NY State Senate Bill S2492A

Archive: Last Bill Status - Passed Senate

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

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Actions

view actions (17)

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jun 04, 2018	referred to governmental operations delivered to assembly passed senate
May 22, 2018	advanced to third reading
May 16, 2018	2nd report cal.
May 15, 2018	1st report cal.1226
Feb 27, 2018	print number 2492a
Feb 27, 2018	amend and recommit to finance
Jan 03, 2018	referred to finance returned to senate died in assembly
Mar 08, 2017	referred to governmental operations delivered to assembly passed senate
Mar 07, 2017	ordered to third reading cal.402 committee discharged and committed to rules
Jan 13, 2017	referred to finance

Votes

Bill Amendments

Original

A (Active)

Original

A (Active)

Co-Sponsors

S2492 - Details

Law Section:: State Finance Law
Laws Affected:: Add §165-b, St Fin L; add §423-d, R & SS L
Versions Introduced in Other Legislative Sessions:: 2015-2016: S6378
2019-2020: S5824
2021-2022: S3713
2023-2024: S1528

S2492 - Summary

Relates to purchasing restrictions and persons boycotting American allies.

S2492 - Sponsor Memo

 BILL NUMBER:  S2492

 TITLE OF BILL :  An act to amend the state finance law and the
retirement and social security law, in relation to purchasing
restrictions

 PURPOSE OR GENERAL IDEA OF BILL :

This bill would prohibit state contracting with, and state investment
in, persons and businesses that promote or engage in activities to
boycott American allied nations.

 SUMMARY OF SPECIFIC PROVISIONS :

Section one amends the finance law by adding a new section 165-b which
defines the following terms:

"Allied nations" under this bill (as specified by the United States
Department of State) would include all NATO countries. Ireland,
Israel, Japan, the Republic of Korea (South Korea), and all signatory
countries of the Southeast Asia (1954) and Rio (1947) Treaties.

"Boycott" shall mean to engage in, promote, or encourage any activity
that will result in any person to abstain from commercial, social or
political relations with any allied nation, companies based in allied
nations, or territories controlled by an allied nation with the intent

to penalize, inflict or cause harm to an allied nation, its people or
its commercial products.

"Person" shall mean any natural person, corporation, limited liability
company, unincorporated association or any nongovernmental entity,
organization or group.

This section also prohibits the state from contracting with and
investing in persons or businesses that promote or engage in
activities to boycott American allied nations.

Section two amends the retirement and social security law by adding a
new section 423-d which defines the following terms:

"Allied nations" under this bill (as specified by the United States
Department of State) would include all NATO countries, Ireland,
Israel, Japan, the Republic of Korea (South Korea), and all signatory
countries of the Southeast Asia (1954) and Rio (1947) Treaties.

"Boycott" shall mean to engage in, promote, or encourage any activity
that will result in any person to abstain from commercial, social or
political relations with any allied nation, companies based in allied
nations, or territories controlled by an allied nation with the intent
to penalize, inflict or cause harm to an allied nation, its people or
its commercial products.

"Person- shall mean any natural person, corporation, limited liability
company, unincorporated association or any nongovernmental entity,
organization or group.

This section will also instruct the Comptroller to divest or withdraw
any investment in persons or businesses that promote or engage in
activities to boycott American allied nations.

Section three provides that this legislation shall take effect
immediately.

 JUSTIFICATION :


Presently, section 139 - H of the state finance law prohibits the
state of New York from participating in an international boycott
against American allied nations. Section 6-114 of the Administrative
code for the City of New York, provides a similar restriction for New
York City. Current law recognizes that boycott behavior can seriously
harm the state, its interests and its citizens, which is why the State
and City of New York are presently expressly prohibited from engaging
in international boycotts.

Recent events have highlighted the need to extend current law to
include state contractors and investment. Since the original law was
enacted, a new movement has arisen, commonly known as BDS (Boycott,
Divest and Sanctions), whereby questionably motivated entities, engage
in, and promote, discriminatory policies against American allied
nations. This behavior not only hurts the state, its interests and its
citizens, but seeks to advance anti-Semitic, anti-freedom and
anticapitalist principles.

Several other states, including Illinois, New Jersey and South
Carolina, have also taken action to address this harmful activity.
Like New York, they have extended their laws to prevent their states
from becoming unwilling participants in these unseemly activities
through the misguided actions of their state contractors and
investees. Accordingly, like those other states, this bill would not
abridge any element of free speech, but would merely prevent the state
of New York from being dragged into a discriminatory agenda directed
by those who seek to advance principles that are antithetical to our
state, its constitution and its citizens.

 PRIOR LEGISLATIVE HISTORY :

S.6378A - Passed the Senate 55-6 in 2016.

 FISCAL IMPLICATIONS :

None noted.

 EFFECTIVE DATE :
This act would take effect immediately.

