A. 5510 2
§ 3. Subparagraph (ii) of paragraph a of subdivision 3 of section 163
of the state finance law, as added by chapter 83 of the laws of 1995, is
amended to read as follows:
(ii) Commodities contracts shall be awarded on the basis of lowest
price to a responsive and responsible offerer, WITH PREFERENCE GIVEN TO
COMMODITY CONTRACTS FROM NEW YORK COMPANIES, IF SUCH CONTRACTS ARE
PRICED COMPETITIVELY; or, in the case of multiple awards, in accordance
with paragraph c of subdivision ten of this section.
§ 4. Paragraph d of subdivision 4 of section 163 of the state finance
law, as added by chapter 83 of the laws of 1995, is amended to read as
follows:
d. Service contracts shall be awarded on the basis of best value to a
responsive and responsible offerer, WITH PREFERENCE GIVEN TO SERVICE
CONTRACTS FROM NEW YORK COMPANIES, IF SUCH CONTRACTS ARE PRICED COMPETI-
TIVELY; or, in the case of multiple awards, in accordance with paragraph
c of subdivision ten of this section.
§ 5. Section 146 of the state finance law is REPEALED and a new
section 146 is added to read as follows:
§ 146. NEW YORK MATERIALS. 1. USE OF NEW YORK MATERIALS. (A) NOTWITH-
STANDING ANY OTHER PROVISION OF LAW, EACH CONTRACT FOR THE CONSTRUCTION,
RECONSTRUCTION, ALTERATION OR IMPROVEMENT OF A PUBLIC BUILDING OF PUBLIC
WORKS MADE BY A PUBLIC AGENCY SHALL CONTAIN A PROVISION THAT THE IRON,
STEEL, AND MANUFACTURED PRODUCTS USED OR SUPPLIED IN THE PERFORMANCE OF
THE CONTRACT OR ANY SUBCONTRACT THERETO AND PERMANENTLY INCORPORATED
INTO THE PUBLIC BUILDING OR PUBLIC WORKS SHALL BE MANUFACTURED IN NEW
YORK, PROVIDED SUCH CONTRACT IS PRICED COMPETITIVELY.
(B) FOR THE PURPOSES OF SECTION ONE HUNDRED SIXTY-THREE OF THIS CHAP-
TER, NO BIDDER SHALL BE DEEMED TO BE THE LOWEST RESPONSIBLE AND RELIABLE
BIDDER AND NO BID SHALL BE DEEMED THE BEST VALUE UNLESS THE BID OFFERED
BY SUCH BIDDER WILL COMPLY WITH THE CONTRACT TERM REQUIRED BY PARAGRAPH
(A) OF THIS SUBDIVISION.
(C) THE PROVISIONS OF PARAGRAPH (A) OF THIS SUBDIVISION SHALL NOT
APPLY IN ANY CASE OR CATEGORY OF CASES IN WHICH THE EXECUTIVE HEAD OF A
PUBLIC AGENCY FINDS:
(I) THAT THE APPLICATION OF THIS SECTION WOULD BE INCONSISTENT WITH
THE PUBLIC INTEREST;
(II) THAT SUCH MATERIALS AND PRODUCTS ARE NOT PRODUCED IN NEW YORK IN
SUFFICIENT AND REASONABLY AVAILABLE QUANTITIES AND OF A SATISFACTORY
QUALITY; OR
(III) THAT INCLUSION OF NEW YORK MATERIAL WILL INCREASE THE COST OF
THE OVERALL PROJECT CONTRACT BY MORE THAN TWENTY-FIVE PERCENT.
(D) IF THE EXECUTIVE RECEIVES A REQUEST FOR A WAIVER UNDER PARAGRAPH
(C) OF THIS SUBDIVISION, THE EXECUTIVE SHALL PROVIDE NOTICE OF AND AN
OPPORTUNITY FOR PUBLIC COMMENT ON THE REQUEST AT LEAST THIRTY DAYS
BEFORE MAKING A FINDING BASED ON THE REQUEST.
(E) A NOTICE PROVIDED UNDER PARAGRAPH (D) OF THIS SUBDIVISION SHALL:
(I) SUMMARIZE THE INFORMATION AVAILABLE TO THE EXECUTIVE CONCERNING
THE REQUEST, INCLUDING WHETHER THE REQUEST IS BEING MADE UNDER SUBPARA-
GRAPH (I), (II) OR (III) OF PARAGRAPH (C) OF THIS SUBDIVISION;
(II) BE POSTED PROMINENTLY ON THE OFFICIAL PUBLIC INTERNET WEB SITE OF
THE AGENCY; AND
(III) BE PROVIDED BY ELECTRONIC MEANS TO ANY PERSON, FIRM OR CORPO-
RATION THAT HAS MADE A WRITTEN OR ELECTRONIC REQUEST TO THE PUBLIC AGEN-
CY FOR NOTICE OF WAIVER ACTIONS BY THE EXECUTIVE WITHIN FIVE (5) YEARS
PRIOR TO THE DATE OF NOTICE.
A. 5510 3
(F) IF THE EXECUTIVE ISSUES A WAIVER UNDER PARAGRAPH (C) OF THIS
SUBDIVISION, THE EXECUTIVE SHALL PUBLISH IN THE SAME MANNER AS THE
ORIGINAL NOTICE A DETAILED JUSTIFICATION FOR THE WAIVER THAT:
(I) ADDRESSES THE PUBLIC COMMENTS RECEIVED UNDER PARAGRAPH (D) OF THIS
SUBDIVISION; AND
(II) IS PUBLISHED BEFORE THE WAIVER TAKES EFFECT.
