Bill Text: NJ A1601 | 2016-2017 | Regular Session | Introduced
Bill Title: Clarifies law authorizing application of reciprocal limitations against businesses from states that give in-state preference in awarding public contracts.
Spectrum: Bipartisan Bill
Status: (N/A - Dead) 2016-01-27 - INT 1RA REF ARO [A1601 Detail]
Download: New_Jersey-2016-A1601-Introduced.html
STATE OF NEW JERSEY
217th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2016 SESSION
Sponsored by:
Assemblyman SCOTT T. RUMANA
District 40 (Bergen, Essex, Morris and Passaic)
Assemblyman JOHN J. BURZICHELLI
District 3 (Cumberland, Gloucester and Salem)
Assemblywoman ANNETTE QUIJANO
District 20 (Union)
Co-Sponsored by:
Assemblyman Space
SYNOPSIS
Clarifies law authorizing application of reciprocal limitations against businesses from states that give in-state preference in awarding public contracts.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act clarifying law authorizing application of reciprocal limitations against businesses from states that give an in-state preference in awarding public contracts and amending P.L.1985, c.156.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 1 of P.L.1985, c.156 (C.52:32-1.3) is amended to read as follows:
1. As used in this act [,] :
"public contract" means any contract or agreement entered into by a state or any political subdivision or instrumentality of that state to purchase goods, services or both; and
"political subdivision" means any county, municipality, district including a school district, or public authority.
(cf: P.L.1985, c.156, s.1)
2. Section 2 of P.L.1985, c.156 (C.52:32-1.4) is amended to read as follows:
2. Any bidder with its principal place of business located in another state which has provisions of [state] law, rules or regulations, ordinances, or policies of that state or of any political subdivision thereof causing disadvantage to any bidder for a public contract to provide like goods, services or both to that state or political subdivision because the bidder's principal place of business is located outside of that state shall have like conditions applied to it in a manner pursuant to regulations issued by the State Treasurer when bidding for a public contract in this State. The provisions of this act may be waived with respect to a bidder, if the State Treasurer, on the basis of economic or other circumstances, determines it to be in the best interest of the State.
(cf: P.L.1985, c.156, s.2)
3. This act shall take effect immediately.
STATEMENT
This bill clarifies the law pertaining to public contract bidding, particularly as it relates to bidders from other states. A number of states and their political subdivisions give a preference to in-state or resident businesses when awarding public contracts. This policy places New Jersey businesses at a disadvantage when bidding on those contracts. In an effort to discourage this practice, the State enacted a reciprocal limitations statute in 1985, which provides that, in the awarding of public contracts, businesses from other states with an in-state preference will be subjected to "like conditions . . . when bidding for a public contract in this State." This bill amends the existing law in this regard, in order to clarify that it applies to bidders from other states when an in-state preference is given by a political subdivision of that other state.
