21  § 5614.  COMPETITION IN AWARD OF CONTRACTS.
                22     (A)  SERVICES.--
                23         (1)  EXCEPT AS SET FORTH IN PARAGRAPH (2), ALL
                24     CONSTRUCTION, RECONSTRUCTION, REPAIR OR WORK OF ANY NATURE
                25     MADE BY AN AUTHORITY, IF THE ENTIRE COST, VALUE OR AMOUNT,
                26     INCLUDING LABOR AND MATERIALS, EXCEEDS $10,000, SHALL BE DONE
                27     ONLY UNDER CONTRACT TO BE ENTERED INTO BY THE AUTHORITY WITH
                28     THE LOWEST RESPONSIBLE BIDDER, UPON PROPER TERMS, AFTER
                29     PUBLIC NOTICE ASKING FOR COMPETITIVE BIDS AS PROVIDED IN THIS
                30     SECTION.
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                 1         (2)  PARAGRAPH (1) DOES NOT APPLY TO RECONSTRUCTION,
                 2     REPAIR OR WORK DONE BY EMPLOYEES OF THE AUTHORITY OR BY LABOR
                 3     SUPPLIED UNDER AGREEMENT WITH A FEDERAL OR STATE AGENCY WITH
                 4     SUPPLIES AND MATERIALS PURCHASED AS PROVIDED IN THIS SECTION.
                 5         (3)  NO CONTRACT SHALL BE ENTERED INTO FOR CONSTRUCTION
                 6     OR IMPROVEMENT OR REPAIR OF A PROJECT, OR PORTION THEREOF,
                 7     UNLESS THE CONTRACTOR GIVES AN UNDERTAKING WITH A SUFFICIENT
                 8     SURETY APPROVED BY THE AUTHORITY AND IN AN AMOUNT FIXED BY
                 9     THE AUTHORITY FOR THE FAITHFUL PERFORMANCE OF THE CONTRACT.
                10         (4)  THE CONTRACT MUST PROVIDE, AMONG OTHER THINGS, THAT
                11     THE PERSON OR CORPORATION ENTERING INTO THE CONTRACT WITH THE
                12     AUTHORITY WILL PAY FOR ALL MATERIALS FURNISHED AND SERVICES
                13     RENDERED FOR THE PERFORMANCE OF THE CONTRACT AND THAT ANY
                14     PERSON OR CORPORATION FURNISHING MATERIALS OR RENDERING
                15     SERVICES MAY MAINTAIN AN ACTION TO RECOVER FOR THEM AGAINST
                16     THE OBLIGOR IN THE UNDERTAKING, AS THOUGH SUCH PERSON OR
                17     CORPORATION WAS NAMED IN THE CONTRACT IF THE ACTION IS
                18     BROUGHT WITHIN ONE YEAR AFTER THE TIME THE CAUSE OF ACTION
                19     ACCRUED.
                20         (5)  NOTHING IN THIS SECTION SHALL BE CONSTRUED TO LIMIT
                21     THE POWER OF THE AUTHORITY TO CONSTRUCT, REPAIR OR IMPROVE A
                22     PROJECT OR PORTION THEREOF, OR ANY ADDITION, BETTERMENT OR
                23     EXTENSION THERETO DIRECTED BY THE OFFICERS, AGENTS AND
                24     EMPLOYEES OF THE AUTHORITY OR OTHERWISE THAN BY CONTRACT.
                25     (B)  SUPPLIES AND MATERIALS.--ALL SUPPLIES AND MATERIALS
                26  COSTING AT LEAST $10,000 SHALL BE PURCHASED ONLY AFTER
                27  ADVERTISEMENT AS PROVIDED IN THIS SECTION. THE AUTHORITY SHALL
                28  ACCEPT THE LOWEST BID, KIND, QUALITY AND MATERIAL BEING EQUAL,
                29  BUT THE AUTHORITY SHALL HAVE THE RIGHT TO REJECT ANY OR ALL BIDS
                30  OR SELECT A SINGLE ITEM FROM ANY BID. THE PROVISIONS AS TO
                20010S0780B1186                 - 107 -
 
