NY State Senate Bill 2021-S9362

Archive: Last Bill Status - In Senate Committee Corporations, Authorities And Commissions Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Date of Action	Assembly Actions - Lowercase Senate Actions - UPPERCASE
May 20, 2022	referred to corporations, authorities and commissions

2021-S9362 (ACTIVE) - Details

See Assembly Version of this Bill:: A10279
Current Committee:: Senate Corporations, Authorities And Commissions
Law Section:: Public Authorities Law
Laws Affected:: Amd §1678, Pub Auth L

2021-S9362 (ACTIVE) - Summary

Authorizes guidelines governing the qualifications of bidders for public work contracts.

2021-S9362 (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S9362

SPONSOR: COMRIE
 
TITLE OF BILL:

An act to amend the public authorities law, in relation to authorizing
the dormitory authority to utilize a prequalification list when seeking
to bid or enter into a contract for public work

 
PURPOSE OR GENERAL IDEA OF BILL:

Expand New York's prequalification program to include the Dormitory
Authority of the State of New York.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1 of the bill amends section 1678 of the public authorities law
authorizing DASNY to establish a prequalification program and identify-
ing the requirements for such a program, including publication require-
ments for solicitations to be on a prequalified list and an appeal and
review process.

Section 2 of the bill prpvides an immediate ef'fective date.

 
JUSTIFICATION:

Over ten years have passed since New York State authorized local govern-
ments, including New York City, to utilize a prequalification program
when procuring construction contractors for its public work capital
projects. The use of prequalification programs in New York State and
across the country creates efficiencies in the selection of construction
resources. The application of a prequalification program saves time, and
fcr DASNY, which has managed over 600 construction projects at a time,
this translates into significant savings for its clients.

Today, most public works construction contracts are awarded to the
lowest "responsible" and "responsive" bidder often taking into account:
(1) financial and organizational capacity; (2) legal authority to do
business in New York state; (3) demonstrated integrity of the contrac-
tor; (4) prior contractor performance: and (5) assessment of whether the
bidder meets the qualification requirements. Only upon first determining
that a bidder is either nonresponsive or non-responsible can a state
authority or agency consider the second lowest bidder for the award.

In cases where the lowest bidder is considered to be either non-respon-
sible or non-responsive, the public authority is faced with hard choic-
es, such as proceeding with the lowest bidder and thereby risking
project delay, cost overruns and poor workmanship, or assuming the the
risk of additional cost and delay with finding the contraCtor hon-res-
ponsible or non-responsive. Pre-qualifying bidders helps to avoid and
minimize this dilemma.

The spread of prequalification programs has been prolific over the last
twenty years and these programs are now a staple of the procurement
process for many local governments, public authorities, and agencies
throughout the nation. Prequalification is viewed by these entities as a
useful, if not essential, element to expedite the procurement process
and, ultimately, timely completion of construction projects. In many
prequalification programs, the determination of vendor responsibility is
the public owner's first order of business and that determination is
separated from and independent of the bid prices subsequently submitted
by prequalified bidders. This Method of screening, in which, the
contractor's capacity to successfully perform its work is predetermined
and ensures that all contractors submitting financial bids on the
contract are responsible.

 
PRIOR LEGISLATIVE HISTORY:

 
FISCAL IMPLICATIONS:

None.

 
EFFECTIVE DATE:
This act shall take effect immediately.

2021-S9362 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   9362
 
                             I N  S E N A T E
 
                               May 20, 2022
                                ___________
 
 Introduced  by  Sen.  COMRIE -- read twice and ordered printed, and when
   printed to be committed to the Committee on Corporations,  Authorities
   and Commissions
 
 AN  ACT  to amend the public authorities law, in relation to authorizing
   the dormitory authority to utilize a prequalification list when  seek-
   ing to bid or enter into a contract for public work

