Bill Text: NY A00081 | 2023-2024 | General Assembly | Introduced


Bill Title: Provides that a state agency shall require a person that submits a bid or offer in response to a notice of procurement, or that proposes to renew an existing procurement contract with a state agency or proposes to assume the responsibility of a contractor pursuant to a procurement contract with a state agency or otherwise proposes to enter into a contract with a state agency with respect to a contract for commodities, services, construction, or contracts entered pursuant to section eight of the public buildings law or section thirty-eight of the highway law, to certify, at the time the bid is submitted or the contract is renewed or assigned, that the person or the assignee is not identified on a list that such person is doing business with or in the Russian federation and shall not be deemed a responsive bidder or offeror.

Spectrum: Bipartisan Bill

Status: (Introduced) 2023-03-31 - enacting clause stricken [A00081 Detail]

Download: New_York-2023-A00081-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                           81

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                       (Prefiled)

                                     January 4, 2023
                                       ___________

        Introduced  by  M.  of  A.  SAYEGH,  PAULIN, THIELE, DeSTEFANO, MIKULIN,
          PALMESANO -- read once and referred to the Committee  on  Governmental
          Operations

        AN ACT to amend the state finance law, in relation to enacting the "stop
          Russian aggression act"

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Short title. This act shall be known and may  be  cited  as
     2  the "stop Russian aggression act".
     3    § 2. The state finance law is amended by adding a new section 165-b to
     4  read as follows:
     5    §  165-b.  Purchasing  restrictions; persons doing business with or in
     6  the Russian federation.  1. As used in this section, the following terms
     7  shall have the following meanings:
     8    (a) "Person" means:
     9    (i) A natural person, corporation, company, limited liability company,
    10  business, business association,  partnership,  society,  trust,  or  any
    11  other nongovernmental entity, organization, or group.
    12    (ii)  Any  successor, subunit, parent entity, or subsidiary of, or any
    13  entity under common ownership or control with, any entity  described  in
    14  subparagraph (i) of this paragraph.
    15    (b)  "Doing business with or in the Russian federation" means engaging
    16  in any activity or transaction for the purpose of financial or pecuniary
    17  gain or profit with the Russian federation or persons based in  or  with
    18  locations  in the Russian federation or in territories controlled by the
    19  Russian federation.
    20    2. (a) A person that is identified on a list created pursuant to para-
    21  graph (b) of this subdivision as a person that is doing business with or
    22  in the Russian federation  as  described  in  subdivision  one  of  this

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD01785-01-3

        A. 81                               2

     1  section,  shall not be deemed a responsive bidder or offeror pursuant to
     2  section one hundred sixty-three of this article.
     3    (b)  (i)  Not  later  than one hundred twenty days after the effective
     4  date of this section, the commissioner  shall  develop  or  contract  to
     5  develop,  using  credible information available to the public, including
     6  but not limited to information  provided  by  non-profit  organizations,
     7  research  firms,  international organizations and government entities, a
     8  list of persons it determines is doing business with or in  the  Russian
     9  federation  as  described  in  subdivision  one  of this section. If the
    10  commissioner has contracted to develop  the  list,  the  list  shall  be
    11  finally  developed  not  later  than  one  hundred twenty days after the
    12  effective date of this section. Such  list,  when  completed,  shall  be
    13  posted  on the website of the office of general services. A statement by
    14  a person or representative of a person with apparent authority  to  make
    15  such  a  statement,  that  it  is  doing business with or in the Russian
    16  federation, shall be considered as evidence  that  a  company  is  doing
    17  business  with  or  in  the  Russian  federation.   The commissioner may
    18  exclude from the list persons who engage in activities  or  transactions
    19  of nominal or negligible value.
    20    (ii)  The  commissioner shall update the list every one hundred eighty
    21  days.
    22    (iii) Before finalizing an initial list pursuant to  subparagraph  (i)
    23  of  this  paragraph  or an updated list pursuant to subparagraph (ii) of
    24  this paragraph, the commissioner shall do all of the following:
    25    (1) Provide ninety days' written notice of the  commissioner's  intent
    26  to  include  the  person on the list. The notice shall inform the person
    27  that inclusion on the list would make the person a non-responsive bidder
    28  or  offeror.  The  notice  shall  specify  the  business  activities  as
    29  described  in  subdivision  one  of  this section, and provide that such
    30  person may apply to the commissioner, or  to  a  supreme  court,  to  be
    31  removed  from  such list pursuant to the requirements of this paragraph,
    32  if it ceases such activities;
    33    (2) In the event a person included by the commissioner on the list  to
    34  be  developed  and  published  in accordance with this paragraph, demon-
    35  strates to the commissioner or to a supreme court that  such  person  is
    36  not  engaged in such business activities as described in subdivision one
    37  of this section, or has ceased such business activities, the commission-
    38  er shall remove such person from the list  developed  and  published  in
    39  accordance with this paragraph; and
    40    (3) The commissioner shall make a good faith effort to avoid including
    41  a  person  on  the list who is not doing business with or in the Russian
    42  federation.
    43    (c) Notwithstanding paragraphs (a) and  (b)  of  this  subdivision,  a
    44  state  agency  may permit a person doing business with or in the Russian
    45  federation as described by subdivision one of this section to be  deemed
    46  a  responsive  bidder  or  offeror, on a case-by-case basis with a state
    47  agency if:
    48    (i) The business activities were made before  the  effective  date  of
    49  this  section,  such  activities have not been expanded or renewed after
    50  the effective date of this section, and the person has  adopted,  publi-
    51  cized,  and  is  implementing  a  plan  to  cease such activities and to
    52  refrain from engaging in any new business activities; or
    53    (ii) The state agency makes a determination that  the  commodities  or
    54  services are necessary for the state agency to perform its functions and
    55  that,  absent  such  an  exemption,  the state agency would be unable to

