N.Y. State Finance Law § 179-t: Time frames for the execution of renewal contracts

§ 179-t. Time frames for the execution of renewal contracts. 1. (a) A

state agency administering a contract shall notify the not-for-profit

organization by mail of the agency's preliminary intention, subject to

enactment of an appropriation, to renew or terminate the contract no

later than ninety days prior to the end of the contract or any periods

specified therein that require further contract documents in order to

continue payments under the contract or thirty days after an

appropriation providing funding for continued payments shall become law,

whichever is later. In the event an appropriation is not necessary to

renew the contract, such notification shall be mailed no later than

ninety days prior to the end of the current contract. In the event an

appropriation is necessary and a state budget has been enacted on or

before the beginning of the state fiscal year in which the contract is

to be renewed or terminated, which provides sufficient funding to the

state agency to enable it to renew the contract, such notification shall

be mailed no later than ninety days prior to the end of the current

contract. In the event a state budget has not been enacted by the

beginning of the state fiscal year in which the contract is to be

renewed or terminated, such notification shall be mailed the later of:

(i) thirty days after the enactment of a state budget which provides

sufficient funding to the state agency to enable it to renew the

contract; or (ii) ninety days prior to the end of the contract or any

period specified therein that require further contract documents in

order to continue payments under the contract.

(b) In the event that a state agency is unable to comply with the time

frames set forth in paragraph (a) of this subdivision due to unusual

circumstances beyond the control of the state, no payment of interest

shall be due to the not-for-profit organization. Such state agency shall

document the unusual circumstances which are the basis for its inability

to comply in a written notice to the office of the state comptroller,

division of the budget and the not-for-profit organization on or before

the date set forth in this subdivision for renewal of the contract. For

the purposes of this paragraph, "unusual circumstances" does not mean

such state agency's: (i) failure to plan for implementation of a

program; (ii) failure to assign sufficient staff resources to implement

a program; (iii) failure to establish a schedule for the implementation

of a program; or (iv) failure to anticipate any other reasonably

foreseeable circumstance.

(c) Not more than twenty days after the receipt of such written

notice, the comptroller shall determine whether unusual circumstances

beyond the control of the state warrant the denial of interest. The

comptroller shall thereupon inform such state agency, the division of

the budget, and such not-for-profit organization of such determination.

If such determination concludes that the circumstances do not warrant a

denial of interest, such state agency shall then immediately submit for

the comptroller's approval a voucher requesting the payment of interest

to such not-for-profit organization as required by section one hundred

seventy-nine-v of this article.

2. The notice required by subdivision one of this section shall be in

the form of a letter or may be the renewal contract. If the agency does

not intend to renew the contract, such notification shall be in writing

with reasons provided therefor. If the agency does not intend to renew

the contract and does not notify the not-for-profit organization as

required, the contract is deemed to continue and shall remain in effect

until such time as the agency notifies the not-for-profit organization

in the manner set forth in this subdivision. Expenses incurred during

the extension shall be reimbursable under the terms of the existing

contract.

3. Upon notifying a not-for-profit organization of its intent to renew

a contract with such not-for-profit organization, the state agency shall

negotiate a renewal contract and shall issue a written directive to the

organization. The state agency shall take all necessary steps to insure

that simplified contract documents are used to the maximum extent

feasible.

4. A state agency shall submit any renewal contract to the attorney

general no later than sixty days prior to the commencement date of the

succeeding contract for his approval and the attorney general shall

within fifteen days either approve such renewal contract or disapprove

and return the renewal contract to the state agency with his reasons

therefor. Upon approval of the attorney general all renewal contracts

shall be delivered to the comptroller. Provided, however, a state agency

shall submit any renewal contract consisting of simplified contract

documents directly to the comptroller no later than sixty days prior to

the commencement date of the succeeding contract. The comptroller shall

within fifteen days after receipt of a renewal contract either approve

such contract or disapprove and return such contract to the state agency

with his reasons therefor. Immediately upon receiving notice of approval

of the renewal contract from the comptroller, the state agency shall

mail notification of such approval to the not-for-profit organization.

5. Any state agency in receipt of a renewal contract disapproved by

the attorney general or comptroller shall immediately notify the

affected not-for-profit organization and undertake, in conjunction with

the organization, those actions necessary and appropriate, if any, to

remedy any deficiencies in the contract.