Section 6-115. A  


Latest version.
  • With respect to contracts described in subdivisions b and
      c  of  this  section,  and  in  accordance with such provisions, no city
      agency shall contract for the supply of goods, services or  construction
      with  any  person  who  does  not agree to stipulate to the following as
      material conditions of the contract if there is another person who  will
      contract to supply goods, services or construction of comparable quality
      at a comparable price:
        (1)  That  the contractor and its affiliates shall not during the term
      of such contract sell or agree to sell goods or services to  Burma,  the
      Government  of  Burma,  or  to  any  entity  owned  or controlled by the
      Government of Burma; and
        (2) In the case of a contract to supply goods, that none of the  goods
      to be supplied to the city originated in Burma.
        (3)  The  contractor and its affiliates do not do business in Burma or
      the contractor and its affiliates are actively engaged in the withdrawal
      of their operations from Burma and will have completed  such  withdrawal
      in  six  months,  provided,  however,  that  any  such  company that has
      withdrawn or is so engaged in withdrawing its operations from Burma that
      maintains a presence in Burma after such six month period solely for the
      purpose of liquidating its business shall not  be  ineligible  for  that
      reason to make the certification provided for in this paragraph.
        (4)(a) It shall not make new investments in Burma.
        (b)  If  at  any time during the course of the contract the contractor
      acquires an entity which is doing  business  in  Burma,  the  contractor
      shall initiate withdrawal of its acquisition's operations from Burma.
        (c)  It  shall  not enter into any new agreement with a Burmese entity
      allowing the use of its trademark, copyright or patent by such entity.
        (5) In the  case  of  a  contract  to  supply  motor  vehicles,  heavy
      equipment,  electronic  data  processing equipment and software, copying
      machines or petroleum products, the  contractor  will,  in  addition  to
      providing  the  certification  described in this section with respect to
      itself and its affiliates, certify or provide  a  certification  to  the
      contracting agency from the manufacturer or refiner of the product to be
      supplied to the city that such manufacturer or refiner of the product to
      be  supplied  to  the  city  that  such  manufacturer or refiner and its
      affiliates  are  in  compliance  with  the  terms  set  forth  in   this
      subdivision  and  subdivision d of this section. The commissioner of the
      department of citywide administrative services shall consider whether to
      designate other goods  supplied  to  the  city  to  be  subject  to  the
      provisions of this paragraph, and by rule so designate any such goods as
      he  or  she  determine  appropriate  based upon considerations including
      information that one or more manufacturers of such goods  or  affiliates
      of  such  manufacturers  have  not  withdrawn operations from Burma, the
      effects on the city's procurement process, including  the  opportunities
      of  small,  minority and women owned business enterprises to compete for
      such contracts, and the recommendations of other agency heads.
        (6)  For  the  purposes  of  this  subdivision,  an  entity  shall  be
      considered to have withdrawn its operations from Burma if:
        (a)  it does not maintain any office, plant or employee in Burma other
      than for the  following  purposes:  (i)  the  activities  of  religious,
      educational  or  charitable  organizations;  (ii) activities intended to
      promote the exchange of information, including the publication  or  sale
      of   newspapers,   magazines,   books,  films,  television  programming,
      photographs, microfilm, microfiche, and  similar  materials;  (iii)  the
      gathering  or  dissemination of information by news media organizations;
      and (iv) the providing  of  telecommunications  and  mail  services  not
      involving the sale or leasing of equipment;
        (b) it has no investments in Burma; and
    
