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        PRIOR PRINTER'S NOS. 766, 1449, 1884,         PRINTER'S NO. 2226
        2057, 2064

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 706 Session of 1999


        INTRODUCED BY CONTI, THOMPSON, WOZNIAK, STOUT AND ROBBINS,
           APRIL 7, 1999

        SENATE AMENDMENTS TO HOUSE AMENDMENTS, OCTOBER 10, 2000

                                     AN ACT

     1  Amending the act of July 28, 1953 (P.L.723, No.230), entitled,
     2     as amended, "An act relating to counties of the second class
     3     and second class A; amending, revising, consolidating and
     4     changing the laws relating thereto," providing for ADOPTION    <--
     5     OF BUDGETS FOR 2001 BY COUNTIES OF THE SECOND CLASS AND
     6     POLITICAL SUBDIVISIONS OF THOSE COUNTIES AND FOR an operating
     7     reserve fund; further providing for payments into certain
     8     fund, for amount of retirement allowance and for the AND FOR   <--
     9     AMOUNT OF RETIREMENT ALLOWANCE; PROVIDING FOR HOMESTEAD
    10     PROPERTY EXCLUSION PROCEDURE; FURTHER PROVIDING FOR THE
    11     making of contracts; prohibiting certain provisions in
    12     contracts relating to redevelopment assistance capital
    13     projects; continuing the county jail oversight board and its
    14     powers and duties; providing for a sports and exhibition
    15     authority; FURTHER PROVIDING FOR CERTAIN TAX RELIEF; and       <--
    16     making a repeal.

    17     The General Assembly of the Commonwealth of Pennsylvania
    18  hereby enacts as follows:
    19     Section 1.  The act of July 28, 1953 (P.L.723, No.230), known
    20  as the Second Class County Code, is amended by adding a section   <--
    21  SECTIONS to read:                                                 <--
    22     SECTION 111.  ADOPTION OF BUDGETS FOR 2001.--(A)               <--
    23  NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, EACH
    24  COUNTY OF THE SECOND CLASS AND EACH POLITICAL SUBDIVISION

     1  SITUATE WITHIN A COUNTY OF THE SECOND CLASS THAT IS REQUIRED TO
     2  ADOPT A BUDGET FOR A CALENDAR YEAR PRIOR TO JANUARY 31 OF THAT
     3  YEAR SHALL HAVE UNTIL JANUARY 31, 2001 TO ADOPT ITS BUDGET FOR
     4  THE 2001 CALENDAR YEAR.
     5     (B)  IF A BUDGET FOR THE 2001 CALENDAR YEAR IS NOT ADOPTED
     6  BEFORE JANUARY 1, 2001, THE GOVERNING BODY OF A COUNTY OF THE
     7  SECOND CLASS OR POLITICAL SUBDIVISION SITUATE WITHIN A COUNTY OF
     8  THE SECOND CLASS SHALL BE AUTHORIZED TO MAKE INTERIM
     9  EXPENDITURES BETWEEN JANUARY 1, 2001 AND THE DATE THE BUDGET IS
    10  ADOPTED, PROVIDED THAT THE FOLLOWING REQUIREMENTS ARE SATISFIED:
    11     (1)  EACH INTERIM EXPENDITURE MUST BE OF A TYPE AND NATURE AS
    12  THE EXPENDITURES MADE UNDER THE BUDGET APPROVED FOR THE 2000
    13  CALENDAR YEAR.
    14     (2)  THE AMOUNT OF THE INTERIM EXPENDITURES IN THE AGGREGATE
    15  MUST NOT EXCEED ONE-TWELFTH OF THE BUDGET APPROVED FOR THE 2000
    16  CALENDAR YEAR.
    17     (3)  THE INTERIM EXPENDITURES MUST BE RATIFIED IN THEIR
    18  ENTIRETY FOR INCLUSION IN THE BUDGET FOR THE 2001 CALENDAR YEAR.
    19     (C)  A COUNTY OF THE SECOND CLASS OR POLITICAL SUBDIVISION
    20  SITUATE WITHIN A COUNTY OF THE SECOND CLASS THAT MAKES INTERIM
    21  EXPENDITURES IN ACCORDANCE WITH THIS SECTION MAY BORROW, IF
    22  NECESSARY, FUNDS SUFFICIENT TO PAY FOR THE INTERIM EXPENDITURES.
    23  THE BORROWING SHALL COMPLY WITH THE PROVISIONS OF APPLICABLE
    24  LAW.
    25     (D)  THIS SECTION SHALL EXPIRE FEBRUARY 1, 2001.
    26     Section 511.  Operating Reserve Fund.--(a)  The county
    27  commissioners shall have the power to create and maintain a
    28  separate operating reserve fund in order to minimize future
    29  revenue shortfalls and deficits, provide greater continuity and
    30  predictability in the funding of vital government services,
    19990S0706B2226                  - 2 -

     1  minimize the need to increase taxes to balance the budget in
     2  times of fiscal distress, provide the capacity to undertake
     3  long-range financial planning and develop fiscal resources to
     4  meet long-term needs.
     5     (b)  The county commissioners may annually make
     6  appropriations from the general county fund to the operating
     7  reserve fund, but no appropriation shall be made to the
     8  operating reserve fund if the effect of the appropriation would
     9  cause the fund to exceed five per cent of the estimated revenues
    10  of the county's general fund in the current fiscal year.
    11     (c)  The commissioners may at any time, by resolution, make
    12  appropriations from the operating reserve fund for the following
    13  purposes only:
    14     (1)  to meet emergencies involving the health, safety or
    15  welfare of the residents of the county;
    16     (2)  to counterbalance potential budget deficits resulting
    17  from shortfalls in anticipated revenues or program receipts from
    18  whatever source; or
    19     (3)  to provide for anticipated operating expenditures
    20  related either to the planned growth of existing projects or
    21  programs or to the establishment of new projects or programs if
    22  for each such project or program appropriations have been made
    23  and allocated to a separate restricted account established
    24  within the operating reserve fund.
    25     (d)  The operating reserve fund shall be invested, reinvested
    26  and administered in a manner consistent with the provisions of
    27  section 1964 of this act relating to the investment of county
    28  funds generally.
    29     Section 2.  Sections 1708(a) and 1712(a) of the act, amended
    30  December 14, 1989 (P.L.631, No.75), are amended to read:
    19990S0706B2226                  - 3 -

     1     Section 1708.  Compulsory Membership; Payments Into Fund;
     2  Exceptions; Vested Interest.--(a)  Each county employe shall be
     3  required to become a member of the county employes' retirement
     4  system within six months from the date of his or her employment.
     5  The said county employe may elect to become a member of the
     6  retirement system at any time during the aforesaid six months
     7  period of time by notifying the head of the department, office
     8  or agency in which department, office or agency he or she is
     9  employed of the said election. A copy thereof shall be filed
    10  immediately with the board. He or she shall, each month, pay
    11  into the retirement fund a monthly contribution, being a certain
    12  percentage of the amount received by him or her as compensation
    13  during the preceding calendar month[, which shall be computed on
    14  a monthly compensation of four thousand three hundred thirty-
    15  three dollars and thirty-three cents ($4,333.33) or less].
    16  Except as provided in subsection (d), the monthly contribution
    17  shall be the percentage of his or her compensation as heretofore
    18  stated, on a graduated scale as follows:
    19     For the year 1988 and thereafter, six and one-quarter per
    20  centum up to seven hundred fifty dollars ($750) per month.
    21     Nine and three-eighths per centum from seven hundred fifty
    22  dollars ($750) to fifteen hundred dollars ($1500) per month.
    23     Twelve and one-half per centum from fifteen hundred dollars
    24  ($1500) [to four thousand three hundred thirty-three dollars and
    25  thirty-three cents ($4,333.33)] per month and above.
    26     Except as hereinafter provided, the aforesaid increase rate
    27  of monthly contributions to be paid into the retirement fund to
    28  enhance the actuarial soundness of said fund, shall be
    29  applicable to all county employes who are members of the
    30  retirement system. Such monthly contributions shall be collected
    19990S0706B2226                  - 4 -

     1  by the county treasurer and by him paid into the retirement
     2  fund. The payment of the increased rate of the aforesaid monthly
     3  contributions shall not apply to such former county employes
     4  whose monthly contributions are now paid into said fund in
     5  accordance with the provisions of subsection (d) of section
     6  1713. Any county employe receiving compensation for accidental
     7  injuries in accordance with the provisions of The Pennsylvania
     8  Workmen's Compensation Act shall during the period of time in
     9  which such county employe is receiving disability benefits, as
    10  provided in the aforesaid act, pay each month for retirement
    11  benefits a sum equal to the last monthly contribution as paid
    12  into the retirement fund when said county employe was in
    13  employment. The monthly contribution shall not be paid by any
    14  person who was receiving a retirement allowance and is
    15  subsequent to the thirty-first day of May, one thousand nine
    16  hundred fifty-three, reemployed as a county employe or any other
    17  person who is ineligible to become a member of the retirement
    18  system.
    19     * * *
    20     Section 1712.  Amount of Retirement Allowances.--(a)  The
    21  retirement allowance paid under the provisions of this article
    22  shall equal fifty per centum of the amount which would
    23  constitute the average monthly compensation as received by the
    24  county employe during the highest twenty-four months of the last
    25  four (4) years of his employment or two years on a bi-weekly pay
    26  basis in which period of time the said county employe made
    27  monthly or bi-weekly contributions into the retirement fund
    28  prior to his or her retirement. Such average monthly
    29  compensation shall include the compensation which any county
    30  employe would have been entitled to and would have received
    19990S0706B2226                  - 5 -

