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        PRIOR PRINTER'S NOS. 2724, 2886               PRINTER'S NO. 2960

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 2104 Session of 1999


        INTRODUCED BY HABAY, REINARD, PETRONE, STURLA, STETLER, McGEEHAN
           AND HENNESSEY, DECEMBER 1, 1999

        AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES,
           FEBRUARY 9, 2000

                                     AN ACT

     1  Authorizing the Commonwealth and municipalities to take action
     2     to eradicate urban blight; and providing for liens and tax
     3     claim hardships.

     4                         TABLE OF CONTENTS
     5  Chapter 1.  General Provisions
     6  Section 101.  Short title.
     7  Section 102.  Legislative declaration.
     8  Section 103.  Definitions.
     9  Chapter 2.  Commonwealth Permit and License Denial
    10  Section 201.  Authority.
    11  Chapter 3.  Private Asset Attachment
    12  Section 301.  Authority.
    13  Chapter 4.  Statewide Computer Registry
    14  Section 401.  Short title of chapter.
    15  Section 402.  Legislative intent.
    16  Section 403.  Definitions.
    17  Section 404.  Property maintenance code violations registry.


     1  Section 405.  Property maintenance code violation reports.
     2  Section 406.  Dissemination of information by department.
     3  Section 407.  Expungement.
     4  Section 408.  Administrative requirements.
     5  Section 409.  Security requirements.
     6  Section 410.  Audit.
     7  Section 411.  Imposition of surcharge.
     8  Chapter 5.  Tax Claim Hardships
     9  Section 501.  Extension of period for discharge of tax claim.
    10  Section 502.  Extension for elderly.
    11  Section 503.  Default on payments.
    12  Section 504.  Hearing.
    13  Section 505.  Purchaser responsibility.
    14  Chapter 6.  Miscellaneous Provisions
    15  Section 601.  Effective date.
    16     The General Assembly of the Commonwealth of Pennsylvania
    17  hereby enacts as follows:
    18                             CHAPTER 1
    19                         GENERAL PROVISIONS
    20  Section 101.  Short title.
    21     This act shall be known and may be cited as the Pennsylvania
    22  Urban Blight Eradication Act.
    23  Section 102.  Legislative declaration.
    24     There exists urban blight in this Commonwealth.
    25  Section 103.  Definitions.
    26     The following words and phrases when used in this act shall
    27  have the meanings given to them in this section unless the
    28  context clearly indicates otherwise:
    29     "Serious violations."  Include housing, building, property
    30  maintenance or fire safety code violations that pose an
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     1  immediate threat to the health and safety of dwelling occupants
     2  or occupants in surrounding structures and passers by.
     3     "Substantial steps."  An affirmative action on the part of
     4  the property owner or managing agent as determined by the
     5  municipality to remedy code violations, involving physical
     6  improvements or preparations to the property.
     7                             CHAPTER 2
     8               COMMONWEALTH PERMIT AND LICENSE DENIAL
     9  Section 201.  Authority.
    10     (a)  Denial.--All departments, boards and commissions shall
    11  deny issuing to any applicant, any State permit, variance,
    12  license or State approval for contemplated action requiring such
    13  approval, if the applicant:
    14         (1)  owns any real property in any municipality in this
    15     Commonwealth which is delinquent in the payment of a real
    16     property tax levied by a political subdivision;
    17         (2)  owns any property in this Commonwealth that has been
    18     determined to be in serious violation of applicable State or
    19     municipal housing, building, property maintenance or fire
    20     safety code requirements, and has not taken substantial steps
    21     to bring the property into code compliance. All municipal
    22     variances, approvals, permits or licenses may be withheld
    23     until such time as the applicant satisfactorily demonstrates   <--
    24     that all real property owned by the applicant in this
    25     Commonwealth is not tax delinquent OBTAINS A CERTIFIED         <--
    26     CERTIFICATE DISPLAYING A SATISFACTORY ACCOUNT FROM EACH
    27     COUNTY IN WHICH THE APPLICANT OWNS PROPERTY, is in code
    28     compliance or that substantial steps have been taken to bring
    29     the property into code compliance; or
    30         (3)  any violation of any applicable State or municipal
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     1     housing, building, property maintenance or fire safety code
     2     requirements for which the property owner has taken no
     3     substantial steps to correct within six months following
     4     notification of the violation.
