senate Bill S6086

2015-2016 Legislative Session

Relates to purchasing restrictions on persons boycotting Israel and the investment of certain public funds in companies boycotting Israel

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Current Bill Status - In Committee


  • 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
Mar 03, 2016 notice of committee consideration - requested
Jan 06, 2016 referred to finance
Nov 06, 2015 referred to rules

Co-Sponsors

S6086 - Bill Details

Current Committee:
Law Section:
State Finance Law
Laws Affected:
Add §165-b, St Fin L; add §423-d, R & SS L

S6086 - Bill Texts

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Relates to purchasing restrictions on persons boycotting Israel and the investment of certain public funds in companies boycotting Israel; requires the commissioner of general services to compile a list of companies boycotting Israel and establishes that such companies will be considered non-responsive bidders.

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BILL NUMBER: S6086

TITLE OF BILL : An act to amend the state finance law, in relation
to purchasing restrictions on persons boycotting Israel; and to amend
the retirement and social security law, in relation to the investment
of certain public funds in companies boycotting Israel

PURPOSE : To prohibit New York State from contracting with or
investing taxpayer money in corporations who have a stated policy of
boycotting Israel.

SUMMARY OF PROVISIONS :

Section 1 amends the state finance law, adding a new section 165-b to
provide the limitations on state procurement with vendors who have a
policy of boycotting Israel.

Section 2 amends the retirement and social security law, adding new
section 423-d provides that the state shall not invest any public
retirement funds in a company with a policy of boycotting Israel.

JUSTIFICATION : The Boycott, Divest, Sanctions movement (BDS) is a
harmful discriminatory policy effectuated by a growing number of
companies. The BDS movement is nothing more than thinly veiled
anti-semitism. This bill would ensure that New York continues its
long history of standing up to discrimination by condemning this
movement and not doing business with these companies.

A growing number of states have passed bills dealing with both state
contracting and state retirement funds; this bill ensures that money
from neither will go to companies with this discriminatory policy in
New York State.

LEGISLATIVE HISTORY : New bill.

FISCAL IMPLICATIONS : Minimal.

EFFECTIVE DATE : This act shall take effect immediately.
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                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  6086

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                            November 6, 2015
                               ___________

Introduced  by Sen. GIANARIS -- read twice and ordered printed, and when
  printed to be committed to the Committee on Rules

AN ACT to amend  the  state  finance  law,  in  relation  to  purchasing
  restrictions on persons boycotting Israel; and to amend the retirement
  and  social  security  law,  in  relation to the investment of certain
  public funds in companies boycotting Israel

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

  Section  1.  The  state finance law is amended by adding a new section
165-b to read as follows:
  S 165-B. PURCHASING RESTRICTIONS; PERSONS  BOYCOTTING  ISRAEL.  1.  AS
USED IN THIS SECTION, THE FOLLOWING DEFINITIONS SHALL APPLY:
  (A) "BOYCOTT ISRAEL" OR "BOYCOTT ACTIVITIES" MEANS ENGAGING IN ACTIONS
THAT  ARE  POLITICALLY  MOTIVATED  AND ARE INTENDED TO PENALIZE, INFLICT
ECONOMIC HARM ON, OR OTHERWISE LIMIT COMMERCIAL RELATIONS WITH THE STATE
OF ISRAEL OR COMPANIES BASED IN THE STATE OF ISRAEL  OR  IN  TERRITORIES
CONTROLLED BY THE STATE OF ISRAEL.
  (B) "PERSON" MEANS:
  (I) A NATURAL PERSON, CORPORATION, COMPANY, LIMITED LIABILITY COMPANY,
BUSINESS  ASSOCIATION, PARTNERSHIP, SOCIETY, TRUST, OR ANY OTHER NONGOV-
ERNMENTAL ENTITY, ORGANIZATION, OR GROUP.
  (II) ANY SUCCESSOR, SUBUNIT, PARENT ENTITY, OR SUBSIDIARY OF,  OR  ANY
ENTITY  UNDER  COMMON OWNERSHIP OR CONTROL WITH, ANY ENTITY DESCRIBED IN
SUBPARAGRAPH ONE OF THIS PARAGRAPH.
  2. (A) A PERSON THAT IS IDENTIFIED ON A LIST CREATED PURSUANT TO PARA-
GRAPH (B) OF THIS SUBDIVISION  AS  A  PERSON  THAT  BOYCOTTS  ISRAEL  AS
DESCRIBED  IN  SUBDIVISION  ONE  OF  THIS SECTION, SHALL NOT BE DEEMED A
RESPONSIVE BIDDER OR OFFERER PURSUANT TO SECTION ONE HUNDRED SIXTY-THREE
OF THIS ARTICLE.
  (B) (I) NOT LATER THAN ONE HUNDRED TWENTY  DAYS  AFTER  THE  EFFECTIVE
DATE  OF  THIS  SECTION,  THE  COMMISSIONER SHALL DEVELOP OR CONTRACT TO

