STATE OF NEW YORK
        ________________________________________________________________________

                                         6872--A

                               2021-2022 Regular Sessions

                   IN ASSEMBLY

                                     April 13, 2021
                                       ___________

        Introduced  by  M. of A. ZEBROWSKI, SIMON, GRIFFIN, L. ROSENTHAL, STECK,
          THIELE, GOTTFRIED, GLICK -- read once and referred to the Committee on
          Governmental Operations -- recommitted to  the  Committee  on  Govern-
          mental  Operations  in  accordance  with  Assembly  Rule  3, sec. 2 --
          committee discharged, bill amended, ordered reprinted as  amended  and
          recommitted to said committee

        AN  ACT  to amend the state finance law, in relation to enacting the New
          York deforestation-free procurement act

          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:

     1    Section  1.  This act shall be known and may be cited as the "New York
     2  deforestation-free procurement act".
     3    § 2. Legislative Findings. The  Legislature  finds  and  declares  the
     4  following:
     5    1.  Tropical  forests  cover roughly 7 percent of Earth's surface, but
     6  harbor close to 50 percent of all species on Earth.
     7    2.  Boreal forests represent about thirty percent of the global forest
     8  area, help regulate the climate  through  the  exchange  of  energy  and
     9  water, and are a large reservoir of biogenic carbon.
    10    3.  Human  activity  is  the  driving force behind the current rate of
    11  species extinction, which is at least 100 to  1,000  times  higher  than
    12  historical  levels.  The World Wildlife Fund's 2016 Living Planet Report
    13  found global  populations  of  fish,  birds,  mammals,  amphibians,  and
    14  reptiles declined by 58 percent between 1970 and 2012.
    15    4.  Globally,  an  estimated  18,000,000 acres of forest, an area more
    16  than half the size of New York State, are lost every year to  deforesta-
    17  tion  according  to  the Food and Agriculture Organization of the United
    18  Nations, with over one-half of Earth's tropical forests already gone. At
    19  the current pace, the entirety of Earth's tropical rainforests  will  be
    20  degraded or destroyed within the next 100 years.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03158-13-2

        A. 6872--A                          2

     1    5.  It  has  been  estimated  that  at least 30 percent of the world's
     2  greenhouse gas emissions come from deforestation and forest degradation.
     3  Taking into account carbon sequestration potential, stopping the loss of
     4  tropical forests, mangroves, and wetlands could provide over 20  percent
     5  of climate mitigation by 2030.
     6    6. Loss of biodiversity resulting from forest degradation and defores-
     7  tation,  as  well  as human encroachment on formerly undisturbed ecosys-
     8  tems, increases the risks of zoonotic disease pandemics such  as  COVID-
     9  19.
    10    7. New York State is a leader in addressing the climate crisis, with a
    11  statutory  goal  of achieving net-zero greenhouse gas emissions economy-
    12  wide by 2050.
    13    8. Tropical deforestation in many countries is closely associated with
    14  violations of the land rights of indigenous peoples and  local  communi-
    15  ties  and  with  the exploitation of workers, including forced labor and
    16  child labor, and in many cases is enabled  by  corruption,  criminality,
    17  and violence against land defenders.
    18    9. Tropical deforestation in many countries is also closely associated
    19  with  illegal wildlife trafficking, including, but not limited to, vari-
    20  ous bird and reptile species,  many  primate  species,  including  great
    21  apes,  pangolins,  and  orangutans,  and  in  many  cases  is enabled by
    22  corruption, criminality, and violence against conservationists.
    23    10. The primary factor leading to tropical deforestation  is  degrada-
    24  tion  and  road-building associated with logging for timber, which opens
    25  the door for deforestation  caused  by  industrial-scale  production  of
    26  agricultural  commodities and conversion of forests into plantations for
    27  the timber, pulp, and paper industry. Together, these  are  increasingly
    28  known as "forest-risk commodities".
    29    11.  Industrial logging to make single-use tissue products, newsprint,
    30  and lumber is a large driver of boreal forest degradation and deforesta-
    31  tion, as is  the  exploration,  development,  and  extraction  of  other
    32  resources,  such  as  mining,  oil and gas development, and flooding for
    33  hydroelectric projects.
    34    12. New York is inadvertently promoting and sanctioning  deforestation
    35  and intact forest degradation through the purchase of goods and products
    36  that  have  been produced in supply chains that contribute to deforesta-
    37  tion and intact forest degradation.
    38    13. New York has one of the largest economies in  the  world  and  its
    39  purchasing  power  has  significant  market force, allowing it to play a
    40  leadership role in preventing forest loss  and  supporting  markets  for
    41  sustainably-sourced products.
    42    14.  It is the intent of the legislature that it be the policy of this
    43  state to ensure companies contracting with the state are not  contribut-
    44  ing  to  tropical  or  boreal deforestation or intact forest degradation
    45  directly or through their supply chains.
    46    § 3. Paragraphs b, c, d and e of subdivision 1 of section 165  of  the
    47  state  finance  law,  as  added  by  chapter 83 of the laws of 1995, are
    48  amended to read as follows:
    49    b. "Tropical hardwood" shall mean any and all hardwood, scientifically
    50  classified as angiosperm, that grows in  any  tropical  [moist]  forest.
    51  Tropical  hardwoods shall [be] include but not be limited to the follow-
    52  ing species:
    53       Scientific Name                     Examples of Common [Name]
    54                                           Names
    55       Prunus Africana                     African cherry, Red stinkwood
    56       Caryocar costaricense               Ajo, Aji