S2492 - Bill Text download pdf


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

                                  2492

                       2017-2018 Regular Sessions

                            I N  S E N A T E

                            January 13, 2017
                               ___________

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

AN ACT to amend the state finance law  and  the  retirement  and  social
  security law, in relation to purchasing restrictions

  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:
  §  165-B. PURCHASING RESTRICTIONS; PERSONS BOYCOTTING CERTAIN AMERICAN
ALLIES. 1. AS USED IN THIS  SECTION,  THE  FOLLOWING  DEFINITIONS  SHALL
APPLY:
  (A) "ALLIED NATION" SHALL MEAN:
  (I)  ANY  COUNTRY THAT IS A MEMBER OF THE NORTH ATLANTIC TREATY ORGAN-
IZATION;
  (II) ANY COUNTRY THAT IS A SIGNATORY OF THE SOUTHEAST ASIA  TREATY  OF
1954;
  (III)  ANY  COUNTRY,  OTHER THAN VENEZUELA, THAT IS A SIGNATORY OF THE
RIO TREATY OF 1947;
  (IV) IRELAND;
  (V) ISRAEL;
  (VI) JAPAN; AND/OR
  (VII) THE REPUBLIC OF KOREA.
  (B) "BOYCOTT" SHALL MEAN TO ENGAGE IN ANY ACTIVITY, OR TO  PROMOTE  OR
ENCOURAGE  OTHERS  TO  ENGAGE  IN  ANY ACTIVITY, THAT WILL RESULT IN ANY
PERSON ABSTAINING FROM COMMERCIAL, SOCIAL OR POLITICAL  RELATIONS,  WITH
ANY ALLIED NATION, OR COMPANIES BASED IN AN ALLIED NATION OR IN TERRITO-
RIES  CONTROLLED  BY  AN  ALLIED  NATION,  WITH  THE INTENT TO PENALIZE,
INFLICT, OR CAUSE HARM TO, OR OTHERWISE PROMOTE OR CAST DISREPUTE  UPON,
SUCH ALLIED NATION, ITS PEOPLE OR ITS COMMERCIAL PRODUCTS.
  (C)  "PERSON"  SHALL  MEAN  ANY  NATURAL  PERSON, CORPORATION, LIMITED
LIABILITY COMPANY, UNINCORPORATED ASSOCIATION OR  ANY  OTHER  NONGOVERN-

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

                                                           LBD06828-01-7

S. 2492                             2

MENTAL  ENTITY,  ORGANIZATION,  OR  GROUP,  OR  ANY  SUCCESSOR, SUBUNIT,
PARENT, OR SUBSIDIARY OF THE SAME.
  2.  (A)  ANY  PERSON  THAT IS IDENTIFIED ON A LIST CREATED PURSUANT TO
PARAGRAPH (B) OF THIS SUBDIVISION AS A PERSON THAT BOYCOTTS, AS  DEFINED
IN  PARAGRAPH (B) OF SUBDIVISION ONE OF THIS SECTION, ANY ALLIED NATION,
AS DEFINED IN PARAGRAPH (A) OF 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) NOT LATER THAN NINETY  DAYS  AFTER  THE  EFFECTIVE  DATE  OF  THIS
SECTION,  AND  THEN  ANNUALLY THEREAFTER, THE COMMISSIONER SHALL DEVELOP
AND PUBLISH, USING CREDIBLE INFORMATION AVAILABLE TO THE PUBLIC, A  LIST
OF  PERSONS  DETERMINED  BY  THE  COMMISSIONER, THAT HAVE ENGAGED IN THE
BOYCOTTING OF ANY ALLIED NATION. THE COMMISSIONER SHALL NOT INCLUDE  ANY
PERSON  ON  THE  LIST  REQUIRED  TO BE SO DEVELOPED AND PUBLISHED IF THE
COMMISSIONER DETERMINES THAT  SUCH  PERSON  ENGAGING  IN  BOYCOTTING  AN
ALLIED  NATION,  ENGAGED  IN  SUCH  BOYCOTTING IN ORDER TO COMPLY WITH A
PROVISION OF LAW OF AN ALLIED NATION IN WHICH  SUCH  PERSON  RESIDES  OR
CONDUCTS  BUSINESS OPERATIONS.  SUCH LIST, WHEN DEVELOPED AND PUBLISHED,
SHALL BE POSTED ON THE WEBSITE OF THE OFFICE OF GENERAL SERVICES.
  (C) IN THE EVENT A PERSON INCLUDED BY THE COMMISSIONER ON THE LIST  TO
BE  DEVELOPED  AND  PUBLISHED  IN  ACCORDANCE WITH PARAGRAPH (B) OF THIS
SUBDIVISION, DEMONSTRATES TO  THE  COMMISSIONER  THAT  SUCH  PERSON  HAS
PERMANENTLY  CEASED  THEIR BOYCOTTING OF ANY ALLIED NATION, OR OBTAINS A
COURT ORDER FROM A SUPREME COURT THAT SUCH PERSON SHALL BE REMOVED  FROM
SUCH  LIST  DUE TO THE COURT'S DETERMINATION THAT SUCH PERSON HAS PERMA-
NENTLY CEASED THEIR BOYCOTTING OF ANY ALLIED NATION,  THEN  THE  COMMIS-
SIONER  SHALL  REMOVE  SUCH  PERSON  FROM  SUCH  LIST  SO  DEVELOPED AND
PUBLISHED IN ACCORDANCE WITH PARAGRAPH (B) OF THIS SUBDIVISION.
  (D) PRIOR TO  THE  FINAL  DEVELOPMENT  AND  PUBLICATION  OF  THE  LIST
REQUIRED  TO  BE PRODUCED PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVISION,
THE COMMISSIONER SHALL PROVIDE WRITTEN  NOTICE  OF  ALL  PERSONS  TO  BE
INCLUDED  ON  THE  LIST, OF THE COMMISSIONER'S INTENT TO SO INCLUDE SUCH
PERSON ON SUCH LIST, TOGETHER WITH WRITTEN NOTICE INFORMING SUCH  PERSON
THAT  INCLUSION  ON  SUCH  LIST  WOULD MAKE SUCH PERSON A NON-RESPONSIVE
BIDDER OR OFFERER, AND THAT SUCH PERSON MAY APPLY TO  THE  COMMISSIONER,
OR  TO  A  SUPREME  COURT,  TO BE REMOVED FROM SUCH LIST PURSUANT TO THE
REQUIREMENTS OF PARAGRAPH (C) OF THIS SUBDIVISION.
  (E) NOTWITHSTANDING PARAGRAPH (A) OF THIS SUBDIVISION, A STATE  AGENCY
MAY  PERMIT A PERSON PROMOTING OR OTHERWISE TAKING ACTION TO BOYCOTT ANY
ALLIED NATION TO BE DEEMED A RESPONSIVE BIDDER OR OFFERER, ON A CASE-BY-
CASE BASIS WITH A STATE AGENCY IF:
  (I) THE PROMOTION OR OTHER BOYCOTT ACTION OCCURRED PRIOR TO THE EFFEC-
TIVE 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  ALL
BOYCOTTING  OF ANY ALLIED NATION AND TO REFRAIN FROM ENGAGING IN ANY NEW
BOYCOTT OF ANY ALLIED NATION; OR
  (II) THE STATE AGENCY MAKES A FORMAL, WRITTEN DETERMINATION  THAT  THE
COMMODITIES  OR  SERVICES  OFFERED  BY  THE  PERSON  NAMED  ON THIS LIST
PRODUCED BY THE COMMISSIONER PURSUANT TO PARAGRAPH (B) OF THIS  SUBDIVI-
SION,  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.
  3.  (A)  A STATE AGENCY SHALL REQUIRE ALL PERSONS THAT SUBMIT A BID OR
OFFER IN RESPONSE TO A NOTICE OF PROCUREMENT, OR THAT PROPOSE  TO  RENEW
AN  EXISTING PROCUREMENT CONTRACT, OR THAT PROPOSE TO ASSUME THE RESPON-

