30:1-1.2b Certain conditions for maintaining contract.
2. a. Where a labor organization represents or seeks to represent the employees of a covered provider, the maintenance of a labor harmony agreement, or a commitment comparable to a labor harmony agreement, with the labor organization representing or seeking to represent employees of the covered provider shall be an ongoing material condition of maintaining a contract with the Department of Human Services' Division of Mental Health and Addiction Services or the Department of Children and Families for the provision of mental health, behavioral health, or addiction services.
b. To satisfy the requirements of this section, a covered provider entering into or renewing a contract with the Department of Human Services' Division of Mental Health and Addiction Services or the Department of Children and Families shall, no later than 90 days after the effective date of the contract, either:
(1) submit an attestation, signed by a labor organization, stating that the covered provider has entered into a labor harmony agreement with such labor organization;
(2) submit an attestation stating that the employees of the covered provider are not currently represented by a labor organization and that no labor organization has sought to represent the covered provider's employees during the 90-day period following the covered provider entering into or renewing a contract for services with the department after the effective date of this act and up to the time of submission; or
(3) submit an attestation, signed by a labor organization, stating that the provider has entered into an agreement or binding obligation to be maintained through the term of the contract that provides a commitment comparable to a labor harmony agreement, as defined in section 4 of P.L.2021, c.1 (C.30:1-1.2c).
c. Where a labor organization seeks to represent the employees of a covered provider after the expiration of the 90-day period following the effective date of the contract, the labor organization shall provide notice to the applicable department regarding such efforts. The covered provider shall then submit an attestation signed by the labor organization to the applicable department no later than 90 days after the date of notice stating that it has entered into:
(1) a labor harmony agreement with such labor organization; or
(2) an agreement or binding obligation to be maintained through the term of the contract that provides a commitment comparable to a labor harmony agreement, as defined in section 4 of P.L.2021, c.1 (C.30:1-1.2c).
d. The failure to submit an attestation as required pursuant to subsections b. and c. of this section shall result in financial recovery and a corrective action plan issued by the applicable department. Should the provider not adhere to the terms of the corrective action plan, the applicable department shall cancel or not renew the contract upon the applicable department obtaining a replacement provider to assume the contract or otherwise provide the services. The applicable department may grant an extension to the deadlines in subsections b. and c. of this section based upon extenuating circumstances or for good cause shown. An extension shall be warranted pursuant to subsection b. if a labor organization seeks to represent a covered provider's employees after the contract is renewed or entered into but within the 90-day period following the effective date of the contract.
e. Any interested person may provide notice to the commissioner of the applicable department of a failure by a covered provider to adhere to the requirements of this section. Upon filing of such a notice, the commissioner may review and make findings, or, in consultation with the Commissioner of Labor and Workforce Development, the State Board of Mediation, or both, as appropriate, shall commence an investigation. Upon finding that a covered provider failed to adhere to the requirements of this section, the commissioner of the applicable department shall take corrective action which may include a corrective action plan, financial recovery and cost recoupment, and cancelling or declining to renew the contract. Should the covered provider fail to engage in or complete corrective action, the commissioner of the applicable department shall cancel or decline to renew the contract. Such findings shall be reviewable, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.). The commissioner of the applicable department shall not take corrective action until the conclusion of such proceedings. The provisions of this subsection shall be limited solely to the issue of adherence to the contractual commitment made by the contractor and accepted by the departments as a condition of the contract, and is neither exclusive nor preclusive as to any claim under the "Conscientious Employee Protection Act," P.L.1986, c.105 (C.34:19-1 et seq.), or the "New Jersey False Claims Act," P.L.2007, c.265 (C.2A:32C-1 et seq.).
L.2021, c.1, s.2.