(G) IF IT HAS BEEN DETERMINED BY A COURT OR FEDERAL OR STATE AGENCY
THAT ANY PERSON INTENTIONALLY:
(I) AFFIXED A LABEL BEARING A "MADE IN NEW YORK" INSCRIPTION, OR ANY
INSCRIPTION WITH THE SAME MEANING, TO ANY IRON, STEEL OR MANUFACTURED
PRODUCT USED IN PROJECTS TO WHICH THIS SECTION APPLIES, SOLD IN OR
SHIPPED TO NEW YORK THAT WAS NOT MADE IN NEW YORK; OR
(II) REPRESENTED THAT ANY IRON, STEEL OR MANUFACTURED PRODUCT USED IN
PROJECTS TO WHICH THIS SECTION APPLIES THAT WAS NOT PRODUCED IN NEW YORK
, WAS PRODUCED IN NEW YORK; THEN THAT PERSON SHALL BE INELIGIBLE TO
RECEIVE ANY CONTRACT OR SUBCONTRACT WITH THIS STATE PURSUANT TO THE
DEBARMENT OR SUSPENSION PROVISIONS PROVIDED UNDER SECTION ONE HUNDRED
THIRTY-NINE-A OF THIS ARTICLE.
(H) THIS SECTION SHALL BE APPLIED IN A MANNER CONSISTENT WITH THE
STATE'S OBLIGATIONS UNDER ANY APPLICABLE INTERNATIONAL AGREEMENTS
PERTAINING TO GOVERNMENT PROCUREMENT.
2. DEFINITIONS. FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING WORDS
SHALL HAVE THE FOLLOWING MEANINGS UNLESS SPECIFIED OTHERWISE:
(A) "EXECUTIVE" MEANS THE EXECUTIVE HEAD OF A PUBLIC AGENCY SUBJECT TO
THIS SECTION;
(B) "PUBLIC AGENCY" MEANS A GOVERNMENTAL ENTITY AS THAT TERM IS
DEFINED IN SECTION ONE HUNDRED THIRTY-NINE-J OF THIS ARTICLE;
(C) "MANUFACTURED IN NEW YORK" MEANS: (I) IN THE CASE OF AN IRON OR
STEEL PRODUCT ALL MANUFACTURING MUST TAKE PLACE IN NEW YORK, FROM THE
INITIAL MELTING STAGE THROUGH THE APPLICATION OF COATINGS, EXCEPT METAL-
LURGICAL PROCESSES INVOLVING THE REFINEMENT OF STEEL ADDITIVES; AND
(II) IN THE CASE OF A MANUFACTURED PRODUCT, A PRODUCT WILL BE CONSID-
ERED MANUFACTURED IN NEW YORK IF:
(A) ALL OF ITS MANUFACTURING PROCESSES TAKE PLACE IN NEW YORK, AND
(B) MORE THAN SIXTY PERCENT OF THE COMPONENTS OF THE MANUFACTURED
GOOD, BY COST, ARE OF NEW YORK ORIGIN. IF, UNDER THE TERMS OF THIS
SUBPARAGRAPH, A COMPONENT IS DETERMINED TO BE OF NEW YORK ORIGIN, ITS
ENTIRE COST MAY BE USED IN CALCULATING THE COST OF NEW YORK CONTENT OF
AN END PRODUCT.
(D) "NEW YORK" MEANS THE STATE OF NEW YORK AND INCLUDES ALL TERRITORY
SUBJECT TO THE JURISDICTION OF NEW YORK STATE.
§ 6. Section 2603-a of the public authorities law is REPEALED and a
new section 2877-a is added to read as follows:
§ 2877-A. NEW YORK MATERIALS. 1. USE OF NEW YORK MATERIALS. (A)
NOTWITHSTANDING ANY OTHER PROVISION OF LAW, EACH CONTRACT FOR THE
CONSTRUCTION, RECONSTRUCTION, ALTERATION OR IMPROVEMENT OF A PUBLIC
BUILDING OF PUBLIC WORKS MADE BY A PUBLIC AGENCY SHALL CONTAIN A
PROVISION THAT THE IRON, STEEL, AND MANUFACTURED PRODUCTS USED OR
SUPPLIED IN THE PERFORMANCE OF THE CONTRACT OR ANY SUBCONTRACT THERETO
AND PERMANENTLY INCORPORATED INTO THE PUBLIC BUILDING OR PUBLIC WORKS
SHALL BE MANUFACTURED IN NEW YORK, PROVIDED SUCH CONTRACT IS PRICED
COMPETITIVELY.
(B) FOR THE PURPOSES OF SECTION ONE HUNDRED SIXTY-THREE OF THIS CHAP-
TER, NO BIDDER SHALL BE DEEMED TO BE THE LOWEST RESPONSIBLE AND RELIABLE
BIDDER AND NO BID SHALL BE DEEMED THE BEST VALUE UNLESS THE BID OFFERED
A. 5510 4
BY SUCH BIDDER WILL COMPLY WITH THE CONTRACT TERM REQUIRED BY PARAGRAPH
(A) OF THIS SUBDIVISION.
(C) THE PROVISIONS OF PARAGRAPH (A) OF THIS SUBDIVISION SHALL NOT
APPLY IN ANY CASE OR CATEGORY OF CASES IN WHICH THE EXECUTIVE HEAD OF A
PUBLIC AGENCY FINDS:
(I) THAT THE APPLICATION OF THIS SECTION WOULD BE INCONSISTENT WITH
THE PUBLIC INTEREST;
(II) THAT SUCH MATERIALS AND PRODUCTS ARE NOT PRODUCED IN NEW YORK IN
SUFFICIENT AND REASONABLY AVAILABLE QUANTITIES AND OF A SATISFACTORY
QUALITY; OR
(III) THAT INCLUSION OF NEW YORK MATERIAL WILL INCREASE THE COST OF
THE OVERALL PROJECT CONTRACT BY MORE THAN TWENTY-FIVE PERCENT.
