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

                                 7489--A

                            I N  S E N A T E

                              May 25, 2012
                               ___________

Introduced  by  Sen.  BALL  --  read twice and ordered printed, and when
  printed to be committed to the Committee on Veterans, Homeland Securi-
  ty and Military Affairs -- reported favorably from said committee  and
  committed  to  the  Committee on Finance -- committee discharged, bill
  amended, ordered reprinted as amended and recommitted to said  commit-
  tee

AN  ACT  to  amend  the  executive  law, in relation to participation by
  service-connected disabled veterans and veterans with respect to state
  contracts

  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 SERVICE-CONNECTED DISABLED VETERANS AND
                VETERANS WITH RESPECT TO STATE CONTRACTS
SECTION 369.   DEFINITIONS.
        369-A. OPPORTUNITIES FOR  CERTIFIED  SERVICE-CONNECTED  DISABLED
                 VETERAN-OWNED BUSINESS ENTERPRISES.
        369-B. OPPORTUNITIES FOR CERTIFIED VETERAN-OWNED BUSINESS ENTER-
                 PRISES.
        369-C. SEVERABILITY.
  S 369. DEFINITIONS. AS USED IN THIS ARTICLE, THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS:
  1.  "AGENCY"  OR  "AGENCIES" SHALL HAVE THE SAME MEANING AS DEFINED IN
SUBDIVISION NINE OF SECTION ONE HUNDRED SIXTY OF THE STATE FINANCE LAW.
  2. "PERIOD OF WAR" MEANS THE SPANISH AMERICAN WAR; THE MEXICAN  BORDER
PERIOD;  WORLD  WAR I; WORLD WAR II; THE HOSTILITIES KNOWN AS THE KOREAN
WAR, WHICH COMMENCED JUNE TWENTY-SEVENTH,  NINETEEN  HUNDRED  FIFTY  AND
TERMINATED  ON  JANUARY  THIRTY-FIRST,  NINETEEN HUNDRED FIFTY-FIVE; THE
HOSTILITIES KNOWN AS THE VIETNAM WAR, WHICH COMMENCED ON FEBRUARY  TWEN-
TY-EIGHTH,  NINETEEN  HUNDRED  SIXTY-ONE  AND TERMINATED ON MAY SEVENTH,
NINETEEN HUNDRED SEVENTY-FIVE; AND THE HOSTILITIES KNOWN AS THE  PERSIAN
GULF CONFLICT, WHICH COMMENCED AUGUST SECOND, NINETEEN HUNDRED NINETY TO
THE  END OF SUCH CONFLICT INCLUDING MILITARY SERVICE IN OPERATION ENDUR-
ING FREEDOM, OPERATION IRAQI FREEDOM OR OPERATION NEW DAWN AND  WAS  THE

              