        A. 6872--A                          3

     1       Calophyllum spp.                    Bintangor
     2       Cedrela spp.                        Cedar
     3       Neobalanocarpus heimii,             Chengal
     4       Balanocarpus heimii
     5       Octomeles sumatrana Miq.            Erima, benuang
     6       Myroxylon balsamum                  Estoraque
     7       Apuleia leiocarpa                   Garapa
     8       Parastemon urophyllus,Parastemon    Malas
     9       spicatus Ridley
    10       Hopea spp.                          Merawan
    11       Araucaria araucana                  Monkey Puzzle, Chilean pine
    12       Pterocarpus tinctorius              Mukula
    13       Senna siamea                        Siamese senna
    14       Pometia pinata                      Taun
    15       Milletia leucantha Kurz             Thinwin
    16       Bulnesia arborea, Bulnesia          Verawood, Argentine lignum
    17       sarmientoi                          vitae
    18       Tristaniopsis laurina               Water gum
    19       Terminalia spp.
    20       Homalium foetidum                   Malas
    21       Dillenia papuana                    Dillenia
    22       Canarium spp.                       Red Canarium, Grey Canarium
    23       Burkrella macropoda                 Rang rang
    24       Octomeles sumatrana                 Erima, Benuang
    25       Dracontomelon dao                   New Guinea walnut
    26       Planchonella spp.                   White Planchonella, Red
    27                                           Planchonella
    28       Lophopetalum spp.                   Perupok
    29       Carinian pyriformis                 Abarco, Jequitiba
    30       Mitragyna ciliate                   Abura
    31       Vouacapous americana                Acapu
    32       Amburana caerensis                  Amburana, Cerejeira
    33       Dalbergia melanoxylon               African Blackwood
    34       Lovoa spp.                          African Walnut, Tigerwood
    35       Pericopsis elata                    [Afrormosis] Afrormosia
    36       [Shorea almon]                      [Almon]
    37       Aspidosperma megalocarpon           Acaretto
    38       Peltogyne spp.                      Amaranth, purpleheart
    39       Terminalia amazonia                 Amarillo Real
    40       Guibourtia ehie                     Amazaque
    41       Amburana cearensis                  Amburana, Cerejeira, cumare
    42       Pterogyne nitens                    Amendoim
    43       Carapa guianensis                   Andiroba, False Mahogany
    44       Dicorynia guianensis                Angilique Cris
    45       [Aningeris] Aningeria spp.          Aningeria, anegre,
    46                                           anigre
    47       Dipterocarpus [grandiflorus]        [Apilong] Apitong, Keruing
    48       spp.
    49       Centrolobium spp.                   Arariba, Amarillo
    50       Brosimum utile                      Baco
    51       Shorea spp.                         Balau, Selangan batu
    52       Ochroma lagopus                     Balsa
    53       Ochroma pyramidale                  Balsa
    54       Myroxylon balsamum                  Balsamo
    55       [Virola spp.]                       [Banak]
    56       Anisoptera thurifera                Bella [Rose] Rosa

        A. 6872--A                          4

     1       Guibourtia arnoldiana               Benge, Mutenye
     2       Berlinia spp.                       Berlinia, Rose Zebrano
     3       Symphonia globulifera               Boar Wood
     4       Deterium [Senegalese] senegalese    Boire
     5       Caesalpinia echintata,              Brazilwood, Pernambuco
     6       Paubrasilia eschinata
     7       Bertholletia excels                 Brazil Tree
     8       Brosimum alicastrum                 Breadnut
     9       Guilbourtia spp.                    Bubinga, African
    10       (G. demusei, G. pellegriniana,      Rosewood, Kevazingo
    11       G. tessmannii)
    12       Toona calantas, Cedrela calantas    Calantas, Kalantas
    13       Priora copaifera                    Cativo
    14       Cedrela odorata, Cedrela fissilis   Cedro, Cedar, Spanish cedar,
    15                                           South American cedar
    16       Ceiba pentandra                     Ceiba
    17       Antiaris africana                   Chenchen, Antiaris
    18       Couratari guianensis                Coco Blanco
    19       [Dalbergis] Dalbergia
    20       retusa                              [Concobola] Cocobolo,
    21                                           Granadillo
    22       Tabebuia donnell-smithii            Copal
    23       Daniellia spp.                      Copal, Daniellia
    24       Cordia spp.                         Cordia, Bocote, Ziricote, Louro
    25       Hymenaea courbaril                  Courbaril, West Indian Locust
    26       Dipteryx odorata                    Cumaru
    27       Piptadeniastrum africanum           Dahoma, Banzu
    28       Calycophyllum candidissimum         Degame, Legame Lancewood,
    29                                           Lemonwood
    30       Afzelia spp.                        Doussie, Lingue
    31       [Diospyros] Diospyrus spp.          Ebony, Macassare,
    32                                           ebony,
    33                                           Ceylon ebony
    34       Lophira alata                       Ekki, Azobe, Bangassi, Akoura,
    35                                           Red Ironwood
    36       Combretodendron macrocarpum         Esia, Essia
    37       Cordia goeldiana                    Freijo, Cordia Wood
    38       Chlorophora tinctoria               Fustic, Yellow Wood, Tatajuba
    39       [Aucoumes] Aucoumea klaineana       Gaboon, Okoume
    40       Astronium spp.                      Goncalo Alves, Zebrawood,
    41                                           Tigerwood
    42       Ocotea rodiaei                      Greenheart
    43       Enterolobium cyclocarpum            Guanacaste, Rain Tree,
    44                                           Elephant Ear
    45       Guarea spp.                         Guarea, Bosse
    46       Terminalia ivorensis                Idigbo, Framire, Black Afara
    47       Phoebe porosa                       Imbuia, Imbuya, Embuia,
    48                                           Brazilian Walnut
    49       Handroanthus spp.                   Ipe, Brazilian walnut,
    50                                           bethabarra, Pau d'arco,
    51                                           Ironwood, Lapacho
    52       Chlorophors excelsa                 Iroko
    53       Hymenaea courbaril                  Jatoba, "Brazilian Cherry"
    54       Jacaranda copaia                    Jacaranda
    55       Machaerium villosum                 Jacaranda Pardo
    56       Dyera costulata                     Jelutong

