§ 7512 — Law applicable to local organizations

(a) General rule.--Where the jurisdiction of the local organization is coterminous with the political subdivision making an appropriation for the payment of the expenses, the local organization shall be deemed an agency, board or commission of the political subdivision, subject to all of the laws governing the making of contracts or purchases, the employment of persons or otherwise incurring financial obligations which apply to the political subdivision.

(b) Second class townships.--No purchase or purchases shall be made, no contract entered into and no expenses incurred by any local organization which involves the payment of more than $25 out of the treasury of any second class township unless the proposed expenditure has been approved in writing by the township supervisors. If any purchase or contract is made or other expenses incurred contrary to the provisions of this subsection, the township shall not be responsible for the payment thereof but the person acting for the local organization in the transaction shall be personally liable for the payment.