     1  except for deduction from compensation due to time spent in
     2  serving as an elected State official: Provided, That the county
     3  and the employe shall make monthly contributions based on the
     4  last compensation equal to the amount the county and he or she
     5  would have paid into the retirement fund had such compensation
     6  been paid by the county. [No retirement allowance shall be
     7  computed on a monthly compensation in excess of four thousand
     8  three hundred thirty-three dollars and thirty-three cents
     9  ($4,333.33).] In the event an employe, on the effective date of
    10  employment termination, shall have less than a full year of
    11  service for the purpose of computing the employe's service time,
    12  then the amount of the retirement allowance, which would have
    13  been computed had the employe completed a full twelve-month
    14  period for the year of the termination of employment, shall be
    15  prorated upon a full completed month basis for said last year of
    16  service. No retirement allowance shall be computed on a monthly
    17  compensation in excess of four thousand three hundred thirty-
    18  three dollars and thirty-three cents ($4,333.33) (referred to in
    19  this subsection as "excess compensation") unless the employe and
    20  the county have made contributions on all excess compensation
    21  received by the employe during the five-year period preceding
    22  the employe's retirement: Provided, that the required
    23  contribution is paid into the retirement system within ninety
    24  (90) days of the date of retirement. An employe who retires
    25  within five (5) years of the effective date of the compensation
    26  cap removal may elect to satisfy the contribution requirement by
    27  making a lump sum contribution that is calculated by applying
    28  the applicable contribution percentage rate to all excess
    29  compensation received by the employe during the prior five-year
    30  period on which contributions were not made. Within ninety (90)
    19990S0706B2226                  - 6 -

     1  days of such contribution by an employe, contributions shall
     2  also be made by the county in an amount equal to the amount
     3  contributed by the employe. The effective date of the cap
     4  removal is December 31, 1999.
     5     After the effective date of this amendment, certain former
     6  county employes who are now receiving a retirement allowance
     7  shall receive an increase of a certain per centum of such
     8  retirement allowance, which sum shall be computed on the average
     9  monthly retirement allowance as heretofore authorized by the
    10  board.
    11     The per centum of increase in said monthly retirement
    12  allowance shall be a flat 10 per centum increase with the
    13  maximum amount not to exceed forty-five dollars ($45.00) per
    14  month.
    15     Any employe who earns in excess of ten thousand eight hundred
    16  dollars ($10,800) per annum and shall retire during the period
    17  from January 1, 1973 to December 31, 1981 shall pay, as a
    18  condition to the payment of any benefits hereunder a lump sum
    19  contribution into the retirement fund, which contribution shall
    20  be computed as follows:
    21     The difference between ten thousand eight hundred dollars
    22  ($10,800) and the annual salary of the employe multiplied by the
    23  number of years during which he was not an employe of the county
    24  for the period aforesaid and upon that amount the sum of two per
    25  centum which shall be the lump sum contribution as required
    26  herein.
    27     No person who is reemployed as a county employe shall be
    28  eligible to receive the benefit of a retirement allowance plus a
    29  service increment, if any, until he or she shall have made at
    30  least twenty-four monthly or fifty-two bi-weekly contributions
    19990S0706B2226                  - 7 -

     1  into the retirement fund subsequent to his or her reemployment.
     2  The foregoing provisions shall not have a retroactive
     3  application and shall apply only to present and future county
     4  employes. The rate required to be paid in accordance with this
     5  provision shall apply to present county employes notwithstanding
     6  the rate of contribution that the present county employe has
     7  made into the retirement fund.
     8     * * *
     9     SECTION 3.  THE ACT IS AMENDED BY ADDING A SECTION TO READ:    <--
    10     SECTION 1975.  HOMESTEAD PROPERTY EXCLUSION PROCEDURE.--(A)
    11  THE PROVISIONS OF 53 PA.C.S. § 8584 (RELATING TO ADMINISTRATION
    12  AND PROCEDURE) SHALL NOT APPLY TO A COUNTY OF THE SECOND CLASS,
    13  OR A POLITICAL SUBDIVISION OF A COUNTY OF THE SECOND CLASS, THAT
    14  IMPLEMENTS AN EXCLUSION AUTHORIZED UNDER 53 PA.C.S. CH. 85
    15  SUBCH. F (RELATING TO HOMESTEAD PROPERTY EXCLUSION). IN LIEU OF
    16  THE PROVISIONS SET FORTH IN 53 PA.C.S. § 8584, A COUNTY OF THE
    17  SECOND CLASS THAT IMPLEMENTS AN EXCLUSION AUTHORIZED BY 53
    18  PA.C.S. CH. 85 SUBCH. F SHALL ADOPT SUCH RULES, REGULATIONS AND
    19  PROCEDURES AS DEEMED NECESSARY AND REASONABLE FOR ITS USE OR THE
    20  USE OF THE POLITICAL SUBDIVISIONS SITUATE THEREIN TO ADMINISTER
    21  THIS PROGRAM OF EXCLUSIONS.
    22     (B)  THIS SECTION SHALL EXPIRE DECEMBER 31, 2001.
    23     Section 3 4.  Section 2001(d) of the act, amended October 5,   <--
    24  1990 (P.L.519, No.125), is amended to read:
    25     Section 2001.  County Commissioners to Make Contracts.--The
    26  County Commissioners may make contracts for lawful purposes and
    27  for the purposes of carrying into execution the provisions of
    28  this section and the laws of the Commonwealth.
    29     * * *
    30     (d)  The contracts or purchases made by the commissioners
    19990S0706B2226                  - 8 -

     1  involving an expenditure of over ten thousand dollars ($10,000)
     2  which shall not require advertising or bidding as hereinbefore
     3  provided are as follows:
     4     (1)  Those for maintenance, repairs or replacements for
     5  water, electric light, or other public works: Provided, That
     6  they do not constitute new additions, extensions or enlargements
     7  of existing facilities and equipment, but a bond may be required
     8  by the county commissioners as in other cases of work done.
     9     (2)  Those made for improvements, repairs and maintenance of
    10  any kind made or provided by the county through its own
    11  employes: Provided, That this shall not apply to construction
    12  materials used in a street improvement.
    13     (3)  Those where particular types, models or pieces of new
    14  equipment, articles, apparatus, appliances, vehicles or parts
    15  thereof are desired by the county commissioners, which are
    16  patented and manufactured products or copyrighted products.
    17     (4)  Those involving any policies of insurance or surety
    18  company bonds, those made for public utility service under
    19  tariffs on file with the Pennsylvania Public Utility Commission.
    20  [, those made with another political subdivision or a county,
    21  the Commonwealth of Pennsylvania, the Federal Government, any
    22  agency of the Commonwealth or the Federal Government, or any
    23  municipal authority, including the sale, leasing or loan of any
    24  supplies or materials by the Commonwealth or the Federal
    25  Government, or their agencies, but the price thereof shall not
    26  be in excess of that fixed by the Commonwealth, the Federal
    27  Government, or their agencies.]
    28     (5)  Those involving personal or professional services.
    29     (6)  Those involving tangible client services provided by
    30  nonprofit agencies. For the purposes of this clause, the term
    19990S0706B2226                  - 9 -

     1  "tangible client services" shall mean congregate meals, home-
     2  delivered meals, transportation and chore services provided
     3  through area agencies on aging.
     4     (7)  Those involving the purchase of milk.
     5     (8)  Those made with any public body, including, but not
     6  limited to, the sale, lease or loan of any supplies or materials
     7  to the county by a public body, provided that the price thereof
     8  shall not be in excess of that fixed by the public body. The
     9  requirements of 53 Pa.C.S. Ch. 23 Subch. A (relating to
    10  intergovernmental cooperation) shall not apply when a county
    11  purchases cooperatively with another public body which has
    12  entered into a contract for supplies or materials. As used in
    13  this paragraph, "public body" shall mean any of the following:
    14     (i)  The Federal Government;
    15     (ii)  The Commonwealth of Pennsylvania;
    16     (iii)  any other state;
    17     (iv)  a political subdivision, local or municipal authority
    18  or other similar local entity of the Commonwealth or any other
    19  state; or
    20     (v)  an agency of the Federal Government, the Commonwealth or
    21  any other state.
    22     * * *
    23     Section 4 5.  The act is amended by adding a section to read:  <--
    24     Section 2003.  Certain Contract Provisions Prohibited.--No
    25  political subdivision or authority in a county may enter into
    26  any contract related to a redevelopment capital assistance
    27  project as provided under section 318 of the act of February 9,
    28  1999 (P.L.1, No.1), known as the "Capital Facilities Debt
    29  Enabling Act," which contains a provision requiring that a
    30  specified percentage of a contracting party's work force be
    19990S0706B2226                 - 10 -