     5     (b)  Dissemination.--The Commonwealth is authorized to
     6  provide, upon request of a municipality or resident of this
     7  Commonwealth, a list of the names and addresses of any property
     8  owners with property maintenance code violations or tax
     9  delinquencies or both.
    10                             CHAPTER 3
    11                      PRIVATE ASSET ATTACHMENT
    12  Section 301.  Authority.
    13     In addition to the remedies contained in other statutes, a
    14  municipality may institute in personam actions or proceedings at
    15  law or in equity against the legal owner or owner of record of
    16  any building, housing or land in serious violation of any
    17  ordinance regarding building and housing codes. Any action
    18  against the owner of record shall be for an amount equal to any
    19  penalties and any amount expended by the municipality in abating
    20  the violation. An in personam action may also be initiated
    21  pursuant to this section for a continuing violation for which
    22  the legal owner of record takes no substantial steps as defined
    23  in section 102 to correct, within six months following
    24  notification of any violation.
    25                             CHAPTER 4
    26                    STATEWIDE COMPUTER REGISTRY
    27  Section 401.  Short title of chapter.
    28     This chapter shall be known and may be cited as the Property
    29  Maintenance Code Violations Registry Act.
    30  Section 402.  Legislative intent.
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     1     It is the intent of the General Assembly to eliminate the
     2  neighborhood blight caused by real property owners who fail to
     3  comply with municipal property maintenance codes. Neighborhood
     4  blight may be partially eliminated by giving the Commonwealth
     5  and municipalities access to information pertaining to the
     6  current property maintenance code violations of property owners
     7  applying for State and municipal permits. Access to this
     8  information can be facilitated by the creation of a Statewide
     9  central registry which contains a comprehensive listing of real
    10  property owners along with property violations for which the
    11  real property owner was convicted.
    12  Section 403.  Definitions.
    13     The following words and phrases when used in this chapter
    14  shall have the meanings given to them in this section unless the
    15  context clearly indicates otherwise:
    16     "Applicant."  Any owner of real property who applies for any
    17  State license or certification or municipal permit.
    18     "Commonwealth agency."  The Governor, departments, boards,
    19  agencies, commissions, authorities and other officers of the
    20  Commonwealth, including those subject to the policy supervision
    21  and control of the Governor. The term does not include any court
    22  or other officer or agency of the unified judicial system or the
    23  General Assembly or any of its officers and agencies.
    24     "Department."  The Department of Community and Economic
    25  Development of the Commonwealth.
    26     "License."  A permit granted by the Commonwealth or one of
    27  its agencies which gives permission to the applicant to
    28  participate in a certain activity or exercise a certain
    29  privilege.
    30     "Licensing" or "certification."  The issuance of a license or
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     1  the formal assertion in writing of some fact or qualification
     2  from the Commonwealth or one of its agencies.
     3     "Municipal permits."  Building permits, exceptions to zoning
     4  ordinances, occupancy permits and other privileges granted by a
     5  municipality.
     6     "Municipality."  A county, city, borough, incorporated town
     7  or township, including any home rule municipality.
     8     "Property maintenance code."  Any municipal ordinance which
     9  regulates the maintenance or development of real property. The
    10  term includes building codes, housing codes and public safety
    11  codes.
    12     "Property maintenance code violation."  A violation of a
    13  property maintenance code. For the purposes of this chapter, the
    14  term shall include any tax delinquency on any real property
    15  owned in any municipality in this Commonwealth.
