New Regulation Governing State Contracts

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Earlier this month, Acting New Jersey Governor Richard Codey signed a bill which requires the state treasurer to review all ongoing state contracts to determine whether any services are performed outside the United States. New Jersey now has the strongest law in the nation requiring all services contracted or subcontracted by the state to be performed in the United States - unless no other contractor in the country can supply the service. The bill grew out of a situation in 2002 in which a contractor set up a call center in India in order to handle questions from New Jersey residents about state welfare and food stamp programs.

Please contact Ryan Marrone with any questions regarding this new regulation on doing business with the state.

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