     1  residents of a specific municipality.
     2     Section 5 6.  The act is amended by adding articles to read:   <--
     3                           ARTICLE XXV-B
     4                  SPORTS AND EXHIBITION AUTHORITY
     5     Section 2501-B.  Short Title.--This article shall be known
     6  and may be cited as the Sports and Exhibition Authority Act.
     7     Section 2502-B.  Definitions.--The following words and
     8  phrases when used in this article shall have the meanings given
     9  to them in this section unless the context clearly indicates
    10  otherwise:
    11     "Authority."  A body politic and corporate created pursuant
    12  to this article.
    13     "Board."  The governing body of the Authority.
    14     "Bonds."  Notes, bonds and other evidence of indebtedness or
    15  obligations which the Authority is authorized to issue pursuant
    16  to section 2505-B.
    17     "City."  A city of the second class which is located in a
    18  county of the second class.
    19     "Construct."  To acquire and to construct, all in such manner
    20  as may be deemed desirable.
    21     "Construction."  Acquisition and construction.
    22     "County."  A county of the second class in which a city of
    23  the second class is located.
    24     "Federal agency."  The United States of America, the
    25  President of the United States of America and any department or
    26  corporation, agency or instrumentality heretofore or hereafter
    27  created, designated or established by the United States of
    28  America.
    29     "Improve."  To enlarge and to improve, all in such manner as
    30  may be deemed desirable.
    19990S0706B2226                 - 11 -

     1     "Improvement."  Enlargement and improvement.
     2     "Municipal authorities."  The governing bodies of the county
     3  or the council of the city.
     4     "Municipality."  Any county, city, town, borough, township or
     5  school district of the Commonwealth.
     6     "Project."  Any structure, facility or undertaking which the
     7  Authority is authorized to acquire, construct, improve, maintain
     8  or operate under the provisions of this article.
     9     "Public auditorium."  Any structure appropriate for large
    10  public assemblies, the holding of conventions, sporting
    11  tournaments, athletic contests and exhibitions, musical and
    12  dramatic performances and other business, social, cultural,
    13  scientific and recreational events and all facilities necessary
    14  or incident thereto, including provisions for adequate off-
    15  street parking. Nothing herein contained shall be construed to
    16  prohibit the constructing, on sites acquired adjacent to and in
    17  connection with such structures and facilities, of improvements,
    18  buildings and other structures for the purpose of producing
    19  revenues to assist in defraying the costs of operation,
    20  maintenance and debt service of the project.
    21     Section 2503-B.  Method of Incorporation.--(a)  Whenever the
    22  municipal authorities of any county or of any city, singly or
    23  jointly (including a county-city joinder), shall desire to
    24  organize an authority under this article, they shall adopt a
    25  resolution or ordinance signifying their intention to do so.
    26  Thereafter, the municipal authorities of such county or city
    27  shall cause a notice of such resolution or ordinance to be
    28  published at least one time in the legal periodical of the
    29  county or counties in which such authority is to be organized
    30  and at least one time in a newspaper published and of general
    19990S0706B2226                 - 12 -

     1  circulation in such county or counties. Said notice shall
     2  contain a brief statement of the substance of said resolution or
     3  ordinance, including the substance of the proposed articles of
     4  incorporation, making reference to this article, and shall state
     5  that on a day certain, not less than three (3) days after
     6  publication of said notice, articles of incorporation of the
     7  proposed authority will be filed with the Secretary of the
     8  Commonwealth. No county or city shall be required (any law to
     9  the contrary notwithstanding) to make any other publication of
    10  such resolution or ordinance under the provision of existing
    11  law. The aforesaid publication of such notice shall be
    12  sufficient compliance with such laws.
    13     (b)  On or before the day specified in said notice, the
    14  municipal authorities shall file with the Secretary of the
    15  Commonwealth articles of incorporation, together with proof of
    16  publication of the notice as aforesaid. Said articles of
    17  incorporation shall set forth the name of the Authority; a
    18  statement that such authority is formed under this article; the
    19  name of the incorporating city or county, together with the
    20  names and addresses of its municipal authorities; and the names,
    21  addresses and term of office of the first members of the board
    22  of said authority. If a joint authority, the articles shall
    23  specify which members are to be appointed by the respective
    24  county or city. All of which matter shall be determined in
    25  accordance with the provisions of this article. Said articles of
    26  incorporation shall be executed by each incorporating city or
    27  county by its proper officers and under its municipal seal.
    28     (c)  If the Secretary of the Commonwealth finds that the
    29  articles of incorporation conform to law, he shall forthwith,
    30  but not prior to the day specified in the aforesaid notice,
    19990S0706B2226                 - 13 -

     1  endorse his approval thereon, and when all proper fees and
     2  charges have been paid, shall file the articles and issue a
     3  certificate of incorporation to which shall be attached a copy
     4  of the approved articles. Upon the issuance of such certificate
     5  of incorporation by the Secretary of the Commonwealth, the
     6  corporate existence of said authority shall begin. Said
     7  certificate of incorporation shall be conclusive evidence of the
     8  fact that such authority has been incorporated, but proceedings
     9  may be instituted by the Commonwealth to dissolve any authority
    10  which shall have been formed without substantial compliance with
    11  the provisions of this section.
    12     (d)  When the Authority has been organized and its officers
    13  elected, the secretary shall certify to the Secretary of the
    14  Commonwealth the names and addresses of its officers as well as
    15  the principal office of the Authority. Any change in the
    16  location of the principal office shall likewise be certified to
    17  the Secretary of the Commonwealth within ten (10) days after
    18  such change.
    19     Section 2504-B.  Amendment of Articles.--(a)  An authority,
    20  in the manner hereinafter provided, may from time to time amend
    21  its articles:
    22     (1)  To adopt a new name.
    23     (2)  To add a provision therein increasing its term of
    24  existence to a date not exceeding fifty (50) years from the date
    25  of approval of the articles of amendments or to modify any
    26  provision thereof limiting its terms of existence by increasing
    27  such term to such a date.
    28     (3)  To reapportion the representation on the board of the
    29  Authority and to revise the terms of office of such members, all
    30  in such manner as shall not be inconsistent with the provisions
    19990S0706B2226                 - 14 -

     1  of section 2508-B.
     2     (b)  Every amendment to the articles shall first be proposed
     3  by the board by the adoption of a resolution setting forth the
     4  proposed amendment and directing that it be submitted to the
     5  municipal authorities of the county or city composing the
     6  Authority. The resolution shall contain the language of the
     7  proposed amendment to the articles by providing that the
     8  articles shall be amended so as to read as therein set forth in
     9  full, or that any provision thereof be amended so as to read as
    10  therein set forth in full, or that the matter stated in the
    11  resolution be added to or stricken from the articles. After the
    12  amendments have been submitted to the county or city, such
    13  county or city shall adopt or reject such amendment by
    14  resolution or ordinance.
    15     (c)  After an amendment has been adopted by the county or
    16  city, articles of amendment shall be executed under the seal of
    17  the Authority and verified by two duly authorized officers of
    18  the corporation and shall set forth:
    19     (1)  The name and location of the registered office of the
    20  authority.
    21     (2)  The act of Assembly under which the Authority was formed
    22  and the date when the original certificate of incorporation was
    23  issued.
    24     (3)  The resolution or ordinance of the county or city
    25  adopting the amendment.
    26     (4)  The amendment adopted by the county or city, which shall
    27  be set forth in full.
    28     (d)  The Authority shall advertise its intention to file
    29  articles of amendment with the Secretary of the Commonwealth in
    30  the manner prescribed in section 2503-B in the case of the
    19990S0706B2226                 - 15 -

     1  formation of an authority. Advertisements shall appear at least
     2  three (3) days prior to the day upon which the articles of
     3  amendment are presented to the Secretary of the Commonwealth and
     4  shall set forth briefly:
     5     (1)  The name and location of the registered office of the
     6  Authority.
     7     (2)  A statement that the articles of amendment are to be
     8  filed under the provisions of this article.
     9     (3)  The nature and character of the proposed amendment.
    10     (4)  The time when the articles of amendment will be filed
    11  with the Secretary of the Commonwealth.
    12     (e)  The articles of amendment and proof of the advertisement
    13  heretofore required shall be delivered by the Authority or its
    14  representative to the Secretary of the Commonwealth. If the
    15  Secretary of the Commonwealth finds that such articles conform
    16  to law, he shall forthwith, but not prior to the day specified
    17  in the advertisement required heretofore, endorse his approval
    18  thereon, and when all fees and charges have been paid shall file
    19  the articles and issue to the Authority or its representative a
    20  certificate of amendment to which shall be attached a copy of
    21  the approved articles.
    22     Section 2505-B.  Purposes and Powers; General.--(a)  Every
    23  authority incorporated under this article shall be a public
    24  body, corporate and politic, exercising public powers of the
    25  Commonwealth as an agency thereof, and shall be for the purpose
    26  of acquiring, holding, constructing, improving, maintaining and
    27  operating, owning, leasing, either in the capacity of lessor or
    28  lessee, public auditoriums, the purpose and interest of this
    29  article being to benefit the people of the Commonwealth by,
    30  among other things, increasing their commerce and prosperity and
    19990S0706B2226                 - 16 -

