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| THE GENERAL ASSEMBLY OF PENNSYLVANIA |
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| HOUSE BILL |
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| INTRODUCED BY DALLY, BEYER, CALTAGIRONE, CARROLL, CREIGHTON, CUTLER, DENLINGER, GEIST, GRELL, HARRIS, HENNESSEY, HUTCHINSON, W. KELLER, MARSICO, MELIO, MILLARD, MUSTIO, ROAE, SCAVELLO, SWANGER AND VULAKOVICH, FEBRUARY 27, 2009 |
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| REFERRED TO COMMITTEE ON STATE GOVERNMENT, FEBRUARY 27, 2009 |
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| AN ACT |
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1 | Establishing a procurement procedure for certain contracts for |
2 | legal services entered into between Commonwealth agencies and |
3 | private attorneys. |
4 | The General Assembly of the Commonwealth of Pennsylvania |
5 | hereby enacts as follows: |
6 | Section 1. Short title. |
7 | This act shall be known and may be cited as the Private |
8 | Attorney Retention Sunshine Act. |
9 | Section 2. Definitions. |
10 | The following words and phrases when used in this act shall |
11 | have the meanings given to them in this section unless the |
12 | context clearly indicates otherwise: |
13 | "Chief Clerk." The Chief Clerk of the House of |
14 | Representatives. |
15 | "Commonwealth agency." An administrative department, board |
16 | or commission, an independent department, board or commission or |
17 | an instrumentality thereof of the executive branch, including an |
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1 | authorized agent of any of them. The term includes the Office of |
2 | Attorney General, the Department of the Auditor General and the |
3 | Treasury Department. |
4 | "Private attorney." A person who is licensed to practice law |
5 | in this Commonwealth or another jurisdiction and who is not an |
6 | employee of a Commonwealth agency. |
7 | "Private attorney contract" or "contract." An agreement for |
8 | legal services in which the fee paid to a private attorney or |
9 | group of private attorneys, either in the form of a flat or |
10 | hourly fee and related expenses, exceeds or can be reasonably |
11 | expected to exceed $500,000. |
12 | "Reviewing committee." The standing committee of the House |
13 | of Representatives that reviews the private attorney contract or |
14 | the interim committee established under section 5 that reviews |
15 | the private attorney contract. |
16 | Section 3. Competitive process required. |
17 | A Commonwealth agency that intends to enter into a private |
18 | attorney contract on behalf of the Commonwealth agency shall use |
19 | an open and competitive process to select the private attorney |
20 | and shall comply with this act. |
21 | Section 4. Legislative oversight during session. |
22 | (a) Copy to be filed.--A Commonwealth agency that intends to |
23 | enter into a private attorney contract shall file a copy of the |
24 | proposed contract with the Chief Clerk, who, with the approval |
25 | of the President pro tempore of the Senate and Speaker of the |
26 | House of Representatives, shall refer the contract to the |
27 | appropriate standing committee of the House of Representatives. |
28 | (b) Legislative hearing.--Within 30 days after the referral, |
29 | the committee may convene a public hearing on the proposed |
30 | contract and shall issue a report to the referring Commonwealth |
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1 | agency. The report shall include any recommended changes to the |
2 | proposed contract that are agreed upon by a majority vote of the |
3 | committee. |
4 | (c) Commonwealth agency review of report.--The referring |
5 | Commonwealth agency shall review the report received under this |
6 | act and, following review of the report, shall revise the |
7 | private attorney contract as it deems appropriate in view of the |
8 | report and shall file a copy of the revised contract and any |
9 | notification required by subsection (d) with the Chief Clerk. |
10 | (d) Notification of revised contract and execution.-- |
11 | (1) If the revised contract does not contain all of the |
12 | changes recommended by the reviewing committee, the referring |
13 | Commonwealth agency shall notify the Chief Clerk in writing |
14 | that the revised contract does not include all of the |
15 | recommended changes and shall provide a detailed explanation |
16 | with the reasons why each of the recommended changes was not |
17 | incorporated into the revised contract. |
18 | (2) The Chief Clerk shall, upon receipt, transmit the |
19 | notification to the chairman of the reviewing committee who |
20 | shall, upon receipt, transmit the notification to each member |
21 | of the reviewing committee. Upon transmission the chairman |
22 | shall advise the members of the reviewing committee and the |
