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Bill

Bill

A 4722

Requires State agencies to make good faith effort to increase awarding of contracts procured without advertisement to minority- and women-owned businesses.

2024-2025 Regular Session Introduced by Linda Carter and 4 co-sponsors

New Jersey bill requires state agencies to prioritize awarding non-advertised contracts to minority and women-owned businesses through good faith efforts.

Reported and Referred to Assembly Labor Committee
#minority #statedepts #women
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Bill Summary · A 4722

Legislative bill overview

Bill A 4722 mandates that New Jersey state agencies make good faith efforts to award non-advertised contracts (typically small, lower-value procurements) to minority-owned businesses (MBEs) and women-owned businesses (WBEs). The bill applies to contracts procured through direct negotiation or other methods that bypass public bidding processes, which currently account for a significant portion of state spending.

Why is this important

Non-advertised contracts represent billions in annual state spending that often bypass competitive bidding, historically concentrating awards among established vendors. This bill attempts to redirect a portion of that spending to underrepresented business owners, potentially increasing wealth-building and economic participation in communities that have faced systemic procurement barriers. The measure could meaningfully expand business opportunities without requiring restructuring of the entire procurement system.

Potential points of contention

  • Defining "good faith effort": The bill lacks specific metrics or enforcement mechanisms, potentially making compliance vague and difficult to measure or challenge
  • Impact on existing vendors: Established contractors may face reduced non-advertised contract awards, raising concerns about fairness to businesses that have built relationships with agencies
  • Cost and efficiency: Restricting agency discretion in vendor selection could increase procurement costs or slow contract execution if fewer qualified vendors meet MBE/WBE criteria

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

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