     1  promoting their educational, cultural, physical, civic, social
     2  and moral welfare.
     3     (b)  Every authority is hereby granted and shall have and may
     4  exercise all powers necessary or convenient for the carrying out
     5  of the aforesaid purpose including, but without limiting the
     6  generality of the foregoing, the following rights and powers:
     7     (1)  To have existence for a term of fifty (50) years and for
     8  such further period or periods as may be provided in articles of
     9  amendment approved under section 2504-B hereof.
    10     (2)  To sue and be sued, implead and be impleaded, complain
    11  and defend in all courts.
    12     (3)  To adopt, use and alter at will a corporate seal.
    13     (4)  To acquire, purchase, hold, receive, lease as lessee and
    14  use any franchise, property, real, personal or mixed, tangible
    15  or intangible, or any interest therein, necessary or desirable
    16  for carrying out the purpose of the Authority, and to sell,
    17  lease as lessor, permit the use of, transfer and dispose of any
    18  property or interest therein or any project or part thereof, at
    19  any time acquired or constructed by it.
    20     (5)  To acquire by purchase, lease or otherwise and to
    21  construct, improve, maintain, repair and operate projects.
    22     (6)  To make by-laws for the management and regulation of its
    23  affairs.
    24     (7)  To appoint agents, employes and servants, to prescribe
    25  their duties and to fix their compensation.
    26     (8)  To fix, alter, charge and collect rentals, admissions,
    27  license fees and other charges for the purpose of providing for
    28  the payment of the expenses of the Authority, the construction,
    29  improvement, repair, maintenance and operation of its facilities
    30  and properties, the payment of the principal of and interest on
    19990S0706B2226                 - 17 -

     1  its obligations and to fulfill the terms and provisions of any
     2  agreements made with the purchasers or holders of any such
     3  obligations or with the incorporating county or city.
     4     (9)  To borrow money, make and issue negotiable notes, bonds,
     5  refunding bonds and other evidences of indebtedness or
     6  obligations (herein called "bonds") of the Authority, said bonds
     7  to have a maturity date not longer than forty (40) years from
     8  the date of issue, except that no refunding bonds shall have a
     9  maturity date later than the life of the Authority, and to
    10  secure the payment of such bonds or any part thereof by pledge
    11  or deed of trust of all or any of its revenues and receipts and
    12  to make such agreements with the purchasers or holders of such
    13  bonds or with others in connection with any such bonds, whether
    14  issued or to be issued, as the Authority shall deem advisable,
    15  and, in general, to provide for the security for said bonds and
    16  the rights of the holders thereof.
    17     (10)  To make contracts of every name and nature and to
    18  execute all instruments necessary or convenient for the carrying
    19  on of its business.
    20     (11)  Without limitation of the foregoing, to borrow money
    21  and accept grants from, and to enter into contracts, leases,
    22  licenses or other transactions with, any Federal agency, the
    23  Commonwealth, municipality, private person, association,
    24  partnership, corporation or authority created under this or any
    25  other act of the General Assembly of Pennsylvania.
    26     (12)  To have the power of eminent domain.
    27     (13)  To pledge, hypothecate or otherwise encumber all or any
    28  of the revenues or receipts of the Authority as security for all
    29  or any of the obligations of the Authority.
    30     (14)  To do all acts and things necessary or convenient for
    19990S0706B2226                 - 18 -

     1  the promotion of its business and the general welfare of the
     2  Authority to carry out the powers granted to it by this article
     3  or any other acts.
     4     (15)  To enter into contracts of group insurance for the
     5  benefit of its employes and to set up a retirement or pension
     6  fund for such employes.
     7     (c)  The Authority shall have no power at any time or in any
     8  manner to pledge the credit or taxing power of the Commonwealth
     9  or any political subdivision, nor shall any of its obligations
    10  be deemed to be obligations of the Commonwealth or of any of its
    11  political subdivisions, nor shall the Commonwealth or any
    12  political subdivision thereof be liable for the payment of
    13  principal of or interest on such obligations.
    14     Section 2506-B.  Purposes and Powers; Bonds.--(a)  The bonds
    15  of any authority hereinabove referred to and authorized to be
    16  issued shall be authorized by resolution of the board thereof
    17  and shall be of such series, bear such date or dates, mature at
    18  such time or times not exceeding forty (40) years from their
    19  respective dates, bear interest at such rate or rates payable
    20  semi-annually, be in such denominations, be in such form, either
    21  coupon or fully registered without coupons, carry such
    22  registration exchangeability and interchangeability privileges,
    23  be payable in such medium of payment and at such place or
    24  places, be subject to such terms of redemption not exceeding one
    25  hundred five per centum of the principal amount thereof, and be
    26  entitled to such priorities in the revenues or receipts of such
    27  authority, as such resolution or resolutions may provide. The
    28  bonds shall be signed by such officers as the Authority shall
    29  determine, and coupon bonds shall have attached thereto interest
    30  coupons bearing the facsimile signature of the treasurer of the
    19990S0706B2226                 - 19 -

     1  Authority, all as may be prescribed in such resolution or
     2  resolutions. Any such bonds may be issued and delivered
     3  notwithstanding that one or more of the officers signing such
     4  bonds or the treasurer whose facsimile signature shall be upon
     5  the coupon or any thereof shall have ceased to be such officer
     6  or officers at the time when such bonds shall actually be
     7  delivered.
     8     (a.1)  Said bonds may be sold at public or private sale for
     9  such price or prices as the Authority shall determine. Pending
    10  the preparation of the definitive bonds, interim receipts may be
    11  issued to the purchaser or purchasers of such bonds and may
    12  contain such terms and conditions as the Authority may
    13  determine.
    14     (b)  Any resolution or resolutions authorizing any bonds may
    15  contain provisions, which shall be part of the contract with the
    16  holders thereof, as to all of the following:
    17     (1)  Pledging the full faith and credit of the Authority, but
    18  not of the Commonwealth or a political subdivision, for such
    19  obligations or restricting the same to all or any of the
    20  revenues of the Authority from all or any projects or
    21  properties.
    22     (2)  The construction, improvement, operation, extension,
    23  enlargement, maintenance and repair of the project and the
    24  duties of the Authority with reference thereto.
    25     (3)  The terms and provisions of the bonds.
    26     (4)  Limitations on the purposes to which the proceeds of the
    27  bonds then or thereafter to be issued or of any loan or grant by
    28  the United States may be applied.
    29     (5)  Admissions, rentals and other charges for use of the
    30  facilities of the Authority.
    19990S0706B2226                 - 20 -

     1     (6)  The setting aside of reserves or sinking funds and the
     2  regulation and disposition thereof.
     3     (7)  Limitations on the issuance of additional bonds.
     4     (8)  The terms and provisions of any deed of trust or
     5  indenture securing the bonds or under which the same may be
     6  issued.
     7     (9)  Any other or additional agreements with the holders of
     8  the bonds.
     9     (c)  Any authority may enter into any deeds of trust,
    10  indentures or other agreements with any bank or trust company or
    11  other person or persons in the United States having power to
    12  enter into the same, including any Federal agency, as security
    13  for such bonds, and may assign and pledge all or any of the
    14  revenues or receipts of the Authority thereunder. Such deed of
    15  trust, indenture or other agreement may contain such provisions
    16  as may be customary in such instruments or as the Authority may
    17  authorize, including, but without limitation, provisions as to
    18  the construction, improvement, operation, maintenance and repair
    19  of any project and the duties of the Authority with reference
    20  thereto; the application of funds and the investing and
    21  safeguarding of funds on hand or on deposit, including
    22  provisions for the investing and deposit of funds in or secured
    23  by such obligations as may be lawful for investment by
    24  executors, administrators, guardians, trustees and other
    25  fiduciaries under the laws of this Commonwealth; the rights and
    26  remedies of said trustee and the holders of the bonds, which may
    27  include restrictions upon the individual right of action of such
    28  bondholders; and the terms and provisions of the bonds or the
    29  resolutions authorizing the issuance of the same. Said bonds
    30  shall have all the qualities of negotiable instruments under 13
    19990S0706B2226                 - 21 -

