Bill Text: NJ S2991 | 2018-2019 | Regular Session | Introduced


Bill Title: Revises certain aspects of State procurement process.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2018-09-24 - Reported from Senate Committee, 2nd Reading [S2991 Detail]

Download: New_Jersey-2018-S2991-Introduced.html

SENATE, No. 2991

STATE OF NEW JERSEY

218th LEGISLATURE

 

INTRODUCED SEPTEMBER 24, 2018

 


 

Sponsored by:

Senator  PAUL A. SARLO

District 36 (Bergen and Passaic)

 

 

 

 

SYNOPSIS

     Revises certain aspects of State procurement process.

 

CURRENT VERSION OF TEXT

     As introduced.

 


An Act revising certain aspects of the State procurement process and amending various parts of the statutory law.

 

     Be It Enacted by the Senate and General Assembly of the State of New Jersey:

 

     1.    Section 4 of P.L.1999, c.238 (C.34:11-56.51) is amended to read as follows:

     4.    No contractor shall bid on any contract for public work as defined in section 2 of P.L.1963, c.150 (C.34:11-56.26) unless the contractor is [registered] eligible to register pursuant to this act prior to the contract award.  No contractor shall list a subcontractor in a bid proposal for the contract unless the subcontractor is [registered] eligible to register pursuant to P.L.1999, c.238 (C.34:11-56.48 et seq.) [at the time the bid is made] prior to contract award. No contractor or subcontractor, including a subcontractor not listed in the bid proposal, shall engage in the performance of any public work subject to the contract, unless the contractor or subcontractor is registered pursuant to that act.

(cf: P.L.2003, c.91, s.2)

 

     2.    Section 1 of P.L.1977, c.3 (C.52:25-24.2) is amended to read as follows:

     1.    No corporation, partnership, or limited liability company shall be awarded any contract nor shall any agreement be entered into for the performance of any work or the furnishing of any materials or supplies, the cost of which is to be paid with or out of any public funds, by the State, or any county, municipality or school district, or any subsidiary or agency of the State, or of any county, municipality or school district, or by any authority, board, or commission which exercises governmental functions, unless prior to [the receipt of the bid or accompanying the bid, of] the time the contract is awarded to said corporation, said partnership, or said limited liability company there is submitted a statement setting forth the names and addresses of all stockholders in the corporation  who own 10 percent or more of its stock, of any class, or of all individual partners in the partnership who own a 10 percent or greater interest therein, or of all members in the limited liability company who own a 10 percent or greater interest therein, as the case may be. If one or more such stockholder or partner or member is itself a corporation or partnership or limited liability company, the stockholders holding 10 percent or more of that corporation's stock, or the individual partners owning 10 percent or greater interest in that partnership, or the members owning 10 percent or greater interest in that limited liability company, as the case may be, shall also be listed.  The disclosure shall be continued until names and addresses of every noncorporate stockholder, and individual partner, and member, exceeding the 10 percent ownership criteria established in this act, has been listed.

     To comply with this section, a bidder with any direct or indirect parent entity which is publicly traded may submit the name and address of each publicly traded entity and the name and address of each person that holds a 10 percent or greater beneficial interest in the publicly traded entity as of the last annual filing with the federal Securities and Exchange Commission or the foreign equivalent, and, if there is any person that holds a 10 percent or greater beneficial interest, also shall submit links to the websites containing the last annual filings with the federal Securities and Exchange Commission or the foreign equivalent and the relevant page numbers of the filings that contain the information on each person that holds a 10 percent or greater beneficial interest.

(cf: P.L.2016, c.43, s.1)

 

     3.    Section 4 of P.L.2012, c.25 (C.52:32-58) is amended to read as follows:

     4.    a.   A State agency shall require a person or entity that submits a bid or proposal or otherwise proposes to enter into or renew a contract to certify, [at the time the bid is submitted or] prior to the time a contract is awarded and at the time the contract is renewed, that the person or entity is not identified on a list created pursuant to subsection b. of section 3 of this act as a person or entity engaging in investment activities in Iran described in subsection f. of section 2 of this act.

     b.    The certification required shall be executed on behalf of the applicable person or entity by an authorized officer or representative of the person or entity.

     c.     In the event that a person or entity is unable to make the certification required because it or one of its parents, subsidiaries, or affiliates as defined in subsection e. of section 2 of this act has engaged in one or more of the activities specified in subsection f. of section 2 of this act, the person or entity shall provide to the State agency concerned, prior to the deadline for delivery of such certification, a detailed and precise description of such activities, such description to be provided under penalty of perjury.

     d.    The certifications provided under subsection a. of this section and disclosures provided under subsection c. of this section shall be disclosed to the public.

