Establishes state agency goal submission procedure ensuring that certified minority-owned and woman-owned business enterprises are given meaningful participation

22 Co-sponsors

• N. Nick Perry
• Barbara Clark
• Timothy P. Gordon
• Annette Robinson
• Ellen C. Jaffee
• Keith L.T. Wright
• Vanessa Gibson
• Aileen Gunther
• Nelson Castro
• Sandy Galef
• Mark J.F. Schroeder
• Inez Barron
• Francine DelMonte
• Michael Benjamin
• William Boyland
• Ginny Fields
• Mike Spano
• Adriano Espaillat
• William Scarborough
• Michele Titus
• Naomi Rivera
• Joan Millman

13 Multi-sponsors

• Joan Christensen
• RoAnn Destito
• Deborah Glick
• Richard Gottfried
• Carl Heastie
• Janele Hyer-Spencer
• Rhoda Jacobs
• Susan John
• Margaret Markey
• Crystal Peoples-Stokes
• Audrey Pheffer
• Robert Reilly
• Michelle Schimel

BILL NUMBER:A4810A

Title of bill

An act to amend the economic development law, the executive law, the state finance law, and the public authorities law, in relation to funding certain mandates set forth in the economic development law, strengthening certain provisions of the executive law as it relates to increasing procurement opportunities for minority and women-owned business enterprises, and strengthening reporting and compliance by state agencies and contracts within article 15-A of the executive law

Purpose or general idea of bill

This bill, would establish a procedure requiring state agencies and authorities subject to Article 15-A of the Executive Law to submit a goal plan and to establish compliance reporting of such goals in order to facilitate the participation of minority-owned and women-owned businesses on state contracts.

Summary of specific provisions

Section 1 would amend Section 310 of the Executive Law by adding a new subdivision 16 to define "goal" to mean the aim that state agencies must meet to ensure meaningful participation of minority-owned and women-owned business enterprises in employment and in the performance of state contracts.

Section 2 would add new Sections 315-a and 315-b to the Executive Law establishing a state agency goal submission procedure, including a provision which would require a state agency or authority to provide a written justification for failing to set a minimum goal of 5% or for submitting a goal lower than the, prior years. Section 315-a would establish a mechanism for compliance reporting which would include an immediate investigation and public hearings to review agencies found to be out of compliance for eight consecutive quarters.

Effects of present law which this bill would alter

This bill would provide the Division of Minority and Women Owned Business Enterprises a stronger method to ensure state agency compliance with the provisions of Article 15-A of the Executive Law.

Justification

In July 1988, Article 15-A of the Executive Law created the Governor's Office of Minority and Women's Business Enterprise (MWBE) Development. The office was created to facilitate the ability of MWBEs to secure state contracts and increase general employment and business opportunities for MWBEs. In 1992, Article 4-A of the Economic Development Law merged this office with the Department of Economic Development (Empire State Development Corporation - ESDC) and renamed it the Division of Minority and Women's Business Development.

While there have been advances made in ensuring meaningful participation by minority-owned and women-owned businesses on state contracts, the procedure by which the Division has reviewed, approved and verified goal compliance appears to be haphazard and arbitrary. This legislation provides a necessary statutory mechanism for both goal submission and compliance with clear guidelines to facilitate participation, including public hearings.

Prior legislative history

A.11690 (2002), A.805 (2003-04), A.3471 (2005-06). A1311A (2007-08).

Fiscal implications for state and local governments

None.

Effective date

Immediately.