        A. 6872--A                          5

     1       Dryobalanops spp.                   Kapur, Keladan
     2       Koompassia malaccensis              Kempas, Impas
     3       Acacia koa                          Koa
     4       Entandrophragma candollei           Kosipo, Omu
     5       Pterygota macrocarpa                Koto, African Pterygota, Ware
     6       Oxandra lanceolate                  Lancewood
     7       Shorea spp. [negrosensis]           [Red]  Lauan, Luan,
     8                                           Lawaan, Meranti, White
     9                                           meranti, yellow meranti, dark
    10                                           red meranti, light red meranti,
    11                                           Seraya, Tanguile, Bang,
    12                                           Philippine Mahogany
    13       [Pentacme contorta]                 [White Lauan]
    14       [Shores ploysprma]                  [Tanguile]
    15       Nothofagus pumilio                  Lenga
    16       Guaiacum officinale                 Lignum Vitae, Guayacan,
    17                                           Ironwood
    18       Terminalia superba                  Limba, Afara, Ofram
    19       [Aniba duckei] Aniba rosedora       [Louro] Brazilian
    20                                           rosewood, pau rosa, bois
    21                                           de rose
    22       Nectandra spp.                      Louro Preto
    23       [Kyaya ivorensis] Khaya spp.        [Africa] African
    24                                           Mahogany
    25       [Swletenia macrophylla]             [Amer. Mahogany]
    26       Swietenia spp.                      American Mahogany, West Indian
    27                                           Mahogany, Central American
    28                                           Mahogany, Honduran Mahogany,
    29                                           South American Mahogany,
    30                                           Mexican Mahogany, Bigleaf
    31                                           Mahogany, Little Leaf
    32                                           Mahogany, Acajou, Caoba
    33                                           Mogno
    34       Tieghemella [leckellii] heckelii    [Makora]
    35                                           Makore,
    36                                           Baku
    37       Diospyros marmorata                 Marblewood, Zebrawood
    38       Intsia bijuga, Intsia palembanica   Merbau, Ipil, Kwila
    39       Anisoptera spp.                     Mersawa, Krabak, Palosapis
    40       Mora excelsa                        Mora
    41       Distemonanthus benthamianus         Movingui, Ayan
    42       Terminalia amazonia                 Nargusta
    43       Pterocarpus spp.                    Narra, Ambyna, Papua New Guinea
    44                                           Rosewood, Red Sanders, Mukula,
    45                                           Kosso, zitan, Hongmu
    46       Palaquium spp.                      Nyatoh, Padang, Pencil Cedar
    47       Triplochiton scleroxylon            Obeche, Samba
    48       Nauclea diderrichii                 Opepe, Sibo
    49       Pterocarpus [soyauxii] spp.         [African] Padauk,
    50                                           Vermillion Wood
    51       [Pterocarpus angolensis]            [Angola Padauk]
    52       Millettia stuhlmannii               Panga Panga
    53       Balfourodendron riedelianum         Pau Marfim
    54       Aspidosperma spp.                   Peroba, Rosa
    55       Paratecoma peroba                   Peroba Branca

        A. 6872--A                          6

     1       Dalbergia frutescens, D. tomentosa  Pinkwood, Brazilia Tulipwood
     2       Tabebuia donnell-smithii            Prima Vera, Roble, Durango
     3       Peltogyne spp.                      Purpleheart
     4       Gonystylus spp.                     Ramin
     5       Melanorrhoea curtisii               Rengas, Borneo Rosewood
     6       Nothofagus obliqua                  Roble
     7       Hevea brasiliensis                  Rubberwood
     8       Dalbergia spp.                      Rosewood, Indian Rosewood,
     9                                           Honduras Rosewood, cocobolo,
    10                                           granadillo
    11       Aniba duckei                        Brazilian Rosewood
    12       Entandrophragma cylindricum         [Sapela] Sapele,
    13                                           Sapelli
    14       Acanthopanax ricinofolius           Sen, Castor Arabia
    15       Brosimum aubletti, Piratinera       Snakewood, Letterwood, Leopard
    16       guianensis                          Wood
    17       [Shores phillippinensis]            [Sonora]
    18       Juglans spp. (juglans               South American Walnut, Peruvian
    19       australis, J. neotropica,           Walnut
    20       J. Olanchana, etc.)
    21       Sterculia rhinopetala               Sterculia
    22       Bagassa guianensis                  Tatajuba, Bagasse
    23       Tectona grandis                     Teak
    24       Lovoa trichilloides                 Tigerwood
    25       Entandrophragma utile               Utile, Sipo
    26       Virola spp.                         Virola, Cumala, Banak, Tapsava
    27       Milletia laurentii                  Wenge
    28       Pentacme contorta                   White Lauan
    29       Microberlinia [brazzavillensis]     Zebrawood,
    30       spp.                                Zebrano, Zingana