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD15990-07-2

S. 7489--A                          2

RECIPIENT OF THE GLOBAL WAR ON TERRORISM EXPEDITIONARY MEDAL OR THE IRAQ
CAMPAIGN MEDAL OR THE AFGHANISTAN CAMPAIGN MEDAL.
  3. "SERVICE-CONNECTED DISABLED VETERAN" MEANS A VETERAN WHO RECEIVED A
COMPENSATION  RATING  FROM  THE  UNITED  STATES  DEPARTMENT OF VETERANS'
AFFAIRS OR FROM THE UNITED STATES DEPARTMENT OF  DEFENSE  BECAUSE  OF  A
SERVICE-CONNECTED  DISABILITY INCURRED IN THE LINE OF DUTY IN THE ACTIVE
MILITARY, NAVAL OR AIR SERVICE.
  4. "CERTIFIED SERVICE-CONNECTED DISABLED VETERAN-OWNED BUSINESS ENTER-
PRISE" SHALL MEAN A BUSINESS ENTERPRISE, INCLUDING  A  SOLE  PROPRIETOR-
SHIP, PARTNERSHIP, OR CORPORATION THAT IS:
  (A)  AT LEAST FIFTY-ONE PERCENT OWNED BY ONE OR MORE SERVICE-CONNECTED
DISABLED VETERANS;
  (B) AN ENTERPRISE IN WHICH  SUCH  SERVICE-CONNECTED  DISABLED  VETERAN
OWNERSHIP IS REAL, SUBSTANTIAL, AND CONTINUING;
  (C)  AN  ENTERPRISE  IN  WHICH SUCH SERVICE-CONNECTED DISABLED 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 IS 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;
  (F)  AN  ENTERPRISE  THAT  IS A SMALL BUSINESS PURSUANT TO SUBDIVISION
FIVE OF THIS SECTION; AND
  (G) IS CERTIFIED  PURSUANT  TO  SUBDIVISION  THREE  OF  SECTION  THREE
HUNDRED SIXTY-NINE-A OF THIS ARTICLE.
  5.  "SMALL BUSINESS" SHALL HAVE THE SAME MEANING AS DEFINED IN SECTION
ONE HUNDRED THIRTY-ONE OF THE ECONOMIC DEVELOPMENT LAW.
  6. "VETERAN" SHALL MEAN A PERSON WHO SERVED IN  THE  ACTIVE  MILITARY,
NAVAL,  OR AIR SERVICE DURING A PERIOD OF WAR, OR WAS A RECIPIENT OF THE
ARMED FORCES EXPEDITIONARY MEDAL, NAVY EXPEDITIONARY MEDAL, MARINE CORPS
EXPEDITIONARY MEDAL, OR GLOBAL WAR ON TERRORISM EXPEDITIONARY MEDAL, AND
WAS DISCHARGED OR  RELEASED  THEREFROM  UNDER  OTHER  THAN  DISHONORABLE
DISCHARGE.
  7.  "CERTIFIED  VETERAN-OWNED BUSINESS ENTERPRISES" SHALL MEAN A BUSI-
NESS ENTERPRISE, INCLUDING A SOLE PROPRIETORSHIP, PARTNERSHIP, OR CORPO-
RATION THAT IS:
  (A) AT LEAST FIFTY-ONE PERCENT OWNED BY ONE OR MORE VETERAN;
  (B) AN ENTERPRISE IN WHICH SUCH VETERAN OWNERSHIP  IS  REAL,  SUBSTAN-
TIAL, 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 WERE 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;
  (F)  AN  ENTERPRISE  THAT  IS A SMALL BUSINESS PURSUANT TO SUBDIVISION
FIVE OF THIS SECTION; AND
  (G) IS CERTIFIED  PURSUANT  TO  SUBDIVISION  THREE  OF  SECTION  THREE
HUNDRED SIXTY-NINE-B OF THIS ARTICLE.

