New Jersey Assembly Bill A3503

New Jersey 2026-2027 Regular Session

• Introduced: 1/13/26
• Refer: 1/13/26
• Report Pass: 2/19/26

Caption

Requires State entities purchase five percent of goods and services from Central Nonprofit Agency; requires Division of Purchase and Property establish training protocols for all purchasing agents; grants Central Nonprofit Agency right of first refusal.*

Summary

A3503 revises New Jersey’s Rehabilitation Facilities Set-Aside framework to require, rather than merely encourage, public purchasing from the Central Nonprofit Agency. The bill directs State departments, agencies, authorities, instrumentalities, and a broad range of political subdivisions to purchase five percent of their goods and services through the Central Nonprofit Agency from approved rehabilitation facilities, subject to implementation guidance from the Department of the Treasury. It also requires the Division of Purchase and Property to provide purchasing data, and the Treasury Department to report on compliance to the Governor and Legislature. The bill further requires formal training protocols for purchasing agents, including training for new hires and biennial refreshers, to increase awareness of the set-aside program and the Central Nonprofit Agency’s role. Compliance is delayed until Treasury issues standards and procedures governing pricing, availability, procurement, and when outside procurement may be allowed. The bill also gives the Central Nonprofit Agency a right of first refusal for goods and services available through cooperative purchasing catalogs if it can meet the price threshold, and it authorizes set-asides from cooperative contracts when approved by the relevant council.

Impact

The bill amends P.L.1981, c.488 and P.L.2021, c.385 and adds new provisions to Title 30 governing procurement from approved rehabilitation facilities. It changes the purchasing obligation from a “good faith effort” to a five percent purchase requirement for covered State entities and political subdivisions, expands reporting and oversight duties, and creates training and rulemaking obligations for Treasury and the Division of Purchase and Property. It also affects cooperative purchasing arrangements by allowing the Central Nonprofit Agency to claim first refusal and potentially displace certain cooperative contract purchases when approved facilities can supply comparable goods or services within the bill’s price standard.

Sentiment

The available voting history shows unanimous support in the Assembly State and Local Government Committee, where the bill was reported with substitution by a 7-0 vote. That suggests generally favorable sentiment toward the measure, likely reflecting support for expanding procurement opportunities for rehabilitation facilities and people with disabilities. No committee transcript was provided, so there is no recorded debate to indicate broader opposition or amendments beyond the committee substitute.

Contention

The main policy tension in the bill is between expanding mandated purchases from the Central Nonprofit Agency and preserving flexibility for State and local procurement officials. Potential points of contention include the five percent purchasing requirement, the breadth of entities covered, the right of first refusal over cooperative purchasing catalogs, and the 15 percent fair-market-value threshold for set-asides. Another possible concern is administrative burden, since the bill imposes training, reporting, and rulemaking requirements before compliance begins, while supporters are likely to emphasize the employment and programmatic benefits for people with disabilities through approved rehabilitation facilities.