S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3984
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                             January 31, 2017
                                ___________
 
 Introduced  by  Sens.  DeFRANCISCO,  BONACIC -- (at request of the State
   Comptroller) -- 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 education law, in relation
   to enacting the "New York state procurement  integrity  act";  and  to
   repeal  section  6283 of the education law relating to procurements of
   the fund (Part A); to amend the public authorities law, in relation to
   requiring public authorities to comply with certain provisions of  the
   state  finance  law  relating  to  procurements (Part B); to amend the
   public authorities law, in relation to prohibiting certain third party
   contracts (Part C); to amend the state finance  law,  in  relation  to
   authorizing  state  comptroller  to  oversee  certain contracts of the
   research foundation of the state university of New York (Part  D);  to
   amend  the  state  finance  law  and  the  public  authorities law, in
   relation to disqualifications of state and  state  authority  contrac-
   tors,  prohibiting conflicts of interest by state officers and employ-
   ees in state procurements; prohibiting conflicts of interest by  state
   authority  board members, officers and employees in authority procure-
   ments; requiring certification by state officers and employees  of  no
   undue  influence;  requiring  certification  by  state authority board
   members, officers and employees of no undue influence; and  establish-
   ing a state contractor and state authority contractor code of business
   ethics  and  conduct  (Part  E); and to amend the economic development
   law, in relation to expanding requirements for  state  authorities  to
   publish procurement opportunities (Part F)
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. This act enacts into law major  components  of  legislation
 which are necessary to implement the New York state procurement integri-
 ty  act.  Each component is wholly contained within a Part identified as
 Parts A through F. The effective  date  for  each  particular  provision
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD07080-02-7

 S. 3984                             2
 
 contained  within  such  Part  is  set forth in the last section of such
 Part. Any provision in any section contained within  a  Part,  including
 the effective date of the Part, which makes a reference to a section "of
 this act," when used in connection with that particular component, shall
 be  deemed to mean and refer to the corresponding section of the Part in
 which it is found. Section three of this  act  sets  forth  the  general
 effective date of this act.
 
                                  PART A
 
   Section  1. Paragraph (a) of subdivision 2 of section 112 of the state
 finance law, as amended by section 18 of part L of  chapter  55  of  the
 laws of 2012, is amended to read as follows:
   (a)  Before  any contract made for or by any state agency, department,
 board, officer, commission, or institution, except the office of general
 services, shall be executed or become effective, whenever such  contract
 exceeds  fifty  thousand  dollars in amount and before any contract made
 for or by the office of general services shall  be  executed  or  become
 effective,  whenever  such contract exceeds eighty-five thousand dollars
 in amount, it shall first be approved by the comptroller  and  filed  in
 his  or  her  office,  [with the exception of contracts established as a
 centralized contract through the office of general services and purchase
 orders or other procurement transactions issued under  such  centralized
 contracts.  The]  PROVIDED,  HOWEVER,  THAT THE comptroller shall make a
 final written determination with respect to approval  of  such  contract
 within  ninety  days  of  the  submission of such contract to his or her
 office unless the comptroller shall notify, in writing, the state  agen-
 cy, department, board, officer, commission, or institution, prior to the
 expiration of the ninety day period, and for good cause, of the need for
 an  extension  of  not more than fifteen days, or a reasonable period of
 time agreed to by such state agency, department, board, officer, commis-
 sion, or institution and provided, further, that such  written  determi-
 nation  or extension shall be made part of the procurement record pursu-
 ant to paragraph f of subdivision one of section one hundred sixty-three
 of this chapter.
   § 2. Subdivisions 5 and 6 of section 355  of  the  education  law,  as
 amended by section 1 of subpart B of part D of chapter 58 of the laws of
 2011, paragraph a of subdivision 5 as amended by section 31 of part L of
 chapter 55 of the laws of 2012, are amended to read as follows:
   5.  Notwithstanding  the  provisions of subdivision two of section one
 hundred twelve and sections one hundred fifteen, one hundred  sixty-one,
 and  one hundred sixty-three of the state finance law and sections three
 and six of the New York state printing and public documents law  or  any
 other  law to the contrary, the state university trustees are authorized
 and empowered to:
   a.  (i)  purchase  materials,   proprietary   electronic   information
 resources  including  but  not  limited  to  academic, professional, and
 industry journals, reference handbooks and  manuals,  research  tracking
 tools, indexes and abstracts, equipment and supplies, including computer
 equipment  and  motor  vehicles,  WHERE THE AMOUNT FOR A SINGLE PURCHASE
 DOES NOT EXCEED FIFTY  THOUSAND  DOLLARS,  (ii)  execute  contracts  for
 SERVICES  AND construction [and construction-related services] contracts
 TO AN AMOUNT NOT EXCEEDING FIFTY THOUSAND DOLLARS,  and  (iii)  contract
 for  printing TO AN AMOUNT NOT EXCEEDING FIFTY THOUSAND DOLLARS, without
 prior approval by any other state officer  or  agency,  but  subject  to
 rules  and regulations OR GUIDELINES of the state comptroller not other-

 S. 3984                             3
 
 wise inconsistent with the provisions of this section and in  accordance
 with  guidelines  promulgated  by the state university board of trustees
 after consultation with the state comptroller. IN  ADDITION,  THE  TRUS-
 TEES,  AFTER CONSULTATION WITH THE COMMISSIONER OF GENERAL SERVICES, ARE
 AUTHORIZED TO ANNUALLY NEGOTIATE WITH THE STATE COMPTROLLER INCREASES IN
 THE AFOREMENTIONED DOLLAR LIMITS AND  THE  EXEMPTION  OF  ANY  ARTICLES,
 CATEGORIES  OF  ARTICLES  OR  COMMODITIES  FROM THESE LIMITS. GUIDELINES
 PROMULGATED BY THE STATE UNIVERSITY BOARD  OF  TRUSTEES  SHALL,  TO  THE
 EXTENT  PRACTICABLE, REQUIRE THAT COMPETITIVE PROPOSALS BE SOLICITED FOR
 PURCHASES, AND SHALL INCLUDE REQUIREMENTS THAT PURCHASES  AND  CONTRACTS
 AUTHORIZED  UNDER THIS SECTION BE AT THE LOWEST AVAILABLE PRICE, INCLUD-
 ING CONSIDERATION OF PRICES  AVAILABLE  THROUGH  OTHER  STATE  AGENCIES,
 CONSISTENT  WITH  QUALITY  REQUIREMENTS,  AND  AS  WILL BEST PROMOTE THE
 PUBLIC INTEREST. SUCH PURCHASES MAY BE MADE DIRECTLY FROM ANY CONTRACTOR
 PURSUANT TO ANY CONTRACT FOR COMMODITIES LET BY THE  OFFICE  OF  GENERAL
 SERVICES OR ANY OTHER STATE AGENCY;
   [a-1. execute contracts for services to an amount not exceeding twenty
 thousand  dollars  without  prior approval by any other state officer or
 agency, but subject to rules and regulations of  the  state  comptroller
 not  otherwise  inconsistent  with the provisions of this section and in
 accordance with the guidelines promulgated by the state university board
 of trustees after consultation with the state comptroller. In  addition,
 the  trustees,  after  consultation  with  the  commissioner  of general
 services, are authorized to annually  negotiate  with  the  state  comp-
 troller  increases in the aforementioned dollar limits and the exemption
 of any services or categories of services from these limits;]
   b. to establish cash advance accounts for the  purpose  of  purchasing
 materials,  supplies, or services, for cash advances for travel expenses
 and per diem allowances, or for advance payment of wages and salary. The
 account may be used to purchase such materials,  supplies,  or  services
 where the amount of a single purchase does not exceed [one thousand] TWO
 HUNDRED  FIFTY  dollars,  in accordance with such guidelines as shall be
 prescribed by the state university trustees after consultation with  the
 state comptroller;
   c.  establish  guidelines  in  consultation  with  the commissioner of
 general services authorizing participation by the  state  university  in
 programs administered by the office of general services for the purchase
 of  available  New York state food products. The commissioner of general
 services shall provide assistance to the state university  necessary  to
 enable the university to participate in these programs;
   d. award contract extensions for campus transportation without compet-
 itive  bidding  where such contracts were secured either through compet-
 itive bidding or through  evaluation  of  proposals  IN  RESPONSE  TO  A
 REQUEST  FOR  PROPOSALS,  however such extensions may be rejected if the
 amount to be paid to the contractor in any year of such proposed  exten-
 sion  fails to reflect any decrease in the regional consumer price index
 for the New York, New York-Northeastern, New Jersey area, based upon the
 index for all urban consumers (CPI-U) during the preceding  twelve-month
 period.  At  the  time of any contract extension, consideration shall be
 given to any competitive proposal offered  by  a  public  transportation
 agency.  Such  contract  may  be increased for each year of the contract
 extension by an amount not to exceed the regional consumer  price  index
 increase for the New York, New York-Northeastern, New Jersey area, based
 upon  the  index  for  all urban consumers (CPI-U), during the preceding
 twelve-month period, provided it has been satisfactorily established  by

