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        PRIOR PRINTER'S NO. 1593                      PRINTER'S NO. 1902

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1372 Session of 1989


        INTRODUCED BY WAMBACH, HARPER, ANGSTADT, R. C. WRIGHT, TRELLO,
           VAN HORNE AND LASHINGER, MAY 1, 1989

        AS REPORTED FROM COMMITTEE ON URBAN AFFAIRS, HOUSE OF
           REPRESENTATIVES, AS AMENDED, MAY 31, 1989

                                     AN ACT

     1  Amending the act of June 5, 1947 (P.L.458, No.208), entitled, as
     2     amended, "An act creating as bodies corporate and politic
     3     'Parking Authorities' in cities of the first, second, second
     4     A and third classes, boroughs, and townships of the first
     5     class; prescribing the rights, powers and duties of such
     6     authorities; authorizing such authorities to acquire,
     7     construct, improve, maintain and operate parking projects, to
     8     conduct research of the parking problem, to supervise,
     9     operate and administer an efficient coordinated system of on-
    10     street parking regulation where so authorized by municipal
    11     ordinance or resolution, to establish a permanent coordinated
    12     system of off-street parking facilities, and to borrow money
    13     and issue bonds for such facilities therefor; providing for
    14     the payment of such bonds and prescribing the rights of the
    15     holders thereof; conferring the right of eminent domain on
    16     such authorities; empowering such authorities to enter into
    17     contracts with, and to accept grants from, the Federal
    18     Government, State, political subdivisions of the State or any
    19     agency thereof; exempting the property and securities of such
    20     parking authorities from taxation and conferring exclusive
    21     jurisdiction on certain courts over rates for their
    22     facilities," increasing the maximum amount for which an
    23     authority may contract or purchase without bids; AND           <--
    24     PROHIBITING EVASION OF THE REQUIREMENT TO ADVERTISE FOR BIDS.

    25     The General Assembly of the Commonwealth of Pennsylvania
    26  hereby enacts as follows:
    27     Section 1.  Section 11(a) and (b) of the act of June 5, 1947
    28  (P.L.458, No.208), known as the Parking Authority Law, amended

     1  February 5, 1982 (P.L.15, No.7), are amended AND THE SECTION IS   <--
     2  AMENDED BY ADDING A SUBSECTION to read:
     3     Section 11.  Competition in Award of Contracts.--(a)  All
     4  construction, reconstruction, repairs or work of any nature made
     5  by any Authority, where the entire cost, value or amount of such
     6  construction, reconstruction, repairs or work including labor
     7  and materials, shall exceed [four thousand dollars ($4,000)] ten
     8  thousand dollars ($10,000), except reconstruction, repairs or
     9  work done by employes of said Authority, or by labor supplied
    10  under agreement with any Federal or State agency with supplies
    11  and materials purchased as hereinafter provided, shall be done
    12  only under contract or contracts to be entered into by the
    13  Authority with the lowest responsible bidder, upon proper terms,
    14  after due public notice has been given, asking for competitive
    15  bids as hereinafter provided. No contract shall be entered into
    16  for construction or improvement or repair of any project, or
    17  portion thereof, unless the contractor shall give an undertaking
    18  with a sufficient surety or sureties, approved by the Authority,
    19  and in an amount fixed by the Authority for the faithful
    20  performance of the contract. All such contracts shall provide,
    21  among other things, that the person or corporation entering into
    22  such contract with the Authority will pay for all materials
    23  furnished and services rendered for the performance of the
    24  contract, and that any person or corporation furnishing such
    25  materials or rendering such services may maintain an action to
    26  recover for the same against the obligor in the undertaking, as
    27  though such person or corporation was named therein, provided
    28  the action is brought within one year after the time the cause
    29  of action accrued. Nothing in this section shall be construed to
    30  limit the power of the Authority to construct, repair or improve
    19890H1372B1902                  - 2 -

     1  any project or portion thereof, or any addition, betterment or
     2  extension thereto directed by the officers, agents and employes
     3  of the Authority or otherwise than by contract.
     4     (b)  All supplies and materials costing [four thousand
     5  dollars ($4,000)] ten thousand dollars ($10,000) or more shall
     6  be purchased only after due advertisement as hereinafter
     7  provided. Authority shall accept the lowest bid or bids, kind,
     8  quality and material being equal, but the Authority shall have
     9  the right to reject any or all bids or select a single item from
    10  any bid. The provisions as to bidding shall not apply to the
    11  purchase of patented and manufactured products offered for sale
    12  in a noncompetitive market, or solely by a manufacturer's
    13  authorized dealer.
    14     (B.1)  AN AUTHORITY SHALL NOT EVADE THE PROVISIONS OF          <--
    15  SUBSECTION (A) OR (B) AS TO ADVERTISING FOR BIDS BY PURCHASING
    16  MATERIALS OR CONTRACTING FOR SERVICES PIECEMEAL FOR THE PURPOSE
    17  OF OBTAINING PRICES UNDER TEN THOUSAND DOLLARS ($10,000) UPON
    18  TRANSACTIONS WHICH SHOULD, IN THE EXERCISE OF REASONABLE
    19  DISCRETION AND PRUDENCE, BE CONDUCTED AS ONE TRANSACTION
    20  AMOUNTING TO MORE THAN TEN THOUSAND DOLLARS ($10,000). THIS
    21  PROVISION IS INTENDED TO MAKE UNLAWFUL THE PRACTICE OF EVADING
    22  ADVERTISING REQUIREMENTS BY MAKING A SERIES OF PURCHASES OR
    23  CONTRACTS, EACH FOR LESS THAN THE ADVERTISING REQUIREMENT PRICE,
    24  OR BY MAKING SEVERAL SIMULTANEOUS PURCHASES OR CONTRACTS, EACH
    25  BELOW SAID PRICE, WHEN, IN EITHER CASE, THE TRANSACTIONS
    26  INVOLVED SHOULD HAVE BEEN MADE AS ONE TRANSACTION FOR ONE PRICE.
    27     * * *
    28     Section 2.  This act shall take effect in 60 days.


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