What's happening
This bill prohibits businesses with state contracts from making political contributions during the contract period and up to one year after.
Why it matters
Targets "pay-to-play" concerns. by restricting companies with state contracts from influencing politicians or parties through donations, aiming to prevent the appearance or reality of quid pro quo arrangements.
Casts a wide net. by covering corporations, LLCs, partnerships, and all other business entities, not just major corporations—potentially affecting a large number of vendors and service providers who do business with the state.
Imposes significant penalties for violations,. allowing the state to cancel or terminate contracts without penalty if a business makes a prohibited contribution, which could deter businesses from even borderline political activity during the restriction period.
Extends the restriction beyond the contract period. (for a full year after completion or termination), which could limit businesses’ political engagement for longer than just the active contract timeframe and may impact their broader participation in civic and political life.
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Headline styles
Ban Contractor Political Donations
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to finance
- Referred to finance
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
3074
2019-2020 Regular Sessions
IN SENATE
February 1, 2019
Introduced by Sen. ADDABBO -- read twice and ordered printed, and when printed to be committed to the Committee on Finance
AN ACT to amend the state finance law, in relation to prohibiting political contributions by businesses that have been awarded state contracts
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The state finance law is amended by adding a new section 148 to read as follows:
§ 148. Political contributions prohibited. Any corporation, limited liability company, partnership, limited partnership, or any other business entity that has been awarded a contract or renewal of a contract by the state, or any department, agency or official thereof shall be prohibited from making any political expenditure, either directly or indirectly, in support of any association organized or maintained for political purposes, or for or in aid of any candidate for political office or for the nomination for such office, or for any political purpose whatsoever, or for the reimbursement or indemnification of any person for moneys or property so used. The prohibition set forth in this section shall be effective for the period beginning on the date such contract is awarded or renewed to such business entity until one year following the date such contract is completed, cancelled or terminated. Upon any violation of this section by such business entity, such awarded or renewed contract may be cancelled or terminated by the state, or any such department, agency or official thereof without the occurrence of any penalty or damages, provided that any monies owing by the state for goods delivered or work done prior to such cancellation or termination shall be paid.
§ 2. This act shall take effect on the thirtieth day after it shall have become a law and shall apply to contracts awarded or renewed on or after such date.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06785-01-9
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the state finance law, in relation to prohibiting poli- tical contributions by businesses that have been awarded state contracts
Purpose
The purpose of this bill is to ensure that business entities receiving or renewing state contracts cannot directly or indirectly make expendi- tures for political purposes, which could influence their ability to receive such a contract or renewal, and would in effect involve the use of public funds to buy such influence.
Summary of provisions
Section 1: Adds a new state finance law 148, which prohibits state contractors from making direct and indirect political expenditures in support of or in opposition to any political organization or candidate.
Section 2: Provides that the Act shall take effect on the thirtieth day after it becomes law, and will apply to contracts awarded or renewed on or after that date.
Justification
This bill is a response to the decision of the U.S. Supreme Court in Citizens United v. Federal Election Commission, which effectively elimi- nated restrictions on corporations' ability to spend corporate treasury funds in support of or in opposition to political candidates, political parties and ballot issues. This decision opens the flood gates for corporations to use their considerable wealth to spend as much as they want on independent political advertising in support of or in opposition to candidates for political office, ballot issues and political organ- izations. This could have a seriously distorting and corrupting effect on the election of our representatives and the awarding of government contracts, since the ability to make such expenditures could be used to threaten those with the authority to award government contracts, as well as politicians with the power to influence those who award them.
Legislative history
2017: S. 3068 - Referred to Senate Finance Committee. 2018: S. 3068 - Referred to Senate Finance Committee.
Fiscal implications
None to the state.
Effective date
This bill is effective on the thirtieth day after becoming law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.