(D) IF THE EXECUTIVE RECEIVES A REQUEST FOR A WAIVER UNDER PARAGRAPH
(C) OF THIS SUBDIVISION, THE EXECUTIVE SHALL PROVIDE NOTICE OF AND AN
OPPORTUNITY FOR PUBLIC COMMENT ON THE REQUEST AT LEAST THIRTY DAYS
BEFORE MAKING A FINDING BASED ON THE REQUEST.
(E) A NOTICE PROVIDED UNDER PARAGRAPH (D) OF THIS SUBDIVISION SHALL:
(I) SUMMARIZE THE INFORMATION AVAILABLE TO THE EXECUTIVE CONCERNING
THE REQUEST, INCLUDING WHETHER THE REQUEST IS BEING MADE UNDER SUBPARA-
GRAPH (I), (II) OR (III) OF PARAGRAPH (C) OF THIS SUBDIVISION;
(II) BE POSTED PROMINENTLY ON THE OFFICIAL PUBLIC INTERNET WEB SITE OF
THE AGENCY; AND
(III) BE PROVIDED BY ELECTRONIC MEANS TO ANY PERSON, FIRM OR CORPO-
RATION THAT HAS MADE A WRITTEN OR ELECTRONIC REQUEST TO THE PUBLIC AGEN-
CY FOR NOTICE OF WAIVER ACTIONS BY THE EXECUTIVE WITHIN FIVE (5) YEARS
PRIOR TO THE DATE OF NOTICE.
(F) IF THE EXECUTIVE ISSUES A WAIVER UNDER PARAGRAPH (C) OF THIS
SUBDIVISION, THE EXECUTIVE SHALL PUBLISH IN THE SAME MANNER AS THE
ORIGINAL NOTICE A DETAILED JUSTIFICATION FOR THE WAIVER THAT:
(I) ADDRESSES THE PUBLIC COMMENTS RECEIVED UNDER PARAGRAPH (D) OF THIS
SUBDIVISION; AND
(II) IS PUBLISHED BEFORE THE WAIVER TAKES EFFECT.
(G) IF IT HAS BEEN DETERMINED BY A COURT OR FEDERAL OR STATE AGENCY
THAT ANY PERSON INTENTIONALLY:
(I) AFFIXED A LABEL BEARING A "MADE IN NEW YORK" INSCRIPTION, OR ANY
INSCRIPTION WITH THE SAME MEANING, TO ANY IRON, STEEL OR MANUFACTURED
PRODUCT USED IN PROJECTS TO WHICH THIS SECTION APPLIES, SOLD IN OR
SHIPPED TO NEW YORK THAT WAS NOT MADE IN NEW YORK; OR
(II) REPRESENTED THAT ANY IRON, STEEL OR MANUFACTURED PRODUCT USED IN
PROJECTS TO WHICH THIS SECTION APPLIES THAT WAS NOT PRODUCED IN NEW
YORK, WAS PRODUCED IN NEW YORK; THEN THAT PERSON SHALL BE INELIGIBLE TO
RECEIVE ANY CONTRACT OR SUBCONTRACT WITH THIS STATE PURSUANT TO THE
DEBARMENT OR SUSPENSION PROVISIONS PROVIDED UNDER SECTION ONE HUNDRED
THIRTY-NINE-A OF THE STATE FINANCE LAW.
(H) THIS SECTION SHALL BE APPLIED IN A MANNER CONSISTENT WITH THE
STATE'S OBLIGATIONS UNDER ANY APPLICABLE INTERNATIONAL AGREEMENTS
PERTAINING TO GOVERNMENT PROCUREMENT.
2. DEFINITIONS. FOR THE PURPOSES OF THIS SECTION, THE FOLLOWING WORDS
SHALL HAVE THE FOLLOWING MEANINGS UNLESS SPECIFIED OTHERWISE:
(A) "EXECUTIVE" MEANS THE EXECUTIVE HEAD OF A PUBLIC AGENCY SUBJECT TO
THIS SECTION;
(B) "PUBLIC AGENCY" MEANS A GOVERNMENTAL ENTITY AS THAT TERM IS
DEFINED IN SECTION ONE HUNDRED THIRTY-NINE-J OF THE STATE FINANCE LAW;
(C) "MANUFACTURED IN NEW YORK" MEANS: (I) IN THE CASE OF AN IRON OR
STEEL PRODUCT ALL MANUFACTURING MUST TAKE PLACE IN NEW YORK, FROM THE
A. 5510 5
INITIAL MELTING STAGE THROUGH THE APPLICATION OF COATINGS, EXCEPT METAL-
LURGICAL PROCESSES INVOLVING THE REFINEMENT OF STEEL ADDITIVES; AND
(II) IN THE CASE OF A MANUFACTURED PRODUCT, A PRODUCT WILL BE CONSID-
ERED MANUFACTURED IN NEW YORK IF:
(A) ALL OF ITS MANUFACTURING PROCESSES TAKE PLACE IN NEW YORK, AND
(B) MORE THAN SIXTY PERCENT OF THE COMPONENTS OF THE MANUFACTURED
GOOD, BY COST, ARE OF NEW YORK ORIGIN. IF, UNDER THE TERMS OF THIS
SUBPARAGRAPH, A COMPONENT IS DETERMINED TO BE OF NEW YORK ORIGIN, ITS
ENTIRE COST MAY BE USED IN CALCULATING THE COST OF NEW YORK CONTENT OF
AN END PRODUCT.
(D) "NEW YORK" MEANS THE STATE OF NEW YORK AND INCLUDES ALL TERRITORY
SUBJECT TO THE JURISDICTION OF NEW YORK STATE.