     1  Pa.C.S. Div. 3 (relating to negotiable instruments).
     2     Section 2507-B.  Remedies of Bondholders.--(a)  The rights
     3  and the remedies herein conferred upon or granted to the
     4  bondholders shall be in addition to and not in limitation of any
     5  rights and remedies lawfully granted to such bondholders by the
     6  resolution or resolutions providing for the issuance of bonds or
     7  by any deed of trust, indenture or other agreement under which
     8  the same may be issued. In the event that the Authority shall
     9  default in the payment of principal or interest on any of the
    10  bonds after the said principal or interest shall become due,
    11  whether at maturity or upon call for redemption, and such
    12  default shall continue for a period of thirty (30) days, or in
    13  the event that the Authority shall fail or refuse to comply with
    14  the provisions of this article or shall default in any agreement
    15  made with the holders of the bonds, the holders of twenty-five
    16  per centum in aggregate principal amount of the bonds then
    17  outstanding, by instrument or instruments filed in the office of
    18  the recorder of deeds of the county and proved or acknowledged
    19  in the same manner as a deed to be recorded, may appoint a
    20  trustee to represent the bondholders for the purpose herein
    21  provided.
    22     (b)  Such trustee and any trustee under any deed of trust,
    23  indenture or other agreement may, and upon written request of
    24  the holders of twenty-five per centum (or such other percentages
    25  as may be specified in any deed of trust, indenture or other
    26  agreement aforesaid) in principal amount of the bonds then
    27  outstanding shall, in his or its own name:
    28     (1)  by mandamus or other suit, action or proceeding, at law
    29  or in equity, enforce all rights of the bondholders, including
    30  the right to require the Authority to collect rents, rentals and
    19990S0706B2226                 - 22 -

     1  other charges adequate to carry out any agreement as to or
     2  pledge of the revenues or receipts of the Authority and to
     3  require the Authority to carry out any other agreements with or
     4  for the benefit of the bondholders and to perform its and their
     5  duties under this article;
     6     (2)  bring suit upon the bonds;
     7     (3)  by action or suit in equity, require the Authority to
     8  account as if it were the trustee of an express trust for the
     9  bondholders;
    10     (4)  by action or suit in equity, enjoin any acts or things
    11  which may be unlawful or in violation of the right of the
    12  bondholders; or
    13     (5)  by notice in writing to the Authority, declare all bonds
    14  due and payable and if all defaults shall be made good, then
    15  with the consent of the holders of twenty-five per centum (or
    16  such other percentage as may be specified in any deed of trust,
    17  indenture or other agreement aforesaid) of the principal amount
    18  of the bonds then outstanding, to annul such declaration and its
    19  consequences.
    20     (c)  The court of common pleas of the county shall have
    21  jurisdiction of any suit, action or proceedings by the trustee
    22  on behalf of the bondholders. Any trustee, when appointed as
    23  aforesaid or acting under a deed of trust, indenture or other
    24  agreement and whether or not all bonds have been declared due
    25  and payable, shall be entitled as of right to the appointment of
    26  a receiver, who may enter and take possession of the facilities
    27  of the Authority or any part or parts thereof, the revenues or
    28  receipts from which are or may be applicable to the payment of
    29  the bonds so in default, and operate and maintain the same and
    30  collect and receive all rentals and other revenues thereafter
    19990S0706B2226                 - 23 -

     1  arising therefrom in the same manner as the Authority or the
     2  board might do, and shall deposit all such moneys in a separate
     3  account and apply the same in such manner as the court shall
     4  direct. In any suit, action or proceeding by the trustee, the
     5  fees, counsel fees and expenses of the trustee and of the
     6  receiver, if any, and all costs and disbursements allowed by the
     7  court, shall be a first charge on any revenues and receipts
     8  derived from the facilities of the Authority, the revenues and
     9  receipts from which are or may be applicable to the payment of
    10  the bonds so in default. Said trustee shall, in addition to the
    11  foregoing, have and possess all of the powers necessary or
    12  appropriate for the exercise of any functions specifically set
    13  forth herein or incident to the general representation of the
    14  bondholders in the enforcement and protection of their rights.
    15     (d)  Nothing in this section or any other section of this
    16  article shall authorize any receiver appointed pursuant to this
    17  article for the purpose of operating and maintaining any
    18  facilities of the Authority to sell, assign, mortgage or
    19  otherwise dispose of any of the assets, of whatever kind and
    20  character, belonging to the Authority. It is the intention of
    21  this article to limit the powers of such receiver to the
    22  operation and maintenance of the facilities of the Authority as
    23  the court shall direct, and no holder of bonds of the Authority
    24  nor any trustee shall ever have the right in any suit, action or
    25  proceedings, at law or in equity, to compel a receiver, nor
    26  shall any receiver ever be authorized or any court be empowered
    27  to direct the receiver, to sell, assign, mortgage or otherwise
    28  dispose of any assets, of whatever kind or character, belonging
    29  to the Authority.
    30     Section 2508-B.  Governing Body.--(a)  The powers of each
    19990S0706B2226                 - 24 -

     1  authority shall be exercised by a board:
     2     (1)  The board shall be composed of seven members, all of
     3  whom must be residents of the county organizing the Authority or
     4  the county wherein the city organizing the Authority is located.
     5     (2)  The county executive or the mayor of the city shall
     6  appoint the members of the board.
     7     (3)  A member who serves on the board under the act of July
     8  29, 1953 (P.L.1034, No.270), known as the "Public Auditorium
     9  Authorities Act," shall continue to serve until the conclusion
    10  of the member's term.
    11     (4)  Vacancies created under this section on a joint county-
    12  city authority shall be filled by appointment of one member by
    13  the county executive and by appointment of one member by the
    14  mayor of the city. The initial terms of members appointed under
    15  this paragraph shall commence on January first next succeeding
    16  the effective date of this article. The initial terms of members
    17  appointed under this paragraph shall be: one member appointed by
    18  the mayor shall serve for five (5) years and one member
    19  appointed by the county executive shall serve for four (4)
    20  years.
    21     (5)  When a vacancy has occurred or is about to occur by
    22  reason of the expiration of the term of any member, the county
    23  executive or mayor, as the case may be, shall appoint a member
    24  of the board for a term of five (5) years to succeed the member
    25  whose term has expired or is about to expire.
    26     (6)  Appointments, in the case of a joint county-city
    27  authority, shall be apportioned in the following manner: three
    28  members to be appointed by the county executive; three members
    29  to be appointed by the mayor; and the seventh member to be
    30  appointed by concurring action of the county executive and the
    19990S0706B2226                 - 25 -

     1  mayor. Members of the board may be removed at the will of the
     2  appointing power, and, in the case of a joint county-city
     3  authority, the seventh member may be removed at will by either
     4  of the appointing powers.
     5     (b)  Members shall hold office until their successors have
     6  been appointed and may succeed themselves. A member shall
     7  receive no compensation for his services but shall be entitled
     8  to the necessary expenses, including traveling expenses,
     9  incurred in the discharge of his duties. If a vacancy shall
    10  occur by reason of the death, disqualification, resignation or
    11  removal of a member, the appointing power shall appoint a
    12  successor to fill his unexpired term.
    13     (c)  The members of the board shall select from among
    14  themselves a chairman, a vice-chairman and such other officers
    15  as the board may determine. The board may employ a secretary, an
    16  executive director, its own counsel and legal staff and such
    17  technical experts and such other agents and employes, permanent
    18  or temporary, as it may require, and may determine the
    19  qualifications and fix the compensation of such persons. Four
    20  members of the board shall constitute a quorum for its meetings.
    21  Members of the board shall not be liable personally on the bonds
    22  or other obligations of the Authority and the rights of
    23  creditors shall be solely against such authority. The board may
    24  delegate to one or more of its agents or employes such of its
    25  powers as it shall deem necessary to carry out the purposes of
    26  this article, subject always to the supervision and control of
    27  the board. The board shall have full authority to manage the
    28  properties and business of the Authority and to prescribe, amend
    29  and repeal by-laws, rules and regulations governing the manner
    30  in which the business of the Authority may be conducted and the
    19990S0706B2226                 - 26 -

     1  powers granted to it may be exercised and embodied.
     2     Section 2509-B.  Moneys of the Authority.--All moneys of any
     3  authority, from whatever source derived, shall be paid to the
     4  treasurer of the Authority. Said moneys shall be deposited in
     5  the first instance by the treasurer in one or more banks or
     6  trust companies, in one or more special accounts and each of
     7  such special accounts, to the extent the same is not insured,
     8  shall be continuously secured by a pledge of direct obligations
     9  of the United States of America, of the Commonwealth or of the
    10  county or city creating the Authority, having an aggregate
    11  market value, exclusive of accrued interest, at all times, at
    12  least equal to the balance on deposit in such account. Such
    13  securities shall either be deposited with the treasurer or be
    14  held by a trustee or agent satisfactory to the Authority. All
    15  banks and trust companies are authorized to give such security
    16  for such deposits. The moneys in said accounts shall be paid out
    17  on the warrant or other order of the chairman of the Authority
    18  or of such other person or persons as the Authority may
    19  authorize to execute such warrants or orders. Every authority
    20  shall have at least an annual examination of its books, accounts
    21  and records by a certified public accountant. A copy of such
    22  audit shall be delivered to the county or city creating the
    23  Authority. A concise financial statement shall be published
    24  annually at least once in a newspaper of general circulation in
    25  the county or city where the principal office of the Authority
    26  is located. If such publication is not made by the Authority,
    27  the county or city shall publish such statement at the expense
    28  of the Authority. If the Authority fails to make such an audit,
    29  then the controller, auditors or accountant designated by the
    30  county or city are hereby authorized and empowered from time to
    19990S0706B2226                 - 27 -

