New York Codes, Rules and Regulations (NYCRR)

Title 9 Part 250

Executive Department

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9 NYCRR 250.0 - Operating principles, purpose, intent and applicability

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(a)Operating principles.

The objective of State procurement is to facilitate each State agency's mission while protecting the interests of the State and its taxpayers and promoting fairness in contracting with the business community. The State's procurement process shall be guided by the following principles:

(1)To promote purchasing from responsive and responsible offerors, including small businesses.
(2)To be based on clearly articulated procedures which require a clear statement of product specifications, requirements or work to be performed; a documentable process for soliciting bids, proposals or other offers; a balanced and fair method, established in advance of the receipt of offers, for evaluating offers and awarding contracts; contract terms and conditions that protect the State's interests and promote fairness in contracting with the business community; and a regular monitoring of vendor performance.
(3)To encourage the investment of the private and not-for-profit sectors in New York State by making reasonable efforts to ensure that offerors are apprised of procurement opportunities by specifying the elements of a responsive bid and disclosing the process for awarding contracts including, if applicable, the relative importance and/or weight of cost and the overall technical criteria for evaluating offers, and by ensuring the procurement is conducted accordingly.
(4)To ensure that contracts are awarded consistent with the best interests of the State.
(5)To ensure that officers and employees of State entities do not benefit financially or otherwise from the award of State contracts.
(6)To ensure regular and critical review of the efficiency, integrity and effectiveness of the overall process.
(b)Purpose, intent and applicability.

The purpose of this Part is to establish continuing standards and procedures to govern State procurements pursuant to sections 200 and 202 of the Executive Law and, based upon the recommendations of the State Procurement Council, pursuant to section 161 of the State Finance Law. These rules are designed to ensure that citizens, the private sector, businesses, State agencies, local governments and not-for-profit entities may proceed in confidence and good faith to effectively utilize public procurement processes. This Part sets forth requirements, procedures and processes relative to purchasing and contracting for commodities, services and technology by State agencies utilizing differing methods of procurement available to meet their needs, as well as those of local governments and other authorized purchasers under State contracts. The public procurement process ensures adequate supplies of commodities, services and technology on an economic and efficient basis in pursuance of the missions of State agencies and those of other authorized purchasers. This Part is necessary to preserve stability and integrity of such procurement system and to avoid confusion and fiscal uncertainties in the business community relative to existing purchases and contracts and ongoing and future procurements. The consistent application of long standing effective purchasing and contracting practices serves the best interests of the State and its citizens. This Part is applicable to State agency procurement practices, to the methodologies employed in public procurement and to the participation in State procurement contracts by other authorized purchasers.

9 NYCRR 250.1 - Definitions

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Executive Department
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For the purposes of this Part, the terms below shall have the following meanings:

(a)Apparel or textiles shall mean all articles of clothing or goods produced by weaving, knitting, or felting or any similar production processes for such articles of clothing and shall include all goods produced by the apparel industry as defined by subdivision (c) of section 340 of the Labor Law.
(b)Best value means the basis for awarding contracts for services to the offeror which optimizes quality, cost and efficiency, among responsive and responsible offerors. Such basis shall reflect, wherever possible, objective and quantifiable analysis.
(c)Centralized contract means any contract for the purchase of commodities or services, established or approved by the commissioner to meet the State's requirements including, but not limited to, any contract let by the Federal government, other State or local governments or purchasing consortia.
(d)Commissioner means the Commissioner of General Services.
(e)Commodity or commodities means, except with respect to contracts for State printing, material goods, supplies, products, construction items or other standard articles of commerce other than technology which are the subject of any purchase or other exchange.
(f)Consortium means like entities which agree to collectively purchase commodities at a lower price than would be otherwise achievable through purchase by such entities pursuant to other provisions of this Part.
(g)Construction item means any item or material used in construction and which is procured directly by a State agency or by a person other than a municipality under contract with a State agency.
(h)Costs as used in this Part shall be quantifiable and may include, without limitation, the price of the given good or service being purchased; the administrative, training, storage, maintenance or other overhead associated with a given good or service; the value of warranties, delivery schedules, financing costs and foregone opportunity costs associated with a given good or service; and the life span and associated life cycle costs of the given good or service being purchased. Life cycle costs may include, but shall not be limited to, costs or savings associated with construction, energy use, maintenance, operation, and salvage or disposal.
(i)Emergency means an urgent and unexpected requirement where health and public safety or the conservation of public resources is at risk.
(j)Lowest price means the basis for awarding contracts for commodities among responsive and responsible offerors.
(k)Price means the amount of money set as consideration for the sale of a commodity or service and may include, but is not limited to, when applicable and when specified in the solicitation, delivery charges, installation charges and other costs.
(l)Procurement record means the compilation of documents detailing the decisions made and the approach taken in the procurement process.
(m)Responsible or responsibility shall have the same meaning as such terms have been interpreted prior to the effective date of this Part.
(n)Responsive means a bid or other offer that meets the minimum specifications or other requirements described in a solicitation for commodities or services.
(o)Service or services means, except with respect to contracts for State printing, the performance of a task or tasks and may include a material good or a quantity of material goods, and which is the subject of any purchase or other exchange. For the purposes of this Part, technology shall be deemed a service. Services, as defined in this Part, shall not apply to those contracts for architectural, engineering or surveying services, or those contracts approved in accordance with article 11-B of the State Finance Law.
(p)Single source means a procurement in which, although two or more offerors can supply the required commodities or services, the commissioner or State agency, upon written findings setting forth the material and substantial reasons therefor, may award the contract to one offeror over the other. The commissioner or State agency shall document in the procurement record the circumstances leading to the selection of the vendor, including the alternatives considered, the rationale for selecting the specific vendor and the basis upon which it determined the cost was reasonable.
(q)Small business concern or small business means a business which is resident in this State, independently owned and operated, not dominant in its field and employs 100 or fewer persons.
(r)Sole source means a procurement in which only one offeror is capable of supplying the required commodities or services.
(s)Specification or requirement means any description of the physical or functional characteristics or the nature of a commodity or construction item, any description of the work to be performed, or of the service or products to be provided, the necessary qualifications of the offeror, the capacity and capability of the offeror to successfully carry out the proposed contract, or the process for achieving specific results, anticipated outcomes or any other quality necessary to perform the work. It may include, a description of any obligatory testing, inspection or preparation for delivery and use, and may include federally required provisions and conditions where the eligibility for Federal funds is conditioned upon the inclusion of such. Specifications and requirements shall be designed to enhance competition, and to ensure that the commodities or services of any offeror are not given preference except where required by this Part.
(t)State agency or State agencies means all State departments, boards, commissions, offices or institutions but excludes, however, for the purposes of subdivision five of section 355 of the Education Law, the State University of New York and excludes, for the purposes of subdivision a of section 6218 of the Education Law, the City University of New York. Furthermore, such term shall not include the Legislature or the Judiciary.
(u)Technology means either a good or a service or a combination thereof, that results in a technical method of achieving a practical purpose or improvements in productivity. Goods may be either new or used.