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD11575-02-5

S. 6086                             2

DEVELOP, USING CREDIBLE INFORMATION AVAILABLE TO THE PUBLIC, A  LIST  OF
PERSONS IT DETERMINES BOYCOTTS ISRAEL AS DESCRIBED IN SUBDIVISION ONE OF
THIS  SECTION.  IF  THE COMMISSIONER HAS CONTRACTED TO DEVELOP THE LIST,
THE  LIST  SHALL  BE FINALLY DEVELOPED NOT LATER THAN ONE HUNDRED TWENTY
DAYS AFTER THIS SECTION SHALL TAKE EFFECT. SUCH  LIST,  WHEN  COMPLETED,
SHALL BE POSTED ON THE WEBSITE OF THE OFFICE OF GENERAL SERVICES.
  (II)  THE  COMMISSIONER SHALL UPDATE THE LIST EVERY ONE HUNDRED EIGHTY
DAYS.
  (III) BEFORE FINALIZING AN INITIAL LIST PURSUANT TO  SUBPARAGRAPH  (I)
OF  THIS  PARAGRAPH  OR AN UPDATED LIST PURSUANT TO SUBPARAGRAPH (II) OF
THIS PARAGRAPH, THE COMMISSIONER SHALL DO ALL OF THE FOLLOWING BEFORE  A
PERSON IS INCLUDED ON THE LIST:
  (1)  PROVIDE  NINETY DAYS' WRITTEN NOTICE OF THE COMMISSIONER'S INTENT
TO INCLUDE THE PERSON ON THE LIST. THE NOTICE SHALL  INFORM  THE  PERSON
THAT INCLUSION ON THE LIST WOULD MAKE THE PERSON A NON-RESPONSIVE BIDDER
OR  OFFERER.  THE NOTICE SHALL SPECIFY THAT THE PERSON, IF IT CEASES ITS
BOYCOTT ACTIVITIES AS DESCRIBED IN SUBDIVISION ONE OF THIS SECTION,  MAY
BE REMOVED FROM THE LIST.
  (2)  THE  COMMISSIONER  SHALL  PROVIDE A PERSON WITH AN OPPORTUNITY TO
COMMENT IN WRITING THAT IT IS NOT ENGAGED IN BOYCOTTING ISRAEL.  IF  THE
PERSON  DEMONSTRATES  TO THE COMMISSIONER THAT THE PERSON IS NOT ENGAGED
IN SUCH BOYCOTT ACTIVITIES AS  DESCRIBED  IN  SUBDIVISION  ONE  OF  THIS
SECTION, THE PERSON SHALL NOT BE INCLUDED ON THE LIST.
  (3)  THE  COMMISSIONER  SHALL  MAKE  EVERY EFFORT TO AVOID ERRONEOUSLY
INCLUDING A PERSON ON THE LIST.
  (C) NOTWITHSTANDING PARAGRAPH (A) OF THIS SUBDIVISION, A STATE  AGENCY
MAY PERMIT A PERSON BOYCOTTING ISRAEL AS DESCRIBED BY SUBDIVISION ONE OF
THIS  SECTION TO BE DEEMED A RESPONSIVE BIDDER OR OFFERER, ON A CASE-BY-
