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PENNSYLVANIA CONSOLIDATED STATUTES
TITLE 74. TRANSPORTATION
PART II. PUBLIC TRANSPORTATION
CHAPTER 17. METROPOLITAN TRANSPORTATION AUTHORITIES
SUBCHAPTER C. POWERS AND DUTIES
Date:
08/31/2009
Document:
§ 1741. General powers
(a) POWERS ENUMERATED.-- An authority shall have and may exercise all powers necessary or convenient for the carrying out of the purposes of this chapter, including the following rights, powers and duties:
(1) To have perpetual existence.
(2) To sue and be sued, implead and be impleaded, complain and defend
in all courts, to petition the Interstate Commerce Commission or any
other Federal or State regulatory body or join in any proceeding before
any such bodies or courts in any matter affecting the operation of any
project of the authority.
(3) To adopt and use and alter at will a corporate seal.
(4) To establish a principal office within the county of the first
class and such other office or offices as may be necessary for the
carrying on of its duties.
(5) To make and from time to time to amend and repeal bylaws, rules,
regulations and resolutions.
(6) To conduct examinations and investigations and to hear testimony
and take proof, under oath or affirmation at public or private
hearings, as provided in this chapter, on any matter material to the
public purposes set forth in this chapter.
(7) To appoint officers, agents, employees and servants and to
prescribe their duties and fix their compensation, subject, however, to
specific provisions of this chapter. Members of the board, as well as
officers and employees of the authority, shall not be liable personally
on any obligations, including, but not limited to, bonds of the
authority.
(8) To enter into contracts of group insurance for the benefit of its
employees or to continue any existing insurance and/or pension or
retirement system and/or any other employee benefit arrangement
covering employees of an acquired existing transportation system,
and/or to set up a retirement or pension fund or any other employee
benefit arrangement for its employees.
(9) To procure such insurance, letters of credit, liquidity facilities,
guaranties and sureties containing such coverages, including, but not
limited to, contracts insuring or guaranteeing the timely payment in
full of principal of and interest on bonds of the authority, or
providing liquidity for purchase of bonds of the authority in such
amounts, from such insurers, sureties, guarantors or other persons, as
the authority may determine to be necessary or desirable for its
purposes.
(10) To self-insure or otherwise provide for the insurance of any
property or operations of the authority against any risks or hazards.
(11) To invest any funds held in reserve or sinking funds, or any funds
not required for immediate disbursement, as authorized by section 1761
(relating to management of funds).
(12) To acquire by purchase, gift or otherwise, hold, lease as lessee
and use any franchise, right or property, real, personal or mixed,
tangible or intangible, or any interest or right therein necessary,
desirable or useful for carrying out the purposes of the authority; to
sell, lease as lessor, transfer, dispose of or otherwise convey any
franchise, right or property, real, personal or mixed, tangible or
intangible, or any interest or right therein, at any time acquired by
it; or to exchange the same for other property or rights which are
useful for its purposes.
(13) To acquire by eminent domain any real or personal property,
including improvements, fixtures and franchises of any kind whatever,
for the public purposes set forth in this chapter in the manner
provided in this chapter.
(14) To acquire by purchase, lease or otherwise and to construct,
improve, maintain, repair and operate passenger transportation
facilities and a transportation system or systems or portions thereof,
and to pay all costs thereof, including, but not limited to, the costs
of all work and materials incidental thereto and all amounts necessary
to place any project into operation.
(15) To fix, alter, charge and collect fares, rates, rentals and other
charges for its facilities by zones or otherwise at reasonable rates to
be determined exclusively by it, subject to appeal, as provided in this
chapter, for the purpose of providing for the payment of all expenses
and obligations of the authority, including the acquisition,
construction, improvement, repair, maintenance and operation of its
facilities and properties, the maintenance and operation of a
transportation system, the payment of the principal and interest on its
obligations, and to comply fully with the terms and provisions of any
agreements made with the purchasers of bonds or obligees of the
authority. An authority shall determine by itself, exclusively, the
facilities to be operated by it, the services to be available and the
rates to be charged therefor. Public hearings shall be held prior to
such determinations when changes are proposed which would increase or
decrease fares, establish new routes, eliminate routes, change routes
or make substantial changes in the level of service scheduled.
