Bill > A01386

This bill establishes a three-year pilot program allowing municipalities (counties, cities, towns, villages, and school districts) to conduct electronic open auction public bond sales through nationally recognized electronic securities bidding services. An "open auction" means a bond sale process where bidders can see the status of their bids and improve them before the bidding period closes, in contrast to a traditional "closed auction". The bill authorizes finance commissioners to accept electronic bids and requires that notice of bond sales specify how bid submission periods may be extended and how winning bidders will be determined. Municipalities are required to publish their policies for procuring electronic bidding services online and in a professional publication. Each participating municipality must conduct annual evaluations of the pilot program, examining factors such as cost comparability, number of bids received, and potential savings compared to traditional bidding processes. These evaluations will be submitted to the state comptroller, who will then compile and report the findings to the legislature. The pilot program is designed to modernize and potentially improve the municipal bond sales process by introducing more transparency and technological efficiency, with a built-in mechanism for assessing its effectiveness over the three-year period.

Government Affairs

https://www.nysenate.gov/legislation/bills/2025/A1386