S. 7489--A                          3

  S 369-A. OPPORTUNITIES FOR CERTIFIED SERVICE-CONNECTED DISABLED VETER-
AN-OWNED BUSINESS ENTERPRISES.
  1. CONTRACT PREFERENCES. EACH AGENCY SHALL PROVIDE THE OPPORTUNITY FOR
CERTIFIED  SERVICE-CONNECTED DISABLED VETERAN-OWNED BUSINESS ENTERPRISES
TO MAXIMIZE THEIR PARTICIPATION IN THE PERFORMANCE OF STATE CONTRACTS. A
BID BY A SERVICE-CONNECTED DISABLED  VETERAN-OWNED  BUSINESS  ENTERPRISE
SHALL  BE  TREATED  AS  THE  LOWEST  BID  IN A COMPETITIVE PROCESS FOR A
COMMODITY IF IT COST NO MORE THAN FIFTEEN PERCENT HIGHER THAN THE LOWEST
BID AND FOR SERVICES, IF THE COST COMPONENT  IS  NO  MORE  THAN  FIFTEEN
PERCENT HIGHER THAN THE COST COMPONENT OF THE HIGHEST SCORING BID, THESE
COMPONENTS  SHALL  BE TREATED AS EQUAL FOR PURPOSES OF COMPETITIVE SCOR-
ING.
  2. DUTIES OF AGENCIES. IN ORDER TO IMPLEMENT THE PROVISIONS AND POLICY
ESTABLISHED IN SUBDIVISION ONE OF THIS SECTION, AGENCIES SHALL:
  (A) DEVELOP A STRATEGY TO IMPLEMENT THE PROVISIONS AND  POLICY  ESTAB-
LISHED  IN  SUBDIVISION  ONE OF THIS SECTION; AND SHALL PUBLICLY PUBLISH
SUCH STRATEGY;
  (B) MAKE THE AGENCY'S STRATEGY PUBLICLY AVAILABLE, POST SUCH  STRATEGY
UPON  THE  WEBSITE  OF SUCH AGENCY, AND REPORT ANNUALLY TO THE GOVERNOR,
THE TEMPORARY PRESIDENT OF THE SENATE, AND THE SPEAKER OF THE  ASSEMBLY,
ON THE IMPLEMENTATION OF THE AGENCY'S STRATEGY;
  (C)  DESIGNATE A SENIOR-LEVEL OFFICIAL WITHIN SUCH AGENCY WHO SHALL BE
RESPONSIBLE FOR DEVELOPING AND IMPLEMENTING THE AGENCY'S STRATEGY; AND
  (D) INCLUDE IN THE AGENCY'S STRATEGY PLANS FOR:
  (I)  ENCOURAGING   AND   FACILITATING   PARTICIPATION   BY   CERTIFIED
SERVICE-CONNECTED  DISABLED VETERAN-OWNED BUSINESS ENTERPRISES IN COMPE-
TITIONS FOR AWARD OF AGENCY CONTRACTS;
  (II) ENCOURAGING AGENCY  CONTRACTORS  TO  SUBCONTRACT  WITH  CERTIFIED
SERVICE-CONNECTED   DISABLED   VETERAN-OWNED  BUSINESS  ENTERPRISES  AND
