Legal Memorandum: Changes to New Jersey Purchasing Law

Issue: What are the changes to the New Jersey purchasing law enacted April 17, 2000?

Area of Law: Administrative Law, Administrative Law & Regulation (Federal and State)
Keywords: New Jersey purchasing law; Public procurement; New Jersey Local Public Contracts Law
Jurisdiction: New Jersey
Cited Cases: None
Cited Statutes: N.J. Stat. Section 40A:11-2, 40A:11-4.1, § 40A:11-4.2, § 40A:11-4.3, § 40A:11-4.4, § 40A:11-4.4.b, § 40A:11-4.4.c, § 40A:11-4.4.d, § 40A:11-4.5, 40A:11-4.5.d, 40A:11-4.5.e, § 40A:11-3, § 40A:11-9.b, § 40A:11-4, § 40A:11-5, § 40A:11-5.3, § 40A:11-5.4, § 40A:11-6, § 40A:11-7, § 40A:11-10, § 40A:11-13, § 40A:11-13.2, § 40A:11-15, § 40A:11-15(7), § 40A:11-37; N.J. Stat. § 18A:18A-1 (2000); N.J. Stat. §§ 18A:18A-2—:18A-45; N.J. Stat. § 18A:71A-10; N.J. Stat. § C.5:10-21.1 (1981); N.J. Stat. § C.13:17-6.1 (1984); N.J. Stat. §§ C.52:25-16.1, 25-16.6 and 25:23; N.J. Stat. § C52:35-7 (1954); N.J. Stat. § 2C:27-4. N.J. Stat. § 2C:27-6; N.J. Stat. § C.56:9-11
Date: 06/01/2000

Local contracting units and vendors of certain products or services must comply with the New Jersey laws relating to public procurement, various parts of which have been amended effective April 17, 2000.  The substantive changes to the laws are described here.

Section 40A:11-2 of the Act provides definitions applicable to the provisions of the Act.  Noteworthy new or changed definitions include “goods and services” or “goods or services,” which is broadly defined to mean any work, labor commodities, equipment, materials or supplies of any tangible in intangible nature, except real property, provided or performed through a contract awarded pursuant to the Act.  “Lowest price” means the least possible amount that meets all requirements of the request of a contracting agent.  “Lowest responsible bidder or vendor” means the bidder or vendor whose responsive proposal offers the lowest price and who is responsible.  “Responsible” means “able to complete the contract in accordance with its requirements, including but not limited to requirements pertaining to experience, moral integrity, operating capacity, financial capacity, credit, and workforce, equipment and facilities availability.”

Several new sections have been added to the New Jersey Local Public Contracts Law.  First, § 40A:11-4.1  provides that competitive contracting may be used by local contracting units in lieu of public bidding for procurement of certain goods and services.  Competitive contracting may be used for procurement of:

  • proprietary computer software and hardware intended for use with the proprietary software;
  • the hiring of entities for […]

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