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A09036 Summary:

BILL NOA09036
 
SAME ASSAME AS S06378-A
 
SPONSORWeinstein
 
COSPNSRLavine, Simanowitz, Cymbrowitz, Mosley, Rivera, Braunstein, Cook, Paulin, Weprin, Hevesi, Colton
 
MLTSPNSRAbbate, Crouch, Curran, Englebright, Hikind, McDonough, Murray, Thiele
 
Add 165-b, St Fin L; add 423-d, R & SS L
 
Relates to purchasing restrictions and persons boycotting American allies.
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A09036 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          9036
 
                   IN ASSEMBLY
 
                                    January 19, 2016
                                       ___________
 
        Introduced  by  M.  of  A.  WEINSTEIN  --  read once and referred to the
          Committee on Governmental Operations
 
        AN ACT to amend the state finance law  and  the  retirement  and  social
          security law, in relation to purchasing restrictions
 
          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  165-b to read as follows:
     3    §  165-b. Purchasing restrictions; persons boycotting certain American
     4  allies. 1. As used in this  section,  the  following  definitions  shall
     5  apply:
     6    (a) "Allied nation" shall mean:
     7    (i)  any  country that is a member of the North Atlantic Treaty Organ-
     8  ization;
     9    (ii) any country that is a signatory of the Southeast Asia  Treaty  of
    10  1954;
    11    (iii)  any  country,  other than Venezuela, that is a signatory of the
    12  Rio Treaty of 1947;
    13    (iv) Ireland;
    14    (v) Israel;
    15    (vi) Japan; and/or
    16    (vii) the Republic of Korea.
    17    (b) "Boycott" shall mean to engage in any activity, or to  promote  or
    18  encourage  others  to  engage  in  any activity, that will result in any
    19  person abstaining from commercial, social or political  relations,  with
    20  any allied nation, or companies based in an allied nation or in territo-
    21  ries  controlled  by  an  allied  nation,  with  the intent to penalize,
    22  inflict, or cause harm to, or otherwise promote or cast disrepute  upon,
    23  such allied nation, its people or its commercial products.
    24    (c)  "Person"  shall  mean  any  natural  person, corporation, limited
    25  liability company, unincorporated association or  any  other  nongovern-
    26  mental  entity,  organization,  or  group,  or  any  successor, subunit,
    27  parent, or subsidiary of the same.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD13566-05-6

