S3502

SENATE, No. 3502

STATE OF NEW JERSEY

221st LEGISLATURE

INTRODUCED JUNE 26, 2024

 


 

Sponsored by:

Senator GORDON M. JOHNSON

District 37 (Bergen)

Senator NELLIE POU

District 35 (Bergen and Passaic)

 

Co-Sponsored by:

Senator McKnight

 

 

 

 

SYNOPSIS

Establishes sheltered market program for certain business enterprises seeking State contracts.

 

CURRENT VERSION OF TEXT

As introduced.


An Act concerning a sheltered market program for certain business enterprises and supplementing Title 52 of the Revised Statutes.

 

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

 

1.      As used in this act, P.L. , c. (C. ) (pending before the Legislature as this bill):

Chief means the Chief Diversity Officer established in the New Jersey Department of the Treasury pursuant to section 1 of P.L.2017, c.95 (C.52:32-18.1), or its successor.

Department means the Department of the Treasury.

Disabled veterans business shall have the same meaning as in section 2 of P.L.2015, c.116 (C.52:32-31.2).

Economically disadvantaged shall have the same meaning as in section 1 of P.L.2023, c.300 (C.52:32-31.15).

LGBTQ+ means lesbian, gay, bisexual, transgender, queer, questioning, or other gender identities and sexual orientations that are non-cisgender and non-heterosexual.

LGBTQ+-owned business shall have the same meaning as in section 1 of P.L.2024, c.10.

"Minority business" shall have the same meaning as in section 3 of P.L.1983, c.482 (C.52:32-19).

Qualified business enterprise means a disabled veterans business, minority business, womens business, small business, economically or socially disadvantaged business, LGTBQ+-owned business, or veteran-owned business certified by the department.

''Sheltered market program'' means a program under which certain contracts or categories of contracts subject to R.S.52:25-23 or section 2 of P.L.1954, c.48 (C.52:34-7) are designated by the chief or a State agency, with approval from the chief, for qualified business enterprises.

Small business shall have the same meaning as in section 2 of P.L.1987, c.55 (C.52:27H-21.8).

Socially disadvantaged shall have the same meaning as in section 1 of P.L.2023, c.300 (C.52:32-31.15).

State agency means any of the principal departments in the Executive Branch of the State Government, and any division, board, bureau, office, commission or other instrumentality within or created by such department and any independent State authority, commission, instrumentality or agency which is authorized by law to award contracts.

"Veteran" shall have the same meaning as in section 2 of P.L.2011, c. 147 (C.52:32-50).

"Womens business" shall have the same meaning as in section 2 of P.L.1986, c.195 (C.52:27H-21.18).

2. a. The chief shall establish criteria for determining which contracts or categories of contracts subject to R.S.52:25-23 or section 2 of P.L.1954, c.48 (C.52:34-7) shall be designated by the chief, or a State agency with the approval of the chief, for inclusion in a sheltered market program. Such criteria shall include, but may not be limited to, the degree of historical underutilization of qualified business enterprises, based upon a review of qualified business enterprises in the States central certification registry, a State-commissioned disparity study, or a similar study or review of a similar dataset.

b. The States central certification registry or a similar dataset shall have at least two qualified business enterprises that can satisfy a contract or category of contracts in order for a State agency or the chief to establish a sheltered market program.

c. A State agency may object to the contract or contracts being placed into a sheltered market program if the head of the State agency determines that participating in the sheltered market program will be contrary to an important State public policy, the practical limitations of the agency or contract, or an applicable legal order. Such objection shall result in that contract or contracts being excluded from the sheltered market program. All such objections shall be in writing, shall be submitted to the chief, and shall be considered public documents within the meaning of P.L.1963, c.73 (C.47:1A-1 et seq.).

d. State agencies shall publish all contracts or categories of contracts approved for the sheltered market program on their respective websites prior to opening such contracts for bidding, and the chief shall cause such contracts to be published on the departments website.

e. State agencies and the chief shall conduct outreach regarding available contracts under the sheltered market program to qualified business enterprises.

f. State agencies shall conduct general or pre-bid submission conferences or workshops to help potential bidders understand the bidding process for the sheltered market program.

g. State agencies shall offer each bidder to a contract designated for the sheltered market program the option to debrief on the process following the award of the contract and conclusion of any challenges to contract awards after the expiration of the time period for challenges to be filed.

h. The chief shall implement procedures for State agencies to review and assess, at least annually, the performance of the vendor selected for each contract awarded under the sheltered market program.

State agencies shall submit, on or before June 30 of each year, an annual written report to the chief with a review and assessment of the performance of the sheltered market program over the previous year. The report shall include:

(1) the number and dollar value of contracts awarded to qualified business enterprises under the sheltered market program;

(2) the total number, the percentage, the total dollar value, and the percentage dollar value of contracts awarded by State agencies to qualified business enterprises eligible for participation in the sheltered market program;

(3) recommendations for continuing, modifying, or terminating the sheltered market program; and

(4) a description of efforts undertaken to increase contracting with qualified business enterprises.

 

3. a. A State contract shall not be awarded under a sheltered marke