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        PRIOR PRINTER'S NO. 813                       PRINTER'S NO. 1658

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 749 Session of 1989


        INTRODUCED BY STOUT, CORMAN, STEWART, BRIGHTBILL, PUNT, LEMMOND,
           PORTERFIELD, MADIGAN, AFFLERBACH, REIBMAN AND PETERSON,
           MARCH 23, 1989

        SENATOR PECORA, LOCAL GOVERNMENT, AS AMENDED, OCTOBER 24, 1989

                                     AN ACT

     1  Amending the act of June 5, 1947 (P.L.458, No.208), entitled, as
     2     amended, "An act creating as bodies corporate and politic
     3     'Parking Authorities' in cities of the first, second, second
     4     A and third classes, boroughs, and townships of the first
     5     class; prescribing the rights, powers and duties of such
     6     authorities; authorizing such authorities to acquire,
     7     construct, improve, maintain and operate parking projects, to
     8     conduct research of the parking problem, to supervise,
     9     operate and administer an efficient coordinated system of on-
    10     street parking regulation where so authorized by municipal
    11     ordinance or resolution, to establish a permanent coordinated
    12     system of off-street parking facilities, and to borrow money
    13     and issue bonds for such facilities therefor; providing for
    14     the payment of such bonds and prescribing the rights of the
    15     holders thereof; conferring the right of eminent domain on
    16     such authorities; empowering such authorities to enter into
    17     contracts with, and to accept grants from, the Federal
    18     Government, State, political subdivisions of the State or any
    19     agency thereof; exempting the property and securities of such
    20     parking authorities from taxation and conferring exclusive
    21     jurisdiction on certain courts over rates for their
    22     facilities," increasing the maximum amount for which an
    23     authority may contract or purchase without bids.

    24     The General Assembly of the Commonwealth of Pennsylvania
    25  hereby enacts as follows:
    26     Section 1.  Section 11(a) and (b) 11 of the act of June 5,     <--
    27  1947 (P.L.458, No.208), known as the Parking Authority Law,
    28  amended OR ADDED OCTOBER 4, 1978 (P.L.1029, NO.229) AND February  <--

     1  5, 1982 (P.L.15, No.7), are IS amended to read:                   <--
     2     Section 11.  Competition in Award of Contracts.--(a)  All
     3  construction, reconstruction, repairs or work of any nature made
     4  by any Authority, where the entire cost, value or amount of such
     5  construction, reconstruction, repairs or work including labor
     6  and materials, shall exceed [four thousand dollars ($4,000)] ten
     7  thousand dollars ($10,000), except reconstruction, repairs or
     8  work done by employes of said Authority, or by labor supplied
     9  under agreement with any Federal or State agency with supplies
    10  and materials purchased as hereinafter provided, shall be done
    11  only under contract or contracts to be entered into by the
    12  Authority with the lowest responsible bidder, upon proper terms,
    13  after due public notice has been given, asking for competitive
    14  bids as hereinafter provided. No contract shall be entered into
    15  for construction or improvement or repair of any project, or
    16  portion thereof, unless the contractor shall give an undertaking
    17  with a sufficient surety or sureties, approved by the Authority,
    18  and in an amount fixed by the Authority for the faithful
    19  performance of the contract. All such contracts shall provide,
    20  among other things, that the person or corporation entering into
    21  such contract with the Authority will pay for all materials
    22  furnished and services rendered for the performance of the
    23  contract, and that any person or corporation furnishing such
    24  materials or rendering such services may maintain an action to
    25  recover for the same against the obligor in the undertaking, as
    26  though such person or corporation was named therein, provided
    27  the action is brought within one year after the time the cause
    28  of action accrued. Nothing in this section shall be construed to
    29  limit the power of the Authority to construct, repair or improve
    30  any project or portion thereof, or any addition, betterment or
    19890S0749B1658                  - 2 -

