PRIOR PRINTER'S NO. 3005                      PRINTER'S NO. 3185

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 2359 Session of 1978


        INTRODUCED BY MESSRS. IRVIS AND MEBUS, APRIL 11, 1978

        AS REPORTED FROM COMMITTEE ON URBAN AFFAIRS, HOUSE OF
           REPRESENTATIVES, AS AMENDED, MAY 22, 1978

                                     AN ACT

     1  Amending the act of January 22, 1968 (P.L.27, No.7), entitled
     2     "An act promoting the welfare of the people of the
     3     Commonwealth; creating The Pennsylvania Transportation
     4     Assistance Authority as a body corporate and politic with
     5     power to acquire, construct, improve, equip and lease
     6     transportation assistance projects, and to fix the rentals,
     7     fees and charges for the use thereof; authorizing and
     8     regulating the issuance of bonds by the authority and
     9     providing for the payment of such bonds, and the rights of
    10     the holders thereof; authorizing the authority to enter into
    11     agreements, including agreements for the joint ownership of
    12     transportation assistance projects, with the government of
    13     the United States, any Federal agency, any political
    14     subdivision of the Commonwealth, any other authority
    15     organized by any thereof, any transportation company, or with
    16     any combination of the foregoing; granting to the authority
    17     the right of eminent domain; authorizing the Department of
    18     Commerce and the Department of Community Affairs to lease
    19     transportation assistance projects from the authority and to
    20     cooperate with local bodies; authorizing gifts to the
    21     authority by political subdivisions and corporations;
    22     empowering the authority to sell and convey transportation
    23     assistance projects and providing that no debt of the
    24     Commonwealth shall be incurred in the exercise of any of the
    25     powers granted by this act," further providing for contracts,
    26     procurement and sale of property, and competition in award of
    27     contracts.

    28     The General Assembly of the Commonwealth of Pennsylvania
    29  hereby enacts as follows:
    30     Section 1.  Section 12, act of January 22, 1968 (P.L.27,


     1  No.7), known as "The Pennsylvania Transportation Assistance
     2  Authority Act of 1967," amended July 31, 1968 (P.L.934, No.283),
     3  is amended to read:
     4     Section 12.  Contracts, Procurement and Sale of Property,
     5  Competition in Award of Contracts.--(a)  The authority shall
     6  have power and authority to enter into contracts and to make
     7  joint contracts of purchase with any local transportation
     8  organization in any manner complying with the law applicable to
     9  such local transportation organization. The authority shall also
    10  have power and authority to make contracts for the improvement
    11  of any rights-of-way, roadbeds or rolling stock, or
    12  electrification systems, or other transportation systems, or
    13  parts thereof, constituting a project without advertisement for
    14  competitive bids, where such work is to be done at cost by the
    15  personnel and with the facilities of the local transportation
    16  organization or of the transportation company on whose system
    17  such property is to be used.
    18     (b)  Except in the purchase of projects from a local
    19  transportation organization, or in the purchase of unique
    20  articles, or articles which, for any other reason, cannot be
    21  obtained in the open market, and except as herein specifically
    22  provided, competitive bids shall be secured before any purchase
    23  or sale, by contract or otherwise, is made or before any
    24  contract is awarded for construction, alterations, supplies,
    25  equipment, repairs or maintenance or for rendering any services
    26  to the authority other than professional services; and the
    27  purchase shall be made from or the contract shall be awarded to
    28  the lowest responsible bidder; or a sale to the highest
    29  responsible bidder. No purchase of any unique article or other
    30  articles which cannot be obtained in the open market shall be
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     1  made without express approval of the board where the amount
     2  involved is in excess of [one thousand five hundred dollars
     3  ($1,500)] five thousand dollars ($5,000).
     4     (c)  Except as herein specifically provided otherwise, all
     5  purchases and sales in excess of [one thousand five hundred
     6  dollars ($1,500)] five thousand dollars ($5,000) shall be
     7  awarded after advertising in a newspaper of general circulation
     8  in the area where the property is to be used not less than two
     9  weeks prior to the bid opening. Bids shall be publicly opened
    10  and read aloud at a date, time and place designated in the
    11  invitation to bid. In all cases of purchases or sales in excess
    12  of [one thousand five hundred dollars ($1,500)] five thousand
    13  dollars ($5,000) authorized hereunder to be made without
    14  competitive bidding except purchases from or sales to a local
    15  transportation organization or contracts with a transportation
    16  company pursuant to subsection (a) of this section 12,
    17  invitations to bid shall be sent not less than one week prior to
    18  the bid opening to at least three potential bidders who are
    19  qualified technically and financially to submit bids, or in lieu
    20  thereof a memorandum shall be kept on file showing that less
    21  than three potential bidders so qualified exist in the market
    22  area within which it is practicable to obtain bids.
    23     (d)  Purchases or sales under [one thousand five hundred
    24  dollars ($1,500)] five thousand dollars ($5,000) may be
    25  negotiated with or without competitive bidding under sound
    26  procurement procedures as promulgated and established by the
    27  board.
    28     (e)  Competitive bidding requirements may be waived if it is
    29  determined in such other manner as the board may, by regulation,
    30  provide, that an emergency directly and immediately affecting
    19780H2359B3185                  - 3 -

     1  customer service, or public health, safety or welfare requires
     2  immediate delivery of supplies, materials, or equipment:
     3  Provided, however, That a record of circumstances explaining the
     4  emergency shall be submitted to the board at its next regular
     5  meeting and thereafter kept on file.
     6     (f)  Contracts for the sale or lease of property owned by the
     7  authority shall be awarded after competitive bidding as shown in
     8  subsection (c) of this section 12, except where a contract is
     9  entered into with the Commonwealth or any political subdivision
    10  or agency or instrumentality thereof, local transportation
    11  organization or Federal agency.
    12     (g)  Requirements shall not be split into parts for the
    13  purpose of avoiding the provisions of this section 12.
    14     (h)  The authority shall have the right to reject any or all
    15  bids or parts of any or all bids, whenever, in the opinion of
    16  the board, such rejection is necessary for the protection of the
    17  interest of the authority. In every such case, a record shall be
    18  made, setting forth the reason for such rejection which record
    19  shall thereafter be kept on file.
    20     (i)  The board shall adopt rules and regulations to
    21  effectuate the provisions of this section 12.
    22     (j)  The authority shall have the power to accept the
    23  assignment from any local transportation organization of all or
    24  any interest in any lawfully made contract for the procurement
    25  and purchase of any asset deemed necessary or desirable by the
    26  authority in connection with any project.
    27     (K)  EVERY CONTRACT FOR THE CONSTRUCTION, RECONSTRUCTION,      <--
    28  REPAIR, IMPROVEMENT OR MAINTENANCE OF PUBLIC WORKS SHALL CONTAIN
    29  A PROVISION THAT ANY STEEL PRODUCTS USED OR SUPPLIED IN THE
    30  PERFORMANCE OF THE CONTRACT OR ANY SUBCONTRACTS THEREUNDER SHALL
    19780H2359B3185                  - 4 -

     1  BE FROM STEEL MADE IN THE UNITED STATES.
     2     SECTION 2.  THE PROVISIONS OF THIS ACT SHALL BE CONSTRUED IN
     3  A MANNER CONSISTENT WITH THE ACT OF MARCH 3, 1978 (NO.3), KNOWN
     4  AS THE "STEEL PRODUCTS PROCUREMENT ACT."
     5     Section 2. 3.  This act shall take effect in 60 days.          <--

















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