        A. 9036                             2
 
     1    2. (a) Any person that is identified on a  list  created  pursuant  to
     2  paragraph  (b) of this subdivision as a person that boycotts, as defined
     3  in paragraph (b) of subdivision one of this section, any allied  nation,
     4  as  defined  in  paragraph (a) of subdivision one of this section, shall
     5  not  be  deemed  a responsive bidder or offerer, pursuant to section one
     6  hundred sixty-three of this article.
     7    (b) Not later than ninety  days  after  the  effective  date  of  this
     8  section,  and  then  annually thereafter, the commissioner shall develop
     9  and publish, using credible information available to the public, a  list
    10  of  persons  determined  by  the  commissioner, that have engaged in the
    11  boycotting of any allied nation. The commissioner shall not include  any
    12  person  on  the  list  required  to be so developed and published if the
    13  commissioner determines that  such  person  engaging  in  boycotting  an
    14  allied  nation,  engaged  in  such  boycotting in order to comply with a
    15  provision of law of an allied nation in which  such  person  resides  or
    16  conducts  business operations.  Such list, when developed and published,
    17  shall be posted on the website of the office of general services.
    18    (c) In the event a person included by the commissioner on the list  to
    19  be  developed  and  published  in  accordance with paragraph (b) of this
    20  subdivision, demonstrates to  the  commissioner  that  such  person  has
    21  permanently  ceased  their boycotting of any allied nation, or obtains a
    22  court order from a supreme court that such person shall be removed  from
    23  such  list  due to the court's determination that such person has perma-
    24  nently ceased their boycotting of any allied nation,  then  the  commis-
    25  sioner  shall  remove  such  person  from  such  list  so  developed and
    26  published in accordance with paragraph (b) of this subdivision.
    27    (d) Prior to  the  final  development  and  publication  of  the  list
    28  required  to  be produced pursuant to paragraph (b) of this subdivision,
    29  the commissioner shall provide written  notice  of  all  persons  to  be
    30  included  on  the  list, of the commissioner's intent to so include such
    31  person on such list, together with written notice informing such  person
    32  that  inclusion  on  such  list  would make such person a non-responsive
    33  bidder or offerer, and that such person may apply to  the  commissioner,
    34  or  to  a  supreme  court,  to be removed from such list pursuant to the
    35  requirements of paragraph (c) of this subdivision.
    36    (e) Notwithstanding paragraph (a) of this subdivision, a state  agency
    37  may  permit a person promoting or otherwise taking action to boycott any
    38  allied nation to be deemed a responsive bidder or offerer, on a case-by-
    39  case basis with a state agency if:
    40    (i) the promotion or other boycott action occurred prior to the effec-
    41  tive date of this section, such activities have  not  been  expanded  or
    42  renewed  after  the  effective  date of this section, and the person has
    43  adopted, publicized, and is implementing a  formal  plan  to  cease  all
    44  boycotting  of any allied nation and to refrain from engaging in any new
    45  boycott of any allied nation; or
    46    (ii) the state agency makes a formal, written determination  that  the
    47  commodities  or  services  offered  by  the  person  named  on this list
    48  produced by the commissioner pursuant to paragraph (b) of this  subdivi-
    49  sion,  are  necessary  for the state agency to perform its functions and
    50  that, absent such an exemption, the state  agency  would  be  unable  to
    51  obtain the commodities or services for which the contract is offered.
    52    3.  (a)  A state agency shall require all persons that submit a bid or
    53  offer in response to a notice of procurement, or that propose  to  renew
    54  an  existing procurement contract, or that propose to assume the respon-
    55  sibility of a contractor pursuant to a procurement contract,  or  other-
    56  wise  propose  to enter into a contract with a state agency with respect