9 NYCRR 250.2 - General provisions for purchasing commodities

Source version current through Mar 15, 2023

A matched Register action is not later than the compiled-text reference date.

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NYCRR title agency
Executive Department
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Section source receipt
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Related Register notice
GNS-36-14-00001-A · Adopted rule
Related notice published
Jul 8, 2015
Related notice effective date
Jul 8, 2015
(a)State agency procurement practices for commodities shall incorporate the following:
(1)The purchase of commodities by State agencies, including the Office of General Services, shall be conducted in a manner which accords first priority to preferred sources in accordance with the provisions of this Part, second priority to centralized contracts, third priority to agency or multi-agency established contracts and fourth priority to other means of contracting.
(2)Commodities contracts shall be awarded on the basis of lowest price to a responsive and responsible offeror, or, in the case of multiple awards, in accordance with section 250.10(c) of this Part.
(b)A centralized contract shall be established for those commodities required by State agencies in a manner which maximizes the purchasing value of public funds. Centralized contracts, including multiple contracts, shall be established from time to time in such number and scope as will ensure the sufficient and uninterrupted availability of commodities for State agency use. Such contracts shall be established in cooperation with the State Procurement Council and State agencies, to reflect the identity, form, function and utility required by State agencies and to include specifications that conform, wherever possible, to industry standards. Factors to be considered in the determination whether to establish such contracts may include, without limitation, the availability of a volume discount, prior use of the commodity among State agencies, the relative cost of establishing the contract, its anticipated use and expected actual savings for the State. The commissioner may act as a broker for State agencies to procure commodities.
(c)The commissioner shall maintain lists of firms which produce, manufacture or offer for sale commodities in the form, function and utility required by State agencies and shall ensure such lists are updated regularly and reflect New York's small businesses, those certified pursuant to article 15-A of the Executive Law, and shall facilitate access by businesses to procurement opportunities.
(d)All solicitations for the purchase of food products shall include a list developed by the Commissioner of Agriculture and Markets of food products that are grown, produced or harvested in New York State or that were processed in facilities located in New York State. All solicitations shall also include a notice about whether such New York State food products are available in sufficient quantities for competitive purchasing. Guidelines for assisting in increasing agencies’ use and purchase of New York food products and established by the commissioner and commissioner of agriculture and markets shall be located on the Office of General Services’ website.
(e)Consistent with guidelines issued by the State Procurement Council, State agencies may competitively purchase commodities procured in accordance with this Part in lieu of using centralized contracts when the resultant price is less than the centralized contract price.
(f)When justified by price, State agencies shall be eligible to make purchases pursuant to guidelines issued by the Procurement Council from a consortium or comparable entity in lieu of using centralized contracts for commodities.
(g)When commodities are not available in the form, function and utility required by State agencies through preferred sources or centralized contracts, a State agency may, independently or in conjunction with other State agencies, procure commodities in accordance with the provisions of this Part. State agencies may maintain listings of firms, including those certified pursuant to article 15-A of the Executive Law, or may use the commissioner's listing of firms. It shall be the responsibility of State agencies to periodically identify those agency procured commodities which, due to the frequency of purchase or related factors, should be made available through centralized contracts.
(h)Multiple purchases by a State agency of similar commodities or services within any 60-day period shall be considered a single purchase for the purpose of this Part. Agencies should consider, when practical and appropriate, the anticipated annual expenditures for a commodity or service in determining which procurement methodology to use. If an agency can reasonably anticipate that repeat purchases of an otherwise low dollar value item will be necessary, the agency should elect the appropriate procurement process to cover such aggregate needs.
(i)A State agency may purchase within a 15-day period without formal competitive bidding up to $10,000 each of fresh eggs, fruits and vegetables from a New York State grower, producer or association of growers and producers (separately by basic category). Agencies must determine the price is reasonable and comparable relative to the current market price.
(j)Notwithstanding the foregoing, if a State agency delegates purchasing responsibilities to regional offices, upon application by the State agency to and approval by the commissioner, each regional office may, with respect to its own purchases for its regional requirements, be considered a separated “agency” for purposes of the limitation set forth in this Part.
(k)Officers of any body or agency of the State or of a political subdivision or a district therein, or fire company or volunteer ambulance service as such are defined in section 100 of the General Municipal Law, are authorized to make purchases of commodities through the Office of General Services' centralized contracts, pursuant to the provisions of section 104 of the General Municipal Law. Public authorities and public benefit corporations of the State, including the Port Authority of New York and New Jersey and the Interstate Environmental Commission shall be eligible to make purchases from Office of General Services' centralized contracts for commodities. Any qualified non-profit-making agency for the blind approved by the Commissioner of Children and Family Services and any qualified non-profit-making agency for the severely disabled approved by the Commissioner of Education shall be eligible to make purchases from Office of General Services' centralized contracts for commodities. Any county extension service association as authorized under subdivision eight of section 224 of the County Law, or any association or other entity as specified in and in accordance with section 109-a of the General Municipal Law, or any other association or entity as specified in State law, are authorized to make purchases of commodities through the Office of General Services' centralized contracts. Any public library, association library, library system, cooperative library system, the New York Library Association and the New York State Association of Library Boards or any other library except those operated by for profit entities may make purchases through centralized contracts for commodities. The authority granted such entities to purchase from Office of General Services' centralized contracts shall be subject to the following conditions:
(1)Participation in certain centralized contracts by political subdivisions and other authorized purchasers may be conditioned upon the filing of requirements for specific commodities through the use of forms issued by the commissioner.
(2)When requirements have been submitted to the commissioner by a political subdivision, or other authorized purchasers, such political subdivision or authorized purchaser shall agree that no separate bids for the same requirements shall be sought nor purchases thereof shall be made by such entity.
(3)Political subdivisions, and other authorized purchasers, may not withdraw requirements filed without obtaining the commissioner's prior written approval. Such approval shall not be withheld unless the commissioner determines that the withdrawal of the requirement filed will jeopardize the validity of an existing contract or pending contract award.
(4)Political subdivisions, and other authorized purchasers, purchasing under a State contract shall, when requested, send a copy of the purchase order to the commissioner upon issuance to the contractor.
(5)Notwithstanding anything in this section to the contrary, the commissioner by reason of the nature of the materials, equipment or supplies to be contracted for, existing market conditions, past performance on State contracts, financial disability or for other good and sufficient cause deemed necessary in order to protect the State's own purchasing interest, reserves the right with respect to any contract to be let by the commissioner to eliminate, restrict, limit or reduce participation by all or particular political subdivisions and other authorized purchasers by law where the commissioner so indicates in the contract documents. The commissioner further reserves the right during the course or term of a contract to limit participating political subdivisions and other authorized purchasers to either their historical quantity purchases, as shall be determined by the commissioner, or their filed requirements.
(6)Political subdivisions and other authorized purchasers shall accept sole responsibility for payments due contractor for purchases made under a State contract and upon request, and if eligible, must furnish contractor with proper evidence of tax exemption.
(7)Political subdivisions or other authorized purchasers shall have primary responsibility for audit and inspection of contract purchases. All commodities delivered under contracts should be inspected immediately for compliance with contract specifications. Contractors should be notified at once, with written confirmation, if commodities deviate from the specifications. If the purchaser experiences problems with contractors in correcting deviations, then the commissioner should be so notified in writing.
(8)The commissioner may, upon the failure of a political subdivision or other authorized purchaser to promptly and properly adhere to all contract terms and conditions, statutes, applicable rules and regulations, reasonable directions of the commissioner and good business practices, including prompt payment for materials, equipment or supplies received, suspend such entities' privilege of purchasing through centralized contracts or may take such other action as the commissioner deems appropriate including, but not limited to, the imposition of special conditions and restrictions with regard to future purchases by such entity.

