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Procurement News

07/08/2022   Design - Build Project Delivery for Construction Projects - Publicatio
06/16/2022   Prevailing Wage Compliance-Notice to Local Governments and Schools
06/16/2022   Authorities and Housing Authorities - 2022 Budget Requirements - FAST
06/13/2022   New Requirements for Public Works Contracts
06/02/2022   Adopted Regulations - Design-Build Project Delivery
05/23/2022   Russia-Belarus List - Vendor Certification Not Currently Required For
11/10/2021   LFN2021-21 Planning Evidence & Equity Considerations
11/01/2021   LFN2021-20 Public Works Contracting
09/30/2021   Local Finance Notice 2021-18 E-Procurement Regulations
03/08/2021   Rutgers University Ctr for Gov't Services: Public Purchasing Education
04/16/2021   E-Procurement Rules-DLGS Final Adoption
02/26/2021   Iran Investment Disclosure Now Pre-Award
11/29/2019   E-Procurement Provisional Guidance
04/03/2018   New Regulations on Electronic Funds Transfers & Claimant Certification
03/20/2017   March Winter Weather Event - State of Emergency
12/14/2016   Update on Recent Procurement-Related Laws
12/14/2016   Pay-to-Play: Updated Treasurer Directive on Emergency Procurement

Design - Build Project Delivery for Construction Projects - Publicatio - 07/08/2022

The Department of Community Affairs has adopted regulations allowing local governments and school districts to utilize the design-build method of project delivery for construction projects equal to or exceeding $5,000,000. Codified at N.J.A.C. 5:34-10 and currently in effect, the Notice of Special Adoption and Concurrent Proposal has been published in the July 5, 2022 New Jersey Register and can be found on the DLGS Rules and Regulations website at https://www.nj.gov/dca/divisions/dlgs/resources/rules_reg.html under both the Proposed Rules and Recently Adopted Rules headings. Further guidance will follow.

The deadline for comment submission is September 3, 2022. Please email any formal comments on the regulations to dlgs@dca.nj.gov with the heading Design-Build Regulations-Rule Proposal Comment, or submit comments by regular mail to:

Jason R. Martucci, Esq.

Administrative Practice Officer

Division of Local Government Services

Department of Community Affairs

PO Box 803

Trenton, NJ 08625-0803

Questions on the use of design-build project delivery should be emailed to lpcl@dca.nj.gov.

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Prevailing Wage Compliance-Notice to Local Governments and Schools - 06/16/2022

On June 15, 2022, the New Jersey Departments of Labor and Workforce Development (DOL), Community Affairs, and Education have issued a joint a letter reminding local governments and schools of their compliance obligations for public works contracts, specifically those under the Prevailing Wage Act and the Public Works Contractor Registration (PWCR) Act. All contracting units are strongly encouraged to examine their public works contracting practices to ensure compliance with State law.

Contact the DOL Wage & Hour Division and Contract Compliance at WHPublicContracts@dol.nj.gov, or by telephone at (609) 292-2259, with any questions on the points raised in the letter. Local Finance Notice 2021-20, available at https://www.nj.gov/dca/divisions/dlgs/lfns/21/2021-20.pdf, contains further information on Prevailing Wage Act and PWCR Act compliance. The DOL also has a helpful public works contracting FAQ at https://www.nj.gov/labor/wageandhour/support/faqs/pwprevailingwagefaqs.shtml

Notice sent to: Administrators/Managers: Municipal & County CFOs; Procurement Officials; Public Works Managers; Municipal Clerks; Clerks-County Boards of Commissioners; Authority Officials; Fire District Officials

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Authorities and Housing Authorities - 2022 Budget Requirements - FAST - 06/16/2022

Authorities and housing authorities with a budget year start date of July 1, 2022, and later are reminded that annual budgets and supporting documentation are required to be uploaded and submitted through the Financial Automation Submission & Tracking (FAST) portal. 

