A1724

An Act concerning the title and role of the Chief Diversity Officer, establishing the New Jersey Office of Supplier Development and Business Opportunities, amending P.L.2017, c.95, and supplementing Title 52 of the Revised Statutes.

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

1. Section 1 of P.L.2017, c.95 (C.52:32-18.1) is amended to read as follows:

1. There is established in the [Division of Purchase and Property in the State] Department of the Treasury a Chief [Diversity] Supplier Development Officer. It shall be the duty of the Chief [Diversity] Supplier Development Officer to monitor and report on the State’s public contracting process for the purpose of compiling information on the awarding of contracts to [minority-owned and women-owned] certified business enterprises, and to monitor the total value of all contracts and the percentage of the value of those contracts awarded to [minority-owned and women-owned business enterprises] certified business enterprises.

It shall be the duty of the Chief Supplier Development Officer to collect data and information from all State agencies and State contracting units and to publicly report this data and information disaggregated by race, gender, and ethnicity, to the extent possible, concerning the State’s public procurement process. Each State agency and State contracting unit shall provide such data, information, resources, or other assistance as may be necessary to fulfill the responsibilities of the Chief Supplier Development Officer.

The Chief Supplier Development Officer shall report directly to the State Treasurer.

As used in this section:

“Certified business enterprise” means a small business as defined in section 2 of P.L.1987, c.55 (C.52:27H-21.8), minority business or women’s business as defined in section 2 of P.L.1986, c.195 (C.52:27H-21.18), economically disadvantaged business or socially disadvantaged business as defined in section 1 of P.L.2023, c.300 (C.52:32-31.15), LGBTQ+ business as defined in section 1 of P.L.2024, c.10 (C.52:18A-49.1), veteran-owned business as defined in section 2 of P.L.2011, c.147 (C.52:32-50), and such other business enterprises as the Chief Supplier Development Officer deems relevant and appropriate.

“State agency” means any of the principal departments in the Executive Branch of the State Government, and any division, board, bureau, office, commission or other instrumentality within or created by such department and any independent State authority, commission, instrumentality or agency which is authorized by law to award State contracts.

“State contracting unit” means 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.

“Woman” or “women” means a female or females as defined in section 2 of P.L.1986, c.195 (C.52:27H-21.18).

(cf: P.L.2017, c.95, s.1)

2. (New section) a. There is established in the Department of the Treasury the New Jersey Office of Supplier Development and Business Opportunities.

b. The office shall be under the immediate supervision of the Chief Supplier Development Officer, established pursuant to section 1 of P.L.2017, c.95 (C.52:32-18.1).

c. The Chief Supplier Development Officer may, within the limits of funds appropriated by the Legislature, hire and employ the staff deemed necessary to effectuate the duties of the office.

d. The Office of Supplier Development and Business Opportunities shall:

(1) support the Chief Supplier Development Officer in achieving their mission as established pursuant to section 1 of P.L.2017, c.95 (C.52:32-18.1);

(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 established by administrative action or statute after the effective date of P.L. , c. (pending before the Legislature as 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 contracts that shall 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 shall 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.

3. (New section) a. Each State agency and State contracting unit shall report and submit to the office all data regarding awards issued by such State agency or State contracting unit as required and in the manner specified by the Chief Supplier Development Officer.

b. Each State agency and State contracting unit shall report and submit to the office all delegated purchasing authority solicitations and awards issued by such State agency or State contracting unit in accordance with R.S.52:25-23 and in the manner specified by the Chief Supplier Development Officer.

c. Each State agency and State contracting unit shall 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 shall analyze such plans and provide feedback and guidance to the State agencies and State contracting units, as may be necessary.

d. As used in this section:

“State agency” means any of the principal departments in the Executive Branch of the State Government, and any division, board, bureau, office, commission or other instrumentality within or created by such department and any independent State authority, commission, instrumentality, or agency which is authorized by law to award State contracts.

“Woman” or “women” means a female or females as defined in section 2 of P.L.1986, c.195 (C.52:27H-21.18).

4. This act shall take effect immediately.

STATEMENT

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.