Bill Text: NY A06814 | 2011-2012 | General Assembly | Amended
Bill Title: Requires public authorities and public benefit corporations to negotiate with professional firms providing architectural or engineering services in order from the most qualified to the least qualified with regard to the provision of services to the authority or corporation.
Spectrum: Slight Partisan Bill (Democrat 5-3)
Status: (Introduced - Dead) 2012-01-04 - referred to corporations, authorities and commissions [A06814 Detail]
Download: New_York-2011-A06814-Amended.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 6814--A 2011-2012 Regular Sessions I N A S S E M B L Y March 31, 2011 ___________ Introduced by M. of A. BENEDETTO, P. RIVERA -- read once and referred to the Committee on Corporations, Authorities and Commissions -- commit- tee discharged, bill amended, ordered reprinted as amended and recom- mitted to said committee AN ACT to amend the public authorities law, in relation to requiring public authorities and public benefits corporations to negotiate with professional firms providing architectural or engineering services in order from the most qualified to the least qualified with regard to the provision of services to the authority or corporation THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Subparagraph (iv) of paragraph (b) of subdivision 3 of 2 section 2879 of the public authorities law, as amended by chapter 383 of 3 the laws of 1994, is amended to read as follows: 4 (iv) as used in this subparagraph, the term "professional firm" shall 5 be defined as any individual or sole proprietorship, partnership, corpo- 6 ration, association, or other legal entity permitted by law to practice 7 the professions of architecture, engineering or surveying. 8 IT IS THE POLICY OF NEW YORK STATE TO NEGOTIATE CONTRACTS FOR ARCHI- 9 TECTURAL AND/OR ENGINEERING SERVICES AND/OR SURVEYING SERVICES ON THE 10 BASIS OF DEMONSTRATED COMPETENCE AND QUALIFICATION FOR THE TYPE OF 11 PROFESSIONAL SERVICES REQUIRED AND AT FAIR AND REASONABLE FEES. 12 IN THE PROCUREMENT OF ARCHITECTURAL, ENGINEERING AND SURVEYING 13 SERVICES, THE CORPORATION SHALL ENCOURAGE PROFESSIONAL FIRMS ENGAGED IN 14 THE LAWFUL PRACTICE OF THE PROFESSION TO SUBMIT AN ANNUAL STATEMENT OF 15 QUALIFICATIONS AND PERFORMANCE DATA. THE CORPORATION FOR EACH PROPOSED 16 PROJECT SHALL EVALUATE CURRENT STATEMENTS OF QUALIFICATIONS AND PERFORM- 17 ANCE DATA ON FILE WITH THE CORPORATION. IF DESIRED, THE CORPORATION MAY 18 CONDUCT DISCUSSIONS WITH THREE OR MORE PROFESSIONAL FIRMS REGARDING 19 ANTICIPATED DESIGN CONCEPTS AND PROPOSED METHODS OF APPROACH TO THE 20 ASSIGNMENT. THE CORPORATION SHALL SELECT, IN ORDER OF PREFERENCE, BASED EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD02927-02-1 A. 6814--A 2 1 UPON CRITERIA ESTABLISHED BY THE CORPORATION, NO LESS THAN THREE PROFES- 2 SIONAL FIRMS DEEMED TO BE THE MOST HIGHLY QUALIFIED TO PROVIDE THE 3 SERVICES REQUIRED. 4 EVERY CORPORATION SHALL NEGOTIATE A CONTRACT WITH THE HIGHEST QUALI- 5 FIED PROFESSIONAL FIRM FOR ARCHITECTURAL AND/OR ENGINEERING SERVICES 6 AND/OR SURVEYING SERVICES AT COMPENSATION WHICH THE CORPORATION DETER- 7 MINES IN WRITING TO BE FAIR AND REASONABLE TO SUCH CORPORATION. IN 8 MAKING THIS DECISION, THE CORPORATION SHALL TAKE INTO ACCOUNT THE ESTI- 9 MATED VALUE OF THE SERVICES TO BE RENDERED, INCLUDING THE COSTS, THE 10 SCOPE, COMPLEXITY AND PROFESSIONAL NATURE THEREOF. 11 The corporation shall not refuse to negotiate with a professional firm 12 solely because the ratio of the "allowable indirect costs" to direct 13 labor costs of the professional firm or the hourly labor rate in any 14 labor category of the professional firm exceeds a limitation generally 15 set by the corporation in the determination of the reasonableness of the 16 estimated cost of services to be rendered by the professional firm, but 17 rather the corporation should also consider the reasonableness of cost 18 based on the total estimated cost of the service of the professional 19 firm which should include, among other things, all the direct labor 20 costs of the professional firm for such services plus all "allowable 21 indirect costs," other direct costs, and negotiated profit of the 22 professional firm. "Allowable indirect costs" of a professional firm are 23 defined as those costs generally associated with overhead which cannot 24 be specifically identified with a single project or contract and are 25 considered reasonable and allowable under specific state contract or 26 allowability limits. SHOULD THE CORPORATION BE UNABLE TO NEGOTIATE A 27 SATISFACTORY CONTRACT WITH THE PROFESSIONAL FIRM CONSIDERED TO BE THE 28 MOST QUALIFIED, AT A FEE THE CORPORATION DETERMINES TO BE FAIR AND 29 REASONABLE TO THE CORPORATION, NEGOTIATIONS WITH THAT PROFESSIONAL FIRM 30 SHALL BE FORMALLY TERMINATED. THE CORPORATION SHALL THEN UNDERTAKE 31 NEGOTIATIONS WITH THE SECOND MOST QUALIFIED PROFESSIONAL FIRM. FAILING 32 ACCORD WITH THE SECOND MOST QUALIFIED PROFESSIONAL FIRM, THE CORPORATION 33 SHALL FORMALLY TERMINATE NEGOTIATIONS. THE CORPORATION SHALL THEN UNDER- 34 TAKE NEGOTIATIONS WITH THE THIRD MOST QUALIFIED PROFESSIONAL FIRM. 35 SHOULD THE CORPORATION BE UNABLE TO NEGOTIATE A SATISFACTORY CONTRACT 36 WITH ANY OF THE SELECTED PROFESSIONAL FIRMS, IT SHALL SELECT ADDITIONAL 37 PROFESSIONAL FIRMS IN ORDER OF THEIR COMPETENCE AND QUALIFICATIONS AND 38 IT SHALL CONTINUE NEGOTIATIONS IN ACCORDANCE WITH THIS SECTION UNTIL AN 39 AGREEMENT IS REACHED. THE PROVISIONS OF THIS SUBPARAGRAPH SHALL ONLY 40 APPLY TO ENGINEERING AND/OR ARCHITECTURAL SERVICES AND/OR SURVEYING 41 SERVICES IN EXCESS OF TWENTY-FIVE THOUSAND DOLLARS AND SHALL NOT APPLY 42 TO THE METROPOLITAN TRANSPORTATION AUTHORITY, THE NEW YORK CITY TRANSIT 43 AUTHORITY OR THE TRIBOROUGH BRIDGE AND TUNNEL AUTHORITY OR TO ANY OF 44 THEIR SUBSIDIARIES. 45 S 2. This act shall take effect immediately.