Disclose Algorithm Use in New York City Contracts
In New York City, New York, vendors that offer software, analytics, or services that use algorithms should be prepared to disclose how those systems operate when contracting with city agencies. This article summarizes current municipal expectations, procurement points of contact, practical compliance steps for bidders, and routes for appeals or complaints in the city contracting context. It is intended for vendors, procurement officers, and legal teams preparing proposals, audits, or contract language for algorithmic tools sold to New York City agencies. When official forms or thresholds are not published on the controlling pages we cite, this article notes that omission and points to agency contacts for confirmation. [1]
Scope and when disclosure is required
Disclosure expectations typically apply when a vendor proposes a product or service that makes or materially assists automated decisions affecting city operations or public services. Agencies may require:
- Documentation of the algorithmic components and third-party models integrated into the solution.
- Descriptions of data sources, training data categories, and retention policies.
- Information on validation, testing, and any bias or impact assessments completed by the vendor.
Agencies that use or procure automated decision systems in New York City publish guidance and may request written disclosures during procurement or before deployment.[2]
Penalties & Enforcement
Enforcement and remedies for failures to disclose algorithmic use in contracts depend on procurement rules, contract terms, and applicable municipal law or regulations. Specific monetary fines are not uniformly set on the primary city pages we cite; where amounts are not published we state "not specified on the cited page."
- Monetary fines: not specified on the cited page.
- Contract remedies: agencies may pursue contract remedies including rejection of bids, termination for default, withholding payments, or damages as provided in contract terms.
- Non-monetary actions: cease-and-desist orders, suspension of contracting privileges, or requirements to remediate algorithmic issues.
- Enforcers and contacts: agency procurement offices and the Mayor's Office of Contract Services (MOCS) typically oversee procurement compliance; other oversight bodies identified by city law may participate in review and oversight.
Escalation: the cited guidance does not list fixed escalation schedules; agencies generally follow procurement rules for first, repeat, and continuing breaches and may apply progressive remedies under contract terms (not specified on the cited page). Appeal and review routes are usually procurement protest procedures, vendor debriefs, and contract dispute processes managed by the contracting agency or MOCS; exact time limits for filing protests or appeals are set in procurement documents or agency rules and are not specified on the cited page.
Applications & Forms
No single, citywide disclosure form for algorithm use is published on the primary guidance pages we cite. Agencies may include disclosure requirements within solicitation documents, proposal forms, or contract attachments; vendors should check the solicitation and contact the agency procurement officer for any required templates or submission instructions.
Action steps for vendors
- Review the solicitation and any agency guidance for specific disclosure language and deadlines.
- Prepare a vendor disclosure package describing model purpose, data sources, validation, and any bias audits.
- Include contractual warranties and remediation commitments addressing algorithmic risks.
- Keep records of tests and reports to support post-award compliance and audits.
FAQ
- Do I always have to disclose that an algorithm is used?
- Not always; disclosure depends on the solicitation and whether the tool materially automates decisionmaking or affects city services. Check solicitation requirements and ask the agency procurement officer.
- Are there standard penalties for failing to disclose algorithm use?
- Monetary penalties are not specified on the cited city guidance pages; remedies are typically contractual and may include bid rejection or contract remedies.
- Where do I file a complaint if an agency fails to follow disclosure rules?
- Use the contracting agency's procurement contact or MOCS complaint channels; agencies publish procurement contact information on their solicitation pages.
How-To
- Identify whether your product or service meets the agency definition of an automated decision system.
- Compile documentation: algorithm description, data inventories, testing and validation reports, and any bias audits.
- Include a clear disclosure section in your proposal or contract attachments addressing functionality, data, and mitigation steps.
- If requested, provide supporting files or permit an agency or third-party review under confidentiality terms.
- If a dispute arises, follow the procurement protest and debrief procedures in the solicitation or contact MOCS for guidance.
Key Takeaways
- Disclose algorithmic use early in procurement to reduce bid risk.
- Maintain documentation and validation records for audits and post-award review.
Help and Support / Resources
- Mayor's Office of Contract Services (MOCS) - Procurement guidance
- Department of Information Technology & Telecommunications (DoITT)
- New York City Law Department