9 NYCRR 250.3 - Investigations

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Executive Department
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The commissioner may make, or cause to be made by a duly authorized representative, any investigation which he or she may deem proper to acquire necessary information from a State agency for the exercise of his powers and duties under this Part.

9 NYCRR 250.4 - General provisions for purchasing services

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State agency procurement practices for services shall incorporate the following:

(a)The purchase of services by State agencies shall be conducted in a manner which accords first priority to preferred sources in accordance with the provisions of this Part when the services required are available in the form, function and utility required by State agencies through a preferred source.
(b)A centralized contract shall be established for those services required by State agencies in a manner which maximizes the purchasing value of public funds. Centralized contracts, including multiple contracts, shall be established from time to time in such number and scope as will ensure the sufficient and uninterrupted availability of services for State agency use. Such contracts shall be established in cooperation with the State Procurement Council and State agencies, to reflect the identity, form, function and utility required by State agencies and to include specifications that conform, wherever possible, to industry standards. Factors to be considered in the determination whether to establish such contracts may include, without limitation, the availability of a volume discount, prior use of the service among State agencies, the relative cost of establishing the contract, its anticipated use and expected actual savings for the State.
(c)When services are not available from preferred sources consistent with the provisions of this Part in the form, function or utility required by State agencies, State agencies may procure services independently or in conjunction with other State agencies in accordance with the provisions of section 250.10 of this Part.
(d)Service contracts shall be awarded on the basis of best value to a responsive and responsible offeror; or, in the case of multiple awards, in accordance with section 250.10(c) of this Part.
(e)Any officer, body or agency of a political subdivision as defined in section 100 of the General Municipal Law or a district therein, may make purchases of services through centralized contracts for services, subject to the provisions of section 104 of the General Municipal Law. Any public authority or public benefit corporation of the State including the Port Authority of New York and New Jersey or other authorized purchaser may make purchases of services through centralized contracts for services. Any public library, association library, library system, cooperative library system, the New York Library Association and the New York State Association of Library Boards or any other library except those operated by for profit entities may make purchases through centralized contracts for services.
(f)All State agencies shall require all contractors, including subcontractors, that provide services for State purposes pursuant to a contract, to submit an annual employment report for each contract for services that includes for each employment category within the contract the number of employees employed to provide services under the contract, the number of hours they work and their total compensation under the contract. Employment records shall be submitted to the agency that awarded the contract, the Department of Civil Service and the Department of Audit and Control and shall be available for public inspection and copying pursuant to section 87 of the Public Officer Law provided that in disclosing such reports pursuant to the Public Officers Law, the agency making the disclosure shall redact the name or social security number of any individual employee that is included in such document.

