Senate Bill S9594A

                                 
BILL NUMBER: S9594

SPONSOR: MARTINEZ
 
TITLE OF BILL:

An act to amend the veterans' services law, in relation to a statewide
goal for participation on state contracts by service-disabled veteran-
owned business enterprises

 
PURPOSE:

To increase the state's service-disabled veteran-owned business enter-
prises procurement goal to twenty percent.

 
SUMMARY OF PROVISIONS:

Section 1. Increases the state's service-disabled veteran-owned business
enterprises procurement goal from six percent to twenty percent.

 
JUSTIFICATION:

              

New York State is home to more than 600,000 veterans, one of the largest
veteran populations in the United States. Thus, New York State estab-
lished the Service-Disabled Veteran Owned Business Enterprise in 2014 to
recognize the sacrifices made by veterans who returned from the military
with disabilities, and to provide them with equitable economic opportu-
nity. While the program signaled a meaningful step forward, the current
six percent procurement goal has remained for over a decade and no long-
er reflects the level of opportunity that should be given to our veter-
ans. Despite the creation of the program, actual utilization remains
below four percent. As a result, service-disabled veterans are signif-
icantly underrepresented in state contracting opportunities. Many
service-disabled veterans face barriers when transitioning into civilian
careers, including difficulty accessing capital, and competing for large
scale procurement contracts.

This legislation raises the statewide Service-Disabled Veteran Owned
Business procurement goal from six percent to twenty percent. A twenty
percent goal creates incentive for state agencies to expand outreach to
service-disabled veteran owned businesses, and ensure that these entre-
preneurs are given a fair opportunity to compete for state contracts.
New York has already demonstrated that stronger participation goals can
successfully expand access to state contracting through other supplier
diversity programs. New York State's Minority and Women Owned Business
Enterprise currently maintains a thirty percent participation goal.

By raising the Service-Disabled Veteran Owned Business procurement goal
to twenty percent, this legislation will expand economic opportunities
for our service-disabled veteran entrepreneurs, strengthen small busi-
nesses across the state, and promote economic growth across communities.
Veteran owned businesses frequently employ fellow veterans and reinvest
in their communities, creating long-term economic benefits throughout
New York. This legislation recognizes the sacrifices made by service-
disabled veterans and ensures they receive a fair and meaningful share
of the economic opportunities in the State of New York.

 
FISCAL IMPLICATIONS:

To be determined.
 
EFFECTIVE DATE:
This act shall take effect immediately