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| THE GENERAL ASSEMBLY OF PENNSYLVANIA |
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| SENATE BILL |
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| INTRODUCED BY EICHELBERGER, KASUNIC, FOLMER, GORDNER, BOSCOLA, ORIE, RAFFERTY, YAW, M. WHITE, D. WHITE, ERICKSON, BAKER, ALLOWAY, BRUBAKER, GREENLEAF, SMUCKER, EARLL, SCARNATI, FERLO, ROBBINS, VANCE, WAUGH, McILHINNEY AND PICCOLA, JANUARY 26, 2011 |
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| REFERRED TO LOCAL GOVERNMENT, JANUARY 26, 2011 |
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| AN ACT |
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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 |
21 | personal property for county officers and agencies. All |
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1 | contracts and purchases not in excess of [ten thousand dollars |
2 | ($10,000)] twenty-five thousand dollars ($25,000), subject to |
3 | adjustment under subsection (b.1), shall be by note or |
4 | memorandum, in writing, signed by the county commissioners, or |
5 | their designee. A copy of all such notes and memorandums and all |
6 | written contracts shall be filed in the office of the |
7 | controller, if any, and, if not, then with the chief clerk of |
8 | the commissioners. |
9 | (b) Written or telephonic price quotations from at least |
10 | three qualified and responsible contractors shall be requested |
11 | for all contracts that exceed [four thousand dollars ($4,000)] |
12 | seven thousand dollars ($7,000), subject to adjustment under |
13 | subsection (b.1), but are less than the amount requiring |
14 | advertisement and competitive bidding or, in lieu of price |
15 | quotations, a memorandum shall be kept on file showing that |
16 | fewer than three qualified contractors exist in the market area |
17 | within which it is practicable to obtain quotations. A written |
18 | record of telephonic price quotations shall be made and shall |
19 | contain at least the date of the quotation, the name of the |
20 | contractor and the contractor's representative, the |
21 | construction, reconstruction, repair, maintenance or work which |
22 | was the subject of the quotation and the price. Written price |
23 | quotations, written records of telephonic price quotations and |
24 | memoranda shall be retained for a period of three years. |
25 | (b.1) (1) Every five years, beginning with the year in |
26 | which this subsection becomes applicable to contracts and |
27 | purchases, the Department of Labor and Industry shall calculate |
28 | the average percentage change in the Consumer Price Index for |
29 | All Urban Consumers (CPI-U) for the United States city average |
30 | for all items as published by the United States Department of |
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1 | Labor, Bureau of Labor Statistics, for the preceding five years. |
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 every five years 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 in effect under |
9 | subsection (a) for the prior five-year period and the product |
10 | thereof shall be added to the amount in effect under subsection |
11 | (a) for the prior five-year period, with the result rounded to |
12 | the nearest multiple of one hundred dollars ($100). |
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 in effect under |
16 | subsection (b) for the prior five-year period and the product |
17 | thereof shall be added to the amount in effect under subsection |
18 | (b) for the prior five-year period, with the result rounded to |
19 | the nearest multiple of one hundred dollars ($100). |
20 | (3) The determination required under paragraph (1) and the |
21 | calculation of the adjustments required under paragraph (2) |
22 | shall be made in the period between October 1 and November 15 of |
23 | the year following the effective date of this subsection, and |
24 | between October 1 and November 15 of each successive year. |
25 | (4) The adjusted amounts obtained in accordance with |
26 | paragraph (2) shall become effective January 1 for a five-year |
27 | period following the year in which the determination required |
28 | under paragraph (1) is made. |
29 | (5) The Department of Labor and Industry shall give notice |
30 | in the Pennsylvania Bulletin prior to January 1 of each calendar |
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1 | year in which the percentage change determined in accordance |
2 | with paragraph (1) and the amounts, whether adjusted or |
3 | unadjusted in accordance with paragraph (2), at which |
4 | competitive bidding is required under subsection (a) and written |
5 | or telephonic price quotations are required under subsection (b) |
6 | for the five-year period beginning the first day of January |
7 | after publication of the notice. |
8 | (c) The commissioners shall, where possible, anticipate the |
9 | needs of the various officers, agencies and operations of the |
10 | county and endeavor to purchase in wholesale quantities, where |
