Proposed Int. No. 1247-A
By The Speaker (Council Member Adams) and Council Members Stevens, Won, Brannan, Louis, Brewer, Farías, Hanks, Riley, Restler, Hanif, Gutiérrez, Ossé, Rivera, Banks, Dinowitz, Joseph, Schulman, Avilés, Ung, Cabán, Lee and Feliz
A Local Law to amend the New York city charter, in relation to the disbursement of a percentage of awards to non-profit organizations for contracts immediately upon registration by the comptroller
Be it enacted by the Council as follows:
Section 1. Subdivision b of section 332 of the New York city charter, as amended by local law number 192 for the year 2017, is amended to read as follows:
b. The procurement policy board shall promulgate rules for the expeditious processing of payment vouchers by city agencies and departments including (i) the maximum amount of time allowed for the processing and payment of such vouchers from the later of (a) the date such vouchers are received by the agency, or (b) the date on which the goods, services or construction to which the voucher relates have been received and accepted by the agency, except that for any such payment voucher in connection with a contract funded from the expense budget to a non-profit organization for goods, services or construction, 50 percent of the value of such payment voucher shall be processed and paid as an advance immediately upon the contract’s registration by the comptroller. The requirement to pay 50 percent of a payment voucher in advance shall not apply to (1) contracts processed by the department of homeless services for temporary housing assistance for single adults, adult families, and families with children, or (2) contracts processed by the office of criminal justice; instead, for such contracts, 25 percent of such payment voucher may be processed and paid as an advance immediately upon the contract’s registration by the comptroller and 30 percent of the remaining value of such payment voucher may be processed as a supplemental advance on January 1 of the fiscal year. This subparagraph shall not apply to the state or federal portion of any contract funded in whole or in part with state or federal monies if advance payments are inconsistent with the state or federal law or regulation authorizing the award of such contract, nor shall it apply to any contract with a contractor that failed to submit required invoices from the prior fiscal year to the contracting agency, (ii) a process for reclaiming from a contractor any portion of funds that were paid as an advance pursuant to this subdivision in instances in which the agency does not receive and accept all of the applicable goods, services or construction or when the actual contract value is less than the amount advanced, (iii) a program for the payment of interest, at a uniform rate, to vendors on vouchers not paid within the maximum amount of time pursuant to clause i of this subdivision, [(iii)] (iv) a process for the allocation and charging of any such interest payments to the budget of the agency responsible for the delay leading to the interest payments and [(iv)] (v) agency reporting on the promptness of such payments in such form and containing such information as the board shall prescribe. The board shall coordinate and publish such agency prompt payment reports. Such rules shall facilitate the development and implementation of programs pursuant to subdivision a of this section.
§ 2. This local law takes effect 90 days after it becomes law.
Session 13
LMH/ARP
LS # 15893
6/18/2025
Session 12
ARP
LS # 9187
4/13/2023