    31    c.  "Tropical  [rain] forests" shall mean [any and all forests classi-
    32  fied by the scientific term "Tropical moist forests", the classification
    33  determined by the equatorial region of the forest and average  rainfall]
    34  a  natural  ecosystem within the tropical regions, approximately bounded
    35  geographically by the tropics of  Cancer  and  Capricorn,  but  possibly
    36  affected  by  other  factors such as prevailing winds, containing native
    37  species composition, structure, and ecological  function,  with  a  tree
    38  canopy  cover  of  more  than  ten  percent over an area of at least 0.5
    39  hectares. "Tropical forests" shall include all  of  the  following:  (i)
    40  human-managed  tropical  forests  or partially degraded tropical forests
    41  that are regenerating; and (ii) forests  identified  by  multi-objective
    42  conservation  based  assessment methodologies, such as High Conservation
    43  Value (HCV) areas, as defined by  the  HCV  Resource  Network,  or  High
    44  Carbon  Stock  forests, as defined by the High Carbon Stock Approach, or
    45  by another methodology with equivalent or higher standards that includes
    46  primary forests and peatlands of any depth. "Tropical forests" shall not
    47  include tree plantations of any type.
    48    d. "Tropical wood products" shall mean any wood products, wholesale or
    49  retail, in any form, including  but  not  limited  to  plywood,  veneer,
    50  furniture, cabinets, paneling, siding, moldings, doors, doorskins, join-
    51  ery,  flooring  or sawnwood, which are composed, in whole or in part, of
    52  tropical hardwood [except plywood].
    53    e. "Peat" means a soil that is rich  in  organic  matter  composed  of
    54  partially  decomposed plant materials equal to or greater than 40 centi-
    55  meters of the top 100 centimeters of the soil.

        A. 6872--A                          7

     1    f. "Peatlands" means wetlands with a layer of peat made up of dead and
     2  decaying plant material. Peatlands includes  moors,  bogs,  mires,  peat
     3  swamp forests, and permafrost tundra.
     4    g.  "Secondary  materials" means any material recovered from or other-
     5  wise destined for the waste stream, including, but not limited to, post-
     6  consumer material, industrial scrap material and overstock  or  obsolete
     7  inventories  from distributors, wholesalers and other companies but such
     8  term does not include those materials and  by-products  generated  from,
     9  and commonly reused within, an original manufacturing process.
    10    §  4. Paragraph b of subdivision 2 of section 165 of the state finance
    11  law, as added by chapter 83 of the laws of 1995, is amended to  read  as
    12  follows:
    13    b.  The  provisions of paragraph a of this subdivision shall not apply
    14  to:
    15    (i) [Any hardwoods purchased from a sustained, managed forest; or
    16    (ii)] Any binding contractual obligations for purchase of  commodities
    17  entered  into prior to August twenty-fifth, nineteen hundred ninety-one;
    18  or
    19    [(iii) The purchase of any  tropical  hardwood  or  tropical  hardwood
    20  product  for which there is no acceptable non-tropical hardwood species;
    21  or
    22    (iv) Where the contracting officer finds  that  no  person  or  entity
    23  doing business in the state is capable of providing acceptable non-trop-
    24  ical  hardwood  species  sufficient  to  meet  the  particular  contract
    25  requirements; or
    26    (v)] (ii) Where the inclusion or application of such  provisions  will
    27  violate  or  be  inconsistent  with  the terms or conditions of a grant,
    28  subvention or contract  in  an  agency  of  the  United  States  or  the
    29  instructions  of  an  authorized  representative of any such agency with
    30  respect to any such grant, subvention or contract[; or
    31    (vi) Where inclusion or application of such provisions  results  in  a
    32  substantial  cost  increase  to  the state, government agency, political
    33  subdivision, public corporation or public benefit corporation].
    34    § 5. Section 165 of the state finance law is amended by adding  a  new
    35  subdivision 9 to read as follows:
    36    9.  Deforestation-free  procurement.  a. For purposes of this subdivi-
    37  sion, the following definitions shall apply:
    38    (i) "Contractor" means any person or entity that has a contract with a
    39  state agency or state authority for public works or improvements  to  be
    40  performed,  for  a franchise, concession or lease of property, for grant
    41  monies or goods and services or supplies to be purchased at the  expense
    42  of  the agency or authority or to be paid out of monies deposited in the
    43  treasury or out of trust monies under the control or  collected  by  the
    44  agency or authority.
    45    (ii)  "Forest-risk  commodity"  means  any  commodity  and its derived
    46  products, including agricultural and  non-agricultural  commodities  but
    47  excluding tropical hardwood and tropical wood products covered by subdi-
    48  visions  one  and two of this section, whether in raw or processed form,
    49  that is commonly extracted from, or grown, derived,  harvested,  reared,
    50  or  produced  on  land  where tropical or boreal deforestation or intact
    51  forest degradation has occurred  or  is  likely  to  occur.  Forest-risk
    52  commodities include palm oil, soy, beef, coffee, wood pulp, paper, logs,
    53  lumber,  and  any  additional commodities defined by the commissioner of
    54  the office of general services pursuant to subparagraph (i) of paragraph
    55  g of this subdivision, but do  not  include  wood  pulp  or  paper  made
    56  entirely from recovered fiber.