 S. 3984                             4
 
 the  contractor  that  there has been at least an equivalent increase in
 the amount of his cost of operation, during the period of the contract.
   [e.  guidelines  promulgated by the state university board of trustees
 shall, to the extent practicable, require that competitive proposals  be
 solicited  for  purchases, and shall include requirements that purchases
 and contracts authorized under this section be at the  lowest  available
 price,  including  consideration of prices available through other state
 agencies, consistent with quality requirements, and as will best promote
 the public interest. Such  purchases  may  be  made  directly  from  any
 contractor pursuant to any contract for commodities let by the office of
 general services or any other state agency.]
   6.  To enter into any contract or agreement deemed necessary or advis-
 able after consultation with appropriate state agencies for carrying out
 the objects and purposes of state university  without  prior  review  or
 approval by any state officer or agency other than the state comptroller
 and  the  attorney  general  including  contracts with non-profit corpo-
 rations organized by officers, employees, alumni or  students  of  state
 university  for  the  furtherance  of its ACADEMIC objects and purposes.
 Contracts or agreements entered into  with  the  federal  government  to
 enable participation in federal student loan programs, including any and
 all  instruments  required  thereunder,  shall  not  be  subject  to the
 requirements of section forty-one of the state  finance  law;  provided,
 however,  that  the  state  shall  not  be liable for any portion of any
 defaults which it has agreed to assume pursuant to any such agreement in
 an amount in excess of money appropriated or otherwise  lawfully  avail-
 able therefor at the time the liability for payment arises. [The forego-
 ing  notwithstanding,  any  contract made for or by the state university
 for the purchase of: (i) materials, equipment  and  supplies,  including
 computer   equipment;   (ii)  motor  vehicles;  (iii)  construction  and
 construction-related services contracts; and (iv) printing shall not  be
 subject to prior approval by any other state officer or agency.]
   §  3.  Paragraph  b  of subdivision 16 of section 355 of the education
 law, as amended by section 1 of subpart C of part D of chapter 58 of the
 laws of 2011, is amended to read as follows:
   b. Notwithstanding the provisions of subdivision two  of  section  one
 hundred twelve of the state finance law[,] RELATING TO THE DOLLAR THRES-
 HOLD  REQUIRING THE COMPTROLLER'S APPROVAL OF CONTRACTS, subdivision six
 of section one hundred sixty-three of the state finance law [and section
 sixty-three of the  executive  law  (i)]  authorize  contracts  for  the
 purchase  of  goods for state university health care facilities [without
 prior  approval  by  any  other  state  officer  or  agency,]  including
 contracts  for  joint  or  group  purchasing  arrangements  of goods, in
 accordance with procedures and requirements  found  in  paragraph  a  of
 subdivision  five  of  this  section[,  and (ii) authorize contracts for
 services] which do not exceed  seventy-five  thousand  dollars  [without
 prior  approval  by any other state officer or agency in accordance with
 procedures and requirements found in paragraph a of subdivision five  of
 this  section]. Contracts authorized pursuant to this paragraph shall be
 subject to article fourteen of the civil service law and the  applicable
 provisions  of  agreements  between the state and employee organizations
 pursuant to article fourteen of the civil service law.
   The trustees are authorized to negotiate annually with the state comp-
 troller increases in the aforementioned dollar limits.
   § 4. Subdivision 12 of section 373 of the education law, as amended by
 section 2 of subpart A of part D of chapter 58 of the laws of  2011,  is
 amended to read as follows:

 S. 3984                             5
 
   12.  To procure and execute contracts, lease agreements, and all other
 instruments necessary or convenient for the exercise  of  its  corporate
 powers and the fulfillment of its corporate purposes under this article.
 [Notwithstanding  subdivision  two  of section one hundred twelve of the
 state  finance  law  or any other law to the contrary, fund procurements
 shall not be subject to the prior approval of any state officer or agen-
 cy;]
   § 5. Subdivisions a and a-1 of section  6218  of  the  education  law,
 subdivision  a  as  amended and subdivision a-1 as added by section 2 of
 subpart B of part D of chapter 58 of the laws of 2011, subparagraph  (i)
 of  paragraph  1  of subdivision a as amended by section 33 of part L of
 chapter 55 of the laws of 2012, are amended to read as follows:
   a. Notwithstanding the provisions of subdivision two  of  section  one
 hundred  twelve  and sections one hundred fifteen, one hundred sixty-one
 and one hundred sixty-three of the state finance law and sections  three
 and  six  of the New York state printing and public documents law or any
 other law to  the  contrary,  the  city  university  is  authorized  and
 empowered to:
   [(1)]  (i)  purchase  materials;  proprietary  electronic  information
 resources, including, but not limited  to,  academic,  professional  and
 industry  journals,  reference  handbooks and manuals, research tracking
 tools, indexes and abstracts;  and  equipment  and  supplies,  including
 computer  equipment  and  motor  vehicles, WHERE THE AMOUNT FOR A SINGLE
 PURCHASE DOES NOT EXCEED FIFTY THOUSAND DOLLARS, (ii) execute  contracts
 for  [construction and construction-related services contracts] SERVICES
 TO AN AMOUNT NOT EXCEEDING FIFTY THOUSAND DOLLARS,  and  (iii)  contract
 for  printing TO AN AMOUNT NOT EXCEEDING FIFTY THOUSAND DOLLARS, without
 prior approval by any other state officer  or  agency,  but  subject  to
 rules  and regulations OR GUIDELINES of the state comptroller not other-
 wise inconsistent with the provisions of this section and in  accordance
 with the guidelines promulgated by the city university board of trustees
 after  consultation  with the state comptroller.  IN ADDITION, THE TRUS-
 TEES ARE AUTHORIZED TO ANNUALLY NEGOTIATE  WITH  THE  STATE  COMPTROLLER
 INCREASES  IN  THE AFOREMENTIONED DOLLAR LIMITS AND THE EXEMPTION OF ANY
 ARTICLES, CATEGORIES OF  ARTICLES  OR  COMMODITIES  FROM  THESE  LIMITS.
 GUIDELINES  PROMULGATED  BY THE CITY UNIVERSITY BOARD OF TRUSTEES SHALL,
 TO THE EXTENT PRACTICABLE, REQUIRE THAT COMPETITIVE PROPOSALS BE  SOLIC-
 ITED  FOR  PURCHASES,  AND SHALL INCLUDE REQUIREMENTS THAT PURCHASES AND
 CONTRACTS AUTHORIZED UNDER THIS SECTION BE AT THE LOWEST POSSIBLE PRICE.
   [(2) execute contracts for services to an amount not exceeding  twenty
 thousand  dollars  without  prior approval by any other state officer or
 agency, but subject to rules and regulations of  the  state  comptroller
 not  otherwise  inconsistent  with the provisions of this section and in
 accordance with the guidelines promulgated by the city university  board
 of  trustees after consultation with the state comptroller. In addition,
 the trustees,  after  consultation  with  the  commissioner  of  general
 services,  are  authorized  to  annually  negotiate with the state comp-
 troller increases in the aforementioned dollar limits and the  exemption
 of any services or categories of services from these limits.
   a-1.  Guidelines  promulgated by the city university board of trustees
 shall, to the extent practicable, require that competitive proposals  be
 solicited  for  purchases, and shall include requirements that purchases
 and contracts authorized under this section be at the  lowest  available
 price.]
   § 6. Section 6283 of the education law is REPEALED.

