Grants a preference to New York state businesses in the state contract award process where the New York state business' bid is within five percent of the winning bid.
Summary
This bill would amend the state finance law to give a bidding preference in state procurement to companies that are headquartered in New York and have their primary business presence in the state. The preference applies when a qualifying New York business submits a bid for commodities or services that is within five percent of the lowest winning bid. To qualify as having a primary business presence in New York, a company must derive more than half of its gross revenues from business activity in New York and employ more than half of its full-time equivalent workforce in the state.
If more than one bid receives preferred status, the bill directs that the best preferred-status bid be treated as the winning bid. The measure would take effect one year after becoming law, giving agencies and vendors time to adjust procurement practices.
Impact
The bill would change state procurement rules by adding a statutory preference for certain in-state businesses in contract awards. It would affect the state finance law, specifically the section governing bid evaluation and award decisions, and could shift some state contracts toward New York-based firms even when they are not the lowest bidder, so long as their bids are close enough to the winning bid and they meet the headquarters, revenue, and employment thresholds.
Sentiment
No committee transcript or vote record is available, so there is no documented debate or recorded sentiment in the provided materials. Based on the bill text alone, the measure appears designed to support New York businesses and in-state employment, which suggests a pro-local-business policy rationale, but the legislative record provided does not show whether that view was broadly shared or opposed.
Contention
The main potential point of contention is whether giving a preference to New York businesses in state contracting could reduce competition or increase costs for the state, since a qualifying bid up to five percent higher than the lowest bid could still be favored. Supporters would likely emphasize economic development, retention of jobs, and keeping state procurement dollars in New York, while critics may argue that the rule could disadvantage out-of-state vendors and limit the state’s ability to secure the lowest-cost contracts. No specific objections or supporters are identified in the provided record.
Same As
Grants a preference to New York state businesses in the state contract award process where the New York state business' bid is within five percent of the winning bid.
Grants a preference to New York state businesses in the state contract award process where the New York state business' bid is within five percent of the winning bid.
Grants a preference to New York state businesses in the state contract award process where the New York state business' bid is within five percent of the winning bid.
Authorizes the empire state development corporation to develop a public awareness campaign promoting businesses located in New York state with an emphasis on small businesses and the need to shop in downtown local areas; requires the creation of the Buy New York Online Networking Directory to connect purchasers with businesses located in New York.
Establishes state procurement goals for New York state products throughout state agencies and private entities performing state contracts; provides that every year after enactment, a certain percentage of products purchased by state agencies will be New York state products, with such percentage threshold increasing each year up until five years.