    16  Section 404.  Property maintenance code violations registry.
    17     (a)  Establishment.--The department shall establish,
    18  implement and administer a property maintenance code violations
    19  registry.
    20     (b)  Composition.--The property maintenance code violations
    21  registry shall contain property maintenance code violation
    22  reports filed by municipalities under section 405.
    23  Section 405.  Property maintenance code violation reports.
    24     (a)  Municipalities to file.--Any municipality may file a
    25  property maintenance code violation report for any person who
    26  owns real property within that municipality with current
    27  property maintenance code violations that have gone unabated for
    28  90 days or more.
    29     (b)  Forms provided.--Property maintenance code violation
    30  reports shall be made on forms provided by the department or may
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     1  be made electronically.
     2     (c)  Information included.--Property maintenance code
     3  violation reports shall include the following information:
     4         (1)  The name of the convicted property maintenance code
     5     violator.
     6         (2)  The Social Security number of the violator.
     7         (3)  The legal description of the real property which is
     8     in violation of the municipal property maintenance code.
     9         (4)  A description of the condition of the real property
    10     which resulted in the property maintenance code violation.
    11         (5)  The date of the original property maintenance code
    12     violation.
    13         (6)  The amount of penalties owed or liens attached to
    14     the property with maintenance code violations.
    15         (7)  The municipality filing the report.
    16     (d)  Duties of municipality.--
    17         (1)  Any municipality that files a property maintenance
    18     code violation report shall follow the guidelines for
    19     expungement under section 407.
    20         (2)  Every municipality shall make available to the
    21     public a list of property owners that are in violation of
    22     building code provisions. The list shall include the
    23     addresses of the property owners.
    24  Section 406.  Dissemination of information by department.
    25     (a)  Requests by municipalities.--
    26         (1)  Municipalities may request a copy of any property
    27     maintenance code violation report on any pending applicant
    28     for any municipal permit by submitting a property maintenance
    29     code violation report request form to the department or
    30     making the request electronically.
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     1         (2)  The department shall disseminate all property
     2     maintenance code violation reports relating to the municipal
     3     permit applicant to the requesting municipality within two
     4     weeks of receipt of a property maintenance code violation
     5     report request from that municipality.
     6         (3)  The municipality shall notify the applicant in
     7     writing of the reasons for a decision which denies the
     8     applicant the municipal permit requested if that decision is
     9     based in whole or in part on information contained in the
    10     property maintenance code violations registry.
    11     (b)  Requests by Commonwealth.--
    12         (1)  Commonwealth agencies may request a copy of any
    13     property maintenance code violation report on any pending
    14     applicant for licensing or certification by submitting a
    15     property maintenance code violation report request form to
    16     the department or making the request electronically.
    17         (2)  The department shall disseminate all property
    18     maintenance code violation reports relating to the State
    19     license or certification applicant to a requesting State
    20     agency within two weeks of receipt of a property maintenance
    21     code violation report request from that Commonwealth agency.
    22         (3)  The Commonwealth agency shall notify the applicant
    23     in writing of the reasons for a decision which denies the
    24     licensing or certification requested by that applicant if
    25     that decision is based in whole or in part on information
    26     contained in the property maintenance code violations
    27     registry.
    28     (c)  Hearing.--If requested by the applicant, a hearing will
    29  be scheduled to appeal any decision made as a result of
    30  municipal property maintenance code violation convictions under
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     1  subsection (a)(3) or (b)(3). If the applicant can show cause why
     2  the municipal property maintenance code violation convictions
     3  should not be considered, the State or municipality shall
     4  reevaluate the applicant's request for State licenses or
     5  certifications respectively or municipal permits.
     6     (d)  Record of dissemination.--The department shall maintain
     7  a listing of Commonwealth agencies and all municipalities that
     8  requested information on a particular real property owner and
     9  the date on which the information was disseminated. This
    10  dissemination listing shall be maintained separately from the
    11  record.