 S. 3984                             6
 
   §  7.  This act shall take effect immediately; provided, however, that
 the amendments to subdivisions 5 and 6 and paragraph b of subdivision 16
 of section 355, subdivision 12 of section 373, and  subdivisions  a  and
 a-1  of  section  6218 of the education law made by sections two, three,
 four  and  five  of  this  act  shall  not affect the expiration of such
 provisions pursuant to section 4 of subpart B of part D of chapter 58 of
 the laws of 2011, as amended, and shall be deemed to expire therewith.
 
                                  PART B
 
   Section 1. Subdivision 1 of section 2879  of  the  public  authorities
 law,  as  amended by chapter 564 of the laws of 1988, is amended to read
 as follows:
   1. Every public authority and public benefit corporation,  a  majority
 of  the  members  of  which  consist  of persons either appointed by the
 governor or who serve as members by virtue of holding a civil office  of
 the state, or a combination thereof, (such entities to be hereinafter in
 this  section  referred  to  as "corporation") shall adopt by resolution
 comprehensive guidelines CONSISTENT WITH THE METHODS OF EVALUATING  BIDS
 AND  PROPOSALS  AND  AWARDING  OF  CONTRACTS  AUTHORIZED BY SECTIONS ONE
 HUNDRED THIRTY-SIX-A, ONE HUNDRED SIXTY-THREE  AND  ONE  HUNDRED  SIXTY-
 THREE-A OF THE STATE FINANCE LAW AND SUBDIVISION SIX OF SECTION EIGHT OF
 THE  PUBLIC BUILDINGS LAW, UNLESS EXPRESSLY AUTHORIZED OTHERWISE BY LAW,
 which detail the corporation's operative policy and instructions regard-
 ing  the  use,  awarding,  monitoring  and  reporting   of   procurement
 contracts.  Guidelines  approved  by  the  corporation shall be annually
 reviewed and approved by the corporation.
   § 2. This act shall take effect immediately.
 
                                  PART C
 
   Section 1. The public authorities law  is  amended  by  adding  a  new
 section 2882 to read as follows:
   §  2882.  THIRD  PARTY  CONTRACTING  PROHIBITED. 1. NO STATE AUTHORITY
 SHALL ENTER INTO A CONTRACT OR AGREEMENT OR EXTEND AN EXISTING  CONTRACT
 OR  AGREEMENT  WITH  ANOTHER ENTITY, UNLESS AUTHORIZED BY SPECIAL ACT OF
 THE LEGISLATURE, (I) WHERE THE EXCLUSIVE OR PRIMARY ROLE OF SUCH  ENTITY
 UNDER  THE  CONTRACT OR AGREEMENT IS TO PROCURE GOODS OR SERVICES OF ANY
 KIND, INCLUDING, BUT NOT LIMITED TO, PUBLIC WORK,  CONSTRUCTION,  ALTER-
 ATIONS,  OR  IMPROVEMENTS TO PUBLIC FACILITIES, GRANT CONTRACTS, EMPLOY-
 MENT  CONTRACTS,  REVENUE  OR  CONCESSION  CONTRACTS,  THE  EXCHANGE  OF
 PERSONAL  OR REAL PROPERTY, THE EXCHANGE OF SERVICES, OR ANY COMBINATION
 THEREOF THROUGH A CONTRACT OR AGREEMENT WITH  A  THIRD  PARTY  AND  (II)
 WHERE  SUCH ENTITY IS ACTING AS A PROCUREMENT CONDUIT, RATHER THAN BEING
 DIRECTLY RESPONSIBLE FOR THE GOODS OR SERVICES.
   2. THE COMPTROLLER MAY PROMULGATE SUCH RULES AND REGULATIONS AS MAY BE
 NECESSARY TO ENFORCE THIS SECTION, INCLUDING THE STANDARDS FOR DETERMIN-
 ING WHETHER A CONTRACT IS PROHIBITED BY THIS SECTION.
   § 2. This act  shall  take  effect  immediately  and  shall  apply  to
 contracts entered into on and after such date.
 
                                  PART D
 
   Section  1.  The  state finance law is amended by adding a new section
 148 to read as follows:

 S. 3984                             7
 
   § 148. COMPTROLLER APPROVAL OF THE RESEARCH FOUNDATION  OF  THE  STATE
 UNIVERSITY OF NEW YORK CONTRACTS. NOTWITHSTANDING ANY OTHER PROVISION OF
 LAW,  BEFORE  ANY CONTRACT MADE FOR OR BY THE RESEARCH FOUNDATION OF THE
 STATE UNIVERSITY OF NEW YORK WHICH IS TO BE PAID IN  WHOLE  OR  IN  PART
 FROM  MONIES  APPROPRIATED OR ASSIGNED BY THE STATE SHALL BE EXECUTED OR
 BECOME EFFECTIVE, WHENEVER SUCH CONTRACT EXCEEDS ONE MILLION DOLLARS  IN
 AMOUNT, IT SHALL FIRST BE APPROVED BY THE STATE COMPTROLLER AND FILED IN
 HIS  OR  HER OFFICE. THE COMPTROLLER SHALL MAKE A FINAL WRITTEN DETERMI-
 NATION WITH RESPECT TO APPROVAL OF SUCH CONTRACT WITHIN NINETY  DAYS  OF
 THE  SUBMISSION  OF  SUCH CONTRACT TO HIS OR HER OFFICE UNLESS THE COMP-
 TROLLER SHALL NOTIFY, IN WRITING, THE RESEARCH FOUNDATION OF  THE  STATE
 UNIVERSITY OF NEW YORK PRIOR TO THE EXPIRATION OF THE NINETY DAY PERIOD,
 AND  FOR  GOOD  CAUSE,  OF  THE  NEED  FOR AN EXTENSION OF NOT MORE THAN
 FIFTEEN DAYS, OR A REASONABLE PERIOD OF TIME AGREED TO BY  THE  RESEARCH
 FOUNDATION  OF  THE  STATE UNIVERSITY OF NEW YORK AND PROVIDED, FURTHER,
 THAT SUCH WRITTEN DETERMINATION OR EXTENSION SHALL BE MADE PART  OF  THE
 PROCUREMENT RECORD.
   §  2.  This  act  shall  take  effect  immediately  and shall apply to
 contracts entered into on and after such date.
 