§ 7. Section 38 of the highway law is amended by adding a new subdivi-
sion 10 to read as follows:
10. USE OF NEW YORK MATERIALS. (A) NOTWITHSTANDING ANY OTHER PROVISION
OF LAW, EACH CONTRACT FOR THE CONSTRUCTION, RECONSTRUCTION, ALTERATION
OR IMPROVEMENT OF A HIGHWAY OR OTHER PUBLIC WORKS MADE BY A PUBLIC AGEN-
CY SHALL CONTAIN A PROVISION THAT THE IRON, STEEL, AND MANUFACTURED
PRODUCTS USED OR SUPPLIED IN THE PERFORMANCE OF THE CONTRACT OR ANY
SUBCONTRACT THERETO AND PERMANENTLY INCORPORATED INTO THE PUBLIC BUILD-
ING OR PUBLIC WORKS SHALL BE MANUFACTURED IN NEW YORK, PROVIDED THAT
SUCH CONTRACTS ARE PRICED COMPETITIVELY.
(B) NO BIDDER SHALL BE DEEMED TO BE THE LOWEST RESPONSIBLE AND RELI-
ABLE BIDDER AND NO BID SHALL BE DEEMED THE BEST VALUE UNLESS THE BID
OFFERED BY SUCH BIDDER WILL COMPLY WITH THE CONTRACT TERM REQUIRED BY
PARAGRAPH (A) OF THIS SUBDIVISION.
(C) THE PROVISIONS OF PARAGRAPH (A) OF THIS SUBDIVISION SHALL NOT
APPLY IN ANY CASE OR CATEGORY OF CASES IN WHICH THE EXECUTIVE HEAD OF A
PUBLIC AGENCY FINDS:
(I) THAT THE APPLICATION OF THIS SUBDIVISION WOULD BE INCONSISTENT
WITH THE PUBLIC INTEREST;
(II) THAT SUCH MATERIALS AND PRODUCTS ARE NOT PRODUCED IN NEW YORK IN
SUFFICIENT AND REASONABLY AVAILABLE QUANTITIES AND OF A SATISFACTORY
QUALITY; OR
(III) THAT INCLUSION OF NEW YORK MATERIAL WILL INCREASE THE COST OF
THE OVERALL PROJECT CONTRACT BY MORE THAN TWENTY-FIVE PERCENT.
(D) IF THE EXECUTIVE RECEIVES A REQUEST FOR A WAIVER UNDER PARAGRAPH
(C) OF THIS SUBDIVISION, THE EXECUTIVE SHALL PROVIDE NOTICE OF AND AN
OPPORTUNITY FOR PUBLIC COMMENT ON THE REQUEST OF AT LEAST THIRTY DAYS
BEFORE MAKING A FINDING BASED ON THE REQUEST.
(E) A NOTICE PROVIDED UNDER PARAGRAPH (D) OF THIS SUBDIVISION SHALL:
(I) SUMMARIZE THE INFORMATION AVAILABLE TO THE EXECUTIVE CONCERNING
THE REQUEST, INCLUDING WHETHER THE REQUEST IS BEING MADE UNDER SUBPARA-
GRAPH (I), (II) OR (III) OF PARAGRAPH (C) OF THIS SUBDIVISION;
(II) BE POSTED PROMINENTLY ON THE OFFICIAL PUBLIC INTERNET WEB SITE OF
THE AGENCY; AND
(III) BE PROVIDED BY ELECTRONIC MEANS TO ANY PERSON, FIRM OR CORPO-
RATION THAT HAS MADE A WRITTEN OR ELECTRONIC REQUEST TO THE PUBLIC AGEN-
CY FOR NOTICE OF WAIVER ACTIONS BY THE EXECUTIVE WITHIN FIVE (5) YEARS
PRIOR TO THE DATE OF NOTICE.
(F) IF THE EXECUTIVE ISSUES A WAIVER UNDER PARAGRAPH (C) OF THIS
SUBDIVISION, THE EXECUTIVE SHALL PUBLISH IN THE SAME MANNER AS THE
ORIGINAL NOTICE A DETAILED JUSTIFICATION FOR THE WAIVER THAT:
(I) ADDRESSES THE PUBLIC COMMENTS RECEIVED UNDER PARAGRAPH (D) OF THIS
SUBDIVISION; AND
(II) IS PUBLISHED BEFORE THE WAIVER TAKES EFFECT.
A. 5510 6
(G) IF IT HAS BEEN DETERMINED BY A COURT OR FEDERAL OR STATE AGENCY
THAT ANY PERSON INTENTIONALLY:
(I) AFFIXED A LABEL BEARING A "MADE IN NEW YORK" INSCRIPTION, OR ANY
INSCRIPTION WITH THE SAME MEANING, TO ANY IRON, STEEL OR MANUFACTURED
PRODUCT USED IN PROJECTS TO WHICH THIS SUBDIVISION APPLIES, SOLD IN OR
SHIPPED TO NEW YORK THAT WAS NOT MADE IN NEW YORK; OR
(II) REPRESENTED THAT ANY IRON, STEEL, OR MANUFACTURED PRODUCT USED IN
PROJECTS TO WHICH THIS SECTION APPLIES THAT WAS NOT PRODUCED IN NEW
YORK, WAS PRODUCED IN NEW YORK; THEN THAT PERSON SHALL BE INELIGIBLE TO
RECEIVE ANY CONTRACT OR SUBCONTRACT WITH THIS STATE PURSUANT TO THE
DEBARMENT OR SUSPENSION PROVISIONS PROVIDED UNDER SECTION ONE HUNDRED
THIRTY-NINE-A OF THE STATE FINANCE LAW.
