THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY HORNAMAN, BARBIN, BELFANTI, BRADFORD, CALTAGIRONE, CARROLL, COHEN, D. COSTA, CUTLER, DAY, DeLUCA, DePASQUALE, FABRIZIO, FREEMAN, GEORGE, GERBER, HANNA, HARKINS, HENNESSEY, HOUGHTON, JOSEPHS, KESSLER, KORTZ, KOTIK, KULA, LEVDANSKY, LONGIETTI, McILVAINE SMITH, MIRABITO, MURPHY, MURT, M. O'BRIEN, PALLONE, PAYTON, ROSS, SAINATO, SAMUELSON, SANTARSIERO, SAYLOR, SEIP, SIPTROTH, K. SMITH, SOLOBAY, SWANGER, VITALI, VULAKOVICH, WANSACZ, YOUNGBLOOD AND YUDICHAK, NOVEMBER 23, 2009

REFERRED TO COMMITTEE ON ENVIRONMENTAL RESOURCES AND ENERGY, NOVEMBER 23, 2009  

AN ACT

Amending Titles 53 (Municipalities Generally) and 68 (Real and

Personal Property) of the Pennsylvania Consolidated Statutes,

providing for a temporary exemption for alternative energy

systems.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Title 53 of the Pennsylvania Consolidated

Statutes is amended by adding a chapter to read:

CHAPTER 88

TAX EXEMPTIONS

Sec.

8801.  Definitions.

8802.  Temporary exemption for alternative energy systems.

§ 8801.  Definitions.

The following words and phrases when used in this chapter

shall have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Alternative energy system."  An energy system which uses a

Tier I alternative energy source to deliver electricity.

"Tier I alternative energy source."  A source of energy

derived from any of the following:

(1)  Solar photovoltaic and solar thermal energy.

(2)  Wind power.

(3)  Low-impact hydropower.

(4)  Geothermal energy.

(5)  Biologically derived methane gas.

(6)  Fuel cells.

(7)  Biomass energy.

(8)  Coal mine methane.

§ 8802.  Temporary exemption for alternative energy systems.

(a)  Establishment.--An improvement to real property for an

alternative energy system and the assessed value of the

alternative energy system shall be exempt from all taxation by a

political subdivision for a period of ten years from the

completion of installation of the alternative energy system.

(b)  Other assessments.--The exemption under subsection (a)

shall supersede tax assessment and exemptions from taxation

under all of the following:

(1)  The act of June 23, 1931 (P.L.932, No.317), known as

The Third Class City Code.

(2)  The act of June 26, 1931 (P.L.1379, No.348),

referred to as the Third Class County Assessment Board Law.

(3)  The act of May 22, 1933 (P.L.853, No.155), known as

The General County Assessment Law.

(4)  The act of June 21, 1939 (P.L.626, No.294), referred

to as the Second Class County Assessment Law.

(5)  The act of June 27, 1939 (P.L. 1199, No. 404),

entitled "An act relating to the assessment of real and

personal property and other subjects of taxation in counties

of the first class; providing for the appointment of members

of the board of revision of taxes by the judges of the courts

of common pleas; providing for the appointment, by the board,

of personal property assessors, real estate assessors and

assistant real estate assessors, clerks and other employes;

fixing the salaries of members of the board, assessors and

assistant assessors, and providing for the payment of

salaries and expenses from the county treasury; prescribing

the powers and duties of the board and of the assessors, the

time and manner of making assessments, of the revision and

notice of assessments and of appeals therefrom; prescribing

the records of assessments; and repealing existing laws."

(6)  The act of May 21, 1943 (P.L.571, No.254), known as

The Fourth to Eighth Class and Selective County Assessment

Law.

(c)  Transfer.--

(1)  The exemption under subsection (a) shall run with

the property during the period of the exemption, regardless

of ownership or transfer of the property, so long as the

alternative energy system remains on the property.

(2)  A seller of a property which is subject to the

exemption under subsection (a) shall notify a buyer of the

time remaining in the ten-year exemption period under 68

Pa.C.S. § 7304 (b)(17) (relating to disclosure form).

Section 2.  Section 7304(b) of Title 68 is amended by adding

a paragraph to read:

§ 7304.  Disclosure form.

* * *

(b)  Contents of property disclosure statement.--The form of

property disclosure statement promulgated by the State Real

Estate Commission shall call for disclosures with respect to all

of the following subjects:

* * *

(17)  The extent of the availability of an exemption

under 53 Pa.C.S. § 8802 (relating to temporary exemption for

alternative energy systems).

Section 3.  The addition of 53 Pa.C.S. § 8802 shall apply to

improvements made on or after the effective date of this

section.

Section 4.  This act shall take effect in 60 days.