 

                 1  BIDDING SHALL NOT APPLY TO THE PURCHASE OF PATENTED AND
                 2  MANUFACTURED PRODUCTS OFFERED FOR SALE IN A NONCOMPETITIVE
                 3  MARKET OR SOLELY BY A MANUFACTURER'S AUTHORIZED DEALER.
                 4     (C)  QUOTATIONS.--WRITTEN OR TELEPHONIC PRICE QUOTATIONS FROM
                 5  AT LEAST THREE QUALIFIED AND RESPONSIBLE CONTRACTORS SHALL BE
                 6  REQUESTED FOR A CONTRACT WHICH EXCEEDS $4,000 BUT IS LESS THAN
                 7  THE AMOUNT REQUIRING ADVERTISEMENT AND COMPETITIVE BIDDING. IN
                 8  LIEU OF PRICE QUOTATIONS, A MEMORANDUM SHALL BE KEPT ON FILE
                 9  SHOWING THAT FEWER THAN THREE QUALIFIED CONTRACTORS EXIST IN THE
                10  MARKET AREA WITHIN WHICH IT IS PRACTICABLE TO OBTAIN QUOTATIONS.
                11  A WRITTEN RECORD OF TELEPHONIC PRICE QUOTATIONS SHALL BE MADE
                12  AND SHALL CONTAIN AT LEAST THE DATE OF THE QUOTATION; THE NAME
                13  OF THE CONTRACTOR AND THE CONTRACTOR'S REPRESENTATIVE; THE
                14  CONSTRUCTION, RECONSTRUCTION, REPAIR, MAINTENANCE OR WORK WHICH
                15  WAS THE SUBJECT OF THE QUOTATION; AND THE PRICE. WRITTEN PRICE
                16  QUOTATIONS, WRITTEN RECORDS OF TELEPHONIC PRICE QUOTATIONS AND
                17  MEMORANDA SHALL BE RETAINED FOR A PERIOD OF THREE YEARS.
                18     (D)  NOTICE.--THE TERM "ADVERTISEMENT" OR "PUBLIC NOTICE,"
                19  WHEREVER USED IN THIS SECTION SHALL MEAN A NOTICE PUBLISHED AT
                20  LEAST TEN DAYS BEFORE THE AWARD OF A CONTRACT IN A NEWSPAPER OF
                21  GENERAL CIRCULATION PUBLISHED IN THE MUNICIPALITY WHERE THE
                22  AUTHORITY HAS ITS PRINCIPAL OFFICE OR, IF NO NEWSPAPER OF
                23  GENERAL CIRCULATION IS PUBLISHED THEREIN, IN A NEWSPAPER OF
                24  GENERAL CIRCULATION IN THE COUNTY WHERE THE AUTHORITY HAS ITS
                25  PRINCIPAL OFFICE.
                26     (E)  CONFLICT OF INTEREST.--NO MEMBER OF THE AUTHORITY OR
                27  OFFICER OR EMPLOYEE OF THE AUTHORITY MAY DIRECTLY OR INDIRECTLY
                28  BE A PARTY TO OR BE INTERESTED IN ANY CONTRACT OR AGREEMENT WITH
                29  THE AUTHORITY IF THE CONTRACT OR AGREEMENT ESTABLISHES LIABILITY
                30  AGAINST OR INDEBTEDNESS OF THE AUTHORITY. ANY CONTRACT OR
                20010S0780B1186                 - 108 -
 
 

