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                                                       PRINTER'S NO. 876

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 785 Session of 1989


        INTRODUCED BY TRELLO, MELIO, HALUSKA, WOZNIAK, LAUGHLIN, NAHILL,
           MERRY, HECKLER, BARLEY, DISTLER, ADOLPH, COLAFELLA,
           VAN HORNE, DOMBROWSKI, LEH, FARGO, BELFANTI, COWELL,
           PISTELLA, HERMAN, ROBBINS, RITTER, STEIGHNER, HAGARTY, NOYE,
           McCALL, FLICK, ROBINSON, CORNELL, VEON, GLADECK, McVERRY,
           CLYMER, OLASZ, BIRMELIN, GEIST, BILLOW, GIGLIOTTI,
           E. Z. TAYLOR, R. C. WRIGHT, BURD, REBER AND CORRIGAN,
           MARCH 14, 1989

        REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, MARCH 14, 1989

                                     AN ACT

     1  Amending the act of June 24, 1931 (P.L.1206, No.331), entitled
     2     "An act concerning townships of the first class; amending,
     3     revising, consolidating, and changing the law relating
     4     thereto," further regulating contracts, advertisements,
     5     specifications, and bids for certain contracts.

     6     The General Assembly of the Commonwealth of Pennsylvania
     7  hereby enacts as follows:
     8     Section 1.  Subsection (a) and the first paragraph and clause
     9  (2) of subsection (d) of section 1802 of the act of June 24,
    10  1931 (P.L.1206, No.331), known as The First Class Township Code,
    11  reenacted and amended May 27, 1949 (P.L.1955, No.569) and
    12  amended December 22, 1981 (P.L.535, No.154) and December 17,
    13  1986 (P.L.1682, No.195), are amended to read:
    14     Section 1802.  General Regulations Concerning Contracts.--(a)
    15  All contracts or purchases made by any township, involving the
    16  expenditure of over [four thousand dollars] ten thousand


     1  dollars, except those hereinafter mentioned, shall not be made
     2  except with and from the lowest responsible bidder, shall be in
     3  writing, and shall be made only after notice by the secretary,
     4  published, in one newspaper of general circulation, published or
     5  circulating in the county in which the township is situated, at
     6  least two times at intervals of not less than three days where
     7  daily newspapers of general circulation are employed for such
     8  publication, or in case weekly newspapers are employed then the
     9  notice shall be published once a week for two successive weeks.
    10  The first advertisement shall be published not more than forty-
    11  five days and the second advertisement not less than ten days
    12  prior to the date fixed for the opening of bids. Advertisements
    13  for contracts or purchases shall also be posted in a conspicuous
    14  place within the township. All plans and specifications shall be
    15  on file at least ten days in advance of opening bids. The amount
    16  of the contract shall in all cases, whether of straight sale
    17  price, conditional sale, bailment lease, or otherwise, be the
    18  entire amount which the township pays to the successful bidder
    19  or his assigns in order to obtain the services or property, or
    20  both, and shall not be construed to mean only the amount which
    21  is paid to acquire title or to receive any other particular
    22  benefit or benefits of the whole bargain.
    23     * * *
    24     (d)  The contracts or purchases made by the commissioners
    25  involving an expenditure of over [four thousand dollars] ten
    26  thousand dollars, which shall not require advertising or
    27  bidding, as hereinbefore provided, are as follows:
    28     * * *
    29     (2)  Those made for improvements, repairs and maintenance of
    30  any kind made or provided by any township through its own
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     1  employes: Provided, however, That all materials used for street
     2  improvement, maintenance, and/or construction in excess of [four
     3  thousand dollars] ten thousand dollars be subject to the
     4  advertising requirements as contained herein.
     5     * * *
     6     Section 2.  Sections 1802.1 and 1805 of the act, amended
     7  December 22, 1981 (P.L.535, No.154), are amended to read:
     8     Section 1802.1.  Evasion of Advertising Requirements.--No
     9  commissioner or commissioners shall evade the provisions of
    10  section one thousand eight hundred two as to advertising for
    11  bids, by purchasing or contracting for services and personal
    12  properties piecemeal for the purpose of obtaining prices under
    13  [four thousand dollars] ten thousand dollars upon transactions,
    14  which transactions should, in the exercise of reasonable
    15  discretion and prudence, be conducted as one transaction
    16  amounting to more than [four thousand dollars] ten thousand
    17  dollars. This provision is intended to make unlawful the evading
    18  of advertising requirements by making a series of purchases or
    19  contracts each for less than the advertising requirement price,
    20  or by making several simultaneous purchases or contracts, each
    21  below said price, when in either case, the transactions involved
    22  should have been made as one transaction for one price. Any
    23  commissioners who so vote in violation of this provision, and
    24  who know that the transaction upon which they so vote is or
    25  ought to be a part of a larger transaction, and that it is being
    26  divided in order to evade the requirements as to advertising for
    27  bids, shall be jointly and severally subject to surcharge for
    28  ten per centum of the full amount of the contract or purchase.
    29  Whenever it shall appear that a commissioner may have voted in
    30  violation of this section, but the purchase or contract on which
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     1  he so voted was not approved by the board of commissioners, this
     2  section shall be inapplicable.
     3     Section 1805.  Separate Specifications for Branches of
     4  Work.--In the preparation of specifications for the erection or
     5  alteration of any public building, when the entire cost of such
     6  work exceeds [four thousand dollars] ten thousand dollars, the
     7  architect, engineer, or person preparing such specifications
     8  shall prepare separate specifications for the plumbing, heating,
     9  ventilating, and electrical work, and the township shall receive
    10  separate bids upon each of such branches of work, and award the
    11  contract for the same to the lowest responsible bidder.
    12     Section 3.  This act shall take effect in 60 days.












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