<-1To promote the general welfare and stimulate the economy of the
2Commonwealth by requiring that all government agencies
3purchase only flags manufactured in the United States; and
4imposing a penalty.

<-5Amending Title 62 (Procurement) of the Pennsylvania Consolidated
6Statutes, requiring Commonwealth agencies to procure only
7flags that are manufactured in the United States; and
8imposing a penalty.

9The General Assembly of the Commonwealth of Pennsylvania
10hereby enacts as follows:

<-11Section 1. Short title.

12This act shall be known and may be cited as the Flag
13Procurement Act.

14Section 2. Legislative findings and declaration.

15(1) It is hereby determined by the General Assembly
16that:

1(i) The production of flags provides jobs and family
2incomes for residents of this Commonwealth.

3(ii) It has, for many years, been the policy of the
4Commonwealth to aid and support the development and
5expansion of industry in this Commonwealth in order to
6foster the economic well-being of the Commonwealth and
7its people.

8(iii) The economy and general welfare of the
9Commonwealth and its people, as well as the economy and
10general welfare of the United States, are related to the
11preservation and development of the flag industry in this
12Commonwealth and in the other states of the United
13States.

14(2) The General Assembly declares it to be the policy of
15the Commonwealth and all government agencies should, at all
16times, aid and promote the development of the flag industry
17of the United States in order to stimulate and improve the
18economic well-being of the Commonwealth and its people.

19Section 3. Definitions.

20The following words and phrases when used in this act shall
21have the meanings given to them in this section unless the
22context clearly indicates otherwise:

23"Executive agency." The Governor and the departments,
24boards, commissions, authorities and other officers and agencies
25of the Commonwealth. The term does not include any court or
26other officer or agency of the unified judicial system, the
27General Assembly and its officers and agencies or any
28independent agency or State-affiliated entity.

29"Flag." Any of the following:

30(1) The flag of the United States, as defined in 4
 

1U.S.C. § 1 (relating to flag; stripes and stars on) and the
2executive orders entered in connection with that section,
3made of fabric, cloth or paper displayed from a staff or
4flagpole or in a window. The term does not include a
5depiction or emblem of the United States flag made of lights,
6paint, roofing, siding, paving materials, flora or balloons
7or any other similar building, landscaping or decorative
8component.

9(2) The flag of the Commonwealth, as described in
10section 1 of the act of June 13, 1907 (P.L.560, No.373),
11entitled "An act designating the official flag of the
12Commonwealth of Pennsylvania, and describing the same;
13providing for the carrying of such flag by the regiments of
14the National Guard of Pennsylvania; authorizing the Secretary
15of the Commonwealth to provide, and have deposited in the
16office of Secretary of the Commonwealth, a model of said
17flag, and making an appropriation therefor."

18"Government agency." The General Assembly and its officers
19and agencies, an executive agency, an independent agency or a
20State-affiliated entity.

21"Independent agency." Boards, commissions and other agencies
22and officers of the Commonwealth that are not subject to the
23policy supervision and control of the Governor. The term does
24not include any State-affiliated entity, any court or other
25officer or agency of the unified judicial system, the General
26Assembly and its officers and agencies, any State-related
27institution, political subdivision or any local, regional or
28metropolitan transportation authority.

29"Procure." To acquire by purchase, lease or rent. The term
30does not include any rentals or leases where the term of the

1rental or lease is less than one month.

2"State-affiliated entity." A Commonwealth authority or a
3Commonwealth entity. The term includes the Pennsylvania Turnpike
4Commission, the Pennsylvania Housing Finance Agency, the
5Pennsylvania Municipal Retirement Board, the Pennsylvania
6Infrastructure Investment Authority, the State Public School
7Building Authority, the Pennsylvania Higher Educational
8Facilities Authority and the State System of Higher Education.
9The term does not include any court or other officer or agency
10of the unified judicial system, the General Assembly and its
11officers and agencies, any State-related institution, political
12subdivision or any local, regional or metropolitan
13transportation authority.

14"State-related institution." The Pennsylvania State
15University, the University of Pittsburgh, Lincoln University or
16Temple University.

17"United States." The United States of America and all
18territory, continental or insular, subject to the jurisdiction
19of the United States.

20Section 4. Police powers.

21This act shall be deemed to be an exercise of the police
22powers of the Commonwealth for the protection of the health,
23safety and general welfare of the people of this Commonwealth.

24Section 5. Contract provisions.

25(a) Flags to be manufactured in United States.--All
26government agencies shall procure only flags that are
27manufactured in the United States. A flag is manufactured in the
28United States if a substantial majority of the principal
29components are assembled into the final product in the United
30States. Contract documents for the procurement of flags shall

1contain a provision that the flags procured by the government
2agency shall be manufactured in the United States.

3(b) Exception.--This section shall not apply where the head
4of the government agency states in writing that it is
5inconsistent with the public interest or that the cost is
6unreasonable.

7Section 6. Payment under contract and recovery of payments.

8A government agency shall not authorize, provide for or make
9a payment to a person under a contract containing the provisions
10required by section 5 unless the government agency is satisfied
11that the person has complied with the provisions. If a
12government agency determines that a person that supplied flags
13to the agency violated section 5, the agency may recover from
14the person any payment made by the government agency for the
15flags.

