Section 147. Mentor-protege program

1. In every state agency, department
  and authority which has let more than ten million dollars in service and
  construction contracts in the prior fiscal  year,  the  chief  executive
  officer  of  that  agency,  department  or  authority  shall  develop  a
  mentor-protege  program  to  foster  long-term   relationships   between
  approved  mentor  firms,  and  small  business concerns and minority and
  women-owned businesses certified pursuant to article  fifteen-A  of  the
  executive  law,  in  order  to  enhance  the  capabilities  of small and
  minority and women-owned business concerns,  improve  their  success  in
  contracting  with  the  state  or  receiving  subcontracts under a state
  contract,  and  to  create   sources   of   reliable   contractors   and
  subcontractors  ready  to  perform  larger  jobs  and  responsibilities.
  Participation in the program shall be voluntary for both the mentor firm
  and the protege firm.
    2.  The  chief  executive  officer  of  each  agency,  department   or
  authority,  in  consultation  with  the division of minority and women's
  business development and the division for small-business  shall  develop
  requirements for:
    (a)  approval  of contractors participating in the program established
  pursuant to subdivision one of  this  section,  to  be  known,  for  the
  purposes   of  such  program,  as  "mentor  firms".  Mentor  firms  must
  demonstrate commitment and ability to assist  protege  firms,  including
  favorable   financial   health,   good   character,  and  experience  in
  contracting with the state. Once approved, a mentor firm  must  annually
  certify  that  it  continues  to  possess good character and a favorable
  financial position. Incentives for mentor firms to  participate  in  the
  program  may  include:  (i)  where  contracts are awarded by best value,
  additional evaluation points as specified in the request  for  proposal;
  and  (ii)  where  protege  firms  are certified minority and women-owned
  businesses, credit  towards  fulfillment  of  minority  and  women-owned
  business   participation   requirements,  including  without  limitation
  additional  credit  towards  fulfillment  of  minority  and  women-owned
  business subcontracting participation goals based on costs incurred by a
  mentor  firm  in  providing  assistance  to  a  certified  minority  and
  women-owned business protege firm.
    (b) approval for small and certified minority and women-owned business
  concerns receiving assistance under the program established pursuant  to
  subdivision  one  of this section, to be known, for the purposes of such
  program, as "protege firms". A protege firm may have only one mentor  at
  a  time  and may participate in the mentor-protege program for a maximum
  of five years.
    (c) a process by which each mentor firm, before  providing  assistance
  to  a  protege firm under the program, shall enter into a mentor-protege
  agreement regarding the assistance to be provided by  the  mentor  firm,
  for a period as determined by the chief executive officer of the agency,
  department  or  authority. A mentor firm may provide a protege firm with
  assistance  and  training  in  general  business  management;  financial
  management,   engineering,   safety   and   technical  matters;  bonding
  assistance or bonding waivers; subcontracts; rent-free use of facilities
  and/or equipment; joint venture arrangements; and any  other  assistance
  as  determined  by the chief executive officer of the agency, department
  or authority. Mentor-protege agreements shall be approved by  the  chief
  executive  officer  of  the  agency,  department or authority, and shall
  provide that either party may terminate the agreement with  thirty  days
  advance   notice   and   notice  to  the  chief  executive  officer.  No
  determination of affiliation or control may be found between  a  protege
  firm  and  its  mentor firm based on the mentor-protege agreement or any
  assistance provided pursuant to such agreement.