to read as follows:

                              ARTICLE 17-A
             PARTICIPATION BY VETERANS WITH RESPECT TO STATE
                                CONTRACTS
SECTION 369.   DEFINITIONS.
        369-A. OPPORTUNITIES FOR VETERAN-OWNED BUSINESS ENTERPRISES.
        369-B. STATEWIDE CERTIFICATION PROGRAM.
        369-C. RESPONSIBILITIES OF CONTRACTING AGENCIES.
        369-D. ENFORCEMENT.
        369-E. SEVERABILITY.
  S 369. DEFINITIONS. AS USED IN THIS ARTICLE, THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS:
  1.   "CERTIFIED   BUSINESS"  SHALL  MEAN  A  BUSINESS  VERIFIED  AS  A
VETERAN-OWNED BUSINESS ENTERPRISE  PURSUANT  TO  SECTION  THREE  HUNDRED
SIXTY-NINE-B OF THIS ARTICLE.
  2.  "CONTRACTING AGENCY" SHALL MEAN A STATE AGENCY WHICH IS A PARTY OR
A PROPOSED PARTY TO A STATE CONTRACT OR, IN THE CASE OF A STATE CONTRACT
DESCRIBED IN SUBDIVISION NINE OF THIS SECTION, SHALL MEAN THE  NEW  YORK
STATE HOUSING FINANCE AGENCY, HOUSING TRUST FUND CORPORATION OR AFFORDA-
BLE  HOUSING  CORPORATION,  WHICHEVER  HAS  MADE OR PROPOSES TO MAKE THE
GRANT OR LOAN FOR THE STATE ASSISTED HOUSING PROJECT.
  3. "CONTRACTOR" SHALL  MEAN  AN  INDIVIDUAL,  A  BUSINESS  ENTERPRISE,
INCLUDING  A  SOLE  PROPRIETORSHIP,  A  PARTNERSHIP,  A  CORPORATION,  A
NOT-FOR-PROFIT CORPORATION, OR ANY OTHER PARTY TO A STATE CONTRACT, OR A
BIDDER IN CONJUNCTION WITH THE AWARD OF A STATE CONTRACT OR  A  PROPOSED
PARTY TO A STATE CONTRACT.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
              

                                                           LBD14888-01-2

A. 9892                             2

  4. "DIRECTOR" SHALL MEAN THE DIRECTOR OF THE DIVISION OF VETERAN-OWNED
BUSINESS DEVELOPMENT IN THE DEPARTMENT OF ECONOMIC DEVELOPMENT.
  5.  "VETERAN"  SHALL  MEAN A RESIDENT OF THIS STATE, WHO HAS SERVED ON
ACTIVE DUTY IN THE UNITED STATES ARMY, NAVY, AIR FORCE,  MARINES,  COAST
GUARD,  AND/  OR  RESERVES  THEREOF, AND/OR THE ARMY NATIONAL GUARD, AIR
NATIONAL GUARD, NEW YORK GUARD AND/OR THE NEW YORK  NAVAL  MILITIA,  AND
WHO  IS  CURRENTLY IN SERVICE, OR HAS BEEN RELEASED FROM SUCH SERVICE BY
HONORABLE DISCHARGE, OR WHO HAS BEEN FURLOUGHED TO THE RESERVE.
  6. "VETERAN-OWNED BUSINESS ENTERPRISE" SHALL MEAN  A  BUSINESS  ENTER-
PRISE,  INCLUDING  A  SOLE  PROPRIETORSHIP, PARTNERSHIP, CORPORATION, OR
LIMITED LIABILITY COMPANY THAT IS:
  (A) AT LEAST FIFTY-ONE PERCENT OWNED BY A VETERAN;
  (B) AN ENTERPRISE IN WHICH SUCH VETERAN OWNERSHIP IS REAL, SUBSTANTIAL
AND CONTINUING;
  (C) AN ENTERPRISE IN WHICH SUCH VETERAN OWNERSHIP  HAS  AND  EXERCISES
THE AUTHORITY TO CONTROL INDEPENDENTLY THE DAY-TO-DAY BUSINESS DECISIONS
OF THE ENTERPRISE;
  (D)  AN  ENTERPRISE  AUTHORIZED TO DO BUSINESS IN THIS STATE AND INDE-
PENDENTLY OWNED AND OPERATED;
  (E) AN ENTERPRISE OWNED BY AN INDIVIDUAL OR INDIVIDUALS, WHOSE  OWNER-
SHIP,  CONTROL  AND  OPERATION ARE RELIED UPON FOR CERTIFICATION, WITH A
PERSONAL NET WORTH THAT DOES NOT EXCEED THREE MILLION FIVE HUNDRED THOU-
SAND DOLLARS, AS ADJUSTED ANNUALLY ON THE FIRST OF JANUARY FOR INFLATION
ACCORDING TO THE CONSUMER PRICE INDEX OF THE PREVIOUS YEAR; AND
  (F) AN ENTERPRISE THAT IS A SMALL  BUSINESS  PURSUANT  TO  SUBDIVISION
FOURTEEN OF THIS SECTION.
  7. "STATE AGENCY" SHALL MEAN:
  (A) (I) ANY STATE DEPARTMENT; OR
  (II)  ANY  DIVISION,  BOARD, COMMISSION OR BUREAU OF ANY STATE DEPART-
MENT; OR
  (III) THE STATE UNIVERSITY OF NEW YORK AND THE CITY UNIVERSITY OF  NEW
YORK,  INCLUDING  ALL  THEIR CONSTITUENT UNITS EXCEPT COMMUNITY COLLEGES
AND  THE  INDEPENDENT  INSTITUTIONS  OPERATING  STATUTORY  OR   CONTRACT
COLLEGES ON BEHALF OF THE STATE; OR
  (IV)  A BOARD, A MAJORITY OF WHOSE MEMBERS ARE APPOINTED BY THE GOVER-
NOR OR WHO SERVE BY VIRTUE OF  BEING  STATE  OFFICERS  OR  EMPLOYEES  AS
DEFINED  IN SUBPARAGRAPH (I), (II) OR (III) OF PARAGRAPH (I) OF SUBDIVI-
SION ONE OF SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW; OR
  (B) A "STATE AUTHORITY," AS DEFINED IN SUBDIVISION ONE OF SECTION  TWO
OF THE PUBLIC AUTHORITIES LAW.
  8.  "STATE ASSISTED HOUSING PROJECT" OR "PROJECT" SHALL MEAN, FOR SUCH
PROJECTS WHICH RECEIVE FROM THE NEW YORK STATE HOUSING  FINANCE  AGENCY,
THE  AFFORDABLE  HOUSING CORPORATION, THE HOUSING TRUST FUND CORPORATION
OR THE DIVISION OF HOUSING AND COMMUNITY RENEWAL A GRANT OR LOAN FOR ALL
OR PART OF THE TOTAL PROJECT COST:
  (A) A "PERMANENT HOUSING PROJECT FOR HOMELESS FAMILIES" AS DEFINED  IN
SUBDIVISION  FIVE  OF  SECTION SIXTY-FOUR OF THE PRIVATE HOUSING FINANCE
LAW;
  (B) A "PROJECT" AS DEFINED IN SUBDIVISION TWELVE OF SECTION ONE  THOU-
SAND  ONE  HUNDRED  ONE OF THE PRIVATE HOUSING FINANCE LAW PROVIDED SAID
PROJECT IS LOCATED IN A LARGE COUNTY AND CONSISTS OF  MORE  THAN  TWELVE
RESIDENTIAL UNITS AT A SINGLE SITE;
  (C)  "AFFORDABLE  HOME  OWNERSHIP  DEVELOPMENT PROGRAMS" AS DEFINED IN
SUBDIVISION EIGHT OF SECTION ONE THOUSAND  ONE  HUNDRED  ELEVEN  OF  THE
PRIVATE HOUSING FINANCE LAW PROVIDED SAID PROJECT IS LOCATED IN A METRO-