                                  PART E
 
   Section 1. Section 139-b of the state finance law is amended by adding
 two new subdivisions 3 and 4 to read as follows:
   3. A STATE CONTRACTOR MAY BE DISQUALIFIED FROM SELLING TO  OR  SUBMIT-
 TING  BIDS  TO  OR  RECEIVING AWARDS FROM OR ENTERING INTO ANY CONTRACTS
 WITH THE STATE OR ANY PUBLIC DEPARTMENT, AGENCY OR OFFICIAL THEREOF,  OR
 ANY  STATE  AUTHORITY,  AS  SUCH  TERM  IS DEFINED IN SECTION TWO OF THE
 PUBLIC AUTHORITIES LAW, FOR GOODS, WORK OR SERVICES, FOR A  KNOWING  AND
 WILLFUL  FAILURE  BY  A  PRINCIPAL TO TIMELY DISCLOSE TO THE CONTRACTING
 STATE ENTITY CREDIBLE EVIDENCE OF FRAUD,  CONFLICT  OF  INTEREST,  UNDUE
 INFLUENCE  OR  DURESS,  IN CONNECTION WITH THE AWARD OR PERFORMANCE OF A
 STATE CONTRACT.
   4. THE OFFICE OF GENERAL SERVICES, UPON BEING NOTIFIED BY A  CONTRACT-
 ING  STATE  ENTITY OF A POTENTIAL VIOLATION OF SUBDIVISION THREE OF THIS
 SECTION, SHALL NOTIFY THE STATE CONTRACTOR THAT SUFFICIENT CAUSE  EXISTS
 TO  BELIEVE  SUCH POTENTIAL VIOLATION HAS OCCURRED AND SHALL PROVIDE THE
 STATE CONTRACTOR AN OPPORTUNITY TO BE HEARD IN RESPONSE.  IN  THE  EVENT
 THAT  A  FINAL  DETERMINATION  IS MADE THAT THERE HAS BEEN A KNOWING AND
 WILLFUL VIOLATION BY THE  STATE  CONTRACTOR,  SUCH  FINAL  DETERMINATION
 SHALL  BE PUBLISHED ON THE OFFICE OF GENERAL SERVICE'S WEBSITE AND SHALL
 RESULT IN THE STATE CONTRACTOR BEING DISQUALIFIED FROM RECEIVING  AWARDS
 FROM OR ENTERING INTO ANY CONTRACTS WITH THE STATE OR ANY PUBLIC DEPART-
 MENT,  AGENCY  OR OFFICIAL THEREOF, OR ANY STATE AUTHORITY, AS SUCH TERM
 IS DEFINED IN SECTION TWO OF THE PUBLIC AUTHORITIES LAW, FOR GOODS, WORK
 OR SERVICES FOR A PERIOD OF FIVE YEARS.   ANY  SUBSEQUENT  VIOLATION  OF
 THIS  SECTION  WILL  RESULT  IN  THE  STATE CONTRACTOR BEING PERMANENTLY
 DISQUALIFIED.
   § 2. The state finance law is amended by  adding  three  new  sections
 139-l, 139-m and 139-n to read as follows:
   §  139-L.  CONFLICTS  OF  INTEREST  OF STATE OFFICERS AND EMPLOYEES IN
 STATE PROCUREMENTS; PROHIBITED.   (A) NO STATE OFFICER  OR  EMPLOYEE  AS
 DEFINED IN PUBLIC OFFICERS LAW SECTION SEVENTY-THREE SHALL:
   1.  HAVE  ANY INTEREST, FINANCIAL OR OTHERWISE, DIRECT OR INDIRECT, IN
 ANY CONTRACT OTHER THAN ONE PERMISSIBLE PURSUANT  TO  PARAGRAPH  (A)  OF
 SUBDIVISION FOUR OF SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW; OR

 S. 3984                             8
 
   2.  TAKE  ANY  ACTION  OR  OTHERWISE INVOLVE HIMSELF OR HERSELF IN ANY
 ACTIVITY WHICH, PURSUANT TO THE PROVISIONS OF THIS CHAPTER OR THE PUBLIC
 OFFICERS LAW, WOULD BE DEEMED A CONFLICT OF INTEREST FOR A STATE OFFICER
 OR EMPLOYEE THAT MAY REASONABLY BE EXPECTED TO IMPAIR THE  OFFICER'S  OR
 EMPLOYEE'S INDEPENDENT JUDGMENT OR ABILITY TO ACT IMPARTIALLY AND IN THE
 BEST INTEREST OF THE STATE, OR THAT MAY REASONABLY CREATE THE APPEARANCE
 OF  IMPROPRIETY  THROUGH  THE  APPEARANCE  OF FAVORITISM OR PREFERENTIAL
 TREATMENT.
   (B) IF SUCH CONFLICT OF INTEREST EXISTS, THE STATE OFFICER OR EMPLOYEE
 MUST IMMEDIATELY RECUSE HIMSELF OR HERSELF IN WRITING FROM THE  PROCURE-
 MENT  AND  SUBMIT  SUCH RECUSAL TO THE STATE AGENCY OFFICER IN CHARGE OF
 PROCUREMENT AND CONTRACTING TO BE INCLUDED IN THE PROCUREMENT RECORD  TO
 THE STATE AGENCY'S ETHICS OFFICER, AND TO THE AGENCY HEAD.
   §  139-M. STATE OFFICER OR EMPLOYEE CERTIFICATION; NO UNDUE INFLUENCE.
 EACH STATE OFFICER OR EMPLOYEE AS DEFINED IN PUBLIC OFFICERS LAW SECTION
 SEVENTY-THREE OR STATE CONSULTANT WHO EXERCISED DISCRETION  OR  DECISION
 MAKING IN HOW A STATE CONTRACT WAS ADVERTISED, HOW THE BIDS OR PROPOSALS
 WERE  EVALUATED,  HOW  THE  CONTRACTOR  WAS  SELECTED, OR WHO SIGNED THE
 CONTRACT FOR THE AGENCY, SHALL CERTIFY IN WRITING THAT NO  UNDUE  INFLU-
 ENCE  WAS  EXERTED  UPON  HIM OR HER, AND THAT TO THE BEST OF HIS OR HER
 KNOWLEDGE THAT THERE IS A REASONABLE BASIS TO BELIEVE THAT THE  CONTRACT
 WAS  NOT  PROCURED THROUGH FRAUD, DURESS OR UNDUE INFLUENCE. THE CERTIF-
 ICATION SHALL BECOME PART OF THE PROCUREMENT RECORD.
   § 139-N. STATE CONTRACTOR CODE OF BUSINESS ETHICS AND  CONDUCT.    (A)
 DEFINITIONS. FOR PURPOSES OF THIS SECTION:
   1.  THE  TERM  "STATE CONTRACTOR" SHALL MEAN ANY INDIVIDUAL, ORGANIZA-
 TION, CORPORATION, SOLE PROPRIETORSHIP,  PARTNERSHIP,  NONPROFIT,  JOINT
 VENTURE,  ASSOCIATION,  OR  ANY  COMBINATION THEREOF THAT IS PURSUING OR
 CONDUCTING BUSINESS WITH AND/OR ON BEHALF OF A STATE AGENCY,  INCLUDING,
 WITHOUT LIMITATION, CONSULTANTS, SUPPLIERS, MANUFACTURERS, AND ANY OTHER
 VENDORS, BIDDERS OR PROPOSERS.
   2.  THE  TERM "STATE AGENCY" SHALL MEAN ANY STATE DEPARTMENT, OR DIVI-
 SION, BOARD, COMMISSION, OR BUREAU OF ANY STATE DEPARTMENT.
   (B) POLICY. STATE CONTRACTORS MUST CONDUCT THEMSELVES WITH THE HIGHEST
 DEGREE OF INTEGRITY AND HONESTY. NO STATE CONTRACTOR SHOULD TAKE  ACTION
 TO VIOLATE OR CIRCUMVENT STATE PROCUREMENT OR ETHICS LAWS.
   (C)  STATE  CONTRACTOR  CODE OF BUSINESS ETHICS AND CONDUCT. RULE WITH
 RESPECT TO CONFLICTS OF INTEREST. NO STATE CONTRACTOR  SHOULD  HAVE  ANY
 INTEREST,  FINANCIAL  OR OTHERWISE, DIRECT OR INDIRECT, OR ENGAGE IN ANY
 BUSINESS OR TRANSACTION OR PROFESSIONAL ACTIVITY OR INCUR ANY OBLIGATION
 OF ANY  NATURE,  WHICH  IS  IN  SUBSTANTIAL  CONFLICT  WITH  THE  PROPER
 EXECUTION OF DUTIES AND RESPONSIBILITIES UNDER THE STATE CONTRACT.
   (D) STANDARDS. 1. NO STATE CONTRACTOR SHOULD ENGAGE IN ANY BUSINESS OR
 PROFESSIONAL ACTIVITY WHICH WILL IMPAIR HIS OR HER INDEPENDENCE OF JUDG-
 MENT  IN  THE  EXERCISE  OF  DUTIES AND RESPONSIBILITIES UNDER THE STATE
 CONTRACT.
   2. NO STATE CONTRACTOR SHOULD ENGAGE IN ANY BUSINESS  OR  PROFESSIONAL
 ACTIVITY WHICH WILL REQUIRE HIM OR HER TO DISCLOSE CONFIDENTIAL INFORMA-
 TION  ACQUIRED  BY  REASON OF PERFORMANCE OF DUTIES AND RESPONSIBILITIES
 UNDER THE STATE CONTRACT NOR USE SUCH INFORMATION TO FURTHER HIS OR  HER
 PERSONAL INTERESTS.
   3. NO STATE CONTRACTOR SHOULD ATTEMPT TO SECURE UNWARRANTED PRIVILEGES
 OR EXEMPTIONS FOR HIMSELF OR HERSELF OR OTHERS, INCLUDING BUT NOT LIMIT-
 ED  TO,  THE  MISAPPROPRIATION  TO  HIMSELF, HERSELF OR TO OTHERS OF THE
 PROPERTY, SERVICES OR OTHER RESOURCES OF THE STATE FOR PRIVATE  BUSINESS
 OR OTHER COMPENSATED NON-GOVERNMENTAL PURPOSES.

