This bill aims to facilitate access to capital for certified business enterprises in New Jersey that are awarded State contracts by allowing State agencies to issue advanced payments of up to 10 percent of the total contract value. This provision is applicable to contractors who are certified by the Division of Revenue Business Certification Program in the Department of the Treasury. To benefit from this advanced payment, contractors must include a request for it in their bid, indicating its necessity for fulfilling the contract's terms.

Additionally, the bill mandates that contractors who receive advanced payments must share a proportionate amount with their subcontractors, provided those subcontractors are also certified business enterprises. The contractor is required to forward this payment within 60 days of receiving the advanced payment. Furthermore, the bill establishes that any contractor or subcontractor who fails to commence or complete the contracted work will be liable for repaying the advanced amounts received. This legislation is designed to support small, minority, women-owned, and other disadvantaged businesses in participating in public contracts.