        A. 6872--A                          8

     1    (iii)  "Free,  prior, and informed consent" means the principle that a
     2  community has the right to give or  withhold  its  consent  to  proposed
     3  developments that may affect the land and waters it legally or customar-
     4  ily  owns,  occupies,  or  otherwise  uses,  as  described in the United
     5  Nations  Declaration on the Rights of Indigenous Peoples, the Indigenous
     6  and Tribal Peoples Convention of 1989, also known as  the  International
     7  Labor  Organization Convention 169, and other international instruments.
     8  "Free, prior, and informed consent" means informed, noncoercive  negoti-
     9  ations  between  investors,  companies,  or  governments, and indigenous
    10  peoples and local communities, prior to project development.
    11    (iv) "Large contractor" means any contractor whose annual revenue,  or
    12  that  of  their  parent company, is equal to or greater than one hundred
    13  million dollars.
    14    (v) "Point-of-origin" means the geographical location,  as  identified
    15  by  the  smallest  administrative  unit  of  land, where a commodity was
    16  grown, derived, harvested, reared, or produced.
    17    (vi) "Recovered fiber" means postconsumer fiber such as paper,  paper-
    18  board,  and  fibrous  materials  from  retail  stores, office buildings,
    19  homes, and so forth,  after  having  passed  through  their  end  usage,
    20  including  used  corrugated  boxes, old newspapers, old magazines, mixed
    21  waste paper, tabulating cards, and used cordage, and all  paper,  paper-
    22  board, and fibrous materials that enter and are collected from municipal
    23  solid  waste;  and manufacturing wastes such as dry paper and paperboard
    24  waste generated after completion of the papermaking  process,  including
    25  envelope  cuttings,  bindery  trimmings,  and other paper and paperboard
    26  waste resulting from printing, cutting, forming,  and  other  converting
    27  operations,  bag,  box, and carton manufacturing wastes, and butt rolls,
    28  mill wrappers, and rejected unused stock, and  repulped  finished  paper
    29  and  paperboard  from  obsolete  inventories  of  paper  and  paperboard
    30  manufacturers, merchants, wholesalers,  dealers,  printers,  converters,
    31  and others.
    32    (vii)  "Deforestation"  means direct human-induced conversion of trop-
    33  ical or boreal forest to agriculture, a tree plantation, or  other  non-
    34  forest land use.
    35    (viii) "Intact forest degradation" means severe and sustained degrada-
    36  tion  of  a  tropical  or  boreal forest resulting in significant intact
    37  forest loss and/or a profound change in species composition,  structure,
    38  or ecological function of that forest.
    39    (ix)  "Boreal forest" means a forest growing in high-latitude environ-
    40  ments where freezing temperatures occur for six to eight months  and  in
    41  which  trees are capable of reaching a minimum height of five meters and
    42  a canopy cover of ten percent.
    43    (x) "Intact forest" means a forest that has  never  been  industrially
    44  logged  and  has  developed  following  natural  disturbances  and under
    45  natural processes, regardless of its age. Intact forests include forests
    46  that have  experienced  non-industrial-scale  human  impacts,  including
    47  traditional or subsistence activities carried out by indigenous communi-
    48  ties.
    49    (xi)  "New  York  state  products"  means  products  that  are  grown,
    50  harvested, or produced in this state, or  processed  inside  or  outside
    51  this  state  comprising  over  fifty-one  percent  raw  materials grown,
    52  harvested, or produced in this state, by weight or volume.
    53    (xii) "Small business" means small business as defined in section  one
    54  hundred thirty-one of the economic development law.

        A. 6872--A                          9

     1    (xiii)  "Medium-sized business" shall mean a business that is resident
     2  in this state, independently owned and operated,  not  dominant  in  its
     3  field, and employs between one hundred and five hundred persons.
     4    (xiv) "Minority-owned business enterprise" shall have the same meaning
     5  as in article fifteen-A of the executive law.
     6    (xv)  "Women-owned business enterprise" shall have the same meaning as
     7  in article fifteen-A of the executive law.
     8    b. (i) Every contract entered into by a state agency or authority that
     9  includes the procurement of any product comprised wholly or in part of a
    10  forest-risk commodity shall require that the contractor certify that the
    11  commodity furnished to the  state  pursuant  to  the  contract  was  not
    12  extracted  from,  grown, derived, harvested, reared, or produced on land
    13  where tropical or boreal  deforestation  or  intact  forest  degradation
    14  occurred  on  or  after  January  first,  two  thousand  twenty-two. The
    15  contractor shall agree to comply with this provision of the contract.
    16    (ii) The contract shall specify that the  contractor  is  required  to
    17  cooperate  fully  in  providing  reasonable  access  to the contractor's
    18  records,  documents,  agents,  employees,  or  premises  if   reasonably
    19  required by authorized officials of the contracting agency or authority,
    20  the  office of general services, the office of the attorney general, the
    21  department of environmental conservation, or  the  stakeholder  advisory
    22  group  established  in paragraph f of this subdivision, to determine the
    23  contractor's compliance with the requirements under subparagraph (i)  of
    24  this paragraph.
    25    (iii)  Contractors shall exercise due diligence in ensuring that their
    26  subcontractors comply with the requirements under  subparagraph  (i)  of
    27  this paragraph.  Contractors shall require each subcontractor to certify
    28  that the subcontractor is in compliance with the requirements of subpar-
    29  agraph (i) of this paragraph.
    30    (iv)  In  addition to the requirements of subparagraphs (i), (ii), and
    31  (iii) of this paragraph, large contractors subject to  subparagraph  (i)
    32  of  this  paragraph  must certify that they have adopted a forest policy
    33  that complies with regulations issued pursuant to subparagraph (vii)  of
    34  paragraph  g  of  this  subdivision.  The adoption of forest policy by a
    35  contractor, subcontractor, or supplier that is not a large contractor is
    36  not required by this subparagraph but may be used to demonstrate compli-
    37  ance with subparagraph (i) of this paragraph. Such forest policy and all
    38  corresponding data shall be made publicly available, and  shall  contain
    39  at a minimum all of the following:
    40    A.  Due  diligence measures to identify the point-of-origin of forest-
    41  risk commodities and ensure compliance  with  the  policy  where  supply
    42  chain risks are present.
    43    B.  Data  detailing the complete list of direct and indirect suppliers
    44  and supply chain traceability information, including  refineries,  proc-
    45  essing  plants,  farms,  and  plantations,  and their respective owners,
    46  parent  companies,  and  farmers,  maps,  and  geo-locations,  for  each
    47  forest-risk  commodity  found  in  products that may be furnished to the
    48  state.
    49    C. Measures taken to ensure the product does not contribute  to  trop-
    50  ical or boreal deforestation or intact forest degradation, including:
    51    (1)  no development of tropical or boreal intact forests, and that the
    52  product does not originate from a site where  commodity  production  has
    53  replaced intact tropical or boreal forest after January first, two thou-
    54  sand twenty-two;
    55    (2) no development of High Carbon Stock (HCS) Forests;
    56    (3) no development of High Conservation Value (HCV) Areas;

