senate Bill S2161

2013-2014 Legislative Session

Expands the products which may be purchased for public use

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Archive: Last Bill Status - STRICKEN


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

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jun 16, 2014 recommit, enacting clause stricken
May 28, 2014 advanced to third reading
May 21, 2014 2nd report cal.
May 20, 2014 1st report cal.880
Jan 08, 2014 referred to local government
Jan 14, 2013 referred to local government

Votes

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May 20, 2014 - Local Government committee Vote

S2161
6
1
committee
6
Aye
1
Nay
2
Aye with Reservations
0
Absent
0
Excused
0
Abstained
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Local Government Committee Vote: May 20, 2014

nay (1)
aye wr (2)

Co-Sponsors

S2161 - Bill Details

Law Section:
General Municipal Law
Laws Affected:
Amd ยง104-a, Gen Muni L
Versions Introduced in Previous Legislative Sessions:
2011-2012: S661
2009-2010: S1642A

S2161 - Bill Texts

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Expands the products which may be purchased for public use by including renewable energy resources; increases the cost premium percentage for renewable energy generated in New York.

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BILL NUMBER:S2161

TITLE OF BILL: An act to amend the general municipal law, in relation
to expanding the products which may be purchased for public use

PURPOSE: This bill would provide that certain contracts which purchase
products for public use and include renewable energy resources shall not
be subject to provisions of law requiring the lowest bid.

SUMMARY OF PROVISIONS:

Section 1 of this bill would include renewable energy resources as a
product which may be purchased for public use.. The bill would allow
municipal officials to purchase renewable energy resources that meet
contract specifications and that are reasonably competitive. The bill
would define renewable energy resources as having the same meaning as
defined in subdivision twelve of section 1-103 of the Energy Law.

Section 2 of this bill would define "reasonably competitive' prices for
renewable energy resources as ten percent above the cost of a comparable
product. This amount is the same percentage used in defining "reasonably
competitive" for recycled products.

EXISTING LAW: Present law requires public product contracts to be given
to the lowest responsible bidder. Because of this requirement, contracts
for electricity from renewable energy resources might not be considered,
due to the fact that some renewable energy resources may cost more than
other sources of electricity.

The Energy Law has included a definition of renewable energy resources
since 1976.

JUSTIFICATION: New York State's energy policy is to obtain and maintain
safe, reliable, and diverse energy supplies, accelerate the development
and use of renewable energy resources, and increase its energy independ-
ence, in order to promote the State's economic growth, to maintain the
security of its energy supplies, and to protect its environmental
values. New York's existing facilities are powered by a mix of fuels. As
an extension of that fuel diversity policy, the State has committed to
increasing renewable energy supplies.

Among other provisions, Executive order 111 encourages localities to
increase their purchases of renewable energy resources. Local govern-
ments are considering purchasing renewable energy resources, and some
have passed local laws and resolutions to allow the increase of those
purchases.

Under the General Municipal Law, products which are purchased for public
use must be bought from the lowest responsible bidder. However, under
Section 104-a, recycled products can be purchased for public use, even
if they are not the lowest priced product. Renewable energy resources

currently are not included under provisions of Section 104-a. However,
the aim of this original law was to not discourage purchasing practices
which advance the goals of state policies, such as increasing the use of
recycled products or renewable energy resources.

Among other provisions, Article 9 of the Energy Law allows munici-
palities to enter into energy performance contracts for purposes such as
developing alternate sources of energy. In lieu of any other competitive
procurement or acquisition process that may apply pursuant to any other
provision of law, a municipality may procure an energy performance
contractor by issuing and advertising a written request for proposals in
accordance with procurement or internal control policies, procedures, or
guidelines that the municipality has adopted. Section 103 of the General
Municipal Law does not apply to an energy performance contract for which
a written request for proposals is issued.

This bill also would exempt reasonably competitive purchases of renewa-
ble energy resources by municipal officials from the requirements of
Section 103 of the General Municipal Law.

