A3999

An Act concerning the promotion of shared services among State independent authorities and supplementing Title 52 of the Revised Statutes.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. The Legislature finds and determines that:

a. State independent authorities have capital and operating budgets amounting to billions of dollars in public funds that are entrusted to them for the benefit of the residents of this State;

b. Greater coordination of the actions of these authorities, especially in the area of shared services, can improve the efficiency and cost-effectiveness of authority operations, which could reduce the amount otherwise required to be appropriated by the State in future years to cover payments on the $24 billion amount borrowed by these authorities;

c. Governor Corzine's Executive Order No. 37, which was signed on September 25, 2006, is intended to implement certain recommendations of the Task Force on Independent Authorities established in June 2005 to increase the transparency, efficiency and accountability of the State's independent authorities; and

d. Requiring State independent authorities to establish shared service plans and to submit such plans for posting on a centralized Internet site will permit these authorities to identify areas for the sharing of services with other independent authorities as well as local units throughout the State in order to further promote savings and efficiencies in the operation and management of these authorities.

2. As used in this act:

"Department" means the Department of Community Affairs.

"Director" means the Director of the Division of Local Government Services in the Department of Community Affairs.

"Local unit" means county, municipality, school district, fire district, local authority, regional authority, and joint meeting.

"Shared services" include joint, consolidated or regional services, and joint meetings.

"State independent authority" or "authority" means a body, politic and corporate, created by the State pursuant to law, which law provides that the public body so created has at least the following powers:

(1) To adopt and use a corporate seal;

(2) To sue and be sued;

(3) To acquire and hold real or personal property for its purposes; and

(4) To provide for and secure the payment of its bonds or other obligations, to provide for the assessment of a tax on real property within its district, or to impose charges for the use of its facilities, or any combination thereof.

3. a. Notwithstanding the provisions of any law, rule, regulation or order to the contrary, the board or other governing body of each State independent authority shall, within three months of the effective date of this act, prepare a plan for the regionalization, consolidation or sharing of services with other authorities or with local units in the State and submit such shared services plan to the Department of Community Affairs for posting on the centralized website established by the department pursuant to subsection b. of this section.

b. The Director of the Division of Local Government Services in the Department of Community Affairs, in consultation with the State's Office of Information Technology and the State Treasurer, shall establish an electronic bulletin board on the department's website through which authorities may post opportunities and requests for shared services. The purpose of the electronic bulletin board shall be to provide a central place for State independent authorities to advertise and seek out opportunities to share services with other authorities and with local units.

c. The director, in consultation with the Office of Information Technology and the State Treasurer, shall develop an electronic survey utilizing criteria that will enable the Division of Local Government Services to use a computer program to match authorities with each other and with local units in a logical and consistent manner for the provision of shared services. The electronic survey shall be distributed to as many authorities as possible and practicable and shall be updated periodically.

d, The director shall annually report to the Governor and to the Legislature, pursuant to section 2 of P.L.1991, c.164 (C.52:14-19.1), information on the authorities’ and local units’ usage of and savings from initiatives authorized under this section.

e. The director, in consultation with the State Treasurer, shall adopt rules, regulations, and forms necessary to implement this section.

f. The director may annually submit to the Legislature an appropriation request for funds anticipated for the following State fiscal year to fund activities required pursuant to this section.

4. This act shall take effect immediately.

STATEMENT

This bill would require the Director of the Division of Local Government Services (the "director") in the Department of Community Affairs (the "department"), in consultation with the State Office of Information Technology and the State Treasurer, to establish an electronic bulletin board on the department's website for the purpose of allowing State independent authorities to advertise for and seek out other authorities and local units for shared services opportunities.

The director would further be required under the provisions of this bill to develop, in consultation with State Office of Information Technology and the State Treasurer, an electronic survey for State independent authorities to allow the State to match authorities with each other and with local units to participate in joint, consolidated and shared services

The bill would also require the director to annually report on the authorities’ and local units’ usage of and savings from the initiatives authorized under this bill and would allow the director to request appropriate amounts of monies to fund the activities required by this bill.