S. 2492                             3

SIBILITY OF A CONTRACTOR PURSUANT TO A PROCUREMENT CONTRACT,  OR  OTHER-
WISE  PROPOSE  TO ENTER INTO A CONTRACT WITH A STATE AGENCY WITH RESPECT
TO A CONTRACT FOR  COMMODITIES,  SERVICES,  CONSTRUCTION,  OR  CONTRACTS
ENTERED  INTO  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  THE  LIST  DEVELOPED  AND  PUBLISHED
PURSUANT  TO  PARAGRAPH  (B) OF SUBDIVISION TWO OF THIS SECTION, AND ALL
STATE AGENCIES SHALL  INCLUDE  SUCH  CERTIFICATION  INFORMATION  IN  THE
PROCUREMENT RECORD.
  (B)  ALL PERSONS THAT SUBMIT A BID OR OFFER IN RESPONSE TO A NOTICE OF
PROCUREMENT, OR THAT PROPOSE TO RENEW AN EXISTING  PROCUREMENT  CONTRACT
WITH  A  STATE AGENCY, OR THAT PROPOSE TO ASSUME THE RESPONSIBILITY OF A
CONTRACTOR PURSUANT TO A PROCUREMENT CONTRACT WITH A  STATE  AGENCY,  OR
OTHERWISE  PROPOSE  TO  ENTER  INTO  A CONTRACT WITH A STATE AGENCY WITH
RESPECT TO  A  CONTRACT  FOR  COMMODITIES,  SERVICES,  CONSTRUCTION,  OR
CONTRACTS ENTERED INTO PURSUANT TO SECTION EIGHT OF THE PUBLIC BUILDINGS
LAW  OR SECTION THIRTY-EIGHT OF THE HIGHWAY LAW, SHALL CERTIFY THAT THEY
HAVE NOT BOYCOTTED ANY ALLIED NATIONS, AND THAT THEY ARE NOT  IDENTIFIED
ON  THE LIST DEVELOPED AND PUBLISHED PURSUANT TO PARAGRAPH (B) OF SUBDI-
VISION 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 FACT, IN
VIOLATION OF SUCH CERTIFICATION, THE  STATE  AGENCY  SHALL  REVIEW  SUCH
INFORMATION, NOTIFY SUCH PERSON AND OFFER THEM AN OPPORTUNITY TO RESPOND
TO  SUCH  INFORMATION,  WITHIN  THIRTY  DAYS OF SUCH NOTICE, AND IF SUCH
PERSON FAILS TO DEMONSTRATE THAT THEY HAVE CEASED  ANY  BOYCOTT  OF  ANY
ALLIED  NATION,  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, NOTIFYING THE COMMISSIONER OF SUCH PERSON'S BOYCOTT OR
BOYCOTTS OF ANY AND ALL  ALLIED  NATIONS,  IMPOSING  SANCTIONS,  SEEKING
COMPLIANCE, RECOVERING DAMAGES, AND/OR DECLARING SUCH PERSON IN DEFAULT.
  5.  ON OR BEFORE DECEMBER FIFTEENTH, TWO THOUSAND SEVENTEEN, AND EVERY
YEAR THEREAFTER, THE COMMISSIONER SHALL ISSUE A REPORT TO THE  GOVERNOR,
THE  COMPTROLLER, THE TEMPORARY PRESIDENT OF THE SENATE, AND THE SPEAKER
OF THE ASSEMBLY, ON ALL THE ACTIONS TAKEN, AND ALL DETERMINATIONS  MADE,
BY  THE  COMMISSIONER PURSUANT TO THIS SECTION, AND ANY AND ALL RULES OR
REGULATIONS ADOPTED.
  § 2. The retirement and social security law is amended by adding a new
section 423-d to read as follows:
  § 423-D. PROHIBITION ON INVESTMENT OF CERTAIN PUBLIC FUNDS IN  PERSONS
BOYCOTTING  CERTAIN  AMERICAN  ALLIES.  1.  AS USED IN THIS SECTION, THE
FOLLOWING DEFINITIONS SHALL APPLY:
  (A) "ALLIED NATION" SHALL MEAN:
  (I) ANY COUNTRY THAT IS A MEMBER OF THE NORTH ATLANTIC  TREATY  ORGAN-
IZATION;
  (II) ANY COUNTRY THAT IS A SIGNATORY OF THE SOUTHEAST ASIA TREATY;
  (III)  ANY  COUNTRY,  OTHER THAN VENEZUELA, THAT IS A SIGNATORY OF THE
RIO TREATY;
  (IV) IRELAND;
  (V) ISRAEL;
  (VI) JAPAN; AND/OR
  (VII) THE REPUBLIC OF KOREA.
  (B) "BOYCOTT" SHALL MEAN TO ENGAGE IN ANY ACTIVITY, OR TO  PROMOTE  OR
ENCOURAGE  OTHERS  TO  ENGAGE  IN  ANY ACTIVITY, THAT WILL RESULT IN ANY
PERSON ABSTAINING FROM COMMERCIAL, SOCIAL OR POLITICAL  RELATIONS,  WITH