 S. 3984                             9
 
   4. NO STATE CONTRACTOR SHOULD ENGAGE IN ANY TRANSACTION WITH ANY BUSI-
 NESS ENTITY IN WHICH HE OR SHE HAS A DIRECT OR INDIRECT FINANCIAL INTER-
 EST  THAT MIGHT REASONABLY TEND TO CONFLICT WITH THE PROPER DISCHARGE OF
 HIS OR HER DUTIES AND RESPONSIBILITIES UNDER THE STATE CONTRACT.
   5. A STATE CONTRACTOR SHOULD NOT BY HIS OR HER CONDUCT GIVE REASONABLE
 BASIS FOR THE IMPRESSION THAT ANY PERSON CAN IMPROPERLY INFLUENCE HIM OR
 HER  OR  UNDULY  ENJOY HIS OR HER FAVOR IN THE PERFORMANCE OF HIS OR HER
 OFFICIAL DUTIES UNDER THE CONTRACT, OR THAT HE OR SHE IS AFFECTED BY THE
 KINSHIP, RANK, POSITION OR INFLUENCE OF ANY PARTY OR PERSON.
   6. A STATE CONTRACTOR SHOULD ABSTAIN FROM MAKING PERSONAL  INVESTMENTS
 IN  ENTERPRISES  WHICH  HE  OR SHE HAS REASON TO BELIEVE MAY BE DIRECTLY
 INVOLVED IN DECISIONS TO BE MADE BY HIM OR HER OR WHICH  WILL  OTHERWISE
 CREATE SUBSTANTIAL CONFLICT BETWEEN HIS OR HER DUTY AND RESPONSIBILITIES
 UNDER THE STATE CONTRACT AND HIS OR HER PRIVATE INTEREST.
   7.  A  STATE  CONTRACTOR SHOULD ENDEAVOR TO PURSUE A COURSE OF CONDUCT
 WHICH WILL NOT RAISE SUSPICION THAT HE OR SHE IS LIKELY TO BE ENGAGED IN
 ACTS IN VIOLATION OF STATE PROCUREMENT OR ETHICS LAWS.
   (E) VIOLATIONS. IN ADDITION TO ANY  PENALTY  CONTAINED  IN  ANY  OTHER
 PROVISION  OF  LAW,  A  STATE AGENCY MAY, IN ITS DISCRETION, TERMINATE A
 CONTRACT THAT WAS AWARDED IN  VIOLATION  OF  THE  REQUIREMENTS  OF  THIS
 SECTION.  ANY  STATE CONTRACTOR WHO KNOWINGLY AND INTENTIONALLY VIOLATES
 THE STATE CONTRACTOR CODE  OF  BUSINESS  ETHICS  AND  CONDUCT  SHALL  BE
 SUBJECT  TO  A  CIVIL  PENALTY  IN  AN AMOUNT NOT TO EXCEED TEN THOUSAND
 DOLLARS AND THE VALUE OF ANY  BENEFIT  RECEIVED  AS  A  RESULT  OF  SUCH
 VIOLATION.
   §  3.  Article  1 of the public authorities law is amended by adding a
 new title 3 to read as follows:
                                  TITLE 3
  ETHICAL STANDARDS FOR STATE AUTHORITIES AND STATE AUTHORITY CONTRACTORS
 
 SECTION 10. CONFLICTS OF INTEREST  OF  STATE  AUTHORITY  BOARD  MEMBERS,
               OFFICERS  AND EMPLOYEES IN AUTHORITY PROCUREMENTS; PROHIB-
               ITED.
         11. STATE AUTHORITY BOARD MEMBER, OFFICER AND  EMPLOYEE  CERTIF-
               ICATION; NO UNDUE INFLUENCE
         12. CODE  OF  BUSINESS  ETHICS  AND  CONDUCT FOR STATE AUTHORITY
               CONTRACTORS.
         13. STATE AUTHORITY CONTRACTOR DISQUALIFICATION.
   § 10. CONFLICTS OF INTEREST OF STATE AUTHORITY BOARD MEMBERS, OFFICERS
 AND EMPLOYEES IN AUTHORITY PROCUREMENTS; PROHIBITED. 1. NO STATE AUTHOR-
 ITY BOARD MEMBER, OFFICER OR EMPLOYEE SHALL WITH RESPECT  TO  ANY  STATE
 CONTRACT OR STATE AUTHORITY CONTRACT:
   (A)  HAVE ANY INTEREST, FINANCIAL OR OTHERWISE, DIRECT OR INDIRECT, IN
 ANY CONTRACT OTHER THAN ONE PERMISSIBLE PURSUANT  TO  PARAGRAPH  (A)  OF
 SUBDIVISION FOUR OF SECTION SEVENTY-THREE OF THE PUBLIC OFFICERS LAW; OR
   (B)  TAKE  ANY  ACTION  OR OTHERWISE INVOLVE HIMSELF OR HERSELF IN ANY
 ACTIVITY WHICH, PURSUANT TO THE PROVISIONS OF THIS CHAPTER OR THE PUBLIC
 OFFICERS LAW, WOULD BE DEEMED A CONFLICT OF INTEREST THAT MAY REASONABLY
 BE EXPECTED TO IMPAIR THE BOARD MEMBER'S, OFFICER'S OR EMPLOYEE'S  INDE-
 PENDENT  JUDGMENT OR ABILITY TO ACT IMPARTIALLY AND IN THE BEST INTEREST
 OF THE STATE AUTHORITY, OR THAT MAY REASONABLY CREATE THE APPEARANCE  OF
 IMPROPRIETY  THROUGH THE APPEARANCE OF FAVORITISM OR PREFERENTIAL TREAT-
 MENT.
   2. IF SUCH CONFLICT OF INTEREST  EXISTS,  THE  STATE  AUTHORITY  BOARD
 MEMBER,  OFFICER  OR EMPLOYEE MUST IMMEDIATELY RECUSE HIMSELF OR HERSELF
 IN WRITING AND SUBMIT SUCH RECUSAL TO THE STATE AUTHORITY'S ETHICS OFFI-

