PRIOR PRINTER'S NO. 1180                     PRINTER'S NO. 2037

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1057 Session of 1979


        INTRODUCED BY MR. PRATT, APRIL 25, 1979

        AS REPORTED FROM COMMITTEE ON LOCAL GOVERNMENT, HOUSE OF
           REPRESENTATIVES, AS AMENDED, SEPTEMBER 17, 1979

                                     AN ACT

     1  Amending the act of February 1, 1966 (1965 P.L.1656, No.581),
     2     entitled "An act concerning boroughs, and revising, amending
     3     and consolidating the law relating to boroughs," prohibiting
     4     fee sharing among borough officers, employes and consultants
     5     or persons contracting for personal services with the
     6     borough.

     7     The General Assembly of the Commonwealth of Pennsylvania
     8  hereby enacts as follows:
     9     Section  1.  Section 1402, act of February 1, 1966 (1965
    10  P.L.1656, No.581), known as "The Borough Code," is amended by
    11  adding a subsection to read:
    12     Section 1402.  Regulation of Contracts.--* * *
    13     (f)  Where personal or professional services are involved no
    14  borough officer, employe, consultant FIRM or any other person     <--
    15  contracting with the borough for personal or professional
    16  services shall share any portion of their compensation or fees
    17  paid by the borough for their services with any other person,
    18  firm or corporation except under the following terms and
    19  conditions:
    20     (1)  The council of the borough shall be notified in writing

     1  of the necessity to share any compensation or fee paid prior to
     2  the performance of the personal or professional services.
     3     (2)  The notification to the council of the borough shall
     4  include the justification of the need to share the fee or
     5  compensation; a description of the actual work to be performed
     6  and estimated time involved; the total amount of the fee or
     7  compensation to be shared; and a breakdown of that total amount
     8  on an hourly, per diem, per unit or other basis for all actual
     9  work which is to be performed and compensated for by the sharing
    10  of the fee or compensation.
    11     (3)  The council of the borough must approve the sharing of
    12  any fee or compensation for personal or professional services
    13  prior to the performance of said services.
    14     (4)  No fee or compensation for personal or professional
    15  services may be paid except for work actually performed.
    16     (5)  No fee or compensation for personal or professional
    17  services may be paid at a rate in excess of that commensurate
    18  for similar personal or professional services.
    19     (6)  Where approved by the council of the borough, all
    20  payments representing a fee or compensation which is to be
    21  shared shall be made by the council from the borough funds by
    22  proper borough orders, drawn upon the treasurer; and paid
    23  directly to the individual, firm or corporation by the borough
    24  for actual personal or professional services approved and
    25  performed.
    26     SECTION 2.  SECTION 1411 OF THE ACT IS AMENDED TO READ:        <--
    27     SECTION 1411.  ARCHITECTS AND ENGINEERS EMPLOYED PROHIBITED
    28  FROM BIDDING ON PUBLIC WORKS; PENALTY.--IT SHALL BE UNLAWFUL FOR
    29  ANY ARCHITECT OR ENGINEER, IN THE EMPLOY OF ANY BOROUGH, AND
    30  ENGAGED IN THE PREPARATION OF PLANS, SPECIFICATIONS OR
    19790H1057B2037                  - 2 -

     1  ESTIMATES, TO BID ON ANY PUBLIC WORK AT ANY LETTING OF SUCH WORK
     2  BY THE BOROUGH, EXCEPT THAT ANY SUCH ARCHITECT OR ENGINEER WHO
     3  SHALL HAVE PREPARED PRELIMINARY PLANS ONLY SHALL NOT BE
     4  PROHIBITED FROM BIDDING ON THE FINAL CONTRACT FOR SUCH WORK.
     5     IT SHALL BE UNLAWFUL FOR THE OFFICERS OF ANY BOROUGH CHARGED
     6  WITH THE DUTY OF LETTING ANY PUBLIC WORK, TO AWARD A CONTRACT TO
     7  ANY SUCH ARCHITECT OR ENGINEER, IN THE EMPLOY OF THE BOROUGH TO
     8  BE IN ANYWISE INTERESTED IN ANY CONTRACT FOR PUBLIC WORK FOR THE
     9  BOROUGH OR TO RECEIVE ANY REMUNERATION OR GRATUITY FROM ANY
    10  PERSON INTERESTED IN SUCH CONTRACT EXCEPT UNDER THE TERMS AND
    11  CONDITIONS AS PROVIDED IN SECTION 1402(F).
    12     ANY PERSON VIOLATING ANY OF THE PROVISIONS OF THIS SECTION
    13  SHALL FORFEIT HIS OFFICE, AND SHALL BE GUILTY OF A MISDEMEANOR,
    14  AND ON CONVICTION THEREOF, SHALL BE SENTENCED TO PAY A FINE NOT
    15  EXCEEDING FIVE HUNDRED DOLLARS ($500), OR TO UNDERGO
    16  IMPRISONMENT FOR NOT MORE THAN SIX MONTHS, OR BOTH.
    17     Section 2. 3.  This act shall take effect in 60 days.          <--









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