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| PRIOR PRINTER'S NO. 3089 | PRINTER'S NO. 4027 |
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| THE GENERAL ASSEMBLY OF PENNSYLVANIA |
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| HOUSE BILL |
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| INTRODUCED BY PAYTON, WHEATLEY, BUXTON, JOSEPHS, THOMAS, BROWN, CALTAGIRONE, GOODMAN, HARKINS, JOHNSON, McCALL, PRESTON, SHAPIRO, SIPTROTH, STEVENSON, STURLA, WATERS AND YOUNGBLOOD, JANUARY 19, 2010 |
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| AS REPORTED FROM COMMITTEE ON STATE GOVERNMENT, HOUSE OF REPRESENTATIVES, AS AMENDED, JUNE 29, 2010 |
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| AN ACT |
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1 | Amending Title 62 (Procurement) of the Pennsylvania Consolidated |
2 | Statutes, in small and disadvantaged businesses, providing |
3 | for small business reserve. |
4 | The General Assembly of the Commonwealth of Pennsylvania |
5 | hereby enacts as follows: |
6 | Section 1. Title 62 of the Pennsylvania Consolidated |
7 | Statutes is amended by adding a section to read: |
8 | § 2109. Small business reserve. | <-- |
9 | (a) Small business reserve.--Commonwealth agencies shall |
10 | establish a small business reserve for the purpose of increasing |
11 | economic opportunities for small and disadvantaged businesses |
12 | and affording small and disadvantaged businesses the opportunity |
13 | to bid on State government contracts without competing with |
14 | larger businesses. |
15 | (b) Set-aside.--Under section 2101 (relating to policy), |
16 | each Commonwealth agency shall set 10% of its moneys available |
17 | for procurement into a small business reserve for award to |
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1 | qualified small and disadvantaged businesses. The amount set |
2 | aside shall be a minimum of $25,000 up to a maximum of |
3 | $5,000,000. |
4 | (c) Self-certification.--Bidders shall self-certify that |
5 | they are qualified small or disadvantaged businesses, and |
6 | verification of status shall be confirmed by the awarding agency |
7 | prior to award. |
8 | (d) Categories.--The following tiers are established: |
9 | (1) Tier 1: 0 to 100 employees with gross revenues not |
10 | exceeding $25,000,000. Small businesses in this tier may bid |
11 | on any small business reserve contract. |
12 | (2) Tier 2: 100 to 200 employees with gross revenues not |
13 | exceeding $35,000,000. Small businesses in this tier may only |
14 | compete for contracts valued at $100,000 or more. |
15 | (3) Tier 3: 200 to 250 employees with gross revenues not |
16 | exceeding $45,000,000. Small businesses in this tier may only |
17 | compete for contracts valued at $250,000 or more. |
18 | § 2109. Small business reserve program. | <-- |
19 | (a) Small business reserve.--The department shall establish |
20 | a small business reserve program for the purpose of increasing |
21 | economic opportunities for small and disadvantaged businesses |
22 | and affording small and disadvantaged businesses the opportunity |
23 | to bid on State government contracts without competing with |
24 | larger businesses. All procurement by the department shall be |
25 | eligible for designation for the small business reserve program, |
26 | and shall be published in the same manner as required for a |
27 | request for proposal or an invitation for bid. |
28 | (b) Reserve account.--Notwithstanding any other provision of |
29 | this title to the contrary, the department shall structure its |
30 | procurement procedures to reserve up to 10% of the total dollar |
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1 | value of its procurement contracts, including public works, |
2 | construction and professional services and designed professional |
3 | services contracts, to be made directly to qualified small and |
4 | disadvantaged businesses. However, the total dollar value of |
5 | procurements by the department shall not include the value of |
6 | any contract to which this subsection would not apply because of |
7 | a conflict with Federal law. |
8 | (c) Awards.--The department shall award a procurement |
9 | contract designated for a small business reserve to the small |
10 | and disadvantaged business that submits a bid or proposal that: |
11 | (1) is the lowest bid price; |
12 | (2) is the lowest evaluated bid price, if the invitation |
13 | for bid or request for proposal so provides; or |
14 | (3) is in the best interest of the Commonwealth. |
15 | (d) Other Commonwealth agencies.-- |
16 | (1) A Commonwealth agency may collaborate with the |
17 | department to structure its procurement procedures to provide |
18 | for a small business reserve program which shall be subject |
19 | to the requirements of this act. |
20 | (2) Upon request, the department shall assist the |
21 | procurement unit of a Commonwealth agency with the |
22 | development and implementation of a small business reserve. |
23 | (e) Construction and application.-- |
24 | (1) The provisions of this section shall not be |
25 | construed to preclude any small and disadvantaged business |
26 | from competing for any other contract that is not |
27 | specifically designated for the small business reserve |
28 | program. |
29 | (2) The provisions of this section shall apply to any |
30 | eligible "small business" as defined under 62 Pa.C.S. § 2102 |
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1 | (relating to definitions). |
2 | (f) Regulations.--The department shall adopt and promulgate |
3 | regulations to govern the provisions of this section. The |
4 | regulations shall: |
5 | (1) Establish a comprehensive bidder's list of eligible |
6 | small and disadvantaged businesses. |
7 | (2) Provide procedures for maintaining the list in |
8 | paragraph (1). |
9 | (3) Include any other information the department |
10 | determines necessary and appropriate to carry out the |
11 | provisions of this act. |
12 | (g) Reports.--On or before December 31, 2012, and on or |
13 | before each December 31 thereafter, the department shall submit |
14 | a report to the Chief Clerk of the Senate and the Chief Clerk of |
15 | the House of Representatives on the operation and effectiveness |
16 | of the Small Business Reserve Program. The report shall include |
17 | the following: |
18 | (1) The total number and dollar value of payments the |
19 | department made to small and disadvantaged businesses |
20 | pursuant to designated small business reserve contracts. |
21 | (2) The total number and dollar value of payments the |
22 | department made to small and disadvantaged businesses that |
23 | were not designated as small business reserve contracts. |
24 | (3) The total dollar value of payments made by the |
25 | department under procurement contracts. |
26 | (4) Information on any Commonwealth agency that has |
27 | implemented a small business reserve program, including |
28 | information required under paragraphs (1), (2) and (3). |
29 | (5) Any other information or recommendation the |
30 | department determines necessary. |
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1 | Section 2. This act shall take effect immediately. |
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