(cf: P.L.2012, c.25, s.4)

 

     4.    Section 7 of P.L.1954, c.48 (C.52:34-12) is amended to read as follows:

     7.    a.   Whenever advertising is required:  (a) specifications and invitations for bids shall permit such full and free competition as is consistent with the procurement of supplies and services necessary to meet the requirements of the using agency and shall, wherever practicable, include such factors as life-cycle costs, sliding percentage preference scales, or other similar analysis as shall be deemed effective by the Director of the Division of Purchase and Property, hereinafter referred to as the director, (b) the advertisement for bids shall be in such newspaper or newspapers and other medium or media selected by the State Treasurer as will best give notice thereof to bidders and shall be sufficiently in advance of the purchase or contract to promote competitive bidding; (c) the advertisement shall designate the time and secure location when and where proposals, which may be submitted in electronic or other format designated by the director, shall be received, opened and publicly announced, the amount of the cash or certified check, if any, which must accompany each bid, and such other terms as the State Treasurer may deem proper; (d) notice of revisions or addenda to advertisements or bid documents relating to bids shall be published in a newspaper or newspapers and other medium or media selected by the State Treasurer to give notice to bidders at least seven days, Saturdays, Sundays and holidays excepted, prior to the bid due date; (e) failure to advertise for the receipt of bids or to provide proper notification of revisions or addenda to advertisements or bid documents related to bids as prescribed by subsection (d) of this section shall prevent the acceptance of bids and require the readvertisement for bids; (f) for any procurement, the State Treasurer or the director may negotiate with bidders the final terms and conditions of any procurement, including price; such ability to so negotiate must be expressly set forth in the applicable invitation to bid and such bids shall not be publicly accessible until after negotiations have been completed and the notice of intent to award the contract has been issued; (g) award shall be made with reasonable promptness, after negotiation with bidders where authorized, by written or electronic notice to that responsible bidder whose bid, conforming to the invitation for bids, will be most advantageous to the State, price and other factors considered; and (h) the Treasurer shall require, with respect to contracts for information technology goods and services, a limitation of liability determined by the Director of the Division of Purchase and Property. When negotiations occur pursuant to subparagraph f. of this section, a written record of the nature and content of the negotiations, as well as the dates and persons involved, shall become a public record when the notice of intent to award the contract is issued.  The Director of the Division of Purchase and Property may structure an advertisement for bids to include an auction or reverse auction procedure, whereby pricing is revealed to all other qualified bidders during the course of the auction or reverse auction, when it is determined that best value will result.

     Any or all bids may be rejected when the State Treasurer or the Director of the Division of Purchase and Property determines that it is in the public interest so to do.  The State Treasurer or designee may adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), such rules and regulations as may be necessary to implement the provisions of this section.

     This section shall apply to all bids received on and after the date of enactment of P.L.1999, c.440.

     b.    Whenever by law a State independent authority may negotiate with bidders, after bid opening, the final terms and conditions of any procurement, including price, and such ability to so negotiate is expressly set forth in the applicable invitation to bid, a written record of the nature and content of the negotiations, as well as the dates and persons involved, shall not be publicly accessible until after the notice of intent to award the contract is issued.

(cf: P.L.2005, c.336, s.14)

 

     5.    This act shall take effect immediately.

 

 

STATEMENT

 

     This bill revises certain aspects of the State procurement process.  Specifically, the bill amends existing law to:

     provide that in order to bid on a contract for a public work a contractor or a subcontractor must be eligible to register as a contractor or subcontractor pursuant to law and not registered as such when submitting a bid as is currently required;

     change the deadline by which a prospective bidder must submit a statement of its owners having more than a 10 percent ownership interest from the time a bid is received to the time the contract is awarded;

     change the deadline by which a bidder must certify that the bidder is not engaged in activities in Iran from the time the bid is submitted to the time the contract is awarded or renewed; and

     authorize the Director of the Division of Purchase and Property to structure an advertisement for bids to include an auction or reverse auction procedure, whereby pricing is revealed to all other qualified bidders during the course of the auction or reverse auction, when it is determined that best value will result.

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