        A. 9036                             3
 
     1  to a contract for  commodities,  services,  construction,  or  contracts
     2  entered  into  pursuant  to section eight of the public buildings law or
     3  section thirty-eight of the highway law, to certify, at the time the bid
     4  is submitted, or the contract is renewed or assigned, that the person or
     5  the  assignee  is  not  identified  on  the list developed and published
     6  pursuant to paragraph (b) of subdivision two of this  section,  and  all
     7  state  agencies  shall  include  such  certification  information in the
     8  procurement record.
     9    (b) All persons that submit a bid or offer in response to a notice  of
    10  procurement,  or  that propose to renew an existing procurement contract
    11  with a state agency, or that propose to assume the responsibility  of  a
    12  contractor  pursuant  to  a procurement contract with a state agency, or
    13  otherwise propose to enter into a contract  with  a  state  agency  with
    14  respect  to  a  contract  for  commodities,  services,  construction, or
    15  contracts entered into pursuant to section eight of the public buildings
    16  law or section thirty-eight of the highway law, shall certify that  they
    17  have  not boycotted any allied nations, and that they are not identified
    18  on the list developed and published pursuant to paragraph (b) of  subdi-
    19  vision two of this section.
    20    4.  Upon  receiving information that a person who has made the certif-
    21  ication required by subdivision three of this section, is, in  fact,  in
    22  violation  of  such  certification,  the  state agency shall review such
    23  information, notify such person and offer them an opportunity to respond
    24  to such information, within thirty days of  such  notice,  and  if  such
    25  person  fails  to  demonstrate  that they have ceased any boycott of any
    26  allied nation, then, the state agency shall take such action as  may  be
    27  appropriate  and  provided  for by law, rule or contract, including, but
    28  not limited to, notifying the commissioner of such person's  boycott  or
    29  boycotts  of  any  and  all  allied nations, imposing sanctions, seeking
    30  compliance, recovering damages, and/or declaring such person in default.
    31    5. On or before December fifteenth, two thousand  sixteen,  and  every
    32  year  thereafter, the commissioner shall issue a report to the governor,
    33  the comptroller, the temporary president of the senate, and the  speaker
    34  of  the assembly, on all the actions taken, and all determinations made,
    35  by the commissioner pursuant to this section, and any and all  rules  or
    36  regulations adopted.
    37    § 2. The retirement and social security law is amended by adding a new
    38  section 423-d to read as follows:
    39    §  423-d. Prohibition on investment of certain public funds in persons
    40  boycotting certain American allies. 1. As  used  in  this  section,  the
    41  following definitions shall apply:
    42    (a) "Allied nation" shall mean:
    43    (i)  any  country that is a member of the North Atlantic Treaty Organ-
    44  ization;
    45    (ii) any country that is a signatory of the Southeast Asia Treaty;
    46    (iii) any country, other than Venezuela, that is a  signatory  of  the
    47  Rio Treaty;
    48    (iv) Ireland;
    49    (v) Israel;
    50    (vi) Japan; and/or
    51    (vii) the Republic of Korea.
    52    (b)  "Boycott"  shall mean to engage in any activity, or to promote or
    53  encourage others to engage in any activity,  that  will  result  in  any
    54  person  abstaining  from commercial, social or political relations, with
    55  any allied nation, or companies based in an allied nation or in territo-
    56  ries controlled by an  allied  nation,  with  the  intent  to  penalize,

        A. 9036                             4
 
     1  inflict,  or cause harm to, or otherwise promote or cast disrepute upon,
     2  such allied nation, its people or its commercial products.
     3    (c)  "Person"  shall  mean  any  natural  person, corporation, limited
     4  liability company, unincorporated association or  any  other  nongovern-
     5  mental  entity,  organization,  or  group,  or  any  successor, subunit,
     6  parent, or subsidiary of the same.
     7    2. (a) Any person that is identified on the list created  pursuant  to
     8  paragraph  (b) of subdivision two of section one hundred sixty-five-b of
     9  the state finance law, as being a person that has engaged in  a  boycott
    10  of any allied nation, shall not be eligible to receive investment of any
    11  moneys or assets of the common retirement fund in any stocks, securities
    12  or other obligations of such person so identified on such list developed
    13  and published by the commissioner of general services.
    14    (b) Notwithstanding any provision of law to the contrary, no assets of
    15  any  pension  or annuity fund under the jurisdiction of the comptroller,
    16  shall further be invested in any bank  or  financial  institution  which
    17  directly,  or  through  a parent or subsidiary boycotts an allied nation
    18  and no such assets shall otherwise be invested in the stocks, securities
    19  or other obligations of any person which directly, or through  a  parent
    20  or subsidiary entity, boycotts any allied nation.
    21    3.  The  comptroller  shall  take  appropriate action to sell, redeem,
    22  divest or withdraw any investment held in violation of the provisions of
    23  this section. This section shall not be construed to require the  prema-
    24  ture  or  otherwise imprudent sale, redemption, divestment or withdrawal
    25  of an investment, but such  sale,  divestment  or  withdrawal  shall  be
    26  completed  no later than five years following the effective date of this
    27  section.
    28    4. On or before December fifteenth, two thousand  sixteen,  and  every
    29  year  thereafter,  the comptroller shall issue a report to the governor,
    30  the commissioner of general services, the  temporary  president  of  the
    31  senate,  and  the speaker of the assembly, on all the actions taken, and
    32  all determinations made, by the comptroller, pursuant to  this  section,
    33  and any and all rules or regulations adopted.
    34    § 3. This act shall take effect immediately.
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