PRINTER'S NO. 2993
No. 2191 Session of 1986
INTRODUCED BY GODSHALL, TRELLO, KUKOVICH, NOYE, G. M. SNYDER,
YANDRISEVITS, MORRIS, BROUJOS, SAURMAN, MOEHLMANN, STABACK,
SHOWERS, HERMAN, CARLSON, GLADECK, AFFLERBACH, SEMMEL,
BALDWIN, HALUSKA AND HERSHEY, FEBRUARY 19, 1986
REFERRED TO COMMITTEE ON URBAN AFFAIRS, FEBRUARY 19, 1986
AN ACT
1 Amending the act of March 7, 1901 (P.L.20, No.14), entitled "An
2 act for the government of cities of the second class,"
3 restricting certain persons from bidding on contracts.
4 The General Assembly of the Commonwealth of Pennsylvania
5 hereby enacts as follows:
6 Section 1. Section 1.1 of Article XV of the act of March 7,
7 1901 (P.L.20, No.14), referred to as the Second Class City Law,
8 amended December 22, 1981 (P.L.532, No.152), is amended to read:
9 Section 1.1. Every contract relating to city affairs shall
10 be authorized by general or specific ordinance of council and
11 shall be let in the manner prescribed by council. All contracts
12 shall be awarded to the lowest responsible bidder except in the
13 following cases:
14 I. Purchases at public sale or pursuant to tariffs on file
15 with the Pennsylvania Public Utility Commission;
16 II. Contracts for personal or professional services;
17 III. Contracts with political subdivisions, the Commonwealth
1 of Pennsylvania or the United States Government or with any
2 agencies or authorities of such governmental bodies; or
3 IV. Purchases of personal property where, by reason of
4 patents or copyrights, the required type of item is available
5 from only one seller.
6 For competitive bidding on contracts involving an amount
7 exceeding four thousand dollars ($4,000), invitations for bids
8 shall be issued pursuant to reasonable notice, which shall be by
9 advertisement and all bids shall be filed with the city
10 controller and opened publicly at a time and place to be
11 designated in the notice, and the figures shall be announced to
12 persons present. For competitive bidding on contracts involving
13 an amount of four thousand dollars ($4,000), or less, the
14 Director of the Department of Supplies may obtain oral bids or
15 letter bids or may proceed by a comparison of specific prices as
16 set forth in the sellers' literature.
17 Every contract for the construction, reconstruction,
18 alteration, repair, improvement or maintenance of public works
19 shall comply with the provisions of the act of March 3, 1978
20 (P.L.6, No.3), known as the "Steel Products Procurement Act."
21 No person, consultant, firm or corporation contracting with a
22 city for purposes of rendering personal or professional services
23 to the city shall share with any city officer or employe, and no
24 city officer or employe shall accept, any portion of the
25 compensation or fees paid by the city for the contracted
26 services provided to the city except under the following terms
27 or conditions:
28 (1) Full disclosure of all relevant information regarding
29 the sharing of the compensation or fees shall be made to the
30 council of the city.
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1 (2) The council of the city must approve the sharing of any
2 fee or compensation for personal or professional services prior
3 to the performance of said services.
4 (3) No fee or compensation for personal or professional
5 services may be shared except for work actually performed.
6 (4) No shared fee or compensation for personal or
7 professional services may be paid at a rate in excess of that
8 commensurate for similar personal or professional services.
9 No person who has been convicted of a Federal or State crime
10 involving fraud upon a government or a government
11 instrumentality, and no entity in which that person has an
12 interest, may bid on a contract for a period of ten years after
13 the conviction. For purposes of this subsection, fraud includes,
14 but is not limited to:
15 (1) A misrepresentation of a material fact that is not made
16 honestly and in good faith.
17 (2) A promise, representation or prediction as to the future
18 that is not made honestly and in good faith.
19 (3) An intentional failure to disclose a material fact.
20 (4) A fictitious or pretended purchase or sale of a
21 security.
22 (5) The gaining, through the sale of a security, of an
23 underwriting or promotion fee or profit or a selling or managing
24 fee or profit that is so gross or exorbitant as to be
25 unconscionable. This includes a scheme, device or artifice to
26 obtain such a profit, fee or commission.
27 (6) A scheme, device or artifice to defraud a prospective or
28 actual customer, client or subscriber of securities, money or
29 property.
30 In the case of a bid involving the collection,
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1 transportation, treatment, storage or disposal of solid waste or
2 hazardous waste under the act of July 7, 1980 (P.L.380, No.97),
3 known as the Solid Waste Management Act, the following shall
4 apply:
5 (1) A bid may be rejected by the council if the council has
6 reason to believe that the bidder's responsibility, character
7 and general fitness for business do not command the confidence
8 of the public and may not be conducive to the honest and
9 efficient conduct of business in the best interest of the public
10 or if the bidder's prior performance record in the collection,
11 transportation, treatment, storage or disposal of solid waste
12 exhibited insufficient reliability, expertise or competency to
13 warrant the belief that the bidder would be likely to exhibit
14 sufficient reliability, expertise or competence with respect to
15 the contract being bid.
16 (2) The city may require the following information to be
17 submitted with the bid:
18 (i) If the bidder has an equity interest in a company which
19 collects, transports, treats, stores or disposes of solid waste
20 or hazardous waste, the name and address of that company.
21 (ii) A description of the bidder's experience and
22 credentials in collection, transportation, treatment, storage or
23 disposal of solid waste or hazardous waste, including past or
24 present licenses.
25 (iii) If the bidder is an entity, the names of the officers
26 and directors or partners.
27 (iv) A list and explanation of Federal, State and local
28 notices of violation, prosecutions, administrative orders and
29 license revocations, for the ten years immediately preceding the
30 bid submission, if the action is pending or has resulted in a
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1 finding or a settlement of a violation of law by the bidder or
2 its employes, and, in the case of an entity, by an officer or
3 director or a partner, relating to the collection,
4 transportation, treatment, storage or disposal of solid waste or
5 hazardous waste.
6 (v) A list and explanation of judgments of civil liability
7 and convictions against the bidder or its employes and, in the
8 case of an entity, against an officer or director or a partner.
9 (vi) A list of agencies outside of this Commonwealth which
10 had regulatory authority over the bidder in connection with the
11 collection, transportation, treatment, storage or disposal of
12 solid waste or hazardous waste.
13 (vii) Other information that the council deems relevant to
14 the competency, reliability or good character of the bidder.
15 Section 2. This act shall take effect in 60 days.
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