S. 2492                             4

ANY ALLIED NATION, OR COMPANIES BASED IN AN ALLIED NATION OR IN TERRITO-
RIES  CONTROLLED  BY  AN  ALLIED  NATION,  WITH  THE INTENT TO PENALIZE,
INFLICT, OR CAUSE HARM TO, OR OTHERWISE PROMOTE OR CAST DISREPUTE  UPON,
SUCH ALLIED NATION, ITS PEOPLE OR ITS COMMERCIAL PRODUCTS.
  (C)  "PERSON"  SHALL  MEAN  ANY  NATURAL  PERSON, CORPORATION, LIMITED
LIABILITY COMPANY, UNINCORPORATED ASSOCIATION OR  ANY  OTHER  NONGOVERN-
MENTAL  ENTITY,  ORGANIZATION,  OR  GROUP,  OR  ANY  SUCCESSOR, SUBUNIT,
PARENT, OR SUBSIDIARY OF THE SAME.
  2. (A) ANY PERSON THAT IS IDENTIFIED ON THE LIST CREATED  PURSUANT  TO
PARAGRAPH  (B) OF SUBDIVISION TWO OF SECTION ONE HUNDRED SIXTY-FIVE-B OF
THE STATE FINANCE LAW, AS BEING A PERSON THAT HAS ENGAGED IN  A  BOYCOTT
OF ANY ALLIED NATION, SHALL NOT BE ELIGIBLE TO RECEIVE INVESTMENT OF ANY
MONEYS OR ASSETS OF THE COMMON RETIREMENT FUND IN ANY STOCKS, SECURITIES
OR OTHER OBLIGATIONS OF SUCH PERSON SO IDENTIFIED ON SUCH LIST DEVELOPED
AND PUBLISHED BY THE COMMISSIONER OF GENERAL SERVICES.
  (B) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, NO ASSETS OF
ANY  PENSION  OR ANNUITY FUND UNDER THE JURISDICTION OF THE COMPTROLLER,
SHALL FURTHER BE INVESTED IN ANY BANK  OR  FINANCIAL  INSTITUTION  WHICH
DIRECTLY,  OR  THROUGH  A PARENT OR SUBSIDIARY BOYCOTTS AN ALLIED NATION
AND NO SUCH ASSETS SHALL OTHERWISE BE INVESTED IN THE STOCKS, SECURITIES
OR OTHER OBLIGATIONS OF ANY PERSON WHICH DIRECTLY, OR THROUGH  A  PARENT
OR SUBSIDIARY ENTITY, BOYCOTTS ANY ALLIED NATION.
  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,  DIVESTMENT  OR  WITHDRAWAL  SHALL  BE
COMPLETED  NO LATER THAN FIVE YEARS FOLLOWING THE EFFECTIVE DATE OF THIS
SECTION.
  4. ON OR BEFORE DECEMBER FIFTEENTH, TWO THOUSAND SEVENTEEN, AND  EVERY
YEAR  THEREAFTER,  THE COMPTROLLER SHALL ISSUE A REPORT TO THE GOVERNOR,
THE COMMISSIONER OF GENERAL SERVICES, THE  TEMPORARY  PRESIDENT  OF  THE
SENATE,  AND  THE SPEAKER OF THE ASSEMBLY, ON ALL THE ACTIONS TAKEN, AND
ALL DETERMINATIONS MADE, BY THE COMPTROLLER, PURSUANT TO  THIS  SECTION,
AND ANY AND ALL RULES OR REGULATIONS ADOPTED.
  § 3. This act shall take effect immediately.

Co-Sponsors

S2492A (ACTIVE) - Details

Law Section:: State Finance Law
Laws Affected:: Add §165-b, St Fin L; add §423-d, R & SS L
Versions Introduced in Other Legislative Sessions:: 2015-2016: S6378
2019-2020: S5824
2021-2022: S3713
2023-2024: S1528

S2492A (ACTIVE) - Summary

Relates to purchasing restrictions and persons boycotting American allies.

S2492A (ACTIVE) - Sponsor Memo

 
BILL NUMBER: S2492A

SPONSOR: PHILLIPS
 
TITLE OF BILL:  An act to amend the state finance law and the retire-
ment and social security law, in relation to purchasing restrictions

 
PURPOSE OR GENERAL IDEA OF BILL:

This bill would prohibit state contracting with, and state investment
in, persons and businesses that promote or engage in activities to
boycott American allied nations.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section one amends the finance law by adding a new section 165-b which
defines the following terms:

"Allied nations" under this bill (as specified by the United States
Department of State) would include all NATO countries. Ireland, Israel,
Japan, the Republic of Korea (South Korea), and all signatory countries
of the Southeast Asia (1954) and Rio (1947) Treaties.

