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Bill > A5374


NJ A5374

NJ A5374
Establishes "State Government Employee-Driven Efficiency Initiative."


summary

Introduced
02/27/2025
In Committee
02/27/2025
Crossed Over
Passed
Dead
01/12/2026

Introduced Session

2024-2025 Regular Session

Bill Summary

This bill establishes the "State Government Employee-Driven Efficiency Initiative." The purpose of this bill is to draw upon the experience and expertise of State employees for the benefit of taxpayers and recipients of State services. While responsible government stewardship of taxpayer dollars should always be a priority, it is a particularly acute need now that the State is grappling with a multi-billion dollar structural deficit, meaning the budget is billions short of revenue to pay for its level of spending. This bill was written only months after the administration issued directives to State departments to cut spending by five percent, and to freeze discretionary pay raises and hiring, in preparation for the next State budget. With the continuation of full pension payments and the upcoming need to fully fund the Stay NJ property tax relief program for seniors, reductions and efficiencies in other State spending must be addressed to ensure such priorities can be maintained. The Office of the State Comptroller will develop, establish, and oversee the "State Government Employee-Driven Efficiency Initiative." The initiative will allow employees of any State department, board, commission, agency, authority, or instrumentality to report to the State Comptroller instances of perceived waste, fraud, or inefficiencies found in the course of their employment. The State Comptroller may investigate a report to determine the validity of the claim. If the reported claim is found to be valid, the State Comptroller will collaborate with the head of the State entity to develop a plan to correct the waste, fraud, or inefficiency. The State Comptroller and the head of the appropriate State entity may request assistance from the employee who submitted the report in order to better resolve the issue. Once the plan to correct the waste, fraud, or inefficiency is in place, the head of the State entity will determine the amount of money saved in the first full fiscal year after the plan is adopted or as a one-time savings. The initiative will provide an incentive payment in an amount equal to five percent of any savings generated in the first full fiscal year of adoption or five percent of the one-time savings, with a minimum of $500, to the employee who reported the claim of waste, fraud, or inefficiency. The State Comptroller will establish an electronic and printable form with which an employee of a State entity may submit a claim reporting perceived waste, fraud, or inefficiencies in State government. The form will require, at a minimum, identification of the employee, a detailed explanation of the perceived waste, fraud, or inefficiency, and an option for the employee to remain anonymous to any State entity employees and supervisors outside of the Office of the State Comptroller. Personal identifying information on submitted forms will not be subject to disclosure under the law commonly known as the open public records act. The home page of the Internet site for each department, board, commission, agency, authority, and instrumentality of this State will include a prominently located and clearly labeled link to the form. The form may be submitted electronically or mailed to the Office of the State Comptroller. The establishment of this form codifies a fraud, waste, and abuse complaint form displayed on the Office of the State Comptroller website.

AI Summary

This bill establishes the "State Government Employee-Driven Efficiency Initiative" to encourage state employees to identify and report instances of waste, fraud, or inefficiency within their departments. Under this initiative, employees can submit detailed reports to the State Comptroller through an electronic or printable form, with an option to remain anonymous to most state employees. If the State Comptroller investigates and validates a claim, they will work with the department head to develop a correction plan. As an incentive, the employee who reports a valid claim will receive a financial reward equal to five percent of the savings generated in the first fiscal year, with a minimum payment of $500. The bill requires each state department's website to include a prominent link to the reporting form, and personal identifying information on submitted forms will be protected from public disclosure. This legislation aims to leverage state employees' expertise to improve government efficiency and address the state's budget challenges, providing a structured mechanism for identifying potential cost savings and operational improvements.

Committee Categories

Government Affairs

Sponsors (1)

Last Action

Introduced, Referred to Assembly State and Local Government Committee (on 02/27/2025)

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