9 NYCRR 250.5 - Process for conducting State procurements

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Executive Department
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The process for conducting State procurements for services and commodities shall commence by each State agency being responsible for determining the need for a given service or commodity and shall proceed as follows:

(a)For commodities, upon such determination of need, State agencies shall ascertain whether the commodity is available in the form, function and utility consistent with their needs from preferred sources and if so, shall purchase said commodity from a preferred source in accordance with the provisions of this Part.
(1)If not so available, State agencies shall determine whether the commodity is available in the form, function and utility consistent with their needs on a centralized contract and if so, except as provided in section 250.2(e) of this Part, shall purchase said commodity using the centralized contract.
(2)If a commodity is not available in the form, function and utility consistent with the needs of the State agency from a preferred source or a centralized contract or as provided for in section 250.2(e) of this Part, the State agency may procure the commodity independently or in conjunction with another State agency in accordance with section 250.2(g) of this Part.
(b)For services, upon such determination of need, State agencies shall ascertain whether the service is available in the form, function and utility consistent with their needs from preferred sources and, if so, shall purchase said service through the preferred source in accordance with the provisions of this Part.
(1)If not so available, State agencies may purchase the service if it is available in the form, function and utility consistent with their needs using an established centralized contract procured by either the commissioner or another State agency.
(2)Request that the commissioner procure such a service, particularly with respect to those services having utility or benefit to more than one State agency.
(3)Procure the service independently or in conjunction with another State agency.

9 NYCRR 250.6 - Discretionary buying thresholds

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Executive Department
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(a)The commissioner may purchase services and commodities in an amount not exceeding $85,000 without a formal competitive process; State agencies may purchase services and commodities in an amount not exceeding $50,000 without a formal competitive process; and with respect to purchases of commodities or services from small business concerns or those certified pursuant to article 15-A of the Executive Law, or that are recycled or remanufactured commodities or technology, in an amount not exceeding $100,000 without a formal competitive process.
(b)Notwithstanding subdivision two of section 112 of the State Finance Law relating to the dollar threshold requiring the State comptroller's approval of contracts, the Commissioner of General Services may make purchases or enter into contracts for the acquisition of commodities and services having a value not exceeding $85,000 without prior approval by any other State officer or agency in accordance with procedures and requirements set forth in this Part.
(c)Notwithstanding the provisions of article 4-C of the Economic Development Law, the Commissioner of General Services may make purchases or enter into contracts for the acquisition of commodities and services having a value not exceeding $30,000 without prior approval by any other State officer or agency in accordance with procedures and requirements set forth in this Part and article 11 of the State Finance Law.

9 NYCRR 250.7 - Method of procurement

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Executive Department
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Consistent with the requirements of sections 250.4 and 250.5 of this Part, State agencies shall select among permissible methods of procurement including, but not limited to, an invitation for bid, request for proposals or other means of solicitation pursuant to guidelines issued by the State Procurement Council. Except where otherwise provided by law or this Part, procurements shall be competitive. State agencies shall document the determination of the method of procurement and the basis of award in the procurement record. Where the basis for award is the best value offer, the State agency shall document, in the procurement record and in advance of the receipt of initial offers, the determination of the evaluation criteria, which whenever possible, shall be quantifiable, the process to be used in the determination of best value and the manner in which the evaluation process and selection shall be conducted.

9 NYCRR 250.8 - Public notice

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Executive Department
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All procurements by State agencies in excess of $15,000 shall be advertised in the State's Procurement Opportunities Newsletter in accordance with article 4-C of the Economic Development Law.

9 NYCRR 250.9 - Soliciting and accepting offers

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For purchases from sources other than preferred sources and for purchases in excess of the discretionary buying threshold established in section 250.6 of this Part:

(a)A State agency shall select a formal competitive procurement process in accordance with guidelines established by the State Procurement Council and document its determination in the procurement record. The process shall include, but is not limited to, a clear statement of need, a description of the required specifications governing performance and related factors, a reasonable process for ensuring a competitive field, a fair and equal opportunity for offerors to submit responsive offers; and a balanced and fair method of award. Where the basis for the award is best value, documentation in the procurement record shall, where practicable, include a quantification of the application of the criteria to the rating of proposals and the evaluation results, or, where not practicable, such other justification which demonstrates that best value will be achieved.
(b)The solicitation shall prescribe the minimum specifications or requirements that must be met in order to be considered responsive and shall describe and disclose the general manner in which the evaluation and selection shall be conducted. Where appropriate, the solicitation shall identify the relative importance or weight of cost and the overall technical criteria to be considered by a State agency in its determination of best value.
(c)Where provided in the solicitation, State agencies may require clarification from offerors for purposes of assuring a full understanding of responsiveness to the solicitation requirements. Where provided for in the solicitation, revisions may be permitted from all offerors determined to be susceptible of being selected for contract award, prior to award. Offerors shall be accorded fair and equal treatment with respect to their opportunity for discussion and revision of offers. Disclosure of the content of competing offers other than statistical tabulations of bids received in response to an invitation for bids, or of any clarifications of or any revisions thereto shall be prohibited prior to award.
(d)All offers may be rejected. Where provided in the solicitation, separable portions of offers may be rejected.
(e)Every offer shall be firm and not revocable for a period of 60 days from the bid opening, or such other period of time specified in the solicitation to the extent not inconsistent with section 2-205 of the Uniform Commercial Code. Subsequent to such 60-day or other specified period, any offer is subject to withdrawal communicated in a writing signed by the offeror.
(f)Prior to making an award of contract, each State agency shall make a determination of responsibility of the proposed vendor.
(g)A procurement record shall be maintained for each procurement identifying, with supporting documentation, decisions made by the State agency during the procurement process. The procurement record shall include, but not be limited to each contract amendment and the justification to each.
(h)For purchases involving apparel and textiles see section 250.15(g) of this Part.

