Bill Text: NJ S3103 | 2018-2019 | Regular Session | Introduced
Bill Title: Requires rejection of digitally submitted bids for public contracts if ownership statement is not submitted.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Introduced - Dead) 2018-10-18 - Introduced in the Senate, Referred to Senate State Government, Wagering, Tourism & Historic Preservation Committee [S3103 Detail]
Download: New_Jersey-2018-S3103-Introduced.html
Sponsored by:
Senator ANTHONY R. BUCCO
District 25 (Morris and Somerset)
SYNOPSIS
Requires rejection of digitally submitted bids for public contracts if ownership statement is not submitted.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning the digital submission of bids for public contracts, amending P.L.1977, c.33.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 1 of P.L.1977, c.33 (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 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.
In the case of a bid submitted through a digital procurement system, the Director of the Division of Purchase and Property shall prevent the submission of a bid if the statement required by this section does not accompany the bid or was not previously submitted and received.
(cf: P.L.2016, c.43, s.1)
2. This act shall take effect on the first day of the sixth month next following enactment.
STATEMENT
This bill requires the Director of the division of Purchase and Property to prevent a bid from being submitted through a digital procurement system for a public contract if the required ownership statement is not included or previously submitted. Digital procurement systems allow for the more efficient administration of bidding and business opportunities with the State. The State's digital procurement system is NJSTART.
To be awarded a public contract, a bidder is required to submit an ownership statement disclosing those who have at least a 10 percent interest in the company seeking the contract. Currently, it is possible to submit a bid without an ownership statement. Although such a bid will be rejected by the State for being deficient, the bidder may not know that their bid is deficient until it is too late to rectify it. In an effort to prevent the mistaken submission of a statement deficient bid, this bill requires the director to prevent bids from being submitted through NJSTART if an ownership statement is missing.
