Procurement News
Local Finance Notice 2022-24 Russia-Belarus List & Iran Investment Law - 12/29/2022
P.L. 2022, c. 3, signed into law on March 9, 2022, required 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 (Russia-Belarus list). Persons or entities included on the Russia-Belarus list cannot enter into or renew a contract for the provision of goods and services with a State agency, State college or university, a contracting unit as defined in the Local Public Contracts Law, a board of education as defined in the Public School Contracts Law (including charter schools), or a county college as defined in the County College Contracts Law. The Treasury list is now available at https://www.nj.gov/treasury/administration/pdf/RussiaBelarusEntityList.pdf and will be updated at least once every six months.
A person or entity appearing on the Russia-Belarus list cannot be designated as a redeveloper under the Local Redevelopment and Housing Law (N.J.S.A. 40A:12A-1 et seq.), enter into an agreement for a payment in-lieu of taxes (PILOT) or otherwise be awarded a municipal property tax abatement. Before beginning the application process, the applicant must provide a similar certification and the local unit must confirm that the applicant does not appear on the Russia-Belarus list.
If a person or entity is listed by State Treasury as engaging in investment activities in Iran (Chapter 25 list), a State agency, a contracting unit as defined in the Local Public Contracts Law, a board of education as defined in the Public School Contracts Law, or a county college as defined in the County College Contracts Law cannot award or renew a contract for goods or services with that person or entity. The Chapter 25 list is available at https://www.state.nj.us/treasury/purchase/pdf/Chapter25List.pdf.
Please review Local Finance Notice 2022-24 at https://www.nj.gov/dca/divisions/dlgs/lfns/22/2022-24.pdf for further details. A new model form combining the Russia-Belarus and Iran Investment certifications is available at https://www.nj.gov/dca/divisions/dlgs/programs/lpcl_docs/Russia-Belarus%20and%20Iran%20Combined%20Certification.docx.
Notice sent to: Procurement Officials; Municipal & County CFOs; Administrators/Managers; Municipal Clerks; Clerks - Boards of County Commissioners; Authorities; Fire Districts; LFB Listserv; Auditor Listserv
Return to Top
Final Adoption - NJAC 5:34-10 Design-Build Project Delivery - 12/28/2022
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, the final Notice of Adoption has been published in the December 19, 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 the Recently Adopted Rules heading. The most current rule text is available at https://www.nj.gov/dca/divisions/dlgs/resources/rules_docs/NJAC%205_34-10%20Design-Build%20Project%20Delivery%20(as%20of%2012-19-22).pdf. Further guidance will follow.
Return to Top
Revised Model Ownership Disclosure & Federal Debarment Forms - 11/29/2022
In an Appellate Division case approved for publication on November 14, 2022, Asphalt Paving Systems v. Borough of Stone Harbor, the court decided that N.J.S.A. 52:25-4.2 allows a bidder to list the home, business, or mailing address (including a P.O. Box) on an Ownership Disclosure Form for each owner of ten or more percent of the bidder. The statute does not require listing the home address of an individual owner.
In light of the recent court decision, the Division of Local Government Services (DLGS) has revised its model Ownership Disclosure Form to remove the requirement for an individual to list their home address. The model form is available on the DLGS NJ Local Agency Procurement Laws webpage at https://www.nj.gov/dca/divisions/dlgs/programs/lpcl_docs/ownership_disclosure_statement_yellowbook.docx.
The Division has also updated its model Federal Non-Debarment Certification to incorporate the switch from DUNS numbers to Unique Entity IDs, and require the physical address of a vendor or contractor for verifying information in the federal SAMS database. The updated form is available under the heading Model Procurement Forms at https://www.nj.gov/dca/divisions/dlgs/programs/lpcl_docs/DLGS%20Federal%20Debarment%20Model%20Form.doc.
Return to Top
DLGS Certification Update - Recent Rule Changes - 08/16/2022
The Director of the Division of Local Government Services has adopted regulatory amendments implementing certain changes relevant to DLGS-licensed positions. These changes include:
- The ability to bank up to 50% of surplus continuing education (CEU) contact hours earned during a license renewal cycle extended pursuant to N.J.S.A. 52:27D-18.5 into the next renewal
cycle. This carry over allowance is effective one time only.
- Commencing with qualified purchasing agent (QPA) license renewals due by December 31, 2022:
- increasing from 20 to 25 the total number of CEU contact hours a QPA must earn during a license renewal cycle; and
- increasing the minimum required number of CEU contact hours for the "procurement procedures" category from two (2) to five (5).
- Creating a new optional continuing education category for QPAs on compliance with public works contracting laws.
- Requiring a contracting unit to notify its auditor whenever a QPA vacates the position, unless the auditor makes an annual inquiry on whether a contracting unit has appointed a QPA or temporary QPA.
Local Finance Notice 2022-15, available at https://www.nj.gov/dca/divisions/dlgs/lfns/22/2022-15.pdf, provides further details on the adopted regulations and links to the updated regulatory text.
Return to Top
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.
Return to Top
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
Return to Top
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
Return to Top
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
Return to Top
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.
Return to Top
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.
Return to Top
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.
Return to Top
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.
Return to Top
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.
Return to Top
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
Return to Top
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.
Return to Top
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
Return to Top
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.
Return to Top
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.
Return to Top
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.
Return to Top
|