Pennsylvania Department of Community and Econmic Development

Pennsylvania Department of Community and Economic Development

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FAQs

  • Must a municipality advertise for bids when purchasing from another municipality?

    No.

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  • When must the municipality advertise for bids for the purchase of equipment or supplies?

    With certain limited exceptions, all purchases greater than $10,000 must be advertised and bids obtained.

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  • Must engineering or attorney services be formally bid?

    No.

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  • Does the purchase of replacement of water or sewer infrastructure have to be formally bid?

    No.

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  • Does an extension of water or sewer services require formal bidding?

    Yes.

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  • Must bids be awarded to the lowest bidder?

    Codes specify the lowest responsible bidder. If the low bidder is known and proven not to be responsible, they need not receive the award. Proper documentation must be kept.

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  • Does a municipality have to obtain competitive bids for engineering services?

    No, competitive bids do not have to be obtained for professional services including engineering, architectural, legal, accounting, insurance or other similar professional services. A municipality may wish to use an RFP process or such services, but this is not mandatory.

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  • Must contracts for insurance be formally bid?

    No.

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  • Must computer software packages be formally bid?

    No.

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  • For the purposes of bidding, is concrete, steel or plastic pipe considered the same?

    Yes.

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  • What if no one responds to an advertised bid?

    Codes require a second advertisement, if still no response, the municipality is free to negotiate without bidding a third time.

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  • What is the compensation for Second Class Township auditor?

    $10.00 per hour up to the maximum of $1,000 for a population of 10,000 or less and $2,000 for a population in excess of 10,000.

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  • In a Township of the Second Class, is an elected auditor prevented from voting on the compensation of his or her spouse?

    Yes, the Ethics Act so states, but if the other two auditors cannot reach agreement, the auditor in question, after disclosing the conflict, can vote to break the tie.

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  • Must elected auditors advertise their working sessions?

    No, these sessions may be closed to the public.

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  • When must the Annual Audit Report Form be submitted?

    March 31st. However, for timely receipt of Liquid Fuels Funds, the report should be submitted no later than March 15th.

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  • Is the proposed budget required to be re-advertised after amending?

    Yes, when the amendment equals 10% of the total aggregate amount or 25% of a department total.

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  • Can monies be transferred from one budgetary appropriation to another?

    Yes, the municipal codes permit transfers through formal action of governing bodies.

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  • After a municipal election, how long does a new governing body have to adopt a reopened budget?

    In a municipal election year, governing bodies may reopen the budget that must be adopted by February 15.

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  • In the year after a municipal election, how long do governing bodies have to adopt reopened budgets?

    Until February 15.

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  • Under what conditions is self-liquidating debt excluded from debt limits?

    When a CPA or engineer certifies to the DCED legal office that it qualifies with sections 204, 205, and 206 of the Unit Debt Act.

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  • Can a municipality borrow funds on a short-term basis to meet cash flow needs until its tax revenue comes in?

    Yes, the Local Government Unit Debt Act authorizes a municipality to borrow funds on a short term basis to meet cash flow needs. The amount borrowed must be repaid during the current fiscal year and cannot exceed 85% of total revenues and must be within the limits of the maximum cash flow deficit calculation.

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  • Can an elected official (i.e., mayor, council member , township supervisor, etc.) be removed from office by the citizens?

    No, the Pennsylvania, Supreme Court ruled in 1995 that the Pennsylvania State Constitution only allows an elected official to be removed from office through impeachment, conviction of a crime, or misbehavior in office.

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  • Can an elected council member or supervisor serve as the borough/township manager?

    No.

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  • Who sets the rate of pay for township employees?

    The Board of Supervisors sets the rate of pay for all employees except supervisors who are also employees. The Board of Auditors sets the pay rate for supervisors who are employees.

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  • How can I recall a township supervisor?

    Municipal codes provide for removal of township supervisors/commissioners, but a 1995 Pennsylvania Supreme Court decision determining that home rule recall provisions are unconstitutional, also overruled an older 1927 decision saying the township officer removal provisions were constitutional.

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  • Can an elected or appointed supervisor or township commissioner be appointed by the Board of Supervisors to the Authority Board?

    Yes.

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  • How much more power does the Chairman of the Board have than the other Board Members?

    None.

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  • Must the public be allowed to speak at meetings?

    The Sunshine Law states that residents of the political subdivision shall be provided a reasonable opportunity to be heard.

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  • For what reasons can a municipality go into executive session?

    To discuss personnel matters including hiring, promoting, disciplining or dismissing of employees/officials except for appointment interviews for elected positions to hold information, strategy or negotiations related to collective bargaining agreements or arbitrations to consider the purchase/lease of real estate to consult with an attorney regarding litigation to discuss agency business that would lead to disclosure of confidential information including investigations of possible violations of law and quasi-judicial deliberation.

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  • May the Board prohibit the use of recording devices during their public meetings?

    No, however, they are permitted to adopt rules governing the use of recording devices.

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  • Are committees of elected governing bodies required to advertise meetings?

    Yes, section 3 of the Sunshine Law defines an agency to include committees that render advice on matters of agency business.

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  • How much detail do I have to put in the minutes?

    The Sunshine Law requires only the following to appear in official minutes:
    Date, time and place of meeting; Names of members present; Substance of all official actions and a record of the roll call votes taken; and The names of citizens who appeared officially and the subject of their testimony.