     1  time to examine, at the expense of the Authority, the accounts
     2  and books of the Authority, including its receipts,
     3  disbursements, contracts, leases, sinking funds, investments and
     4  any other matters relating to its finances, operation and
     5  affairs. The Attorney General shall have the right to examine
     6  the books, accounts and records of any authority.
     7     Section 2510-B.  Transfer of Existing Facilities or Funds and
     8  the Making of Annual Grants to Authority.--(a)  Any municipality
     9  or owner may and they are hereby authorized to sell, lease,
    10  lend, grant, convey, transfer or pay over to any authority, with
    11  or without consideration, any project or any part or parts
    12  thereof, or any interest in real or personal property, or any
    13  funds available for building, construction or improvement
    14  purposes, including the proceeds of bonds previously or
    15  hereafter issued for building, construction or improvement
    16  purposes, which may be used by the Authority in the
    17  construction, improvement, maintenance or operation of any
    18  project, and any municipality is hereby empowered to issue
    19  general obligation bonds for the purpose of providing funds for
    20  the building, construction or improvement of a public auditorium
    21  and transferring said funds to an authority created under this
    22  article.
    23     (b)  Any municipality may and it is hereby authorized to make
    24  annual grants from current revenues to the Authority to assist
    25  in defraying the costs of operation, maintenance and debt
    26  service of the project and to enter into long term agreements
    27  providing for the payment of the same.
    28     Section 2511-B.  Competition in Award of Contracts.--(a)  All
    29  construction, reconstruction, repairs or work of any nature made
    30  by any authority, where the entire cost, value or amount of such
    19990S0706B2226                 - 28 -

     1  construction, reconstruction, repairs or work, including labor
     2  and materials, shall exceed ten thousand dollars ($10,000),
     3  except construction, reconstruction, repairs or work done by
     4  employes of said authority or by labor supplied under agreement
     5  with any Federal or State agency with supplies and materials
     6  purchased, as hereinafter provided, shall be done only under
     7  contract or contracts to be entered into by the Authority with
     8  the lowest responsible bidder upon proper terms, after due
     9  public notice has been given asking for competitive bids
    10  hereinafter provided. No contract shall be entered into for
    11  construction or improvement or repair of any project or portion
    12  thereof unless the contractor shall give an undertaking, with a
    13  sufficient surety or sureties approved by the Authority and in
    14  an amount fixed by the Authority, for the faithful performance
    15  of the contract. All such contracts shall provide, among other
    16  things, that the person or corporation entering into such
    17  contract with the Authority will pay for all materials furnished
    18  and services rendered for the performance of the contract and
    19  that any person or corporation furnishing such materials or
    20  rendering such services may maintain an action to recover for
    21  the same against the obligor in the undertaking as though such
    22  person or corporation was named therein, provided the action is
    23  brought within one (1) year after the time the cause of action
    24  accrued. Nothing in this section shall be construed to limit the
    25  power of the Authority to construct, repair or improve any
    26  project or portion thereof or any addition, betterment or
    27  extension thereto directly by the officers, agents and employes
    28  of the Authority or otherwise than by contract.
    29     (b)  All supplies and materials costing ten thousand dollars
    30  ($10,000) or more shall be purchased only after due
    19990S0706B2226                 - 29 -

     1  advertisement as hereinafter provided. The Authority shall
     2  accept the lowest bid or bids, kinds, quality and material being
     3  equal, but the Authority shall have the right to reject any or
     4  all bids or select a single item from any bid. The provisions as
     5  to bidding shall not apply to the purchase of patented and
     6  manufactured products offered for sale in a non-competitive
     7  market or solely by a manufacturer's authorized dealer.
     8     (b.1)  Written or telephonic price quotations from at least
     9  three (3) qualified and responsible contractors shall be
    10  requested for all contracts that exceed four thousand dollars
    11  ($4,000) but are less than the amount requiring advertisement
    12  and competitive bidding or, in lieu of price quotations, a
    13  memorandum shall be kept on file showing that fewer than three
    14  (3) qualified contractors exist in the market area within which
    15  it is practicable to obtain quotations. A written record of
    16  telephonic price quotations shall be made and shall contain at
    17  least the date of the quotation, the name of the contractor and
    18  the contractor's representative, the construction,
    19  reconstruction, repair, maintenance or work which was the
    20  subject of the quotation and the price. Written price
    21  quotations, written records of telephonic price quotations and
    22  memoranda shall be retained for a period of three (3) years.
    23     (c)  The terms, advertisement or due public notice, wherever
    24  used in this section, shall mean a notice published at least ten
    25  (10) days before the award on any contract in a newspaper of
    26  general circulation published in the municipality where the
    27  authority has its principal office, and if no newspaper is
    28  published therein then by publication in a newspaper in the
    29  county where the Authority has its principal office: Provided,
    30  That such notice may be waived where the Authority determines an
    19990S0706B2226                 - 30 -

     1  emergency exists and such supplies and materials must be
     2  immediately purchased by the said authority.
     3     (d)  No member of the Authority or officer or employe thereof
     4  shall, either directly or indirectly, be a party to or be in any
     5  manner interested in any contract or agreement with the
     6  Authority for any matter, cause or thing whatsoever, by reason
     7  whereof any liability or indebtedness shall in any way be
     8  created against such authority. If any contract or agreement
     9  shall be made in violation of the provision of this section, the
    10  same shall be null and void and no action shall be maintained
    11  thereon against such authority.
    12     (e)  Subject to the aforesaid, any authority may (but without
    13  intending by this provision to limit any powers of such
    14  authority) enter into and carry out such contracts or establish
    15  or comply with such rules and regulations concerning labor and
    16  materials and other related matters, in connection with any
    17  project or portion thereof, as the Authority may deem desirable,
    18  or as may be requested by any Federal agency that may assist in
    19  the financing of such project or any part thereof: Provided,
    20  however, That the provisions of this section shall not apply to
    21  any case in which the Authority has taken over by transfer or
    22  assignment any contract authorized to be assigned to it under
    23  the provisions of section 2510-B, nor to any contract in
    24  connection with the construction of any project which the
    25  Authority may have had transferred to it by any person or
    26  private corporation.
    27     (f)  Every contract for the construction, reconstruction,
    28  alteration, repair, improvement or maintenance of public works
    29  shall comply with the provisions of the act of March 3, 1978
    30  (P.L.6, No.3), known as the "Steel Products Procurement Act."
    19990S0706B2226                 - 31 -

     1     (G)  EVERY CONTRACT FOR THE CONSTRUCTION, RECONSTRUCTION,      <--
     2  ALTERATION, REPAIR, IMPROVEMENT OR MAINTENANCE OF PUBLIC WORKS
     3  SHALL COMPLY WITH THE PROVISIONS OF THE ACT OF AUGUST 15, 1961
     4  (P.L.987, NO.442), KNOWN AS THE "PENNSYLVANIA PREVAILING WAGE
     5  ACT."
     6     (g) (H)  An authority shall not evade the provisions of this   <--
     7  section as to advertising for bids or purchasing materials or
     8  contracting for services piecemeal for the purpose of obtaining
     9  prices under ten thousand dollars ($10,000) upon transactions
    10  which should, in the exercise of reasonable discretion and
    11  prudence, be conducted as one transaction amounting to more than
    12  ten thousand dollars ($10,000). This provision is intended to
    13  make unlawful the practice of evading advertising requirements
    14  by making a series of purchases or contracts each for less than
    15  the advertising requirement price or by making several
    16  simultaneous purchases or contracts each below said price, when
    17  in either case the transaction involved should have been made as
    18  one transaction for one price.
    19     (h) (I)  Any member of the Authority who votes to unlawfully   <--
    20  evade the provisions of this section and who knows that the
    21  transaction upon which he so votes is or ought to be a part of a
    22  larger transaction and that it is being divided in order to
    23  evade the requirements as to advertising for bids commits a
    24  misdemeanor of the third degree for each contract entered into
    25  as a direct result of that vote.
    26     Section 2512-B.  Acquisition of Lands.--The Authority shall
    27  have the power to acquire, by purchase or eminent domain
    28  proceedings, either the fee or such right, title, interest or
    29  easement in such lands as the Authority may deem necessary for
    30  the purpose mentioned in this article: Provided, however, That
    19990S0706B2226                 - 32 -