        A. 6872--A                         10

     1    (4) no burning;
     2    (5)  efforts  to ensure progressive reductions of greenhouse gas emis-
     3  sions on existing plantations;
     4    (6) no development on peat, regardless of depth;
     5    (7) best management practices for existing plantations on peat; and
     6    (8) where feasible, activities oriented towards peat restoration.
     7    D. Measures taken to prevent exploitation and  redress  grievances  of
     8  workers and local communities, including:
     9    (1) Respect for and recognition of the rights of all workers including
    10  contract, temporary, and migrant workers.
    11    (2) Respect for and recognition of land tenure rights of communities.
    12    (3) Respect for the rights of indigenous and local communities to give
    13  or  withhold  their  free,  prior, and informed consent to operations on
    14  lands to which they hold legal, communal, or customary rights.
    15    (4) Explicit policies and processes to prevent violence, intimidation,
    16  and coercion of workers and local communities.
    17    (5) Formal, open, transparent, and consultative processes  to  address
    18  and redress all complaints and conflicts.
    19    E.  Measures taken to protect biodiversity and prevent the poaching of
    20  endangered species in all operations and adjacent areas.
    21    F. Measures taken to ensure compliance  with  the  laws  of  countries
    22  where forest-risk commodities in a company's supply chain were produced.
    23    G.  Measures  to deter violence, threats, and harassment against envi-
    24  ronmental human rights defenders (EHRDs), including respecting  interna-
    25  tionally  recognized  human  rights  standards, and educating employees,
    26  contractors, and partners on the rights of EHRDs to express their views,
    27  conduct peaceful protests, and criticize practices without  intimidation
    28  or retaliation.
    29    (v)  The  provisions  of  subparagraph (i) of this paragraph shall not
    30  apply when the inclusion or application of such provisions will  violate
    31  or  be  inconsistent with the terms or conditions of a grant, subvention
    32  or contract with an agency of the United States or the  instructions  of
    33  an authorized representative of any such agency with respect to any such
    34  grant, subvention or contract.
    35    c.  (i)  If  it is determined that any contractor contracting with the
    36  state knew or should have known that a product comprised  wholly  or  in
    37  part  of a forest-risk commodity was furnished to the state in violation
    38  of paragraph b of this subdivision, the contracting agency or  authority
    39  shall issue a written notice of violation and provide an opportunity for
    40  such  contractor  to  come  into  compliance.  If,  after such notice, a
    41  contractor fails to come into compliance within a timeframe  established
    42  by  the department, such contractor may, subject to subparagraph (ii) of
    43  paragraph b of this subdivision, have either or both  of  the  following
    44  sanctions imposed:
    45    A.  The  contract under which the prohibited forest-risk commodity was
    46  furnished may be voided at the option of the state agency  or  authority
    47  to which the commodity was furnished.
    48    B.  The contractor may be assessed a penalty that shall be the greater
    49  of one thousand dollars or an amount  equaling  twenty  percent  of  the
    50  value of the product that the state agency or authority demonstrates was
    51  comprised  wholly or in part of a forest-risk commodity and furnished to
    52  the state in violation of paragraph b of this subdivision. A hearing  or
    53  opportunity to be heard shall be provided prior to the assessment of any
    54  penalty.
    55    (ii)  Notwithstanding subparagraph (i) of this paragraph, a contractor
    56  that has complied with the provisions of subparagraph (iii) of paragraph

