62 Pa.C.S. Ch. 37

in effect

62 Pa.C.S. § 3701 Contract provisions prohibiting discrimination.

Each contract entered into by a government agency for the construction, alteration or repair of any public building or public work shall contain the following provisions by which the contractor agrees that: (1) In the hiring of employees for the performance of work under the contract or any subcontract, no contractor, subcontractor or any person acting on behalf of the contractor or subcontractor shall by reason of gender, race, creed or color discriminate against any citizen of this Commonwealth who is qualified and available to perform the work to which the employment relates. (2) No contractor or subcontractor or any person on their behalf shall in any manner discriminate against or intimidate any employee hired for the performance of work under the contract on account of gender, race, creed or color. (3) The contract may be canceled or terminated by the government agency, and all money due or to become due under the contract may be forfeited for a violation of the terms or conditions of that portion of the contract. Cross References. Section 3701 is referred to in section 303 of Title 74 (Transportation).

62 Pa.C.S. § 3731 Short title of subchapter and general provisions.

(a) Short title.--This subchapter shall be known and may be cited as the Motor Vehicle Procurement Act. (b) Legislative findings.--It is hereby determined by the General Assembly to reaffirm the legislative findings contained in the act of April 4, 1984 (P.L.193, No.40), known as the Motor Vehicle Procurement Act, and codified in this chapter: (1) The production of motor vehicles and component parts constitutes a major industry of this Commonwealth. It provides employment for and incomes of hundreds of thousands of the people of this Commonwealth and, in turn, millions of persons in the United States. (2) The taxes paid to the Commonwealth and its political subdivisions by employers and employees engaged in the production and sale of motor vehicles is one of the largest single sources of public revenues in this Commonwealth. (3) It has for many years been the policy of this Commonwealth to aid and support the development and expansion of industry here to foster the economic well-being of this Commonwealth and its people. (4) The economy and general welfare of this Commonwealth and its citizens as well as the economy, general welfare and national security of the United States are inseparably related in the preservation and development of the motor vehicle industry in this Commonwealth and in other states of the United States. (5) The production of motor vehicles and motor vehicle components in Canada involves the use of a substantial amount of resources from the United States, including labor and materials. The General Assembly declares it to be the policy of the Commonwealth of Pennsylvania that public officers and agencies should aid and promote the development of the motor vehicle industry of North America to stimulate and improve the economic well-being of this Commonwealth and its citizens. (c) Purpose of subchapter.--This subchapter is intended as remedial legislation designed to promote the general welfare and stimulate the economy of this Commonwealth and its people. Each provision shall receive a liberal construction to effectuate that intention. None of the provisions of this subchapter shall receive a strict or limited construction. References in Text. The act of April 4, 1982 (P.L.193, No.403), known as the Motor Vehicle Procurement Act, referred to in subsec. (b), was repealed by the act of May 15, 1998 (P.L.358, No.57). The subject matter is now contained in Subchapter B of Chapter 17 of this title.

62 Pa.C.S. § 3732 Definitions.

The following words and phrases when used in this subchapter shall have the meanings given to them in this section unless the context clearly indicates otherwise: "Motor vehicle." A passenger car or a truck as those terms are defined under 75 Pa.C.S. § 102 (relating to definitions). "North America." (Deleted by amendment). "Procure." To acquire by purchase, lease or rent. The term does not include any rentals or leases where the term thereof is less than one month. (Dec. 3, 2002, P.L.1147, No.142, eff. imd.) 2002 Amendment. Act 142 amended the def. of "motor vehicle" and deleted the def. of "North America."

62 Pa.C.S. § 3733 Police power.

This subchapter shall be deemed to be an exercise of the police power of this Commonwealth for the protection of the health, safety and general welfare of its citizens.

62 Pa.C.S. § 3734 Contract provisions.

(a) Motor vehicles to be manufactured in North America.--All government agencies shall procure only motor vehicles which are manufactured in North America. A motor vehicle is manufactured in North America if a substantial majority of the principal components are assembled into the final product in an assembly plant in North America. Contract documents for the procurement of motor vehicles shall contain a provision that the vehicles procured by the government agency shall be manufactured in North America. (b) Exception.--This section shall not apply where the head of the government agency states in writing that it is inconsistent with the public interest or that the cost is unreasonable. Cross References. Section 3734 is referred to in section 3735 of this title.

