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By ARep | May 6th, 2013 - 10:19am
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RUMANA PRO BUSINESS BILLS GET ASSEMBLY PANEL APPROVAL

Two bipartisan bills Assembly Republican Whip Scott Rumana sponsors that reduce burdensome regulations regarding workers’ compensation reporting and the state’s reciprocal limitations statutes as they apply to the awarding of public contracts were released today by the Assembly Regulatory Oversight and Gaming Committee.

“I am pleased that these two common-sense, bi-partisan bills have advanced today. The bills do more than just remove erroneous requirements and clarify existing laws – they mark a change in philosophy. Under the leadership of Governor Christie, New Jersey government is proactively seeking ways to improve itself, cut red tape, and make New Jersey an easier and better place to run a business,” explains Rumana, R-Bergen, Passaic, Morris, Essex.

The first measure, A-4014, eliminates the requirement for certain business entities (those without employees) to include proof of workers’ compensation coverage in their annual reports which are submitted to the State Treasurer.

Under current law every corporation, limited partnership, limited liability company, limited liability partnership or other employer is required to include a valid proof of workers’ compensation coverage as part of its annual report.

Current law also provides that without inclusion of proof of workers’ compensation coverage the annual report is not complete for purposes of filing, the requirement to submit the annual report is not fulfilled, and all requirements concerning the failure to submit the annual report apply, which entails revoking the charter of the business.
This bill would require only those businesses that are employers to submit proof of workers’ compensation coverage. In addition, it removes the punishment provision of the law for failure to provide proof of coverage for those entities to which the requirement applies.

The second bill, A-4015, clarifies New Jersey’s reciprocal limitations statute regarding the awarding of public contracts to include local procurements. Currently, a number of states, including their counties, municipalities and school districts give a preference to in-state or resident businesses when awarding public contracts. This policy places New Jersey businesses at a disadvantage when bidding on those contracts.

In an effort to discourage this practice, New Jersey enacted a reciprocal limitations law which provides that in awarding public contracts New Jersey will apply “like conditions” to businesses from states that give an in-state preference “when bidding for a public contract in this State.” The current law only refers to State-level procurements, not local procurements. This measure will remove any ambiguity that New Jersey’s regulations do reach localities.

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