ACTIVELY MONITORING AND EVALUATING AGENCY CONTRACTOR'S EFFORTS TO DO SO;
  (III) TRAINING AGENCY PERSONNEL ON APPLICABLE LAW AND POLICIES  RELAT-
ING   TO   PARTICIPATION   OF   CERTIFIED   SERVICE-CONNECTED   DISABLED
VETERAN-OWNED BUSINESS ENTERPRISES IN STATE CONTRACTING; AND
  (IV) DISSEMINATING INFORMATION TO CERTIFIED SERVICE-CONNECTED DISABLED
VETERAN-OWNED BUSINESS ENTERPRISES THAT WOULD ASSIST THESE BUSINESSES IN
PARTICIPATING IN AWARDS OF AGENCY CONTRACTS.
  3. CERTIFICATION.  (A) THE DEPUTY COMMISSIONER RESPONSIBLE FOR HEADING
THE DIVISION FOR SMALL BUSINESS WITHIN THE DEPARTMENT OF ECONOMIC DEVEL-
OPMENT, AS ESTABLISHED PURSUANT TO SECTION ONE HUNDRED THIRTY-TWO OF THE
ECONOMIC DEVELOPMENT LAW SHALL PROMULGATE RULES AND REGULATIONS  PROVID-
ING FOR THE ESTABLISHMENT OF A STATEWIDE CERTIFICATION PROGRAM INCLUDING
RULES  AND  REGULATIONS GOVERNING THE APPROVAL, DENIAL, OR REVOCATION OF
ANY SUCH CERTIFICATION. SUCH RULES AND REGULATIONS  SHALL  INCLUDE,  BUT
NOT  BE  LIMITED  TO, SUCH MATTERS AS MAY BE REQUIRED TO ENSURE THAT THE
ESTABLISHED PROCEDURES THEREUNDER SHALL AT LEAST BE IN  COMPLIANCE  WITH
THE  CODE  OF  FAIR  PROCEDURE SET FORTH IN SECTION SEVENTY-THREE OF THE
CIVIL RIGHTS LAW.
  (B) THE DIVISION FOR SMALL BUSINESS SHALL BE RESPONSIBLE FOR VERIFYING
BUSINESSES AS BEING OWNED, OPERATED, AND CONTROLLED  BY  A  SERVICE-CON-
NECTED  DISABLED  VETERAN  AND  FOR CERTIFYING SUCH VERIFIED BUSINESSES.
STATUS AS A SERVICE-CONNECTED DISABLED VETERAN SHALL BE DOCUMENTED BY  A
COPY  OF  THE  VETERAN'S CERTIFICATE OF RELEASE OR DISCHARGE FROM ACTIVE
DUTY ALSO KNOWN AS A DD-214 FORM OR  AN  HONORABLE  SERVICE  CERTIFICATE
REPORT  OF CAUSALITY FROM THE DEPARTMENT OF DEFENSE, A LETTER OF CERTIF-
ICATION BY THE UNITED STATES  DEPARTMENT  OF  VETERANS  AFFAIRS  OR  THE
UNITED  STATES DEPARTMENT OF DEFENSE AND ANY ADDITIONAL INFORMATION THAT