62 Pa.C.S. § 3735 Payment under contract and action to recover unauthorized payments.

A government agency shall not authorize, provide for or make a payment to a person under a contract containing the provision required by section 3734 (relating to contract provisions) unless the government agency is satisfied that the person has complied with the provision. The payment made to a person by a government agency which should not have been made shall be recoverable directly from the supplier of the motor vehicle who did not comply with section 3734 by the government agency or the Attorney General by appropriate legal action. Nothing in this section shall authorize any government agency to initiate a legal action independently of the Attorney General unless otherwise authorized under the act of October 15, 1980 (P.L.950, No.164), known as the Commonwealth Attorneys Act.

62 Pa.C.S. § 3736 Penalty.

In addition to the withholding of payments, any person who willfully violates any of the provisions of this subchapter may be prohibited by any government agency from participation in contracts awarded by the government agency for a period of five years from the date of the determination that a violation has occurred.

62 Pa.C.S. § 3741 Procurement of mass transportation vehicles.

(a) General rule.--Notwithstanding any other provision of law to the contrary, whenever a local, regional or metropolitan transportation authority determines in writing that it is not practicable or advantageous to the authority to enter into a contract for the purchase of mass transportation or railway vehicles through competitive sealed bidding, the authority may utilize the competitive sealed proposal method of procurement in accordance with section 513 (relating to competitive sealed proposals). (b) Definition.--As used in this section, the term "mass transportation or railway vehicles" includes buses, railcars, locomotives, trolley cars, ferry boats and other vehicles used to provide for the mass transit of people, as well as any replacement parts for the vehicles.

62 Pa.C.S. § 3742 Procurement limits for mass transportation authorities.

(a) General rule.--Notwithstanding any other provision of law to the contrary and subject to the conditions in subsection (b), a local transportation organization as defined in 74 Pa.C.S. § 1301 (relating to definitions) which is a recipient of Federal funds for transportation purposes is permitted, at the option of its governing board, to use the "simplified acquisition procedures" of section 31 of the Office of Federal Procurement Policy Act (41 U.S.C. § 427) for procurement up to the "simplified acquisition threshold" as that term is defined in section 4 of the Office of Federal Procurement Policy Act (41 U.S.C. § 403). (b) Conditions.-- (1) A proposed purchase of contract for an amount above the simplified acquisition threshold may not be divided into several purchases or contracts for lesser amounts in order to use the simplified acquisition procedures permitted by subsection (a). (2) In using simplified acquisition procedures, a local transportation organization shall promote competition to the maximum extent practicable. (3) The simplified acquisition procedures used by a local transportation organization shall comply with the Federal Acquisition Regulations concerning simplified acquisition procedures described in 48 CFR Ch. 1 Pt. 13. (Dec. 3, 2002, P.L.1147, No.142, eff. imd.) 2002 Amendment. Act 142 added section 3742. References in Text. Section 1301 of Title 74, referred to in subsec. (a), is repealed. Cross References. Section 3742 is referred to in section 1750 of Title 74 (Transportation).

62 Pa.C.S. § 3746 Preference.

As provided for in the act of April 9, 1982 (P.L.314, No.89), known as the Pennsylvania Used Oil Recycling Act, government agencies and persons holding contracts with government agencies shall encourage and, to the extent possible, require the procurement and purchase of recycled oil products as substantially equivalent to products made from new oil.

62 Pa.C.S. § 3751 Short title of subchapter.

This subchapter shall be known and may be cited as the Guaranteed Energy Savings Act.

