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State of New Jersey
Executive Order #99

Governor James J. Florio
This executive order has been rescinded by Order No. 11 (Whitman).

WHEREAS, the United States Supreme Court recently held in the Boston Harbor case that state and local governments are permitted under the National Labor Relations Act to enforce project agreements when the government contracting unit acts as a market participant; and

WHEREAS, the Supreme Court commented in that case that the use of project agreements "'exemplifies'" the purposes of the National Labor Relations Act; and

WHEREAS, New Jersey has a compelling interest in carrying out public works projects at the lowest reasonable cost and the highest degree of quality; and

WHEREAS, New Jersey must ensure that labor disputes are resolved without the disruptions of strikes, lockouts, or slowdowns; and

WHEREAS, project agreements provide legally enforceable guarantees that projects will be carried out in an orderly and timely manner, without strikes, lockouts, or slowdowns; and

WHEREAS, project agreements also provide for peaceful, orderly, and mutually binding procedures for resolving labor issues; and

WHEREAS, the State also has a compelling interest in guaranteeing that public works projects meet the highest standards of safety and quality; and

WHEREAS, a highly skilled workforce ensures lower costs over the lifetime of the completed project for repairs and maintenance; and

WHEREAS, project agreements provide the State with a guarantee that public works projects will be completed with highly skilled workers; and

WHEREAS, project agreements allow public agencies to more accurately predict the actual cost of the project; and

WHEREAS, project agreements facilitate integrated work schedules among different trades on a project site; and

WHEREAS, project agreements also promote harmonious and productive work environments; and

WHEREAS, New Jersey can best accomplish these goals by encouraging agreements between contractors and subcontractors who perform work on State public works projects and the appropriate building and construction trade unions concerning important issues of employment, such as work hours, starting times, overtime rates, and procedures for resolving disputes; and

WHEREAS, project agreements, therefore, advance the interests of efficiency, quality, and timeliness;

NOW, THEREFORE, I, JIM FLORIO, Governor of the State of New Jersey, by virtue of the authority vested in me by the Constitution and by the Statutes of this State, do hereby ORDER and DIRECT:

1. It is hereby the policy of the State of New Jersey that public works projects implemented by any State department, authority, or instrumentality be subject to a project agreement whenever feasible and whenever such agreement substantially advances the interests of costs, efficiency, quality, safety, timeliness and the State's policy regarding minority- and women-owned businesses as set forth in Executive Order No. 84.

2. Every State department, authority, or instrumentality authorized to implement a public works project shall ensure that public works projects, whenever possible, be implemented subject to a project agreement with the applicable building and construction trade union in whose jurisdiction the work is to be performed.

3. In accordance with this Order, a State department, authority, or instrumentality responsible for implementing a public works project shall either (a) in good faith negotiate a project agreement directly with the applicable building and construction trade union or council in whose jurisdiction the project is to be performed, or (b) condition the award of a contract with a project manager or general contractor upon an agreement by the project manager or general contractor to in good faith negotiate a project agreement with the applicable building and construction trade union or council in whose jurisdiction the project is to be performed.

4. Any project agreement reached pursuant to this Order:

(a) shall advance the interests of the State of New Jersey including the interests in cost, efficiency, quality, timeliness, and safety;

(b) shall contain guarantees against strikes, lock-outs, or other similar actions;

(c) shall set forth effective, immediate, and mutually binding procedures for resolving jurisdictional and labor disputes arising before the completion of the work; and

(d) shall be made binding on all contractors and subcontractors on the public works project through the inclusion of appropriate bid specifications in all relevant bid documents.

5. In addition, any project agreement made pursuant to this Order shall fully conform to any and all statutes, regulations, and executive orders, including Executive Order No. 84, regarding the implementation of set-aside goals for women- and minority-owned businesses. Moreover, the obligation to comply with Executive Order No. 84 shall be expressly provided in the project agreement.

6. This Order shall take effect immediately and be implemented as soon as practicable in consideration and application of the criteria and policies declared herein.

GIVEN, under my hand and seal this
13th day of September in the Year of Our
Lord, one thousand nine hundred and
ninety-three, and of the Independence
of the United States, the two hundred
and eighteenth.

/s/ Jim Florio
Governor

Attest:

/s/ Scott A. Weiner
Chief Counsel to the Governor

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