assembly Bill A9698

2013-2014 Legislative Session

Relates to the cost effectiveness of consultant contracts by state agencies

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Archive: Last Bill Status - In Assembly Committee

  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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view actions (1)
Assembly Actions - Lowercase
Senate Actions - UPPERCASE
May 16, 2014 referred to governmental operations


A9698 (ACTIVE) - Details

See Senate Version of this Bill:
Law Section:
State Finance Law
Laws Affected:
Amd ยง163, St Fin L
Versions Introduced in Other Legislative Sessions:
2011-2012: S7782
2015-2016: A2499, S6810
2017-2018: A2022, S383
2019-2020: A5459, S6048
2021-2022: A8159, S5356

A9698 (ACTIVE) - Summary

Relates to the cost effectiveness of consultant contracts by state agencies; defines "consultant services".

A9698 (ACTIVE) - Bill Text download pdf

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


                          I N  A S S E M B L Y

                              May 16, 2014

Introduced  by M. of A. BRONSON -- read once and referred to the Commit-
  tee on Governmental Operations

AN ACT to amend the state finance law, in relation to  the  cost  effec-
  tiveness  of consultant contracts by state agencies; and providing for
  the repeal of such provisions upon expiration thereof


  Section  1.  Legislative  intent.  The  legislature  hereby  finds and
declares that it is in the public  interest  to  enact  a  cost  benefit
review  process  when  a state agency enters into contracts for personal
services. New York State spends over $3.5 billion annually  on  personal
service  contracts, over $840 million more than the State spent on these
contracts in SFY 2003-04, a 32% increase.  Despite  an  Executive  Order
that  has  implemented  a post contract review process for some personal
service contracts the cost of  those  contracts  continues  to  escalate
every  year well above the inflation rate. In addition the State Finance
Law does not require state agencies to compare the cost  or  quality  of
personal services to be provided by consultants with the cost or quality
of  providing  the same services by the state employees. Numerous audits
by the Office of State Comptroller as well as a KPMG study  commissioned
by  the  department  of transportation have found that consultants hired
under personal service contracts can  cost  between  fifty  percent  and
seventy-five  percent  more  than state employees that do the exact same
work including the cost of state employee benefits. The Contract Disclo-
sure Law (Chapter 10 of the  laws  of  2006)  required  consultants  who
provide  personal  services to file forms for each contract that outline
how many consultants they hired, what titles they employed them  in  and
how  much they paid them. A review of these forms shows that the average
consultant makes about fifty percent more  than  state  employees  doing
comparable  work.  It  is  in  the public interest for state agencies to
compare the cost of doing work by consultants with the cost of doing the
same work with state employees as well as document whether or  not  such
work can be done by state employees.  If state government is to be smar-

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