However, public hearings need not be held for route changes, fares or
level of scheduled service in the case of temporary changes not
exceeding 90 days caused by emergencies; promotional fares or
services, or experimental services, adopted to increase revenue and
ridership, subject to board resolution; or special events in which the
authority participates as provided by board resolution. Notice of
public hearings shall be published in two newspapers of general
circulation and a publication specifically designed to reach minorities
not fewer than 30 calendar days prior to such hearing. Any person
aggrieved by any rate or service or change of service fixed by the
authority may bring an appeal against the authority for the purpose of
protesting against any such charge, service or change of service. The
grounds for the suits shall be restricted to a manifest and flagrant
abuse of discretion or an error of law; otherwise, all actions by the
authority shall be final. Upon the finding of an error of law or a
manifest and flagrant abuse of discretion, the court shall issue an
order setting forth the abuse or error and returning the matter to the
authority for such further action as shall be not inconsistent with the
findings of the court. No appeal from the action of the authority or
from the decision of the court of common pleas shall act as a
supersedeas, except when taken by the authority or, in other cases,
when specially granted after a finding that irreparable and
extraordinary harm will result. The courts shall give priority to all
appeals, and no bond shall be required of any party instituting such an
appeal under the provisions of this section.
(16) To fix rates, fares and charges in such manner that they shall be
at all times sufficient in the aggregate, and in conjunction with any
grants from Federal or other sources and any other income available to
the authority, to provide funds for the payment of all operating costs
and expenses which shall be incurred by the authority, for the payment
of the interest on and principal of all bonds payable from the revenues
and to meet all other charges upon such revenues as provided by any
trust agreement executed by the authority in connection with the
issuance of bonds.
(17) To enter into agreements with the United States Postal Service, or
any successor organization, for the transportation of mail and payment
of compensation to the authority in lieu of fares for the
transportation of letter carriers in uniform at all times. The board
may provide free transportation for firefighters in uniform and police
officers when in uniform or when not in uniform, upon presentation of
identification as police officers. The board may provide free
transportation for employees of the authority when in uniform or upon
presentation of identification as such employees, provide free
transportation to dependents of employees of the authority upon
presentation of identification as provided by the board and enter into
reciprocal arrangements to provide free transportation to employees and
dependents of employees of other transportation agencies.
(18) To borrow money from any person for the purpose of paying the
costs of any project or in anticipation of the receipt of income of the
authority and to evidence the same; make and issue bonds of the
authority; secure the payment of such bonds or any part thereof, by
pledge of or security interest, which may be a senior, parity or
subordinated pledge or security interest, in all or any of its
revenues, rentals, receipts and contract rights and all or any of its
moveable equipment and other tangible personal property; to secure the
payment of such bonds or any part thereof by a mortgage lien on real
property of the authority or any interest therein, provided, however,
that no such lien shall extend to real property of the authority
comprising rights of way, easements or any other interests in real
property used or useful for passage of transportation vehicles or
necessary for the safe and sound routing or control of transportation
vehicles; issue bonds on an unsecured basis; issue bonds on a limited
recourse or nonrecourse basis; issue bonds under a master trust
indenture; make agreements with the purchasers or holders of bonds or
with other obligees of the authority in connection with any bonds,
whether issued or to be issued, as the authority shall deem advisable,
which agreements shall constitute contracts with the purchasers or
obligees of the authority; obtain credit enhancement or liquidity
facilities in connection with any bonds as the authority shall
determine to be advantageous; and, in general, provide for the
security for the bonds and the rights of the obligees of the authority.
(19) To accept grants and to enter into contracts, leases, subleases,
licenses or other transactions with any person on such terms and for
such purposes as the authority shall deem proper.
(20) To negotiate and enter into arrangements, including futures
contracts, forward contracts and cap, collar, corridor, floor or
ceiling agreements, with respect to essential supplies and commodities
for an authority for the purpose of reducing the risk to the authority
of price fluctuations for the supplies and commodities.
