PRINTER'S NO. 487
No. 445 Session of 1989
INTRODUCED BY GODSHALL, S. H. SMITH, COY, MRKONIC, TIGUE,
DISTLER, ROBBINS, GLADECK, MERRY, CIVERA, DEMPSEY, PHILLIPS,
NOYE, CARLSON, HERMAN, STABACK, ALLEN, McVERRY, HESS, FARGO,
GEIST, DeLUCA, NAHILL, JOHNSON, GIGLIOTTI, HALUSKA, REBER,
YANDRISEVITS, TRELLO, VROON, BUNT, McHALE, OLASZ, TRICH,
RAYMOND, CORNELL, WAMBACH, FLICK, VEON, G. SNYDER, HECKLER
AND MARSICO, FEBRUARY 14, 1989
REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, FEBRUARY 14, 1989
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," restricting
4 certain persons from bidding on contracts.
5 The General Assembly of the Commonwealth of Pennsylvania
6 hereby enacts as follows:
7 Section 1. Section 1402 of the act of February 1, 1966 (1965
8 P.L.1656, No.581), known as The Borough Code, is amended by
9 adding subsections to read:
10 Section 1402. Regulation of Contracts.--* * *
11 (g) No person who has been convicted of a Federal or State
12 crime involving fraud upon a government or a government
13 instrumentality, and no entity in which that person has an
14 interest, may bid on a contract for a period of ten years after
15 the conviction. For purposes of this subsection, fraud includes,
16 but is not limited to:
1 (1) A misrepresentation of a material fact that is not made
2 honestly and in good faith.
3 (2) A promise, representation or prediction as to the future
4 that is not made honestly and in good faith.
5 (3) An intentional failure to disclose a material fact.
6 (4) A fictitious or pretended purchase or sale of a
7 security.
8 (5) The gaining, through the sale of a security, of an
9 underwriting or promotion fee or profit or a selling or managing
10 fee or profit that is so gross or exorbitant as to be
11 unconscionable. This includes a scheme, device or artifice to
12 obtain such a profit, fee or commission.
13 (6) A scheme, device or artifice to defraud a prospective or
14 actual customer, client or subscriber of securities, money or
15 property.
16 (h) In the case of a bid involving the collection,
17 transportation, treatment, storage or disposal of solid waste or
18 hazardous waste under the act of July 7, 1980 (P.L.380, No.97),
19 known as the "Solid Waste Management Act," the following shall
20 apply:
21 (1) A bid may be rejected by the council if one of the
22 following applies:
23 (i) The council has reason to believe that the bidder's
24 responsibility, character and general fitness for business do
25 not command the confidence of the public and may not be
26 conducive to the honest and efficient conduct of business in the
27 best interest of the public.
28 (ii) The bidder's prior performance record in the
29 collection, transportation, treatment, storage or disposal of
30 solid waste exhibited insufficient reliability, expertise or
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1 competency to warrant the belief that the bidder would be likely
2 to exhibit sufficient reliability, expertise or competence with
3 respect to the contract being bid.
4 (2) The council may require the following information to be
5 submitted with the bid:
6 (i) If the bidder has an equity interest in a company which
7 collects, transports, treats, stores or disposes of solid waste
8 or hazardous waste, the name and address of that company.
9 (ii) A description of the bidder's experience and
10 credentials in collection, transportation, treatment, storage or
11 disposal of solid waste or hazardous waste. This includes past
12 or present licenses.
13 (iii) If the bidder is an entity, the names of the officers
14 and directors or partners.
15 (iv) A list and explanation of Federal, State and local
16 notices of violation, prosecutions, administrative orders and
17 license revocations, for the ten years immediately preceding the
18 bid submission, if the action is pending or has resulted in a
19 finding or a settlement of a violation of law by the bidder or
20 its employes, and, in the case of an entity, by an officer or
21 director or a partner, relating to the collection,
22 transportation, treatment, storage or disposal of solid waste or
23 hazardous waste.
24 (v) A list and explanation of judgments of civil liability
25 and convictions against the bidder or its employes and, in the
26 case of an entity, against an officer or director or a partner.
27 (vi) A list of agencies outside of this Commonwealth which
28 had regulatory authority over the bidder in connection with the
29 collection, transportation, treatment, storage or disposal of
30 solid waste or hazardous waste.
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1 (vii) Other information that the council deems relevant to
2 the competency, reliability or good character of the bidder.
3 Section 2. This act shall take effect in 60 days.
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