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December 18, 2018

Governor Signs Electronic Procurement Legislation Into Law

Yesterday, Governor Murphy signed into law as P.L. 2018, c. 156 legislation supported by the League, the New Jersey Association of Counties and the New Jersey School Boards Association. The legislation, passed as A-3112, authorizes local units of government subject to "Local Public Contracts Law" and "Public School Contracts Law" to use electronic procurement technologies.

A-3112 permits municipalities to use electronic technology for the procurement of goods, services, public works construction, and sale of surplus personal and real property. The use of electronic technology makes performing these functions much easier and decreases the concern of potential litigation. It provides municipalities with another option to use for public procurement while preserving the integrity and appropriate procedural protections.

In addition, the Office of Legislative Services, during consideration of the bill in previous legislative session, noted that “the use of electronic procurement systems may result in an indeterminate decrease in local costs.” The cost for the up-front expenditures associated with implementing an electronic procurement system “may be offset by savings not achievable through the current public contracting process.”

Contact: Lori Buckelew, Senior Legislative Analyst,, 609-695-3481, x112.

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