23 | Commonwealth agency whether he intends to convene a reviewing |
24 | committee meeting to comment on the contents of the |
25 | notification. |
26 | (3) Not sooner than 45 days after the filing of the |
27 | notification with the Chief Clerk, the Commonwealth agency |
28 | shall be authorized to execute the private attorney contract. |
29 | (e) Execution of approved contract.--If the reviewing |
30 | committee makes no recommended changes to the proposed contract |
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1 | within the time period specified in subsection (b), the proposed |
2 | contract shall be deemed approved and the Commonwealth agency |
3 | may execute the private attorney contract. |
4 | Section 5. Nonsession procedure. |
5 | If at the time a Commonwealth agency files a private attorney |
6 | contract with the Chief Clerk as required by this act, the Chief |
7 | Clerk determines that the House of Representatives is not |
8 | scheduled to be in voting session at any time during the 30-day |
9 | period immediately following the filing of the private attorney |
10 | contract, the Chief Clerk shall notify the Governor, who, with |
11 | the consent of the President pro tempore of the Senate and the |
12 | Speaker of the House of Representatives, may establish an |
13 | interim committee consisting of five members of the General |
14 | Assembly, one each to be appointed by the Governor, the |
15 | President pro tempore of the Senate, the Minority Leader of the |
16 | Senate, the Speaker of the House of Representatives and the |
17 | Minority Leader of the House of Representatives. The member |
18 | appointed by the Speaker of the House of Representatives shall |
19 | serve as chairman. Within 30 days of the establishment of the |
20 | interim committee, the chairman may convene a public hearing on |
21 | the proposed contract, and the interim committee shall issue a |
22 | report to the referring Commonwealth agency. The report shall |
23 | include any recommended changes to the proposed contract that |
24 | are agreed upon by a majority vote of the committee. |
25 | Section 6. Disclosure involving contingent fees. |
26 | (a) Contents of disclosure.--At the conclusion of any legal |
27 | proceeding in which a Commonwealth agency is represented by a |
28 | private attorney under a private attorney contract, the |
29 | Commonwealth agency shall demand the following information to be |
30 | disclosed in writing from the private attorney: |
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1 | (1) A statement of the hours worked on the matter. |
2 | (2) The expenses incurred on the matter. |
3 | (3) The aggregate fee paid or to be paid to the private |
4 | attorney. |
5 | (4) A breakdown as to the hourly rate, based on hours |
6 | worked divided into fee recovered, less expenses. |
7 | (b) Limitation on fees.-- |
8 | (1) Notwithstanding any other provision of this act or |
9 | law to the contrary, no Commonwealth agency shall enter into |
10 | a contract the terms of which require the Commonwealth or a |
11 | Commonwealth agency to compensate or incur an obligation to |
12 | compensate any private attorney or group of private |
13 | attorneys, to engage in legal representation for compensation |
14 | contingent in whole or in part upon the outcome of the legal |
15 | representation, including the amount of any settlement, |
16 | recovery or award. Any such private attorney contract shall |
17 | be void and unenforceable. |
18 | (2) In the event that a disclosure submitted under |
19 | subsection (a) indicates that a private attorney or group of |
20 | private attorneys received an hourly rate in excess of $1,000 |
21 | per hour for legal services, the fee amount shall be reduced |
22 | to an amount equivalent to $1,000 per hour. |
23 | (c) Contract provision.--No private attorney contract shall |
24 | be valid and enforceable unless it contains a provision |
25 | requiring compliance with this section. |
26 | Section 7. Construction. |
27 | Nothing in this act shall be construed as expanding the |
28 | authority of any Commonwealth agency to enter into contracts |
29 | where no such authority previously existed. |
30 | Section 8. Severability. |
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1 | The provisions of this act are severable. If any provision of |
2 | this act or its application to any person or circumstance is |
3 | held invalid, the invalidity shall not affect other provisions |
4 | or applications of this act which can be given effect without |
5 | the invalid provision or application. |
6 | Section 9. Repeals. |
7 | All acts and parts of acts are repealed insofar as they are |
8 | inconsistent with this act. |
9 | Section 10. Effective date. |
10 | This act shall take effect in 60 days. |
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