CASE BASIS WITH A STATE AGENCY IF:
  (I) THE BOYCOTT ACTIVITIES WERE MADE BEFORE THE EFFECTIVE DATE OF THIS
SECTION, SUCH ACTIVITIES HAVE NOT BEEN EXPANDED  OR  RENEWED  AFTER  THE
EFFECTIVE  DATE OF THIS SECTION, AND THE PERSON HAS ADOPTED, PUBLICIZED,
AND IS IMPLEMENTING A FORMAL  PLAN  TO  CEASE  SUCH  ACTIVITIES  AND  TO
REFRAIN FROM ENGAGING IN ANY NEW BOYCOTT ACTIVITIES; OR
  (II)  THE  STATE  AGENCY MAKES A DETERMINATION THAT THE COMMODITIES OR
SERVICES ARE NECESSARY FOR THE STATE AGENCY TO PERFORM ITS FUNCTIONS AND
THAT, ABSENT SUCH AN EXEMPTION, THE STATE  AGENCY  WOULD  BE  UNABLE  TO
OBTAIN  THE  COMMODITIES  OR SERVICES FOR WHICH THE CONTRACT IS OFFERED.
SUCH DETERMINATION SHALL BE ENTERED INTO THE PROCUREMENT RECORD.
  3. (A) A STATE AGENCY SHALL REQUIRE A PERSON THAT  SUBMITS  A  BID  OR
OFFER  IN RESPONSE TO A NOTICE OF PROCUREMENT, OR THAT PROPOSES TO RENEW
AN EXISTING PROCUREMENT CONTRACT WITH A  STATE  AGENCY  OR  PROPOSES  TO
ASSUME  THE  RESPONSIBILITY  OF  A  CONTRACTOR PURSUANT TO A PROCUREMENT
CONTRACT WITH A STATE AGENCY OR  OTHERWISE  PROPOSES  TO  ENTER  INTO  A
CONTRACT WITH A STATE AGENCY WITH RESPECT TO A CONTRACT FOR COMMODITIES,
SERVICES,  CONSTRUCTION,  OR CONTRACTS ENTERED PURSUANT TO SECTION EIGHT
OF THE PUBLIC BUILDINGS LAW OR SECTION THIRTY-EIGHT OF THE HIGHWAY  LAW,
TO  CERTIFY, AT THE TIME THE BID IS SUBMITTED OR THE CONTRACT IS RENEWED
OR ASSIGNED, THAT THE PERSON OR THE ASSIGNEE IS NOT IDENTIFIED ON A LIST
CREATED PURSUANT TO PARAGRAPH (B) OF SUBDIVISION TWO OF THIS SECTION.  A
STATE  AGENCY SHALL INCLUDE CERTIFICATION INFORMATION IN THE PROCUREMENT
RECORD.
  (B) A PERSON THAT SUBMITS A BID OR OFFER IN RESPONSE TO  A  NOTICE  OF
PROCUREMENT  OR  THAT PROPOSES TO RENEW AN EXISTING PROCUREMENT CONTRACT
WITH A STATE AGENCY OR  PROPOSES  TO  ASSUME  THE  RESPONSIBILITY  OF  A
CONTRACTOR  PURSUANT  TO  A PROCUREMENT CONTRACT WITH A STATE AGENCY, OR