        (c)  it  does  not  provide  goods  or  services to any Burmese entity
      pursuant to any non-equity agreement.
        (7)  The  provisions  of  paragraphs  four and six of this subdivision
      concerning investments, agreements concerning trademarks, copyrights and
      patents, and non-equity agreements shall not apply to the  ownership  or
      agreements  with entities engaged in activities described in clauses, i,
      ii, iii and iv of subparagraph a of paragraph six.
        (8) Notwithstanding the provisions of this section a city  agency  may
      purchase  medical  supplies  intended  to preserve or prolong life or to
      cure, prevent, or ameliorate diseases, including hospital,  nutritional,
      diagnostic,  pharmaceutical  and  non-prescription products specifically
      manufactured to satisfy identified health care needs, or for which there
      is no medical  substitute.  The  determination  of  whether  no  medical
      substitute exists shall be made by the city agency requiring the supply,
      pursuant to general standards of good medical and professional practice.
      The  city agency shall give notice to the city chief procurement officer
      in writing, certifying compliance with this exemption, said  notice  and
      certification being sufficient to allow the purchase of medical supplies
      under this exemption.
        To  the extent that a person doing business in Burma is providing only
      medical supplies, as described hereinabove, to persons  in  Burma,  then
      the  supply  of goods or equipment to the city by said person shall also
      be exempt from the requirements of this section. This exemption from the
      requirements of this section shall not apply in any case  in  which  the
      nature  of  any person's business dealings in Burma include both medical
      and non-medical supplies.
        (9) For the purposes of this subdivision:
        (a) "Affiliates" of a contractor  means  the  parent  company  of  the
      contractor,  and  any  subsidiaries  of  the  parent  company,  and  any
      subsidiaries of the contractor.
        (b) "Parent company" shall mean an entity that directly  controls  the
      contractor.
        (c)  "Subsidiary"  shall mean an entity that is controlled directly or
      indirectly through one or more intermediaries, by a  contractor  or  the
      contractor's parent company.
        (d)  "Control"  shall  mean  holding  five  percent  or  more  of  the
      outstanding voting securities of a corporation, or having an interest of
      five percent or more in any other entity.
        (e)  "Entity"  shall  mean   a   sole   proprietorship,   partnership,
      association,  joint  venture,  company, corporation or any other form of
      doing business.
        (f) "Burmese entity" shall mean an entity organized  in  Burma,  or  a
      branch  or  office  in Burma of an entity that is domiciled or organized
      outside Burma.
        (g) "Investment" shall mean the beneficial ownership or control  or  a
      controlling  interest  in  a  Burmese  entity, but shall not include the
      purchase of securities of a Burmese entity for a customer's account.
        (h)  "Non-equity  agreement"  shall   mean   a   license,   franchise,
      distribution  or  other  written  agreement  pursuant to which an entity
      provides management, maintenance, or training  services  directly  to  a
      Burmese  entity,  or  supplies  goods  directly  to a Burmese entity for
      distribution by such Burmese entity, or for use as  component  parts  in
      the  manufacture  of  other goods by such Burmese entity. In addition, a
      non-equity agreement  shall  mean  an  original  equipment  manufacturer
      agreement,  as defined pursuant to rules promulgated by the commissioner
      of the department of citywide  administrative  services,  for  equipment
      sold  by  a  manufacturer  of  computers,  copiers, or telecommunication
      equipment, which provides for or authorizes the sale of  such  equipment
    
      alone  or  part  of  a  finished  product,  to  a  Burmese  entity. Such
      commissioner shall consider whether to designate other equipment  to  be
      subject  to  this  provision  regarding  original equipment manufacturer
      agreements,  and by rule to so designate any such equipment as he or she
      determines appropriate based upon considerations including  the  effects
      on the city's procurement process, including the opportunities of small,
      minority  and  women owned business enterprises to compete for such city
      contracts.
        b. In the case of contracts  subject  to  competitive  sealed  bidding
      pursuant  to section three hundred thirteen of the charter, whenever the
      lowest responsible bidder has not agreed to stipulate to the  conditions
      set  forth  in  subdivision a of this section and another bidder who has
      agreed to stipulate to such conditions has submitted a bid  within  five
      percent  of  the  lowest responsible bid for a contract to supply goods,
      services or construction of comparable quality, the  contracting  agency
      shall  refer  such  bids  to  the  mayor  or  such other official as may
      exercise such power  pursuant  to  section  three  hundred  ten  of  the
      charter,  who, in accordance with subdivision b of section three hundred
      thirteen of the charter may determine that it is in the best interest of
      the city that the contract shall be awarded to  other  than  the  lowest
      responsible bidder.
        c.  In  the  case  of  contracts  for  goods, services or construction
      involving  an  expenditure  of  an  amount  greater  than  the   amounts
      established  pursuant  to  subdivisions b and c of section three hundred
      fourteen of the charter, the contracting agency shall  not  award  to  a
      proposed  contractor  who  has not agreed to stipulate to the conditions
      set forth in subdivision a of this section unless the head of the agency
      seeking to use the goods, services or construction determines  that  the
      goods,  services  or  construction supplied by such person are necessary
      for  the  agency  to  perform  its  functions  and  there  is  no  other
      responsible  contractor  who will supply goods, services or construction
      of comparable quality at a comparable price. Such determination shall be
      made in writing and shall be forwarded to the procurement  policy  board
      and the agency designated by the mayor pursuant to subdivision j of this
      section, and published in the City Record.
        d.  No city agency shall enter into a contract for an amount in excess
      of the amounts established pursuant to subdivisions b and c  of  section
      three  hundred  fourteen of the charter with any proposed contractor who
      does not agree to stipulate as a material condition of the contract that
      such entity and its affiliates have not within the twelve  months  prior
      to  the award of such contract violated, and shall not during the period
      of such contract violate the provisions  of  section  138  of  the  U.S.
      customs  and  trade  act  of  1990 or any other sanctions imposed by the
      United States government with regard to Burma.
        e. Upon receiving  information  that  a  contractor,  manufacturer  or
      refiner  who  has agreed to the conditions set forth in subdivision a of
      this section is in  violation  thereof,  the  contracting  agency  shall
      review  such  information and offer the contractor and such other entity
      an opportunity to respond.  If  the  contracting  agency  finds  that  a
      violation  of  such conditions has occurred, or if a final determination
      has been made by the commerce department or  any  other  agency  of  the
      United States or a finding has been made by a court that any such entity
      has  violated any provision of section 138 of the U.S. customs and trade
      act of 1990  or  any  other  sanctions  imposed  by  the  United  States
      government  with regard to Burma, the contracting agency shall take such
      actions as may be appropriate and provided by  law,  rule  or  contract,
      including  but  not  limited  to imposing sanctions, seeking compliance,
      recovering damages and declaring the contractor in  default.  The  mayor
    