     1  no property owned or used by the United States, the
     2  Commonwealth, any political subdivision thereof, or any body
     3  politic and corporate organized as an "authority" under any law
     4  of the Commonwealth or by any agency or any of them, nor any
     5  property of a public service company, property used for burial
     6  purposes, places of public worship, shall be taken under the
     7  right of eminent domain. The right of eminent domain shall be
     8  exercised by the Authority in the manner provided by law for the
     9  exercise of such right by municipalities of the same class as
    10  the municipality by which such authority was organized. In the
    11  case of a joint authority, right of eminent domain shall be
    12  exercised by the Authority in the same manner as is provided by
    13  law for the exercise of such right by municipalities of the same
    14  class as the municipality in which the right of eminent domain
    15  is to be exercised, except that where the right is to be
    16  exercised in a city located in a county and both are members of
    17  the Authority, the law established for the city shall govern.
    18     Section 2513-B.  Use of Projects.--The use of the facilities
    19  of the Authority and the operation of its business shall be
    20  subject to the rules and regulations from time to time adopted
    21  by the Authority: Provided, however, That the Authority shall
    22  not be authorized to do anything which will impair the security
    23  of the holders of the obligations of the Authority or violate
    24  any agreements with them or for their benefit.
    25     Section 2514-B.  Limitation of Powers.--The Commonwealth does
    26  hereby pledge to and agree with any person, firm or corporation,
    27  or Federal agency, subscribing to or acquiring the bonds to be
    28  issued by the Authority for the construction, extension,
    29  improvement or enlargement of any project or part thereof, that
    30  the Commonwealth will not limit or alter the rights hereby
    19990S0706B2226                 - 33 -

     1  vested in the Authority until all bonds at any time issued,
     2  together with the interest thereon, are fully met and
     3  discharged. The Commonwealth does further pledge to and agree
     4  with the United States and any other Federal agency that in the
     5  event that any Federal agency shall construct or contribute any
     6  funds for the construction, extension, improvement or
     7  enlargement of any project or any portion thereof, the
     8  Commonwealth will not alter or limit the rights and powers of
     9  the Authority in any manner which would be inconsistent with the
    10  continued maintenance and operation of the project or the
    11  improvement thereof or which would be inconsistent with the due
    12  performance of any agreements between the Authority and any such
    13  Federal agency, and the Authority shall continue to have and may
    14  exercise all powers herein granted so long as the same shall be
    15  necessary or desirable for the carrying out of the purposes of
    16  this article and the purposes of the United States in the
    17  construction or improvement or enlargement of the project or
    18  such portion thereof.
    19     Section 2515-B.  Termination of Authority.--When any
    20  authority shall have finally paid and discharged all bonds
    21  which, together with the interest due thereon, shall have been
    22  secured by a pledge of any of the revenues or receipts of a
    23  project, it may (subject to any agreements concerning the
    24  operation or disposition of such project) convey such project to
    25  the county or city creating the Authority and terminate its
    26  existence. A certificate requesting the termination of the
    27  existence of the Authority shall be submitted to the county or
    28  city creating the Authority. If the certificate is approved by
    29  the county or city, then the certificate, endorsed with such
    30  approval, shall be filed with the Secretary of the Commonwealth,
    19990S0706B2226                 - 34 -

     1  and thereupon the said secretary shall note the termination of
     2  existence on the record of incorporation and return the
     3  certificate with his approval shown thereon to the board.
     4  Thereupon, the property of said authority shall pass to the
     5  county or city and the Authority shall cease to exist.
     6     Section 2516-B.  Exemption from Taxation.--The effectuation
     7  of the authorized purpose of authorities created under this
     8  article shall and will be in all respects for the benefit of the
     9  people of the Commonwealth, for the increase of their commerce
    10  and prosperity and for the improvement of their health and
    11  living conditions, and since such authorities will be performing
    12  essential governmental functions in effectuating such purposes,
    13  such authorities shall not be required to pay any taxes or
    14  assessments upon any property acquired or used or permitted to
    15  be used by them for such purposes, and the bonds issued by any
    16  authority, their transfer and the income therefrom (including
    17  any profits made on the sale thereof), shall at all times be
    18  free from taxation within the Commonwealth.
    19     Section 2517-B.  Conveyance and Lease by Authorities.--(a)
    20  The project established under this article may be acquired by
    21  the incorporating county or city. The said county or city shall,
    22  by appropriate resolution or ordinance, signify its or their
    23  desire to do so, and thereupon the Authority shall convey, by
    24  appropriate instrument, said project to the county or city, upon
    25  the assumption by the county or city of all obligations incurred
    26  by the Authority with respect to the project.
    27     (b)  The project established under this article may be leased
    28  by the Authority to the incorporating county or city and the
    29  said county or city is hereby empowered to enter into a lease
    30  for such purpose.
    19990S0706B2226                 - 35 -

     1     Section 2518-B.  Construction.--The addition of Article XXV-B
     2  IS A CODIFICATION OF AND shall be deemed a continuation of the    <--
     3  act of July 29, 1953 (P.L.1034, No.270), known as the "Public
     4  Auditorium Authorities Law." LAW," INSOFAR AS IT RELATES TO       <--
     5  COUNTIES OF THE SECOND CLASS IN WHICH A CITY OF THE SECOND CLASS
     6  IS LOCATED AND TO ANY CITY OF THE SECOND CLASS WHICH IS LOCATED
     7  IN A COUNTY OF THE SECOND CLASS.
     8                           ARTICLE XXX-B
     9                    COUNTY JAIL OVERSIGHT BOARD
    10     Section 3001-B.  Short Title.--This article shall be known
    11  and may be cited as the "County Jail Oversight Board Act."
    12     Section 3002-B.  Definitions.--Unless the context clearly
    13  indicates otherwise, the following words and phrases when used
    14  in this article shall have the following meanings:
    15     "Board,"  the county jail oversight board of a county.
    16     "County,"  a county of the second class.
    17     Section 3003-B.  County Jail Oversight Board.--(a)  There is
    18  hereby established a county jail oversight board in any county
    19  which shall be named the "            County Jail Oversight
    20  Board." The board shall be a continuation of the county prison
    21  board originally established under the act of December 10, 1980
    22  (P.L.1152, No.208), known as the "Second Class County Prison
    23  Board Act."
    24     (b)  The board shall be composed of:
    25     (1)  The county chief executive.
    26     (2)  Two judges of the court of common pleas, one of whom
    27  shall be the president judge, or his designee who shall be a
    28  judge, and one judge appointed by the president judge.
    29     (3)  The county sheriff.
    30     (4)  The county controller.
    19990S0706B2226                 - 36 -

     1     (5)  The president of county council or his designee.
     2     (6)  Three citizen members as provided in subsection (c).
     3     (c)  The three citizen members shall not be employes of the    <--
     4  county or of the Commonwealth. They shall serve for a term of
     5  three years, and shall be representative of the broad segments
     6  of the county's population and shall include persons whose
     7  background and experience indicate that they are qualified to
     8  act in the interest of the public. The citizen members shall be
     9  appointed by the county chief executive with the consent of
    10  county council.
    11     Section 3004-B.  Powers and Duties.--(a)  The board's
    12  administrative powers and duties shall include the operation and
    13  maintenance of the prison and all alternative housing
    14  facilities, the oversight of the health and safekeeping of
    15  inmates and the confirmation of the chief executive's selection
    16  of a warden.
    17     (b)  The board shall insure that the living conditions within
    18  the prison AND ALTERNATIVE HOUSING FACILITIES are healthful and   <--
    19  otherwise adequate.
    20     (c)  The board shall, at least twice each year, conduct an
    21  unannounced inspection of the prison's physical plant. During
    22  such inspections the board shall interview a cross-section of
    23  inmates, out of the presence of the warden and his agents, to
    24  determine the conditions within the prison AND ALTERNATIVE        <--
    25  HOUSING FACILITIES. After each inspection, the board shall
    26  prepare a written report setting forth its findings and
    27  determinations which shall be available for public inspection.
    28     (d)  The board shall insure that the prison is being operated
    29  in accordance with its regulations, the laws and regulations of
    30  the Commonwealth and of the United States.
    19990S0706B2226                 - 37 -

     1     (e)  The board shall investigate allegations of inadequate
     2  prison conditions and improper practices occurring within the
     3  prison and may make such other investigations or reviews of
     4  prison operation and maintenance. The books, papers and records
     5  of the prison, including, but not limited to, the papers and
     6  records of the warden and those relating to individual inmates,
     7  shall at all times be available for inspection by the board.
     8     Section 3005-B.  Rules and Regulations.--The board shall, in
     9  the manner provided by law, promulgate such rules, regulations
    10  and forms it deems necessary for the proper administration of
    11  the board and for the operation of the prison AND ALTERNATIVE     <--
    12  HOUSING FACILITIES.
    13     Section 3006-B.  Warden.--(a)  (1)  The chief executive shall
    14  appoint a warden subject to confirmation by the board. The
    15  warden shall serve at the pleasure of the chief executive who
    16  shall fix an appropriate salary.
    17     (2)  The warden shall be a resident of the county six months
    18  after the date of appointment.
    19     (b)  Subject to approval of the manager, the warden shall
    20  employ deputies, assistants and other personnel required to
    21  adequately operate the prison AND ALTERNATIVE HOUSING             <--
    22  FACILITIES.
    23     (c)  The warden shall submit an annual written report to the
    24  board which shall contain information on the population,
    25  conditions and practices in the prison, and other matters as
    26  specified by the board. The annual report shall be available for
    27  public inspection.
    28     (d)  The warden shall report to the county chief executive
    29  and to the board.
    30     Section 3007-B.  Board Meetings.--The board shall meet at
    19990S0706B2226                 - 38 -

