PRINTER'S NO. 3001
No. 2355 Session of 1978
INTRODUCED BY IRVIS AND MEBUS, APRIL 11, 1978
REFERRED TO COMMITTEE ON URBAN AFFAIRS, APRIL 11, 1978
AN ACT
1 Amending the act of May 28, 1937 (P.L.955, No.265), entitled, as
2 amended, "An act to promote public health, safety, morals,
3 and welfare by declaring the necessity of creating public
4 bodies, corporate and politic, to be known as housing
5 authorities to engage in slum clearance, and to undertake
6 projects, to provide dwelling accommodations for persons of
7 low income; providing for the organization of such housing
8 authorities; defining their powers and duties; providing for
9 the exercise of such powers, including the acquisition of
10 property by purchase, gift or eminent domain, the renting and
11 selling of property, and including borrowing money, issuing
12 bonds, and other obligations, and giving security therefor;
13 prescribing the remedies of obligees of housing authorities;
14 authorizing housing authorities to enter into agreements,
15 including agreements with the United States, the
16 Commonwealth, and political subdivisions and municipalities
17 thereof; defining the application of zoning, sanitary, and
18 building laws and regulations to projects built or maintained
19 by such housing authorities; exempting the property and
20 securities of such housing authorities from taxation; and
21 imposing duties and conferring powers upon the State Planning
22 Board, and certain other State officers and departments,"
23 increasing the minimum amount for which the authorities may
24 contract or purchase without bids.
25 The General Assembly of the Commonwealth of Pennsylvania
26 hereby enacts as follows:
27 Section 1. Subsections (a) and (b) of section 11, act of May
28 28, 1937 (P.L.955, No.265), known as the "Housing Authorities
29 Law," amended October 18, 1975 (P.L.426, No.119), are amended to
1 read:
2 Section 11. Awards of Contracts; Completion Bond; Additional
3 Bond for Protection of Materialmen and Others.--
4 (a) Whenever the estimated cost of any construction,
5 erection, installation, completion, alteration, repair of, or
6 addition to, any project subject to the control of any Authority
7 shall exceed [two thousand five hundred ($2,500) dollars] five
8 thousand ($5,000) dollars, it shall be the duty of said
9 Authority to have such work performed pursuant to a contract
10 awarded to the lowest responsible bidder, after advertisement
11 for bids. Every such contract shall contain a provision
12 obligating the contractor to the prompt payment of all material
13 furnished, labor supplied or performed, rental for equipment
14 employed, and services rendered by public utilities in or in
15 connection with the prosecution of the work, whether or not the
16 said material, labor, equipment or service enter into and become
17 component parts of the work or improvement contemplated. Such
18 provision shall be deemed to be included for the benefit of
19 every person, copartnership, association or corporation who, as
20 subcontractor or otherwise, has furnished material, supplied or
21 performed labor, rented equipment or services in or in
22 connection with the prosecution of the work as aforesaid, and
23 the inclusion thereof in any contract shall preclude the filing
24 by any such person, copartnership, association or corporation of
25 any mechanics' lien claim for such material, labor or rental of
26 equipment.
27 (b) Whenever the estimated cost of any purchase of supplies,
28 materials or equipment or the rental of any equipment, whether
29 or not the same is to be used in connection with the
30 construction, erection, installation, completion, alteration,
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1 repair of, or addition to, any project subject to the control of
2 any Authority, shall exceed [two thousand five hundred ($2,500)
3 dollars] five thousand ($5,000) dollars, it shall be the duty of
4 such Authority to have such purchase or rental made pursuant to
5 a contract awarded to the lowest responsible bidder, after
6 advertisement for bids, such advertisement to be inserted in a
7 newspaper of general circulation within the county in which the
8 Authority operates.
9 * * *
10 Section 2. This act shall take effect in 60 days.
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