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: from South Jersey CourierPost:

: Congressmen seek to reform `pay-to-play' 

: Friday, January 28, 2005
: Bill would bring federal highway laws into line with N.J. policies 

: By TOM BALDWIN 
: Gannett State Bureau 
: TRENTON 

: Two New Jersey congressmen Thursday said they will propose a federal law allowing states to ban political donors from landing transportation contracts, an issue that has temporarily blocked the distribution of federal aid to the state. 

: State officials have been grappling with whether to clamp down on "pay-to-play" practice in which campaign donors are rewarded with government work. An executive order issued last year aimed to prevent such deals but raised the ire of federal bureaucrats. 

: The Federal Highway Administration said the rules unfairly block competition for contracts and withheld more than $250 million in aid to New Jersey. Wednesday, Acting Gov. Richard J. Codey loosened the rules and asked Congress for help. More sponsors sought 

: Thursday, Rep. William J. Pascrell Jr., D-Paterson, and Rep. Robert Menendez, D-Union City, wrote a letter asking colleagues among the New Jersey congressional delegation to cosponsor a law they plan to introduce Tuesday. 

: The proposal, which they are calling the "Pay to Play Reform Protection Act," would make clear federal law does not prohibit states from limiting contributions by anyone working on a highway project that gets federal aid. 

: Pascrell told Gannett New Jersey he expected enthusiastic backing. 

: "We need to protect what we're trying to do in New Jersey to correct pay-to-play," Pascrell said in a telephone interview. "We're not in any manner, shape or form, in New Jersey, trying to stifle competition." Judge sides with U.S. 

: Last Friday, a federal judge agreed with the federal government's argument that New Jersey's ban unfairly trimmed the pool of bidders on state work because the ban blocks campaign contributors from seeking contracts worth more than $17,500. 

: Pay-to-play critics say the system encourages corruption and increases costs for taxpayers because contributors pad their bids to cover what they paid "to play." 

: "We believe that the `Pay-to-Play Reform Protection Act' will prohibit the federal government from standing in its (New Jersey's) way," the congressmen wrote. 

: Federal money accounts for roughly half of the state's $2.6 billion transportation construction budget this fiscal year: $763 million for roads, $519 million for mass transit. 

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