NJ S228

Applies to privatization contracts of $500,000+ for local agencies or $1 million+ for state agencies, requiring competitive sealed bidding, cost-benefit analysis, and certification that the contract will produce actual cost savings compared to public employees providing the services.

Mandates that private contractors pay wages and benefits at least equal to comparable public employees, with quarterly payroll reporting and enforcement penalties matching the New Jersey Prevailing Wage Act for violations.

Requires contractors to maintain service quality and quantity at or above current public levels, prohibits fee increases to the public, and mandates that displaced public employees be offered available positions with the contractor.

Grants the Office of the State Comptroller authority to review and block privatization contracts that fail to demonstrate cost savings or do not comply with bill requirements, with a 30-60 business day review period.

Requires the State Auditor to conduct annual post-audits of each privatization contract, comparing actual costs and savings to estimates, with penalties including debarment and contract rescission for fraud or misrepresentation.