senate Bill S6981

Signed By Governor
2013-2014 Legislative Session

Relates to construction contracts let by the facilities development corporation

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Archive: Last Bill Status - Signed by Governor


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

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Nov 21, 2014 signed chap.467
Nov 10, 2014 delivered to governor
Jun 17, 2014 returned to senate
passed assembly
ordered to third reading rules cal.313
substituted for a9612
May 20, 2014 referred to ways and means
delivered to assembly
passed senate
Apr 30, 2014 advanced to third reading
Apr 29, 2014 2nd report cal.
Apr 28, 2014 1st report cal.391
Apr 09, 2014 referred to corporations, authorities and commissions

Votes

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Apr 28, 2014 - Corporations, Authorities and Commissions committee Vote

S6981
5
0
committee
5
Aye
0
Nay
1
Aye with Reservations
0
Absent
0
Excused
0
Abstained
show Corporations, Authorities and Commissions committee vote details

Corporations, Authorities and Commissions Committee Vote: Apr 28, 2014

aye wr (1)

S6981 - Bill Details

See Assembly Version of this Bill:
A9612
Law Section:
Facilities Development Corporation Act
Laws Affected:
Amd §9, Fac Dev Corp Act

S6981 - Bill Texts

view summary

Increases the threshold amount for the requirement for public bidding of construction contracts let by the facilities development corporation.

view sponsor memo
BILL NUMBER:S6981

TITLE OF BILL: An act to amend the facilities development corporation
act, in relation to raising the financial ceiling above which
construction contracts must be publicly bid

Purpose of the Bill:

The bill would increase from $40,000 to $80,000 the threshold above
which the Dormitory Authority of the State of New York ("DASNY") must
publicly bid contracts for the construction, reconstruction,
rehabilitation and improvement of mental hygiene facilities under the
Facilities Development Corporation ("FDC") Act.

Summary of Provisions:

Section 1 of the bill would amend the opening paragraph of paragraph g
of subdivision 2 of section 9 of section 1 of Chapter 359 of the Laws
of 1968, constituting the FDC Act (as last amended by Chapter 127 of
the Laws of 2000) to increase from $40,000 to $80,000 the threshold
above which all contracts awarded by DASNY for the construction,
reconstruction, rehabilitation or improvement of a mental hygiene
facility must be awarded by public letting.

Section 2 provides that the act takes effect immediately.

Existing Law: Under current law, DASNY may award construction
contracts for mental hygiene facilities without public letting if the
estimated expense thereof is no more than $40,000.

Prior Legislative History:

The bill is new.

Statement in Support:

The Legislature established FDC in 1968 as a public benefit
corporation. The Health Care Financing Consolidation Act of 1995
(codified in Public Authorities Law ("PAL") Title 4B) continued FDC's
corporate existence in and through DASNY, which has succeeded to all
of the powers, duties and functions of FDC.

Among the functions of DASNY under the FDC Act are the construction,
reconstruction, rehabilitation and improvement of mental hygiene
facilities which include several hundred buildings across the State
used by the Office of Mental Health (OMH), the Office for People with
Developmental Disabilities (OPWDD) and the Office of Alcoholism and
Substance Abuse (OASAS). The FDC Act requires that each contract for
constructing, reconstructing, rehabilitating and improving a mental
hygiene facility be awarded by public letting. The FDC Act makes an
exception to the public letting requirement for contracts that have a
value of no more than $40,000. A major use of this exception is small
rehabilitation and improvement projects at community residences of
OPWDD that would quickly prevent minor problems from expanding and
becoming major problems.


This threshold has not been increased in more than 20 years. When the
Legislature last did so in 1992, it increased the amount from $10,000
to $40,000. The bill seeks to raise this threshold to reflect the
inflation in construction costs since 1992. According to RS Means, an
established publisher of construction cost data, a project that cost
$40,000 in 1992 would cost approximately $80,000 in 2014. Pursuant to
PAL § 2879 and the guidelines required thereunder, these contracts
would still be awarded on a competitive basis and where applicable,
notices would be published in the New York State Contract Reporter.
Prevailing wage requirements would still apply.

Budget Implications:

The bill would have no impact on the State budget.

Local Impact:

The bill would have no impact on local governments.

Effective Date:

This bill would take effect immediately.

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

                                  6981

                            I N  S E N A T E

                              April 9, 2014
                               ___________

Introduced by Sen. RANZENHOFER -- (at request of the Dormitory Authority
  of  the State of New York) -- read twice and ordered printed, and when
  printed to be committed to the Committee on Corporations,  Authorities
  and Commissions

AN  ACT to amend the facilities development corporation act, in relation
  to raising the financial ceiling above  which  construction  contracts
  must be publicly bid

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

  Section 1. The opening paragraph of paragraph g of  subdivision  2  of
section  9 of section 1 of chapter 359 of the laws of 1968, constituting
the facilities development corporation act, as amended by chapter 127 of
the laws of 2000, is amended to read as follows:
  All contracts which are to be awarded pursuant to this paragraph shall
be  awarded  by  public  letting  in  accordance  with   the   following
provisions,  notwithstanding  any  contrary  provision  of  section  one
hundred thirty-six, one hundred thirty-nine or one hundred forty of  the
state finance law, except that in the discretion of the directors of the
corporation,  a  contract  may be entered into for such purposes without
public letting where the estimated  expense  thereof  is  no  more  than
[forty] EIGHTY thousand dollars:
  S 2. This act shall take effect immediately.





 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD14107-01-4

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