 S. 3984                            10
 
 CER AND ANY  OFFICIAL  OR  COMMITTEE  CHARGED  WITH  OVERSEEING  ETHICAL
 CONDUCT  IN THE AUTHORITY, THE CHIEF EXECUTIVE OFFICIAL OF THE AUTHORITY
 AND THE BOARD CHAIR, AS APPROPRIATE, THE APPOINTING  OFFICIAL,  AND  THE
 OFFICER  IN CHARGE OF THE AUTHORITY'S PROCUREMENTS TO BE INCLUDED IN THE
 STATE AUTHORITY'S PROCUREMENT RECORD. ANY STATE AUTHORITY  BOARD  MEMBER
 WHO  SUBMITS SUCH RECUSAL SHALL ALSO SUBMIT SUCH RECUSAL TO THE APPOINT-
 ING OFFICIAL WITH RESPONSIBILITY FOR  SUCH  BOARD  MEMBER'S  APPOINTMENT
 AND,  IN  THE  CASE  OF BOARD MEMBERS APPOINTED AT THE RECOMMENDATION OF
 ANOTHER OFFICIAL, MUST ALSO SUBMIT  SUCH  RECUSAL  TO  THE  RECOMMENDING
 OFFICIAL.
   § 11. STATE AUTHORITY BOARD MEMBER, OFFICER OR EMPLOYEE CERTIFICATION;
 NO  UNDUE  INFLUENCE.  EACH  STATE  AUTHORITY  BOARD  MEMBER, OFFICER OR
 EMPLOYEE WHO EXERCISED DISCRETION OR DECISION  MAKING  IN  HOW  A  STATE
 AUTHORITY CONTRACT WAS ADVERTISED, HOW THE BIDS OR PROPOSALS WERE EVALU-
 ATED,  HOW  THE  CONTRACTOR WAS SELECTED, OR WHO SIGNED THE CONTRACT FOR
 THE STATE AUTHORITY, SHALL CERTIFY IN WRITING THAT  NO  UNDUE  INFLUENCE
 WAS  EXERTED  UPON  HIM OR HER, AND THAT TO THE BEST OF HIS OR HER KNOW-
 LEDGE THAT THERE IS A REASONABLE BASIS TO BELIEVE THAT THE CONTRACT  WAS
 NOT PROCURED THROUGH FRAUD, DURESS OR UNDUE INFLUENCE. THE CERTIFICATION
 SHALL BECOME PART OF THE STATE AUTHORITY'S PROCUREMENT RECORD.
   § 12. CODE OF BUSINESS ETHICS AND CONDUCT FOR STATE AUTHORITY CONTRAC-
 TORS.    1.  POLICY. STATE AUTHORITY CONTRACTORS AND SUBCONTRACTORS MUST
 CONDUCT THEMSELVES WITH THE HIGHEST DEGREE OF INTEGRITY AND HONESTY.  NO
 STATE  AUTHORITY  CONTRACTOR SHOULD TAKE ACTION TO VIOLATE OR CIRCUMVENT
 STATE PROCUREMENT OR ETHICS LAWS. FOR PURPOSES OF THIS SECTION, THE TERM
 "STATE AUTHORITY CONTRACTOR" SHALL MEAN  ANY  INDIVIDUAL,  ORGANIZATION,
 CORPORATION, SOLE PROPRIETORSHIP, PARTNERSHIP, NONPROFIT, JOINT VENTURE,
 ASSOCIATION,  OR  ANY COMBINATION THEREOF THAT IS PURSUING OR CONDUCTING
 BUSINESS WITH AND/OR ON BEHALF OF A STATE AUTHORITY, INCLUDING,  WITHOUT
 LIMITATION,   CONSULTANTS,   SUPPLIERS,  MANUFACTURERS,  AND  ANY  OTHER
 VENDORS, BIDDERS OR PROPOSERS.
   2. CODE OF BUSINESS ETHICS AND CONDUCT FOR  STATE  AUTHORITY  CONTRAC-
 TORS.  RULE  WITH  RESPECT  TO CONFLICTS OF INTEREST. NO STATE AUTHORITY
 CONTRACTOR SHOULD HAVE ANY INTEREST, FINANCIAL OR OTHERWISE,  DIRECT  OR
 INDIRECT,  OR  ENGAGE  IN  ANY  BUSINESS  OR TRANSACTION OR PROFESSIONAL
 ACTIVITY OR INCUR ANY OBLIGATION OF ANY NATURE, WHICH IS IN  SUBSTANTIAL
 CONFLICT  WITH THE PROPER EXECUTION OF DUTIES AND RESPONSIBILITIES UNDER
 THE CONTRACT.
   3. STANDARDS. (A) NO STATE AUTHORITY CONTRACTOR SHOULD ENGAGE  IN  ANY
 BUSINESS OR PROFESSIONAL ACTIVITY WHICH WILL IMPAIR HIS OR HER INDEPEND-
 ENCE  OF  JUDGMENT  IN THE EXERCISE OF DUTIES AND RESPONSIBILITIES UNDER
 THE CONTRACT.
   (B) NO STATE AUTHORITY CONTRACTOR SHOULD ENGAGE  IN  ANY  BUSINESS  OR
 PROFESSIONAL  ACTIVITY  WHICH WILL REQUIRE HIM OR HER TO DISCLOSE CONFI-
 DENTIAL INFORMATION ACQUIRED BY REASON  OF  PERFORMANCE  OF  DUTIES  AND
 RESPONSIBILITIES UNDER THE CONTRACT, NOR USE SUCH INFORMATION TO FURTHER
 HIS OR HER PERSONAL INTERESTS.
   (C) NO STATE AUTHORITY CONTRACTOR SHOULD ATTEMPT TO SECURE UNWARRANTED
 PRIVILEGES OR EXEMPTIONS FOR HIMSELF OR HERSELF OR OTHERS, INCLUDING BUT
 NOT LIMITED TO, THE MISAPPROPRIATION TO HIMSELF, HERSELF OR TO OTHERS OF
 THE  PROPERTY,  SERVICES  OR  OTHER RESOURCES OF THE STATE AUTHORITY FOR
 PRIVATE BUSINESS OR OTHER COMPENSATED NON-GOVERNMENTAL PURPOSES.
   (D) NO STATE AUTHORITY CONTRACTOR SHOULD  ENGAGE  IN  ANY  TRANSACTION
 WITH  ANY  BUSINESS  ENTITY  IN WHICH HE OR SHE HAS A DIRECT OR INDIRECT
 FINANCIAL INTEREST THAT MIGHT REASONABLY TEND TO CONFLICT WITH THE PROP-