S. 7489--A                          4

MAY BE REQUIRED BY THE DIVISION FOR SMALL BUSINESS. THE  DEPUTY  COMMIS-
SIONER  OF  THE DIVISION FOR SMALL BUSINESS SHALL PREPARE A DIRECTORY OF
CERTIFIED SERVICE-CONNECTED DISABLED VETERAN-OWNED BUSINESS  ENTERPRISES
FOR USE BY AGENCIES IN CARRYING OUT THE PROVISIONS OF THIS SECTION. SUCH
DIRECTORY  SHALL  BE  PUBLICLY  POSTED  ON  THE EMPIRE STATE DEVELOPMENT
CORPORATION WEBSITE. THE DEPUTY COMMISSIONER OF THE DIVISION  FOR  SMALL
BUSINESS SHALL PERIODICALLY UPDATE THE DIRECTORY.
  (C)  FOLLOWING APPLICATION FOR CERTIFICATION PURSUANT TO THIS SECTION,
THE DEPUTY COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS SHALL PROVIDE
THE APPLICANT WITH WRITTEN NOTICE OF  THE  STATUS  OF  THE  APPLICATION,
INCLUDING  NOTICE  OF  ANY OUTSTANDING DEFICIENCIES, WITHIN THIRTY DAYS.
WITHIN SIXTY DAYS OF SUBMISSION OF A FINAL  COMPLETED  APPLICATION,  THE
DEPUTY COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS SHALL PROVIDE THE
APPLICANT  WITH  WRITTEN NOTICE OF A DETERMINATION BY THE DEPUTY COMMIS-
SIONER OF THE DIVISION FOR SMALL  BUSINESS  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 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
DEPUTY  COMMISSIONER  OF  THE DIVISION FOR SMALL BUSINESS.  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 RECOMMENDATION TO THE DEPUTY COMMISSIONER OF  THE  DIVI-
SION FOR SMALL BUSINESS TO AFFIRM, REVERSE, OR MODIFY SUCH DETERMINATION
OF  THE  DEPUTY  COMMISSIONER  OF  THE DIVISION FOR SMALL BUSINESS. SUCH
WRITTEN RECOMMENDATION SHALL  BE  ISSUED  TO  THE  PARTIES.  THE  DEPUTY
COMMISSIONER  OF THE DIVISION FOR SMALL BUSINESS, WITHIN THIRTY DAYS, BY
ORDER, MUST ACCEPT, REJECT OR MODIFY SUCH RECOMMENDATION OF THE  HEARING
OFFICER AND SET FORTH IN WRITING THE REASON THEREFOR. THE DEPUTY COMMIS-
SIONER  OF  THE  DIVISION  FOR SMALL BUSINESS 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
DEPUTY COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS SHALL BE  SUBJECT
TO  REVIEW  PURSUANT  TO ARTICLE SEVENTY-EIGHT OF THE CIVIL PRACTICE LAW
AND RULES.
  (D) ALL CERTIFICATIONS SHALL BE VALID FOR A PERIOD OF THREE YEARS.
  4. DUTIES OF DEPUTY COMMISSIONER OF THE DIVISION FOR  SMALL  BUSINESS.
THE DEPUTY COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS SHALL:
  (A)  DESIGNATE  AN  APPROPRIATE  ENTITY  WITHIN THE DIVISION FOR SMALL
BUSINESS THAT SHALL, IN  CONSULTATION  WITH  THE  DIVISION  OF  VETERANS
AFFAIRS,  PROVIDE  TO CERTIFIED SERVICE-CONNECTED DISABLED VETERAN-OWNED
BUSINESS ENTERPRISES INFORMATION AND ASSISTANCE CONCERNING PARTICIPATION
IN STATE CONTRACTING;
  (B) ADVISE AND ASSIST AGENCIES IN THEIR IMPLEMENTATION OF  SUBDIVISION
ONE OF THIS SECTION; AND
  (C)   MAKE   AVAILABLE   TO   CERTIFIED   SERVICE-CONNECTED   DISABLED
VETERAN-OWNED BUSINESS ENTERPRISES TRAINING IN  STATE  CONTRACTING  LAW,
PROCEDURES,  AND  PRACTICES THAT WOULD ASSIST SUCH BUSINESSES IN PARTIC-
IPATING IN STATE CONTRACTING AND MAKE  THIS  TRAINING  AVAILABLE  ONLINE
THROUGH A CONTINUOUS LEARNING PROGRAM.
  S  369-B.  OPPORTUNITIES  FOR  CERTIFIED VETERAN-OWNED BUSINESS ENTER-
PRISES.  1. CONTRACT PREFERENCES. EACH AGENCY SHALL PROVIDE THE OPPORTU-
NITY FOR CERTIFIED VETERAN-OWNED BUSINESS ENTERPRISES TO MAXIMIZE  THEIR

