Whelan Bill To Allow Crda To Enter Into Cooperative Agreements For Fuel Purchases Heads To Governor

Legislation Would Allow CRDA to Take Advantage of Economies of Scale, Invest More in Atlantic City

TRENTON – A bill sponsored by Senator Jim Whelan which would allow the Casino Reinvestment Development Authority (CRDA) to enter into cooperative purchasing agreements with any governmental unit – including the State, or county or municipal authorities – for the purchase of fuel and other goods and services was approved today by the full Senate, receiving final legislative approval.

“By providing the CRDA with as many tools and resources as possible, we can help them to achieve their mission of promoting Atlantic City’s tourism industry and to encourage economic growth throughout the city,” said Senator Whelan, D-Atlantic. “This common-sense legislation will break down bureaucratic barriers and allow the CRDA to do what other governmental organizations and agencies are already doing to save public dollars and use their funds more efficiently and effectively. As we see a move toward sharing of services across agencies and organizations, municipalities and counties, it is important that we continue to review current laws that may prohibit the streamlining of operational costs so that more money can go towards the goal of improving the economy of Atlantic City and the State.”

The bill, S-2049/A-3325, would allow, with a majority vote of the members of CRDA, that any goods or services deemed necessary, convenient or desirable for the organization to be purchased through cooperative purchasing agreements in order to save money. The bill would change the current “Local Public Contracts Law” which allows two or more contracting units to enter into cooperative purchasing agreements for goods and services to include the CRDA. Under the current law, CRDA is not considered a “contracting unit” and is therefore prohibited from engaging in cooperative purchasing agreements with local entities. Senator Whelan said that by allowing CRDA to take advantage of cooperative purchasing, the agency could use the economies of scale to negotiate better rates, and invest more money into development and redevelopment in Atlantic City.

The bill was approved with a vote of 39-0. It now heads to the Governor’s desk.

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