 S. 3984                            11

 ER DISCHARGE OF  HIS  OR  HER  DUTIES  AND  RESPONSIBILITIES  UNDER  THE
 CONTRACT.
   (E) A STATE AUTHORITY CONTRACTOR SHOULD NOT BY HIS OR HER CONDUCT GIVE
 REASONABLE  BASIS  FOR  THE  IMPRESSION  THAT  ANY PERSON CAN IMPROPERLY
 INFLUENCE HIM OR HER OR UNDULY ENJOY HIS OR HER FAVOR IN THE PERFORMANCE
 OF HIS OR HER DUTIES UNDER THE CONTRACT, OR THAT HE OR SHE  IS  AFFECTED
 BY THE KINSHIP, RANK, POSITION OR INFLUENCE OF ANY PARTY OR PERSON.
   (F)  A  STATE AUTHORITY CONTRACTOR SHOULD ABSTAIN FROM MAKING PERSONAL
 INVESTMENTS IN ENTERPRISES WHICH HE OR SHE HAS REASON TO BELIEVE MAY  BE
 DIRECTLY  INVOLVED  IN  DECISIONS TO BE MADE BY HIM OR HER OR WHICH WILL
 OTHERWISE CREATE SUBSTANTIAL  CONFLICT  BETWEEN  HIS  OR  HER  DUTY  AND
 RESPONSIBILITIES UNDER THE CONTRACT AND HIS OR HER PRIVATE INTEREST.
   (G) A STATE AUTHORITY CONTRACTOR SHOULD ENDEAVOR TO PURSUE A COURSE OF
 CONDUCT  WHICH  WILL  NOT RAISE SUSPICION THAT HE OR SHE IS LIKELY TO BE
 ENGAGED IN ACTS IN VIOLATION OF STATE PROCUREMENT OR ETHICS LAWS.
   4. VIOLATIONS. IN ADDITION TO  ANY  PENALTY  CONTAINED  IN  ANY  OTHER
 PROVISION  OF LAW, THE PROCURING STATE AUTHORITY MAY, IN ITS DISCRETION,
 TERMINATE A CONTRACT THAT WAS AWARDED IN VIOLATION OF  THE  REQUIREMENTS
 OF THIS SECTION.
   ANY   STATE  AUTHORITY  CONTRACTOR  WHO  KNOWINGLY  AND  INTENTIONALLY
 VIOLATES THE CODE OF BUSINESS ETHICS AND  CONDUCT  FOR  STATE  AUTHORITY
 CONTRACTORS  SHALL  BE  SUBJECT  TO  A CIVIL PENALTY IN AN AMOUNT NOT TO
 EXCEED TEN THOUSAND DOLLARS AND THE VALUE OF ANY BENEFIT RECEIVED  AS  A
 RESULT OF SUCH VIOLATION.
   § 13. STATE AUTHORITY CONTRACTOR DISQUALIFICATION.  1. A STATE AUTHOR-
 ITY CONTRACTOR MAY BE DISQUALIFIED FROM SELLING TO OR SUBMITTING BIDS TO
 OR  RECEIVING  AWARDS  FROM  OR ENTERING INTO ANY CONTRACTS WITH A STATE
 AUTHORITY FOR A KNOWING AND WILLFUL FAILURE BY  A  PRINCIPAL  TO  TIMELY
 DISCLOSE  TO THE CONTRACTING STATE AUTHORITY CREDIBLE EVIDENCE OF FRAUD,
 CONFLICT OF INTEREST, UNDUE INFLUENCE OR DURESS IN CONNECTION  WITH  THE
 AWARD OR PERFORMANCE OF A STATE AUTHORITY CONTRACT.
   2.  IF  A  STATE  AUTHORITY  HAS  SUFFICIENT  CAUSE  TO BELIEVE THAT A
 VIOLATION OF SUBDIVISION ONE OF THIS SECTION  HAS  OCCURRED,  THE  STATE
 AUTHORITY  SHALL NOTIFY THE STATE AUTHORITY CONTRACTOR AND SHALL PROVIDE
 THE STATE AUTHORITY CONTRACTOR AN OPPORTUNITY TO BE HEARD  IN  RESPONSE.
 IN  THE  EVENT THAT THERE IS A FINAL DETERMINATION THAT THERE HAS BEEN A
 KNOWING AND WILLFUL VIOLATION BY THE STATE  AUTHORITY  CONTRACTOR,  SUCH
 FINAL DETERMINATION SHALL RESULT IN THE STATE AUTHORITY CONTRACTOR BEING
 DISQUALIFIED  FROM  SELLING TO OR SUBMITTING BIDS TO OR RECEIVING AWARDS
 FROM OR ENTERING INTO ANY CONTRACTS WITH A STATE AUTHORITY FOR A  PERIOD
 OF  FIVE  YEARS. ANY SUBSEQUENT VIOLATION OF THIS SECTION WILL RESULT IN
 THE STATE AUTHORITY CONTRACTOR BEING PERMANENTLY DISQUALIFIED. THE STATE
 AUTHORITY SHALL PROVIDE NOTICE OF ANY DISQUALIFICATION PURSUANT TO  THIS
 SECTION  TO THE OFFICE OF GENERAL SERVICES WHO SHALL PUBLISH SUCH NOTICE
 ON ITS WEBSITE.
   § 4. This act shall take effect immediately.
 
                                  PART F
 
   Section 1. Subdivision 3 of section 141 of  the  economic  development
 law,  as  amended  by  section 14 of part L of chapter 55 of the laws of
 2012, is amended as follows:
   3. "Procurement contract" shall mean  any  written  agreement  entered
 into   by   an  agency  for  the  acquisition  of  goods,  services,  or
 construction of any kind, INCLUDING AGREEMENTS AWARDED BY AN AGENCY TO A
 SINGLE SOURCE, A SOLE SOURCE OR PURSUANT TO ANY OTHER METHOD OF PROCURE-

 S. 3984                            12
 
 MENT THAT IS NOT COMPETITIVE, in the actual or estimated amount of fifty
 thousand dollars or more. The term does not  include  an  agreement  for
 employment in the civil service.
   §  2.  Paragraph (c) of subdivision 2 and subdivision 5 of section 142
 of the economic development law, as amended by chapter 137 of  the  laws
 of  2008,  are amended and a new paragraph (d) is added to subdivision 2
 to read as follows:
   (c) for all [other] procurement contracts issued by agencies  PURSUANT
 TO A COMPETITIVE METHOD OF PROCUREMENT INCLUDING, BUT NOT LIMITED TO, AN
 INVITATION  FOR  BID,  REQUEST FOR PROPOSALS OR OTHER MEANS OF SOLICITA-
 TION, FOR AN AMOUNT IN EXCESS OF FIFTY THOUSAND DOLLARS (i) the name  of
 the contracting agency; (ii) the contract identification number; (iii) a
 brief  description  of  the goods or services sought, the location where
 goods are to be delivered or services provided and  the  contract  term;
 (iv)  the  address  where bids or proposals are to be submitted; (v) the
 date when bids or proposals are due; (vi) a description of any eligibil-
 ity or qualification requirement or preference; (vii) a statement as  to
 whether  the contract requirements may be fulfilled by a subcontracting,
 joint venture, or co-production arrangement; (viii) any  other  informa-
 tion deemed useful to potential contractors; (ix) the name, address, and
 telephone  number  of the person to be contacted for additional informa-
 tion; and (x) a statement as to whether the goods or services sought had
 in the immediately preceding  three  year  period  been  supplied  by  a
 foreign business enterprise.
   (D)  FOR  ALL  PROCUREMENT  CONTRACTS  ISSUED  BY AGENCIES TO A SINGLE
 SOURCE, A SOLE SOURCE OR PURSUANT TO ANY  OTHER  METHOD  OF  PROCUREMENT
 THAT  IS  NOT  COMPETITIVE,  FOR  AN  AMOUNT IN EXCESS OF FIFTY THOUSAND
 DOLLARS (I) THE NAME OF THE CONTRACTING AGENCY; (II)  THE  NAME  OF  THE
 RECIPIENT  OF  THE  INTENDED  CONTRACT,  IF KNOWN AT THE TIME; (III) THE
 CONTRACT IDENTIFICATION NUMBER; (IV) A BRIEF DESCRIPTION OF THE GOODS OR
 SERVICES SOUGHT, THE  LOCATION  WHERE  GOODS  ARE  TO  BE  DELIVERED  OR
 SERVICES PROVIDED AND THE CONTRACT TERM; (V) A DESCRIPTION OF ANY ELIGI-
 BILITY  OR  QUALIFICATION REQUIREMENT OR PREFERENCE; (VI) A STATEMENT AS
 TO WHETHER THE CONTRACT REQUIREMENTS MAY BE FULFILLED BY A  SUBCONTRACT-
 ING, JOINT VENTURE, OR CO-PRODUCTION ARRANGEMENT; (VII) ANY OTHER INFOR-
 MATION DEEMED USEFUL TO POTENTIAL CONTRACTORS; (VIII) THE NAME, ADDRESS,
 AND TELEPHONE NUMBER OF THE PERSON TO BE CONTACTED FOR ADDITIONAL INFOR-
 MATION;  AND (IX) A STATEMENT AS TO WHETHER THE GOODS OR SERVICES SOUGHT
 HAD IN THE IMMEDIATELY PRECEDING THREE YEAR PERIOD BEEN  SUPPLIED  BY  A
 FOREIGN BUSINESS ENTERPRISE.
   5.  In  addition  to any other notice of procurement contract opportu-
 nities required in this section, for procurement contracts in the amount
 of two hundred thousand dollars or more to be  awarded  by  all  [state]
 agencies,  each  agency  shall  prepare for inclusion in the procurement
 opportunities newsletter (a) a semi-annual listing of projected procure-
 ment purchases by category, INCLUDING PROJECTED PURCHASES TO BE  AWARDED
 TO  A  SINGLE  SOURCE,  A SOLE SOURCE OR PURSUANT TO ANY OTHER METHOD OF
 PROCUREMENT THAT IS NOT COMPETITIVE; (b) an explanation of how to  apply
 for  placement  on  any  bidder list maintained by the agency; and (c) a
 description of procedures for providing advance notification by mail  to
 individuals or business entities on such bidder lists of any request for
 proposals,  in  accordance with rules and regulations promulgated by the
 agency. The  commissioner,  in  consultation  with  each  agency,  shall
 arrange a schedule for each agency's semi-annual listing.
   §  3.  Subdivisions 1 and 4 of section 143 of the economic development
 law, subdivision 1 as added by chapter 564  of  the  laws  of  1988  and

