This bill amends Section 7 of P.L.1954, c.48 (C.52:34-12) to allow the Director of the Division of Purchase and Property to utilize reverse auctions for certain health benefits contracts. Specifically, it removes the previous restriction that prohibited the use of reverse auctions for contracts related to hospital, surgical, obstetrical, and other covered health care services and benefits, as well as for provider networks associated with the State Health Benefits Program, the School Employees' Health Benefits Program, and the Medicaid Managed Care Program. The bill stipulates that pricing will be revealed to all qualified bidders during the auction process, provided that the director determines this method will yield more advantageous bids for the State.

Additionally, the bill maintains existing provisions regarding the advertisement and bidding process, ensuring that full and free competition is promoted and that bids are negotiated in a manner that is transparent and in the public interest. The State Treasurer or the director retains the authority to reject any or all bids if deemed necessary. The act is set to take effect immediately upon enactment.

Statutes affected:
Introduced: 52:34-12