The New York Legislature convened on June 5, 2025, to discuss significant amendments to the preferred source program, aimed at enhancing employment opportunities for formerly incarcerated individuals. The proposed legislation allows the commissioner of education to approve qualified charitable nonprofit entities that provide vocational and rehabilitation training for these individuals, enabling them to participate in the preferred source program.

The preferred source program, established over 50 years ago, was originally designed to assist nonprofit organizations serving individuals with disabilities. Over the years, it has evolved to include veterans organizations, ensuring that veterans reentering society have access to job training and employment opportunities. The current amendment seeks to extend similar support to formerly incarcerated persons, recognizing the challenges they face in reintegrating into the workforce.

During the meeting, legislators discussed the implications of this amendment, particularly the potential for nonprofits to bypass competitive bidding processes on public projects. It was noted that these organizations could receive a variance of about 15% when bidding, which could facilitate their selection for contracts primarily with state agencies. The discussion highlighted the importance of providing job opportunities to individuals with high unemployment rates, particularly among those with disabilities and those who have been incarcerated.

Concerns were raised regarding the potential competition between organizations serving individuals with disabilities and those focused on formerly incarcerated individuals. Some legislators expressed apprehension that this could dilute the original intent of the preferred source program, which was to prioritize employment for those with disabilities. However, proponents of the legislation argued that expanding the program would not only increase job opportunities but also address workforce shortages in various sectors.

The meeting concluded with a party vote, where the majority conference expressed support for the legislation, while the Republican conference indicated opposition. The bill is set to take effect immediately upon passage, marking a significant step in New York's efforts to support the reintegration of formerly incarcerated individuals into society and the workforce.