 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         8427--A
 
                               2017-2018 Regular Sessions
 
                   IN ASSEMBLY
 
                                      June 15, 2017
                                       ___________
 
        Introduced  by  M.  of  A.  MORELLE, BRAUNSTEIN, GOTTFRIED, ENGLEBRIGHT,
          BRINDISI, MOSLEY, STIRPE, SKOUFIS, ARROYO, JAFFEE, CYMBROWITZ, TITONE,
          MAYER, ROZIC, ZEBROWSKI, CUSICK, GALEF, GUNTHER, LUPARDO,  MAGNARELLI,
          OTIS,  PERRY,  SANTABARBARA,  BRONSON,  MOYA,  QUART, FARRELL, ABBATE,
          BARRETT, STECK, HOOPER, FAHY, LIFTON, KEARNS, RYAN, JOYNER,  ABINANTI,
          ROSENTHAL,  BLAKE  --  Multi-Sponsored  by -- M. of A. BARNWELL, COOK,
          GRAF, LUPINACCI, MAGEE, McDONOUGH,  MONTESANO,  RAIA,  RAMOS,  RIVERA,
          SIMON,  THIELE  --  read once and referred to the Committee on Govern-
          mental Operations -- reference changed to the Committee  on  Ways  and
          Means  --  committee  discharged,  bill  amended, ordered reprinted as
          amended and recommitted to said committee
 
        AN ACT to amend the state finance law and the public authorities law, in
          relation to enacting the "New York Buy American  Act";  and  providing
          for the repeal of such provisions upon expiration thereof
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Short title. This act shall be known and may  be  cited  as
     2  the "New York Buy American Act".
     3    § 2. Section 146 of the state finance law, as added by chapter 1014 of
     4  the laws of 1981, is amended to read as follows:
     5    §  146.  Certain  construction contracts involving steel.  1. Notwith-
     6  standing any other provisions of law, all  contracts  over  one  hundred
     7  thousand  dollars  in value made and awarded by any department or agency
     8  of the state for the construction, reconstruction,  alteration,  repair,
     9  maintenance or improvement of any public works shall require that struc-
    10  tural  steel,  reinforcing  steel  and/or  other major steel items to be
    11  incorporated in the work of the contract shall be produced  or  made  in
    12  whole  or  substantial  part  in  the  United States, its territories or
    13  possessions.
    14    2. Notwithstanding the provisions of subdivision one of this  section,
    15  all  contracts over one million dollars in value and made and awarded by
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD13106-10-7

        A. 8427--A                          2
 
     1  the department of transportation, the office of  general  services,  and
     2  the state university of New York construction fund for the construction,
     3  reconstruction,  alteration,  repair,  maintenance or improvement of any
     4  surface  roads or bridges, shall contain a provision that the structural
     5  iron and structural steel used or supplied in  the  performance  of  the
     6  contract  or  any  subcontract thereto and permanently incorporated into
     7  such surface road or bridge, shall be  produced  or  made  in  whole  or
     8  substantial  part  in the United States, its territories or possessions.
     9  In the case of a structural iron or structural steel product  all  manu-
    10  facturing must take place in the United States, from the initial melting
    11  stage  through  the  application of coatings, except metallurgical proc-
    12  esses involving the refinement of steel additives. For the  purposes  of
    13  this  section,  "permanently  incorporated"  shall mean an iron or steel
    14  product that is required to remain in place at the end  of  the  project
    15  contract,  in  a  fixed location, affixed to the public work to which it
    16  was incorporated. Iron and steel products  that  are  capable  of  being
    17  moved from one location to another are not permanently incorporated into
    18  a public work.
    19    3.  The  provisions of this section shall not apply if the head of the
    20  department or agency constructing the public works, in his or  her  sole
    21  discretion,  determines  that such provisions would not be in the public
    22  interest, would result in unreasonable costs or that such iron or steel,
    23  including without  limitation  structural  iron  and  structural  steel,
    24  cannot  be  produced  or  made  in  the  United States in sufficient and
    25  reasonably available quantities and of satisfactory quality[.], or would
    26  result in the loss or reduction  of  federal  funding  for  the  subject
    27  contract  or the ability to obtain such federal funding would be limited
    28  or jeopardized by compliance with this  section; or there is an  immedi-
    29  ate  or  emergency  need existing for the structural steel or structural
    30  iron; or the structural steel or structural iron is not manufactured  in
    31  the  United  States in sufficient and reasonably available quantities or
    32  of satisfactory quality or design to meet the department's  or  agency's
    33  requirements; or obtaining such steel or iron in the United States would
    34  increase  the  cost  of  the contract by an unreasonable amount; or such
    35  steel or iron is necessary for the operation of or repairs  of  critical
    36  infrastructure  that  is  necessary  to avoid a delay in the delivery of
    37  critical services that could compromise the public welfare; or a  recip-
    38  rocal  trade  agreement or treaty has been negotiated by the state or by
    39  the United States government on behalf of or including this state with a
    40  foreign nation or government for nondiscriminatory governmental procure-
    41  ment practices or policies with such foreign nation or government.
    42    4. Nothing in this section is  intended  to  contravene  any  existing
    43  treaties, laws, trade agreements, or regulations of the United States or
    44  subsequent  trade  agreements entered into between any foreign countries
    45  and the state or the United States.
    46    5. Any agency subject to the  provisions  of  this  section  shall  be
    47  authorized to establish rules and regulations for the effective adminis-
    48  tration of this section, provided however, nothing in this section shall
    49  be  interpreted  to  require a contractor to certify that the structural
    50  iron or structural steel used in a  road  or  bridge  pursuant  to  this
    51  section is made in whole or in substantial part in the United States.
    52    § 3. Section 2603-a of the public authorities law, as added by chapter
    53  441 of the laws of 1983, is amended to read as follows:
    54    §  2603-a.  Letting  of certain contracts involving steel products. 1.
    55  Notwithstanding any other provision of law, all public authorities shall
    56  award contracts involving steel products as follows:

