New Jersey S 3136: Creates State contract set-aside program for union business enterprises.

Bill Text

SENATE, No. 3136
STATE OF NEW JERSEY
221st LEGISLATURE

INTRODUCED APRI 15, 2024

Sponsored by:
Senator PAUL A. SARLO
District 36 (Bergen and Passaic)

SYNOPSIS
Creates State contract set-aside program for union business enterprises.

CURRENT VERSION OF TEXT
As introduced.

S3136 SARLO
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AN ACT concerning the designation of certain State purchase and 1
construction contracts as set-asides for businesses with a union 2
workforce and supplementing Title 52 of the Revised Statutes. 3
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BE IT ENACTED by the Senate and General Assembly of the State 5
of New Jersey: 6
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1. This act shall be known and may be cited as the "Set-Aside 8
Act for Union Business Enterprises." 9
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2. As used in this act, P.L. , c. (C. ) (pending before the 11
Legislature as this bill): 12
“Contracting agency” means the State or any board, commission, 13
committee, authority or agency of the State. 14
“Department” means the Department of the Treasury. 15
“Union” means any organization which exists and is constituted 16
for the purpose, in whole or in part, of collective bargaining, or of 17
dealing with employers concerning grievances, terms or conditions 18
of employment, or of other mutual aid or protection in connection 19
with employment. 20
“Union business enterprise” means any business enterprise, 21
including a sole proprietorship, partnership, or corporation, that has 22
a union workforce, has its principal place of business in the State, 23
hires apprentices, and makes a good faith effort to hire and maintain 24
a diverse workforce, with documentation of such effort. 25
“Union business enterprise set-aside contract” means a contract 26
for goods, equipment, construction, or services which is designated 27
as a contract with respect to which bids are invited and accepted 28
only from union business enterprises, or a portion of a contract 29
when that portion has been so designated. 30
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3. The Department of the Treasury shall administer a union 32
business enterprise set-aside program which shall be in addition to 33
any other set-aside program established by law. The department 34
shall require proof that the business meets the requirements of a 35
union business enterprise as defined in section 2 of this act, P.L. , 36
c. (C. ) (pending before the Legislature as this bill). 37
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4. a. Notwithstanding the provisions of any State bidding or 39
public contracts laws to the contrary, but subject to any superseding 40
federal statutes or rules, contracting agencies may, in consultation 41
with the department, designate a contract, or a portion thereof, for 42
goods, equipment, construction, or services to be awarded by a 43
contracting agency as a union business enterprise set-aside contract 44
pursuant to the goals and procedures established in this act, P.L. , 45
c. (C. ) (pending before the Legislature as this bill), whenever 46

S3136 SARLO
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there is a reasonable expectation that bids may be obtained from at 1
least three qualified union business enterprises capable of 2
furnishing the desired goods, equipment, construction, or services at 3
a fair and reasonable price. The designation shall be made prior to 4
the advertisement for bids. 5
b. When application of the goals and procedures established 6
under this act would jeopardize the State's participation in a 7
program from which the State receives federal funds or other 8
benefits, the contracting agency may, in consultation with the 9
department, withdraw the affected contracts from consideration or 10
calculation. 11
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5. a. There are established the goals that contracting agencies 13
award at least 3 percent of their contracts to union business 14
enterprises. These goals may, when appropriate, be attained by the 15
direct designation of prime contracts for these business or, in the 16
case of a prime contract not directly so designated, by requiring that 17
a portion of such a prime contract be subcontracted to a union 18
business enterprise. Each contracting agency shall make a good 19
faith effort to attain the goals established in this subsection. 20
b. For purposes of attaining this goal, contracting agencies shall, 21
when necessary, specifically set aside contracts or portions of 22
contracts for which only these businesses may bid. 23
c. If the department and the contracting agency disagree as to 24
whether a set-aside is appropriate for a contract or a portion of a 25
contract, the dispute shall be submitted, within seven days, to the 26
State Treasurer, or a designee, for final determination. 27
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6. a. Each contracting agency shall annually develop, in 29
consultation with the department, a plan for achieving its union 30
business enterprise goals. 31
b. The department shall consult regularly with representatives of 32
the contracting industry for the purpose of implementing the 33
provisions of this act, P.L. , c. (C. ) (pending before the 34
Legislature as this bill). These consultations shall take place no less 35
than once every six months. 36
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7.