1Amending Title 53 (Municipalities Generally) of the Pennsylvania
2Consolidated Statutes, in municipal authorities, further
3providing for transfer of existing facilities to authority.

4The General Assembly of the Commonwealth of Pennsylvania
5hereby enacts as follows:

6Section 1. Section 5613(b) of Title 53 of the Pennsylvania
7Consolidated Statutes is amended to read:

8§ 5613. Transfer of existing facilities to authority.

9* * *

10(b) Acquisition.--

11(1) An authority may not acquire by any device or means,
12including a consolidation, merger, purchase or lease or
13through the purchase of stock, bonds or other securities,
14title to or possession or use of all or a substantial portion
15of any existing facilities constituting a project [as defined
16under this chapter] if the project is subject to the
17jurisdiction of the Pennsylvania Public Utility Commission
18without first reporting to and advising the municipality

1which created or which are members of the authority of the
2agreement to acquire, including all its terms and conditions.

3(2) The proposed action of the authority and the
4proposed agreement to acquire shall be approved by the
5governing body of the municipality which created or which are
6members of the authority and to which the report is made.
7Where there are one or two member municipalities of the
8authority, such approval shall be by two-thirds vote of all
9of the members of the governing body or of each of the
10governing bodies. If there are more than two member
11municipalities of the authority, approval shall be by
12majority vote of all the members of each governing body of
13two-thirds of the member municipalities.

14(3) An authority may not acquire by a device or means,
15including a consolidation, merger, purchase or lease or
16through the purchase of stock, bonds or other security, title
17to or possession or use of all or a substantial portion of a
18facility constituting a project, unless the authority has
19discussed the acquisition at a public meeting and the written
20minutes of the meeting contain details relating to the
21anticipated or projected public benefit that will be realized
22by the acquisition. For purposes of this paragraph, a public
23benefit may include rate reduction, improved service quality,
24improved service reliability or other clearly defined benefit
25to a ratepayer of the authority.

26* * *

27Section 2. The addition of 53 Pa.C.S. § 5613(b)(3) shall 
28apply to title to or possession or use of all or a substantial 
29portion of a facility constituting a project which is acquired 
30on or after the effective date of this section.

1Section 3. This act shall take effect in 60 days.