        A. 8427--A                          3

     1    a. All purchase contracts for supplies, material or equipment  involv-
     2  ing  an  estimated expenditure in excess of fifty thousand dollars shall
     3  require with respect to  materials,  supplies  and  equipment  made  of,
     4  fabricated  from, or containing steel components, that such steel compo-
     5  nents  be  produced  or  made in whole or substantial part in the United
     6  States, its territories or possessions. The provisions of this paragraph
     7  shall not apply to motor vehicles and automobile equipment assembled  in
     8  Canada  in  conformity  with the United States-Canadian trade agreements
     9  known as the "Automotive Products Trade Act of 1965" or  any  amendments
    10  thereto.
    11    b.  All  contracts  in  excess of one hundred thousand dollars for the
    12  construction,  reconstruction,  alteration,   repair,   maintenance   or
    13  improvement  of  public  works  shall require that all structural steel,
    14  reinforcing steel or other major steel items to be incorporated  in  the
    15  work  of  the contract shall be produced or made in whole or substantial
    16  part in the United States, its territories or possessions.
    17    2. Notwithstanding the provisions of subdivision one of this  section,
    18  all  contracts over one million dollars in value made and awarded by the
    19  dormitory authority,  the  metropolitan  transportation  authority,  the
    20  bridge  authority  or  the  thruway authority, on its account or for the
    21  benefit of a state agency or authority,  for  the  construction,  recon-
    22  struction, alteration, repair, maintenance or improvement of any road or
    23  bridge,  shall  contain  a provision that the structural iron and struc-
    24  tural steel used or supplied in the performance of the contract  or  any
    25  subcontract  thereto  and permanently incorporated into the surface road
    26  or bridge shall be produced or made in whole or substantial part in  the
    27  United  States,  its territories or possessions. In the case of a struc-
    28  tural iron or structural steel product all manufacturing must take place
    29  in the United States, from the initial melting stage through the  appli-
    30  cation of coatings, except metallurgical processes involving the refine-
    31  ment  of  steel  additives.  For  purposes of this section, "permanently
    32  incorporated" shall mean an iron or steel product that  is  required  to
    33  remain in place at the end of the project contract, in a fixed location,
    34  affixed  to the public work to which it was incorporated. Iron and steel
    35  products that are capable of being moved from one  location  to  another
    36  are not permanently incorporated into a public building or public work.
    37    3.  The  provisions  of  this section shall not apply if the governing
    38  board or body of such public authority, in  its  discretion,  determines
    39  that  such  provisions  would  result in unreasonable costs or that such
    40  iron, steel products or steel components  including  without  limitation
    41  structural  iron  and  steel;  cannot  be produced or made in the United
    42  States in sufficient and reasonably available quantities or of satisfac-
    43  tory quality or design[.], or would result in the loss or  reduction  of
    44  federal  funding  for the subject contract or the ability to obtain such
    45  federal funding would be limited or jeopardized by compliance with  this
    46  section;  or  there  is an immediate or emergency need existing for such
    47  structural iron, structural steel products or  structural  steel  compo-
    48  nents; or such steel or iron is not manufactured in the United States in
    49  sufficient and reasonably available quantities or of satisfactory quali-
    50  ty or design to meet the authority's requirements; or obtaining for such
    51  iron,  steel  products  or  steel  components in the United States would
    52  increase the cost of the contract by an unreasonable amount; or for such
    53  iron, steel products or steel components is necessary for the  operation
    54  of  or  repairs  of critical infrastructure that is necessary to avoid a
    55  delay in the delivery of critical services  that  could  compromise  the
    56  public  welfare;  or  a  reciprocal  trade agreement or treaty has  been

