Pennsylvania Statutes Title 24 P.S. Education § 5512. Competition in award of contracts

If any project or any portion thereof, or any improvement thereof, shall be constructed pursuant to a contract, and the estimated cost thereof exceeds twelve thousand dollars ($12,000), such contract shall be awarded to the lowest responsible bidder after due advertisement and subject to the provisions of law applicable to the Department of General Services. The authority may, to the same extent, and under the same rules and regulations applicable to the Department of General Services, make rules and regulations for the submission of bids and the construction or improvement of any project or portion thereof: Provided, however, That where there exists an agreement whereby the college may acquire legal title to the said project, contracts for construction, reconstruction, repair or work of any nature, or purchase of furnishings, machinery or equipment shall, if the college so requests, be awarded without regard to the limitations of this section 12 or any other statutory provision or regulation requiring competitive bidding. No contract shall be entered into for the construction or improvement of any project or portion thereof, or for the purchase of materials, unless the contractor shall give an undertaking with a sufficient surety or sureties approved by the authority, and in an amount fixed by the authority, for the faithful performance of the contract, and such contract shall be accompanied by an additional bond for the protection of those who furnish labor and materials, for such amount and subject to the same terms and conditions as required by the authority. All construction contracts shall provide, among other things, that the person or corporation entering into such contract with the authority will pay for all materials furnished and services rendered, for the performance of the contract, and that any person or corporation furnishing such materials or rendering such services may maintain an action to recover for the same against the obligor in the undertaking as though such person or corporation was named therein, provided the action is brought within one year after the time the cause of action accrued. Nothing in this section shall be construed to limit the power of the authority to acquire or construct any project or portion thereof or any addition, betterment, or extension thereto, directly by the officers, agents and employes of the authority, or otherwise than by contract.

Subject to the aforesaid, the authority (but without intending by this provision to limit any powers of the authority), may enter into and carry out such contracts, or establish or comply with such rules and regulations concerning labor and materials and other related matters in connection with any project or portion thereof as the authority may deem desirable, or as may be requested by any Federal agency that may assist in the financing of such project or any part thereof.

Nothing in this section 12 shall be construed as precluding the transfer to the authority by purchase or otherwise of any completed project, or any project in course of construction and the assignment to the authority of the relevant contracts for constructing, furnishing or equipping such projects and the acceptance thereof by the authority.