Pennsylvania HB 1724: An Act amending Title 62 (Procurement) of the Pennsylvania Consolidated Statutes, in contract clauses and preference provisions, providing for sustainable capital improvement project contract.

Bill Text

PRINTER'S NO. 2124
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 1724
Session of
2025
INTRODUCED BY STEELE, GIRAL, VENKAT, PROBST, SANCHEZ, FRANKEL,
CEPEDA-FREYTIZ, SAPPEY, MAYES, FLEMING, WEBSTER, SHUSTERMAN
AND INGLIS, JULY 11, 2025
REFERRED TO COMMITTEE ON FINANCE, JULY 14, 2025
AN ACT
Amending Title 62 (Procurement) of the Pennsylvania Consolidated
Statutes, in contract clauses and preference provisions,
providing for sustainable capital improvement project
contract.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Chapter 37 of Title 62 of the Pennsylvania
Consolidated Statutes is amended by adding a subchapter to read:
SUBCHAPTER F
SUSTAINABLE CAPITAL IMPROVEMENT PROJECT CONTRACT
Sec.
3761. Short title of subchapter.
3762. Definitions.
3763. Contracting procedures.
3764. Contract provisions.
3765. Funding.
3766. Construction.
§ 3761. Short title of subchapter.
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This subchapter shall be known and may be cited as the
Sustainable Capital Improvement Project Contract Act.
§ 3762. 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:
"Facility." A building, transportation, distribution system,
water system or other structure or technologies associated with
a governmental unit that advances the purposes of this
subchapter.
"Financing." Private sector capital that supports the
sustainable capital improvement project as provided by a
qualified provider.
"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 facility.
"Key performance indicator." A quantifiable indicator that
measures how effectively a qualified provider is achieving the
objectives of a sustainable capital improvement project. The
term includes, but is not limited to, system efficiency, system
availability and service response times.
"Project." A sustainable capital improvement project
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developed pursuant to this subchapter.
"Project development agreement." An interim agreement
entered into between a qualified provider and a governmental
unit to finalize project design and cost, structure private
project financing and establish the terms and conditions of a
sustainable capital improvement project contract.
"Qualified provider." An individual or business which is
responsible and capable of evaluating, recommending, designing,
implementing, installing and operating and maintaining equipment
to reduce deferred maintenance and improve energy efficiency,
sustainability and resilience as determined by the governmental
unit.
"Services." Provisions that address energy and water
infrastructure, environmental infrastructure, efficiency,
resiliency, electric and other clean vehicle charging, renewable
energy, energy technology and other facility needs or
requirements.
"Sustainable capital improvement project." An individual
project or projects developed by a governmental unit under this
subchapter.
"Sustainable capital improvement project contract." A
contract for the design, construction, financing, asset
ownership, operations and maintenance of energy, water,
environment, resilience, distribution and sustainability assets
and capital project scope elements.
§ 3763. Contracting procedures.
(a) Entrance.--A governmental unit may enter into a
sustainable capital improvement contract with a qualified
provider under this subchapter or in accordance with another
statutorily authorized procurement process.
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(b) Sustainable capital improvement 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 sustainable capital improvement
contract at a public meeting if the governmental unit has
provided public notice, including the purpose of and names of
the parties to the contract, in the manner prescribed under 65
Pa.C.S. Ch. 7 (relating to open meetings). For governmental
units that are not required to take actions on contracts at
public meetings, the governmental unit may award a sustainable
capital improvement contract in accordance with the procedures
adopted by the governme