PRINTER'S NO. 2505
No. 1863 Session of 2005
INTRODUCED BY M. KELLER, HERMAN, LESCOVITZ, BIANCUCCI, HANNA,
ROSS, HARHAI, HICKERNELL, O'NEILL, KAUFFMAN, HENNESSEY,
HARPER, PETRI, T. STEVENSON, McNAUGHTON, GINGRICH, ARMSTRONG,
BALDWIN, BOYD, CAPPELLI, DALLY, DENLINGER, DeWEESE, FRANKEL,
GEIST, HARRIS, HERSHEY, McILHATTAN, PHILLIPS, PICKETT,
SCAVELLO AND WATSON, JULY 3, 2005
REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, JULY 3, 2005
AN ACT
1 Amending the act of August 9, 1955 (P.L.323, No.130), entitled,
2 as amended, "An act relating to counties of the first, third,
3 fourth, fifth, sixth, seventh and eighth classes; amending,
4 revising, consolidating and changing the laws relating
5 thereto; relating to imposition of excise taxes by counties,
6 including authorizing imposition of an excise tax on the
7 rental of motor vehicles by counties of the first class; and
8 providing for regional renaissance initiatives," further
9 providing for commissioners sole contractors for county, for
10 contract procedures, terms and bonds and advertising for bids
11 and for evasion of advertising requirements.
12 The General Assembly of the Commonwealth of Pennsylvania
13 hereby enacts as follows:
14 Section 1. Sections 1801 and 1802(a) and (b) of the act of
15 August 9, 1955 (P.L.323, No.130), known as The County Code,
16 amended December 22, 2000 (P.L.1019, No.142), are amended to
17 read:
18 Section 1801. Commissioners Sole Contractors for County.--
19 (a) The county commissioners shall contract for and purchase
20 all services referred to in section five hundred eight and
1 personal property for county officers and agencies. All
2 contracts and purchases not in excess of [ten thousand dollars
3 ($10,000)] twenty-five thousand dollars ($25,000) subject to
4 annual adjustment under subsection (b.1) shall be by note or
5 memorandum, in writing, signed by the county commissioners, or
6 their designee. A copy of all such notes and memorandums and all
7 written contracts shall be filed in the office of the
8 controller, if any, and, if not, then with the chief clerk of
9 the commissioners.
10 (b) Written or telephonic price quotations from at least
11 three qualified and responsible contractors shall be requested
12 for all contracts that exceed [four thousand dollars ($4,000)]
13 ten thousand dollars ($10,000) subject to annual adjustment
14 under subsection (b.1) but are less than the amount requiring
15 advertisement and competitive bidding or, in lieu of price
16 quotations, a memorandum shall be kept on file showing that
17 fewer than three qualified contractors exist in the market area
18 within which it is practicable to obtain quotations. A written
19 record of telephonic price quotations shall be made and shall
20 contain at least the date of the quotation, the name of the
21 contractor and the contractor's representative, the
22 construction, reconstruction, repair, maintenance or work which
23 was the subject of the quotation and the price. Written price
24 quotations, written records of telephonic price quotations and
25 memoranda shall be retained for a period of three years.
26 (b.1) (1) The Department of Labor and Industry shall
27 determine the percentage change in the Consumer Price Index for
28 All Urban Consumers for the twelve-month period ending September
29 30 of the calendar year in which this subsection becomes
30 effective, and for each successive twelve-month period
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1 thereafter.
2 (2) The amount at which competitive bidding is required
3 under subsection (a) and the amount at which written or
4 telephonic price quotations are required under subsection (b)
5 shall be adjusted annually as follows:
6 (i) In the case of competitive bidding, the positive
7 percentage change, as determined in accordance with paragraph
8 (1), shall be multiplied by the amount applicable under
9 subsection (a) for the current year and the product thereof
10 shall be added to the amount applicable under subsection (a) for
11 the current year, with the result rounded to the nearest
12 multiple of ten dollars ($10).
13 (ii) In the case of written or telephonic price quotations,
14 the positive percentage change, as determined in accordance with
15 paragraph (1), shall be multiplied by the amount applicable
16 under subsection (b) for the current year and the product
17 thereof shall be added to the amount applicable under subsection
18 (b) for the current year, with the result rounded to the nearest
19 multiple of ten dollars ($10).
20 (3) The annual determination required under paragraph (1)
21 and the calculation of the adjustments required under paragraph
22 (2) shall be made in the period between October 1 and November
23 15 of the year following the effective date of this subsection,
24 and annually between October 1 and November 15 of each
25 successive year.
