51 Pa.C.S. Ch. 96

in effect

51 Pa.C.S. § 9601 Definitions.

Subject to section 9602 (relating to regulations), the following words and phrases when used in this chapter shall have the meanings given to them in this section unless the context clearly indicates otherwise: "Commonwealth agency." As defined in 62 Pa.C.S. § 103 (relating to definitions). "Executive agency." As defined in 62 Pa.C.S. § 103 (relating to definitions). "Purchasing agency." As defined in 62 Pa.C.S. § 103 (relating to definitions). "Service-disabled." Being in possession of: (1) a disability rating letter issued by the United States Department of Veterans Affairs; or (2) a disability determination from the United States Department of Defense. "Service-disabled veteran-owned small business." A small business owned and controlled by: (1) a service-disabled veteran or veterans; or (2) if approved by the Department of General Services, a surviving spouse or permanent caregiver of a service-disabled veteran. "Small business." As defined in 62 Pa.C.S. § 2102 (relating to definitions). "State-affiliated entity." As defined in 62 Pa.C.S. § 103 (relating to definitions). "Veteran." An individual who served in the United States Armed Forces, including a reserve component or the National Guard, and who was discharged or released from service under conditions other than dishonorable. "Veteran-owned small business." A small business owned and controlled by a veteran or veterans. (Nov. 3, 2016, P.L.1053, No.135, eff. 60 days) 2016 Amendment. See section 7 of Act 135 in the appendix to this title for special provisions relating to status of certain businesses. Cross References. Section 9601 is referred to in section 9602 of this title; section 2201 of Title 62 (Procurement); section 3101 of Title 72 (Taxation and Fiscal Affairs); section 303 of Title 74 (Transportation).

51 Pa.C.S. § 9602 Regulations.

(a) Promulgation.--The Department of General Services shall establish policy in accordance with this subchapter for executive agencies and independent agencies and may, in consultation with the department, promulgate regulations establishing detailed definitions of the words and phrases defined in section 9601 (relating to definitions) using, in addition to the criteria set forth in section 9601, other criteria as it deems appropriate, including the number of employees and the dollar volume of business. (b) Implementation.--State-affiliated entities shall implement the policy for their procurement programs. (c) Antifraud provisions.--The Department of General Services shall establish policy and promulgate regulations establishing antifraud provisions to deter and penalize businesses that are not owned by those who are service-disabled or by veterans but who falsely claim that they are in order to receive any action authorized by this subchapter. (d) Notice.--Notice of the antifraud provisions and an e-mail address and telephone number to report violations of the antifraud provisions to the Department of General Services shall be included, if feasible, in any application to be certified or to be included in any source list authorized by this subchapter. The Department of General Services shall include in its annual reports to the General Assembly information about the number of businesses penalized for violating antifraud provisions. (Nov. 3, 2016, P.L.1053, No.135, eff. 60 days) 2016 Amendment. See section 7 of Act 135 in the appendix to this title for special provisions relating to status of certain businesses. Cross References. Section 9602 is referred to in section 9601 of this title.

51 Pa.C.S. § 9603 Participation goal.

A Statewide annual goal of not less than 3% participation by veteran-owned small businesses, including service-disabled veteran-owned small businesses, is established. The participation goal shall apply to the total value of all contracts available to small businesses in each fiscal year. Cross References. Section 9603 is referred to in section 303 of Title 74 (Transportation).

51 Pa.C.S. § 9604 Duties of Department of General Services.

The Department of General Services, with the assistance of the department, shall have the following duties: (1) If feasible, provide appropriate staff, who shall be responsible to the Department of General Services and who shall serve within designated Commonwealth agencies to assist veteran-owned small businesses and service-disabled veteran-owned small businesses in this Commonwealth in learning how to do business with Commonwealth agencies. (2) Give special publicity to procurement procedures and issue special publications designed to assist veteran-owned small businesses and service-disabled veteran-owned small businesses in learning how to do business with Commonwealth agencies. (3) Compile, maintain and make available source lists of veteran-owned small businesses and service-disabled veteran-owned small businesses for the purpose of encouraging procurement from veteran-owned small businesses. (4) Include veteran-owned small businesses and service-disabled veteran-owned small businesses on solicitation mailing lists. (5) Assure that veteran-owned small businesses and service-disabled veteran-owned small businesses are solicited on procurements for which the businesses may be suited. (6) Develop special training programs to assist veteran-owned small businesses and service-disabled veteran-owned small businesses in learning how to do business with Commonwealth agencies. (7) Assure that participation by veteran-owned small businesses and service-disabled veteran-owned small businesses is, if appropriate, factored into the evaluation of proposals for supplies, services or construction when a purchasing agency uses the competitive sealed proposals method under 62 Pa.C.S. § 513 (relating to competitive sealed proposals). (8) Verify the current certification of businesses claiming to be certified as veteran-owned small businesses and service-disabled veteran-owned small businesses.