9 NYCRR 250.10 - Letting of contracts

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Executive Department
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(a)Contracts for commodities shall be awarded on the basis of lowest price to a responsive and responsible offeror. Contracts for services shall be awarded on the basis of best value from a responsive and responsible offeror. Multiple awards for services and commodities shall be conducted in accordance with subdivision (c) of this section. Selection and award shall be documented by a written determination in the procurement record made by the State agency in a manner consistent with the provisions of the solicitation. In the event two offers for commodities are found to be substantially equivalent, price shall be the basis for determining the award recipient or, when price and other factors are found to be substantially equivalent, the determination of the commissioner or agency head to award a contract to one or more of such bidders shall be final. The basis for determining the award shall be documented in the procurement record.
(b)Single or sole source procurements for services or commodities, or procurements made to meet emergencies arising from unforeseen causes, may be made without a formal competitive process and shall only be made under unusual circumstances and shall include a determination by the commissioner or the State agency that the specifications or requirements for said purchase have been designed in a fair and equitable manner. The purchasing agency shall document the bases for a determination to purchase from a single source or sole source, or the nature of the emergency giving rise to the procurement in the procurement record, subject to review by the State Comptroller.
(c)A State agency may elect to award a contract to one or more responsive and responsible offerors provided, however, that the basis for the selection among multiple contracts at the time of purchase shall be the most practical and economical alternative and shall be in the best interests of the State, and further provided that the requirement set forth herein shall not preclude the commissioner from establishing multiple award contracts for reasons including increased opportunities for small businesses to participate in State contracts.
(d)It shall be in the discretion of the commissioner or State agency to require a bond or other guarantee of performance, and to approve the amount, form and sufficiency thereof.
(e)The commissioner may authorize purchases required by State agencies or other authorized purchasers by letting a contract pursuant to a written agreement, or by approving the use of a contract let by any department, agency or instrumentality of the United States government and/or any department, agency, office, political subdivision or instrumentality of any state or states.
(f)The commissioner is authorized to let centralized contracts, in accordance with the procedures of this Part, for joint purchasing by New York State and any department, agency or instrumentality of the United States government and/or any state including the political subdivisions thereof; provided however that any entity incurring a liability under such contract shall be responsible for discharging said liability.

9 NYCRR 250.11 - Reasonableness of results

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Executive Department
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It shall be the responsibility of the head of each State agency to periodically sample the results of the procurement process to test for reasonableness; to ensure that the results withstand public scrutiny and that the quality and the price of the purchase makes sense; and to ensure that purchasing is conducted in a manner consistent with the best interests of the State.

9 NYCRR 250.12 - Purpose of preferred sources

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To advance special social and economic goals, selected providers shall have preferred source status for the purposes of procurement in accordance with the provisions of this Part. Procurement from these providers, except those defined in section 250.13(f) of this Part, shall be exempted from the competitive procurement provisions of this Part. Such exemption shall apply to commodities produced, manufactured or assembled, including those repackaged to meet the form, function and utility required by State agencies, in New York State and, where so designated, services provided by those sources in accordance with this Part.

9 NYCRR 250.13 - Preferred status

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Executive Department
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Preferred status as prescribed in this section shall be accorded to:

(a)commodities produced by the Department of Correctional Services Correctional Industries Program and provided to the State pursuant to subdivision two of section 184 of the Correction Law;
(b)commodities and services produced by any qualified charitable non-profit-making agency for the blind approved for such purposes by the Commissioner of Children and Family Services;
(c)commodities and services produced by any special employment program serving mentally ill persons, which shall not be required to be incorporated and which is operated by facilities within the Office of Mental Health and is approved for such purposes by the Commissioner of Mental Health;
(d)commodities and services produced by any qualified charitable non-profit-making agency for other severely disabled persons approved for such purposes by the Commissioner of Education, or incorporated under the laws of this State and approved for such purposes by the Commissioner of Education;
(e)commodities and services produced by a qualified veterans workshop providing job and employment-skills training to veterans where such a workshop is operated by the United States Department of Veterans Affairs and is manufacturing products or performing services within this State and where such workshop is approved for such purposes by the Commissioner of Education; or
(f)commodities provided by any qualified apparel manufacturer and contractor on the special September 11th bidders registry, as added by section 349 of the Labor Law, approved for such purposes by the Commissioner of Labor.

9 NYCRR 250.14 - Public list of services and commodities provided by preferred sources

Source version current through Sep 15, 2021

Later State Register activity may affect this section.

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Dates and status
NYCRR title agency
Executive Department
Section status
Section source receipt
Source version current through
Sep 15, 2021
(a)The commissioner, in consultation with the commissioners of Correctional Services, Children and Family Services, Mental Health and Education, shall maintain a list of all commodities and services that are available for purchase by State agencies, public benefit corporations or political subdivisions from those entities accorded preference or priority status under this Part. Such list may include references to catalogs and other descriptive literature that are available directly from any provider accorded preferred status under this Part. The commissioner shall make this list available to prospective vendors, State agencies, public benefit corporations, political subdivisions and other interested parties. New or substantially different commodities or services may only be made available by preferred sources for purchase by more than one State agency, public benefit corporation or political subdivision after addition to said list.
(b)Upon the application of the Commissioner of Correctional Services, the Commissioner of Children and Family Services, the Commissioner of Mental Health or the Commissioner of Education, or a non-profit-making facilitating agency designated by one of the said commissioners pursuant to section 50.17(e) of this Part, and upon the recommendation of the State Procurement Council, the commissioner may:
(1)add commodities or services to; or
(2)in order to insure that such list reflects current production and/or availability of commodities and services, delete at the request of a preferred source, commodities or services from, the list established by subdivision (a) of this section. Additions may be made only for new services or commodities, or for services or commodities that are substantially different from those reflected on said list for that provider. The decision to recommend the addition of services or commodities shall be based upon a review of relevant factors by the Procurement Council including costs and benefits to be derived from such addition and shall include an analysis by the commissioner, conducted pursuant to section 250.17 of this Part. Unless the State Procurement Council shall make a recommendation to the commissioner on any such application within 120 days of receipt thereof, such application shall be deemed recommended. In the event that the State Procurement Council shall deny any such application, a State agency or the non-profit-making agency which submitted such application may, within 30 days of such denial, appeal such denial to the commissioner who shall review all materials submitted to the State Procurement Council with respect to such application and who may request such further information or material as is deemed necessary. Within 60 days of receipt of all information or materials deemed necessary, the commissioner shall render a written final decision on the application that shall be binding upon the applicant and upon the State Procurement Council.
(c)The list maintained by the commissioner pursuant to subdivision (a) of this section shall be revised as necessary to reflect the additions and deletions of commodities and services approved by the State Procurement Council.
(d)Subdivisions (a), (b) and (c) of this section shall not apply to commodities provided by any qualified apparel manufacturer and contractors on the special September 11th bidders registry, as added by section 349 of the Labor Law, or approved for such purposes by the Commissioner of Labor. The Commissioner of Labor shall periodically provide the Commissioner of General Services with the special September 11th bidders registry, as added by section 340 of the Labor Law, of qualified apparel manufacturers and contractors. The Commissioner of Labor shall also make the registry available upon request to other State agencies, public benefit corporations, public authorities, and, if requested, to political subdivisions.

