Title
Proposing an amendment to Section 2-309 of the Philadelphia Home Rule Charter, relating to approval of leases and contracts to which the City is a party, and providing for the submission of the amendment of the electors of Philadelphia.
Body
WHEREAS, Under Section 6 of the First Class City Home Rule Act (53 P.S. §13106), an amendment to the Philadelphia Home Rule Charter may be proposed by a resolution of the Council of the City of Philadelphia adopted with the concurrence of two-thirds of its elected members; now therefore
RESOLVED, BY THE COUNCIL OF THE CITY OF PHILADELPHIA, That the following amendment to the Philadelphia Home Rule Charter is hereby proposed and shall be submitted to the electors of the City on an election date designated by ordinance:
ARTICLE II
LEGISLATIVE BRANCH
The Council ─ Its Election,
Organization, Powers and Duties
CHAPTER 3
LEGISLATION
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Section 2-309. Leases and Contracts [for More than One Year]
(1) The Council may by ordinance authorize the leasing of real estate for more than one year and the contracting for personal property to be supplied or for services to be rendered over a period of more than one year without making appropriations therefor beyond the current year. Such leases and contracts shall be valid and binding upon the City although no appropriations have been made for the ensuing years during which the leases and contracts are to be operative; but it shall be the duty of the Council to make subsequent appropriations from year to year to pay amounts coming due under such leases and contracts. The obligation of the City under such leases and contracts shall not be considered to be a part of the indebtedness of the City. For purposes of this Section, and Section 8-200(3) of this Charter, all of the following contracts and leases shall be deemed to have a term "for more than one year" and require approval by ordinance in order to be effective and binding on the City:
(a) Any contract or lease that contains a stated term in excess of one year;
(b) Any contract or lease that grants any party or parties thereto the option to extend the term of said contract or lease beyond one year;
(c) Any contract or lease that grants any party or parties thereto the option to renew said contract or lease for an additional term or terms such that the total of the original and any potential renewal terms exceeds one year; or
(d) Any contract or lease that provides that unless one or more parties to the contract give notice of non-extension or non-renewal, the term of the contract or lease will:
(.1) automatically be extended beyond one year or:
(.2) the contract or lease will automatically be renewed for an additional term or terms such that the total of the original and any potential renewal terms exceeds one y ear.
(2) No lease, contract or other agreement of any kind, except those awarded by the Procurement Department pursuant to Section 8-200 of this Charter, shall oblige the City to pay an amount in excess of one million dollars ($1,000,000) unless said agreement is formalized in a writing signed by all the parties thereto, and unless said agreement is specifically approved by ordinance.
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Explanation:
[Brackets] indicates matter deleted.
Italics indicate new matter added.
End