THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY M. O'BRIEN, W. KELLER, JOSEPHS, SCAVELLO AND YOUNGBLOOD, MARCH 23, 2009

REFERRED TO COMMITTEE ON URBAN AFFAIRS, MARCH 23, 2009  

AN ACT

Providing for the extension of certain permits and approvals

affecting the physical development of real property located

within cities of the first class.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Short title.

This act shall be known and may be cited as the Cities of the

First Class Real Property Development Permit Extension Act.

Section 2.  Legislative findings.

The General Assembly finds and declares as follows:

(1)  There exists a state of national recession, which

has drastically affected various segments of the

Commonwealth’s economy including, but not limited to, the

banking, real estate and construction sectors.

(2)  As a result of the crisis in the real estate finance

sector of the economy, real estate developers and

redevelopers, including homebuilders and commercial, office

and industrial developers, have experienced an industry-wide

decline, including reduced demand, canceled orders, declining

sales and rentals, price reductions, increased inventory,

fewer buyers who qualify to purchase homes, layoffs and

scaled-back growth plans.

(3)  The process of obtaining planning board and zoning

board approvals for subdivisions, site plans and variances

can be difficult, time consuming and expensive, both for

private applicants and government bodies.

(4)  Due to the current inability of builders and their

purchasers to obtain financing, under existing economic

conditions, more and more once-approved permits are expiring

or lapsing and, as these approvals lapse, lenders must

reappraise and thereafter substantially lower real estate

valuations established in conjunction with approved projects,

thereby requiring the reclassification of numerous loans,

which in turn, affects the stability of the banking system

and reduces the funds available for future lending, thus

creating more severe restrictions on credit and leading to a

vicious cycle of default.

(5)  As a result of the continued downturn of the economy

and the continued expiration of approvals which were granted

by the Commonwealth and cities of the first class, it is

possible that thousands of government actions will be undone

by the passage of time.

(6)  Obtaining an extension of a permit or an approval

under existing statutory or regulatory provisions can be both

costly in terms of time and financial resources and

insufficient to cope with the extent of the present financial

situation.

(7)  It is the purpose of this act to prevent the

wholesale abandonment of approved projects and activities due

to the present unfavorable economic conditions by tolling the

term of these approvals for a period of time, thereby

preventing a waste of public and private resources.

Section 3.  Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

(Reserved.)

Section 4.  Extension of certain permits and approvals.

(a)  General rule.--Except as provided in subsection (b), any

permit or approval issued by or for a city of the first class

under:

(1)  the act of June 1, 1945 (P.L.1242, No.428), known as

the State Highway Law;

(2)  the act of November 26, 1978 (P.L.1375, No.325),

known as the Dam Safety and Encroachments Act, specifically,

any permit issued under 25 Pa. Code § 105.99 (relating to

dams in subdivision developments);

(3)  section 5 of the act of June 22, 1937 (P.L.1987, No.

394), known as The Clean Streams Law;

(4)  the act of January 24, 1966 (1965 P.L.1535, No.

537), known as the Pennsylvania Sewage Facilities Act;

(5)  the act of October 4, 1978 (P.L.864, No.167), known

as the Storm Water Management Act; or

(6)  any ordinance of a city of the first class;

which expires after December 31, 2008, and before January 1,

2011, shall be extended for one full calendar year upon payment

of a fee to the issuing authority which shall be 50% of the

original permit fee, but in no circumstances more than $7,500.

(b) Exceptions.–-The provisions of subsection (a) shall not

apply to:

(1)  Any permit or approval issued under 4 Pa.C.S. Part

II (relating to gaming).

(2)  Any permit or approval issued for real property

located in or impacting any real property which is designated

as high quality or exceptional value watersheds or wetlands.

(3)  Any other permit or approval issued under any

Federal or State law or regulation.

Section 5.  Effective date.

This act shall take effect immediately.