"Boycott" shall mean to engage in, promote, or encourage any activity
that will result in any person to abstain from commercial, social or
political relations with any allied nation, companies based in allied
nations, or territories controlled by an allied nation with the intent
to penalize, inflict or cause harm to an allied nation, its people or
its commercial products.

"Person" shall mean any natural person, corporation, limited liability
company, unincorporated association or any nongovernmental entity,
organization or group.

This section also prohibits the state from contracting with and invest-
ing in persons or businesses that promote or engage in activities to
boycott American allied nations.

Section two amends the retirement and social security law by adding a
new section 423-d which defines the following terms:

"Allied nations" under this bill (as specified by the United States
Department of State) would include all NATO countries, Ireland, Israel,
Japan, the Republic of Korea (South Korea), and all signatory countries
of the Southeast Asia (1954) and Rio (1947) Treaties.

"Boycott" shall mean to engage in, promote, or encourage any activity
that will result in any person to abstain from commercial, social or
political relations with any allied nation, companies based in allied
nations, or territories controlled by an allied nation with the intent
to penalize, inflict or cause harm to an allied nation, its people or
its commercial products.

"Person- shall mean any natural person, corporation, limited liability
company, unincorporated association or any nongovernmental entity,
organization or group.

This section will also instruct the Comptroller to divest or withdraw
any investment in persons or businesses that promote or engage in activ-
ities to boycott American allied nations.
Section three provides that this legislation shall take effect imme-
diately.

 
JUSTIFICATION:

Presently, section 139 - H of the state finance law prohibits the state
of New York from participating in an international boycott against Amer-
ican allied nations. Section 6-114 of the Administrative code for the
City of New York, provides a similar restriction for New York City.
Current law recognizes that boycott behavior can seriously harm the
state, its interests and its citizens, which is why the State and City
of New York are presently expressly prohibited from engaging in interna-
tional boycotts.

Recent events have highlighted the need to extend current law to include
state contractors and investment. Since the original law was enacted, a
new movement has arisen, commonly known as BDS (Boycott, Divest and
Sanctions), whereby questionably motivated entities, engage in, and
promote, discriminatory policies against American allied nations. This
behavior not only hurts the state, its interests and its citizens, but
seeks to advance anti-Semitic, anti-freedom and anticapitalist princi-
ples.

Several other states, including Illinois, New Jersey and South Carolina,
have also taken action to address this harmful activity.  Like New York,
they have extended their laws to prevent their states from becoming
unwilling participants in these unseemly activities through the
misguided actions of their state contractors and investees. Accordingly,
like those other states, this bill would not abridge any element of free
speech, but would merely prevent the state of New York from being
dragged into a discriminatory agenda directed by those who seek to
advance principles that are antithetical to our state, its constitution
and its citizens.

 
PRIOR LEGISLATIVE HISTORY:

S.6378A - Passed the Senate 55-6 in 2016.

 
FISCAL IMPLICATIONS:

None noted.

 
EFFECTIVE DATE:
This act would take effect immediately.

S2492A (ACTIVE) - Bill Text download pdf


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

                                 2492--A

                       2017-2018 Regular Sessions

                            I N  S E N A T E

                            January 13, 2017
                               ___________

Introduced  by  Sens. PHILLIPS, FELDER, KAMINSKY, MURPHY, RANZENHOFER --
  read twice and ordered printed, and when printed to  be  committed  to
  the Committee on Finance -- recommitted to the Committee on Finance in
  accordance  with  Senate  Rule 6, sec. 8 -- committee discharged, bill
  amended, ordered reprinted as amended and recommitted to said  commit-
  tee

AN  ACT  to  amend  the  state finance law and the retirement and social
  security law, in relation to purchasing restrictions

  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:
  § 165-B. PURCHASING RESTRICTIONS; PERSONS BOYCOTTING CERTAIN  AMERICAN
ALLIES.  1.  AS  USED  IN  THIS SECTION, THE FOLLOWING DEFINITIONS SHALL
APPLY:
  (A) "ALLIED NATION" SHALL MEAN:
  (I) ANY COUNTRY THAT IS A MEMBER OF THE NORTH ATLANTIC  TREATY  ORGAN-
IZATION;
  (II)  ANY  COUNTRY THAT IS A SIGNATORY OF THE SOUTHEAST ASIA TREATY OF
1954;
  (III) ANY COUNTRY, OTHER THAN VENEZUELA, THAT IS A  SIGNATORY  OF  THE
RIO TREATY OF 1947;
  (IV) IRELAND;
  (V) ISRAEL;
  (VI) JAPAN; AND/OR
  (VII) THE REPUBLIC OF KOREA.
  (B)  "BOYCOTT"  SHALL MEAN TO ENGAGE IN ANY ACTIVITY, OR TO PROMOTE OR
ENCOURAGE OTHERS TO ENGAGE IN ANY ACTIVITY,  THAT  WILL  RESULT  IN  ANY
PERSON  ABSTAINING  FROM COMMERCIAL, SOCIAL OR POLITICAL RELATIONS, WITH
ANY ALLIED NATION, OR COMPANIES BASED IN AN ALLIED NATION OR IN TERRITO-
RIES CONTROLLED BY AN  ALLIED  NATION,  WITH  THE  INTENT  TO  PENALIZE,

