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No. 11 Date of Adoptio `hrl�' 16 LA M
Resolution Opposing the Passage of A -3285
WHEREAS, A -3285 would require that certain public contract bid advertisements
include certified cost estimates or estimate ranges of projected contract cost and it would
amend the grounds for rejection of all bids; and
WHEREAS, advocates for A -3285 argue that the best interests of taxpayers are served
by the provisions of A -3285, because it promotes, they claim, openness and broad
dissemination of information; and
WHEREAS, we agree that taxpayers are best served by openness and board
dissemination of information, however, A -3285, would, in fact, limit a competitive
process that is foundation of the Local Public Contracts Law and would not best serve
the public interest; and
WHEREAS, A -3285 would require a municipality to include in the public advertisement
its cost estimates or cost estimate ranges for construction projects in excess of $500,000;
and
WHEREAS, A -3285 also amends the provision to reject all bids; and
WHEREAS, one of the amendments would permit a municipality to reject all bids only
if the lowest bid substantially exceeds the municipality's cost estimates or cost estimate
ranges for the goods or services as published and attested; and
WHEREAS, as a result of this amendment, all contracts, including goods and services,
over the contracting unit's bid threshold will now require the public advertisement for
bids to include cost estimates or cost estimates ranges; and
WHEREAS, municipal engineers and other design professionals will typically prepare
the projects cost estimates based on the current industry cost and bids received for similar
projects in different municipalities; and
WHEREAS, these estimates tend to be in the middle of the current industry cost; and
WHEREAS, we are concerned that A -3285 will create the "floor" as opposed to a
"ceiling" for bid pricing, removing the incentive for competitiveness and prohibit a
municipality from receiving the best possible price for the project; and
WHEREAS, requiring the advertisement of the cost will lead to unfair pricing and
increased cost for already strained taxpayers; and
WHEREAS, A -3285 also has the potential to expose municipalities to protracted
disputes and litigation; and
NO. 11- 11 5_
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NOW, THEREFORE, BE IT RESOLVED, that the governing body of the Borough of
Carteret strongly opposes the passage of A -3285 as it will delay construction projects,
lead to increased costs, limit the rejection of bids and expose municipalities to protracted
disputes and litigation; and
BE IT FURTHER RESOLVED, that copies of this Resolution be forwarded to New
Jersey Governor Christopher Christie, to Senate President Stephen Sweeney, to Assembly
Speaker Sheila Oliver, to our State Senator, to our two Representatives in the General
Assembly, and to the New Jersey League of Municipalities.
Adopted this 16th day of June, 2011
" certified as a tn-ue ccogy of fle
original- on June 17, 2011.
KAT MIq ML R41M, ME
Mnicipal Clerk
RECORD OF COUNCIL VOTE
COUNCILMAN
YES
NO
NV
A.B.
COUNCILMAN
YES
NO
NV
A.B.
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X
KM
X
DIAZ
X
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x
X - Indicate Vole AB - Absent NV - Not Voting
XOR - Indicates Vote to O,e,mIc Veto
Adopted at a meeting of the hfunicipal Council
1 6, 2011 sAM
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