62 Pa.C.S. § 3752 Definitions.

The following words and phrases when used in this subchapter shall have the meanings given to them in this section unless the context clearly indicates otherwise: "Allowable costs." Equipment and project costs that: (1) the governmental unit reasonably believes will be incurred during the term of the guaranteed energy savings contract; and (2) are documented by industry engineering standards. "Energy conservation measure." A program, facility alteration or technology upgrade designed to reduce energy, water, wastewater or other consumption or operating costs. The term may include, without limitation: (1) Insulation of the building structure or systems within the building. (2) Storm windows or doors, caulking or weather stripping, multiglazed windows or doors, heat-absorbing or heat-reflective glazed and coated window or door systems, additional glazing, reductions in glass area or other window and door system modifications that reduce energy consumption. (3) Automated or computerized energy control systems. (4) Heating, ventilating or air conditioning system modifications, extension of systems to new or renovated areas or system replacements. (5) Replacement or modification of lighting fixtures to increase the energy efficiency of the lighting system without increasing the overall illumination of a facility, unless an increase in illumination is necessary to conform to applicable State or local building codes for the lighting system after the proposed modifications are made. (6) Energy recovery systems. (7) Systems that produce steam or forms of energy such as heat as well as electricity for use within a building or complex of buildings. (8) Energy conservation measures that provide operating cost reductions based on life cycle cost analysis. (9) A training program or facility alteration that reduces energy consumption or reduces operating costs, including allowable costs, based on future reductions in labor costs or costs for contracted services. (10) A facility alteration which includes expenditures that are required to properly implement other energy conservation measures. (11) A program to reduce energy costs through rate adjustments, load shifting to reduce peak demand, and/or use of alternative energy suppliers, such as, but not limited to: (i) changes to more favorable rate schedules; (ii) negotiation of lower rates, same supplier or new suppliers, where applicable; and (iii) auditing of energy service billing and meters. (12) The installation of energy information and control systems that monitor consumption, redirect systems to optimal energy sources and manage energy-using equipment. (13) Systems that provide indoor air quality improvements or improved climate control. (14) Daylighting systems. (15) Renewable and/or on-site distributed power generation systems. (16) Water and sewer conservation measures, including, without limitation, plumbing fixtures and infrastructure. (17) Equipment upgrades that improve accuracy of billable revenue generating systems. (18) Automated, electronic or remotely controlled systems or measures that reduce operating costs. (19) Other energy, water or wastewater measures as may provide measurable, long-term operating costs reductions or billable revenue increases. "Energy-related cost savings." As follows: (1) A cost saving, except for an energy saving, that results from the implementation of an energy conservation measure. (2) Sources of energy-related cost savings shall include only the following: (i) Avoided current or planned capital expense. (ii) Avoided renovation, renewal or repair costs as a result of replacing old and unreliable equipment and systems or thermal improvements to the building envelope. "Energy services company." A qualified provider of energy solutions, including designs and implementation of energy savings projects, retrofitting, energy conservation, energy infrastructure outsourcing, power generation and energy supply and risk management. "Guaranteed energy savings contract." A contract for the evaluation and recommendation of energy conservation measures and for implementation of one or more such measures. "Governmental unit." Any officer, employee, authority, board, bureau, commission, department, agency or institution of a government agency, including, but not limited to, any Commonwealth agency, State-aided institution or any county, city, district, municipal corporation, municipality, municipal authority, political subdivision, school district, educational institution, borough, incorporated town, township, poor district, county institution district, other incorporated district or other public instrumentality which has the authority to contract for the construction, reconstruction, alteration or repair of any public building or other public work or public improvement, including, but not limited to, highway work. "Industry engineering standards." Industry engineering standards may include the following: (1) Life cycle costing. (2) The R.S. Means-estimated method developed by the R.S. Means Company. (3) Historical data. (4) Manufacturer's data. (5) American Standard Heating Refrigeration Air-Conditioning Engineers (ASHRAE) standards. "Operating costs." As follows: (1) Reductions in expenses, including energy-related cost savings, related to energy and water consuming equipment or the building envelope. (2) The term includes: (i) Operating and maintenance savings. (ii) Capital funds budgeted for projects that, due to the energy services company project, will not be necessary. "Qualified provider." A person or business which is responsible and capable of evaluating, recommending, designing, implementing and installing energy conservation measures as determined by the governmental unit. (July 15, 2004, P.L.703, No.77, eff. 60 days; July 2, 2010, P.L.243, No.39, eff. 60 days; Nov. 4, 2016, P.L.1216, No.163, eff. 60 days) Amendment. Act 163 amended pars. (4) and (13) of the def. of "energy conservation measure" and added the defs. of "energy-related cost savings," "energy services company" and "operating costs." 2010 Amendment. Act 39 amended the def. of "energy conservation measure." Cross References. Section 3752 is referred to in section 3753 of this title.