To register, authority officials must go to the FAST portal registration page at https://njdca.dynamics365portals.us/Account/Login/Register and create an account.

Guidance for registering for FAST and the budget submission process can be found in the FAST Authority and Housing Authority Budget User Guide:

https://www.nj.gov/dca/divisions/dlgs/pdf/Authority_and_Housing_Authority_FAST_Portal_and_Excel_Template_User_Guide.pdf

Authorities and housing authorities must also exclusively use the newest version of the authority and housing authority budget workbooks, which are available on the Division's Authority Budget

(https://www.nj.gov/dca/divisions/dlgs/programs/au_budgets.html) and FAST (https://www.nj.gov/dca/divisions/dlgs/fast.html) webpages, as well as in the FAST portal.

For technical questions regarding FAST or the authority and housing authority budget workbooks, contact Matt Gallello at Matthew.Gallello@dca.nj.gov.

Municipal Clerks - please forward to authorities and housing authorities that serve your municipalities.  Authorities are strongly encouraged to register to receive EGG notices by contacting egg@dca.nj.gov.

Notice sent to: Municipal Clerks, Auditors, and Authorities

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New Requirements for Public Works Contracts - 06/13/2022

P.L. 2021, c. 301 requires a contractor submitting the lowest bid for a contract that is subject to the Prevailing Wage Act, if that bid is 10 percent or more lower than the next lowest bid, to certify to the public body that the prevailing wage rates required by the Act shall be paid. If the bidder does not provide the certification prior to the award of the contract, the public body shall award the contract to the next lowest responsible and responsive bidder. Further, P.L. 2021, c. 301 also amended N.J.S.A. 34:11-56.27 to require that any contract for public work expressly stipulate that workers performing work under the contract shall not be paid less than the required prevailing wage rate. Contractors and their sureties shall be liable to the public body, any lessee to whom the public body is leasing a property or premises or to any lessor from whom the public body is leasing or will be leasing a property or premises, for any excess costs occasioned by the termination of their right to proceed with the work, or such part of the work as to which there has been a failure to pay required wages. 

The New Jersey Department of Labor and Workforce Development (NJDOL) is proposing new rules at N.J.A.C. 12:60-9.1 and 9.2 and N.J.A.C. 12:60-9 Appendix, in order to establish standard language for both the contractor certification and the prevailing wage contractual provision. Although those rules have not yet been finally adopted, as the law is currently in effect, contracting units should begin inserting prevailing wage language into their contracts for public work, and requiring contractors coming in 10 percent or more lower than the next lowest bid to complete the required certification. The language and form of certification in the rule proposal below may be instructive when drafting contracts for public works and advising public works contractors on the new requirement. 

The NJDOL rule proposal was published in the June 6, 2022 New Jersey Register at https://www.nj.gov/labor/assets/PDFs/Legal%20Notices/Notices%20of%20Proposal/54_NJR1009a_June62022.pdf

Written comments must be submitted no later than August 5, 2022 to David Fish, Executive Director of Legal and Regulatory Services for the NJ Department of Labor and Workforce Development, by email at david.fish@dol.nj.gov or by mail to: 

NJ Department of Labor and Workforce Development, PO Box 110 - 13th Floor, Trenton, New Jersey 08625-0110

 

Notice sent to: Administrators/Managers; Procurement Officials; Municipal & County CFOs; Municipal Clerks; Clerks-County Boards of Commissioners; Public Works Manager; Authority Officials; Fire District Officials; DLGS Listserv

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Adopted Regulations - Design-Build Project Delivery - 06/02/2022

The Department of Community Affairs has adopted regulations allowing local governments and school districts to utilize the design-build method of project delivery for construction projects equal to or exceeding $5,000,000. Codified at N.J.A.C. 5:34-10 and effective as of May 27, the Notice of Special Adoption and Concurrent Proposal is expected to be published in the July 5, 2022 New Jersey Register. Pending final processing and publication of the regulatory text by the Office of Administrative Law, the rules can be found on the DLGS Rules and Regulations website at https://www.nj.gov/dca/divisions/dlgs/resources/rules_docs/5_34/NJAC_53410.pdf. Further guidance will follow.