51 Pa.C.S. § 9605 Bonding and progress payments.

(a) Bonding.--Notwithstanding 62 Pa.C.S. Pt. I (relating to Commonwealth Procurement Code): (1) Except as provided in paragraph (2), a purchasing agency may reduce the level or change the types of bonding normally required or accept alternative forms of security to the extent reasonably necessary to encourage procurement from veteran-owned small businesses and service-disabled veteran-owned small businesses. (2) For contracts under $25,000, veteran-owned small businesses and service-disabled veteran-owned small businesses shall be exempt from any bonding requirements. (b) Progress payments.--A purchasing agency may make special provisions for progress payments as it deems reasonably necessary to encourage procurement from veteran-owned small businesses and service-disabled veteran-owned small businesses.

51 Pa.C.S. § 9607 Reports.

(a) Report to Department of General Services.--By August 15, 2013, and each August 15 thereafter, each executive agency and independent agency shall submit an annual report for the period of July 1 to June 30 to the Department of General Services on actual utilization of veteran-owned small businesses and service-disabled veteran-owned small businesses as contractors, subcontractors, suppliers and professional service providers. (b) Report to standing committees.-- (1) The Department of General Services and each State-affiliated entity shall annually, before October 1, report in writing to the Veterans Affairs and Emergency Preparedness Committee of the Senate and the Veterans Affairs and Emergency Preparedness Committee of the House of Representatives the actual utilization, Statewide and by each purchasing agency, of veteran-owned small businesses and service-disabled veteran-owned small businesses during the preceding fiscal year. (2) The report shall include a list of all veteran-owned small businesses and service-disabled veteran-owned small businesses that participated as contractors, subcontractors, suppliers and professional service providers during the preceding fiscal year. (3) Initial reports under this subsection shall be submitted to the standing committees by October 1, 2013.

51 Pa.C.S. § 9608 Compliance with Federal requirements.

If a procurement involves the expenditure of Federal assistance or contract funds, the purchasing agency shall comply with Federal law and authorized regulations that are mandatorily applicable and that are not presently reflected in 62 Pa.C.S. Pt. I (relating to Commonwealth Procurement Code).

51 Pa.C.S. § 9610 Definitions.

As used in this subchapter, the following words and phrases shall have the meanings given to them in this section unless the context clearly indicates otherwise: "Business fee." A fee required to be paid to the Commonwealth or a political subdivision for starting or opening a business within this Commonwealth. The term does not include a fee for maintaining licensure or other requirement for continuing to operate a business. "Reservist." A member of a United States Armed Forces reserve component or National Guard. "Reservist-owned small business." A business owned and controlled by a member of a United States Armed Forces reserve component or National Guard.

51 Pa.C.S. § 9611 Exemption.

(a) Payment.--A veteran-owned or reservist-owned small business shall be exempt from the payment of a business fee. (b) Proof.--A veteran or reservist must provide the department or licensing authority of a political subdivision with proof of the veteran's or reservist's status using any of the following with any business application: (1) A copy of a Federal DD-214 form. (2) A copy of a Federal NGB-22 form. (3) A valid Federal Veterans' Administration card. (4) A valid Department of Defense-issued military identification card. (c) Status.--The Department of State or licensing authority of a political subdivision, in consultation with other Commonwealth agencies, may determine an applicant's status as a veteran or reservist in accordance with this section. (d) Offenses.-- (1) A person who fraudulently obtains a business fee exemption commits a misdemeanor of the third degree. (2) A person assigning, transferring or attempting to assign or transfer a business fee exemption or using or attempting to use a business fee exemption contrary to this section commits a misdemeanor of the third degree. (e) Reporting.--The Department of State shall annually determine the total number of business fee exemptions applied for and issued and the total dollar amount of the exemptions under this section and submit a report to the chair and minority chair of the Veterans Affairs and Emergency Preparedness Committee of the Senate and the chair and minority chair of the Veterans Affairs and Emergency Preparedness Committee of the House of Representatives. The report may be submitted electronically.

Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://www.palegis.us/statutes/consolidated/view-statute?txtType=HTM&ttl=51Fetched: 10/16/2026