62 Pa.C.S. § 3753 Contracting procedures.

(a) General rule.--Notwithstanding any other contrary or inconsistent provision of law, a governmental unit may enter into a guaranteed energy savings contract with a qualified provider in accordance with the provisions of this subchapter or in accordance with another statutorily authorized procurement process. (b) Guaranteed energy savings contract.--If in accordance with applicable law the award of a contract by a governmental unit requires action at a public meeting, a governmental unit may award a guaranteed energy savings contract at a public meeting if it has provided public notice in the manner prescribed under 65 Pa.C.S. Ch. 7 (relating to open meetings), the notice including the names of the parties to the contract and the purpose of the contract. For governmental units that are not required to take actions on contracts at public meetings, the governmental unit may award a guaranteed energy savings contract in accordance with the procedures adopted by the governmental unit and the requirements of all applicable laws. (c) Competitive sealed proposals.--For the purpose of entering into a guaranteed energy savings contract, all governmental units are authorized to utilize the competitive sealed proposal method of procurement. The governmental unit shall evaluate any proposal that meets the requirements of the governmental unit and is timely submitted by a qualified provider. The request for proposals shall be announced through a public notice from the governmental unit which will administer the program. The request for proposals shall provide all interested parties with sufficient information necessary to submit a timely and responsive proposal. (d) Selection and notice.--The governmental unit shall select the qualified provider that best meets the needs of the governmental unit in accordance with criteria established by the governmental unit. For governmental units that are not required to take actions on contracts at public meetings, the governmental unit shall provide public notice of the award of the guaranteed energy savings contract within 30 days in the Pennsylvania Bulletin. The notice shall include the names of the parties to the contract and the purpose of the contract. For governmental units that are required to take actions on contracts at public meetings, the public notice shall be made at least ten days prior to the meeting. After reviewing the proposals pursuant to subsection (e), a governmental unit may enter into a guaranteed energy savings contract with a qualified provider if it finds that the amount it would spend on the energy conservation measures recommended in the proposal would not exceed the amount of energy, water or wastewater cost savings, operational cost savings or revenue increases resulting from the energy conservation measures within a period not to exceed 20 years from the date of final installation if the recommendations in the proposal were followed and the qualified provider provides a written guarantee that the energy, water or wastewater cost savings, or operational cost savings or revenue increases will meet or exceed the cost of the contract, provided, however, that, when determining the operational cost savings from any contract or project of the type defined in paragraphs (17), (18) and (19) of the definition of "energy conservation measure" in section 3752 (relating to definitions), the governmental unit shall not consider savings that result from reductions in the size of its work force if the reductions are related to or generated by outsourcing or using contract workers to perform tasks previously performed by employees of the governmental unit. (e) Report.-- (1) Before the award of a guaranteed energy savings contract, the qualified provider shall provide a report as part of its proposal which shall be available for public inspection, summarizing estimates of all costs of installation, maintenance, repairs and debt service and estimates of the amounts by which energy or operating costs will be reduced. (2) The report shall contain a listing of contractors and subcontractors to be used by the qualified provider with respect to the energy conservation measures. (f) Bond.--A qualified provider to whom a contract is awarded shall give a sufficient bond to the governmental unit for its faithful performance. Commonwealth agencies shall obtain such bonds in accordance with the provisions of section 533 (relating to security and performance bonds). All other governmental units shall obtain such bonds in accordance with the act of December 20, 1967 (P.L.869, No.385), known as the Public Works Contractors' Bond Law of 1967. (g) Award of contract.--Notwithstanding any other provision of law governing the letting of public contracts, a governmental unit may enter into a single guaranteed energy savings contract with each responsible provider selected in accordance with the provisions of this subchapter. (July 15, 2004, P.L.703, No.77, eff. 60 days; July 2, 2010, P.L.243, No.39, eff. 60 days) 2010 Amendment. Act 39 amended subsec. (d).

