This is a space where
we sometimes look at the unintended consequences of grand innovations, landmark
legislation and other progress.
One such great idea
that recently created problems for an area municipality is competitive bidding.
According to an
annotation that accompanied the enabling legislation, way back when, bidding
requirements “are for the purpose of inviting competition, to guard against
favoritism, improvidence, extravagance, fraud and corruption in the awarding of
municipal contracts, and to secure the best work or supplies at the lowest
price practicable, and are enacted for the benefit of property holders and
taxpayers, and not for the benefit or enrichment of bidders, and should be so
construed and administered as to accomplish such purpose fairly and reasonably
with sole reference to the public interest.”
Who wouldn’t agree
with those principles? Who doesn’t want to get the best offers, the lowest
prices? Think of all the crookedness that might prevail without some
safeguards. The rules were instituted initially for state level government and
agencies like the Turnpike Commission, and for big cities and their public
works contracts, and for populous counties and first class townships and big
school systems. But they were extended to apply to second class townships, boroughs,
and rural school systems.
Initially the
threshold for requiring bidding was $10,000.
Goods and services
costing less than $4,000 could be purchased from any reliable provider. Between
$4,000 and $10,000 it was necessary to get at least three quotations, by phone
or in writing. The municipality was required to keep records of those proposals
or quotations. Allowance was made for situations where three providers couldn’t
be found.
The threshold numbers
were adjusted by amendments, as years passed and inflation and price changes
were recognized. Now the bid threshold is $18,500.
As ins other low
population, rural townships, Liberty Township’s major area of responsibility to
its residents, and the one that costs the most money, is highways.
Roads. Country roads.
Paved roads, dirt roads, bridges, sluices, ditches. Roads that need snow
removal and traction treatment in the winter, and repairs in the spring, summer
and fall.
Road care requires
equipment, and lots of liquid fuel to power the equipment. The sensible thing
to do is buy it in bulk, and have fuel tanks at the township’s public works
depot where the equipment can be fueled with diesel or gasoline as needed.
Until recently it
worked to go the RFQ route—call around and request proposals, or prices on
fuel. But once the total purchase climbed above $18,500 in a given 12-month
period, bidding would be required.
With gas and diesel
prices being what they are, these days, supplies for a year total more than
$18,500. Count on it. So Liberty Township advertised for bids for its diesel.
Only one supplier bid, and the price wasn’t so great, supervisors found.
Curious, supervisor Gary Turner called around and asked a few other suppliers
for a quotation, and sure enough, those quotes were lower. But Turner was
powerless to accept any of those, because only a response to a bid would be a
proper basis of a contract with a contract sum greater than $18,500.
Other vendors would
charge less for the fuel, but they had not chosen to bid. They would be willing
to sell on the same basis as before, but they did not want to be locked in to a
price that could not be altered for the period covered by the bid.
So what could the
supervisors do? They chose not to act on the bid but to wait until their next
meeting, about two weeks away. Meanwhile they would seek some solution to their
quandary. Surely the solons in Harrisburg had not intended for competitive
bidding to make a municipality (and its taxpayers) pay more for something!
Apparently the
competitive bidding measure has not kept pace with price changes such as those
we have seen in liquid fuel prices in recent years.
But that’s why
measures get amended, isn’t it! The prevailing wage requirement is another that
has added beaucoup bucks to many a bid on a construction project, a new school
building or a renovation, and other public works where labor will be a
component of the cost.
State Senator Joe
Scarnati and Representative Marty Causer might be hearing from municipalities
on such topics. Come to think of it, Causer is hosting a senior expo this
coming Friday, in Roulette.
•
• •
I don’t remember ever
seeing as many requests for campaign donations as I have seen for the past
several months. Emails bring poll results and reports of each infusion of funds
by the Kochs (hiss!) or Rove (boo!) to the coffers of the other side. Give
right now and some mysterious fat cat on our side will match or triple the
donation. One day I kept a running tally of the minimum suggested amount of my
donation, in all the candidates’ teams’ emails that day requesting my financial
support. The total was more than I make in a month.
A favorite technique
used in these solicitations is to ask for a signature on a petition calling on
someone in the other camp to stop filibustering, or back off some odious
proposed legislation, or generally straighten up and fly right. Well, why not
endorse this example of right thinking? Soon as you do, you get another
request, to send the petition to friends via Facebook, Twitter, etc. And then
comes the request for a contribution.
Also, this is the
season when we see numerous appeals. Our United Fund campaign kicked off over a
month ago. Now come the library dinner auction and ELF and Salvation Army and
many other solicitations, and a new one this year (probably a one-time effort)
to cover the cost of a nativity display on the Square.
Originally the
Community Chest and then the United Fund appeals were to eliminate a lot of
individual fundraising efforts and “put all our begs in one ask-it.” Now we
still have “united” giving and many separate appeals, and there seem to be a
lot bunched together at toward years’s end. Oh well, at least some are
deductible.
Peace.
No comments:
Post a Comment
Comments which are degrading in any way will not be posted. Please use common sense and be polite.