    12     (e)  Dissemination fee.--There shall be no fee assessed for
    13  the dissemination of property maintenance code violations
    14  information.
    15  Section 407.  Expungement.
    16     Each municipality which filed a report with the department
    17  shall notify the department when the real property is brought
    18  into code compliance. The department shall include that
    19  information as part of the official record for that specific
    20  property and violator upon notification by the reporting
    21  municipality.
    22  Section 408.  Administrative requirements.
    23     (a)  Registry maintenance.--The department shall be
    24  responsible for the maintenance of the property maintenance code
    25  violations registry and shall promulgate regulations necessary
    26  for the establishment and operation of the property maintenance
    27  code violations registry.
    28     (b)  Forms.--The department shall develop property
    29  maintenance code violation report forms and property maintenance
    30  code violation report request forms as well as procedures to
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     1  obtain the information electronically.
     2     (c)  Quality control.--The department shall establish
     3  procedures, in compliance with regulations promulgated by the
     4  Attorney General, for the completeness and accuracy of
     5  information in the property maintenance code violations
     6  registry.
     7  Section 409.  Security requirements.
     8     The department shall ensure the confidentiality and security
     9  of the information contained in the property maintenance code
    10  violations registry by providing that:
    11         (1)  Procedures have been instituted to reasonably
    12     protect the property maintenance code violations registry
    13     from theft, fire, sabotage, flood, wind or other natural or
    14     manmade disasters.
    15         (2)  All personnel authorized to have access to property
    16     violation history record information are selected, supervised
    17     and trained accordingly.
    18  Section 410.  Audit.
    19     (a)  Audit required.--The Auditor General shall conduct
    20  annual performance audits of the property maintenance code
    21  violations registry.
    22     (b)  Access to records.--Persons conducting the audit shall
    23  be provided with access to all records, reports and listings
    24  required to conduct an audit of property maintenance code
    25  violations record information. All persons with access to such
    26  information or authorized to receive information shall cooperate
    27  with and provide information requested.
    28     (c)  Contents of audit.--The audit shall contain a report of
    29  any deficiencies and any recommendations for the correction of
    30  such deficiencies. The department shall respond to the audit
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     1  recommendations within a reasonable period of time unless the
     2  audit report is appealed to the Auditor General and the appeal
     3  is upheld.
     4     (d)  Modification of recommendations.--The Auditor General
     5  shall have the power to modify the corrective measures
     6  recommended by the audit upon appeal of the audit
     7  recommendations by the department.
     8  Section 411.  Imposition of surcharge.
     9     There is imposed on each individual convicted of a municipal
    10  property maintenance code violation a surcharge in the amount of
    11  $10 for each municipal property maintenance code violation
    12  resulting in a conviction. This surcharge shall be in addition
    13  to any other applicable fees or charges lawfully collected by
    14  the municipality and court. The municipality shall collect the
    15  surcharge and remit all funds to the department on a quarterly
    16  basis. Funds generated by the surcharge shall be used to finance
    17  the Statewide implementation of the property maintenance code
    18  violations registry.
    19                             CHAPTER 5
    20                        TAX CLAIM HARDSHIPS
    21  Section 501.  Extension of period for discharge of tax claim.
    22     A municipality shall retain a lien for the total amount of
    23  taxes owed on a property upon the entering of an equitable
    24  apportioned payment schedule with a municipal tax claim bureau.   <--
    25  Section 502.  Extension for elderly.
    26     A municipality shall retain a lien for the total amount of
    27  taxes owed on the property upon the entering of an equitable
    28  apportioned payment schedule with a municipal tax claim bureau.
    29  Section 503.  Default on payments.
    30     If an applicant defaults on any payment of an equitable
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     1  apportioned payment schedule the lien on the property shall be
     2  immediately satisfied by upset sale under Article VI of the act
     3  of July 7, 1947 (P.L.1368, No.542), known as the Real Estate Tax
     4  Sale Law.
     5  Section 504.  Hearing.
     6     If requested by the applicant, a hearing shall be scheduled
     7  to appeal any decision made as a result of the default of an
     8  equitable apportioned payment. Should the applicant provide
     9  sufficient reason for the default of the scheduled payment, the
    10  authorized extension shall be reevaluated and reinstated under
    11  this chapter.