9 NYCRR 250.15 - Priority accorded preferred sources

Source version current through Sep 15, 2021

Later State Register activity may affect this section.

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NYCRR title agency
Executive Department
Section status
Section source receipt
Source version current through
Sep 15, 2021

Except as provided in the New York State Printing and Public Documents Law, priority among preferred sources shall be accorded as follows:

(a)When commodities are available, in the form, function and utility required by a State agency, public authority, commission, public benefit corporation or political subdivision, said commodities must be purchased first from the Department of Correctional Services Correctional Industries Program.
(b)When commodities are available, in the form, function and utility required by, a State agency or political subdivision or public benefit corporation having their own purchasing agency, and such commodities are not available pursuant to subdivision (a) of this section, said commodities shall then be purchased from approved charitable non-profit-making agencies for the blind.
(c)When commodities are available, in the form, function and utility required by, a State agency or political subdivision or public benefit corporation having their own purchasing agency, and such commodities are not available pursuant to subdivisions (a) and (b) of this section, said commodities shall then be purchased from a qualified non-profit-making agency for other severely disabled persons, a qualified special employment program for mentally ill persons, or a qualified veterans' workshop.
(d)When services are available, in the form, function and utility required by, a State agency or political subdivision or public benefit corporation having their own purchasing agency, equal priority shall be accorded the services rendered and offered for sale by qualified non-profit-making agencies for the blind and those for the other severely disabled, by qualified special employment programs for mentally ill persons and by qualified veterans' workshops.
(e)In the case of services:
(1)State agencies or political subdivisions or public benefit corporations having their own purchasing agency shall make reasonable efforts to provide a notification describing their requirements to those preferred sources, or to the facilitating entity identified in section 250.17 of this Part, which provide the required services as indicated on the official public list maintained by the Office of General Services pursuant to section 250.14 of this Part.
(2)If, within 10 days of the notification required by subdivision (e) of this section, one or more preferred sources or facilitating entities identified in section 250.17 of this Part submit a notice of intent to provide the service in the form, function and utility required, said service shall be purchased in accordance with this Part. If more than one preferred source or facilitating entity identified in section 250.17 of this Part submits notification of intent and meets the requirements, costs shall be the determining factor for purchase among the preferred sources.
(3)If, within 10 days of the notification required by subdivision (e) of this section, no preferred source or facilitating entity identified in section 250.17 of this Part indicates intent to provide the service, then the service shall be procured in accordance with section 250.10 of this Part. If, after such period, a preferred source elects to bid on the service, award shall be made in accordance with section 250.10 of this Part or as otherwise provided by law.
(f)For the purposes of commodities and services produced by special employment programs operated by facilities approved or operated by the Office of Mental Health, facilities within the Office of Mental Health shall be exempt from the requirements of this section. When such requirements of the Office of Mental Health cannot be met pursuant to subdivision (b), (c) or (d) of this section the Office of Mental Health may purchase commodities and services which are competitive in price and comparable in quality to those which could otherwise be obtained in accordance with this Part, from special employment programs operated by facilities within the Office of Mental Health or other programs approved by the Office of Mental Health.
(g)Priority in purchasing requirements for apparel or textiles.
(1)Notwithstanding anything to the contrary, political subdivisions may adopt and apply the priority established herein by specifically including the provisions of this subdivision in their bid specifications.
(2)Conditions for participation in certain State contracts. In the event the State seeks to purchase apparel or textiles pursuant to a competitive bid pursuant to section 163 of the State Finance Law or other applicable competitive procurement statutes, the following additional conditions shall apply;
(i)the bid shall include a statement that a State agency shall not enter into a contract to purchase or obtain for any purpose any apparel from a bidder unable or unwilling to provide documentation as part of its bid:
(a)attesting that such apparel was manufactured in compliance with all applicable labor and occupational safety laws, including, but not limited to, child labor laws, wage and hour laws and workplace safety laws;
(b)stating, if known, the name and address of each subcontractor to be utilized; and
(c)stating, if known, all manufacturing plants utilized by the bidder or subcontractor;
(ii)manufacturers and contractors identified on the special September 11th bidders registry, as added by section 349 of the Labor Law, shall be a preferred source for purposes of a competitive bid and the associated contract award for apparel or textile procurements where the price bid by such participating qualified registrant bidder is not greater than 15 percent more than the lowest price bid by an otherwise responsive and responsible bidder. Where there is more than one participating qualified registrant bidder, the State shall make the contract award based upon the lowest price bid among such bidders;
(iii)where no qualified bidders under subparagraph (ii) of this paragraph participate in the competitive bid for the specified apparel or textiles the State shall award the contract to the otherwise lowest responsive and responsible bidder pursuant to section 163 of the State Finance Law or other applicable competitive procurement statutes.
(3)Waiver. The provisions of this section may be waived by the head of any State agency, department, board, bureau, commission, division, or any public benefit corporation or public authority a majority of whose members are appointed by the Governor where it is determined in writing and included in the procurement record that it is in the best interests of the State to do so.
(h)For purposes of the provisions of this section, State shall mean any New York State agency, department, board, bureau, commission, division, or any public benefit corporation or public authority a majority of whose members are appointed by the Governor.

9 NYCRR 250.16 - Prices charged by the Department of Correctional Services

Source version current through Sep 15, 2021

Later State Register activity may affect this section.

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NYCRR title agency
Executive Department
Section status
Section source receipt
Source version current through
Sep 15, 2021

The prices to be charged for commodities produced by the Department of Correctional Services Correctional Industries Program shall be established by the Commissioner of Correctional Services in accordance with section 186 of the Correction Law.

