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A 4586

Establishes "Minority and Women-Owned Businesses State Contractor Remedies Act."

2024-2025 Regular Session Introduced by Linda Carter and 9 co-sponsors

Bill A 4586 promotes equitable state contracting by requiring agencies to increase participation from minority and women-owned businesses, addressing historical disparities.

Reported out of Senate Committee with Amendments and Referred to Assembly Labor Committee
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Bill Summary · A 4586

Summary of Bill A 4586: Minority and Women-Owned Businesses State Contractor Remedies Act

Purpose and Intent

Bill A 4586, titled the Minority and Women-Owned Businesses State Contractor Remedies Act, aims to address historical disparities in state contracting opportunities for minority and women-owned businesses in New Jersey. The legislation seeks to promote equitable access to state contracts and subcontracts by establishing clear goals and requirements for state agencies and contractors.

Key Provisions

  1. Establishment of the Act: The bill formally establishes the "Minority and Women-Owned Businesses State Contractor Remedies Act" and revises various parts of the statutory law, supplementing Title 52 of the Revised Statutes.

  2. Historical Context: The bill references the Set-Aside Act for Small Businesses, Female Businesses, and Minority Businesses enacted in 1985, which mandated specific percentages of contracts to be awarded to minority and women-owned businesses. It also discusses the impact of the City of Richmond v. J.A. Croson Co. Supreme Court decision, which affected similar programs nationwide.

  3. Disparity Studies: The bill acknowledges findings from a comprehensive disparity study released in January 2024, which revealed significant disparities in public contracting opportunities for minority and women-owned businesses, particularly those owned by Black Americans, Asian Americans, and Hispanic Americans.

  4. Contracting Goals: The legislation sets forth specific contracting goals consistent with the disparity study's findings, requiring state agencies and prime contractors to demonstrate a good faith effort to increase participation from minority and women-owned businesses.

  5. Definitions: The bill provides clear definitions for terms such as "minority business," "Asian American-owned business," "Black American-owned business," and various types of contracts (e.g., construction, professional services).

  6. Oversight and Implementation: The bill establishes the role of the Chief Supplier Development Officer within the Department of the Treasury to oversee the implementation of the act and ensure compliance with its provisions.

Affected Parties

  • Minority and Women-Owned Businesses: The primary beneficiaries of this legislation are minority and women-owned businesses seeking to participate in state contracting opportunities.
  • State Agencies and Contractors: State agencies and prime contractors will be required to adhere to the new goals and demonstrate efforts to engage minority and women-owned businesses in their procurement processes.

Procedural Aspects

  • Introduced: June 17, 2024
  • Current Status: Reported out of the Senate Committee with amendments and referred to the Assembly Labor Committee as of May 5, 2025.
  • Related Legislation: The bill has a companion in the Senate, identified as S 3639.

Conclusion

Bill A 4586 represents a significant step towards rectifying historical inequities in state contracting practices in New Jersey. By establishing clear goals and accountability measures, the legislation aims to foster a more inclusive environment for minority and women-owned businesses, ultimately promoting economic equity and diversity in state procurement.

Compiled from official sources — confirm details with the bill’s official record.

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