26 (4) The adjusted amounts obtained in accordance with
27 paragraph (2) shall become effective January 1 for the calendar
28 year following the year in which the determination required
29 under paragraph (1) is made.
30 (5) The Department of Labor and Industry shall give notice
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1 in the Pennsylvania Bulletin prior to January 1 of each calendar
2 year of the annual percentage change determined in accordance
3 with paragraph (1) and the amounts, whether adjusted or
4 unadjusted in accordance with paragraph (2), at which
5 competitive bidding is required under subsection (a) and written
6 or telephonic price quotations are required under subsection (b)
7 for the calendar year beginning the first day of January after
8 publication of the notice.
9 (c) The commissioners shall, where possible, anticipate the
10 needs of the various officers, agencies and operations of the
11 county and endeavor to purchase in wholesale quantities, where
12 practicable and where savings could be achieved thereby. The
13 commissioners may make contracts and purchases for all purposes
14 expressly or impliedly authorized by law.
15 Section 1802. Contract Procedures; Terms and Bonds;
16 Advertising for Bids.--(a) All contracts for services and
17 personal property where the amount thereof exceeds the sum of
18 [ten thousand dollars ($10,000),] twenty-five thousand dollars
19 subject to annual adjustment under section 1801(b.1) shall be
20 written and shall, except as otherwise hereinafter specified, be
21 made by advertising for bids.
22 (b) Contracts or purchases in excess of [ten thousand
23 dollars ($10,000)] twenty-five thousand dollars subject to
24 annual adjustment under section 1801(b.1), except those
25 hereinafter mentioned and except as provided by the act of
26 October 27, 1979 (P.L.241, No.78), entitled "An act authorizing
27 political subdivisions, municipality authorities and
28 transportation authorities to enter into contracts for the
29 purchase of goods and the sale of real and personal property
30 where no bids are received," shall not be made except with and
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1 from the lowest responsible and responsive bidder submitting a
2 bid in conformity with the specifications approved by the board
3 of commissioners for the contract or purchase, after due notice
4 in one newspaper of general circulation, published or
5 circulating in the county, at least two times at intervals of
6 not less than three days where daily newspapers of general
7 circulation are employed for such publication, or in case weekly
8 newspapers are employed then the notice shall be published once
9 a week for two successive weeks. The first advertisement shall
10 be published not less than ten days prior to the date fixed for
11 the opening of bids. The requirements of this subsection need
12 not be followed in cases of emergency, but in such cases the
13 actual emergency shall be declared and stated by resolution of
14 the commissioners.
15 * * *
16 Section 2. Section 1803 of the act, amended July 10, 1990
17 (P.L.379, No.89), is amended to read:
18 Section 1803. Evasion of Advertising Requirements.--(a) No
19 commissioner or commissioners shall evade the provisions of
20 section one thousand eight hundred two of this act, as to
21 advertising for bids or purchasing or contracting for services
22 and personal properties piece-meal, for the purpose of obtaining
23 prices under [ten thousand dollars ($10,000)] twenty-five
24 thousand dollars subject to annual adjustment under section
25 1801(b.1) upon transactions which should in the exercise of
26 reasonable discretion and prudence be conducted as one
27 transaction amounting to more than [ten thousand dollars
28 ($10,000)] twenty-five thousand dollars subject to annual
29 adjustment under section 1801(b.1). This provision is intended
30 to make unlawful the practice of evading advertising
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1 requirements by making a series of purchases or contracts each
2 for less than the advertising requirement price, or by making
3 several simultaneous purchases or contracts each below said
4 price, when in either case the transaction involved should have
5 been made as one transaction for one price. Any county
6 commissioners who so vote in violation of this provision and who
7 know that the transaction upon which they so vote is or ought to
8 be a part of a larger transaction and that it is being divided
9 in order to evade the requirements as to advertising for bids
10 shall be, jointly and severally, subject to surcharge for any
11 loss sustained. Wherever it shall appear that a commissioner may
12 have voted in violation of this section, but the purchase or
13 contract on which he so voted was not approved by the board of
14 county commissioners, this section shall be inapplicable.
15 (b) Any county commissioner who votes to unlawfully evade
16 the provisions of section one thousand eight hundred two of this
17 act and who knows that the transaction upon which he so votes is
18 or ought to be a part of a larger transaction and that it is
19 being divided in order to evade the requirements as to
20 advertising for bids commits a misdemeanor of the third degree
21 for each contract entered into as a direct result of that vote.
22 This penalty shall be in addition to any surcharge which may be
23 assessed pursuant to subsection (a).
24 Section 3. This act shall apply to contracts and purchases
25 advertised on or after January 1 of the year following the
26 effective date of this section.
27 Section 4. This act shall take effect immediately.
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