S2451 —

S2451 SSG1R Statement[First 7/22/20Reprint] SENATE STATE GOVERNMENT, WAGERING, TOURISM & HISTORIC PRESERVATION COMMITTEE   STATEMENT TO   SENATE, No.

 2451 withSTATE committeeOF amendmentsNEW JERSEY 219th LEGISLATURE   STATEINTRODUCED OFMAY NEW7, JERSEY2020   DATED:  Sponsored by:

 JULYSenator  22,M. 2020         The Senate State Government, Wagering, Tourism and Historic Preservation Committee reports favorably and with committee amendments Senate Bill No.

2451.TERESA RUIZ District 29 (Essex) Senator  JOSEPH F.

     VITALE AsDistrict amended19 by(Middlesex) the  committee,Co-Sponsored thisby: bill permits a modification of the scope of work or the terms and conditions of contract between non-profit organizations and State agencies for the failure to perform due to the COVID-19.

    Senator UnderPou the  bill,  as  amended,  aSYNOPSIS      Permits modification of the scope of work or terms and conditions due to the COVID-19 emergencies would be permitted when the Division of Purchase and Property in the Department of the Treasury has awarded a contract onbetween behalf of a State agency to a non-profit organization,organizations orand a State agencyagencies hasfor enteredfailure intoto anperform agreementdue or contract pursuant to itsCOVID-19 delegatedpandemic. purchasing authority or a waiver of advertising with a non-profit organization, or a State agency has entered into an agreement or contract with a third party entity on behalf of a non-profit organization.

      TheCURRENT inabilityVERSION toOF performTEXT on     theAs contractreported or agreement must have occurred during the emergencies or during the six-month period immediately following the end of the emergencies.  The bill would not apply to an agreement or contract entered into by the divisionSenate or a State agencyGovernment, specificallyWagering, relatedTourism to& theHistoric State’sPreservation effortsCommittee toon combatJuly the22, COVID-192020, Publicwith Healthamendments. Emergency and State of Emergency.

       AsAn amended,Act Senateproviding Billfor No.1[waivers of contract penalties and modification of contract terms on public contracts between non-profit organizations and State agencies for failure to perform] the modification of contract terms on public contracts between non-profit organizations and State agencies for the inability to perform1 due to the COVID-19 Public Health Emergency and State of Emergency.

2451  (1R)     isBe identicalIt toEnacted by the Senate and General Assembly Billof No.the State of New Jersey:

3996  (2R)     1.    1[Notwithstanding the provisions of 2020-2021.any law, rule, or regulation to the contrary, a State agency that has awarded a contract to or entered into an agreement with a non-profit organization may provide a waiver of any penalty provided in the contract or agreement for the failure of the non-profit organization to fulfill the terms and conditions in the contract or agreement if the failure is due to the COVID-19 Public Health Emergency and State of Emergency declared by the Governor in Executive Order No.

 103 COMMITTEEof AMENDMENTS2020      and Thethe amendmentsfailure reviseoccurred during the typesperiod of contractsthe andemergencies agreementsor availableduring forthe modificationsix-month ofperiod immediately following the scopeend of workthe oremergencies.  termsThe andwaiver conditionsshall duebe provided to failurethe toextent performthe dueState toagency theor COVID-19agencies pandemic.deem it feasible and appropriate under the circumstances.

          UnderA thesenon-profit amendments,organization ashall modificationbe ofpermitted theto scoperequest ofa workmodification orof the terms and conditions dueof toa thecontract COVID-19awarded emergenciesby, wouldor beof permittedan whenagreement theentered Divisioninto ofwith, Purchasea andState Propertyagency inand the DepartmentState ofagency theshall Treasuryconsider hassuch awarded a contractrequest onto behalfmodify ofthe aterms Stateand agencyconditions toin athe non-profitcontract organization, or aagreement, Statewhen agencycompliance hasby enteredthe intonon-profit anorganization agreementwith orthe contractterms pursuantand toconditions itswas delegatedimpacted purchasingdue authorityto orthe aemergencies waiverand ofthe advertisingimpact withoccurred aduring non-profitthe organization,period orof athe Stateemergencies agency has entered into an agreement or contractduring withthe asix-month thirdperiod partyimmediately entityfollowing onthe behalfend of athe non-profitemergencies. organization.

          TheNon-profit inabilityorganizations toshall performsubmit onto the contractappropriate orState agreementagency mustsupportive havedocumentation occurredas duringproof that the emergenciesfailure orto duringfulfill the six-monthterms periodand immediatelyconditions following the end of thea emergencies. contract Theor bill would not apply to an agreement orwas contractdue enteredto, into by the division or athat State agency specifically related to the State’scompliance effortswas toimpacted combatby, the COVID-19 Public Health Emergency and State of Emergency.Emergency declared by the Governor in Executive Order No.

103 of 2020, in order to receive a waiver of a penalty or to have a medication of the terms and conditions considered by a State agency.

     As used in this section, “State agency” means any of the principal departments in the Executive Branch of the State Government, and any division, board, bureau, office, commission, or other instrumentality within or created by such department, the Legislature of the State, and any office, board, bureau, or commission within or created by the Legislative Branch, and any independent State authority, commission, instrumentality, or agency.  A county or municipality shall not be deemed an agency or instrumentality of the State.]      Notwithstanding the provisions of any law, rule, or regulation to the contrary, when the Division of Purchase and Property in the Department of the Treasury has awarded a contract on behalf of a State agency to a non-profit organization, or a State agency has entered into an agreement or contract pursuant to its delegated purchasing authority or a waiver of advertising with a non-profit organization, or a State agency has entered into an agreement or contract with a third party entity on behalf of a non-profit organization, the division or State agency may, at the request of the non-profit organization, amend the scope of work or terms and conditions if the non-profit organization is unable to fulfill the terms and conditions in the contract  due to the COVID-19 Public Health Emergency and State of Emergency declared by the Governor in Executive Order No.

103 and Executive Order 119 of 2020.

     COVID-19 Public Health Emergency and State of Emergency amendments shall be permitted if the inability to perform occurred during the period of the COVID-19 Public Health Emergency and State of Emergency or during the six-month period immediately following the end of the COVID-19 Public Health Emergency and State of Emergency.

     Non-profit organizations shall submit to the division or appropriate State agency supportive documentation as proof that the failure to fulfill the terms and conditions of a contract or agreement was due to, or that the compliance was impacted by, the COVID-19 Public Health Emergency and State of Emergency declared by the Governor in 2020, in order to receive a waiver of a penalty or to have a modification of the terms and conditions considered by a State agency.

     As used in this section, “State agency” means any of the principal departments in the Executive Branch of the State Government, and any division, board, bureau, office, commission, or other instrumentality within or created by such department, the Legislature of the State, and any office, board, bureau, or commission within or created by the Legislative Branch, and any independent State authority, commission, instrumentality, or agency.  A county or municipality shall not be deemed an agency or instrumentality of the State.

     This act shall not apply to an agreement or contract entered into by the division or a State agency specifically related to the State’s efforts to combat the COVID-19 Public Health Emergency and State of Emergency.1      2.    This act shall take effect immediately and shall expire on the first day of the ninth month following the end of the Public Health Emergency and State of Emergency declared by the Governor in Executive Order No.

103 of 2020.