S T A T E O F N E W Y O R K
________________________________________________________________________
48
2019-2020 Regular Sessions
I N A S S E M B L Y
(PREFILED)
January 9, 2019
___________
Introduced by M. of A. CAHILL -- read once and referred to the Committee
on Governmental Operations
AN ACT to amend the state finance law, in relation to state contracts
for interior design services
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 136-a of the state finance law, as amended by chap-
ter 388 of the laws of 2017, is amended to read as follows:
§ 136-a. Contracts for architectural, engineering, INTERIOR DESIGN,
geological and surveying services. 1. As used in this section: the term
"professional firm" shall be defined as any individual or sole proprie-
torship, partnership, corporation, association or other legal entity
permitted by law to practice the professions of architecture, engineer-
ing, INTERIOR DESIGN, geology or surveying.
The term "state department" shall be defined as those state government
departments, divisions or commissions empowered by the state to enter
into contractual agreements on behalf of the state of New York.
2. It is the policy of New York state to negotiate contracts for
architectural and/or engineering services AND/OR INTERIOR DESIGN
SERVICES and/or geological and/or surveying services on the basis of
demonstrated competence and qualification for the type of professional
services required and at fair and reasonable fees.
3. (I) In the procurement of architectural, engineering, INTERIOR
DESIGN, geological and surveying services, the requiring state depart-
ment shall encourage professional firms engaged in the lawful practice
of the profession to submit an annual statement of qualifications and
performance data. The requiring state department for each proposed
project shall evaluate current statements of qualifications and perform-
ance data on file with the department. If desired, the requiring state
department may conduct discussions with three or more professional firms
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01945-01-9
A. 48 2
regarding anticipated design concepts and proposed methods of approach
to the assignment. The state department shall select, in order of pref-
erence, based upon criteria established by the requiring state depart-
ment, no less than three professional firms deemed to be the most highly
qualified to provide the services required.
(II) THE ANNUAL STATEMENT OF QUALIFICATIONS FOR INTERIOR DESIGN
SERVICES SHALL INCLUDE INFORMATION DEMONSTRATING THAT SUCH SERVICES ARE
PROVIDED BY AN INTERIOR DESIGNER POSSESSING CERTIFICATION PURSUANT TO
ARTICLE ONE HUNDRED SIXTY-ONE OF THE EDUCATION LAW OR PROVIDED UNDER THE
SUPERVISION OF A CERTIFIED INTERIOR DESIGNER.
4. The requiring state department shall negotiate a contract with the
highest qualified professional firm for architectural and/or engineering
services AND/OR INTERIOR DESIGN SERVICES and/or geological service
and/or surveying services at compensation which the department deter-
mines in writing to be fair and reasonable to the state of New York. In
making this decision, the department shall take into account the esti-
mated value of the services to be rendered, including the costs, the
scope, complexity, and professional nature thereof. The department shall
not refuse to negotiate with a professional firm solely because the
ratio of the "allowable indirect costs" to direct labor costs of the
professional firm or the hourly labor rate in any labor category of the
professional firm exceeds a limitation generally set by the department
in the determination of the reasonableness of the estimated cost of
services to be rendered by the professional firm, but rather the depart-
ment should also consider the reasonableness of cost based on the total
estimated cost of the service of the professional firm which should
include, among other things, all the direct labor costs of the profes-
sional firm for such services plus all "allowable indirect costs," other
direct costs, and negotiated profit of the professional firm. "Allowable
indirect costs" of a professional firm are defined as those costs gener-
ally associated with overhead which cannot be specifically identified
with a single project or contract and are considered reasonable and
allowable under specific state contract or allowability limits. Should
the requiring state department be unable to negotiate a satisfactory
contract with the professional firm considered to be the most qualified,
at a fee the department determines to be fair and reasonable to the
state of New York, negotiations with that professional firm shall be
formally terminated. The requiring state department shall then undertake
negotiations with the second most qualified professional firm. Failing
accord with the second most qualified professional firm, the department
shall formally terminate negotiations. The requiring state department
shall then undertake negotiations with the third most qualified profes-
sional firm. Should the requiring state department be unable to negoti-
ate a satisfactory contract with any of the selected professional firms,
it shall select additional professional firms in order of their compe-
tence and qualification and it shall continue negotiations in accordance
with this section until an agreement is reached.
5. This legislation shall only apply to engineering and/or architec-
tural services AND/OR INTERIOR DESIGN SERVICES and/or geological and/or
surveying services in excess of twenty-five thousand dollars.
§ 2. This act shall take effect on the ninetieth day after it shall
have become a law.