(H) THIS SUBDIVISION SHALL BE APPLIED IN A MANNER CONSISTENT WITH THE
STATE'S OBLIGATIONS UNDER ANY APPLICABLE INTERNATIONAL AGREEMENTS
PERTAINING TO GOVERNMENT PROCUREMENT.
(I) DEFINITIONS. FOR THE PURPOSE OF THIS SUBDIVISION, THE FOLLOWING
WORDS SHALL HAVE THE FOLLOWING MEANINGS UNLESS SPECIFIED OTHERWISE:
(I) "EXECUTIVE" MEANS THE EXECUTIVE HEAD OF A PUBLIC AGENCY SUBJECT TO
THIS SUBDIVISION;
(II) "PUBLIC AGENCY" MEANS A GOVERNMENTAL ENTITY AS THAT TERM IS
DEFINED IN SECTION ONE HUNDRED THIRTY-NINE-J OF THE STATE FINANCE LAW;
(III) "MANUFACTURED IN NEW YORK" MEANS: (A) IN THE CASE OF AN IRON OR
STEEL PRODUCT ALL MANUFACTURING MUST TAKE PLACE IN NEW YORK, FROM THE
INITIAL MELTING STAGE THROUGH THE APPLICATION OF COATINGS, EXCEPT METAL-
LURGICAL PROCESSES INVOLVING THE REFINEMENT OF STEEL ADDITIVES; AND
(B) IN THE CASE OF A MANUFACTURED PRODUCT, A PRODUCT WILL BE CONSID-
ERED MANUFACTURED IN NEW YORK IF:
(1) ALL OF ITS MANUFACTURING PROCESSES TAKE PLACE IN NEW YORK, AND
(2) MORE THAN SIXTY PERCENT OF THE COMPONENTS OF THE MANUFACTURED
GOOD, BY COST, ARE OF NEW YORK ORIGIN. IF, UNDER THE TERMS OF THIS PART,
A COMPONENT IS DETERMINED TO BE OF NEW YORK ORIGIN, ITS ENTIRE COST MAY
BE USED IN CALCULATING THE COST OF NEW YORK CONTENT OF AN END PRODUCT.
(IV) "NEW YORK" MEANS THE STATE OF NEW YORK AND INCLUDES ALL TERRITORY
SUBJECT TO THE JURISDICTION OF NEW YORK STATE.
§ 8. Section 103 of the general municipal law is amended by adding a
new subdivision 17 to read as follows:
17. USE OF NEW YORK MATERIALS. (A) NOTWITHSTANDING ANY OTHER PROVISION
OF LAW, EACH CONTRACT FOR THE CONSTRUCTION, RECONSTRUCTION, ALTERATION
OR IMPROVEMENT OF A HIGHWAY OR OTHER PUBLIC WORKS MADE BY A PUBLIC AGEN-
CY SHALL CONTAIN A PROVISION THAT THE IRON, STEEL, AND MANUFACTURED
PRODUCTS USED OR SUPPLIED IN THE PERFORMANCE OF THE CONTRACT OR ANY
SUBCONTRACT THERETO AND PERMANENTLY INCORPORATED INTO THE PUBLIC BUILD-
ING OR PUBLIC WORKS SHALL BE MANUFACTURED IN NEW YORK, PROVIDED THAT
SUCH CONTRACTS ARE PRICED COMPETITIVELY.
(B) NO BIDDER SHALL BE DEEMED TO BE THE LOWEST RESPONSIBLE AND RELI-
ABLE BIDDER AND NO BID SHALL BE DEEMED THE BEST VALUE UNLESS THE BID
OFFERED BY SUCH BIDDER WILL COMPLY WITH THE CONTRACT TERM REQUIRED BY
PARAGRAPH (A) OF THIS SUBDIVISION.
(C) THE PROVISIONS OF PARAGRAPH (A) OF THIS SUBDIVISION SHALL NOT
APPLY IN ANY CASE OR CATEGORY OF CASES IN WHICH THE EXECUTIVE HEAD OF A
PUBLIC AGENCY FINDS:
(I) THAT THE APPLICATION OF THIS SUBDIVISION WOULD BE INCONSISTENT
WITH THE PUBLIC INTEREST;
(II) THAT SUCH MATERIALS AND PRODUCTS ARE NOT PRODUCED IN NEW YORK IN
SUFFICIENT AND REASONABLY AVAILABLE QUANTITIES AND OF A SATISFACTORY
QUALITY; OR
A. 5510 7
(III) THAT INCLUSION OF NEW YORK MATERIAL WILL INCREASE THE COST OF
THE OVERALL PROJECT CONTRACT BY MORE THAN TWENTY-FIVE PERCENT.
(D) IF THE EXECUTIVE RECEIVES A REQUEST FOR A WAIVER UNDER PARAGRAPH
(C) OF THIS SUBDIVISION, THE EXECUTIVE SHALL PROVIDE NOTICE OF AND AN
OPPORTUNITY FOR PUBLIC COMMENT ON THE REQUEST OF AT LEAST THIRTY DAYS
BEFORE MAKING A FINDING BASED ON THE REQUEST.
(E) A NOTICE PROVIDED UNDER PARAGRAPH (D) OF THIS SUBDIVISION SHALL:
(I) SUMMARIZE THE INFORMATION AVAILABLE TO THE EXECUTIVE CONCERNING
THE REQUEST, INCLUDING WHETHER THE REQUEST IS BEING MADE UNDER SUBPARA-
GRAPH (I), (II) OR (III) OF PARAGRAPH (C) OF THIS SUBDIVISION;
(II) BE POSTED PROMINENTLY ON THE OFFICIAL PUBLIC INTERNET WEB SITE OF
THE AGENCY; AND
(III) BE PROVIDED BY ELECTRONIC MEANS TO ANY PERSON, FIRM OR CORPO-
RATION THAT HAS MADE A WRITTEN OR ELECTRONIC REQUEST TO THE PUBLIC AGEN-
CY FOR NOTICE OF WAIVER ACTIONS BY THE EXECUTIVE WITHIN FIVE (5) YEARS
PRIOR TO THE DATE OF NOTICE.
