purchasing

Pennsylvania Resident Bidder Preference

Revised August 14, 2024

Title 62 Pa. C.S.A. Procurement

Part I. Commonwealth Procurement Code

Chapter 1. General Provisions

§ 107. Reciprocal limitations

(b) Legislative findings. It is hereby determined by the General Assembly to reaffirm the legislative findings contained in the act of November 28, 1986 (P.L.1465, No.146), known as the Reciprocal Limitations Act, and codified in this section:

(3) Some states apply a preference favoring in-state supplies or bidders or they apply a prohibition against the use of out-of-state supplies or bidders.

(4) The application of this preference or prohibition by other states diminishes or eliminates opportunities for bidders and manufacturers who reside in this Commonwealth to obtain construction contracts from or to sell supplies to states that have this preference, thereby resulting in the loss of business for resident bidders and manufacturers. Therefore, in order to offset or counteract the discriminatory practices of other states, discourage other states from applying a preference and ultimately to aid employment, help business and industry located in this Commonwealth, attract new business and industry to this Commonwealth and provide additional tax revenue both from those receiving contracts and those employed by contractors, the General Assembly hereby declares that it is the policy of this Commonwealth to respond in like manner against those states that apply preferences or prohibitions by giving a similar offsetting preference to residents in this Commonwealth and bidders offering supplies manufactured in this Commonwealth and by prohibiting the purchase or use of certain supplies, in accordance with the provisions of this section.

(c) Preference for supplies. In all procurements of supplies exceeding the amount established by the department for small procurements under section 514 (relating to small procurements), all Commonwealth agencies shall give preference to those bidders or offerors offering supplies produced, manufactured, mined, grown or performed in this Commonwealth as against those bidders or offerors offering supplies produced, manufactured, mined, grown or performed in any state that gives or requires a preference to supplies produced, manufactured, mined, grown or performed in that state. The amount of the preference shall be equal to the amount of the preference applied by the other state for that particular supply.

(d) Preference for resident bidders or offerors. When a contract for construction or supplies exceeding the amount established by the department for small procurements under section 514 is to be awarded, a resident bidder or offeror shall be granted a preference as against a nonresident bidder or offeror from any state that gives or requires a preference to bidders or offerors from that state. The amount of the preference shall be equal to the amount of the preference applied by the state of the nonresident bidder or offeror.

Title 71 P.S. State Government

Part I. The Administrative Codes and Related Provisions

Chapter 2. The Administrative Code of 1929

Article XXIV. Powers and Duties of the Department of General Services and its Departmental Administrative and Advisory Boards and Commissions

§ 650. State heating systems to be fueled by coal (Adm. Code § 2420)

(a) The following words and phrases when used in this article shall have, unless the context clearly indicates otherwise, the meanings given to them in this section:

“ Coal .” Coal produced from mines in Pennsylvania or any mixture or synthetic derived, in whole or in part, from coal produced from mines in Pennsylvania.

“Mixture derived, in whole or in part, from coal .” Includes, but is not limited to, both the intermittent and the simultaneous burning of natural gas with coal or a coal derivative if the intermittent or simultaneous burning of natural gas would:

(1) lower the cost of using coal or a coal derivative produced from mines in Pennsylvania; or

(2) enable coal or a coal derivative produced from mines in Pennsylvania to be burned in compliance with present and reasonably anticipated environmental laws and regulations.

(b) Any heating system or heating unit installed in a facility owned by the State on or after the effective date of this section shall be fueled by coal .

(c) Any heating system or heating unit shall be exempt from the requirement of subsection (b) if the Secretary of General Services determines that:

(1) using coal as the fuel for that heating system or heating unit would violate existing or reasonably anticipated environmental laws or regulations;

(2) using coal as the fuel for that heating system or heating unit would not be cost effective when compared to using other forms of energy;

(3) using electricity generated primarily from the combustion of coal would be more cost effective when compared to using coal as the fuel for that heating system or heating unit;

(4) the principal fuel for that heating system or heating unit would be natural gas from wells located in Pennsylvania or wood from forests located in Pennsylvania, if such fuel were at least as cost effective as using coal as the fuel; or

(5) that heating system or heating unit was in or beyond the design stage prior to the effective date of this act.

(d) In determining cost-effectiveness under clauses (2), (3) and (4) of subsection (c), the Secretary of General Services shall perform a life cycle cost analysis.

(e) The Secretary of General Services shall report to the Appropriations Committees of the House of Representatives and the Senate the basis for any determination that a heating system or heating unit shall be exempt from the requirement of subsection (b).

Pennsylvania Administrative Code

Title 4. Administration

Part I. Governor’s Office

Chapter 7a. Additional Miscellaneous Provisions

Subchapter D. Pennsylvania-Produced Agricultural Products Program

§ 7a.41 . Commonwealth agency purchases

All agencies under the jurisdiction of the Governor that purchase agricultural products shall, to the extent permitted by the laws and agreements of the United States and the Commonwealth and so as not to trigger the reciprocal preference laws of other states, purchase Pennsylvania-produced agricultural products when available at competitive prices.