        A. 81                               3

     1  obtain the commodities or services for which the  contract  is  offered.
     2  Such determination shall be entered into the procurement record.
     3    3.  (a)  A  state  agency shall require a person that submits a bid or
     4  offer in response to a notice of procurement, or that proposes to  renew
     5  an  existing  procurement  contract  with  a state agency or proposes to
     6  assume the responsibility of a  contractor  pursuant  to  a  procurement
     7  contract  with  a  state  agency  or  otherwise proposes to enter into a
     8  contract with a state agency with respect to a contract for commodities,
     9  services, construction, or contracts entered pursuant to  section  eight
    10  of  the public buildings law or section thirty-eight of the highway law,
    11  to certify, at the time the bid is submitted or the contract is  renewed
    12  or assigned, that the person or the assignee is not identified on a list
    13  created  pursuant to paragraph (b) of subdivision two of this section. A
    14  state agency shall include certification information in the  procurement
    15  record.
    16    (b)  A  person  that submits a bid or offer in response to a notice of
    17  procurement or that proposes to renew an existing  procurement  contract
    18  with  a  state  agency  or  proposes  to  assume the responsibility of a
    19  contractor pursuant to a procurement contract with a  state  agency,  or
    20  otherwise  proposes  to  enter  into a contract with a state agency with
    21  respect to  a  contract  for  commodities,  services,  construction,  or
    22  contracts  entered pursuant to section eight of the public buildings law
    23  or section thirty-eight of the highway law shall  not  utilize,  on  the
    24  contract  with the state agency, any subcontractor that is identified on
    25  a list created pursuant to paragraph (b)  of  subdivision  two  of  this
    26  section.
    27    4.  Upon  receiving information that a person who has made the certif-
    28  ication required by subdivision three of this section  is  in  violation
    29  thereof,  the  state  agency shall review such information and offer the
    30  person an opportunity to respond. If the  person  fails  to  demonstrate
    31  that  it  has  ceased  its business activities which are in violation of
    32  this act within ninety days after the determination of  such  violation,
    33  then  the  state agency shall take such action as may be appropriate and
    34  provided for by law, rule or contract, including, but  not  limited  to,
    35  imposing  sanctions, seeking compliance, recovering damages or declaring
    36  the contractor in default.
    37    5. The commissioner shall report to the governor, the comptroller, the
    38  temporary president of the senate and the speaker of the assembly  annu-
    39  ally  on  or before October first, on the status of this section and any
    40  rules or regulations adopted thereunder.
    41    § 3. This act shall take effect immediately.
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