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Bill > S1983


NJ S1983

NJ S1983
Requires certain persons to refund monies to school district if the DOE determines that the monies were non-allowable costs for the district. *


summary

Introduced
In Committee
Crossed Over
Passed
Dead

Introduced Session

2010-2011 Regular Session

Bill Summary

This bill provides that if the Department of Education finds that a school district has expended public funds for unnecessary legal fees, and the department reduces State aid to that district as a consequence of that finding, the attorney or the firm that was the recipient of those legal fees must provide a refund to the school district. The amount of the refund must equal the total amount of non-allowable costs for legal services identified by the department. The provisions of this bill are retroactive to July 1, 2004.

AI Summary

This bill requires that if the Department of Education (DOE) determines a school district has spent public money on legal fees that are deemed "non-allowable costs" (meaning they were improper or unnecessary) and consequently reduces the school district's state aid, then the law firm that received those fees must refund the full amount of those non-allowable costs back to the school district. The bill also mandates that the DOE will maintain a list of non-compliant law firms, and school districts will be prohibited from hiring them. A "law firm" is defined broadly to include any individual or group practicing law. Furthermore, if the DOE finds non-allowable costs were incurred for the personal benefit of a superintendent, school board member, or district employee, that individual must also refund the money to the district. Penalties for non-compliance will be enforced through a summary proceeding. This bill's provisions are retroactive to July 1, 2004.

Committee Categories

Justice

Sponsors (1)

Last Action

Reported from Senate Committee with Amendments, 2nd Reading (on 06/03/2010)

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