62 Pa.C.S. § 3754 Contract provisions.

(a) General rule.--A guaranteed energy savings contract may provide that all payments, except obligations on termination of the contract before its scheduled expiration, shall be made over a period of time. Every guaranteed energy savings contract that requires payments over a period of time shall provide that, after the initial year of the contract, the savings in every subsequent year are guaranteed to the extent necessary to make payments under the contract during that year. A guaranteed energy savings contract, in addition to the quantification and guarantee of energy savings, shall expressly state, quantify and validate the budgetary sources of all energy-related cost savings and operating costs utilized to satisfy the financial obligations and performance during the term of the agreement. (b) Written guarantee.--A guaranteed energy savings contract shall include a written guarantee that savings will meet or exceed the cost of the energy conservation measures to be evaluated, recommended, designed, implemented or installed under the contract. (c) Payments.--A guaranteed energy savings contract may provide for payments over a period of time not to exceed 20 years and for the evaluation, recommendation, design, implementation and installation of energy conservation measures on an installment payment or lease purchase basis. (d) Improvements not causally connected to an energy conservation measure.--An improvement that is not causally connected to an energy conservation measure may be included in a guaranteed energy savings contract if: (1) the total value of the improvement does not exceed 15% of the total value of the guaranteed energy savings contract; and (2) either: (i) the improvement is necessary to conform to a law, a rule or an ordinance; or (ii) an analysis within the guaranteed energy savings contract demonstrates that there is an economic advantage to the governmental unit implementing an improvement as part of the guaranteed energy savings contract; and the savings justification for the improvement is documented by industry engineering standards. (e) Other expenditures.--A facility alteration which includes expenditures that are required to properly implement other energy conservation measures may be included as part of a guaranteed energy savings contract. In such case, notwithstanding any other provision of law, the installation of these additional measures may be supervised by the contractor performing the guaranteed energy savings contract. (July 15, 2004, P.L.703, No.77, eff. 60 days; July 2, 2010, P.L.243, No.39, eff. 60 days; Nov. 4, 2016, P.L.1216, No.163, eff. 60 days) 2016 Amendment. Act 163 amended subsec. (a). 2010 Amendment. Act 39 amended subsecs. (a) and (c).

62 Pa.C.S. § 3755 Funding.

(a) General rule.--Guaranteed energy savings contracts which have terms which extend beyond one fiscal year of the governmental unit must include a provision which allows the governmental unit to terminate the contract if in any fiscal year during the term of the contract the governmental unit does not receive sufficient funds in its annual appropriations to make the payments required under the contract. (b) Funds.--A governmental unit may use funds designated for operating, utilities or capital expenditures for any guaranteed energy savings contract, including, without limitation, for purchases on an installment payment or lease purchase basis. (c) Grants, subsidies or other payments.--Grants, subsidies or other payments from the Commonwealth to a governmental unit shall not be reduced as a result of energy conservation measure cost savings obtained as a result of a guaranteed energy savings contract during the life of the contract. (Nov. 4, 2016, P.L.1216, No.163, eff. 60 days) 2016 Amendment. Act 163 amended subsec. (c).

62 Pa.C.S. § 3756 Commonwealth contracts.

In connection with the letting of any guaranteed energy savings contract for a governmental unit under this subchapter, the department shall have the power to waive the process for selection of architects or engineers otherwise prescribed under section 905 (relating to procurement of design professional services). In exercising its discretion under this section, the department shall consider the best interests of this Commonwealth and any relevant circumstances peculiar to the proposed contract.

62 Pa.C.S. § 3757 Construction.

This subchapter shall not be construed to abrogate any duty to comply with prevailing wage or residency requirements contained in any other act or part thereof.

62 Pa.C.S. § 3758 Review of proposed capital improvement projects.

Prior to entering into a guaranteed energy savings contract, every governmental unit shall review all proposed capital improvement projects for potential applicability of this subchapter and shall consider proceeding with a guaranteed energy savings contract under this subchapter where appropriate. (July 15, 2004, P.L.703, No.77, eff. 60 days) 2004 Amendment. Act 77 added section 3758.

Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://www.palegis.us/statutes/consolidated/view-statute?txtType=HTM&ttl=62Fetched: 10/16/2026