    12  Section 505.  Purchaser responsibility.
    13     (a)  Purchaser's duties.--After the deed has been conveyed to
    14  the purchaser of the property at a sheriff's sale, if the
    15  property does not comply with municipal housing and building
    16  code standards, then it shall be the responsibility of the
    17  purchaser to:
    18         (1)  Commence the abatement of substandard conditions
    19     within 30 days of sale confirmation.
    20         (2)  Bring the property into full municipal housing and
    21     building code compliance within nine months of the sale
    22     confirmation.
    23     (b)  Municipal authority.--Municipalities shall be authorized
    24  to extend or reevaluate the time frames established in
    25  subsection (a) as deemed necessary.
    26     (c)  Appeal hearing.--If requested by the purchaser, a
    27  hearing shall be scheduled to appeal any decision made as a
    28  result of the failure to achieve code compliance under
    29  subsection (a). Should the purchaser provide sufficient reason
    30  for the failure to comply with the municipal housing and
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     1  building code, an authorized extension shall be granted by the
     2  municipality pursuant to subsection (b).
     3     (d)  Resale.--If the purchaser of the property fails to
     4  achieve full code compliance under subsection (a), upon petition
     5  of the municipality to the court of common pleas, the property
     6  shall be put up for sale as the court shall direct, and the
     7  purchaser shall receive the net proceeds from the resale of the
     8  property in question.
     9  SECTION 506.  REDUCTION IN COMMONWEALTH AGENCY LIENS.             <--
    10     (A)  REQUEST.--NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO
    11  THE CONTRARY, IF A COMMONWEALTH AGENCY HAS A LIEN AGAINST
    12  PROPERTY FOR AT LEAST THREE YEARS PRIOR TO AN UPSET SALE OF THE
    13  PROPERTY, THE PURCHASER AT THE UPSET SALE MAY SUBSEQUENTLY
    14  SUBMIT A REQUEST TO THE COMMONWEALTH AGENCY FOR A REASONABLE
    15  REDUCTION IN THE AMOUNT OF THE LIEN ON THE BASIS OF SPECIFIC
    16  PROPERTY IMPROVEMENTS THE PURCHASER INTENDS TO MAKE TO THE
    17  PROPERTY AND ANY STRUCTURES THEREON AND THE COMMONWEALTH AGENCY
    18  MAY GRANT THE REDUCTION IN ACCORDANCE WITH THE GUIDELINES
    19  ESTABLISHED UNDER SUBSECTION (B).
    20     (B)  ADMINISTRATION.--WITHIN SIX MONTHS OF THE EFFECTIVE DATE
    21  OF THIS ACT, THE DEPARTMENT OF GENERAL SERVICES SHALL ESTABLISH
    22  GUIDELINES FOR THE MEANS OF DETERMINING THE REDUCTIONS IN LIENS
    23  TO BE FOLLOWED BY ALL COMMONWEALTH AGENCIES, WHICH GUIDELINES
    24  SHALL AS A MINIMUM INCLUDE CRITERIA FOR THE REVIEW OF THE
    25  PROPOSED PROPERTY IMPROVEMENTS AND RESTRICT REDUCTIONS IN SUCH
    26  LIENS TO THOSE PURCHASERS WHO DID NOT CAUSE OR CONTRIBUTE TO THE
    27  IMPOSITION OF THE LIENS BY THE COMMONWEALTH AGENCY.
    28                             CHAPTER 6
    29                      MISCELLANEOUS PROVISIONS
    30  Section 601.  Effective date.
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     1     This act shall take effect in 60 days.




















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