PRINTER'S NO. 681
No. 615 Session of 2007
INTRODUCED BY W. KELLER, MARCH 6, 2007
REFERRED TO COMMITTEE ON URBAN AFFAIRS, MARCH 6, 2007
AN ACT 1 Amending the act of December 1, 2004 (P.L.1750, No.226), 2 entitled "An act providing for economic development districts 3 in cities of the first class; imposing penalties; and 4 conferring powers and duties on the Department of Community 5 and Economic Development and the Department of Revenue," 6 further providing for the First Class Cities Economic 7 Development District Program. 8 The General Assembly of the Commonwealth of Pennsylvania 9 hereby enacts as follows: 10 Section 1. Section 301 of the act of December 1, 2004 11 (P.L.1750, No.226), known as the First Class Cities Economic 12 Development District Act, is amended to read: 13 Section 301. Program. 14 (a) Establishment.--There is established within the 15 department a program to be known as the First Class Cities 16 Economic Development District Program. The program shall 17 encourage development of deteriorated property by providing the 18 tax exemptions, deductions, abatements or credits provided by 19 this act to persons who own interests in qualified pass-through 20 entities and to residents of and qualified businesses located in
1 economic development districts. 2 [(b) Proposal.--On or before July 15, 2005, the Governor 3 may, by executive order, propose the designation of deteriorated 4 property within cities of the first class as economic 5 development districts. The executive order shall specify the 6 period of time, not to extend beyond December 31, 2018, for 7 which the tax exemptions, deductions, abatements or credits 8 provided by this act may be granted. The department shall 9 immediately notify the owners of the deteriorated property and 10 the political subdivisions in which the deteriorated property is 11 located.] 12 (b.1) Proposal.-- 13 (1) On or before July 15, 2007, the Governor may, by 14 executive order, propose the designation of deteriorated 15 property within cities of the first class as economic 16 development districts. The executive order shall specify the 17 period of time, not to extend beyond December 31, 2020, for 18 which the tax exemptions, deductions, abatements or credits 19 provided by this act may be granted. The department shall 20 immediately notify the owners of the deteriorated property 21 and the political subdivisions in which the deteriorated 22 property is located. 23 (2) The land identified under Executive Order 2005-04 24 may not be the property proposed under paragraph (1). 25 (c) Application.--Upon receipt of a request from the owners 26 of deteriorated property notified under subsection [(b)] (b.1), 27 a city of the first class may apply to the department for 28 approval of the proposal to designate the deteriorated property 29 as an economic development district for the period specified 30 under subsection [(b)] (b.1). The application shall be on a form 20070H0615B0681 - 2 -
1 provided by the department and shall include a copy of an 2 ordinance, resolution or other required action from the 3 governing body of the city of the first class consistent with 4 the requirements of section 302. 5 (d) Designation.--If all political subdivisions within a 6 proposed economic development district submit timely, completed 7 applications, the department shall approve the applications and 8 designate the property identified pursuant to subsection (b.1) 9 as an economic development district. The State tax exemptions, 10 deductions, abatements or credits set forth in this act and the 11 local tax exemptions, deductions, abatements or credits set 12 forth in this act shall take effect on the date the property is 13 designated an economic development district. Qualified 14 businesses and persons who own interests in qualified pass- 15 through entities within the economic development district shall 16 be entitled to the State tax exemptions, deductions, abatements 17 or credits set forth in this act and the local tax exemptions, 18 deductions, abatements or credits set forth in this act for the 19 period for which the economic development district has been 20 designated. 21 (e) Limitation.--The aggregate amount of deteriorated 22 property proposed by the Governor under subsection [(b)] (b.1) 23 may not exceed 85 acres. 24 Section 2. This act shall take effect in 60 days. B21L11DMS/20070H0615B0681 - 3 -