Sponsored by:
Senator ANGELA V. MCKNIGHT
District 31 (Hudson)
SYNOPSIS
Establishes price preference program on State contracts for minority and women’s businesses.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning preferences for State contracts for minority and women’s businesses and supplementing P.L.1954, c.48 (C.52:34-6 et seq.).
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. In awarding a contract which is paid with State funds and publicly advertised for bids, a State agency shall give a preference of up to 10 percent of the amount of the contract to a minority business or a women’s business. If the minority business or women’s business otherwise meets the requirements of the contract solicitation and with the preference is the lowest bidder, a State agency shall enter into a procurement contract with that business. If two or more such businesses are the lowest bidders on a contract, the business with the lowest bid shall be awarded the contract.
If a minority or woman owner dies during the term of a contract or in the bidding process for a contract and the surviving spouse acquires the minority or woman’s ownership interest in the business, the business shall remain eligible for the preference and that contract during the term of the contract or the bidding process for that contract.
As used in this act:
“Minority business” means the same as that term is defined in section 2 of P.L.1986, c.195 (C.52:27H-21.18); and
“Women’s business” means the same as that term is defined in section 2 of P.L.1986, c.195 (C.52:27H-21.18).
2. This act shall take effect immediately.
STATEMENT
This bill establishes a price preference program for minority businesses and women’s businesses that are competing for State contracts.
Under current law, certain purchases or contracts payable out of State funds are publicly advertised and competitively bid on by businesses. The State then awards the contract to the lowest bidder.
This bill would establish a price preference of up to 10 percent of the amount of the contract to a minority business or a women’s business. If the business meets the requirements of the contract solicitation and is the lowest bidder due to the preference, a State agency will enter into a procurement contract with that business. If two or more qualified businesses bid on a contract utilizing the preference program, the business with the lowest bid will be awarded the contract.