§ 17-1406. Sole Source Contracts, Emergencies, and Other Exceptions.
   (1)   Any provision of this Chapter may be waived if the Finance Director certifies in writing that compliance with such provision may lead to the loss of federal, state or similar grant funds, or if the City Solicitor certifies in writing that application of such provision would violate federal or state law.
   (2)   The provisions of subsections 17-1402(1)(a), (1)(c) and (1)(e)(.1), and the provisions of Section 17-1404, shall not apply with respect to contracts the Finance Director certifies in writing are for the purchase of unique articles or articles which for any other reason cannot be obtained in the open market, provided that this exception shall not apply to Professional Services Contracts. All other provisions of this Chapter shall apply to such contracts, except that the disclosures required by subsection 17-1402(1)(b) need not be filed until fourteen days after a contract is executed.
   (3)   The provisions of subsections 17-1402(1)(a) and (1)(c) shall not apply to a Non-Competitively Bid Contract if the Finance Director, or the Council President for contracts entered into by Council, certifies in writing that delay in the award of such contract would cause a material threat to public health or safety. All other provisions of this Chapter shall apply to such contracts, except that the disclosures required by subsection 17-1402(1)(b) need not be filed until fourteen days after a contract is executed.  148.1
   (4)   The provisions of subsections 17-1402(1)(a), (1)(c) and (1)(g) shall not apply to a Non-Competitively Bid Contract if the City Solicitor certifies in writing that such contract must be awarded immediately to avoid material damage to the legal interests of the City. All other provisions of this Chapter shall apply to such contracts, except that the disclosures required by subsection 17-1402(1)(b) need not be filed until fourteen days after a contract is executed.
   (5)   The provisions of subsections 17-1402(1)(a) and (1)(c) shall not apply to:  149
      (a)   Non-Competitively Bid Contracts in an amount less than that set forth in subsection 8-200(2) of the Home Rule Charter, as such amount is adjusted from time to time, provided that such contracts are awarded only after the contracting agency conducts a competitive process established by the Procurement Commissioner and designed to maximize competition without imposing an administrative burden more costly than appropriate given the size of the contract.
      (b)   Non-Competitively Bid Contracts in an amount less than the amount set forth in subsection 8-200(2.1)(a) of the Charter (relating to local business contracts), as such amount is adjusted from time to time, provided that:
         (.1)   The contract is awarded to a Local Business Entity (as that term is used in Section 17-109).
         (.2)   All applicants are required to submit, with their applications, all of the material required by Code subsection 17-109(5)(a) ("Award of City Contracts"), including, but not limited to, certification that the majority of the work will be performed, and inventory will be maintained, in the City.
         (.3)   Such contracts are awarded only after the contracting agency conducts a competitive process established by the Procurement Commissioner and designed to maximize competition without imposing an administrative burden more costly than appropriate given the size of the contract.
   (5.1)   The provisions of subsection 17-1402(1)(h) (relating to amendments) also shall not apply to contracts excepted under subsection (5), above (relating to small dollar value contracts), provided that no amendment shall increase the total amount owing under the contract to an amount that would have made the contract ineligible for the exception that was used pursuant to subsection (5). All other provisions of this Chapter shall apply to such contracts, except that the disclosures required by subsection 17-1402(1)(b) need not be filed until fourteen days after a contract is executed. 150
   (6)   The provisions of this Chapter shall not apply to a Non-Competitively Bid Contract with a governmental agency or with a not-for-profit corporation established by the City, or to Financial Assistance provided to such agencies or corporations, except that all such contracts and provisions of Financial Assistance shall be included in the reports required by Section 17-1403. 151
   (7)   All written certifications required under this Section shall set forth the basis for such certification, and shall be filed with the Department of Records.
   (8)   The provisions of subsections 17-1402(1)(a) and (1)(c) shall not apply to contracts with not-for-profit entities awarded by the Office of Housing and Community Development, the Department of Human Services, the Health Department, the Recreation Department, the Office of Emergency Shelter and Services, the Office of Behavioral Health and Intellectual Disability Services, the Office of Adult Services, the Mayor's Office of Community Services, the Philadelphia Prisons, the Commission on Disabilities, the Commission on Aging, or the Office of the District Attorney. All other provisions of this Chapter shall apply to such contracts, except that the disclosures required by subsection 17-1402(1)(b) need not be filed until fourteen days after a contract is executed. 152
   (9)   The provisions of this Chapter shall not apply to a Non-Competitively Bid Contract if the City Solicitor certifies that it is for a service the primary purpose of which is creative expression or entertainment, including public speakers, artists and musicians, except that all such contracts shall be included in the reports required under Section 17-1403. 153
   (10)   The provisions of this Chapter, other than the reporting requirements of Section 17-1403, shall not apply to a Non-Competitively Bid Contract for the services of a rating agency in connection with bond or similar financing; or for the purchase of liability insurance (City as named insured). 154
   (11)   The provisions of this Chapter shall not apply to a Non-Competitively Bid Contract awarded by the Law Department, the District Attorney's Office or counsel for a City-Related Agency, whether awarded directly or through outside counsel, for the procurement of an expert opinion for purposes of litigation, except that all such contracts shall be included in the reports required under Section 17-1403 except to the extent inclusion in a report would disclose privileged material or jeopardize the City's or the agency's litigation interests. 155
   (12)   The provisions of subsections 17-1402(1)(a), (b) and (c) but not (d) except subsections (d)(.1), (.2), and (.3) shall not apply to the following forms of renewal of a Non-Competitively Bid Contract: 156
      (a)   A renewal pursuant to an option to renew contained in a Non-Competitively Bid Contract.
      (b)   A renewal of a Non-Competitively Bid Contract, which contract contains an option to renew, so long as the City Solicitor certifies that the renewal is on substantially similar terms to those set forth in the contract prior to the renewal.
      (c)   A renewal of a Non-Competitively Bid Contract, so long as (i) the Director of Finance certifies that the City is working diligently pursuant to this Chapter to award a contract for similar services or materials and that the renewal is for no longer than necessary to complete such award; and (ii) the contracting agency certifies that the renewal will enable the City to continue to provide or receive important services or materials. A renewal pursuant to this subsection (c) should generally be for no longer than three months, and, absent a determination by the Director of Finance of extraordinary circumstances, shall be for no longer than six months.
      (d)   A renewal of a Non-Competitively Bid Contract, so long as (i) the City Solicitor certifies that the renewal is on substantially similar terms to those set forth in the contract prior to the renewal; and (ii) the Director of Finance certifies that the renewal is necessary to enable the other party to the contract to complete ongoing work on a discrete project and that changing the contractor prior to completion of the ongoing work would cause substantial hardship to the City. A renewal pursuant to this subsection (c) shall be for no longer than one year.

 

Notes

148.1
   Amended, Bill No. 200293 (approved July 13, 2020).
149
   Amended, Bill No. 190787 (approved December 30, 2019).
150
   Added, Bill No. 190787 (approved December 30, 2019).
151
   Amended, Bill No. 050613 (approved December 15, 2005). See note 135 for effective date provisions.
152
   Amended, Bill No. 130723 (approved January 20, 2014).
153
   Added, Bill No. 190786-AA (approved December 18, 2019), effective January 1, 2020.
154
   Added, Bill No. 190786-AA (approved December 18, 2019), effective January 1, 2020.
155
   Added, Bill No. 190786-AA (approved December 18, 2019), effective January 1, 2020.
156
   Added, Bill No. 190786-AA (approved December 18, 2019), effective January 1, 2020.