(21) To make and execute all contracts and other instruments necessary
or convenient to the exercise of the powers of the authority, and any
contract or instrument when signed by the chairman or vice chairman and
secretary or assistant secretary or treasurer or assistant treasurer of
the authority shall be held to have been properly executed for and on
its behalf. Without limiting the generality of the foregoing, the
authority is also authorized to enter into contracts for the purchase,
lease, operation or management of transportation facilities within or
without the metropolitan area or within or without this Commonwealth.
Whenever the facilities are located outside the metropolitan area, they
shall be subject to the jurisdiction of the appropriate regulatory
agencies.
(22) To enter into contracts with government agencies and Federal
agencies on such terms as the authority shall deem proper for the use
of any facility or other real or personal property of the authority,
and fixing the amount to be paid therefor.
(23) To agree with the constituent municipalities in which it operates
for the lease of present and future municipal property, where such a
lease would be advantageous to the authority in the financing or the
operation of improved passenger transportation service.
(24) To explore alternative means of raising revenue or reducing
expenses, including, but not limited to, real estate leases and
rentals, equipment leases and rentals, contracting of services, the
solicitation of competitive bids and the awarding of contracts to the
highest responsive, responsible bidder for both interior and exterior
advertising on all authority equipment on which the public is charged a
fare for riding. However, on rail passenger units only bids for
interior advertising shall be solicited. Nothing in this chapter or in
any other law of this Commonwealth shall preclude the negotiation and
execution of contracts with respect to real estate-related matters in
accordance with and subject solely to the provisions of this paragraph.
The general manager may recommend in writing that the board make a
finding of special opportunity with respect to a real estate-related
matter. The board shall consider the general manager's recommendation
at a public meeting. The notice given in accordance with the act of
July 3, 1986 (P.L. 388, No. 84), known as the Sunshine Act, with
respect to such meeting shall state that the board will consider making
a finding of special opportunity at such meeting and shall describe the
nature of the proposed finding of special opportunity. Any finding of
special opportunity shall be approved by the board in accordance with
the provisions of section 1715 (relating to meetings, quorum, officers
and records). The board shall adopt, by resolution, a process under
which the authority shall enter into contracts needed to implement a
finding of special opportunity. The process adopted by the board shall
provide a method of prequalifying prospective contracting parties,
where appropriate; for the reasonable notification of prospective
contracting parties of the issuance of requests for proposals and the
reasonable opportunity for qualified prospective contracting parties to
submit proposals; for review of proposals from qualified prospective
contracting parties; for the negotiation of contracts with one or more
prospective contracting parties; for award of contracts on the basis
of evaluation of the characteristics of the proposals; and for giving
such weight to the various characteristics of any proposal as the board
shall determine is in the best interest of the authority. The
characteristics by which proposals may be evaluated under a finding of
special opportunity may include the likely complexity of the
transaction; the amount of investment any selected contracting party
will be required to make or offers to make in the real estate-related
matter; the experience and prior success of the proposed contracting
party in other similar dealings with the same type of real
estate-related matters or with the authority; the quality, feasibility
and potential for economic success of the proposal; any cost or
potential return to the authority; the economic reliability and
financial viability of the proposed contracting party; the
compatibility of the proposal with the authority's basic function as a
public transportation provider; the date by which the proposed
contracting party agrees to complete the real estate-related matter;
and other factors which the board shall specify. The authority shall
make available a copy of the process adopted by the board to any person
requesting a copy of the process. The general manager may make a
written recommendation to the board concerning the award of a contract
under a finding of special opportunity. The general manager's
recommendation shall include the identity of the prospective
contracting party or parties, the purpose of the contract, the
substance of the finding of special opportunity, the substance and term
of the proposed contract, the identities of any other prospective
contracting parties who submitted proposals and the criteria upon which
the general manager's recommendation was made and the reasons for
selecting the prospective contracting party. Upon the written
recommendation of the general manager, the board may award contracts
under this paragraph after approving the awarding of the contract by a
resolution adopted at a public meeting. The notice given in accordance
with the Sunshine Act with respect to such meeting shall state that the
board will consider awarding a contract under a finding of special
opportunity at such meeting and shall describe the subject matter of
such proposed contract. The authority shall by April 15 of each year
submit a report to the department. The report shall detail the actions
of the authority in exploring alternate means of raising revenue and
reducing expenses. The department shall review the report and issue
its findings and recommendations to the Appropriations Committee and
the Transportation Committee of the Senate and the Appropriations
Committee and the Transportation Committee of the House of
Representatives no later than 30 days after receipt of such report for
review and consideration of future funding by such committees. Where
any alternate means have been rejected, the authority shall demonstrate
that the feasibility and cost-effectiveness of that alternate means
have been considered. As used in this paragraph, "finding of special
opportunity" shall mean a written determination by the board that
exclusion of a real estate-related matter from bidding procedures, as
provided in this chapter or any other law, will be in the best interest
of the authority and will be compatible with the authority's basic
function as a public transportation provider, considering the nature of
the real estate-related matter with respect to which the authority
proposes to contract. Any finding of special opportunity shall include
the basis on which the finding of special opportunity is being made.
