ASSEMBLY COMMUNITY DEVELOPMENT AND WOMEN'S AFFAIRS COMMITTEE

STATEMENT TO

ASSEMBLY, No. 4723

with committee amendments

STATE OF NEW JERSEY

DATED:  May 5, 2025

      The Assembly Community Development and Women's Affairs Committee reports favorably and with committee amendments Assembly Bill No. 4723.

      As amended by the committee, this bill modifies the title and role of the Chief Diversity Officer and establishes the New Jersey Office of Supplier Development and Business Opportunities.

      Under current law, the Chief Diversity Officer monitors the State’s public contracting process for the purpose of compiling information on the awarding of contracts to minority-owned and women-owned business enterprises, the total value of all contracts, and the percentage of the value of those contracts awarded to minority-owned and women-owned business enterprises.

      This bill changes the title of Chief Diversity Officer to Chief Supplier Development Officer and requires the Chief Supplier Development Officer to monitor and publicly report the State’s public contracting process for the purpose of compiling information on the awarding of contracts to certified business enterprises, and to monitor the total value of all contracts and the percentage of the value of those contracts awarded to certified business enterprises.  Each State agency and State contracting unit will be required to submit the necessary data and information to the Chief Supplier Development Officer.  The Chief Supplier Development Officer will be required to report directly to the State Treasurer.

      This bill also establishes the New Jersey Office of Supplier Development and Business Opportunities in the Department of the Treasury.  The Office will be under the immediate supervision of the Chief Supplier Development Officer, who can, within the limits of funds appropriated by the Legislature, hire and employ staff.  The Office must:

      (1)  support the Chief Supplier Development Officer in achieving their mission;

      (2)  review existing State procurement policies and practices;

      (3)  expand outreach to, and develop capacity-building opportunities for, certified business enterprises;

      (4)  process and manage business certifications for certified business enterprises, and any business certification created by administrative action or statute after the effective date of this bill;

      (5)  monitor the awarding of contracts to certified business enterprises, and measure progress towards lawfully established and implemented contracting and subcontracting programs;

      (6)  provide ongoing and relevant training to State agencies and State contracting units to assist with the State’s public procurement process;

      (7)  evaluate and support the feasibility of establishing a cloud-based data management system that will be used by all State agencies and State contracting units to capture public contract awards, contract compliance, and payments to certified business enterprises, prime contractors, and subcontractors.  The Office will also monitor and track the use of this cloud-based data management system; and

      (8)  ensure compliance with contracting and subcontracting goals and preferences established by law, rule, or regulation.

      Each State agency and State contracting unit will be required to develop, and submit to the office within not less than 180 calendar days prior to the end of each State fiscal year, a plan for the following fiscal year to comply with the certification programs for certified business enterprises.  The Office will analyze these plans and provide feedback and guidance to the State agencies and State contracting units as may be necessary.

COMMITTEE AMENDMENTS:

      The committee amended the bill to:

      (1) change the title “Chief Equity Officer” to “Chief Supplier Development Officer” and the title “New Jersey Office of Supplier Diversity and Business Opportunities” to “New Jersey Office of Supplier Development and Business Opportunities;”

      (2) change “small and diverse business enterprises” to “certified business enterprise” and modify the definition;

      (3) add the term “State contracting unit,” which is defined as a government entity that contracts for the procurement of goods, services, professional services, or the construction of public works, either pursuant to chapter 32, 33, or 34 of Title 52 of the Revised Statutes, the “State College Contracts Law,” P.L.1986, c.43 (C.18A:64-52 et seq.), P.L.2007, c.137 (C.52:18A-235 et seq.), or any other applicable law;

      (4) add the term “woman” or “women,” which is defined as a female or females as defined in section 2 of P.L.1986, c.195 (C.52:27H-21.18);

      (5) require the Chief Supplier Development Officer to disaggregate any data collected by race, gender, and ethnicity, to the extent possible and to monitor and track the use of the cloud-based data management system;

      (6) require the office to ensure compliance with contracting and subcontracting goals and preferences established by law, rule, or regulation; and

      (7) make technical changes.