SENATE ECONOMIC GROWTH COMMITTEE

STATEMENT TO

SENATE, No. 4485

with committee amendments

STATE OF NEW JERSEY

DATED:  JUNE 12, 2025

      The Senate Economic Growth Committee reports favorably and with committee amendments Senate Bill No. 4485.

      As amended and reported, this bill establishes the New Jersey Innovation Authority (authority) in, but not of, the Department of the Treasury as an instrumentality of the State.  The authority will consist of 13 members, nine of which will be public members.  The public members will have knowledge and expertise in one or more fields including, but not limited to: data science; public engagement; the development and implementation of digital technologies and digital product development; and the digital delivery of products, services, or benefits, and the practical applications of the same.  The chairperson of the authority will be appointed by the Governor from among the public members.  The authority will delegate to the Chief Innovation Officer the ability to appoint, retain, or employ a legal director, engineers, attorneys, accountants, financial experts, and any such officers, agents, employees, and experts, or other persons as it may require for the performance of its duties, all without regard to the civil service law.

      The day-to-day operations of the authority will be directed and administered by the Chief Innovation Officer.  Upon enactment of this bill, the initial appointment of the Chief Innovation Officer will be made by the Governor, and all subsequent appointments will be made by the authority upon a majority vote of its members.  The Chief Innovation Officer will be the chief executive officer and will serve at the pleasure of the authority.

      The responsibilities of the authority will include serving as the primary authority on technology innovation for the State and advising and providing centralized implementation and delivery services to the executive branch of State government.  On or before March 31 of each calendar year, the authority will prepare an annual report of its activities for the preceding calendar year and submit such annual report to the Governor and the Legislature.

      This bill provides that all purchases, contracts, or agreements made by the authority are to be made or awarded directly by the authority after public advertisement for bids, unless certain circumstances are met, in which case the purchase, contract, or agreement may be made without public bid or advertising.  The authority is also authorized to consult with, enter into agreements or contract with, and transfer, disburse, or grant funds, in the authority’s discretion, to an established nonprofit entity, including the National Center for Civic Innovation, Inc., as such nonprofit entity may be identified by the authority, to effectuate any of the purposes or powers, either directly or indirectly, granted to the authority.

COMMITTEE AMENDMENTS:

      The committee amended the bill to:

      (1)  require that all of the public members are to appointed by the Governor, instead of the Governor appointing five members and appointing the additional four upon the recommendation from the Speaker of the General Assembly and the President of the Senate;

      (2)  provide that of the public members first appointed to the authority, three members, rather than two, are to serve a term of five years, three members rather than two, are to serve a term of four years, and three members, rather than one member, are to serve a term of three years; and

      (3)  make technical changes.