Any formal comments on the regulations should be emailed to dlgs@dca.nj.gov with the heading Design-Build Regulations-Rule Proposal Comment. The deadline for comment submission is expected to be September 3, 2022. Please email any questions on the use of design-build project delivery to lpcl@dca.nj.gov.

 

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Russia-Belarus List - Vendor Certification Not Currently Required For - 05/23/2022

P.L. 2022, c. 3 requires the State Department of the Treasury (Treasury) to develop, based on credible information available to the public, a list of persons and entities engaging in prohibited activities in Russia or Belarus. Once the list is established, a contracting unit shall, prior to contract award, require a vendor or contractor to certify that they are not identified on Treasury's Russia-Belarus list and review the Russia-Belarus list to determine whether the vendor or contractor appears on the list. 

Please be advised that the vendor/contractor certification requirement is not currently in effect for local governments and boards of education, and will not take effect until such time as Treasury finalizes the Russia-Belarus list. The Division of Local Government Services will provide further updates as needed.

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LFN2021-21 Planning Evidence & Equity Considerations - 11/10/2021

Local Finance Notice 2021-21 reviews recent State Comptroller guidance on optimal use of Coronavirus Local Fiscal Recovery Funds (LFRF funds) by municipalities and counties. The Notice also summarizes recent U.S. Treasury guidance on American Rescue Plan Act

(ARP) requirements for evidence-based interventions, program evaluations, and equitable implementation of LFRF-funded recovery programs. Please review the Notice at https://www.nj.gov/dca/divisions/dlgs/lfns/21/2021-21.pdf for further details.

 

 

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LFN2021-20 Public Works Contracting - 11/01/2021

Local Finance Notice 2021-20 reminds local government and school district contracting units of key public works contractor registration, prevailing wage, debarment, and equal opportunity/affirmative action requirements. 

Also reviewed is a recent law expanding the types of projects for which a contracting unit may require a project labor agreement. The Notice is available at https://www.nj.gov/dca/divisions/dlgs/lfns/21/2021-20.pdf.

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Local Finance Notice 2021-18 E-Procurement Regulations - 09/30/2021

Local Finance Notice 2021-18, accessible at https://www.nj.gov/dca/divisions/dlgs/lfns/21/2021-18.pdf,

describes the final adopted regulations authorizing use of electronic procurement platforms by local governments and boards of education.  The regulatory text can be found at https://www.nj.gov/dca/divisions/dlgs/resources/rules_docs/5_34/njac_5345.pdf

The Notice of Final Adoption published in the New Jersey Register is located at https://www.nj.gov/dca/divisions/dlgs/resources/rules_docs/R.2021%20d.031%20(53%20N.J.R.%20501(a)).pdf.

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Rutgers University Ctr for Gov't Services: Public Purchasing Education - 03/08/2021

Dear Purchasing Agents:

Rutgers University Center for Government Services is pleased to present 51st Annual Public Purchasing Educational Online Forum. The event is scheduled on April 27, 28, 29, 2021. For more information and to register, please visit https://cgs.rutgers.edu/public-purchasing-forum

 

Olga Chaban, EdD

Sr. Program Coordinator

 

We Have Moved!

CENTER FOR GOVERNMENT SERVICES                                                            

Rutgers, The State University of New Jersey

Lifelong Learning Center   3 Rutgers Plaza, 3rd Floor    

New Brunswick, NJ   08901

                                     

Ph: 848-932-4731  

F:   732-932-3586

http://www.cgs.rutgers.edu

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E-Procurement Rules-DLGS Final Adoption - 04/16/2021

In June 2020, the Director of the Division of Local Government Services adopted regulations on Electronic Procurement and Emergency Bid Openings that at the time were proposed for readoption.  The readoption of these regulations were completed with non-substantial changes and are currently are in effect.  The Notice of Readoption can be found on the DLGS Rules and Regulations webpage under the Recently Adopted Rules heading at  https://www.nj.gov/dca/divisions/dlgs/resources/rules_docs/R.2021%20d.031%20(53%20N.J.R.%20501(a)).pdf.  An explanation of the regulations will be forthcoming through the issuance of a Local Finance Notice.