     1  extension thereto directed by the officers, agents and employes
     2  of the Authority or otherwise than by contract.
     3     (b)  All supplies and materials costing [four thousand
     4  dollars ($4,000)] ten thousand dollars ($10,000) or more shall
     5  be purchased only after due advertisement as hereinafter
     6  provided. Authority shall accept the lowest bid or bids, kind,
     7  quality and material being equal, but the Authority shall have
     8  the right to reject any or all bids or select a single item from
     9  any bid. The provisions as to bidding shall not apply to the
    10  purchase of patented and manufactured products offered for sale
    11  in a noncompetitive market, or solely by a manufacturer's
    12  authorized dealer.
    13     * * *                                                          <--
    14     (C)  THE TERMS, ADVERTISEMENT OR DUE PUBLIC NOTICE, WHEREVER   <--
    15  USED IN THIS SECTION SHALL MEAN A NOTICE PUBLISHED AT LEAST TEN
    16  (10) DAYS BEFORE THE AWARD OF ANY CONTRACT IN A NEWSPAPER OF
    17  GENERAL CIRCULATION PUBLISHED IN THE MUNICIPALITY WHERE THE
    18  AUTHORITY HAS ITS PRINCIPAL OFFICE, AND IF NO NEWSPAPER IS
    19  PUBLISHED THEREIN, THEN BY PUBLICATION IN A NEWSPAPER IN THE
    20  COUNTY WHERE THE AUTHORITY HAS ITS PRINCIPAL OFFICE.
    21     (D)  NO MEMBER OF THE AUTHORITY OR OFFICER OR EMPLOYE THEREOF
    22  SHALL EITHER DIRECTLY OR INDIRECTLY BE A PARTY TO, OR BE IN ANY
    23  MANNER INTERESTED IN, ANY CONTRACT OR AGREEMENT WITH THE
    24  AUTHORITY FOR ANY MATTER, CAUSE OR THING WHATSOEVER BY REASON
    25  WHEREOF ANY LIABILITY OR INDEBTEDNESS SHALL IN ANY WAY BE
    26  CREATED AGAINST SUCH AUTHORITY. IF ANY CONTRACT OR AGREEMENT
    27  SHALL BE MADE IN VIOLATION OF THE PROVISIONS OF THIS SECTION THE
    28  SAME SHALL BE NULL AND VOID AND NO ACTION SHALL BE MAINTAINED
    29  THEREON AGAINST SUCH AUTHORITY.
    30     (E)  SUBJECT TO THE FOREGOING PROVISIONS ANY AUTHORITY MAY,
    19890S0749B1658                  - 3 -

     1  BUT WITHOUT INTENDING BY THIS PROVISION TO LIMIT ANY POWERS OF
     2  SUCH AUTHORITY, ENTER INTO AND CARRY OUT SUCH CONTRACTS OR
     3  ESTABLISH OR COMPLY WITH SUCH RULES AND REGULATIONS CONCERNING
     4  LABOR AND MATERIALS AND OTHER RELATED MATTERS IN CONNECTION WITH
     5  ANY PROJECT OR PORTION THEREOF AS THE AUTHORITY MAY DEEM
     6  DESIRABLE, OR AS MAY BE REQUESTED BY ANY FEDERAL AGENCY THAT MAY
     7  ASSIST IN THE FINANCING OF SUCH PROJECT OR ANY PART THEREOF:
     8  PROVIDED, HOWEVER, THAT THE PROVISIONS OF THIS SECTION SHALL NOT
     9  APPLY TO ANY CASE IN WHICH THE AUTHORITY HAS TAKEN OVER BY
    10  TRANSFER OR ASSIGNMENT ANY CONTRACT AUTHORIZED TO BE ASSIGNED TO
    11  IT UNDER THE PROVISIONS OF SECTION SIXTEEN OF THIS ACT, NOR TO
    12  ANY CONTRACT IN CONNECTION WITH THE CONSTRUCTION OF ANY PROJECT
    13  WHICH THE AUTHORITY MAY HAVE HAD TRANSFERRED TO IT BY ANY PERSON
    14  OR PRIVATE CORPORATION.
    15     (F)  EVERY CONTRACT FOR THE CONSTRUCTION, RECONSTRUCTION,
    16  ALTERATION, REPAIR, IMPROVEMENT OR MAINTENANCE OF PUBLIC WORKS
    17  SHALL COMPLY WITH THE PROVISIONS OF THE ACT OF MARCH 3, 1978
    18  (P.L.6, NO.3), KNOWN AS THE "STEEL PRODUCTS PROCUREMENT ACT."
    19     (G)  AN AUTHORITY SHALL NOT EVADE THE PROVISIONS OF THIS
    20  SECTION AS TO BIDS OR PURCHASING MATERIALS OR CONTRACTING FOR
    21  SERVICES PIECE-MEAL, FOR THE PURPOSE OF OBTAINING PRICES UNDER
    22  TEN THOUSAND DOLLARS ($10,000) UPON TRANSACTIONS WHICH SHOULD IN
    23  THE EXERCISE OF REASONABLE DISCRETION AND PRUDENCE BE CONDUCTED
    24  AS ONE TRANSACTION AMOUNTING TO MORE THAN TEN THOUSAND DOLLARS
    25  ($10,000). THIS PROVISION IS INTENDED TO MAKE UNLAWFUL THE
    26  PRACTICE OF EVADING ADVERTISING REQUIREMENTS BY MAKING A SERIES
    27  OF PURCHASES OR CONTRACTS EACH FOR LESS THAN THE ADVERTISING
    28  REQUIREMENT PRICE, OR BY MAKING SEVERAL SIMULTANEOUS PURCHASES
    29  OR CONTRACTS EACH BELOW SAID PRICE, WHEN IN EITHER CASE THE
    30  TRANSACTION INVOLVED SHOULD HAVE BEEN MADE AS ONE TRANSACTION
    19890S0749B1658                  - 4 -

     1  FOR ONE PRICE.
     2     Section 2.  This act shall take effect in 60 days.



















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