A. 9892                             3

POLITAN AREA AS HEREIN DEFINED AND CONSISTS OF MORE THAN TWELVE RESIDEN-
TIAL UNITS AT A SINGLE SITE;
  (D)  A "TURNKEY/ENHANCED RENTAL PROJECT" AS DEFINED IN SUBDIVISION TWO
OF SECTION ONE THOUSAND ONE HUNDRED SIX-A OF THE PRIVATE HOUSING FINANCE
LAW;
  (E) "INFRASTRUCTURE IMPROVEMENTS" AS DEFINED  IN  SUBDIVISION  TWO  OF
SECTION  ONE  THOUSAND  ONE  HUNDRED  THIRTY-ONE  OF THE PRIVATE HOUSING
FINANCE LAW, TO THE EXTENT THAT SUCH "INFRASTRUCTURE  IMPROVEMENTS"  ARE
APPLIED  FOR  IN  CONNECTION  WITH  A  STATE ASSISTED HOUSING PROJECT AS
DEFINED IN PARAGRAPHS (A) THROUGH (D) OF THIS SUBDIVISION  AND  PROVIDED
FURTHER  THAT THE APPLICANT FOR SUCH INFRASTRUCTURE IMPROVEMENTS AND FOR
SUCH STATE ASSISTED HOUSING PROJECT ARE IDENTICAL.
  9. "STATE CONTRACT" SHALL MEAN:
  (A) A WRITTEN AGREEMENT OR PURCHASE ORDER INSTRUMENT, PROVIDING FOR  A
TOTAL  EXPENDITURE  IN EXCESS OF TWENTY-FIVE THOUSAND DOLLARS, WHEREBY A
CONTRACTING AGENCY IS COMMITTED TO EXPEND OR DOES EXPEND FUNDS IN RETURN
FOR LABOR, SERVICES INCLUDING BUT NOT LIMITED TO  LEGAL,  FINANCIAL  AND
OTHER  PROFESSIONAL  SERVICES,  SUPPLIES,  EQUIPMENT,  MATERIALS  OR ANY
COMBINATION OF THE FOREGOING,  TO  BE  PERFORMED  FOR,  OR  RENDERED  OR
FURNISHED TO THE CONTRACTING AGENCY;
  (B)  A  WRITTEN  AGREEMENT  IN  EXCESS OF ONE HUNDRED THOUSAND DOLLARS
WHEREBY A CONTRACTING AGENCY IS COMMITTED TO EXPEND OR DOES EXPEND FUNDS
FOR THE ACQUISITION, CONSTRUCTION, DEMOLITION, REPLACEMENT, MAJOR REPAIR
OR RENOVATION OF REAL PROPERTY AND IMPROVEMENTS THEREON; AND
  (C) A WRITTEN AGREEMENT IN EXCESS  OF  ONE  HUNDRED  THOUSAND  DOLLARS
WHEREBY  THE  OWNER  OF A STATE ASSISTED HOUSING PROJECT IS COMMITTED TO
EXPEND OR DOES EXPEND FUNDS FOR THE ACQUISITION,  CONSTRUCTION,  DEMOLI-
TION,  REPLACEMENT,  MAJOR  REPAIR  OR  RENOVATION  OF REAL PROPERTY AND
IMPROVEMENTS THEREON FOR SUCH PROJECT.
  10. "SUBCONTRACT" SHALL  MEAN  AN  AGREEMENT  PROVIDING  FOR  A  TOTAL
EXPENDITURE   IN   EXCESS   OF  TWENTY-FIVE  THOUSAND  DOLLARS  FOR  THE
CONSTRUCTION, DEMOLITION, REPLACEMENT, MAJOR REPAIR,  RENOVATION,  PLAN-
NING  OR  DESIGN  OF  REAL  PROPERTY  AND IMPROVEMENTS THEREON BETWEEN A
CONTRACTOR AND ANY INDIVIDUAL OR BUSINESS ENTERPRISE, INCLUDING  A  SOLE
PROPRIETORSHIP, PARTNERSHIP, CORPORATION, OR NOT-FOR-PROFIT CORPORATION,
IN  WHICH  A PORTION OF A CONTRACTOR'S OBLIGATION UNDER A STATE CONTRACT
IS UNDERTAKEN OR ASSUMED, BUT SHALL NOT INCLUDE ANY CONSTRUCTION,  DEMO-
LITION,  REPLACEMENT,  MAJOR  REPAIR,  RENOVATION, PLANNING OR DESIGN OF
REAL PROPERTY OR IMPROVEMENTS THEREON FOR  THE  BENEFICIAL  USE  OF  THE
CONTRACTOR.
  11.  "COMMISSIONER"  SHALL  MEAN THE COMMISSIONER OF ECONOMIC DEVELOP-
MENT.
  12. "LESSEE" SHALL MEAN AN INDIVIDUAL, A BUSINESS ENTERPRISE,  INCLUD-
ING  A SOLE PROPRIETORSHIP, A PARTNERSHIP, A CORPORATION, A NOT-FOR-PRO-
FIT CORPORATION, OR ANY OTHER PARTY TO A LEASE WITH A  STATE  AGENCY  AS
DEFINED  IN  SUBDIVISION  SEVEN  OF  THIS  SECTION,  OR  A RESPONDENT IN
CONJUNCTION WITH THE AWARD OF SUCH A LEASE OR A PROPOSED LESSEE  WITH  A
STATE AGENCY AS DEFINED IN SUBDIVISION SEVEN OF THIS SECTION.
  13.  "PERSONAL  NET WORTH" SHALL MEAN THE AGGREGATE ADJUSTED NET VALUE
OF THE ASSETS OF AN INDIVIDUAL REMAINING  AFTER  TOTAL  LIABILITIES  ARE
DEDUCTED.  PERSONAL  NET WORTH INCLUDES THE INDIVIDUAL'S SHARE OF ASSETS
HELD JOINTLY WITH SAID INDIVIDUAL'S SPOUSE  AND  DOES  NOT  INCLUDE  THE
INDIVIDUAL'S  OWNERSHIP  INTEREST  IN  THE VETERAN-OWNED BUSINESS ENTER-
PRISE, THE INDIVIDUAL'S EQUITY IN HIS OR HER PRIMARY RESIDENCE, OR UP TO
FIVE HUNDRED THOUSAND DOLLARS OF THE PRESENT CASH VALUE OF ANY QUALIFIED