(a)The prices established by the Commissioner of Correctional Services shall be based upon costs as determined pursuant to this subdivision, but shall not exceed a reasonable fair market price determined at or within 90 days before the time of sale. Fair market price as used herein means the price at which a vendor of the same or similar product or service who is regularly engaged in the business of selling such product or service offers to sell such product or service under similar terms in the same market. Costs shall be determined in accordance with an agreement between the Commissioner of Correctional Services and the Director of the Budget.
(b)A purchaser of any such product or service may, at any time prior to or within 30 days of the time of sale, appeal the purchase price in accordance with section 186 of the Correction Law, on the basis that it unreasonably exceeds fair market price. Such an appeal shall be decided by a majority vote of a three-member price review board consisting of the Director of the Budget, the Commissioner of Correctional Services and the commissioner or their representatives. The decision of the review board shall be final.

9 NYCRR 250.17 - Prices charges by agencies for the blind, other severely disabled and veterans' workshops

Source version current through Sep 15, 2021

Later State Register activity may affect this section.

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Dates and status
NYCRR title agency
Executive Department
Section status
Section source receipt
Source version current through
Sep 15, 2021
(a)Except with respect to the Department of Correctional Services Correctional Industries Program, the commissioner shall determine, and from time to time review, the prices of all commodities and to approve the price of all services provided by preferred sources as specified in this section offered to State agencies, political subdivisions or public benefit corporations having their own purchasing office.
(b)In determining and revising the prices of such commodities or services, consideration shall be given to the reasonable costs of labor, materials and overhead necessarily incurred by such preferred sources under efficient methods of procurement, production, performance and administration; however, the prices of such products and services shall be as close to prevailing market price as practicable, but in no event greater than 15 percent above, the prevailing market prices among responsive offerors for the same or equivalent commodities or services.
(c)Such qualified charitable non-profit-making agencies for the blind and other severely disabled may make purchases of materials, equipment or supplies, except printed material, from centralized contracts for commodities in accordance with the conditions set by the commissioner; provided that the qualified charitable non-profit-making agency for the blind or other severely disabled shall accept sole responsibility for any payment due the vendor.
(d)Such qualified charitable non-profit-making agencies for the blind and other severely disabled may make purchases of materials, equipment and supplies from the Department of Correctional Services Correctional Industries Program, directly from the Correctional Industries Program administered by the Commissioner of Correctional Services, subject to such rules as may be established from time to time pursuant to the Correction Law; provided that the qualified charitable non-profit-making agency for the blind or other severely disabled shall accept sole responsibility for any payment due the Department of Correctional Services.
(e)The State Commissioner of Children and Family Services shall appoint the New York State Commission for the Blind and Visually Handicapped, or other non-profit-making agency, other than the agency representing the other severely disabled, to facilitate the distribution of orders among qualified non-profit-making charitable agencies for the blind. The State Commissioner of Education shall appoint a non-profit-making agency, other than the agency representing the blind, to facilitate the distribution of orders among qualified non-profit-making charitable agencies for the other severely disabled and the veterans' workshops. The State Commissioner of Mental Health shall facilitate the distribution of orders among qualified special employment programs operated or approved by the Office of Mental Health serving mentally ill persons.
(f)The commissioner may request the State Comptroller to conduct audits and examinations to be made of all records, books and data of any agency for the blind or the other severely disabled, any special employment program for mentally ill persons or any veterans' workshops qualified under this section to determine the costs of manufacture or the rendering of services and the manner and efficiency of production and administration of such agency or special employment program or veterans' workshop with relation to any product or services purchased by a State agency or political subdivision or public benefit corporation and to furnish the results of such audit and examination to the commissioner for such action as he or she may deem appropriate under this Part.

9 NYCRR 250.18 - Partnering with preferred sources

Source version current through Sep 15, 2021

Later State Register activity may affect this section.

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Dates and status
NYCRR title agency
Executive Department
Section status
Section source receipt
Source version current through
Sep 15, 2021
(a)Partnering with preferred sources.

The commissioner of the appropriate appointing agency shall conduct one or more pilot studies whereby a private vendor may be accorded preferred source status for purposes of this Part. The pilot studies shall seek to ascertain the benefits of partnerships between private industry and those entities accorded preferred source status as specified in this Part. Preferred source status under a partnering arrangement may only be accorded when a proposal to a soliciting agency for commodities or services includes a binding agreement which expires prior to June 30, 2005, with one or more of the entities accorded preferred source status under this Part. The binding agreement shall provide that:

(1)the preferred source shall perform the majority of the work necessary to such offering;
(2)the partnering proposal includes bona fide long term employment opportunities for persons who could otherwise be new clients of an entity previously accorded preferred source status herein; and
(3)the partnering proposal offers the solicited services or commodities at a price less than the price that otherwise would be charged by a preferred source.
(b)The commissioner of the appropriate appointing agency shall report by December 31, 2004, to the Governor, the Chairperson of the Senate Finance Committee, the Chairperson of the Assembly Ways and Means Committee and the Director of the Budget, the results and findings of each pilot study conducted, pursuant to this Part and include recommendations for improving partnering with preferred sources.

9 NYCRR 250.19 - Procedure for agency noncentralized printing purchases

Source version current through Sep 15, 2021

Later State Register activity may affect this section.

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Dates and status
NYCRR title agency
Executive Department
Section status
Section source receipt
Source version current through
Sep 15, 2021

Agency printing requirements which cannot be fulfilled under a centralized contract let by the commissioner, may only be directly purchased by the agency in compliance with the following procedures and monetary limitations:

(a)Agency purchases not exceeding $1,000.

An agency may purchase such items of printing directly from a responsible vendor of its choice, with no prior or subsequent approval from the commissioner. While no competitive bidding is required, agencies should take steps necessary to ensure that prices are reasonable and a written confirmation of the successful vendor's quotation showing the time and conditions of sale should be obtained. The Comptroller's copy of the issued purchase order shall be processed in accordance with the Comptroller's then current procedural requirements.

