BILL NUMBER: S1757
SPONSOR: SANDERS
TITLE OF BILL:
An act to amend the executive law, in relation to requiring contracting
agencies to contact minority and women-owned business enterprises when
such enterprise is listed on a utilization plan and when a contract is
awarded
PURPOSE OR GENERAL IDEA OF BILL:
This bill would requires contractors to submit a utilization plan at the
time it submits a bid and specifies timeframes when work assignment and
payments to MWBES must be received and made, respectively.
SUMMARY OF PROVISIONS:
This legislation seeks to prevent contractors from circumventing Article
15-A to the detriment of MWBEs. This bill strengthens Article 15-A by
requiring:
1) Contractors to submit a utilization plan at the time it submits a bid
in response to a Request For Proposal (RFP)from an agency or authority;
2) Agencies or authorities to contact and inform the MBE and WBE that
they were identified on the utilization plan;
3) Contractors to provide MBEs and WBEs with a work assignment and
execute a subcontract agreement within 45 days of being awarded the
contract from the agency or authority. A contractor's failure to comply
with this provision will result in the agency awarding the contract to
the next lowest bidder or bidder;
4) Contractors to make a payment to the MBE or WBE within 20 days of
receiving payment from the agency or authority. Should a MBE or WBE
notifies the agency that it has not received payment from the prime
contractor, the contracting agency will notify contractor to make
payment to MBE or WBE with 10 days. A contractor's failure to comply
with this provision will result in the agency awarding the contract to
the next lowest bidder or bidder;
5) This bill self-certify goal.clarifies that a prime contractor who is
certified MBE can as a MBE and perform under the contract to meet its
MBE
6) This bill self-certifyclarifies that a prime contractor who is certi-
fied WBE can as a WBE and perform under the contract to meet its WEE
goal only, but must utilize a MBE to satisfy the MBE goal of the
contract because a WBE can never satisfy or meet the MBE goal of a
contract.
7) This bill clarifies that a prime contractor who is dually certified
as a MBE or WBE can self-certify as both a MBE and WBE and, perform
under the contract to meet its both goals.
8) Section 2 makes it clear that this bill applies to all contracts that
an agency issues a Request for Proposal that can otherwise be awarded
through the agency's discretionary contract award process, even if the
agency does not have such a process.
JUSTIFICATION:
Due to certain loop holes in Article 15-A, contractors are not required
to submit a utilization plan until after it is awarded a contract or
submits a utilization plan without contacting the MBE or WBE but uses
their information to be considered and/or awarded contracts.This bill
also specifies the timeframes for a contractor to execute a subcontract
agreement; provide work assignments; and make payments to MBEs and WBEs
post contract award. Failure for contractors to comply with these
provisions will result in the agency or authority re-awarding contract
to next lowest bidders or bidders.
This bill also makes clear that a certified WBE can never be used to
satisfy the MBE goal of a contract, and agencies cannot issue waivers on
such ground. Further, a prime contractor can meet the MBE and WBE goals
of a contract if it is a certified MBE or WBE or both.
PRIOR LEGISLATIVE HISTORY:
2021-22 REFERRED TO SENATE PROCUREMENT AND CONTRACTS
2021-22 referred to assembly governmental operations
2020 REFERRED TO SENATE RULES
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
None
EFFECTIVE DATE:
This act shall take effect immediately.