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

                                                           LBD06828-02-8

S. 2492--A                          2

INFLICT,  OR CAUSE HARM TO, OR OTHERWISE PROMOTE OR CAST DISREPUTE UPON,
SUCH ALLIED NATION, ITS PEOPLE OR ITS COMMERCIAL PRODUCTS.
  (C)  "PERSON"  SHALL  MEAN  ANY  NATURAL  PERSON, CORPORATION, LIMITED
LIABILITY COMPANY, UNINCORPORATED ASSOCIATION OR  ANY  OTHER  NONGOVERN-
MENTAL  ENTITY,  ORGANIZATION,  OR  GROUP,  OR  ANY  SUCCESSOR, SUBUNIT,
PARENT, OR SUBSIDIARY OF THE SAME.
  2. (A) ANY PERSON THAT IS IDENTIFIED ON A  LIST  CREATED  PURSUANT  TO
PARAGRAPH  (B) OF THIS SUBDIVISION AS A PERSON THAT BOYCOTTS, AS DEFINED
IN PARAGRAPH (B) OF SUBDIVISION ONE OF THIS SECTION, ANY ALLIED  NATION,
AS  DEFINED  IN  PARAGRAPH (A) OF 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)  NOT  LATER  THAN  NINETY  DAYS  AFTER  THE EFFECTIVE DATE OF THIS
SECTION, AND THEN ANNUALLY THEREAFTER, THE  COMMISSIONER  SHALL  DEVELOP
AND  PUBLISH, USING CREDIBLE INFORMATION AVAILABLE TO THE PUBLIC, A LIST
OF PERSONS DETERMINED BY THE COMMISSIONER,  THAT  HAVE  ENGAGED  IN  THE
BOYCOTTING  OF ANY ALLIED NATION. THE COMMISSIONER SHALL NOT INCLUDE ANY
PERSON ON THE LIST REQUIRED TO BE SO  DEVELOPED  AND  PUBLISHED  IF  THE
COMMISSIONER  DETERMINES  THAT  SUCH  PERSON  ENGAGING  IN BOYCOTTING AN
ALLIED NATION, ENGAGED IN SUCH BOYCOTTING IN  ORDER  TO  COMPLY  WITH  A
PROVISION  OF  LAW  OF  AN ALLIED NATION IN WHICH SUCH PERSON RESIDES OR
CONDUCTS BUSINESS OPERATIONS.  SUCH LIST, WHEN DEVELOPED AND  PUBLISHED,
SHALL BE POSTED ON THE WEBSITE OF THE OFFICE OF GENERAL SERVICES.
  (C)  IN THE EVENT A PERSON INCLUDED BY THE COMMISSIONER ON THE LIST TO
BE DEVELOPED AND PUBLISHED IN ACCORDANCE  WITH  PARAGRAPH  (B)  OF  THIS
SUBDIVISION,  DEMONSTRATES  TO  THE  COMMISSIONER  THAT  SUCH PERSON HAS
PERMANENTLY CEASED THEIR BOYCOTTING OF ANY ALLIED NATION, OR  OBTAINS  A
COURT  ORDER FROM A SUPREME COURT THAT SUCH PERSON SHALL BE REMOVED FROM
SUCH LIST DUE TO THE COURT'S DETERMINATION THAT SUCH PERSON  HAS  PERMA-
NENTLY  CEASED  THEIR  BOYCOTTING OF ANY ALLIED NATION, THEN THE COMMIS-
SIONER SHALL  REMOVE  SUCH  PERSON  FROM  SUCH  LIST  SO  DEVELOPED  AND
PUBLISHED IN ACCORDANCE WITH PARAGRAPH (B) OF THIS SUBDIVISION.
  (D)  PRIOR  TO  THE  FINAL  DEVELOPMENT  AND  PUBLICATION  OF THE LIST
REQUIRED TO BE PRODUCED PURSUANT TO PARAGRAPH (B) OF  THIS  SUBDIVISION,
THE  COMMISSIONER  SHALL  PROVIDE  WRITTEN  NOTICE  OF ALL PERSONS TO BE
INCLUDED ON THE LIST, OF THE COMMISSIONER'S INTENT TO  SO  INCLUDE  SUCH
PERSON  ON SUCH LIST, TOGETHER WITH WRITTEN NOTICE INFORMING SUCH PERSON
THAT INCLUSION ON SUCH LIST WOULD  MAKE  SUCH  PERSON  A  NON-RESPONSIVE
BIDDER  OR  OFFERER, AND THAT SUCH PERSON MAY APPLY TO THE COMMISSIONER,
OR TO A SUPREME COURT, TO BE REMOVED FROM  SUCH  LIST  PURSUANT  TO  THE
REQUIREMENTS OF PARAGRAPH (C) OF THIS SUBDIVISION.
  (E)  NOTWITHSTANDING PARAGRAPH (A) OF THIS SUBDIVISION, A STATE AGENCY
MAY PERMIT A PERSON PROMOTING OR OTHERWISE TAKING ACTION TO BOYCOTT  ANY
ALLIED NATION TO BE DEEMED A RESPONSIVE BIDDER OR OFFERER, ON A CASE-BY-
CASE BASIS WITH A STATE AGENCY IF:
  (I) THE PROMOTION OR OTHER BOYCOTT ACTION OCCURRED PRIOR TO THE EFFEC-
TIVE  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 ALL
BOYCOTTING OF ANY ALLIED NATION AND TO REFRAIN FROM ENGAGING IN ANY  NEW
BOYCOTT OF ANY ALLIED NATION; OR
  (II)  THE  STATE AGENCY MAKES A FORMAL, WRITTEN DETERMINATION THAT THE
COMMODITIES OR SERVICES  OFFERED  BY  THE  PERSON  NAMED  ON  THIS  LIST
PRODUCED  BY THE COMMISSIONER PURSUANT TO PARAGRAPH (B) OF THIS SUBDIVI-
SION, ARE NECESSARY FOR THE STATE AGENCY TO PERFORM  ITS  FUNCTIONS  AND