S. 7489--A                          5

PARTICIPATION  IN  THE PERFORMANCE OF STATE CONTRACTS. A BID BY A VETER-
AN-OWNED BUSINESS ENTERPRISE SHALL BE TREATED AS THE  LOWEST  BID  IN  A
COMPETITIVE  PROCESS FOR A COMMODITY IF IT COST NO MORE THAN TEN PERCENT
HIGHER THAN THE LOWEST BID AND FOR SERVICES, IF THE COST COMPONENT IS NO
MORE  THAN  TEN  PERCENT  HIGHER  THAN THE COST COMPONENT OF THE HIGHEST
SCORING BID, THESE COMPONENTS SHALL BE TREATED AS EQUAL FOR PURPOSES  OF
COMPETITIVE SCORING.
  2. DUTIES OF AGENCIES. IN ORDER TO IMPLEMENT THE PROVISIONS AND POLICY
ESTABLISHED IN SUBDIVISION ONE OF THIS SECTION, AGENCIES SHALL:
  (A)  DEVELOP  A STRATEGY TO IMPLEMENT THE PROVISIONS AND POLICY ESTAB-
LISHED IN SUBDIVISION ONE OF THIS SECTION; AND  SHALL  PUBLICLY  PUBLISH
SUCH STRATEGY;
  (B)  MAKE THE AGENCY'S STRATEGY PUBLICLY AVAILABLE, HAVE SUCH STRATEGY
POSTED UPON THE WEBSITE OF SUCH  AGENCY,  AND  REPORT  ANNUALLY  TO  THE
GOVERNOR,  THE TEMPORARY PRESIDENT OF THE SENATE, AND THE SPEAKER OF THE
ASSEMBLY ON THE IMPLEMENTATION OF THE AGENCY'S STRATEGY;
  (C) DESIGNATE A SENIOR-LEVEL OFFICIAL WITHIN SUCH AGENCY WHO SHALL  BE
RESPONSIBLE FOR DEVELOPING AND IMPLEMENTING THE AGENCY'S STRATEGY; AND
  (D) INCLUDE IN THE AGENCY'S STRATEGY PLANS FOR:
  (I)   ENCOURAGING   AND   FACILITATING   PARTICIPATION   BY  CERTIFIED
VETERAN-OWNED BUSINESS ENTERPRISES IN COMPETITIONS FOR AWARD  OF  AGENCY
CONTRACTS;
  (II)  ENCOURAGING  AGENCY  CONTRACTORS  TO  SUBCONTRACT WITH CERTIFIED
VETERAN-OWNED BUSINESS ENTERPRISES AND ACTIVELY MONITORING AND  EVALUAT-
ING AGENCY CONTRACTOR'S EFFORTS TO DO SO;
  (III)  TRAINING AGENCY PERSONNEL ON APPLICABLE LAW AND POLICIES RELAT-
ING TO PARTICIPATION OF CERTIFIED VETERAN-OWNED BUSINESS ENTERPRISES  IN
STATE CONTRACTING; AND
  (IV)  DISSEMINATING  INFORMATION  TO  CERTIFIED VETERAN-OWNED BUSINESS
ENTERPRISES THAT WOULD  ASSIST  THESE  BUSINESSES  IN  PARTICIPATING  IN
AWARDS OF AGENCY CONTRACTS.
  3.  CERTIFICATION. (A) THE DEPUTY COMMISSIONER RESPONSIBLE FOR HEADING
THE DIVISION FOR SMALL BUSINESS WITHIN THE DEPARTMENT OF ECONOMIC DEVEL-
OPMENT, AS ESTABLISHED PURSUANT TO SECTION ONE HUNDRED THIRTY-TWO OF THE
ECONOMIC DEVELOPMENT LAW SHALL PROMULGATE RULES AND REGULATIONS  PROVID-
ING FOR THE ESTABLISHMENT OF A STATEWIDE CERTIFICATION PROGRAM INCLUDING
RULES  AND  REGULATIONS GOVERNING THE APPROVAL, DENIAL, OR REVOCATION OF
ANY SUCH CERTIFICATION. SUCH RULES AND REGULATIONS  SHALL  INCLUDE,  BUT
NOT  BE  LIMITED  TO, SUCH MATTERS AS MAY BE REQUIRED TO ENSURE THAT THE
ESTABLISHED PROCEDURES THEREUNDER SHALL AT LEAST BE IN  COMPLIANCE  WITH
THE  CODE  OF  FAIR  PROCEDURE SET FORTH IN SECTION SEVENTY-THREE OF THE
CIVIL RIGHTS LAW.
  (B) THE DIVISION FOR SMALL BUSINESS SHALL BE RESPONSIBLE FOR VERIFYING
BUSINESSES AS BEING OWNED, OPERATED, AND CONTROLLED BY A VETERAN AND FOR
CERTIFYING SUCH VERIFIED BUSINESSES. STATUS AS A VETERAN SHALL BE  DOCU-
MENTED  BY  A  COPY OF THE VETERAN'S CERTIFICATE OF RELEASE OR DISCHARGE
FROM ACTIVE DUTY ALSO KNOWN AS A DD-214 FORM  OR  AN  HONORABLE  SERVICE
CERTIFICATE REPORT OF CAUSALITY FROM THE DEPARTMENT OF DEFENSE, A LETTER
OF  CERTIFICATION BY THE UNITED STATES DEPARTMENT OF VETERANS AFFAIRS OR
THE UNITED STATES DEPARTMENT OF DEFENSE AND ANY  ADDITIONAL  INFORMATION
THAT  MAY  BE  REQUIRED  BY  THE DIVISION FOR SMALL BUSINESS. THE DEPUTY
COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS SHALL PREPARE A DIRECTO-
RY OF CERTIFIED VETERAN-OWNED BUSINESS ENTERPRISES FOR USE  BY  AGENCIES
IN CARRYING OUT THE PROVISIONS OF THIS SECTION.  SUCH DIRECTORY SHALL BE
PUBLICLY POSTED ON THE EMPIRE STATE DEVELOPMENT CORPORATION WEBSITE. THE

