New Jersey Senate Bill S853

New Jersey 2022-2023 Regular Session

• Introduced: 1/18/22
• Refer: 1/18/22

Caption

Increases disclosure of political contributions by business entities with public contracts; creates uniform law for contributions by such entities; repeals local option to set contribution limits for business entities.

Impact

The implications of S853 would centralize and standardize the regulations surrounding political contributions tied to government contracts. By repealing local ordinances that allowed municipalities and other entities to set their own contribution standards, this bill could limit local control over financial contributions in the political sphere. While the intention behind this is to prevent corruption and ensure transparency, local governments may feel constrained by the removed authority to tailor policies that reflect their unique needs and situations.

Summary

Senate Bill S853 aims to regulate political contributions made by business entities that hold public contracts in New Jersey. The bill seeks to create a uniform 'pay to play' law that applies across all levels of government, including state agencies and local authorities. It proposes significant changes, including increasing the threshold for contract contributions from $300 to $1,000 and eliminating existing exemptions for contracts awarded through a 'fair and open process'. This means that virtually all public contracts exceeding $17,500 would be subject to these contribution limits.

Contention

Notable points of contention surrounding S853 include concerns raised by local officials and advocacy groups regarding the loss of autonomy for municipalities. Critics argue that the bill could lead to a one-size-fits-all approach that might not be suitable for all communities in New Jersey. Additionally, the raised contribution limit has sparked debate over whether this truly enhances transparency or simply fosters an environment where larger contributions become more normalized in securing government contracts. Some stakeholders worry that this may dilute the effectiveness of campaign funding oversight.

Provisions

The provisions of S853 also introduce stricter disclosure requirements, mandating that business entities reveal all contributions made within a specified timeframe when bidding for or holding government contracts. This transparency is aimed at reducing corruption and giving the public insight into the relationship between contractors and political figures. The bill will take effect 90 days after enactment, allowing for preparatory measures to ensure compliance with its new rules.