A. 9892                             4

RETIREMENT SAVINGS PLAN OR INDIVIDUAL RETIREMENT  ACCOUNT  HELD  BY  THE
INDIVIDUAL LESS ANY PENALTIES FOR EARLY WITHDRAWAL.
  14.  "SMALL  BUSINESS" AS USED IN THIS SECTION, UNLESS OTHERWISE INDI-
CATED, SHALL MEAN A BUSINESS WHICH HAS A SIGNIFICANT  BUSINESS  PRESENCE
IN THE STATE, IS INDEPENDENTLY OWNED AND OPERATED, AND EMPLOYS, BASED ON
ITS INDUSTRY, A CERTAIN NUMBER OF PERSONS AS DETERMINED BY THE DIRECTOR,
BUT NOT TO EXCEED THREE HUNDRED, TAKING INTO CONSIDERATION FACTORS WHICH
INCLUDE,  BUT  ARE NOT LIMITED TO, FEDERAL SMALL BUSINESS ADMINISTRATION
STANDARDS. THE DIRECTOR MAY ISSUE REGULATIONS ON THE CONSTRUCTION OF THE
TERMS IN THIS DEFINITION.
  S 369-A. OPPORTUNITIES  FOR  VETERAN-OWNED  BUSINESS  ENTERPRISES.  1.
GOALS  AND REQUIREMENTS FOR AGENCIES AND CONTRACTORS.  EACH AGENCY SHALL
STRUCTURE PROCUREMENT PROCEDURES FOR CONTRACTS MADE  DIRECTLY  OR  INDI-
RECTLY  TO  VETERAN-OWNED  BUSINESS  ENTERPRISES,  CONSISTENT  WITH  THE
PURPOSES OF THIS ARTICLE, TO ATTEMPT TO ACHIEVE  THE  FOLLOWING  RESULTS
WITH REGARD TO TOTAL ANNUAL STATEWIDE PROCUREMENT:
  (A)  CONSTRUCTION INDUSTRY FOR CERTIFIED VETERAN-OWNED BUSINESS ENTER-
PRISES: THREE PERCENT;
  (B) CONSTRUCTION RELATED PROFESSIONAL SERVICES INDUSTRY FOR  CERTIFIED
VETERAN-OWNED BUSINESS ENTERPRISES: THREE PERCENT;
  (C)  NON-CONSTRUCTION RELATED SERVICES INDUSTRY FOR CERTIFIED VETERAN-
OWNED BUSINESS ENTERPRISES: THREE PERCENT;
  (D) COMMODITIES INDUSTRY FOR CERTIFIED VETERAN-OWNED  BUSINESS  ENTER-
PRISES: THREE PERCENT; AND
  (E)  OVERALL  AGENCY  TOTAL  DOLLAR VALUE OF PROCUREMENT FOR CERTIFIED
VETERAN-OWNED BUSINESS ENTERPRISES: THREE PERCENT.
  2. THE DIRECTOR SHALL PROMULGATE RULES AND REGULATIONS PURSUANT TO THE
GOALS ESTABLISHED IN SUBDIVISION ONE OF THIS SECTION THAT PROVIDE  MEAS-
URES  AND  PROCEDURES  TO ENSURE THAT CERTIFIED VETERAN-OWNED BUSINESSES
SHALL BE GIVEN THE OPPORTUNITY FOR MAXIMUM FEASIBLE PARTICIPATION IN THE
PERFORMANCE OF STATE CONTRACTS AND TO ASSIST IN THE AGENCY'S IDENTIFICA-
TION OF THOSE STATE CONTRACTS FOR WHICH  VETERAN-OWNED  CERTIFIED  BUSI-
NESSES  MAY  BEST  BID  TO ACTIVELY AND AFFIRMATIVELY PROMOTE AND ASSIST
THEIR PARTICIPATION IN THE PERFORMANCE  OF  STATE  CONTRACTS  SO  AS  TO
FACILITATE  THE  AGENCY'S ACHIEVEMENT OF THE MAXIMUM FEASIBLE PORTION OF
THE GOALS FOR STATE CONTRACTS TO SUCH BUSINESSES.
  2-A. THE DIRECTOR SHALL PROMULGATE RULES  AND  REGULATIONS  THAT  WILL
ACCOMPLISH THE FOLLOWING:
  (A) PROVIDE FOR THE CERTIFICATION AND DECERTIFICATION OF VETERAN-OWNED
BUSINESS  ENTERPRISES  FOR  ALL  AGENCIES  THROUGH A SINGLE PROCESS THAT
MEETS APPLICABLE REQUIREMENTS;
  (B) REQUIRE THAT EACH CONTRACT SOLICITATION DOCUMENT ACCOMPANYING EACH
SOLICITATION SET FORTH THE EXPECTED  DEGREE  OF  VETERAN-OWNED  BUSINESS
ENTERPRISE PARTICIPATION BASED, IN PART, ON:
  (I)  THE  POTENTIAL  SUBCONTRACT  OPPORTUNITIES AVAILABLE IN THE PRIME
PROCUREMENT CONTRACT; AND
  (II) THE AVAILABILITY, AS CONTAINED WITHIN  THE  STUDY,  OF  CERTIFIED
VETERAN-OWNED  BUSINESS  ENTERPRISES  TO  RESPOND  COMPETITIVELY  TO THE
POTENTIAL SUBCONTRACT OPPORTUNITIES;
  (C) REQUIRE THAT EACH AGENCY  PROVIDE  A  CURRENT  LIST  OF  CERTIFIED
VETERAN BUSINESS ENTERPRISES TO EACH PROSPECTIVE CONTRACTOR;
  (D)  ALLOW  A  CONTRACTOR  THAT  IS A CERTIFIED VETERAN-OWNED BUSINESS
ENTERPRISE TO USE THE WORK IT PERFORMS TO MEET REQUIREMENTS FOR  USE  OF
VETERAN-OWNED BUSINESS ENTERPRISES AS SUBCONTRACTORS;
  (E)  PROVIDE FOR JOINT VENTURES, WHICH A BIDDER MAY COUNT TOWARD MEET-
ING ITS VETERAN-OWNED BUSINESS ENTERPRISE PARTICIPATION;

