For Immediate Release
October 24, 2016
PA Treasury, Wolf Administration Save Taxpayers Money Using Competitive Bidding Process for Bond Counsel
Most Recent Deal Results in Record Low Fee
Harrisburg, PA – The Pennsylvania Treasury today announced it has selected McNees, Wallace & Nurick to provide bond counsel legal services following a competitive bidding process. The Commonwealth will pay a historically low $25,000 flat fee for legal services related to the issuance of General Obligation bonds (GO bond).
While Treasury is an independent state agency, it again chose to follow the Wolf administration’s policy of engaging legal services through competitive proposals. Last year, Treasury completed the first-ever competitive bidding process for bond counsel legal services and the resulting fees were 36 percent lower than the $116,250 paid when bond counsel was selected without a competitive process.
“Requiring a competitive bidding process for bond counsel is transparent, fair and cost effective. Treasury was the first state agency to competitively bid these services and it resulted in significant savings. That trend continued this time as the state will pay the lowest amount ever for bond counsel services.”
Pennsylvania Treasurer, Timothy Reese
"Using a competitive procurement process is more transparent, and I commend Treasurer Reese for voluntarily adopting my administration's policy. Together, we have saved taxpayers money and reformed what was an opaque process into one that is more efficient, ethical and open to the public."
Governor of Pennslyvania, Tom Wolf
Treasury led the process of soliciting and reviewing bids, joined by representatives from the Governor’s Budget Office and the Department of the Auditor General. The agencies evaluated proposals submitted from 11 different law firms.
The GO Bond is expected to be issued later this year and proceeds will be used to refinance existing debt, fund transportation projects and support various capital improvements.
PA Treasury: Scott Sloat, 717-783-4098, 717-695-1789 or firstname.lastname@example.org.
Governor Wolf Jeffrey Sheridan, 717-783-1116 or email@example.com
The Pennsylvania Treasury is an independent department of state government led by the state treasurer, who is elected every four years. The department's primary duty is to safeguard and manage the state's public funds. It invests state money to generate income on behalf of the citizens of Pennsylvania, reviews and processes payments for state government agencies, and serves as custodian of more than $100 billion in state funds. Key Treasury programs include Unclaimed Property, PA 529 College Savings Program and the Board of Finance and Revenue.