     1  least once each month and shall keep regular minutes of its
     2  proceedings which shall be open to public inspection.
     3     Section 3008-B.  Contracts and Purchases.--All contracts and
     4  purchases required for the maintenance and support of the
     5  prisoners, repairs and improvements of the prison AND             <--
     6  ALTERNATIVE HOUSING FACILITIES and materials and supplies shall
     7  be conducted in accordance with the applicable provisions of the
     8  county administrative code.
     9     SECTION 3009-B.  CONSTRUCTION.--THE ADDITION OF ARTICLE XXX-B  <--
    10  IS A CODIFICATION OF AND SHALL BE DEEMED A CONTINUATION OF THE
    11  ACT OF DECEMBER 10, 1980 (P.L.1152, NO.208), KNOWN AS THE
    12  "SECOND CLASS COUNTY PRISON BOARD ACT."
    13     SECTION 7.  SECTION 3171-B(A)(4) OF THE ACT, AMENDED DECEMBER
    14  21, 1998 (P.L.1088, NO.146), IS AMENDED AND THE SUBSECTION IS
    15  AMENDED BY ADDING A CLAUSE TO READ:
    16     SECTION 3171-B.  TAX RELIEF.--(A)  * * *
    17     (4)  THE COUNTY AND THE CITY SHALL UTILIZE ALL OR A PORTION
    18  OF REVENUES REMAINING FROM DISBURSEMENTS RECEIVED PURSUANT TO
    19  SECTION 3157-B(B) AFTER REDUCING TAXES AS PROVIDED BY CLAUSES
    20  (1) AND (2) FOR THE IMPLEMENTATION OF [EITHER OR BOTH] ONE OF
    21  THE FOLLOWING:
    22     (I)  PROGRAMS UNDER THE ACT OF DECEMBER 13, 1988 (P.L.1190,
    23  NO.146), KNOWN AS THE "FIRST AND SECOND CLASS COUNTY PROPERTY
    24  TAX RELIEF ACT"; [OR]
    25     (II)  A PROGRAM FOR PROPERTY TAX REBATE OR RENT REBATE IN
    26  LIEU OF PROPERTY TAXES MODELED BY THE COUNTY OR CITY AFTER THE
    27  ACT OF MARCH 11, 1971 (P.L.104, NO.3), KNOWN AS THE "SENIOR
    28  CITIZENS REBATE AND ASSISTANCE ACT," FOR LONGTIME [SENIOR
    29  CITIZEN] OWNER OCCUPANTS OF PERSONAL RESIDENCES. PROPERTY
    30  ELIGIBLE FOR TAX RELIEF UNDER THIS CLAUSE SHALL BE LIMITED TO A
    19990S0706B2226                 - 39 -

     1  PRIMARY PERSONAL RESIDENCE OWNED BY A SINGLE PERSON AGE 62 OR
     2  OLDER OR BY MARRIED PERSONS IF EITHER SPOUSE IS 62 YEARS OF AGE
     3  OR OLDER. TAX RELIEF PROVIDED PURSUANT TO THIS CLAUSE SHALL BE
     4  LIMITED TO PERSONS WHOSE INCOME AS DEFINED UNDER THE ACT OF
     5  MARCH 11, 1971 (P.L.104, NO.3), KNOWN AS THE "SENIOR CITIZENS
     6  REBATE AND ASSISTANCE ACT," DOES NOT EXCEED TWENTY-FIVE THOUSAND
     7  DOLLARS ($25,000)[.]; OR
     8     (III)  A PROGRAM FOR PROPERTY TAX REBATE OR RENT REBATE IN
     9  LIEU OF PROPERTY TAXES MODELED BY THE COUNTY OR CITY AFTER THE
    10  "SENIOR CITIZENS REBATE AND ASSISTANCE ACT," FOR LONGTIME OWNER-
    11  OCCUPANTS OF PERSONAL RESIDENCES. PROPERTY ELIGIBLE FOR TAX
    12  RELIEF UNDER THIS CLAUSE SHALL BE LIMITED TO A PRIMARY PERSONAL
    13  RESIDENCE OWNED BY A SINGLE PERSON AGE 60 OR OLDER OR BY MARRIED
    14  PERSONS IF EITHER SPOUSE IS 60 YEARS OF AGE OR OLDER. TAX RELIEF
    15  PROVIDED PURSUANT TO THIS CLAUSE SHALL BE LIMITED TO PERSONS
    16  WHOSE INCOME AS DEFINED UNDER THE "SENIOR CITIZENS REBATE AND
    17  ASSISTANCE ACT," DOES NOT EXCEED THIRTY THOUSAND DOLLARS
    18  ($30,000).
    19     FOR PURPOSES OF THIS CLAUSE, "LONGTIME OWNER-OCCUPANT" SHALL
    20  MEAN ANY PERSON WHO FOR AT LEAST TEN CONTINUOUS YEARS HAS OWNED
    21  AND HAS OCCUPIED A DWELLING PLACE WITHIN THE COUNTY AS A
    22  PRINCIPAL RESIDENCE AND DOMICILE, OR ANY PERSON WHO FOR AT LEAST
    23  FIVE YEARS HAS OWNED AND OCCUPIED A DWELLING WITHIN THE COUNTY
    24  AS A PRINCIPAL RESIDENCE AND DOMICILE IF THAT PERSON RECEIVED
    25  ASSISTANCE IN THE ACQUISITION OF THE PROPERTY AS PART OF A
    26  GOVERNMENT OR NONPROFIT HOUSING PROGRAM.
    27     (5)  THE COUNTY MAY ESTABLISH INSTALLMENT PAYMENT PROGRAMS
    28  FOR PAYMENT OF THE PROPERTY TAXES BY TAXPAYERS WHO PARTICIPATE
    29  IN COUNTY PROGRAMS PURSUANT TO CLAUSE (4).
    30     * * *
    19990S0706B2226                 - 40 -

     1     Section 6 8.  Section 3107-C of the act is amended by adding   <--
     2  a subsection to read:
     3     Section 3107-C.  Charter Limitations.--* * *
     4     (m)  The county under the charter shall be subject to the
     5  restrictions and prohibitions concerning the employes'
     6  retirement system under Article XVII and this article.
     7     Section 7.  The provisions of Article XXX-B of the act are     <--
     8  nonseverable. If any provision of Article XXX-B or its
     9  application to any person or circumstance is held invalid, the
    10  remaining provisions or applications of Article XXX-B are void.
    11     Section 8.  The amendment of sections 1708, 1712 and 3107-C
    12     SECTION 9.  THIS ACT SHALL BE RETROACTIVE AS FOLLOWS:          <--
    13         (1)  THE ADDITION OF SECTION 2003 OF THE ACT SHALL BE
    14     RETROACTIVE TO FEBRUARY 9, 1999.
    15         (2)  THE AMENDMENT OF SECTIONS 1708, 1712 AND 3107-C of
    16     the act shall be retroactive to January 1, 2000.
    17     Section 9. 10.  (A)  The following acts and parts of acts are  <--
    18  repealed to the extent specified:
    19     Act of December 10, 1980 (P.L.1152, No.208), known as the
    20  Second Class County Prison Board Act, is repealed absolutely.
    21     Act of July 29, 1953 (P.L.1034, No.270), known as the Public
    22  Auditorium Authorities Law, is repealed insofar as it relates to
    23  counties of the second class in which a city of the second class
    24  is located and to any city of the second class which is located
    25  in a county of the second class.
    26     (B)  ALL ACTS AND PARTS OF ACTS ARE REPEALED INSOFAR AS THEY   <--
    27  ARE INCONSISTENT WITH THIS ACT.
    28     Section 10 11.  This act shall take effect as follows:         <--
    29         (1)  The amendment or addition of sections 511 and
    30     2001(d) and Article XXX-B of the act shall take effect in 60
    19990S0706B2226                 - 41 -

     1     days.
     2         (2)  THE REPEAL OF THE ACT OF DECEMBER 10, 1980            <--
     3     (P.L.1152, NO.208), KNOWN AS THE SECOND CLASS COUNTY PRISON
     4     BOARD ACT, IN SECTION 10 OF THIS ACT SHALL TAKE EFFECT IN 60
     5     DAYS.
     6         (2) (3)  The remainder of this act shall take effect       <--
     7     immediately.
















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