S. 6086                             3

OTHERWISE PROPOSES TO ENTER INTO A CONTRACT WITH  A  STATE  AGENCY  WITH
RESPECT  TO  A  CONTRACT  FOR  COMMODITIES,  SERVICES,  CONSTRUCTION, OR
CONTRACTS ENTERED PURSUANT TO SECTION EIGHT OF THE PUBLIC BUILDINGS  LAW
OR  SECTION  THIRTY-EIGHT  OF  THE HIGHWAY LAW SHALL NOT UTILIZE, ON THE
CONTRACT WITH THE STATE AGENCY, ANY SUBCONTRACTOR THAT IS IDENTIFIED  ON
A  LIST  CREATED  PURSUANT  TO  PARAGRAPH (B) OF SUBDIVISION TWO OF THIS
SECTION.
  4. UPON RECEIVING INFORMATION THAT A PERSON WHO HAS MADE  THE  CERTIF-
ICATION  REQUIRED  BY  SUBDIVISION THREE OF THIS SECTION IS IN VIOLATION
THEREOF, THE STATE AGENCY SHALL REVIEW SUCH INFORMATION  AND  OFFER  THE
PERSON  AN  OPPORTUNITY  TO  RESPOND. IF THE PERSON FAILS TO DEMONSTRATE
THAT IT HAS CEASED ITS BOYCOTT ACTIVITIES WHICH ARE IN VIOLATION OF THIS
ACT WITHIN NINETY DAYS AFTER THE DETERMINATION OF SUCH  VIOLATION,  THEN
THE  STATE  AGENCY  SHALL  TAKE  SUCH  ACTION  AS MAY BE APPROPRIATE AND
PROVIDED FOR BY LAW, RULE OR CONTRACT, INCLUDING, BUT  NOT  LIMITED  TO,
IMPOSING  SANCTIONS, SEEKING COMPLIANCE, RECOVERING DAMAGES OR DECLARING
THE CONTRACTOR IN DEFAULT.
  5. THE COMMISSIONER SHALL REPORT TO THE GOVERNOR AND  THE  LEGISLATURE
ANNUALLY  ON  OR BEFORE OCTOBER FIRST, ON THE STATUS OF THIS SECTION AND
ANY RULES OR REGULATIONS ADOPTED THEREUNDER.
  S 2. The retirement and social security law is amended by adding a new
section 423-d to read as follows:
  S 423-D. INVESTMENT OF CERTAIN PUBLIC FUNDS  IN  COMPANIES  BOYCOTTING
ISRAEL. 1. FOR PURPOSES OF THIS SECTION, "BOYCOTT ISRAEL" MEANS ENGAGING
IN  ACTIONS THAT ARE POLITICALLY MOTIVATED AND ARE INTENDED TO PENALIZE,
INFLICT ECONOMIC HARM ON, OR OTHERWISE LIMIT COMMERCIAL  RELATIONS  WITH
THE  STATE  OF  ISRAEL  OR  COMPANIES BASED IN THE STATE OF ISRAEL OR IN
TERRITORIES CONTROLLED BY THE STATE OF ISRAEL.
  2. ON AND AFTER THE EFFECTIVE DATE  OF  THIS  SECTION,  NO  MONEYS  OR
ASSETS  OF  THE  COMMON RETIREMENT FUND SHALL BE INVESTED IN THE STOCKS,
SECURITIES OR OTHER OBLIGATIONS OF ANY INSTITUTION OR COMPANY BOYCOTTING
ISRAEL. NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, NO  ASSETS
OF  ANY  PENSION  OR  ANNUITY  FUND  UNDER THE JURISDICTION OF THE COMP-
TROLLER, SHALL BE INVESTED IN ANY BANK OR  FINANCIAL  INSTITUTION  WHICH
DIRECTLY  OR  THROUGH  A  SUBSIDIARY  BOYCOTTS ISRAEL AND NO SUCH ASSETS
SHALL BE INVESTED IN THE STOCKS, SECURITIES OR OTHER OBLIGATIONS OF  ANY
COMPANY WHICH DIRECTLY OR THROUGH A SUBSIDIARY BOYCOTTS ISRAEL.
  3.  THE  COMPTROLLER  SHALL  TAKE  APPROPRIATE ACTION TO SELL, REDEEM,
DIVEST OR WITHDRAW ANY INVESTMENT HELD IN VIOLATION OF THE PROVISIONS OF
THIS SECTION. THIS SECTION SHALL NOT BE CONSTRUED TO REQUIRE THE  PREMA-
TURE  OR  OTHERWISE IMPRUDENT SALE, REDEMPTION, DIVESTMENT OR WITHDRAWAL
OF AN INVESTMENT, BUT SUCH SALE, REDEMPTION,  DIVESTMENT  OR  WITHDRAWAL
SHALL  BE  COMPLETED  NO  LATER THAN THREE YEARS FOLLOWING THE EFFECTIVE
DATE OF THIS SECTION.
  4. WITHIN SIXTY DAYS AFTER THE EFFECTIVE DATE  OF  THIS  SECTION,  THE
COMPTROLLER  SHALL FILE WITH THE LEGISLATURE A REPORT OF ALL INVESTMENTS
HELD AS OF THE EFFECTIVE DATE OF THIS SECTION WHICH ARE IN VIOLATION  OF
THE  PROVISIONS  OF THIS SECTION. EVERY YEAR THEREAFTER, THE COMPTROLLER
SHALL REPORT ON ALL INVESTMENTS SOLD, REDEEMED, DIVESTED OR WITHDRAWN IN
COMPLIANCE WITH THIS SECTION. EACH REPORT AFTER THE INITIAL REPORT SHALL
PROVIDE A DESCRIPTION OF THE PROGRESS WHICH  THE  COMPTROLLER  HAS  MADE
SINCE THE PREVIOUS REPORT AND SINCE THE EFFECTIVE DATE OF THIS SECTION.
  S 3. This act shall take effect immediately.

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