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  • Must a meeting be advertised if a quorum will be present just to hear a report?

    Yes, Sunshine Law requires advertisement whenever a deliberation occurs which could lead to an action.

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  • Can a municipality have rules for the conduct of meetings?

    Yes, check with your Association for examples of meeting rules and regulations.

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  • Must we take minutes of Executive Sessions?

    No and it is not advisable since minutes become public records.

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  • Are we required to keep tape recorded tapes of meetings?

    No, however, local board policy may require the tapes to be kept for a certain period of time.

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  • May the Board discuss, in executive session, the selection of a replacement for a member of the elected Board?

    No.

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  • Can the Board have an executive session at any time other than the official meeting?

    Yes, provided the executive session is announced at a public meeting either prior to or after the executive session is held.

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  • Must an executive session be advertised in a newspaper of general circulation?

    No.

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  • Can a governing body use a secret ballot to vote?

    No, section 5 of the Sunshine Law requires votes to be cast publicly.

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  • May an ordinance be amended by a resolution?

    No, an ordinance can only be amended by an ordinance.

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  • When can supplementary appropriations and budgetary transfers be accomplished?

    Supplementary appropriations can be done at any time during the fiscal year. However, townships may make budgetary transfers only during the last nine months of the fiscal year.

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  • Is a municipality required to advertise a job opening?

    There is no requirement to advertise job openings, however, not doing so could eliminate many possible qualified individuals and could open the municipality to charges of discrimination in employment practices.

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  • How does a municipality work with another municipality on a specific project?

    Act 180, the Intergovernmental Cooperation Act, permits two or more municipalities to cooperate in any activity they are otherwise permitted to do individually. An ordinance must be adopted and an intergovernmental cooperation agreement be executed.

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  • Who is required to sign municipal checks?

    The Treasurer. However, local policy may require additional signatures.

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  • Who is in charge of all legal matters of the Municipality?

    The appointed Solicitor.

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  • Can a county planning agency cause a municipal zoning ordinance to be changed?

    No, under the Planning Code, local zoning ordinances must be presented to the county for review. The municipality has the final decision as to whether to follow that advice.

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  • Where can I get a copy of one of the municipal codes?

    Through the State Book Store, (voice) 717-787-5109. However, if you are an elected local government official or a municipal secretary, they are available through the Local Government Commission, (voice) 717-787-7680.

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  • Can the municipality charge for copies requested by the public?

    Yes, it is recommended that there is a written policy adopted by the board specifying costs.

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  • When do minutes of a public meeting become an official record?

    When officially accepted or adopted at a public meeting.

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  • May a municipality establish a fee for copies of minutes or other public records?

    Yes, as long as they are reasonable.

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  • Are payroll records a public document?

    Yes, Section 1 (2) of the Public Records Law define public records as any contract, voucher, account dealing with disbursement of public funds. However, only total salary amounts need be supplied, withholdings are not a matter of public record.

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  • Are financial statements considered public documents?

    Yes.

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  • May a municipality require the Tax Collector to remit tax collections more frequently than once a month?

    Yes, many municipalities require frequent (daily or weekly) payments especially during the discount and face periods.

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  • Is rental income taxable under the earned income and net profits ordinance established under ACT 511?

    Yes.

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  • What is the maximum tax rate on real estate?

    The various municipal codes establish tax rates for their class of municipality as follows:
    --Counties (2nd Class A), 30 mills (Bucks, Delaware, Montgomery)
    --Counties, 25 mills (2nd, 3rd to 8th class)
    --Cities (3rd Class), 25 mills
    --Boroughs, 30 mills
    --1st class twps, 30 mills
    --2nd class twps, 14 mills
    --Home Rule Governed by their charter
    Note: For 3rd to 8th class counties, Cities, Boroughs and Townships, an additional 5 mills may be imposed with the approval of the county court. In addition, the codes authorize various special purpose levies for debt service, capital projects, fire hydrants, street lights, libraries, etc.

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  • When may the compensation be changed for the elected tax collector?

    It must be set by February 15 in the year of the election of the tax collector and cannot be changed until elected.

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  • May the appointed Municipal Secretary also serve as the tax collector?

    Yes.

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  • If a school district is dissatisfied with the elected tax collector, can they appoint their own?

    No, the elected tax collector under the tax collection law shall serve the school district. Even under a home rule charter, an appointed collector of real estate taxes is responsible for collecting school district real estate taxes.

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  • Does the municipality have to pay for supplies and equipment of the elected tax collector?

    Yes.

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  • How often must the Elected Tax Collector pay over tax receipts to the taxing district?

    Receipts for the preceding month must be paid by the 10th of the month unless the taxing district has passed a resolution requiring a more frequent payment.

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  • What must be done if a municipality or tax collector has more than $100,000 in any particular financial institution?

    The municipality should insist on a letter of collateralization from the financial institution.

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  • Can the earned income tax collector require a taxpayer to provide a W-2?

     

    Yes, it is important for rules and regulations to be prepared and adopted for this requirement by all taxing bodies.

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  • Can a municipality shut down a fire company?

    Yes.

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  • Can interest from the Foreign Fire Insurance Payment be retained by the Municipality?

    Yes.

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  • If a Fire Company goes bankrupt, does the equipment automatically become property of the municipality?

    No.

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    The page was last modified: 08/27/2012