S2525 1R

An Act concerning the powers and duties of the State Chief Diversity Officer and amending P.L.2017, c.95 ¹[and P.L.1950, c.270]¹.

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

1. Section 1 of P.L.2017, c.95 (C.52:32-18.1) is amended to read as follows:

1. a. There is established in the [Division of Purchase and Property in the] State Department of the Treasury the State Office of Diversity and Inclusion. The purpose of the office shall be to lead New Jersey’s efforts to promote diversity in State government so that it is reflective of the State’s population and to increase utilization of minority-owned and women-owned business enterprises in the State’s public contracting process.

b. The office shall be headed by a Chief Diversity Officer who shall be appointed by the Governor.

c. It shall be the duty of the Chief Diversity Officer to:

(1) advise the Governor on Statewide policies and procedures related to workforce diversity and minority-owned and women-owned business enterprise programs;

(2) develop, administer, and implement a Statewide strategic diversity and inclusion plan designed to provide accountability, measure performance, and centralize processes and procedures across State agencies, colleges, and universities;

(3) establish quarterly meetings with heads of State agencies, colleges, and universities to review and advise on diversity training, outreach, and utilization of minority-owned and women-owned business enterprises;

(4) collaborate with the Governor’s director of appointments and the head of each Executive Branch department to ensure diversity in recruitment for senior level positions;

(5) collaborate with the head of each principal department in the Executive Branch to appoint a diversity officer for each department who shall be charged with identifying diverse workforce talent;

(6) develop and implement a training curriculum that provides for core competencies in diversity, equity, and inclusion;

(7) monitor the State’s public contracting process for the purpose of compiling information on the awarding of contracts to minority-owned and women-owned business enterprises, the total value of all contracts and the percentage of the value of those contracts awarded to minority-owned and women-owned business enterprises[.];

(8) establish goals for participation of minority-owned and women-owned business enterprises based on best estimates of market availability without set-asides or quotas;

(9) receive reports from dedicated procurement officers across State agencies, colleges, and universities charged with implementation of minority-owned and women-owned business enterprise goals for purposes of compiling an annual report to the Governor evaluating attainment of such goals;

(10) oversee the implementation and utilization of a Statewide software system that monitors and tracks State agency, college, and university minority-owned and women-owned business enterprise spending in real time, provides analysis of agency utilization goals, and alerts agencies when current spending patterns are projected to not reach those goals;

(11) ensure that State procurement solicitation documents set forth minority-owned and women-owned business enterprise goals and require that State agencies, colleges, and universities provide lists of known minority-owned and women owned business enterprise subcontractors to parties seeking such information;

(12) establish protocols and practices for State agencies, colleges, and universities to conduct outreach efforts to minority-owned and women-owned business enterprises;

(13) ensure that the State Department of the Treasury sets reasonable goals for working with minority and women fiscal agents as defined in section 2 of P.L.2001, c.286 (C.52:18A-8.1a); and

(14) ensure that State fiduciary entities develop programs to provide financing or access to capital for minority-owned and women owned business enterprises.

For purposes of this section, “State agency” means any principal department in the Executive Branch and any division, board, bureau, office, commission, or other instrumentality within or created by a principal department, and any independent State authority, commission, or instrumentality.

(cf: P.L.2017, c.95, s.1)

¹[2. Section 5 of P.L.1950, c.270 (C.52:18A-83) is amended to read as follows:

5. a. There is hereby established in the Division of Investment a State Investment Council which shall consist of [16]17 members.

(1) Each of the following agencies, namely, the Board of Trustees of the Public Employees' Retirement System, and the Board of Trustees of the Teachers' Pension and Annuity Fund, shall designate one board member elected to serve on the board, to serve as a member of the State Investment Council herein established. The Chief Justice of the New Jersey Supreme Court shall designate one member of the Retired Judges Association of New Jersey to serve as a member of the State Investment Council herein established. The three members of the council so designated shall serve as such for a period of three years from the date of their designation and until their respective successors are in like manner designated.

(2) Eight of the members of the State Investment Council shall be appointed by the Governor, with the advice and consent of the Senate, for a term of five years and shall serve until the member's successor is appointed and has qualified. Of the initial members appointed following the effective date of P.L.2011, c.78, one shall serve for an initial period of three years, and one shall serve for an initial period of two years.

(3) One member of the State Investment Council shall be appointed by the Governor from among three persons nominated jointly by the President of the Senate and the Speaker of the General Assembly and shall serve for a term of five years and until the member's successor is appointed and has qualified.

(4) Two members of the State Investment Council shall be appointed by the Governor from among six persons nominated by the Public Employee Committee of the New Jersey State AFL-CIO and shall serve for a term of five years and until the member's successor is appointed and has qualified. If the persons nominated are not acceptable to the Governor for appointment, the Governor may request submission of new nominees.

(5) One member of the State Investment Council shall be appointed by the Governor from among three persons nominated by the New Jersey Education Association and shall serve for a term of three years and until the member's successor is appointed and has qualified. If the persons nominated are not acceptable to the Governor for appointment, the Governor may request submission of new nominees.

(6) One member of the State Investment Council shall be appointed by the Governor from among three persons nominated by the State Troopers Fraternal Association and shall serve for a term of three years and until the member's successor is appointed and has qualified. If the persons nominated are not acceptable to the Governor for appointment, the Governor may request submission of new nominees.

(7) One member of the State Investment Council shall be the Chief Diversity Officer, ex officio, who was appointed in accordance with section 1 of P.L.2017, c.95 (C.52:32-18.1).

The four members appointed pursuant to paragraphs (4), (5) and (6) of this subsection by the Governor to the council shall be qualified by training, experience or long-term interest in the direct management, analysis, supervision or investment of assets, and this training, experience or long-term interest shall have been supplemented by academic training in the fields of economics, business, law, finance or actuarial science or by actual employment in those fields.

At least seven of the nine members appointed pursuant to paragraphs (2) and (3) of this subsection by the Governor to the council shall be qualified by training and experience in the direct management, analysis, supervision or investment of assets, which training and experience shall have been acquired through academic training or through actual employment in those fields.

b. No member of the State Investment Council shall hold any office, position or employment in any political party nor shall any such member benefit directly or indirectly from any transaction made by the Director of the Division of Investment provided for herein.

The members of the council shall elect annually from their number a chairman of such council. Any member of the council so elected shall serve as such chairman for a term of one year and until a successor is, in like manner, elected. The chairman of the council shall be its presiding officer.

The members of the council shall serve without compensation but shall be reimbursed for necessary expenses incurred in the performance of their duties as approved by the chairman of the council. The members of the council shall be required to file the same annual financial disclosure statements as those required to be filed by members of other State boards and commissions who are not compensated for their services, as such statements shall be required by law or executive order of the Governor. The financial disclosure statements of council members shall be made available to the public in the same manner as the statements of members of other State boards and commissions are made available to the public.

Each member of the council, except the member appointed from among persons nominated by the President of the Senate and the Speaker of the General Assembly, may be removed from office by the Governor, for cause, upon notice and opportunity to be heard at a public hearing. Any vacancy in the membership of the council occurring other than by expiration of term shall be filled in the same manner as the original appointment, but for the unexpired term only.

c. The terms of the members of the council serving pursuant to paragraph (1) of subsection a. of this section and serving on the effective date of P.L.2011, c.78 are terminated as of that effective date. A member terminated pursuant to this subsection shall be eligible for reappointment.

(cf: P.L.2019, c.435, s.1)]¹

¹[3.] 2.¹ This act shall take effect immediately.