        A. 6872--A                         11

     1  b of this subdivision shall not be subject to sanctions for  violations,
     2  of  which  the contractor had no knowledge, of the requirements of para-
     3  graph b of this subdivision that were committed solely by a  subcontrac-
     4  tor.  Sanctions described under subparagraph (i) of this paragraph shall
     5  instead  be  imposed  against  the  subcontractor  that  committed   the
     6  violation.
     7    d.  (i)  Any  state  agency or authority that investigates a complaint
     8  against a contractor or subcontractor for violation of this  subdivision
     9  may  limit  its  investigation to evaluating the information provided by
    10  the person or  entity  submitting  the  complaint  and  the  information
    11  provided by the contractor or subcontractor.
    12    (ii)  Whenever  a  contracting  officer  of  the contracting agency or
    13  authority has reason to believe that the  contractor  failed  to  comply
    14  with  paragraph  b  of  this  subdivision, the agency or authority shall
    15  refer the matter for investigation to the head of the agency or authori-
    16  ty and, as the head of the agency or authority  determines  appropriate,
    17  to  either  the  office  of general services, the office of the attorney
    18  general, or the department of environmental conservation.
    19    e. (i) When a state agency or authority's contract for the purchase of
    20  a commodity or product covered by this subdivision is to be  awarded  to
    21  the  lowest  responsible  bidder, an otherwise qualified bidder who is a
    22  small or medium-sized business or a minority-owned or women-owned  busi-
    23  ness enterprise, or who will fulfill the contract through the use of New
    24  York  state  products,  may  be  given  preference  over  other bidders,
    25  provided that the cost included in the bid is not more than ten  percent
    26  greater  than  the  cost  included  in a bid that is not from a small or
    27  medium-sized business or a minority-owned or women-owned business enter-
    28  prise or fulfilled through the use of New York state products.
    29    (ii) The provisions of this paragraph shall not apply if the  head  of
    30  the  contracting  state agency or authority purchasing such products, in
    31  his or her sole discretion, determines that giving preference to bidders
    32  pursuant to the provisions of this paragraph would be:
    33    (a) against the public interest;
    34    (b) would increase the cost of the contract by an unreasonable amount;
    35  or
    36    (c) New York state products  cannot  be  obtained  in  sufficient  and
    37  reasonable  available quantities and of satisfactory quality to meet the
    38  contracting state agency or authority's requirements.
    39    (iii) Nothing in this paragraph shall be construed to conflict with or
    40  otherwise limit the goals and requirements  set  forth  by  section  one
    41  hundred sixty-two of this article and articles fifteen-A and seventeen-B
    42  of the executive law.
    43    f.  (i)  The  commissioner    of  the office of general services shall
    44  convene a stakeholder advisory group which shall  be  consulted  on  the
    45  creation of regulations pursuant to paragraph g of this subdivision, and
    46  shall  exercise an oversight role pursuant to paragraph h of this subdi-
    47  vision. Members of the advisory group shall be selected by  the  commis-
    48  sioner and shall consist of at least:
    49    (A)  representatives of current or former state contractors dealing in
    50  each of the forest-risk commodities specified in  subparagraph  (ii)  of
    51  paragraph  a  of this subdivision, with an emphasis on small and medium-
    52  sized businesses;
    53    (B) representatives from civil  society  with  relevant  expertise  in
    54  supply  chain  traceability,  tropical and boreal forest sustainability,
    55  biodiversity, climate science, human and labor  rights,  and  indigenous
    56  rights.  Members  selected pursuant to this clause should be of at least

        A. 6872--A                         12

     1  equal number to members selected pursuant to clause (A) of this subpara-
     2  graph; and
     3    (C) a minimum of two additional representatives from indigenous commu-
     4  nities  within  the  geographic  areas  containing  tropical  and boreal
     5  forests covered by this subdivision.
     6    (ii) The stakeholder advisory group shall select a  chair  from  among
     7  its members, subject to approval by a majority of members.
     8    (iii) Members of the stakeholder advisory group shall receive no sala-
     9  ry,  but  shall  be reimbursed by the office of general services for any
    10  necessary travel expenses related to participating  in  the  stakeholder
    11  advisory group.
    12    g.   On or before July first, two thousand twenty-three, the office of
    13  general services shall issue regulations for the implementation of  this
    14  subdivision.  Such  regulations  shall be developed in consultation with
    15  the stakeholder advisory group established in paragraph f of this subdi-
    16  vision and the commissioner of the department of  environmental  conser-
    17  vation.    Such regulations shall include, but not be limited to, all of
    18  the following:
    19    (i) A list of forest-risk commodities subject to the  requirements  of
    20  this  subdivision,  including,  but not limited to, palm oil, soy, beef,
    21  coffee, wood pulp, paper, logs, and lumber. The list shall  be  reviewed
    22  and  updated  at  least  every three years. When evaluating inclusion of
    23  additional commodities in the list, the commissioner of  the  office  of
    24  general  services shall consider the impact of the commodity as a driver
    25  of tropical or boreal deforestation or intact  forest  degradation,  the
    26  state of existing supply chain transparency and traceability systems for
    27  the  commodity,  and  the feasibility of including the  commodity in the
    28  requirements of paragraph b of this subdivision. The first review  shall
    29  include,  but not be limited to evaluation of cocoa, rubber, leather and
    30  other cattle-derived products.
    31    (ii) A list of products derived wholly or  in  part  from  forest-risk
    32  commodities.
    33    (iii)  A  list  of  products  furnished  to the state or used by state
    34  contractors in high-volume purchases that contain or are comprised whol-
    35  ly or in part of forest-risk commodities.
    36    (iv) A set of responsible sourcing  guidelines  and  policies  derived
    37  from best practices in supply chain transparency to the point-of-origin.
    38    (v)  Guidance to assist contractors in identifying forest-risk commod-
    39  ities in their supply chain, performing necessary due diligence to  meet
    40  the  requirements of this subdivision, and certifying that the commodity
    41  did not contribute to tropical or boreal deforestation or intact  forest
    42  degradation.
    43    (vi)  A  list  of  favored  suppliers  of  forest-risk commodities and
    44  products derived  therefrom  whose products have been determined to meet
    45  the requirements of this subdivision.
    46    (vii) The full set of requirements for  a  large  contractor's  forest
    47  policy pursuant to subparagraph (iv) of paragraph b of this subdivision.
    48    (viii)  The  process  through  which  contractors shall certify to the
    49  office of general services that they are in compliance with paragraph  b
    50  of this subdivision.
    51    (ix)  A  process  for ensuring that details of certified contracts are
    52  made available for public inspection on the website  of  the  office  of
    53  general services.
    54    (x)  An  easily  accessible procedure to receive public complaints and
    55  information regarding violations of this subdivision.