A. 9892                             5

  (F) CONSISTENT WITH SUBDIVISION FIVE  OF  THIS  SECTION,  PROVIDE  FOR
CIRCUMSTANCES  UNDER  WHICH  AN  AGENCY  MAY  WAIVE  OBLIGATIONS  OF THE
CONTRACTOR RELATING TO VETERAN BUSINESS ENTERPRISE PARTICIPATION;
  (G)  REQUIRE  THAT AN AGENCY VERIFY THAT VETERAN-OWNED BUSINESS ENTER-
PRISES LISTED IN A SUCCESSFUL BID  ARE  ACTUALLY  PARTICIPATING  TO  THE
EXTENT LISTED IN THE PROJECT FOR WHICH THE BID WAS SUBMITTED;
  (H)  PROVIDE  FOR  THE  COLLECTION  OF STATISTICAL DATA BY EACH AGENCY
CONCERNING ACTUAL VETERAN-OWNED BUSINESS ENTERPRISE PARTICIPATION; AND
  3. SOLELY FOR THE PURPOSE OF PROVIDING THE OPPORTUNITY FOR  MEANINGFUL
PARTICIPATION  BY  CERTIFIED  BUSINESSES  IN  THE  PERFORMANCE  OF STATE
CONTRACTS AS PROVIDED IN THIS SECTION,  STATE  CONTRACTS  SHALL  INCLUDE
LEASES  OF  REAL PROPERTY BY A STATE AGENCY TO A LESSEE WHERE: THE TERMS
OF SUCH LEASES PROVIDE FOR THE  CONSTRUCTION,  DEMOLITION,  REPLACEMENT,
MAJOR  REPAIR OR RENOVATION OF REAL PROPERTY AND IMPROVEMENTS THEREON BY
SUCH LESSEE; AND THE COST OF SUCH CONSTRUCTION, DEMOLITION, REPLACEMENT,
MAJOR REPAIR OR RENOVATION OF REAL  PROPERTY  AND  IMPROVEMENTS  THEREON
SHALL  EXCEED  THE  SUM  OF ONE HUNDRED THOUSAND DOLLARS. REPORTS TO THE
DIRECTOR PURSUANT TO SECTION THREE HUNDRED SIXTY-NINE-C OF THIS  ARTICLE
SHALL  INCLUDE  ACTIVITIES  WITH  RESPECT  TO  ALL SUCH STATE CONTRACTS.
CONTRACTING AGENCIES SHALL  INCLUDE  OR  REQUIRE  TO  BE  INCLUDED  WITH
RESPECT  TO  STATE  CONTRACTS FOR THE ACQUISITION, CONSTRUCTION, DEMOLI-
TION, REPLACEMENT, MAJOR REPAIR  OR  RENOVATION  OF  REAL  PROPERTY  AND
IMPROVEMENTS  THEREON, SUCH PROVISIONS AS MAY BE NECESSARY TO EFFECTUATE
THE PROVISIONS OF THIS SECTION IN  EVERY  BID  SPECIFICATION  AND  STATE
CONTRACT,  INCLUDING,  BUT  NOT  LIMITED  TO:  (A)  PROVISIONS REQUIRING
CONTRACTORS TO MAKE A GOOD FAITH EFFORT TO SOLICIT ACTIVE  PARTICIPATION
BY  ENTERPRISES  IDENTIFIED  IN  THE  DIRECTORY  OF CERTIFIED BUSINESSES
PROVIDED TO THE CONTRACTING AGENCY BY  THE  OFFICE;  (B)  REQUIRING  THE
PARTIES  TO  AGREE  AS A CONDITION OF ENTERING INTO SUCH CONTRACT, TO BE
BOUND BY THE PROVISIONS OF SECTION THREE HUNDRED  SIXTY-NINE-D  OF  THIS
ARTICLE;  AND (C) REQUIRING THE CONTRACTOR TO INCLUDE THE PROVISIONS SET
FORTH IN PARAGRAPHS (A) AND (B) OF THIS SUBDIVISION IN EVERY SUBCONTRACT
IN A MANNER THAT THE PROVISIONS WILL BE BINDING UPON EACH  SUBCONTRACTOR
AS  TO WORK IN CONNECTION WITH SUCH CONTRACT. PROVIDED, HOWEVER, THAT NO
SUCH PROVISIONS SHALL BE BINDING UPON CONTRACTORS OR  SUBCONTRACTORS  IN
THE PERFORMANCE OF WORK OR THE PROVISION OF SERVICES THAT ARE UNRELATED,
SEPARATE  OR DISTINCT FROM THE STATE CONTRACT AS EXPRESSED BY ITS TERMS,
AND NOTHING  IN  THIS  SECTION  SHALL  AUTHORIZE  THE  DIRECTOR  OR  ANY
CONTRACTING  AGENCY TO IMPOSE ANY REQUIREMENT ON A CONTRACTOR OR SUBCON-
TRACTOR EXCEPT WITH RESPECT TO A STATE CONTRACT.
  4. (A) CONTRACTING AGENCIES SHALL ADMINISTER THE RULES AND REGULATIONS
PROMULGATED BY THE DIRECTOR IN A GOOD FAITH EFFORT TO MEET  THE  MAXIMUM
FEASIBLE  PORTION OF THE AGENCY'S GOALS ADOPTED PURSUANT TO THIS ARTICLE
AND THE REGULATIONS OF THE DIRECTOR. SUCH RULES AND REGULATIONS:   SHALL
REQUIRE A CONTRACTOR TO SUBMIT A UTILIZATION PLAN AFTER BIDS ARE OPENED,
WHEN  BIDS  ARE  REQUIRED,  BUT  PRIOR TO THE AWARD OF A STATE CONTRACT;
SHALL REQUIRE THE CONTRACTING AGENCY  TO  REVIEW  THE  UTILIZATION  PLAN
SUBMITTED  BY  THE  CONTRACTOR  AND TO POST THE UTILIZATION PLAN AND ANY
WAIVERS OF COMPLIANCE  ISSUED  PURSUANT  TO  SUBDIVISION  FIVE  OF  THIS
SECTION  ON  THE  WEBSITE  OF THE CONTRACTING AGENCY WITHIN A REASONABLE
PERIOD OF TIME  AS  ESTABLISHED  BY  THE  DIRECTOR;  SHALL  REQUIRE  THE
CONTRACTING  AGENCY  TO NOTIFY THE CONTRACTOR IN WRITING WITHIN A PERIOD
OF TIME SPECIFIED BY THE DIRECTOR AS TO ANY  DEFICIENCIES  CONTAINED  IN
THE CONTRACTOR'S UTILIZATION PLAN; SHALL REQUIRE REMEDY THEREOF WITHIN A
PERIOD  OF  TIME SPECIFIED BY THE DIRECTOR; SHALL REQUIRE THE CONTRACTOR
TO SUBMIT PERIODIC COMPLIANCE REPORTS  RELATING  TO  THE  OPERATION  AND

