Extends the effectiveness of value limitations on contracts for public buildings

Summary of provisions

Section 1 of the bill would amend Chapter 674 of the laws of 1993, as amended by Chapter 116 of the laws of 1995, Chapter 195 of the laws of 1997, Chapter 117 of the laws of 1999, Chapter 73 of the laws of 2001, Chapter 94 of the laws of 2003, Chapter 56 of the laws of 2005, Chapter 84 of the laws of 2007, and Chapter 163 of the Laws of 2009, to provide for a two-year extension through June 30, 2013 authorizing the State to enter into certain emergency construction contracts without formal competitive bidding.

Section 2 of the bill would provide that the bill be effective immediately, and be deemed to have been in full force and effect on and after April 1, 2011.

Existing law

Since 1993, Public Buildings Law § 9 has authorized the Commissioner of General Services to let contracts in value not exceeding $200,000 (increased to $300,000 in 2007) to respond to construction emergencies involving a pressing necessity for immediate repair, reconstruction or maintenance to protect persons or property and to permit safe continuation of a public use or function.

Legislative history

Public Buildings Law § 9, enacted in 1983, authorized the Commissioner of General Services to address construction emergencies without strict compliance with formal competitive bidding requirements subject to a value limitation of $40,000. In 1993, section 9 was amended to increase the value limitation from $40,000 to $200,000 subject to a two-year sunset provision, which extension has been enacted every two years since 1993. In 2007, the authority was again extended and the valuation increased from $200,000 to $300,000.

Statement in support

The emergency contracting authority added in 1993 was intended to enable immediate attention to a large variety of building and facility damages inflicted by fire, explosion or other casualty,

equipment failure and like exigencies and breakdowns which occur on State properties. Such construction emergencies frequently create a direct threat to the health, safety and lives of State employees, institutional clients and members of the public. Absent authorization of expeditious contracting for repair and remedial work, disrupting malfunctions would remain unaddressed for weeks pending the statutorily mandated formal contracting processes for State construction work. Under the current system, the State is able to immediately act to meet emergencies. Such contracts may be let without formal competitive bidding but are mandated to be based on the solicitation of at least three oral competitive bids and must be approved by the Attorney General and the State Comptroller.

The adoption of this amendment will permit both the adherence to the full, formal construction contracting method to the maximum practicable extent and the reduction of the State's losses from emergencies which demand use of expedited emergency contracting.

Budget implications

Extension of the sunset provision on the value limitation for necessary emergency construction contracting will preclude potentially large losses in additional repair and restoration costs for damaged State facilities. It will also lessen the effect of discontinuance of state programs in emergencies, and will limit further injuries, casualties and malfunctions and consequent claims against the State. There is no fiscal support needed to implement the provisions of this bill.

Effective date

This act shall take effect immediately, with provisions.