(F) IF THE EXECUTIVE ISSUES A WAIVER UNDER PARAGRAPH (C) OF THIS
SUBDIVISION, THE EXECUTIVE SHALL PUBLISH IN THE SAME MANNER AS THE
ORIGINAL NOTICE A DETAILED JUSTIFICATION FOR THE WAIVER THAT:
(I) ADDRESSES THE PUBLIC COMMENTS RECEIVED UNDER PARAGRAPH (D) OF THIS
SUBDIVISION; AND
(II) IS PUBLISHED BEFORE THE WAIVER TAKES EFFECT.
(G) IF IT HAS BEEN DETERMINED BY A COURT OR FEDERAL OR STATE AGENCY
THAT ANY PERSON INTENTIONALLY:
(I) AFFIXED A LABEL BEARING A "MADE IN NEW YORK" INSCRIPTION, OR ANY
INSCRIPTION WITH THE SAME MEANING, TO ANY IRON, STEEL OR MANUFACTURED
PRODUCT USED IN PROJECTS TO WHICH THIS SUBDIVISION APPLIES, SOLD IN OR
SHIPPED TO NEW YORK THAT WAS NOT MADE IN NEW YORK; OR
(II) REPRESENTED THAT ANY IRON, STEEL, OR MANUFACTURED PRODUCT USED IN
PROJECTS TO WHICH THIS SECTION APPLIES THAT WAS NOT PRODUCED IN NEW
YORK, WAS PRODUCED IN NEW YORK; THEN THAT PERSON SHALL BE INELIGIBLE TO
RECEIVE ANY CONTRACT OR SUBCONTRACT WITH THIS STATE PURSUANT TO THE
DEBARMENT OR SUSPENSION PROVISIONS PROVIDED UNDER SECTION ONE HUNDRED
THIRTY-NINE-A OF THE STATE FINANCE LAW.
(H) THIS SUBDIVISION SHALL BE APPLIED IN A MANNER CONSISTENT WITH THE
STATE'S OBLIGATIONS UNDER ANY APPLICABLE INTERNATIONAL AGREEMENTS
PERTAINING TO GOVERNMENT PROCUREMENT.
(I) DEFINITIONS. FOR THE PURPOSE OF THIS SUBDIVISION, THE FOLLOWING
WORDS SHALL HAVE THE FOLLOWING MEANINGS UNLESS SPECIFIED OTHERWISE:
(I) "EXECUTIVE" MEANS THE EXECUTIVE HEAD OF A PUBLIC AGENCY SUBJECT TO
THIS SUBDIVISION;
(II) "PUBLIC AGENCY" MEANS A GOVERNMENTAL ENTITY AS THAT TERM IS
DEFINED IN SECTION ONE HUNDRED THIRTY-NINE-J OF THE STATE FINANCE LAW;
(III) "MANUFACTURED IN NEW YORK" MEANS: (A) IN THE CASE OF AN IRON OR
STEEL PRODUCT ALL MANUFACTURING MUST TAKE PLACE IN NEW YORK, FROM THE
INITIAL MELTING STAGE THROUGH THE APPLICATION OF COATINGS, EXCEPT METAL-
LURGICAL PROCESSES INVOLVING THE REFINEMENT OF STEEL ADDITIVES; AND
(B) IN THE CASE OF A MANUFACTURED PRODUCT, A PRODUCT WILL BE CONSID-
ERED MANUFACTURED IN NEW YORK IF:
(1) ALL OF ITS MANUFACTURING PROCESSES TAKE PLACE IN NEW YORK, AND
(2) MORE THAN SIXTY PERCENT OF THE COMPONENTS OF THE MANUFACTURED
GOOD, BY COST, ARE OF NEW YORK ORIGIN. IF, UNDER THE TERMS OF THIS PART,
A COMPONENT IS DETERMINED TO BE OF NEW YORK ORIGIN, ITS ENTIRE COST MAY
BE USED IN CALCULATING THE COST OF NEW YORK CONTENT OF AN END PRODUCT.
(IV) "NEW YORK" MEANS THE STATE OF NEW YORK AND INCLUDES ALL TERRITORY
SUBJECT TO THE JURISDICTION OF NEW YORK STATE.
A. 5510 8
§ 9. Section 8 of the public buildings law is amended by adding a new
subdivision 8 to read as follows:
8. USE OF NEW YORK MATERIALS. (A) NOTWITHSTANDING ANY OTHER PROVISION
OF LAW, EACH CONTRACT FOR THE CONSTRUCTION, RECONSTRUCTION, ALTERATION
OR IMPROVEMENT OF A HIGHWAY OR OTHER PUBLIC WORKS MADE BY A PUBLIC AGEN-
CY SHALL CONTAIN A PROVISION THAT THE IRON, STEEL, AND MANUFACTURED
PRODUCTS USED OR SUPPLIED IN THE PERFORMANCE OF THE CONTRACT OR ANY
SUBCONTRACT THERETO AND PERMANENTLY INCORPORATED INTO THE PUBLIC BUILD-
ING OR PUBLIC WORKS SHALL BE MANUFACTURED IN NEW YORK, PROVIDED THAT
SUCH CONTRACTS ARE PRICED COMPETITIVELY.
(B) NO BIDDER SHALL BE DEEMED TO BE THE LOWEST RESPONSIBLE AND RELI-
ABLE BIDDER AND NO BID SHALL BE DEEMED THE BEST VALUE UNLESS THE BID
OFFERED BY SUCH BIDDER WILL COMPLY WITH THE CONTRACT TERM REQUIRED BY
PARAGRAPH (A) OF THIS SUBDIVISION.