S. 2492--A                          3

THAT,  ABSENT  SUCH  AN  EXEMPTION,  THE STATE AGENCY WOULD BE UNABLE TO
OBTAIN THE COMMODITIES OR SERVICES FOR WHICH THE CONTRACT IS OFFERED.
  3.  (A)  A STATE AGENCY SHALL REQUIRE ALL PERSONS THAT SUBMIT A BID OR
OFFER IN RESPONSE TO A NOTICE OF PROCUREMENT, OR THAT PROPOSE  TO  RENEW
AN  EXISTING PROCUREMENT CONTRACT, OR THAT PROPOSE TO ASSUME THE RESPON-
SIBILITY OF A CONTRACTOR PURSUANT TO A PROCUREMENT CONTRACT,  OR  OTHER-
WISE  PROPOSE  TO ENTER INTO A CONTRACT WITH A STATE AGENCY WITH RESPECT
TO A CONTRACT FOR  COMMODITIES,  SERVICES,  CONSTRUCTION,  OR  CONTRACTS
ENTERED  INTO  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  THE  LIST  DEVELOPED  AND  PUBLISHED
PURSUANT  TO  PARAGRAPH  (B) OF SUBDIVISION TWO OF THIS SECTION, AND ALL
STATE AGENCIES SHALL  INCLUDE  SUCH  CERTIFICATION  INFORMATION  IN  THE
PROCUREMENT RECORD.
  (B)  ALL PERSONS THAT SUBMIT A BID OR OFFER IN RESPONSE TO A NOTICE OF
PROCUREMENT, OR THAT PROPOSE TO RENEW AN EXISTING  PROCUREMENT  CONTRACT
WITH  A  STATE AGENCY, OR THAT PROPOSE TO ASSUME THE RESPONSIBILITY OF A
CONTRACTOR PURSUANT TO A PROCUREMENT CONTRACT WITH A  STATE  AGENCY,  OR
OTHERWISE  PROPOSE  TO  ENTER  INTO  A CONTRACT WITH A STATE AGENCY WITH
RESPECT TO  A  CONTRACT  FOR  COMMODITIES,  SERVICES,  CONSTRUCTION,  OR
CONTRACTS ENTERED INTO PURSUANT TO SECTION EIGHT OF THE PUBLIC BUILDINGS
LAW  OR SECTION THIRTY-EIGHT OF THE HIGHWAY LAW, SHALL CERTIFY THAT THEY
HAVE NOT BOYCOTTED ANY ALLIED NATIONS, AND THAT THEY ARE NOT  IDENTIFIED
ON  THE LIST DEVELOPED AND PUBLISHED PURSUANT TO PARAGRAPH (B) OF SUBDI-
VISION 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 FACT, IN
VIOLATION OF SUCH CERTIFICATION, THE  STATE  AGENCY  SHALL  REVIEW  SUCH
INFORMATION, NOTIFY SUCH PERSON AND OFFER THEM AN OPPORTUNITY TO RESPOND
TO  SUCH  INFORMATION,  WITHIN  THIRTY  DAYS OF SUCH NOTICE, AND IF SUCH
PERSON FAILS TO DEMONSTRATE THAT THEY HAVE CEASED  ANY  BOYCOTT  OF  ANY
ALLIED  NATION,  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, NOTIFYING THE COMMISSIONER OF SUCH PERSON'S BOYCOTT OR
BOYCOTTS OF ANY AND ALL  ALLIED  NATIONS,  IMPOSING  SANCTIONS,  SEEKING
COMPLIANCE, RECOVERING DAMAGES, AND/OR DECLARING SUCH PERSON IN DEFAULT.
  5.  ON  OR BEFORE DECEMBER FIFTEENTH, TWO THOUSAND EIGHTEEN, AND EVERY
YEAR THEREAFTER, THE COMMISSIONER SHALL ISSUE A REPORT TO THE  GOVERNOR,
THE  COMPTROLLER, THE TEMPORARY PRESIDENT OF THE SENATE, AND THE SPEAKER
OF THE ASSEMBLY, ON ALL THE ACTIONS TAKEN, AND ALL DETERMINATIONS  MADE,
BY  THE  COMMISSIONER PURSUANT TO THIS SECTION, AND ANY AND ALL RULES OR
REGULATIONS ADOPTED.
  § 2. The retirement and social security law is amended by adding a new
section 423-d to read as follows:
  § 423-D. PROHIBITION ON INVESTMENT OF CERTAIN PUBLIC FUNDS IN  PERSONS
BOYCOTTING  CERTAIN  AMERICAN  ALLIES.  1.  AS USED IN THIS SECTION, THE
FOLLOWING DEFINITIONS SHALL APPLY:
  (A) "ALLIED NATION" SHALL MEAN:
  (I) ANY COUNTRY THAT IS A MEMBER OF THE NORTH ATLANTIC  TREATY  ORGAN-
IZATION;
  (II) ANY COUNTRY THAT IS A SIGNATORY OF THE SOUTHEAST ASIA TREATY;
  (III)  ANY  COUNTRY,  OTHER THAN VENEZUELA, THAT IS A SIGNATORY OF THE
RIO TREATY;
  (IV) IRELAND;
  (V) ISRAEL;