16Section 7. Penalty.

17A person who willfully violates the provisions of this act
18may be prohibited by the government agency from participation in
19contracts awarded by the government agency for a period of five
20years from the date of the determination that a violation has
21occurred. This penalty may be in addition to the withholding or
22recovery of payments under section 6.

23Section 8. Applicability.

24This act shall apply to the procurement of flags or contracts
25for the procurement of flags entered into on or after the
26effective date of this act.

27Section 40. Repeals.

28All acts and parts of acts are repealed insofar as they are
29inconsistent with this act.

30Section 41. Effective date.

1This act shall take effect in 60 days.

<-2Section 1. Chapter 37 of Title 62 of the Pennsylvania 
3Consolidated Statutes is amended by adding a subchapter to read:

4SUBCHAPTER F

5FLAG PROCUREMENT

6Sec.

73761. Short title.

83762. Legislative findings and declaration.

93763. Definitions.

103764. Police powers.

113765. Contract provisions.

123766. Payment under contract and recovery of payments.

133767. Penalty.

14§ 3761. Short title.

15This subchapter shall be known and may be cited as the Flag
16Procurement Act.

17§ 3762. Legislative findings and declaration.

18(a) Findings.--It is hereby determined by the General
19Assembly that:

20(1) The production of flags provides jobs and family
21incomes for residents of this Commonwealth.

22(2) It has, for many years, been the policy of the
23Commonwealth to aid and support the development and expansion
24of industry in this Commonwealth in order to foster the
25economic well-being of the Commonwealth and its people.

26(3) The economy and general welfare of the Commonwealth
27and its people, as well as the economy and general welfare of
28the United States, are related to the preservation and
29development of the flag industry in this Commonwealth and in
30the other states of the United States.

1(b) Declaration.--The General Assembly declares it to be the
2policy of the Commonwealth and all government agencies should,
3at all times, aid and promote the development of the flag
4industry of the United States in order to stimulate and improve
5the economic well-being of the Commonwealth and its people.

6§ 3763. Definitions.

7The following words and phrases when used in this subchapter
8shall have the meanings given to them in this section unless the
9context clearly indicates otherwise:

10"Flag." Any of the following:

11(1) The flag of the United States, as defined in 4 
12U.S.C. § 1 (relating to flag; stripes and stars on) and the
13executive orders entered in connection with that section,
14made of fabric, cloth or paper displayed from a staff or
15flagpole or in a window. The term does not include a
16depiction or emblem of the United States flag made of lights,
17paint, roofing, siding, paving materials, flora or balloons
18or any other similar building, landscaping or decorative
19component.

20(2) The flag of the Commonwealth, as described in
21section 1 of the act of June 13, 1907 (P.L.560, No.373),
22entitled "An act designating the official flag of the
23Commonwealth of Pennsylvania, and describing the same;
24providing for the carrying of such flag by the regiments of
25the National Guard of Pennsylvania; authorizing the Secretary
26of the Commonwealth to provide, and have deposited in the
27office of Secretary of the Commonwealth, a model of said
28flag, and making an appropriation therefor."

29"United States." The United States of America and all
30territory, continental or insular, subject to the jurisdiction

1of the United States.

2§ 3764. Police powers.

3This subchapter is an exercise of the police powers of the
4Commonwealth for the protection of the health, safety and
5general welfare of the people of this Commonwealth.

6§ 3765. Contract provisions.

7All Commonwealth agencies and the General Assembly, its
8officers and agencies shall procure only flags that are
9manufactured in the United States. A flag is manufactured in the
10United States if the fabric, cloth or paper is woven, dyed,
11printed or otherwise embedded into the final product in the
12United States. Contract documents for the procurement of flags
13shall contain a provision that the flags procured by the
14Commonwealth agency shall be manufactured in the United States.

15§ 3766. Payment under contract and recovery of payments.

16A Commonwealth agency or the General Assembly, its officers
17and agencies, may not authorize, provide for or make a payment
18to a person under a contract containing the provisions required
19by section 3765 (relating to contract provisions) unless the
20Commonwealth agency or the General Assembly, its officers and
21agencies is satisfied that the person has complied with the
22provisions. If a Commonwealth agency or the General Assembly, 
23its officers and agencies determines that a person who supplied 
24flags to the agency violated section 3765, the agency may 
25recover from the person a payment made by the Commonwealth 
26agency or the General Assembly, its officers and agencies for 
27the flags.

28§ 3767. Penalty.

29A person who willfully violates the provisions of this
30subchapter may be prohibited by the Commonwealth agency or the
 

1General Assembly, its officers and agencies from participation
2in contracts awarded by the Commonwealth agency or the General 
3Assembly, its officers and agencies for a period of five years
4from the date of the determination that a violation has
5occurred. This penalty may be in addition to the withholding or
6recovery of payments under section 3766 (relating to payment
7under contract and recovery of payments).

8Section 2. This act shall apply to the procurement of flags
9or contracts for the procurement of flags entered into on or
10after the effective date of this act.

11Section 3. All acts and parts of acts are repealed insofar
12as they are inconsistent with this act.

13Section 4. This act shall take effect in 60 days.