STATE OF NEW YORK
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9386
IN SENATE
March 6, 2026
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Introduced by Sen. PALUMBO -- read twice and ordered printed, and when
printed to be committed to the Committee on Procurement and Contracts
AN ACT to amend the state finance law, in relation to requiring audits
by the comptroller in the event of arrest or conviction of contractors
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The state finance law is amended by adding a new section
2 149 to read as follows:
3 § 149. Audits upon conviction or determination. 1. For the purposes of
4 this section, the term "contractor" shall include any person, firm,
5 partnership or corporation which:
6 (a) is a subcontractor of the contractor;
7 (b) has subcontracted portions of a project to the contractor; or
8 (c) is substantially owned, substantially owns, or is substantially
9 affiliated with the contractor.
10 2. The state comptroller shall, upon conviction or any determination
11 against a contractor for violations of section four hundred three of the
12 insurance law, article one hundred fifty-five of the penal law in
13 relation to wage theft, article one hundred seventy-six of the penal
14 law, section one hundred fourteen of the workers' compensation law, or
15 subdivision four of section one hundred ninety-five or section one
16 hundred ninety-eight-a or two hundred twenty of the labor law, conduct
17 an audit of all existing public works projects commenced by such
18 contractor that have received state funds.
19 § 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD14580-02-6
