Two MWBE bills signed into law in New York

NY News - Published Dec 22, 2023

New York Governor Kathy Hochul has signed into law two bills addressing the needs of minority- and woman-owned businesses (MWBEs) in achieving equity in State contracting. The two bills are aimed at assisting MWBEs in their efforts to work for the State as well as for other government entities and agencies in the state. 

The first bill (Senate Bill 7563/Assembly Bill 7334) increases raises the ceiling for New York City's discretionary spending from $1 million to $1.5 million, allowing the City to award more contracts to MWBEs without a competitive bidding process. The bill does the same for the State discretionary spending cap, raising it from $500,000 to $750,000.

The second bill (Senate Bill 1690-A/Assembly Bill 6716-A) expands the lending capacity of Pursuit Lending Corporation, a lending corporation formed from the New York Business Development Corporation in affiliation with the 504 Company and Excelsior Growth Fund for the purpose of assisting New York small businesses, in order to provide MWBEs with greater access to capital. The bill also requires the New York State Department of Financial Services, the Empire State Development Corporation, and Pursuit Lending Corporation to jointly create new underwriting standards with the goal of assisting small businesses and MWBEs in better accessing capital.

"This is a step in the right direction for MWBE access to capital [...] We must continue fighting for policies that level the playing field and empower MWBE growth," said New York State Senator James Sanders Jr., who introduced the two bills, in a statement.

Read the press release from Senator Sanders' office at https://www.nysenate.gov/newsroom/press-releases/2023/james-sanders-jr/sanders-scores-wins-mwbes-hochul-signature.

Read SB 7564 at https://www.nysenate.gov/legislation/bills/2023/S7563, and SB 1690-A at https://www.nysenate.gov/legislation/bills/2023/S1690/amendment/A.