      shall  designate  an agency to maintain records of actions taken in such
      cases.
        f.  As  used  in  this  section  the term "contract" shall not include
      contracts with  governmental  and  non-profit  organizations,  contracts
      awarded  pursuant  to  the  emergency procurement procedure set forth in
      section three hundred fifteen of the charter, or contracts, resolutions,
      indentures, declarations of trust, or other instruments  authorizing  or
      relating  to  the  authorization,  issuance,  award, sale or purchase of
      bonds, certificates of indebtedness, notes or other  fiscal  obligations
      of the city, provided that agencies, shall consider the policies of this
      law  when  selecting  a consultant to provide financial or legal advice,
      and  when  selecting  managing  underwriters  in  connection  with  such
      activities.
        g.  The  provisions  of  this section shall not apply to contracts for
      which  the  city  receives  funds  administered  by  the  United  States
      department of transportation, except to the extent congress has directed
      that the department of transportation, not to withhold funds from states
      and localities that implement Burmese embargo policies, or to the extent
      that  such  funds  are  not  otherwise  withheld  by  the  department of
      transportation.
        h. The department of the  citywide  administrative  services  and  any
      other  agency  or agencies designated by the mayor shall conduct a study
      to develop recommendations concerning the application  of  the  policies
      set  forth  in  this  section  to  procurement  of  goods,  services  or
      construction for amounts less than or equal to the  amounts  established
      pursuant  to  subdivisions  b and c of section three hundred fourteen of
      this charter, and shall, on or before January  first,  nineteen  hundred
      ninety-seven,  submit  a  report to the mayor and the council containing
      such recommendations.
        i. Nothing in this section shall be construed to limit  the  authority
      of  a  contracting  agency  or any official authorized by the charter to
      approve the selection of a  contractor  from  taking  into  account,  in
      making  a  determination  to  select  or  approve  the  selection  of  a
      contractor, in a manner consistent with applicable law  and  rules,  any
      information concerning any direct or indirect relationship an entity may
      have related to business activities in Burma.
        j.  (1)  The  mayor  shall  designate an agency or agencies to collect
      information concerning entities doing business in Burma and to  maintain
      records  of  contractors which have or have not agreed to the conditions
      set forth in subdivision a of this section. In  October  of  each  year,
      beginning  in  nineteen  hundred  ninety-seven,  such agency or agencies
      shall submit a report  to  the  mayor  and  the  council  setting  forth
      information concerning contractors that have and have not agreed to such
      terms during the previous fiscal year, and the circumstances under which
      any contract subject to this section was awarded to a contractor who did
      not  agree  to  such terms. The agency shall also report at such time on
      the efforts of public and quasi-public entities operating in the city to
      implement the Burmese embargo policies.
        (2) The  mayor  shall  designate  an  agency  to  collect  information
      concerning  whether entities withdrawing from Burma have given or agreed
      to  give  advance  notification   to   their   Burmese   employees   and
      representative   trade   unions   (or   other   representative  employee
      organizations if  there  are  no  appropriate  unions)  of  the  planned
      termination  of  investment  not  less  than  six  months  prior to such
      termination, and  have  engaged  or  agreed  to  engage  in  good  faith
      negotiations  with such representative unions or organizations regarding
      the terms of such termination, including  but  not  limited  to  pension
      benefits;  relocation  of  employees;  continuation  of  existing  union
    
      recognition agreements; severance pay; and acquisition of the terminated
      business or its assets by representative trade  unions,  union-sponsored
      workers  trusts, other representative worker organizations or employees.
      Such agency shall inform such entities of, and offer them an opportunity
      to  respond  to,  any  such  information it collects. In October of each
      year, beginning in nineteen  hundred  ninety-seven,  such  agency  shall
      submit  a  report  to  the  mayor  and  the  council  on the information
      collected pursuant to this subdivision.
        * NB Enacted without section heading.