RECIPROCAL LIMITATIONS ACT - REPEALED — 1986 Pa. Act 146 (historical enacted text)

Historical Act text

PRINTER'S NO. 428
INTRODUCED BY O'CONNELL, SINGEL, HANKINS, SHAFFER, SHUMAKER,
FISHER, MADIGAN, ANDREZESKI, GREENLEAF, RHOADES, BRIGHTBILL,
ROMANELLI AND LOEPER, FEBRUARY 20, 1985
REFERRED TO STATE GOVERNMENT, FEBRUARY 20, 1985
AN ACT
1 Authorizing the imposition of preferential bidding limitations
2 against nonresident bidders or suppliers of goods when the
3 state of such nonresident imposes or applies preferential
4 bidding limitations on Pennsylvania bidders or suppliers of
5 goods.
6 The General Assembly of the Commonwealth of Pennsylvania
7 hereby enacts as follows:
8 Section 1. Short title.
9 This act shall be known and cited as the Reciprocal
10 Limitations Act.
11 Section 2. Legislative findings.
12 It is hereby determined and declared as a matter of
13 legislative findings that:
14 (1) The award of contracts to the lowest responsible
15 bidder generally provides for the most economical procurement
16 of goods, supplies, equipment, materials, printing and
17 construction.
18 (2) In some cases, award to the lowest responsible
19 bidder may not be the most economical and practicable when
1 the best interests of the Commonwealth are concerned.
2 (3) Some states apply a preference favoring in-State
3 goods, supplies, equipment, materials, printing or bidders,
4 or they apply a prohibition against the use of out-of-State
5 goods, supplies, equipment, materials, printing or bidders.
6 (4) The application of this preference or prohibition by
7 other states diminishes or eliminates opportunities for
8 bidders and manufacturers who reside in Pennsylvania to
9 obtain construction or printing contracts from or to sell
10 goods, supplies, equipment and materials to states that have
11 such a preference, thereby resulting in the loss of business
12 for resident bidders and manufacturers. Therefore, in order
13 to offset or counteract the discriminatory practices of other
14 states, discourage other states from applying a preference
15 and ultimately to aid employment, help business and industry
16 located in Pennsylvania, attract new business and industry to
17 Pennsylvania and provide additional tax revenue both from
18 those receiving contracts and those employed by contractors,
19 the General Assembly hereby declares that it is the policy of
20 the Commonwealth to respond in like manner against those
21 states that apply preferences or prohibitions by giving a
22 similar offsetting preference to residents in Pennsylvania
23 and bidders offering goods manufactured in Pennsylvania, and
24 by prohibiting the purchase or use of certain goods,
25 supplies, equipment, printing or materials in accordance with
26 the provisions of this act.
27 Section 3. Preference for goods.
28 All departments, boards, commissions, State authorities or
29 agencies of the Commonwealth shall, in all purchases of goods,
30 supplies, equipment, materials and printing exceeding the amount
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1 of $1,500, give preference to those bidders offering goods,
2 supplies, equipment, materials or printing produced,
3 manufactured, mined, grown or performed in Pennsylvania as
4 against those bidders offering goods, supplies, equipment,
5 materials or printing produced, manufactured, mined, grown or
6 performed in any state that gives or requires a preference to
7 goods, supplies, equipment, materials or printing produced,
8 manufactured, mined, grown or performed in that state. The
9 amount of the preference shall be equal to the amount of the
10 preference applied by the other state for that particular good,
11 supply, equipment, material or printing.
12 Section 4. Preference for bidders.
13 (a) General rule.--When a public contract, exceeding the
14 amount of $1,500, is to be awarded to the lowest responsible
15 bidder, a resident bidder shall be granted a preference as
16 against a nonresident bidder from any state that gives or
17 requires a preference to bidders from that state. The amount of
18 the preference shall be equal to the amount of the preference
19 applied by the state of the nonresident bidder.
20 (b) Definitions.--As used in this section the following
21 words and phrases shall have the meanings given to them in this
22 subsection:
23 "Public contract." A contract for the erection,
24 construction, alteration, improvement or repair of any public
25 building or other public work, erected, constructed, altered,
26 improved or repaired at the expense of the Commonwealth or any
27 authority or instrumentality thereof, or the purchase or lease
28 of any goods, supplies, equipment, printing or materials by any
29 department, board, commission, State authority or agency of the
30 Commonwealth.
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1 "Resident bidder." A person, partnership, corporation or
2 other business entity authorized to transact business in
3 Pennsylvania and having a bona fide establishment for
4 transacting business within Pennsylvania at which it was
5 transacting business on the date when bids for the public
6 contract were first solicited.
7 Section 5. Prohibition.
8 In the erection, construction, alteration, improvement or
9 repair of any public building or other public work at the
10 expense of the Commonwealth or any authority or instrumentality
11 thereof, the following prohibition shall be recognized and
12 applied. No department, board, commission, state authority or
13 agency of the Commonwealth shall specify for, use, or purchase
14 any goods, supplies, equipment, printing or materials which are
15 produced, manufactured, mined, grown or performed in any state
16 that prohibits the specification for, use, or purchase of such
17 items in or on its public buildings or other works, when such
18 items are not produced, manufactured, mined, grown or performed
19 in such state.
20 Section 6. Federal funds.
21 The provisions of this act shall not be applicable when
22 application of the act may jeopardize the receipt of Federal
23 funds.
24 Section 7. Listing discriminating states.
25 (a) Preparation.--The Department of General Services shall
26 prepare a list of the states which apply a preference favoring
27 in-State goods, supplies, equipment, materials, printing or
28 bidders or prohibiting the use of out-of-State goods, supplies,
29 equipment, materials, printing or bidders and shall publish the
30 list in the Pennsylvania Bulletin. When a state applies a new
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1 preference or prohibition, the Department of General Services
2 shall publish that information in the Pennsylvania Bulletin as
3 an addition to the original list.
4 (b) Inclusion in bid invitations.--Every department, board,
5 commission, State authority or agency of the Commonwealth, shall
6 include in all its invitations to bid for the purchase of goods,
7 supplies, equipment, materials and printing exceeding the amount
8 of $1,500, a list of all the states that have been found by the
9 Department of General Services to have applied a preference and
10 the amount of the preference. All invitations to bid and notices
11 issued for the purpose of securing bids for public contracts, as
12 defined in section 4(b), as issued by any department, board,
13 commission, State authority or agency of the Commonwealth in an
14 amount exceeding $1,500, shall include a list of all states that
15 apply a prohibition against certain items and shall inform
16 potential bidders that they are prohibited from using goods,
17 supplies, equipment, materials or printing from those states. If
18 a bid discloses that the bidder is offering goods, supplies,
19 equipment, materials or printing from a state, which prohibits
20 the use of out-of-State goods, supplies, equipment, materials or
21 printing, the bid shall be rejected.
22 Section 8. Waiver.
23 The provisions of this act may be waived when the head of the
24 department, board, commission, State authority or agency of the
25 Commonwealth determines in writing that it is in the best
26 interests of the Commonwealth.
27 Section 9. Repeals.
28 (a) Specific repeal.--Section 523 of the act of April 9,
29 1929 (P.L.177, No.175), known as The Administrative Code of
30 1929, is repealed.
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1 (b) General repeal.--All other acts and parts of acts are
2 repealed insofar as they are inconsistent with this act.
3 Section 10. Effective date.
4 This act shall take effect in 90 days.
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