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                                                      PRINTER'S NO. 1596

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1291 Session of 2007


        INTRODUCED BY GEIST, MARKOSEK, QUIGLEY, ADOLPH, ARGALL, BARRAR,
           BENNINGHOFF, BIANCUCCI, BOYD, BROOKS, CALTAGIRONE, CAPPELLI,
           CARROLL, COX, DALLY, DePASQUALE, J. EVANS, EVERETT, FABRIZIO,
           FRANKEL, FREEMAN, GILLESPIE, GINGRICH, GODSHALL, GOODMAN,
           GRELL, HALUSKA, HARPER, HARRIS, HENNESSEY, HERSHEY,
           HUTCHINSON, JAMES, JOSEPHS, M. KELLER, W. KELLER, KILLION,
           KORTZ, KOTIK, LONGIETTI, MANN, McILHATTAN, R. MILLER, MOYER,
           MUNDY, MURT, NAILOR, PARKER, PETRONE, PICKETT, PYLE, RAYMOND,
           REED, REICHLEY, ROSS, SAINATO, SANTONI, SCAVELLO, SCHRODER,
           SEIP, SOLOBAY, SONNEY, WALKO AND WATSON, MAY 18, 2007

        REFERRED TO COMMITTEE ON TRANSPORTATION, MAY 18, 2007

                                     AN ACT

     1  Amending Title 74 (Transportation) of the Pennsylvania
     2     Consolidated Statutes, further providing for metropolitan
     3     transportation authority powers relating to alternative means
     4     of raising revenue or reducing expenses.

     5     The General Assembly of the Commonwealth of Pennsylvania
     6  hereby enacts as follows:
     7     Section 1.  Section 1741(a)(24) of Title 74 of the
     8  Pennsylvania Consolidated Statutes is amended to read:
     9  § 1741.  General powers.
    10     (a)  Powers enumerated.--An authority shall have and may
    11  exercise all powers necessary or convenient for the carrying out
    12  of the purposes of this chapter, including the following rights,
    13  powers and duties:
    14         * * *
    15         (24)  To explore alternative means of raising revenue or

     1     reducing expenses, including, but not limited to, real estate
     2     leases and rentals, equipment leases and rentals, contracting
     3     of services, the solicitation of competitive bids and the
     4     awarding of contracts to the highest responsive, responsible
     5     bidder for both interior and exterior advertising on all
     6     authority equipment on which the public is charged a fare for
     7     riding. [However, on rail passenger units only bids for
     8     interior advertising shall be solicited.] Nothing in this
     9     chapter or in any other law of this Commonwealth shall
    10     preclude the negotiation and execution of contracts with
    11     respect to real estate-related matters in accordance with and
    12     subject solely to the provisions of this paragraph. The
    13     general manager may recommend in writing that the board make
    14     a finding of special opportunity with respect to a real
    15     estate-related matter. The board shall consider the general
    16     manager's recommendation at a public meeting. The notice
    17     given in accordance with the [act of July 3, 1986 (P.L.388,
    18     No.84), known as the Sunshine Act] provisions of 65 Pa.C.S.
    19     Ch. 7 (relating to open meetings), with respect to such
    20     meeting shall state that the board will consider making a
    21     finding of special opportunity at such meeting and shall
    22     describe the nature of the proposed finding of special
    23     opportunity. Any finding of special opportunity shall be
    24     approved by the board in accordance with the provisions of
    25     section 1715 (relating to meetings, quorum, officers and
    26     records). The board shall adopt, by resolution, a process
    27     under which the authority shall enter into contracts needed
    28     to implement a finding of special opportunity. The process
    29     adopted by the board shall provide a method of prequalifying
    30     prospective contracting parties, where appropriate; for the
    20070H1291B1596                  - 2 -     

     1     reasonable notification of prospective contracting parties of
     2     the issuance of requests for proposals and the reasonable
     3     opportunity for qualified prospective contracting parties to
     4     submit proposals; for review of proposals from qualified
     5     prospective contracting parties; for the negotiation of
     6     contracts with one or more prospective contracting parties;
     7     for award of contracts on the basis of evaluation of the
     8     characteristics of the proposals; and for giving such weight
     9     to the various characteristics of any proposal as the board
    10     shall determine is in the best interest of the authority. The
    11     characteristics by which proposals may be evaluated under a
    12     finding of special opportunity may include the likely
    13     complexity of the transaction; the amount of investment any
    14     selected contracting party will be required to make or offers
    15     to make in the real estate-related matter; the experience and
    16     prior success of the proposed contracting party in other
    17     similar dealings with the same type of real estate-related
    18     matters or with the authority; the quality, feasibility and
    19     potential for economic success of the proposal; any cost or
    20     potential return to the authority; the economic reliability
    21     and financial viability of the proposed contracting party;
    22     the compatibility of the proposal with the authority's basic
    23     function as a public transportation provider; the date by
    24     which the proposed contracting party agrees to complete the
    25     real estate-related matter; and other factors which the board
    26     shall specify. The authority shall make available a copy of
    27     the process adopted by the board to any person requesting a
    28     copy of the process. The general manager may make a written
    29     recommendation to the board concerning the award of a
    30     contract under a finding of special opportunity. The general
    20070H1291B1596                  - 3 -     

     1     manager's recommendation shall include the identity of the
     2     prospective contracting party or parties, the purpose of the
     3     contract, the substance of the finding of special
     4     opportunity, the substance and term of the proposed contract,
     5     the identities of any other prospective contracting parties
     6     who submitted proposals and the criteria upon which the
     7     general manager's recommendation was made and the reasons for
     8     selecting the prospective contracting party. Upon the written
     9     recommendation of the general manager, the board may award
    10     contracts under this paragraph after approving the awarding
    11     of the contract by a resolution adopted at a public meeting.
    12     The notice given in accordance with [the Sunshine Act] 65
    13     Pa.C.S. Ch. 7 with respect to such meeting shall state that
    14     the board will consider awarding a contract under a finding
    15     of special opportunity at such meeting and shall describe the
    16     subject matter of such proposed contract. The authority shall
    17     by April 15 of each year submit a report to the department.
    18     The report shall detail the actions of the authority in
    19     exploring alternate means of raising revenue and reducing
    20     expenses. The department shall review the report and issue
    21     its findings and recommendations to the Appropriations
    22     Committee and the Transportation Committee of the Senate and
    23     the Appropriations Committee and the Transportation Committee
    24     of the House of Representatives no later than 30 days after
    25     receipt of such report for review and consideration of future
    26     funding by such committees. Where any alternate means have
    27     been rejected, the authority shall demonstrate that the
    28     feasibility and cost-effectiveness of that alternate means
    29     have been considered. As used in this paragraph, "finding of
    30     special opportunity" shall mean a written determination by
    20070H1291B1596                  - 4 -     

     1     the board that exclusion of a real estate-related matter from
     2     bidding procedures, as provided in this chapter or any other
     3     law, will be in the best interest of the authority and will
     4     be compatible with the authority's basic function as a public
     5     transportation provider, considering the nature of the real
     6     estate-related matter with respect to which the authority
     7     proposes to contract. Any finding of special opportunity
     8     shall include the basis on which the finding of special
     9     opportunity is being made.
    10         * * *
    11     Section 2.  This act shall take effect in 60 days.













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