Pennsylvania HB 487: An Act amending Title 62 (Procurement) of the Pennsylvania Consolidated Statutes, in source selection and contract formation, further providing for supplies manufactured and services performed by persons with disabilities.

Bill Text

PRINTER'S NO. 471
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 487
Session of
2025
INTRODUCED BY KHAN, D. MILLER, GREEN, VENKAT, FIEDLER, O'MARA,
SANCHEZ, PROBST, HOHENSTEIN, GIRAL, CEPEDA-FREYTIZ, HILL-
EVANS, NEILSON, DELLOSO, FLEMING AND OTTEN, FEBRUARY 4, 2025
REFERRED TO COMMITTEE ON STATE GOVERNMENT, FEBRUARY 4, 2025
AN ACT
Amending Title 62 (Procurement) of the Pennsylvania Consolidated
Statutes, in source selection and contract formation, further
providing for supplies manufactured and services performed by
persons with disabilities.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 520 of Title 62 of the Pennsylvania
Consolidated Statutes is amended to read:
§ 520. Supplies manufactured and services performed by persons
with disabilities.
(a) General rule.--
(1) Contracts for supplies manufactured by and services
performed by persons with disabilities shall be entered into
in accordance with this section without the requirement for
competitive bidding. The following apply:
(i) Persons with disabilities must make an
appreciable contribution in manufacturing [an item] a
supply or performing a service.
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(ii) The department shall determine whether the
contribution by persons with disabilities is an
appreciable contribution.
(2) When the Commonwealth enters into a contract under
this section with a cost exceeding $300,000 per year, the
department, in cooperation with the purchasing agency, shall
conduct an annual review to confirm compliance with the
contract and the requirements of this section. The annual
review shall include, but not be limited to, an assessment of
all requirements related to appreciable contribution. If the
department, in cooperation with the purchasing agency,
determines that persons with disabilities are not making an
appreciable contribution in the manufacturing of [an item] a
supply or the performance of a service or an agency for
persons with disabilities is not in compliance with other
requirements of this section, the department shall give an
agency for persons with disabilities 45 days in which to
remedy the deficiency. If the agency for persons with
disabilities fails to remedy the deficiency within 45 days,
the agency for persons with disabilities shall be deemed to
be in noncompliance with the contract, and the purchasing
agency may terminate the contract and seek to procure the
[item] supply or service through a competitive bidding
process. Nothing in this section shall preclude a purchasing
agency from procuring [an item] a supply or service through
an emergency contract when an agency for persons with
disabilities is deemed to be in noncompliance.
(3) The following apply to s ubminimum wage:
(i) Beginning on the effective date of this
subparagraph, the department is prohibited from entering
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into any new contract that utilizes a Federal 14(c)
certificate for work connected to this section.
(ii) Beginning t wo years following the effective
date of this subparagraph, the use of a Federal 14(c)
certificate for work connected to this section is
prohibited.
(4) The following apply to integration:
(i) Beginning two years following the effective date
of this subparagraph, an agency for persons with
disabilities shall have a work environment that is
integrated for employees connected to State contracts
described in this section.
(ii) In determining whether a location is
integrated, employees who are persons with disabilities
must interact with other individuals who are not persons
with disabilities at the work location. The interaction:
(A) Shall not apply to supervisors, job coaches
and service providers.
(B) Shall involve coworkers, customers, vendors
and members of the general public.
(iii) For purposes of this section, an agency for
persons with disabilities may be an organization that
affirmatively hires and promotes persons with
disabilities, if the agency for persons with disabilities
meets the integration requirement and other eligibility
requirements under this section.
(iv) The department shall require an attestation
from each agency for persons with disabilities specifying
that applicable locations are integrated in accordance
with this paragraph.
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(v) The department shall monitor compliance with the
integration requirement under this paragraph by a
participating agency for persons with disabilities
through the annual review in accordance with paragraph
(2), which shall also include a location site visit to
the agency for persons with disabilities:
(A) no less frequently than every five years; or
(B) upon receipt of a credible allegation that
the participating agency for persons with
disabilities is in material violation of the
integration requirement.
(vi)