New Jersey Local Public Contracts Law and Regulation ...

New Jersey Local Public Contracts Law

and Regulation Reference Manual

With Related and Supporting Information

N.J.S.A. 40A:11-1 et seq. and N.J.A.C. 5:34

Current as of April 1, 2014

Prepared by: Bloustein Local Government Research Center,

Rutgers, the State University and

New Jersey Division of Local Government Services

Local Public Contracts Law

N.J.S.A. 40A:11-1 et seq.

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Local Public Contracts Law

N.J.S.A. 40A:11-1 et seq.

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HOW TO USE THIS HANDBOOK

This new handbook reprints the Local Public Contracts Law (LPCL, N.J.S.A. 40A:11) and Local Public Contracting Rules (N.J.A.C. 5:34), and includes supplemental material not found in earlier versions of these reprints. The statutory and regulatory text includes all changes enacted through the 2012-2013 legislative session (P.L. 2012 and 2013) and Division of Local Government Services (DLGS) rules adopted through the end of 2013. It is intended for contracting units and their procurement professionals and advisors that fall under the LPCL.

The handbook is divided into two parts: Part One reprints the Local Public Contracts Law and several related statutes; Part Two reprints the primary administrative rules related to the Local Public and Public School Contracts Laws. The handbook includes clickable links that make moving between the Table of Contents and related material convenient when viewed on a computer.

In Part One, following the Local Public Contracts Law reprint, Appendix A displays the history and current public bidding and quotation thresholds since 2000. The supplemental material in Appendix B includes the text of several statutes not readily referenced elsewhere that are related to the Law, and are shown in pertinent part.

Appendix C is intended to assist readers address the scope of local procurement laws and regulations. To that end, the LPCL text highlights those sections of the law that have associated N.J.A.C. regulations (i.e., 40A:11-3. Bid threshold; period of contracts) or have been the subject of DLGS Local Finance Notices. The highlighted titles are linked to corresponding listings in Appendix C where cited references have their own weblinks.

Appendix D is a standalone list of statutes and guidance with their related web references. These references should be read in pari materia with the Local Public Contracts Law. It should be reviewed by contracting professionals and their legal advisors.

Part Two is a reprint of N.J.A.C. 5:34, its Appendices (including fillable forms), along with sections of N.J.A.C. 5:30 related to local government procurement practices.

Acknowledgements

Preparation and editing of this handbook is credited to Marc Pfeiffer, former DLGS Deputy Director (retired) and Assistant Director of the Bloustein Local Government Research Center, who was assisted by Joseph A. Valenti, former Chief of the Division's Bureau of Local Management Services, both of whom led administration of the State's local public contracting laws for several decades. Former DLGS Administrative Assistant Elaine Abel Holleran is also credited for the original preparation and formatting of the document.

The Division thanks Bloustein Local for their efforts in this project and hopes that local procurement professionals find it a valuable resource. It is the goal of the Division and Bloustein Local to update this annually.

This document is online at: dca/divisions/dlgs/programs/lpcl.html#17

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Local Public Contracts Law

N.J.S.A. 40A:11-1 et seq.

TABLE OF CONTENTS

PART ONE ? LOCAL PUBLIC CONTRACTS LAW

N.J.S.A. Section

Title

Page

40A:11-1

Short title; citation

1

40A:11-2

Definitions

1

40A:11-2.1

Civil action brought on behalf of local contracting unit.

5

40A:11-3

Bid threshold; period of contracts

5

40A:11-4

Contracts required to be advertised, disqualification of bidder

6

40A:11-4.1

Purposes for which competitive contracting may be used by local units 7

40A:11-4.2

Term of contract; exceptions

8

40A:11-4.3

Competitive contracting process; resolution, administration

8

40A:11-4.4

Request for proposals; documentation; provisions

8

40A:11-4.5

Competitive contracting proposal solicitation

9

40A:11-4.6

Implementation of energy savings improvement program by contracting unit; definitions

10

40A:11-5

Exceptions

16

40A:11-5.1

Authority of city of first class to contract for water supply, wastewater treatment services

21

40A:11-5.2

Applicability of C. 40A:11-1 et seq. to certain contracts by city of first class

22

40A:11-6

Emergency contracts

22

40A:11-6.1

Award of contracts

22

40A:11-7

Contracts not to be divided

23

40A:11-7.1

Rules concerning determinations of aggregation

23

40A:11-8

Bids for provision or performance of goods or services

23

40A:11-9

Designation of contracting unit's purchasing agent, authority, responsibility, accountability; qualifications

24

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