 S. 3984                            13
 
 subdivision 4 as added by section 16 of part L of chapter 55 of the laws
 of 2012, are amended to read as follows:
   1.  Prior  to  awarding  any  procurement  contract, each agency shall
 submit to the commissioner information sufficient to enable  publication
 of the notices of procurement contract opportunities described in subdi-
 vision two of section one hundred forty-two of this article. Such infor-
 mation  shall  be  submitted  to  the commissioner in sufficient time to
 allow a minimum of fifteen business days  between  publication  of  such
 notice  and  the  date on which a bid or proposal is due, except where a
 shorter period is specifically authorized by law PROVIDED, HOWEVER:
   (A) IN THE CASE OF PROCUREMENT CONTRACTS ISSUED BY  A  PUBLIC  BENEFIT
 CORPORATION  OR  STATE  AUTHORITY  WHOSE  CONTRACTS AND PAYMENTS ARE NOT
 APPROVED AND PRE-AUDITED BY THE COMPTROLLER, TO A SINGLE SOURCE, A  SOLE
 SOURCE  OR  PURSUANT  TO  ANY  OTHER  METHOD  OF PROCUREMENT THAT IS NOT
 COMPETITIVE, IN SUFFICIENT TIME TO ALLOW A MINIMUM OF  FIFTEEN  BUSINESS
 DAYS  BETWEEN PUBLICATION OF SUCH NOTICE AND THE DATE ON WHICH THE STATE
 AUTHORITY OR PUBLIC BENEFIT  CORPORATION  INTENDS  TO  MAKE  A  CONTRACT
 AWARD; OR
   (B) IN THE CASE OF PROCUREMENT CONTRACTS ISSUED BY AGENCIES OTHER THAN
 PUBLIC  BENEFIT CORPORATIONS OR STATE AUTHORITIES, TO A SINGLE SOURCE, A
 SOLE SOURCE OR PURSUANT TO ANY OTHER METHOD OF PROCUREMENT THAT  IS  NOT
 COMPETITIVE,  IN  SUFFICIENT TIME TO ALLOW A MINIMUM OF FIFTEEN BUSINESS
 DAYS BETWEEN PUBLICATION OF SUCH NOTICE AND THE DATE THE AGENCY  INTENDS
 TO DELIVER THE REQUEST FOR EXEMPTION FROM ADVERTISING TO THE STATE COMP-
 TROLLER.
   4.  At the time an agency enters into a contract with a single or sole
 source provider pursuant to section one hundred sixty-three of the state
 finance law, OR PURSUANT TO ANY OTHER METHOD OF PROCUREMENT THAT IS  NOT
 COMPETITIVE,  for  an  amount  in excess of fifty thousand dollars, such
 agency shall submit an announcement of the intended contract for  inclu-
 sion  in the procurement opportunities newsletter, and shall specify the
 recipient of the contract.
   § 4. Section 146 of the economic development law, as amended by  chap-
 ter 173 of the laws of 2014, is amended to read as follows:
   §  146.  Approval of comptroller. The comptroller shall not approve or
 file any procurement contract for the acquisition of goods or  services,
 OR  CONSTRUCTION OF ANY KIND, in the amount of fifty thousand dollars or
 more unless notice as provided in section one hundred forty-two of  this
 article shall first have been published in the procurement opportunities
 newsletter  at  least fifteen business days prior to the date on which a
 bid or proposal was due OR, IN THE CASE OF PROCUREMENT CONTRACTS  ISSUED
 TO  A  SINGLE  SOURCE,  A SOLE SOURCE OR PURSUANT TO ANY OTHER METHOD OF
 PROCUREMENT THAT IS NOT COMPETITIVE,  AT  LEAST  FIFTEEN  BUSINESS  DAYS
 PRIOR TO THE DATE ON WHICH THE AGENCY INTENDS TO DELIVER THE REQUEST FOR
 EXEMPTION  FROM  ADVERTISING TO THE STATE COMPTROLLER AND ENTER INTO THE
 CONTRACT.  Provided, however, such requirement of publication of advance
 notice shall not apply to contracts exempt from such  requirement  under
 section  one  hundred forty-four of this article; provided further, that
 the comptroller shall not be required to disapprove a contract if he  or
 she  determines  that  there  has  been  substantial compliance with the
 requirements of section one hundred forty-two and  section  one  hundred
 forty-three  of  this  article. The foregoing provisions of this section
 shall not be construed to limit, in any manner, the right of  the  comp-
 troller  to demand evidence of adequate competition or such other proofs
 as he or she may require in the discharge of his or her responsibilities

 S. 3984                            14
 
 pursuant to section one hundred twelve of the state finance law  or  any
 other provision of law.
   §  5.  This  act  shall  take  effect  immediately  and shall apply to
 procurements initiated on and after such date.
   § 2. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion, section or part of this act shall be  adjudged  by  any  court  of
 competent  jurisdiction  to  be invalid, such judgment shall not affect,
 impair, or invalidate the remainder thereof, but shall  be  confined  in
 its  operation  to the clause, sentence, paragraph, subdivision, section
 or part thereof directly involved in the controversy in which such judg-
 ment shall have been rendered. It is hereby declared to be the intent of
 the legislature that this act would  have  been  enacted  even  if  such
 invalid provisions had not been included herein.
   §  3.  This  act shall take effect immediately provided, however, that
 the applicable effective date of Parts A through F of this act shall  be
 as specifically set forth in the last section of such Parts.