LEGISLATIVE HISTORY: 2005-06: A.11875 - Assembly Local
Governments/S.7199 - Passed Senate 2007-08: A.2965 - Assembly Local
Governments/S.7341 - Passed Senate 2009-10: A.7936/S.1642

FISCAL IMPLICATIONS: None.

EFFECTIVE DATE: This act shall take effect January 1st next succeeding
the date of enactment, with provisions.

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

                                  2161

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 14, 2013
                               ___________

Introduced  by  Sen. VALESKY -- 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 expanding  the
  products which may be purchased for public use

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

  Section 1. Section 104-a of the general municipal law, as  amended  by
chapter 468 of the laws of 1994, is amended to read as follows:
  S  104-a.  Purchasing  of products for public use.  1. Notwithstanding
the provisions of section one hundred three of this  [chapter]  ARTICLE,
when  purchasing  products the officer, board or agency of any political
subdivision or of any district therein  charged  with  the  awarding  of
public  contracts  may,  wherever RENEWABLE ENERGY RESOURCES OR recycled
products meet contract specifications and the price of such products  is
reasonably  competitive, purchase such products. For the purpose of this
section [and until July first, nineteen  hundred  ninety-six,  "recycled
product" shall mean any product which has been manufactured from second-
ary  materials,  as  defined  in  subdivision one of section two hundred
sixty-one of the economic development law, and meets secondary  material
content  requirements  adopted  by  the office of general services under
subdivision one of  section  one  hundred  seventy-seven  of  the  state
finance  law  for  products  available  to  the political subdivision or
district under state contract or, if no such contract for  such  product
is  available,  any  product  which meets the secondary material content
requirements adopted by the political subdivision  or  district  thereof
with  respect to a specific commodity procurement by such entity. On and
after July first, nineteen hundred ninety-six,]:
  (A) "recycled product" shall mean[, for the purposes of this section,]
any product which is manufactured from secondary materials,  as  defined
in  subdivision  one  of  section  two hundred sixty-one of the economic
development law, and which meets the requirements of subdivision two  of

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04737-01-3

S. 2161                             2

section  27-0717  of  the environmental conservation law and regulations
promulgated pursuant thereto[. For the purpose of this section,];
  (B)  "RENEWABLE  ENERGY RESOURCES" SHALL HAVE THE SAME MEANING AS SUCH
TERM IS DEFINED IN SUBDIVISION TWELVE OF SECTION  1-103  OF  THE  ENERGY
LAW;
  (C) "reasonably competitive" shall mean:
  (I)  that  the  cost  of  the  recycled product does not exceed a cost
premium of ten percent above the cost of a comparable  product  that  is
not  a  recycled  product or, if at least fifty percent of the secondary
materials utilized in the manufacture of that product are generated from
the waste stream in New York state, the cost  of  the  recycled  product
does  not  exceed  a cost premium of fifteen percent above the cost of a
comparable product that is not a recycled product; OR
  (II) THAT THE COST OF THE RENEWABLE ENERGY RESOURCE DOES NOT EXCEED  A
COST  PREMIUM OF TEN PERCENT ABOVE THE COST OF A COMPARABLE PRODUCT THAT
IS NOT A RENEWABLE ENERGY RESOURCE.
  2. Whenever such officer, board or agency shall purchase or cause  the
purchase  of  printing on recycled paper pursuant to this section, he or
she shall require the printed material to  contain  the  official  state
recycling  emblem  established  pursuant  to  subdivision two of section
27-0717 of the environmental conservation law and regulations promulgat-
ed pursuant thereto if such paper has been approved by the department of
environmental conservation as satisfying the requirements of such  stat-
ute and regulations, or, if such paper has not been so approved, require
the  printed material to include a printed statement which indicates the
percentages of pre-consumer and post-consumer recycled material  content
of such paper.
  S  2. This act shall take effect on the first of January next succeed-
ing the date on which it shall have become  a  law;  provided,  however,
that effective immediately, the addition, amendment and/or repeal of any
rule  or  regulation necessary for the implementation of this act on its
effective date are authorized and directed to be made and  completed  on
or before such effective date.

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