                 1  AGREEMENT MADE IN VIOLATION OF THIS SUBSECTION IS VOID, AND NO
                 2  ACTION MAY BE MAINTAINED ON THE AGREEMENT AGAINST THE AUTHORITY.
                 3     (F)  ENTRY INTO CONTRACTS.--
                 4         (1)  SUBJECT TO SUBSECTION (E), AN AUTHORITY MAY ENTER
                 5     INTO AND CARRY OUT CONTRACTS OR ESTABLISH OR COMPLY WITH
                 6     RULES AND REGULATIONS CONCERNING LABOR AND MATERIALS AND
                 7     OTHER RELATED MATTERS IN CONNECTION WITH A PROJECT OR PORTION
                 8     THEREOF AS THE AUTHORITY DEEMS DESIRABLE, OR AS MAY BE
                 9     REQUESTED BY A FEDERAL AGENCY TO ASSIST IN THE FINANCING OF
                10     THE PROJECT OR ANY PART THEREOF. THIS PARAGRAPH SHALL NOT
                11     APPLY TO ANY OF THE FOLLOWING:
                12             (I)  A CASE IN WHICH THE AUTHORITY HAS TAKEN OVER BY
                13         TRANSFER OR ASSIGNMENT A CONTRACT AUTHORIZED TO BE
                14         ASSIGNED TO IT UNDER SECTION 5613 (RELATING TO TRANSFER
                15         OF EXISTING FACILITIES TO AUTHORITY).
                16             (II)  A CONTRACT IN CONNECTION WITH THE CONSTRUCTION
                17         OF A PROJECT WHICH THE AUTHORITY MAY HAVE HAD TRANSFERRED
                18         TO IT BY ANY PERSON OR PRIVATE CORPORATION.
                19         (2)  THIS SUBSECTION IS NOT INTENDED TO LIMIT THE POWERS
                20     OF AN AUTHORITY.
                21     (G)  COMPLIANCE.--A CONTRACT FOR THE CONSTRUCTION,
                22  RECONSTRUCTION, ALTERATION, REPAIR, IMPROVEMENT OR MAINTENANCE
                23  OF PUBLIC WORKS SHALL COMPLY WITH THE PROVISIONS OF THE ACT OF
                24  MARCH 3, 1978 (P.L.6, NO.3), KNOWN AS THE STEEL PRODUCTS
                25  PROCUREMENT ACT.
                26     (H)  EVASION.--
                27         (1)  AN AUTHORITY MAY NOT EVADE THE PROVISIONS OF THIS
                28     SECTION AS TO BIDS OR PURCHASING MATERIALS OR CONTRACTING FOR
                29     SERVICES PIECEMEAL FOR THE PURPOSE OF OBTAINING PRICES UNDER
                30     $10,000 UPON TRANSACTIONS WHICH SHOULD, IN THE EXERCISE OF
                20010S0780B1186                 - 109 -
 
 

                 1     REASONABLE DISCRETION AND PRUDENCE, BE CONDUCTED AS ONE
                 2     TRANSACTION AMOUNTING TO MORE THAN $10,000.
                 3         (2)  THIS SUBSECTION IS INTENDED TO MAKE UNLAWFUL THE
                 4     PRACTICE OF EVADING ADVERTISING REQUIREMENTS BY MAKING A
                 5     SERIES OF PURCHASES OR CONTRACTS EACH FOR LESS THAN THE
                 6     ADVERTISING REQUIREMENT PRICE OR BY MAKING SEVERAL
                 7     SIMULTANEOUS PURCHASES OR CONTRACTS EACH BELOW THAT PRICE
                 8     WHEN, IN EITHER CASE, THE TRANSACTION INVOLVED SHOULD HAVE
                 9     BEEN MADE AS ONE TRANSACTION FOR ONE PRICE.
                10         (3)  AN AUTHORITY MEMBER WHO VOTES TO UNLAWFULLY EVADE
                11     THE PROVISIONS OF THIS SECTION AND WHO KNOWS THAT THE
                12     TRANSACTION UPON WHICH THE MEMBER VOTES IS OR OUGHT TO BE A
                13     PART OF A LARGER TRANSACTION AND THAT IT IS BEING DIVIDED IN
                14     ORDER TO EVADE THE REQUIREMENTS AS TO ADVERTISING FOR BIDS
                15     COMMITS A MISDEMEANOR OF THE THIRD DEGREE FOR EACH CONTRACT
                16     ENTERED INTO AS A DIRECT RESULT OF THAT VOTE.