A. 9892                             6

IMPLEMENTATION  OF  ANY  UTILIZATION PLAN; SHALL NOT ALLOW ANY AUTOMATIC
WAIVERS BUT SHALL ALLOW A CONTRACTOR TO APPLY FOR  A  PARTIAL  OR  TOTAL
WAIVER  OF  THE VETERAN-OWNED BUSINESS ENTERPRISE PARTICIPATION REQUIRE-
MENTS PURSUANT TO SUBDIVISIONS FIVE AND SIX OF THIS SECTION; SHALL ALLOW
A  CONTRACTOR TO FILE A COMPLAINT WITH THE DIRECTOR PURSUANT TO SUBDIVI-
SION SIX OF THIS SECTION IN THE EVENT A CONTRACTING AGENCY HAS FAILED OR
REFUSED TO ISSUE A  WAIVER  OF  THE  VETERAN-OWNED  BUSINESS  ENTERPRISE
PARTICIPATION REQUIREMENTS OR HAS DENIED SUCH REQUEST FOR A WAIVER.
  (B) THE RULES AND REGULATIONS PROMULGATED PURSUANT TO THIS SUBDIVISION
REGARDING  A  UTILIZATION PLAN SHALL PROVIDE THAT WHERE ENTERPRISES HAVE
BEEN IDENTIFIED WITHIN A UTILIZATION PLAN, A CONTRACTOR  SHALL  ATTEMPT,
IN  GOOD  FAITH, TO UTILIZE SUCH ENTERPRISE AT LEAST TO THE EXTENT INDI-
CATED. A CONTRACTING AGENCY MAY REQUIRE A CONTRACTOR TO INDICATE, WITHIN
A UTILIZATION PLAN, WHAT MEASURES AND PROCEDURES HE OR  SHE  INTENDS  TO
TAKE TO COMPLY WITH THE PROVISIONS OF THIS ARTICLE, BUT MAY NOT REQUIRE,
AS  A  CONDITION  OF  AWARD  OF,  OR  COMPLIANCE WITH, A CONTRACT THAT A
CONTRACTOR  UTILIZE  A  PARTICULAR  ENTERPRISE  IN  PERFORMANCE  OF  THE
CONTRACT.
  (C) WITHOUT LIMITING OTHER GROUNDS FOR THE DISQUALIFICATION OF BIDS OR
PROPOSALS  ON  THE BASIS OF NON-RESPONSIBILITY, A CONTRACTING AGENCY MAY
DISQUALIFY THE BID OR PROPOSAL OF A CONTRACTOR AS BEING  NON-RESPONSIBLE
FOR  FAILURE  TO  REMEDY NOTIFIED DEFICIENCIES CONTAINED IN THE CONTRAC-
TOR'S UTILIZATION PLAN WITHIN A PERIOD OF TIME SPECIFIED IN  REGULATIONS
PROMULGATED  BY  THE DIRECTOR AFTER RECEIVING NOTIFICATION OF SUCH DEFI-
CIENCIES FROM THE CONTRACTING AGENCY. WHERE FAILURE TO REMEDY ANY  NOTI-
FIED  DEFICIENCY  IN  THE UTILIZATION PLAN IS A GROUND FOR DISQUALIFICA-
TION, THAT ISSUE AND ALL OTHER GROUNDS  FOR  DISQUALIFICATION  SHALL  BE
STATED IN WRITING BY THE CONTRACTING AGENCY. WHERE THE CONTRACTING AGEN-
CY STATES THAT A FAILURE TO REMEDY ANY NOTIFIED DEFICIENCY IN THE UTILI-
ZATION  PLAN  IS  A  GROUND FOR DISQUALIFICATION THE CONTRACTOR SHALL BE
ENTITLED TO AN  ADMINISTRATIVE  HEARING,  ON  A  RECORD,  INVOLVING  ALL
GROUNDS  STATED  BY  THE  CONTRACTING  AGENCY.  SUCH  HEARING  SHALL  BE
CONDUCTED BY THE APPROPRIATE AUTHORITY  OF  THE  CONTRACTING  AGENCY  TO
REVIEW  THE  DETERMINATION  OF  DISQUALIFICATION. A FINAL ADMINISTRATIVE
DETERMINATION MADE FOLLOWING SUCH  HEARING  SHALL  BE  REVIEWABLE  IN  A
PROCEEDING  COMMENCED  UNDER ARTICLE SEVENTY-EIGHT OF THE CIVIL PRACTICE
LAW AND RULES, PROVIDED THAT SUCH PROCEEDING IS COMMENCED WITHIN  THIRTY
DAYS  OF  THE  NOTICE  GIVEN  BY CERTIFIED MAIL RETURN RECEIPT REQUESTED
RENDERING SUCH FINAL  ADMINISTRATIVE  DETERMINATION.    SUCH  PROCEEDING
SHALL  BE  COMMENCED  IN  THE  SUPREME  COURT, APPELLATE DIVISION, THIRD
DEPARTMENT AND SUCH PROCEEDING SHALL BE PREFERRED OVER ALL  OTHER  CIVIL
CAUSES  EXCEPT  ELECTION  CAUSES,  AND  SHALL BE HEARD AND DETERMINED IN
PREFERENCE TO ALL OTHER CIVIL BUSINESS PENDING THEREIN, EXCEPT  ELECTION
MATTERS, IRRESPECTIVE OF POSITION ON THE CALENDAR.  APPEALS TAKEN TO THE
COURT  OF  APPEALS OF THE STATE OF NEW YORK SHALL BE SUBJECT TO THE SAME
PREFERENCE.
  5. WHERE IT APPEARS THAT A  CONTRACTOR  CANNOT,  AFTER  A  GOOD  FAITH
EFFORT,  COMPLY WITH THE VETERAN-OWNED BUSINESS ENTERPRISE PARTICIPATION
REQUIREMENTS SET FORTH IN A PARTICULAR STATE CONTRACT, A CONTRACTOR  MAY
FILE  A  WRITTEN  APPLICATION  WITH  THE CONTRACTING AGENCY REQUESTING A
PARTIAL OR TOTAL WAIVER OF SUCH REQUIREMENTS SETTING FORTH  THE  REASONS
FOR  SUCH CONTRACTOR'S INABILITY TO MEET ANY OR ALL OF THE PARTICIPATION
REQUIREMENTS TOGETHER WITH AN EXPLANATION OF THE EFFORTS  UNDERTAKEN  BY
THE  CONTRACTOR TO OBTAIN THE REQUIRED VETERAN-OWNED BUSINESS ENTERPRISE
PARTICIPATION. IN IMPLEMENTING  THE  PROVISIONS  OF  THIS  SECTION,  THE
CONTRACTING  AGENCY SHALL CONSIDER THE NUMBER AND TYPES OF VETERAN-OWNED