(25) To lease property or contract for service, including managerial
and operating service, whenever it can more efficiently and effectively
serve the public by so doing, rather than conducting its own operations
with its own property.
(26) To have the right to use any public road, street, way, highway,
bridge or tunnel for the operation of a transportation system within
the metropolitan area. In all cases involving the facilities of a
railroad, any operations of which extend beyond the metropolitan area,
the exercise of this right by the authority shall be subject to the
jurisdiction of the Pennsylvania Public Utility Commission under Title
66 (relating to public utilities) only to the extent that the
operations extend beyond the metropolitan area.
(27) To act as agent of any government agency or any Federal agency for
the public purposes set forth in this chapter.
(28) To make available to any government agency the recommendations of
the authority affecting any area in the authority's field of operation
or property therein, which it may deem likely to promote the public
health, morals, safety and welfare.
(29) To form plans for the improvement of mass transportation and the
operation of a transportation system in order to promote the economic
development of the metropolitan area in which the transportation
authority operates, to make recommendations concerning mass
transportation facilities which the authority does not own or operate,
to make recommendations concerning throughways and arterial highway
connections to the department and to other appropriate governmental
bodies and otherwise to cooperate with all such governmental bodies.
The authority shall give advance notice to the department of any plans
which it may have for the occupation or use of any part of any State
highway.
(30) To rehabilitate, reconstruct and extend as possible all portions
of any transportation system acquired by the authority and to maintain
at all times a fast, reliable and economical transportation system
suitable and adapted to the needs of the municipalities served by the
authority and for safe, comfortable and convenient service. To that
end, the board shall make every effort to utilize high-speed
rights-of-way, private or otherwise, to the maximum extent practicable
to avoid air pollution by its vehicles, to abandon no physical property
which the authority has determined retains continued usefulness to the
authority and to extend its rail and highway services into areas which
have sufficient need for them to economically or strategically justify
such extension.
(31) To adopt, consistent with the policies of this act and from time
to time amend a comprehensive transportation plan. A public hearing
shall be conducted prior to adoption or amendment. Notice of the
public hearing shall be published in two newspapers of general
circulation and a publication specifically designed to reach minorities
not fewer than 30 days prior to the hearing.
(32) To do all acts and things necessary for the promotion of its
business and the general welfare of the authority to carry out the
powers granted to it by this chapter or any other statute.
Notwithstanding any other provision of law, the board shall adopt
procedures and practices to implement the provisions of this chapter by
resolution of the board.
(b) PUBLIC HIGHWAYS.-- Private rights and property in the beds of existing public highways vacated in order to facilitate the purposes of the authority shall not be deemed destroyed or ousted by reason of the vacation, but shall be acquired or relocated by the authority in the same manner as other property.
(c) CERTAIN POWERS DENIED.-- The authority shall have no power, at any time or in any manner, to pledge the credit or taxing power of the Commonwealth or any other government agency, nor shall any of the authority's obligations be deemed to be obligations of the Commonwealth or of any other government agency, nor shall the Commonwealth or any government agency be liable for the payment of principal or interest on such obligations.
(d) NO POWER TO LEVY TAXES.-- The authority shall not have power to levy taxes for any purpose whatsoever.
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