BRAMNICK ASKS WHY NJ VENDORS NOT GIVEN CHANCE TO BID

By scmysak | August 24th, 2009 - 12:55pm
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Release Date: 
Aug 24 2009
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BRAMNICK ASKS WHY NJ VENDORS NOT GIVEN CHANCE TO BID

Assemblyman Jon Bramnick joined with local office supply store owners Saturday and called on the Corzine administration to rethink its contract with Massachusetts-based Staples Advantage because New Jersey vendors were not given an opportunity to bid on the multi-million dollar contract.

BRAMNICK ASKS WHY NJ VENDORS NOT GIVEN CHANCE TO BIDAssemblyman Jon Bramnick joined with local office supply store owners Saturday and called on the Corzine administration to rethink its contract with Massachusetts-based Staples Advantage because New Jersey vendors were not given an opportunity to bid on the multi-million dollar contract.“Why weren’t New Jersey businesses given a chance to bid for a New Jersey contract?” asked Bramnick, R-Essex, Morris, Union and Somerset. Al Feldman, owner of Able Office Products in South Plainfield, said his business and 16 others around the state have been supplying state government with paper goods and office products since 2004. As their contracts were winding down this year, Feldman said he and his colleagues were stonewalled by state officials when they asked what was happening.Last week, the New Jersey business owners learned from a posting on the state Treasury Department website that Staples Advantage, which has corporate headquarters in Massachusetts, was awarded the contract through the National Joint Powers Alliance, a cooperative of state and local governments based in Minnesota. The contract with Staples is effective Sept. 1.State Treasurer David Rousseau said on the website announcement that the Staples contract would result in a savings. But the New Jersey vendors dispute his contention since they were never given a chance to compete. Their contracts with the state expire on Aug. 31. These firms are located across the state with offices in Edison, Kenilworth, Lakewood, Lincoln Park, Secaucus and South Plainfield and they employ more than 200 workers.Carl Streko, owner of Supplies-Supplies Inc. of Kenilworth, said he and his colleagues normally receive notices from the state when it is seeking bids on paper and office supplies. No notice was given to the vendors that New Jersey was seeking bids for a new contract, the local business owners said. Instead, they learned last week that the National Joint Powers Alliance advertised for bids in a Minnesota paper only.  The New Jersey firms are part of a National Office Products Alliance. The president of the alliance, Chris Bates, said what is occurring is unjust. “The state completely blind-sided our members,” said Bates. “Because they deliver to the state on one or two days notice, our members have to stock months’ worth of products. Now, they have a significant surplus of products in stock and no customers in a week.”Under state law, contracts can be awarded through cooperatives. But the contract must be the most cost effective. Bramnick said it remains to be proven whether this new contract is the most cost effective because New Jersey businesses were not given a chance to bid.                                               ####

Contact Info: 

Assemblyman Jon Bramnick / 908-232-2073

NJ Transfers Office Supplies Contract to Staples w/o Competition

On August 26 the New Jersey Department of the Treasury denied a petition filed by the National Office Products Alliance (NOPA) for a stay of the State’s award of a new office supplies contract to Staples and a stay of the expiration of existing contracts held by independent dealers throughout the State. Those contracts expire on August 31. The Acting Director of the Purchase and Property Division within Treasury, Alice Small, advised that she doubted that NOPA and New Jersey dealers even had standing to request a stay of the Staples award because they were not bidders on that contract. Her statement is disingenuous since there was only one bidder on the ‘piggy back’ National Joint Power Alliance (NJPA) through which the State has contracted with Staples starting on September 1.

Timing is everything and in this case the date of the denied stay request follows closely on the heels of the first official notice that current contract holders received from the State on August 25 advising that their contracts would not be extended. Hill Wallack, attorney for NOPA and affected dealers in New Jersey will of course appeal this matter to the Courts, where one can only hope that justice will prevail.

It’s time for independent small businesses and their supporters to stand up for themselves and challenge the widely held misconception of government and large private companies that sole-source contracts with the big guys will save money, when there’s so much evidence that they don’t. New Jersey dealers are fighting for a new competitive bid process – I sure hope they get one!

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