A. 9892                             7

BUSINESS ENTERPRISES LOCATED IN THE REGION IN WHICH THE  STATE  CONTRACT
IS  TO  BE  PERFORMED, THE TOTAL DOLLAR VALUE OF THE STATE CONTRACT, THE
SCOPE OF WORK TO BE PERFORMED AND THE PROJECT SIZE AND TERM.  IF,  BASED
ON SUCH CONSIDERATIONS, THE CONTRACTING AGENCY DETERMINES THERE IS NOT A
REASONABLE AVAILABILITY OF CONTRACTORS ON THE LIST OF CERTIFIED BUSINESS
TO  FURNISH SERVICES FOR THE PROJECT, IT SHALL ISSUE A WAIVER OF COMPLI-
ANCE TO THE CONTRACTOR. IN MAKING SUCH  DETERMINATION,  THE  CONTRACTING
AGENCY  SHALL  FIRST  CONSIDER THE AVAILABILITY OF OTHER BUSINESS ENTER-
PRISES LOCATED IN THE REGION AND SHALL THEREAFTER CONSIDER THE FINANCIAL
ABILITY OF VETERAN-OWNED BUSINESSES LOCATED OUTSIDE THE REGION IN  WHICH
THE CONTRACT IS TO BE PERFORMED TO PERFORM THE STATE CONTRACT.
  6.  IN THE EVENT THAT A CONTRACTING AGENCY FAILS OR REFUSES TO ISSUE A
WAIVER TO A CONTRACTOR AS REQUESTED WITHIN TWENTY DAYS AFTER HAVING MADE
APPLICATION THEREFORE PURSUANT TO SUBDIVISION FIVE OF THIS SECTION OR IF
THE CONTRACTING AGENCY DENIES SUCH APPLICATION, IN WHOLE OR IN PART, THE
CONTRACTOR MAY FILE A COMPLAINT WITH THE DIRECTOR  PURSUANT  TO  SECTION
THREE  HUNDRED  SIXTY-NINE-D OF THIS ARTICLE SETTING FORTH THE FACTS AND
CIRCUMSTANCES GIVING RISE TO THE CONTRACTOR'S COMPLAINT TOGETHER WITH  A
DEMAND  FOR  RELIEF. THE CONTRACTOR SHALL SERVE A COPY OF SUCH COMPLAINT
UPON THE CONTRACTING AGENCY BY PERSONAL SERVICE OR  BY  CERTIFIED  MAIL,
RETURN  RECEIPT  REQUESTED.  THE CONTRACTING AGENCY SHALL BE AFFORDED AN
OPPORTUNITY TO RESPOND TO SUCH COMPLAINT IN WRITING.
  7. IF, AFTER THE  REVIEW  OF  A  CONTRACTOR'S  VETERAN-OWNED  BUSINESS
UTILIZATION  PLAN  OR  REVIEW  OF A PERIODIC COMPLIANCE REPORT AND AFTER
SUCH CONTRACTOR HAS BEEN AFFORDED AN OPPORTUNITY TO RESPOND TO A  NOTICE
OF  DEFICIENCY ISSUED BY THE CONTRACTING AGENCY IN CONNECTION THEREWITH,
IT APPEARS THAT A CONTRACTOR IS FAILING OR REFUSING TO COMPLY  WITH  THE
VETERAN-OWNED  BUSINESS  PARTICIPATION  REQUIREMENTS AS SET FORTH IN THE
STATE CONTRACT AND WHERE NO  WAIVER  FROM  SUCH  REQUIREMENTS  HAS  BEEN
GRANTED,  THE  CONTRACTING  AGENCY MAY FILE A WRITTEN COMPLAINT WITH THE
DIRECTOR PURSUANT TO SECTION THREE HUNDRED SIXTY-NINE-D OF THIS  ARTICLE
SETTING FORTH THE FACTS AND CIRCUMSTANCES GIVING RISE TO THE CONTRACTING
AGENCY'S  COMPLAINT  TOGETHER WITH A DEMAND FOR RELIEF.  THE CONTRACTING
AGENCY SHALL SERVE A COPY OF  SUCH  COMPLAINT  UPON  THE  CONTRACTOR  BY
PERSONAL  SERVICE  OR  BY  CERTIFIED MAIL, RETURN RECEIPT REQUESTED. THE
CONTRACTOR SHALL BE AFFORDED AN OPPORTUNITY TO RESPOND TO SUCH COMPLAINT
IN WRITING.
  S 369-B.  STATEWIDE  CERTIFICATION  PROGRAM.  1.  THE  DIRECTOR  SHALL
PROMULGATE  RULES  AND  REGULATIONS PROVIDING FOR THE ESTABLISHMENT OF A
STATEWIDE CERTIFICATION PROGRAM INCLUDING RULES AND REGULATIONS  GOVERN-
ING THE APPROVAL, DENIAL OR REVOCATION OF ANY SUCH CERTIFICATION.
  2.  FOR  THE PURPOSES OF THIS ARTICLE, THE OFFICE SHALL BE RESPONSIBLE
FOR VERIFYING BUSINESSES AS BEING OWNED,  OPERATED,  AND  CONTROLLED  BY
VETERANS AND FOR CERTIFYING SUCH VERIFIED BUSINESSES. THE DIRECTOR SHALL
PREPARE A DIRECTORY OF CERTIFIED BUSINESSES FOR USE BY CONTRACTING AGEN-
CIES AND CONTRACTORS IN CARRYING OUT THE PROVISIONS OF THIS ARTICLE. THE
DIRECTOR SHALL PERIODICALLY UPDATE THE DIRECTORY.
  3.  FOLLOWING  APPLICATION FOR CERTIFICATION PURSUANT TO THIS SECTION,
THE DIRECTOR SHALL PROVIDE THE APPLICANT  WITH  WRITTEN  NOTICE  OF  THE
STATUS OF THE APPLICATION, INCLUDING NOTICE OF ANY OUTSTANDING DEFICIEN-
CIES,  WITHIN  THIRTY  DAYS.  WITHIN SIXTY DAYS OF SUBMISSION OF A FINAL
COMPLETED APPLICATION, THE DIRECTOR SHALL  PROVIDE  THE  APPLICANT  WITH
WRITTEN  NOTICE  OF  A  DETERMINATION BY THE OFFICE APPROVING OR DENYING
SUCH CERTIFICATION AND, IN THE EVENT OF A  DENIAL  A  STATEMENT  SETTING
FORTH  THE  REASONS  FOR  SUCH  DENIAL.  UPON A DETERMINATION DENYING OR
REVOKING CERTIFICATION, THE BUSINESS ENTERPRISE FOR WHICH  CERTIFICATION