        A. 8427--A                          4
 
     1  negotiated by the state or by the United States government on behalf  of
     2  or  including this state with a foreign nation or government for nondis-
     3  criminatory governmental procurement practices  or  policies  with  such
     4  foreign nation or government.
     5    4.  Nothing  in  this  section  is intended to contravene any existing
     6  treaties, laws, trade agreements, or regulations of the United States or
     7  subsequent trade agreements entered into between any  foreign  countries
     8  and the state or the United States.
     9    5.  Any  authority  subject to the provisions of this section shall be
    10  authorized to establish rules and regulations for the effective adminis-
    11  tration of this section, provided however, nothing in this section shall
    12  be interpreted to require a contractor to certify that the iron or steel
    13  used in a road or bridge pursuant to this section is made in whole or in
    14  substantial part in the United States.
    15    § 4. A workgroup shall be convened to evaluate reciprocal trade access
    16  for any foreign state that may be significantly impacted by  the  imple-
    17  mentation of this act to the detriment of New York state, the provisions
    18  of  any  formal  trade  agreements established by the governments of the
    19  United States and such foreign state, the expansion of  the  application
    20  of this act to include other products manufactured in the United States,
    21  which shall include but not be limited to concrete, cement and aluminum,
    22  the certification processes for these products, and the fiscal impact of
    23  such  implementation and expansion of this act.  Additionally, the work-
    24  group shall report on the impact of this act on the capital plans of the
    25  department of transportation, the metropolitan transportation authority,
    26  and the thruway authority, including but not limited to  any  amendments
    27  to  such  capital plans necessary as a result of this act, any change in
    28  cost of projects as a result of this act, and any cost savings discerni-
    29  ble due to quality improvements or maintenance reductions due to materi-
    30  als used as a result of this act.  The members of  the  workgroup  shall
    31  consist   of  seven  representatives  appointed  by  the  governor,  two
    32  appointed by the temporary president of the senate, two appointed by the
    33  speaker of the assembly, one appointed by the  minority  leader  of  the
    34  senate,  and  one  appointed by the minority leader of the assembly. The
    35  workgroup shall be chaired by a designee of the governor. The chair  may
    36  appoint other state agencies or public authorities which may prove bene-
    37  ficial  to  the  workgroup as ad hoc members. The chair may also appoint
    38  individuals and representatives of organizations other than state  agen-
    39  cies  and  public  authorities to an advisory committee to advise on any
    40  aspect of its functions and  duties.  The  workgroup  shall  provide  an
    41  interim  report  on their findings to the governor, the temporary presi-
    42  dent of the senate and the speaker of the assembly on or before  January
    43  1, 2019 and a final report on January 1, 2020.
    44    §  5.  This act shall take effect April 1, 2018 and shall apply to any
    45  state contracts executed and entered into on  or  after  such  date  and
    46  shall  exclude  such contracts that have been previously awarded or have
    47  pending bids or pending requests for proposals issued  as  of  April  1,
    48  2018, and shall not apply to projects that have commenced project design
    49  and  environmental  studies  prior to such date; provided, however, that
    50  this act shall expire and be deemed repealed April 15, 2020.
Enacts the "New York Buy American Act"

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