1To promote the general welfare and stimulate the economy of the
2Commonwealth by requiring that all government agencies
3purchase only flags manufactured in the United States; and
4imposing a penalty.

5The General Assembly of the Commonwealth of Pennsylvania
6hereby enacts as follows:

7Section 1. Short title.

8This act shall be known and may be cited as the Flag
9Procurement Act.

10Section 2. Legislative findings and declaration.

11(1) It is hereby determined by the General Assembly
12that:

13(i) The production of flags provides jobs and family
14incomes for residents of this Commonwealth.

15(ii) It has, for many years, been the policy of the
16Commonwealth to aid and support the development and

1expansion of industry in this Commonwealth in order to
2foster the economic well-being of the Commonwealth and
3its people.

4(iii) The economy and general welfare of the
5Commonwealth and its people, as well as the economy and
6general welfare of the United States, are related to the
7preservation and development of the flag industry in this
8Commonwealth and in the other states of the United
9States.

10(2) The General Assembly declares it to be the policy of
11the Commonwealth and all government agencies should, at all
12times, aid and promote the development of the flag industry
13of the United States in order to stimulate and improve the
14economic well-being of the Commonwealth and its people.

15Section 3. Definitions.

16The following words and phrases when used in this act shall
17have the meanings given to them in this section unless the
18context clearly indicates otherwise:

19"Executive agency." The Governor and the departments,
20boards, commissions, authorities and other officers and agencies
21of the Commonwealth. The term does not include any court or
22other officer or agency of the unified judicial system, the
23General Assembly and its officers and agencies or any
24independent agency or State-affiliated entity.

25"Flag." Any of the following:

26(1) The flag of the United States, as defined in 4 
27U.S.C. § 1 (relating to flag; stripes and stars on) and the
28executive orders entered in connection with that section,
29made of fabric, cloth or paper displayed from a staff or
30flagpole or in a window. The term does not include a

1depiction or emblem of the United States flag made of lights,
2paint, roofing, siding, paving materials, flora or balloons
3or any other similar building, landscaping or decorative
4component.

5(2) The flag of the Commonwealth, as described in
6section 1 of the act of June 13, 1907 (P.L.560, No.373),
7entitled "An act designating the official flag of the
8Commonwealth of Pennsylvania, and describing the same;
9providing for the carrying of such flag by the regiments of
10the National Guard of Pennsylvania; authorizing the Secretary
11of the Commonwealth to provide, and have deposited in the
12office of Secretary of the Commonwealth, a model of said
13flag, and making an appropriation therefor."

14"Government agency." The General Assembly and its officers
15and agencies, an executive agency, an independent agency or a
16State-affiliated entity.

17"Independent agency." Boards, commissions and other agencies
18and officers of the Commonwealth that are not subject to the
19policy supervision and control of the Governor. The term does
20not include any State-affiliated entity, any court or other
21officer or agency of the unified judicial system, the General
22Assembly and its officers and agencies, any State-related
23institution, political subdivision or any local, regional or
24metropolitan transportation authority.

25"Procure." To acquire by purchase, lease or rent. The term
26does not include any rentals or leases where the term of the
27rental or lease is less than one month.

28"State-affiliated entity." A Commonwealth authority or a
29Commonwealth entity. The term includes the Pennsylvania Turnpike
30Commission, the Pennsylvania Housing Finance Agency, the

1Pennsylvania Municipal Retirement Board, the Pennsylvania
2Infrastructure Investment Authority, the State Public School
3Building Authority, the Pennsylvania Higher Educational
4Facilities Authority and the State System of Higher Education.
5The term does not include any court or other officer or agency
6of the unified judicial system, the General Assembly and its
7officers and agencies, any State-related institution, political
8subdivision or any local, regional or metropolitan
9transportation authority.

10"State-related institution." The Pennsylvania State
11University, the University of Pittsburgh, Lincoln University or
12Temple University.

13"United States." The United States of America and all
14territory, continental or insular, subject to the jurisdiction
15of the United States.

16Section 4. Police powers.

17This act shall be deemed to be an exercise of the police
18powers of the Commonwealth for the protection of the health,
19safety and general welfare of the people of this Commonwealth.

20Section 5. Contract provisions.

21(a) Flags to be manufactured in United States.--All
22government agencies shall procure only flags that are
23manufactured in the United States. A flag is manufactured in the
24United States if a substantial majority of the principal
25components are assembled into the final product in the United
26States. Contract documents for the procurement of flags shall
27contain a provision that the flags procured by the government
28agency shall be manufactured in the United States.

29(b) Exception.--This section shall not apply where the head
30of the government agency states in writing that it is

1inconsistent with the public interest or that the cost is
2unreasonable.

3Section 6. Payment under contract and recovery of payments.

4A government agency shall not authorize, provide for or make
5a payment to a person under a contract containing the provisions
6required by section 5 unless the government agency is satisfied
7that the person has complied with the provisions. If a 
8government agency determines that a person that supplied flags 
9to the agency violated section 5, the agency may recover from 
10the person any payment made by the government agency for the 
11flags.

12Section 7. Penalty.

13A person who willfully violates the provisions of this act
14may be prohibited by the government agency from participation in
15contracts awarded by the government agency for a period of five
16years from the date of the determination that a violation has
17occurred. This penalty may be in addition to the withholding or
18recovery of payments under section 6.

19Section 8. Applicability.

20This act shall apply to the procurement of flags or contracts
21for the procurement of flags entered into on or after the
22effective date of this act.

23Section 40. Repeals.

24All acts and parts of acts are repealed insofar as they are
25inconsistent with this act.

26Section 41. Effective date.

27This act shall take effect in 60 days.