A. 9892                             8

HAS  BEEN  SO  DENIED OR REVOKED SHALL, UPON WRITTEN REQUEST MADE WITHIN
THIRTY DAYS FROM RECEIPT OF NOTICE OF SUCH DETERMINATION, BE ENTITLED TO
A HEARING BEFORE AN INDEPENDENT  HEARING  OFFICER  DESIGNATED  FOR  SUCH
PURPOSE  BY  THE  DIRECTOR. IN THE EVENT THAT A REQUEST FOR A HEARING IS
NOT MADE WITHIN SUCH THIRTY DAY  PERIOD,  SUCH  DETERMINATION  SHALL  BE
DEEMED  TO  BE  FINAL.  THE  INDEPENDENT HEARING OFFICER SHALL CONDUCT A
HEARING AND UPON THE CONCLUSION OF SUCH HEARING, ISSUE A WRITTEN  RECOM-
MENDATION  TO  THE  DIRECTOR  TO AFFIRM, REVERSE OR MODIFY SUCH DETERMI-
NATION OF THE DIRECTOR. SUCH WRITTEN RECOMMENDATION SHALL BE  ISSUED  TO
THE  PARTIES.  THE  DIRECTOR, WITHIN THIRTY DAYS, BY ORDER, MUST ACCEPT,
REJECT OR MODIFY SUCH RECOMMENDATION OF  THE  HEARING  OFFICER  AND  SET
FORTH  IN  WRITING THE REASONS THEREFOR. THE DIRECTOR SHALL SERVE A COPY
OF SUCH ORDER AND REASONS  THEREFOR  UPON  THE  BUSINESS  ENTERPRISE  BY
PERSONAL  SERVICE  OR  BY  CERTIFIED MAIL RETURN RECEIPT REQUESTED.  THE
ORDER OF THE DIRECTOR SHALL BE SUBJECT TO  REVIEW  PURSUANT  TO  ARTICLE
SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW AND RULES.
  4. ALL CERTIFICATIONS SHALL BE VALID FOR A PERIOD OF THREE YEARS.
  S 369-C. RESPONSIBILITIES OF CONTRACTING AGENCIES. 1. EACH CONTRACTING
AGENCY  SHALL  BE  RESPONSIBLE  FOR MONITORING STATE CONTRACTS UNDER ITS
JURISDICTION, AND RECOMMENDING MATTERS TO THE OFFICE RESPECTING NON-COM-
PLIANCE WITH THE PROVISIONS OF THIS ARTICLE SO THAT THE OFFICE MAY  TAKE
SUCH  ACTION  AS IS APPROPRIATE TO INSURE COMPLIANCE WITH THE PROVISIONS
OF THIS ARTICLE, THE RULES AND REGULATIONS OF THE DIRECTOR ISSUED  HERE-
UNDER  AND THE CONTRACTUAL PROVISIONS REQUIRED PURSUANT TO THIS ARTICLE.
ALL CONTRACTING AGENCIES SHALL COMPLY WITH THE RULES AND REGULATIONS  OF
THE  OFFICE AND ARE DIRECTED TO COOPERATE WITH THE OFFICE AND TO FURNISH
TO THE OFFICE SUCH INFORMATION AND ASSISTANCE AS MAY BE REQUIRED IN  THE
PERFORMANCE OF ITS FUNCTIONS UNDER THIS ARTICLE.
  2.  EACH  CONTRACTING  AGENCY  SHALL  PROVIDE TO PROSPECTIVE BIDDERS A
CURRENT COPY OF THE DIRECTORY OF CERTIFIED BUSINESSES, AND A COPY OF THE
REGULATIONS REQUIRED PURSUANT TO SECTIONS THREE HUNDRED SIXTY-NINE-A  OF
THIS ARTICLE AT THE TIME BIDS OR PROPOSALS ARE SOLICITED.
  3.  EACH  CONTRACTING AGENCY SHALL REPORT TO THE DIRECTOR WITH RESPECT
TO ACTIVITIES UNDERTAKEN TO PROMOTE EMPLOYMENT OF VETERANS  AND  PROMOTE
AND INCREASE PARTICIPATION BY CERTIFIED BUSINESSES WITH RESPECT TO STATE
CONTRACTS  AND  SUBCONTRACTS.  SUCH  REPORTS  SHALL BE SUBMITTED PERIOD-
ICALLY, BUT NOT LESS FREQUENTLY THAN ANNUALLY, AS REQUIRED BY THE DIREC-
TOR, AND SHALL INCLUDE SUCH INFORMATION AS IS NECESSARY FOR THE DIRECTOR
TO DETERMINE WHETHER THE CONTRACTING AGENCY AND CONTRACTOR HAVE COMPLIED
WITH THE PURPOSES OF THIS  ARTICLE,  INCLUDING,  WITHOUT  LIMITATION,  A
SUMMARY  OF ALL WAIVERS OF THE REQUIREMENTS OF SUBDIVISIONS FIVE AND SIX
OF SECTION THREE HUNDRED SIXTY-NINE-A OF THIS  ARTICLE  ALLOWED  BY  THE
CONTRACTING  AGENCY DURING THE PERIOD COVERED BY THE REPORT, INCLUDING A
DESCRIPTION OF THE BASIS OF THE WAIVER REQUEST  AND  THE  RATIONALE  FOR
GRANTING  ANY SUCH WAIVER. EACH AGENCY SHALL ALSO INCLUDE IN SUCH ANNUAL
REPORT WHETHER OR NOT IT HAS BEEN REQUIRED TO PREPARE A  REMEDIAL  PLAN,
AND,  IF  SO,  THE  PLAN AND THE EXTENT TO WHICH THE AGENCY HAS COMPLIED
WITH EACH ELEMENT OF THE PLAN.
  S 369-D. ENFORCEMENT. UPON RECEIPT BY THE DIRECTOR OF A COMPLAINT BY A
CONTRACTING AGENCY THAT A CONTRACTOR HAS VIOLATED THE  PROVISIONS  OF  A
STATE CONTRACT WHICH HAVE BEEN INCLUDED TO COMPLY WITH THE PROVISIONS OF
THIS  ARTICLE  OR OF A CONTRACTOR THAT A CONTRACTING AGENCY HAS VIOLATED
SUCH PROVISIONS OR HAS FAILED OR REFUSED TO ISSUE A WAIVER WHERE ONE HAS
BEEN APPLIED FOR PURSUANT TO SUBDIVISION FIVE OF SECTION  THREE  HUNDRED
SIXTY-NINE-A  OF THIS ARTICLE OR HAS DENIED SUCH APPLICATION, THE DIREC-
TOR SHALL ATTEMPT TO RESOLVE THE MATTER GIVING RISE TO  SUCH  COMPLAINT.