S. 2492--A                          4

  (VI) JAPAN; AND/OR
  (VII) THE REPUBLIC OF KOREA.
  (B)  "BOYCOTT"  SHALL MEAN TO ENGAGE IN ANY ACTIVITY, OR TO PROMOTE OR
ENCOURAGE OTHERS TO ENGAGE IN ANY ACTIVITY,  THAT  WILL  RESULT  IN  ANY
PERSON  ABSTAINING  FROM COMMERCIAL, SOCIAL OR POLITICAL RELATIONS, WITH
ANY ALLIED NATION, OR COMPANIES BASED IN AN ALLIED NATION OR IN TERRITO-
RIES CONTROLLED BY AN  ALLIED  NATION,  WITH  THE  INTENT  TO  PENALIZE,
INFLICT,  OR CAUSE HARM TO, OR OTHERWISE PROMOTE OR CAST DISREPUTE UPON,
SUCH ALLIED NATION, ITS PEOPLE OR ITS COMMERCIAL PRODUCTS.
  (C) "PERSON" SHALL  MEAN  ANY  NATURAL  PERSON,  CORPORATION,  LIMITED
LIABILITY  COMPANY,  UNINCORPORATED  ASSOCIATION OR ANY OTHER NONGOVERN-
MENTAL ENTITY,  ORGANIZATION,  OR  GROUP,  OR  ANY  SUCCESSOR,  SUBUNIT,
PARENT, OR SUBSIDIARY OF THE SAME.
  2.  (A)  ANY PERSON THAT IS IDENTIFIED ON THE LIST CREATED PURSUANT TO
PARAGRAPH (B) OF SUBDIVISION TWO OF SECTION ONE HUNDRED SIXTY-FIVE-B  OF
THE  STATE  FINANCE LAW, AS BEING A PERSON THAT HAS ENGAGED IN A BOYCOTT
OF ANY ALLIED NATION, SHALL NOT BE ELIGIBLE TO RECEIVE INVESTMENT OF ANY
MONEYS OR ASSETS OF THE COMMON RETIREMENT FUND IN ANY STOCKS, SECURITIES
OR OTHER OBLIGATIONS OF SUCH PERSON SO IDENTIFIED ON SUCH LIST DEVELOPED
AND PUBLISHED BY THE COMMISSIONER OF GENERAL SERVICES.
  (B) NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, NO ASSETS OF
ANY PENSION OR ANNUITY FUND UNDER THE JURISDICTION OF  THE  COMPTROLLER,
SHALL  FURTHER  BE  INVESTED  IN ANY BANK OR FINANCIAL INSTITUTION WHICH
DIRECTLY, OR THROUGH A PARENT OR SUBSIDIARY BOYCOTTS  AN  ALLIED  NATION
AND NO SUCH ASSETS SHALL OTHERWISE BE INVESTED IN THE STOCKS, SECURITIES
OR  OTHER  OBLIGATIONS OF ANY PERSON WHICH DIRECTLY, OR THROUGH A PARENT
OR SUBSIDIARY ENTITY, BOYCOTTS ANY ALLIED NATION.
  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,  DIVESTMENT OR WITHDRAWAL SHALL BE
COMPLETED NO LATER THAN FIVE YEARS FOLLOWING THE EFFECTIVE DATE OF  THIS
SECTION.
  4.  ON  OR BEFORE DECEMBER FIFTEENTH, TWO THOUSAND EIGHTEEN, AND EVERY
YEAR THEREAFTER, THE COMPTROLLER SHALL ISSUE A REPORT TO  THE  GOVERNOR,
THE  COMMISSIONER  OF  GENERAL  SERVICES, THE TEMPORARY PRESIDENT OF THE
SENATE, AND THE SPEAKER OF THE ASSEMBLY, ON ALL THE ACTIONS  TAKEN,  AND
ALL  DETERMINATIONS  MADE, BY THE COMPTROLLER, PURSUANT TO THIS SECTION,
AND ANY AND ALL RULES OR REGULATIONS ADOPTED.
  § 3. This act shall take effect immediately.

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The New York State Senate

senate Bill S2492A

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Jun 4, 2018 - floor Vote

Floor Vote: Jun 4, 2018

May 15, 2018 - Finance committee Vote

Finance Committee Vote: May 15, 2018

Mar 8, 2017 - floor Vote

Floor Vote: Mar 8, 2017

Mar 7, 2017 - Rules committee Vote

Committee Vote: Mar 7, 2017

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S2492 - Details

S2492 - Summary

S2492 - Sponsor Memo

S2492 - Bill Text download pdf

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S2492A (ACTIVE) - Details

S2492A (ACTIVE) - Summary

S2492A (ACTIVE) - Sponsor Memo

S2492A (ACTIVE) - Bill Text download pdf

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senate Bill S2492A

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Sponsored By

Archive: Last Bill Status - Passed Senate

Your Voice

Actions

Votes

Jun 4, 2018 - floor Vote

Floor Vote: Jun 4, 2018

May 15, 2018 - Finance committee Vote

Finance Committee Vote: May 15, 2018

Mar 8, 2017 - floor Vote

Floor Vote: Mar 8, 2017

Mar 7, 2017 - Rules committee Vote

Committee Vote: Mar 7, 2017

Bill Amendments

Co-Sponsors

S2492 - Details

S2492 - Summary

S2492 - Sponsor Memo

S2492 - Bill Text download pdf

Co-Sponsors

S2492A (ACTIVE) - Details

S2492A (ACTIVE) - Summary

S2492A (ACTIVE) - Sponsor Memo

S2492A (ACTIVE) - Bill Text download pdf

Comments