(b)Agency purchases in excess of $1,000, but not exceeding $5,000.

The advance approval of the commissioner for such purchases must be obtained through submission of a purchase request to the Office of General Services. The commissioner may elect to contract for the item or authorize the purchase by the agency. If direct purchase by the requesting agency is authorized, the agency may purchase such printing, without subsequent approval by the commissioner in the following manner only:

(1)A minimum of five bids should be solicited from responsible vendors and each vendor solicited shall receive a copy of the bid documents, which documents shall include by reference, the general conditions issued by OGS. Such documents should include a complete description of the item required. Such description should include, where applicable, but not be limited to information relating to the size, number of pages, paper stock, ink, quantity, composition, presswork, binding, packing, delivery, etc., required for the desired printing and the date, hour and place of the bid opening.
(2)All sealed bids received shall be opened publicly at the time and place of bid opening.
(3)A tabulation of all bids received at the bid opening shall be prepared, setting forth the identity of each bidder, the prices quoted and all other pertinent information. Bids shall be tabulated by item number and unit price in such form as to afford a basis for strict comparison of the prices bid. In addition to the foregoing, the agency shall supply a listing of all vendors from whom bids were solicited. Bids received subsequent to the time noticed for the bid opening shall be rejected and returned to the bidder, except that such late bids may be considered where either no bids or no acceptable bids have been timely received.
(4)If the low bidder is successful, all papers are to be retained in the agency file and the original copy of the order should be forwarded to the vendor. The Audit and Control copy of the order should at the same time, be forwarded to the Comptroller's office along with a certified copy of the bid tabulation.
(5)If a low bid(s) is being rejected, a memorandum should be prepared stating in detail the reasons for rejection, and a certified copy of the bid tabulation, the successful vendor's quotation, any rejected vendor's quotation, the rejection memorandum, together with all copies of the purchase order made out to the lowest responsible bidder meeting specifications, shall be forwarded to the Department of Audit and Control.
(c)Agency purchases in excess of $5,000.

Advance approval of the commissioner must be obtained through submission of a purchase request to the Office of General Services.

(1)If purchase by the requesting agency is approved, the agency shall solicit, open and tabulate bids in the same manner as provided in paragraphs (b)(1), (2), (3) of this section for purchases in excess of $1,000 but not exceeding $2,500. The agency shall forward to the commissioner all bids, documents, correspondence and other pertinent information, two copies of each of the certified tabulation, and bid rejection memorandum(s), if any, as well as all copies of the issued purchase order made out to the lowest responsible bidder meeting specifications.
(2)If the commissioner approves the proposed purchase order, he will forward the appropriate documentation to Audit and Control, and/or the agency with his approval indicated thereon. The form and routing of this documentation will reflect the most current Audit and Control legal and procedural requirements. If the commissioner disapproves the proposed purchase order, he will advise the agency accordingly.
(d)Multiple purchases of identical items of printing made by an agency within any 60-day period shall be considered a single purchase for the purpose of this section, and the aggregate cost of such purchases shall determine the method of purchase in accordance with this section.

9 NYCRR 250.20 - Special procedures for printing purchases

Source version current through Mar 15, 2023

Later State Register activity may affect this section.

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Dates and status
NYCRR title agency
Executive Department
Section status
Section source receipt
Source version current through
Mar 15, 2023
(a)The printing and distribution of reports and other publications by agencies, departments, and authorities of the State, other than reports and publications which relate to the marketing or advertising of a service or product of an agency, department or authority, such exception to be documented in the agency's or department's annual report to the State Comptroller or in such authority's internal documents, shall provide for cost savings in accordance with the following guidelines and procedures, which shall be implemented in a manner that is consistent with the provisions of subdivisions five and six of section 355 of the Education Law:
(1)Reports and publications shall be as brief as may be practicable.
(2)Reports and publications shall use only uncoated, recyclable paper for cover and text and be of a standard size, such as 8½ inch by 11 inch, to minimize paper waste. Bleeds shall not be used.
(3)Reports and publications shall make limited use of photographs.
(4)Reports and publications shall not be printed in more than two colors, unless otherwise specifically permitted by law. Under extraordinary conditions, and with the proper justification, the Commissioner of General Services may approve the use of up to two additional colors.
(5)Covers are permitted and necessary for perfect bound reports and publications. Covers for other types of bound documents, such as saddlestitched, sidestitched, spiral bound or plastic bound, are permitted only when such covers are necessary and appropriate for the protection of the document. Use of sidestitched, spiral bound or plastic bound documents should be minimized due to the additional expense in the binding of these type documents.
(6)Reports and publications shall be printed utilizing both sides of a sheet of paper.
(7)Discs or camera-ready copy shall be provided to printers whenever possible.
(8)Proper planning, allowing for proof and production time, shall be utilized to minimize overtime and premium rates in printing operations.
(9)Distribution lists for reports and publications shall be reviewed at least annually to eliminate duplicate, excessive, unwanted and obsolete mailings.
(10)Reports and publications shall be mailed in combination, to the extent practicable and when possible, with mailing of other reports and publications.
(11)Reports and publications shall be eliminated or combined, to the extent practicable and when possible, with other reports and publications.
(b)Each department or agency shall file with the State Comptroller an annual report for each fiscal year setting forth its printing costs incurred pursuant to section 164-a of the Executive Law.
(1)The annual report shall contain the following information:
(i)a list of each printing project commenced during the fiscal year;
(ii)the specifications for each project;
(iii)for each project, a list of the vendors solicited, the bids received, the bid chosen and the price paid;
(iv)for each project, the estimate submitted by the department or agency's in-house printing facilities and the Office of General Services' central reproduction unit; and
(v)for each project, the date that bidding was advertised, the date that bids were received and the date the project was awarded.
(2)The annual report shall be filed with the State Comptroller within 30 days following the last day of the fiscal year.

9 NYCRR 250.21 - Earlier source heading: [Repealed]

Source version current through Sep 15, 2021

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NYCRR title agency
Executive Department
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Section source receipt
Source version current through
Sep 15, 2021

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