A. 9892                             9

IF EFFORTS TO RESOLVE SUCH MATTER TO THE SATISFACTION OF ALL PARTIES ARE
UNSUCCESSFUL, THE DIRECTOR SHALL REFER THE MATTER, WITHIN THIRTY DAYS OF
THE  RECEIPT  OF THE COMPLAINT, TO THE DIVISION'S HEARING OFFICERS. UPON
CONCLUSION  OF  THE  ADMINISTRATIVE  HEARING,  THE HEARING OFFICER SHALL
SUBMIT TO THE  DIRECTOR  HIS  OR  HER  DECISION  REGARDING  THE  ALLEGED
VIOLATION  OF  THE CONTRACT AND RECOMMENDATIONS REGARDING THE IMPOSITION
OF SANCTIONS, FINES OR PENALTIES.  THE  DIRECTOR,  WITHIN  TEN  DAYS  OF
RECEIPT  OF  THE DECISION, SHALL FILE A DETERMINATION OF SUCH MATTER AND
SHALL CAUSE A COPY OF SUCH DETERMINATION ALONG WITH A COPY OF THIS ARTI-
CLE TO BE SERVED UPON THE CONTRACTOR BY PERSONAL SERVICE OR BY CERTIFIED
MAIL RETURN RECEIPT REQUESTED. THE DECISION OF THE HEARING OFFICER SHALL
BE FINAL AND MAY ONLY BE VACATED OR  MODIFIED  AS  PROVIDED  IN  ARTICLE
SEVENTY-EIGHT  OF  THE  CIVIL PRACTICE LAW AND RULES UPON AN APPLICATION
MADE WITHIN THE TIME PROVIDED BY SUCH ARTICLE.  THE DETERMINATION OF THE
DIRECTOR AS TO THE IMPOSITION OF ANY FINES, SANCTIONS OR PENALTIES SHALL
BE REVIEWABLE PURSUANT TO ARTICLE SEVENTY-EIGHT OF  THE  CIVIL  PRACTICE
LAW AND RULES. THE PENALTIES IMPOSED FOR ANY VIOLATION WHICH IS PREMISED
UPON  EITHER  A  FRAUDULENT  OR  INTENTIONAL  MISREPRESENTATION  BY  THE
CONTRACTOR OR THE CONTRACTOR'S WILLFUL AND INTENTIONAL DISREGARD OF  THE
VETERAN-OWNED  PARTICIPATION  REQUIREMENT  INCLUDED  IN THE CONTRACT MAY
INCLUDE A DETERMINATION THAT  THE  CONTRACTOR  SHALL  BE  INELIGIBLE  TO
SUBMIT  A  BID TO ANY CONTRACTING AGENCY OR BE AWARDED ANY SUCH CONTRACT
FOR A PERIOD NOT TO EXCEED ONE YEAR FOLLOWING THE  FINAL  DETERMINATION;
PROVIDED  HOWEVER,  IF A CONTRACTOR HAS PREVIOUSLY BEEN DETERMINED TO BE
INELIGIBLE TO SUBMIT A BID  PURSUANT  TO  THIS  SECTION,  THE  PENALTIES
IMPOSED  FOR  ANY  SUBSEQUENT VIOLATION, IF SUCH VIOLATION OCCURS WITHIN
FIVE YEARS OF THE FIRST VIOLATION, MAY INCLUDE A DETERMINATION THAT  THE
CONTRACTOR SHALL BE INELIGIBLE TO SUBMIT A BID TO ANY CONTRACTING AGENCY
OR  BE  AWARDED  ANY SUCH CONTRACT FOR A PERIOD NOT TO EXCEED FIVE YEARS
FOLLOWING THE FINAL DETERMINATION. THE DIVISION  OF  VETERAN'S  BUSINESS
DEVELOPMENT  SHALL  MAINTAIN A WEBSITE LISTING ALL CONTRACTORS THAT HAVE
BEEN DEEMED INELIGIBLE TO SUBMIT A BID PURSUANT TO THIS SECTION AND  THE
DATE  AFTER  WHICH  EACH  CONTRACTOR SHALL ONCE AGAIN BECOME ELIGIBLE TO
SUBMIT BIDS.
  S 369-E. SEVERABILITY. IF ANY CLAUSE, SENTENCE, PARAGRAPH, SECTION  OR
PART  OF THIS ARTICLE SHALL BE ADJUDGED BY ANY COURT OF COMPETENT JURIS-
DICTION TO BE INVALID, THE JUDGMENT SHALL NOT AFFECT, IMPAIR OR  INVALI-
DATE  THE  REMAINDER  THEREOF, BUT SHALL BE CONFINED IN ITS OPERATION TO
THE CLAUSE, SENTENCE, PARAGRAPH, SECTION OR PART OF THIS ARTICLE DIRECT-
LY INVOLVED IN THE CONTROVERSY IN WHICH THE  JUDGMENT  SHALL  HAVE  BEEN
RENDERED.
  S 2. This act shall take effect immediately.