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Section 1678 of the public authorities law  is  amended  by
 adding a new subdivision 33 to read as follows:
   33.  (A)  NOTWITHSTANDING ANY LAW, RULE OR REGULATION TO THE CONTRARY,
 WHEN AWARDING A CONTRACT FOR PUBLIC WORK, THE  AUTHORITY  MAY  ESTABLISH
 GUIDELINES  GOVERNING  THE  QUALIFICATIONS  OF BIDDERS SEEKING TO BID OR
 ENTER INTO SUCH CONTRACTS. IF THE  AUTHORITY  MAINTAINS  AN  APPROPRIATE
 LIST  OF QUALIFIED BIDDERS, THE BIDDING SHALL BE RESTRICTED TO THOSE WHO
 HAVE QUALIFIED PRIOR TO THE RECEIPT OF BIDS ACCORDING TO STANDARDS FIXED
 BY THE AUTHORITY. IN DETERMINING WHETHER A PROSPECTIVE BIDDER  QUALIFIES
 FOR  INCLUSION  ON  A  LIST OF PREQUALIFIED BIDDERS, THE AUTHORITY SHALL
 CONSIDER THE EXPERIENCE AND RECORD OF  PERFORMANCE  OF  THE  PROSPECTIVE
 BIDDER  IN  THE PARTICULAR TYPE OF WORK, AS WELL AS: (I) THE PROSPECTIVE
 BIDDER'S ABILITY TO UNDERTAKE THE  PARTICULAR  TYPE  AND  COMPLEXITY  OF
 WORK;  (II)  THE FINANCIAL CAPABILITY, RESPONSIBILITY AND RELIABILITY OF
 THE PROSPECTIVE BIDDER FOR SUCH TYPE AND COMPLEXITY OF WORK;  (III)  THE
 RECORD OF THE PROSPECTIVE BIDDER IN COMPLYING WITH EXISTING LABOR STAND-
 ARDS  AND  MAINTAINING  HARMONIOUS LABOR RELATIONS; (IV) THE PROSPECTIVE
 BIDDER'S COMPLIANCE WITH EQUAL EMPLOYMENT OPPORTUNITY  REQUIREMENTS  AND
 ANTI-DISCRIMINATION  LAWS,  AND  DEMONSTRATED COMMITMENT TO WORKING WITH
 MINORITY AND WOMEN-OWNED BUSINESSES THROUGH JOINT  VENTURES  OR  SUBCON-
 TRACTOR  RELATIONSHIPS;  AND (V) THE RECORD OF THE PROSPECTIVE BIDDER IN
 PROTECTING THE HEALTH AND SAFETY OF WORKERS ON PUBLIC WORKS PROJECTS AND
 JOB SITES AS DEMONSTRATED BY THE PROSPECTIVE BIDDER'S EXPERIENCE MODIFI-
 CATION RATE FOR EACH OF THE LAST THREE YEARS.
   (B) THE AUTHORITY SHALL, NOT LESS THAN ANNUALLY, PUBLISH IN A  NEWSPA-
 PER OF GENERAL CIRCULATION OR POST IN THE NEW YORK STATE CONTRACT REPOR-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.

                                                            LBD15675-01-2
 S. 9362                             2

 TER AN ADVERTISEMENT REQUESTING PROSPECTIVE BIDDERS TO SUBMIT QUALIFICA-
 TION  STATEMENTS.  LISTS OF PREQUALIFIED BIDDERS MAY BE ESTABLISHED ON A
 PROJECT-SPECIFIC BASIS. PREQUALIFIED LISTS  SHALL  INCLUDE  ALL  BIDDERS
 THAT  QUALIFY;  PROVIDED, HOWEVER, THAT ANY SUCH LIST SHALL HAVE NO LESS
 THAN FIVE BIDDERS BUT SHALL REMAIN OPEN  FOR  ALL  ADDITIONAL  QUALIFIED
 BIDDERS.  THE  AUTHORITY'S  PROCEDURES  FOR  PREQUALIFYING BIDDERS SHALL
 INCLUDE AN APPEALS PROCESS FOR THOSE DENIED A PLACE  ON  A  PREQUALIFIED
 LIST.  ANY  DENIAL  MUST  BE  BASED UPON SUBSTANTIAL EVIDENCE, CANNOT BE
 ARBITRARY OR CAPACIOUS, AND SHALL BE SUBJECT TO JUDICIAL REVIEW PURSUANT
 TO ARTICLE SEVENTY-EIGHT OF THE CIVIL  PRACTICE  LAW  AND  RULES.    THE
 AUTHORITY MAY MOVE FORWARD ON THE CONTRACT AWARD DURING SUCH APPEALS.
   § 2. This act shall take effect immediately.

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Senate Bill S9362

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Archive: Last Bill Status - In Senate Committee Corporations, Authorities And Commissions Committee

Actions

2021-S9362 (ACTIVE) - Details

2021-S9362 (ACTIVE) - Summary

2021-S9362 (ACTIVE) - Sponsor Memo

2021-S9362 (ACTIVE) - Bill Text download pdf

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Sponsored By

Leroy Comrie

Archive: Last Bill Status - In Senate Committee Corporations, Authorities And Commissions Committee

Actions

2021-S9362 (ACTIVE) - Details

2021-S9362 (ACTIVE) - Summary

2021-S9362 (ACTIVE) - Sponsor Memo

2021-S9362 (ACTIVE) - Bill Text download pdf

Comments