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Committee releases privatization bill after heavy opposition from school boards and local governments

3837181 · February 20, 2025
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

The committee voted to release A919, which restricts privatization of public services without demonstrated non‑service‑reducing cost savings. School boards, counties, municipal associations and business groups opposed the bill, while labor and some unions supported it.

The Assembly Labor Committee released Assembly Bill A919 on Feb. 26 after testimony both opposing and supporting the measure. A919 would restrict privatization of public services unless a prospective private contractor demonstrates cost reductions that do not depend on increased charges to users, reduced services, or lowered workforce standards; it would also require sustained oversight and public disclosure for privatization contracts and specifies penalties for misrepresentation or malfeasance.

The bill bars political subdivisions from entering contracts of $500,000 or more, and public bodies including the State from entering contracts of $1,000,000 or more, to purchase…

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