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

                                  7976

                            I N  S E N A T E

                              June 1, 2016
                               ___________

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

AN ACT to amend the state finance law, in relation  to  state  contracts
  for landscape architecture

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

  Section 1. Section 136-a of the state finance law, as amended by chap-
ter 746 of the laws of 1982, subdivision 4 as amended by chapter 383  of
the laws of 1994, is amended to read as follows:
  S 136-a. Contracts for architectural, engineering, LANDSCAPE ARCHITEC-
TURE  and  surveying  services.  1.  As  used  in this section: the term
"professional firm" shall be defined as any individual or sole  proprie-
torship,  partnership,  corporation,  association  or other legal entity
permitted by law to practice the professions of architecture,  engineer-
ing, LANDSCAPE ARCHITECTURE or surveying.
  The term "state department" shall be defined as those state government
departments,  divisions  or  commissions empowered by the state to enter
into contractual agreements on behalf of the state of New York.
  2. It is the policy of New  York  state  to  negotiate  contracts  for
architectural  and/or  engineering services and/or LANDSCAPING ARCHITEC-
TURE AND/OR surveying services on the basis of  demonstrated  competence
and  qualification for the type of professional services required and at
fair and reasonable fees.
  3. In the procurement of architectural, engineering, LANDSCAPE  ARCHI-
TECTURE  and  surveying  services,  the requiring state department shall
encourage professional firms engaged  in  the  lawful  practice  of  the
profession  to submit an annual statement of qualifications and perform-
ance data.  The requiring state department  for  each  proposed  project
shall evaluate current statements of qualifications and performance data
on  file with the department. If desired, the requiring state department
may conduct discussions with three or more professional firms  regarding
anticipated  design  concepts  and  proposed  methods of approach to the
assignment. The state department shall select, in order  of  preference,
based  upon  criteria  established by the requiring state department, no

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

                                                           LBD15723-01-6

S. 7976                             2

less than three professional firms deemed to be the most  highly  quali-
fied to provide the services required.
  4.  The requiring state department shall negotiate a contract with the
highest qualified professional firm for architectural and/or engineering
services and/or LANDSCAPE ARCHITECTURE SERVICE AND/OR surveying services
at compensation which the department determines in writing  to  be  fair
and  reasonable  to  the state of New York. In making this decision, the
department shall take into account the estimated value of  the  services
to  be rendered, including the costs, the scope, complexity, and profes-
sional nature thereof.   The department shall not  refuse  to  negotiate
with  a  professional  firm  solely  because the ratio of the "allowable
indirect costs" to direct labor costs of the professional  firm  or  the
hourly labor rate in any labor category of the professional firm exceeds
a limitation generally set by the department in the determination of the
reasonableness  of  the estimated cost of services to be rendered by the
professional firm, but rather the department should  also  consider  the
reasonableness  of cost based on the total estimated cost of the service
of the professional firm which should include, among other  things,  all
the  direct  labor costs of the professional firm for such services plus
all "allowable indirect  costs,"  other  direct  costs,  and  negotiated
profit of the professional firm. "Allowable indirect costs" of a profes-
sional  firm  are defined as those costs generally associated with over-
head which cannot be specifically identified with a  single  project  or
contract  and  are  considered  reasonable  and allowable under specific
state contract  or  allowability  limits.  Should  the  requiring  state
department  be  unable  to  negotiate  a  satisfactory contract with the
professional firm considered to be the most  qualified,  at  a  fee  the
department  determines  to  be  fair  and reasonable to the state of New
York, negotiations with that professional firm shall be formally  termi-
nated.  The requiring state department shall then undertake negotiations
with the second most qualified professional firm.  Failing  accord  with
the  second  most  qualified  professional  firm,  the  department shall
formally terminate negotiations. The requiring  state  department  shall
then  undertake  negotiations with the third most qualified professional
firm. Should the requiring state department be  unable  to  negotiate  a
satisfactory  contract  with  any of the selected professional firms, it
shall select additional professional firms in order of their  competence
and  qualification and it shall continue negotiations in accordance with
this section until an agreement is reached.
  5. This legislation shall only apply to engineering  and/or  architec-
tural  services  and/or LANDSCAPE ARCHITECTURE AND/OR surveying services
in excess of twenty-five thousand dollars.
  S 2. This act shall take effect on the sixtieth  day  after  it  shall
become a law.