        A. 6872--A                         13

     1    h. (i) At any time after January first, two thousand twenty-four,  but
     2  no less frequently than every six months thereafter, the commissioner of
     3  the  office of general services shall submit to the stakeholder advisory
     4  group established in paragraph f of this subdivision the details of  all
     5  contracts  certified  under  this  subdivision. The stakeholder advisory
     6  group shall assess the compliance of all or a representative  subset  of
     7  all  contracts with the requirements of this subdivision. Following such
     8  assessment, and subject to approval by a majority of members, the stake-
     9  holder advisory group may:
    10    A. Make recommendations to the commissioner of the office  of  general
    11  services regarding changes to the regulations implementing this subdivi-
    12  sion.
    13    B.  Make  recommendations to the commissioner of the office of general
    14  services, the office of the attorney general, the office  of  the  state
    15  comptroller, or a contracting agency or authority regarding deficiencies
    16  in  contract  certifications,  violations  of  this  subdivision, and/or
    17  enforcement actions.
    18    (ii) All work products produced pursuant to subparagraph (i)  of  this
    19  paragraph  shall  be  made available to the public on the website of the
    20  office of general services.
    21    i. (i) Not later than  June  first,  two  thousand  twenty-three,  the
    22  department  of  environmental  conservation,  in  consultation  with the
    23  commissioner of the office of general services, shall complete  a  study
    24  to  determine  whether or not the requirements of this subdivision shall
    25  apply to forest-risk commodities originating in boreal forests.
    26    (ii) In completing such study, the department of environmental conser-
    27  vation shall consult with individuals, including academics  and  experts
    28  from nongovernmental organizations, having expertise in forest sustaina-
    29  bility, biodiversity, and climate science, as well as representatives of
    30  indigenous  communities located within boreal regions, and hold at least
    31  one public hearing, and may base study findings on existing literature.
    32    (iii) Such study shall examine, but not be limited to,  the  following
    33  considerations:
    34    A. The short- and long-term impact on greenhouse gas emissions, biodi-
    35  versity,  ecosystem  function,  and  climate resilience, of clearcutting
    36  intact boreal forests.
    37    B. The differential impact on greenhouse gas emissions,  biodiversity,
    38  ecosystem function, and climate resilience of clearcutting intact boreal
    39  forest versus previously logged or second-growth forest, within 30-year,
    40  50-year, and 100-year timeframes.
    41    C.  The differential impact on greenhouse gas emissions, biodiversity,
    42  ecosystem function, and climate resilience of clearcutting intact boreal
    43  forest versus no industrial forestry activity, within 30-year,  50-year,
    44  and 100-year timeframes.
    45    D.  The  actual  carbon  storage  capacity  of  various harvested wood
    46  products, and the percentage of logged boreal biomass  in  each  of  the
    47  boreal  countries  (Russia,  Canada, the United States, Finland, Sweden,
    48  Norway, Iceland, China, Japan)  that  ends  up  in  long-lasting  versus
    49  short-term consumable end uses.
    50    E.  The  effectiveness  of existing available certification schemes in
    51  use in each of the boreal countries  in  ensuring  compliance  with  the
    52  goals of this subdivision.
    53    F.  An  independent assessment of the current greenhouse gas footprint
    54  of the forest products industry in each of the boreal countries.

        A. 6872--A                         14

     1    G. An independent assessment  of  whether  current  forest  management
     2  policies  in  each of the boreal countries are sufficient to prevent the
     3  forestry industry's role in the decline of at-risk species.
     4    H.  The  effectiveness  of the forestry policies of each of the boreal
     5  countries in ensuring the free, prior, and informed consent  of  indige-
     6  nous peoples affected by industrial logging within the boreal forest.
     7    I. The effectiveness of replanting practices in restoring the original
     8  ecological  benefits  of  intact boreal forest that has been logged, and
     9  the timescale for restoring these benefits.
    10    (iv) The requirements of this subdivision shall apply to  all  forest-
    11  risk  commodities  unless the commissioner of the department of environ-
    12  mental conservation and  the  commissioner  of  the  office  of  general
    13  services  have,  not  later  than June first, two thousand twenty-three,
    14  jointly designated the provisions of this act  inapplicable  to  forest-
    15  risk  commodities  originating in boreal forests based on the results of
    16  the study provided for in this paragraph.
    17    j. (i) The certification requirements set forth  in  this  subdivision
    18  shall  not apply to a credit card purchase of goods of two thousand five
    19  hundred dollars or less.
    20    (ii) The total amount of goods exempted pursuant to  subparagraph  (i)
    21  of  this  paragraph shall not exceed seven thousand five hundred dollars
    22  per year for each contractor from which a state agency or  authority  is
    23  purchasing  goods by credit card. It shall be the responsibility of each
    24  state agency to monitor the use of this exemption and  adhere  to  these
    25  restrictions on these purchases.
    26    k.  This  subdivision  shall  apply  to  all  contracts  entered into,
    27  extended, or renewed on or after January  first,  two  thousand  twenty-
    28  four.
    29    l.  Commencing  two years after the effective date of this subdivision
    30  and biennially thereafter, the commissioner of  the  office  of  general
    31  services  shall  issue a report to the governor, the temporary president
    32  of the senate, and the speaker of the assembly, on the implementation of
    33  this subdivision and subdivisions one and two of this section.
    34    § 6. This act shall take effect immediately and  shall  apply  to  all
    35  contracts  and binding contractual obligations entered into on and after
    36  such effective date.