Gaining access to large contracts could become easier for small businesses and businesses owned by women or minorities in New York.
Referred to the Senate Finance Committee on February 6, 2013, New York SB 3570 would increase the bonding threshold for contracts awarded to small businesses as well as business owned by women or minorities. The new threshold would mean such business owners could be awarded contracts as large as $500,000 as opposed to the current $100,000 threshold for single contracts and $150,000 for multiple contracts.
This change is explained in the following excerpt from the bill.
- “IN A CASE WHERE A CONTRACT IS AWARDED TO A SMALL BUSINESS CONCERN OR TO A MINORITY OR WOMEN-OWNED BUSINESS CONCERN, ALL PERFORMANCE BONDS AND PAYMENT BONDS MAY BE DISPENSED WITH WHEN THE AGGREGATE AMOUNT OF THE CONTRACT IS UNDER FIVE HUNDRED THOUSAND DOLLARS. ADVERTISEMENTS FOR PROPOSALS SHALL PROVIDE INFORMATION AS TO THE REQUIREMENTS FOR, OR DISPENSATION OF, PERFORMANCE AND PAYMENT BONDS.”
Click here to read SB 3570 in its entirety.
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