11 | practicable and where savings could be achieved thereby. The |
12 | commissioners may make contracts and purchases for all purposes |
13 | expressly or impliedly authorized by law. |
14 | Section 1802. Contract Procedures; Terms and Bonds; |
15 | Advertising for Bids.--(a) All contracts for services and |
16 | personal property where the amount thereof exceeds the sum of |
17 | [ten thousand dollars ($10,000)] twenty-five thousand dollars |
18 | ($25,000), subject to adjustment under section 1801(b.1), shall |
19 | be written and shall, except as otherwise hereinafter specified, |
20 | be made by advertising for bids. |
21 | (b) Contracts or purchases in excess of [ten thousand |
22 | dollars ($10,000)] twenty-five thousand dollars ($25,000), |
23 | subject to adjustment under section 1801(b.1), except those |
24 | hereinafter mentioned and except as provided by the act of |
25 | October 27, 1979 (P.L.241, No.78), entitled "An act authorizing |
26 | political subdivisions, municipality authorities and |
27 | transportation authorities to enter into contracts for the |
28 | purchase of goods and the sale of real and personal property |
29 | where no bids are received," shall not be made except with and |
30 | from the lowest responsible and responsive bidder submitting a |
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1 | bid in conformity with the specifications approved by the board |
2 | of commissioners for the contract or purchase, after due notice |
3 | in one newspaper of general circulation, published or |
4 | circulating in the county, at least two times at intervals of |
5 | not less than three days where daily newspapers of general |
6 | circulation are employed for such publication, or in case weekly |
7 | newspapers are employed then the notice shall be published once |
8 | a week for two successive weeks. The first advertisement shall |
9 | be published not less than ten days prior to the date fixed for |
10 | the opening of bids. The requirements of this subsection need |
11 | not be followed in cases of emergency, but in such cases the |
12 | actual emergency shall be declared and stated by resolution of |
13 | the commissioners. |
14 | * * * |
15 | Section 2. Section 1803 of the act, amended July 10, 1990 |
16 | (P.L.379, No.89), is amended to read: |
17 | Section 1803. Evasion of Advertising Requirements.--(a) No |
18 | commissioner or commissioners shall evade the provisions of |
19 | section one thousand eight hundred two of this act, as to |
20 | advertising for bids or purchasing or contracting for services |
21 | and personal properties piece-meal, for the purpose of obtaining |
22 | prices under [ten thousand dollars ($10,000)] twenty-five |
23 | thousand dollars ($25,000), subject to adjustment under section |
24 | 1801(b.1), upon transactions which should in the exercise of |
25 | reasonable discretion and prudence be conducted as one |
26 | transaction amounting to more than [ten thousand dollars |
27 | ($10,000)] twenty-five thousand dollars ($25,000), subject to |
28 | adjustment under section 1801(b.1). This provision is intended |
29 | to make unlawful the practice of evading advertising |
30 | requirements by making a series of purchases or contracts each |
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1 | for less than the advertising requirement price, or by making |
2 | several simultaneous purchases or contracts each below said |
3 | price, when in either case the transaction involved should have |
4 | been made as one transaction for one price. Any county |
5 | commissioners who so vote in violation of this provision and who |
6 | know that the transaction upon which they so vote is or ought to |
7 | be a part of a larger transaction and that it is being divided |
8 | in order to evade the requirements as to advertising for bids |
9 | shall be, jointly and severally, subject to surcharge for any |
10 | loss sustained. Wherever it shall appear that a commissioner may |
11 | have voted in violation of this section, but the purchase or |
12 | contract on which he so voted was not approved by the board of |
13 | county commissioners, this section shall be inapplicable. |
14 | (b) Any county commissioner who votes to unlawfully evade |
15 | the provisions of section one thousand eight hundred two of this |
16 | act and who knows that the transaction upon which he so votes is |
17 | or ought to be a part of a larger transaction and that it is |
18 | being divided in order to evade the requirements as to |
19 | advertising for bids commits a misdemeanor of the third degree |
20 | for each contract entered into as a direct result of that vote. |
21 | This penalty shall be in addition to any surcharge which may be |
22 | assessed pursuant to subsection (a). |
23 | Section 3. This act shall apply to contracts and purchases |
24 | advertised on or after January 1 of the year following the |
25 | effective date of this section. |
26 | Section 4. This act shall take effect immediately. |
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