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Sponsors
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History
- Referred to health
- Referred to rules
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Relates to the modification of competitively bid contracts
In Assembly Committee · Health · Sponsor Walter T. Mosley
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
BILL NUMBER:S5884
Title of bill
An act to amend the social services law, in relation to the modification of competitively bid contracts
Purpose or general idea of bill
This bill will provide greater transparency with respect to Medicaid contracts by requiring state contracts to be rebid if there is an amendment or modification.
Summary of specific provisions
Section 1 amends Subdivision 9 of section 365-1 of the social security law to require that the Medicaid review contract entered into by the commissioner of health may not be amended or modified without the need for a competitive bid or request for proposal.
Section 2 provides that the bill will take effect immediately.
Justification
In 2013, the enacted budget included a provision which eliminated transparent bidding by allowing DOH to amend or modify an existing contract without releasing a new competitive bid or a request for proposal. The 2014 enacted budget continued and expanded this authorization. During the course of the 2014 budget negotiations, it became apparent that the budget provisions were drafted in relation a specific vendor. This supposition was substantiated in the 30-day amendments which specifically identified one contract by number - the only contract subject to this favored treatment.The enacted 2014 budget did not include the contract-specific reference but nonetheless allows the DOH to expand the services of this contract and add other services that are only peripherally related to the specified contract.
In addition to skirting the State's mandated competitive bidding process, it appears that the current language constitutes an infringement of the gift and loan clause of the New York Constitution and could be successfully challenged in the courts if pursued in that manner.
The bill would reinstate the competitive bidding process that had previously and fairly governed the allocation of such contracts.
Prior legislative history
New Bill
Fiscal implications
None to the State.
Effective date
Immediately
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.