A3716

An Act concerning the review and implementation of process improvement programs for government entities and supplementing Title 52 of the Revised Statutes.

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

1. a. There is established within, but not of, the Department of the Treasury, a Process Improvement Program Task Force. The purpose of the task force shall be to:

(1) conduct a comprehensive review initially, and periodic reviews thereafter, to identify, assess, and select those government processes in the State, a county, a municipality, or a board of education of a local school district that would benefit from the implementation of a process improvement program utilizing the Lean Six Sigma management approach;

(2) develop a priority order for the implementation of process improvement programs utilizing the Lean Six Sigma management approach for those government processes selected;

(3) develop recommendations and guidelines for the manner of implementation of a process improvement program for each government process selected; and

(4) provide guidance and monitoring on a continuing basis for each process improvement program.

The task force shall conduct, periodically as deemed appropriate, a review and assessment of each program that has been implemented and make recommendations and provide guidelines, as may be deemed necessary and appropriate, for the continued implementation.

b. The task force shall be comprised of:

(1) the head of each State department in the Executive Branch of State government, serving ex officio;

(2) such other State officers or employees as the Governor shall deem appropriate;

(3) three members of the public appointed by the Governor as follows: one member upon the recommendation of the New Jersey Association of Counties, one member upon the recommendation of the New Jersey League of Municipalities, and one member upon the recommendation of the New Jersey School Boards Association; and

(4) three members of the public appointed by the Governor with education, training, or experience in the management approach called Lean Six Sigma, preferably with some education, training, or experience in the application of the approach in the public sector.

c. The other State officers and employees and the members of the public shall serve at the pleasure of the Governor. The six members of the public shall serve without compensation, but shall be reimbursed for expenses incurred in the performance of their duties within the limits of funds made available for that purpose.

d. The members of the task force shall meet within 30 days following the effective date of P.L. , c. (pending before the Legislature as this bill). Thereafter, the members of the task force shall meet at least once each calendar month for the first 12 months and at least quarterly in each succeeding 12-month period.

e. At the direction of the task force, each department, agency, commission, or board of the State, a county, a municipality, and a board of education of a local school district shall conduct an initial comprehensive review and assessment of all government processes performed within that department, agency, commission, or board for the purpose of identifying which of those could benefit from the implementation of a process improvement program utilizing the Lean Six Sigma management approach. The task force shall provide such information in such adequate detail to each department, agency, commission, and board as to ensure that each review and assessment results in a comprehensive report that is focused, specific, and useful. Each department, agency, commission, or board shall submit its review and assessment to the task force, in writing, within 60 days following receipt of the request by the task force for the review and assessment.

f. The task force shall issue a written report within six months following the effective date of P.L. , c. (pending before the Legislature as this bill), and in each year thereafter, describing in detail the reviews, assessments, selections, recommendations, and guidelines of the task force; the probable impact of the implementation of each process improvement program and the progress and results of each program since the last report; and the identification of those rules, regulations, codes, ordinances, and statutes administered by a department, agency, commission, or board that need to be adopted, revised, or eliminated to achieve the purpose of each process improvement program.

The reports shall be transmitted to the Governor, and to the Legislature pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), and, when applicable, a board of county commissioners, governing body of a municipality, or a board of education of a local school district, upon completion. The reports shall be made available to the public on the Internet site of the Department of the Treasury.

g. After due consideration of each report, the Governor, a board of county commissioners, a governing body of a municipality, or a board of education of a local school district, as appropriate, shall:

(1) direct the head of the government department, agency, commission, or board to proceed with the development and implementation of a process improvement program for each government process selected by the task force to the extent possible within the requirements of existing rules, regulations, codes, ordinances, and statutes;

(2) by executive order, ordinance, or resolution, and as necessary and appropriate, proceed with the development and implementation of a process improvement program for each government process selected by the task force; and

(3) seek from the Legislature or other governing body changes in a statute, code, ordinance, rule, or regulation to adopt, revise, or eliminate those requirements as may be necessary and appropriate to proceed with the development and implementation of a process improvement program.

h. The head of each State department, agency, commission, or board in the Executive Branch shall promulgate such rules and regulations, pursuant to the “Administrative Procedure Act,” P.L.1968, c.410 (C.52:14B-1 et seq.), and perform such duties, as the head of the department, agency, commission, or board may deem necessary and appropriate to proceed with the development and implementation of a process improvement program for each government process selected by the task force.

2. This act shall take effect immediately.

STATEMENT

This bill establishes a permanent task force to review and guide implementation of process improvement programs for government entities based on the Lean Six Sigma management approach in order to improve the delivery of services and the efficiency and effectiveness of government operations.

Lean Six Sigma, developed in the private sector, is a disciplined process improvement methodology that can benefit government agencies when implemented with leadership, planning, communication, cooperation, and training. Over the long term, this approach will result in enhanced performance, cost savings, and a change in the public sector’s infrastructure and culture. It has been reported that the Lean Six Sigma management approach has been used with success by the federal Departments of Defense and Homeland Security, the cities of Fort Wayne, Indiana and Hartford, Connecticut, and the Florida Department of Revenue and Washington State Department of Licensing.

The bill establishes within, but not of, the Department of the Treasury, a Process Improvement Program Task Force to provide leadership and guidance for the implementation of process improvement programs in government processes for the State, counties, municipalities, and school districts.

The purpose of the task force would be to: (1) conduct a comprehensive review to identify, assess, and select those government processes of the State, a county, a municipality, or a board of education of a local school district that would benefit from utilizing the Lean Six Sigma management approach; (2) develop a priority order for the implementation of process improvement programs utilizing the Lean Six Sigma management approach; (3) develop recommendations and guidelines for the manner of implementation of a process improvement program for each government process selected; and (4) provide guidance and monitoring on a continuing basis for each process improvement program.

The task force would be comprised of:

(1) the head of each State department in the Executive Branch of State government, serving ex officio;

(2) such other State officers or employees as the Governor shall deem appropriate;

The bill also requires the task force to hold meetings and issue reports according to the schedule specified in the bill. After due consideration of each report, the Governor, a board of county commissioners, a governing body of a municipality, or a board of education of a local school district, as appropriate, must: