Bill Text: NJ A1789 | 2024-2025 | Regular Session | Introduced


Bill Title: Imposes administrative fees on certain out-of State contractors.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced) 2024-01-09 - Introduced, Referred to Assembly Commerce, Economic Development and Agriculture Committee [A1789 Detail]

Download: New_Jersey-2024-A1789-Introduced.html

ASSEMBLY, No. 1789

STATE OF NEW JERSEY

221st LEGISLATURE

 

PRE-FILED FOR INTRODUCTION IN THE 2024 SESSION

 


 

Sponsored by:

Assemblywoman  LINDA S. CARTER

District 22 (Somerset and Union)

Assemblyman  ANTHONY S. VERRELLI

District 15 (Hunterdon and Mercer)

 

 

 

 

SYNOPSIS

     Imposes administrative fees on certain out-of-State contractors.

 

CURRENT VERSION OF TEXT

     Introduced Pending Technical Review by Legislative Counsel.

  


An Act imposing administrative fees on certain out-of-State contractors, and supplementing chapter 11 of Title 34 of the Revised Statutes.

 

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

 

1.      a.  As used in this section:

     "Contractor" means a person, partnership, association, joint stock company, trust, corporation, or other legal business entity or successor thereof who enters into a contract which is subject to the provisions of the New Jersey Prevailing Wage Act, P.L.1963, c.150 (C.34:11-56.25 et seq.) and "The Public Works Contractor Registration Act," P.L.1999, c.238 (C.34:11-56.48), and includes any subcontractor or lower tier subcontractor of a contractor.

     "Out-of-State contractor" means a contractor, including a subcontractor, whose principal place of business is not in this State.  A "principal place of business" shall not include a satellite office, an office maintained, occupied, and used by an out-of-State contractor only for the duration of a contract, or an office maintained, occupied, and used by a person affiliated with an out-of-State contractor.

     b.    Beginning on the effective date of P.L.    , c.    (C.        ), there is imposed an administrative fee equal to one percent of the total value of any contract awarded to an out-of-State contractor that is subject to the provisions of the New Jersey Prevailing Wage Act, P.L.1963, c.150 (C.34:11-56.25 et seq.) and "The Public Works Contractor Registration Act," P.L.1999, c.238 (C.34:11-56.48).  The administrative fee imposed pursuant to this section shall be paid to the State Treasurer for deposit in the General Fund.  An out-of-State contractor may subtract from the total amount of the administrative fee otherwise due pursuant to this subsection b., any direct costs attributable to other State fees paid by the out-of-State contractor to register to do business as a contractor in this State and in order to perform the contract.

 

     2.    This act shall take effect immediately and apply to contracts awarded following the date of enactment.

 

 

STATEMENT

 

     This bill imposes an administrative fee equal to one percent of any contract awarded to an out-of-State contractor that is subject to the provisions of the New Jersey Prevailing Wage Act, P.L.1963, c.150 (C.34:11-56.25 et seq.) and "The Public Works Contractor Registration Act," P.L.1999, c.238 (C.34:11-56.48).  The bill allows an out-of-State contractor to subtract the costs of other State business registration fees, paid by the out of-State contractor, from the total amount of the administrative fee otherwise due.  The administrative fee imposed pursuant to the bill is to be paid to the State Treasurer for deposit in the General Fund.

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