(C) THE PROVISIONS OF PARAGRAPH (A) OF THIS SUBDIVISION SHALL NOT
APPLY IN ANY CASE OR CATEGORY OF CASES IN WHICH THE EXECUTIVE HEAD OF A
PUBLIC AGENCY FINDS:
(I) THAT THE APPLICATION OF THIS SUBDIVISION WOULD BE INCONSISTENT
WITH THE PUBLIC INTEREST;
(II) THAT SUCH MATERIALS AND PRODUCTS ARE NOT PRODUCED IN NEW YORK IN
SUFFICIENT AND REASONABLY AVAILABLE QUANTITIES AND OF A SATISFACTORY
QUALITY; OR
(III) THAT INCLUSION OF NEW YORK MATERIAL WILL INCREASE THE COST OF
THE OVERALL PROJECT CONTRACT BY MORE THAN TWENTY-FIVE PERCENT.
(D) IF THE EXECUTIVE RECEIVES A REQUEST FOR A WAIVER UNDER PARAGRAPH
(C) OF THIS SUBDIVISION, THE EXECUTIVE SHALL PROVIDE NOTICE OF AND AN
OPPORTUNITY FOR PUBLIC COMMENT ON THE REQUEST OF AT LEAST THIRTY DAYS
BEFORE MAKING A FINDING BASED ON THE REQUEST.
(E) A NOTICE PROVIDED UNDER PARAGRAPH (D) OF THIS SUBDIVISION SHALL:
(I) SUMMARIZE THE INFORMATION AVAILABLE TO THE EXECUTIVE CONCERNING
THE REQUEST, INCLUDING WHETHER THE REQUEST IS BEING MADE UNDER SUBPARA-
GRAPH (I), (II) OR (III) OF PARAGRAPH (C) OF THIS SUBDIVISION;
(II) BE POSTED PROMINENTLY ON THE OFFICIAL PUBLIC INTERNET WEB SITE OF
THE AGENCY; AND
(III) BE PROVIDED BY ELECTRONIC MEANS TO ANY PERSON, FIRM OR CORPO-
RATION THAT HAS MADE A WRITTEN OR ELECTRONIC REQUEST TO THE PUBLIC AGEN-
CY FOR NOTICE OF WAIVER ACTIONS BY THE EXECUTIVE WITHIN FIVE (5) YEARS
PRIOR TO THE DATE OF NOTICE.
(F) IF THE EXECUTIVE ISSUES A WAIVER UNDER PARAGRAPH (C) OF THIS
SUBDIVISION, THE EXECUTIVE SHALL PUBLISH IN THE SAME MANNER AS THE
ORIGINAL NOTICE A DETAILED JUSTIFICATION FOR THE WAIVER THAT:
(I) ADDRESSES THE PUBLIC COMMENTS RECEIVED UNDER PARAGRAPH (D) OF THIS
SUBDIVISION; AND
(II) IS PUBLISHED BEFORE THE WAIVER TAKES EFFECT.
(G) IF IT HAS BEEN DETERMINED BY A COURT OR FEDERAL OR STATE AGENCY
THAT ANY PERSON INTENTIONALLY:
(I) AFFIXED A LABEL BEARING A "MADE IN NEW YORK" INSCRIPTION, OR ANY
INSCRIPTION WITH THE SAME MEANING, TO ANY IRON, STEEL OR MANUFACTURED
PRODUCT USED IN PROJECTS TO WHICH THIS SUBDIVISION APPLIES, SOLD IN OR
SHIPPED TO NEW YORK THAT WAS NOT MADE IN NEW YORK; OR
(II) REPRESENTED THAT ANY IRON, STEEL, OR MANUFACTURED PRODUCT USED IN
PROJECTS TO WHICH THIS SECTION APPLIES THAT WAS NOT PRODUCED IN NEW
YORK, WAS PRODUCED IN NEW YORK; THEN THAT PERSON SHALL BE INELIGIBLE TO
RECEIVE ANY CONTRACT OR SUBCONTRACT WITH THIS STATE PURSUANT TO THE
DEBARMENT OR SUSPENSION PROVISIONS PROVIDED UNDER SECTION ONE HUNDRED
THIRTY-NINE-A OF THE STATE FINANCE LAW.
A. 5510 9
(H) THIS SUBDIVISION SHALL BE APPLIED IN A MANNER CONSISTENT WITH THE
STATE'S OBLIGATIONS UNDER ANY APPLICABLE INTERNATIONAL AGREEMENTS
PERTAINING TO GOVERNMENT PROCUREMENT.
(I) DEFINITIONS. FOR THE PURPOSE OF THIS SUBDIVISION, THE FOLLOWING
WORDS SHALL HAVE THE FOLLOWING MEANINGS UNLESS SPECIFIED OTHERWISE:
(I) "EXECUTIVE" MEANS THE EXECUTIVE HEAD OF A PUBLIC AGENCY SUBJECT TO
THIS SUBDIVISION;
(II) "PUBLIC AGENCY" MEANS A GOVERNMENTAL ENTITY AS THAT TERM IS
DEFINED IN SECTION ONE HUNDRED THIRTY-NINE-J OF THE STATE FINANCE LAW;
(III) "MANUFACTURED IN NEW YORK" MEANS: (A) IN THE CASE OF AN IRON OR
STEEL PRODUCT ALL MANUFACTURING MUST TAKE PLACE IN NEW YORK, FROM THE
INITIAL MELTING STAGE THROUGH THE APPLICATION OF COATINGS, EXCEPT METAL-
LURGICAL PROCESSES INVOLVING THE REFINEMENT OF STEEL ADDITIVES; AND
(B) IN THE CASE OF A MANUFACTURED PRODUCT, A PRODUCT WILL BE CONSID-
ERED MANUFACTURED IN NEW YORK IF:
(1) ALL OF ITS MANUFACTURING PROCESSES TAKE PLACE IN NEW YORK, AND
(2) MORE THAN SIXTY PERCENT OF THE COMPONENTS OF THE MANUFACTURED
GOOD, BY COST, ARE OF NEW YORK ORIGIN. IF, UNDER THE TERMS OF THIS PART,
A COMPONENT IS DETERMINED TO BE OF NEW YORK ORIGIN, ITS ENTIRE COST MAY
BE USED IN CALCULATING THE COST OF NEW YORK CONTENT OF AN END PRODUCT.
