New York to review public projects contracting practices

New York scrutinizes public projects contracting

Friday, January 21, 2022

New York State is set to launch a review of public projects contracting, addressing longstanding complaints from several contractor and trade associations that bidding processes are onerous and standard terms and conditions related to payment, completion timelines and dispute resolution are unfair. Newly enacted legislation establishes the 23-member Construction Industry Advisory Council on Public Contracting Reform, which will be tasked with delivering recommendations on how public contracts should be crafted, awarded and administered.

The enabling legislation, adopted in the New York State senate, also acknowledges that inefficiencies in the public contracting processes drive up construction costs and undermine contractors’ competitiveness. “Many prior, piecemeal attempts to address these inequities through individual approaches have proven unsuccessful, and therefore a more equitable and comprehensive approach is warranted,” it states.

The New York Electrical Contractors Association and the Subcontractors Trade Association are two of the leading voices calling for the review. Other supporters include: Building Trades Employers’ Association; Mechanical Contractors Association of New York; Association of Master Painters and Decorators of New York; Association of Contracting Plumbers NYC; Sheet Metal and Air Conditioning Contractors’ National Association of Long Island; Women Builders Council; the National Electrical Contractors Association; and the Empire State Subcontractors Association.

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