S T A T E O F N E W Y O R K
________________________________________________________________________
1462
2021-2022 Regular Sessions
I N A S S E M B L Y
January 11, 2021
___________
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 405 of the laws of 2018, is amended to read as follows:
§ 136-a. Contracts for architectural, engineering, INTERIOR DESIGN,
geological, landscape architecture and surveying services. 1. As used in
this section: the term "professional firm" shall be defined as any indi-
vidual or sole proprietorship, partnership, corporation, association or
other legal entity permitted by law to practice the professions of
architecture, engineering, INTERIOR DESIGN, geology, landscape architec-
ture 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 landscape architecture and/or survey-
ing services on the basis of demonstrated competence and qualification
for the type of professional services required and at fair and reason-
able fees.
3. (I) In the procurement of architectural, engineering, INTERIOR
DESIGN, geological, landscape architecture and surveying services, the
requiring state department shall encourage professional firms engaged in
the lawful practice of the profession to submit an annual statement of
qualifications and performance data. The requiring state department for
each proposed project shall evaluate current statements of qualifica-
tions and performance data on file with the department. If desired, the
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01241-01-1
A. 1462 2
requiring state department may conduct discussions with three or more
professional firms regarding anticipated design concepts and proposed
methods of approach to the assignment. The state department shall
select, in order of preference, based upon criteria established by the
requiring state department, no 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 landscape architecture and/or surveying services at compensation
which the department determines in writing to be fair and reasonable to
the state of New York. In making this decision, the department shall
take into account the estimated value of the services to be rendered,
including the costs, the scope, complexity, and professional nature
thereof. The department shall not refuse to negotiate with a profes-
sional 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 reasonable-
ness of the estimated cost of services to be rendered by the profes-
sional firm, but rather the department should also consider the reason-
ableness of cost based on the total estimated cost of the service of the
professional firm which should include, among other things, all the
direct labor costs of the professional firm for such services plus all
"allowable indirect costs," other direct costs, and negotiated profit of
the professional firm. "Allowable indirect costs" of a professional firm
are defined as those costs generally 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 profes-
sional firm shall be formally terminated. The requiring state department
shall then undertake negotiations with the second most qualified profes-
sional firm. Failing accord with the second most qualified professional
firm, the department shall formally terminate negotiations. The requir-
ing state department shall then undertake negotiations with the third
most qualified professional firm. Should the requiring state department
be unable to negotiate a satisfactory contract with any of the selected
professional firms, it shall select additional professional firms in
order of their competence and qualification and it shall continue nego-
tiations 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
landscape architecture 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.