S. 7489--A                          6

DEPUTY  COMMISSIONER  OF  THE  DIVISION FOR SMALL BUSINESS SHALL PERIOD-
ICALLY UPDATE THE DIRECTORY.
  (C)  FOLLOWING APPLICATION FOR CERTIFICATION PURSUANT TO THIS SECTION,
THE DEPUTY COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS SHALL PROVIDE
THE APPLICANT WITH WRITTEN NOTICE OF  THE  STATUS  OF  THE  APPLICATION,
INCLUDING  NOTICE  OF  ANY OUTSTANDING DEFICIENCIES, WITHIN THIRTY DAYS.
WITHIN SIXTY DAYS OF SUBMISSION OF A FINAL  COMPLETED  APPLICATION,  THE
DEPUTY COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS SHALL PROVIDE THE
APPLICANT  WITH  WRITTEN NOTICE OF A DETERMINATION BY THE DEPUTY COMMIS-
SIONER OF THE DIVISION FOR SMALL  BUSINESS  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 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
DEPUTY  COMMISSIONER  OF  THE  DIVISION FOR SMALL BUSINESS. 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 RECOMMENDATION TO THE DEPUTY COMMISSIONER OF THE DIVI-
SION FOR SMALL BUSINESS TO AFFIRM, REVERSE, OR MODIFY SUCH DETERMINATION
OF THE DEPUTY COMMISSIONER OF THE  DIVISION  FOR  SMALL  BUSINESS.  SUCH
WRITTEN  RECOMMENDATION  SHALL  BE  ISSUED  TO  THE  PARTIES. THE DEPUTY
COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS, 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  DEPUTY
COMMISSIONER  OF  THE  DIVISION FOR SMALL BUSINESS 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
DEPUTY  COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS SHALL BE SUBJECT
TO REVIEW PURSUANT TO ARTICLE SEVENTY-EIGHT OF THE  CIVIL  PRACTICE  LAW
AND RULES.
  (D) ALL CERTIFICATIONS SHALL BE VALID FOR A PERIOD OF THREE YEARS.
  4.  DUTIES  OF DEPUTY COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS.
THE DEPUTY COMMISSIONER OF THE DIVISION FOR SMALL BUSINESS SHALL:
  (A) DESIGNATE AN APPROPRIATE ENTITY  WITHIN  THE  DIVISION  FOR  SMALL
BUSINESS  THAT  SHALL,  IN  CONSULTATION  WITH  THE DIVISION OF VETERANS
AFFAIRS, PROVIDE TO VETERAN-OWNED BUSINESS ENTERPRISES  INFORMATION  AND
ASSISTANCE CONCERNING PARTICIPATION IN STATE CONTRACTING;
  (B)  ADVISE AND ASSIST AGENCIES IN THEIR IMPLEMENTATION OF SUBDIVISION
ONE OF THIS SECTION; AND
  (C) MAKE AVAILABLE TO VETERAN-OWNED BUSINESS ENTERPRISES  TRAINING  IN
STATE  CONTRACTING LAW, PROCEDURES, AND PRACTICES THAT WOULD ASSIST SUCH
BUSINESSES IN PARTICIPATING IN STATE CONTRACTING AND MAKE THIS  TRAINING
AVAILABLE ONLINE THROUGH A CONTINUOUS LEARNING PROGRAM.
  S  369-C. 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 on the one hundred eightieth day after
it shall have become a law.