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Iran Investment Disclosure Now Pre-Award - 02/26/2021

Effective January 29, 2021, P.L. 2021, c. 4 amends the law requiring vendor and contractor disclosure of investment activities in Iran. The law allows the Iran investment disclosure form to be submitted prior to contract award and at the time the contract is renewed rather than with the bid or RFP submission. Although the law refers to State contracts, it also applies to contracting units subject to the Local Public, Public School, and County College Contracts Laws because N.J.S.A. 40A:11-2.1; 18A:18A-49.4; and 18A:64A-25.43, respectively, require these contracting units to follow the Iran disclosure procedure for State contracts. Contracting units are encouraged to review the new law with legal counsel and revise their procurement forms as necessary.

Notice Sent To: Procurement Officials; Chief Financial Officers; Authority Officials; Fire District Officials; Auditors

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E-Procurement Provisional Guidance - 11/29/2019

Local Finance Notice 2019-15 (https://www.nj.gov/dca/divisions/dlgs/lfns/19/2019-15.pdf) offers provisional guidance on use of electronic procurement pending adoption of regulations implementing the Local Government Electronic Procurement Act (P.L. 2018, c.156). 

Pending Division adoption of e-procurement regulations, and subject to the provisional guidance in LFN 2019-15, contracting units subject to the Local Public Contracts Law or Public School Contracts Law may continue to utilize electronic procurement platforms for the purchase of electricity and natural gas, the online sale of SRECs, and the sale of personal property through an online auction.  Contracting units are no longer authorized to solicit and accept bids through online procurement platforms for any other commodities, goods, or services, regardless of whether an online procurement platform had been approved under the prior E-Procurement Pilot Program. 

Please review the Notice for further details.

 

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New Regulations on Electronic Funds Transfers & Claimant Certification - 04/03/2018

Local Finance Notice 2018-13 discusses recently adopted Local Finance Board regulations permitting local units, county colleges, and school district boards of education/boards of trustees to pay claims electronically.  The new regulations also create flexibility for local units (other than school district boards of education/boards of trustees) on whether to require vendor/claimant certification prior to paying claims.

 

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March Winter Weather Event - State of Emergency - 03/20/2017

On Monday evening the Governor declared a state of emergency for the winter weather event on Tuesday March 14, 2017.  Refer to Local Finance Notice 2016-02 for Financing, Procurement and Property Tax Matters. For questions, please email dlgs@dca.nj.gov or call 609-292-4806.

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Update on Recent Procurement-Related Laws - 12/14/2016

The Division of Local Government Services has issued Local Finance Notice 2016-19, which discusses recently enacted laws impacting several aspects of local government and/or school procurement.  Topics include bidder ownership disclosure, competitive contracting, contracts for asphalt work, claimant certification for utility bills, federal military equipment surplus (1033 program) and cooperative purchasing.  Please also note that the Division has updated its model ownership disclosure form.  

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Pay-to-Play: Updated Treasurer Directive on Emergency Procurement - 12/14/2016

Emergency Procurement Reports no longer need to be filed with the Division of Local Government Services.  State Treasurer Ford M. Scudder has rescinded the portion of a prior 2006 directive requiring counties and municipalities, along with county and municipal agencies covered under the provisions of N.J.S.A. 19:44A-20.4 and 20.5, to file an “Emergency Procurement Report” with the Division when public exigency requires the procurement of goods or services on an emergency basis.  The Emergency Procurement Report was originally implemented to monitor local government emergency procurement during the period when pay-to-play laws were first being implemented.  You can access Treasurer Scudder’s November 4, 2016 Directive online.

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Updated: 07/08/2022