(IV) "NEW YORK" MEANS THE STATE OF NEW YORK AND INCLUDES ALL TERRITORY
SUBJECT TO THE JURISDICTION OF NEW YORK STATE.
§ 10. Section 210-B of the tax law is amended by adding a new subdivi-
sion 49 to read as follows:
49. QUALIFIED PRODUCTS LOCAL SOURCING CREDIT. (A) BUSINESSES SUBJECT
TO TAX LIABILITY UNDER ARTICLE NINE OR NINE-A OF THIS CHAPTER, PURCHAS-
ING QUALIFIED PRODUCTS MAY CLAIM THE QUALIFIED PRODUCTS LOCAL SOURCING
TAX CREDIT AGAINST ANY SUCH LIABILITY AT THE CLOSE OF THE TAX YEAR
PROVIDED, HOWEVER, THAT THE UNUSED PORTION OF ANY TAX CREDIT CLAIMED
SHALL NOT BE CARRIED FORWARD AND APPLIED IN ANOTHER TAX YEAR.
(B) FOR THE PURPOSES OF THIS SECTION THE FOLLOWING TERMS SHALL HAVE
THE FOLLOWING MEANINGS:
(1) "QUALIFIED PRODUCTS" SHALL MEAN ANY MATERIALS, COMPONENTS, OR
SUPPLIES WHETHER USED IN THE MANUFACTURING PROCESS OR OTHERWISE THAT ARE
PRODUCED IN NEW YORK STATE BY A NEW YORK STATE BUSINESS;
(2) "PRODUCER" IS AN INDIVIDUAL (WHETHER ACTING INDIVIDUALLY OR
THROUGH A COOPERATIVE, CORPORATION, PARTNERSHIP, BUSINESS ASSOCIATION,
OR EDUCATIONAL INSTITUTION) WHO IS A BUSINESS OR MANUFACTURER OF GOODS
IN NEW YORK STATE, IT SHALL NOT HOWEVER INCLUDE A WHOLESALER OR DISTRIB-
UTOR;
(3) "PURCHASER" IS AN INDIVIDUAL (WHETHER ACTING INDIVIDUALLY OR
THROUGH A COOPERATIVE, CORPORATION, PARTNERSHIP, BUSINESS ASSOCIATION,
OR EDUCATIONAL INSTITUTION) WHO IS A BUSINESS OR MANUFACTURER OF GOODS
IN NEW YORK STATE, IT SHALL NOT HOWEVER INCLUDE A WHOLESALER OR DISTRIB-
UTOR;
(4) "NET SALES" ARE THE TOTAL SALES OF THE BUSINESS SUBJECT TO TAX.
(C) THE AMOUNT OF THE CREDIT SHALL BE PRESCRIBED ACCORDING TO THE
FOLLOWING SCHEDULE:
(1) TWENTY PERCENT OF NET SALES ARE ATTRIBUTED TO QUALIFIED PRODUCTS
THE CREDIT SHALL BE ONE THOUSAND FIVE HUNDRED DOLLARS.
(2) FORTY PERCENT OF NET SALES ARE ATTRIBUTED TO QUALIFIED PRODUCTS
THE CREDIT SHALL BE THREE THOUSAND DOLLARS.
(3) SIXTY PERCENT OF NET SALES ARE ATTRIBUTED TO QUALIFIED PRODUCTS
THE CREDIT SHALL BE SIX THOUSAND DOLLARS.
(4) EIGHTY PERCENT OF NET SALES ARE ATTRIBUTED TO QUALIFIED PRODUCTS
THE CREDIT SHALL BE TWELVE THOUSAND DOLLARS.
A. 5510 10
(5) ONE HUNDRED PERCENT OF NET SALES ARE ATTRIBUTED TO QUALIFIED
PRODUCTS THE CREDIT SHALL BE TWENTY-FIVE THOUSAND DOLLARS.
(D) (1) BUSINESSES CLAIMING THE QUALIFIED PRODUCTS LOCAL SOURCING
CREDIT SHALL SUBMIT A COMPUTER-GENERATED REPORT WITH TAX RETURNS THAT
CLAIM A TAX CREDIT.
(2) SUCH REPORT SHALL INCLUDE THE NAME OF THE PRODUCER AND THE PHYS-
ICAL PLACE OF THE BUSINESS WHERE THE PRODUCTS ARE PRODUCED.
(3) THE AMOUNT PAID BY THE PURCHASER TO THE PRODUCER AND THE AMOUNT OF
UNITS PURCHASED.
§ 11. Severability. If any provisions of this act, or the application
thereof to any person or circumstance, is held invalid, such invalidity
shall not affect other provisions or applications of this act which can
be given effect without the invalid provisions or application, and to
that extent, the provisions of this act are declared to be severable.
§ 12. This act shall take effect immediately, provided, however, that
the amendments to subparagraph (ii) of paragraph a of subdivision 3 and
paragraph d of subdivision 4 of section 163 of the state finance law
made by sections three and four of this act shall not affect the repeal
of such subparagraph and paragraph and shall be deemed repealed there-
with.