PRINTER'S NO. 4789
No. 3009 Session of 2004
INTRODUCED BY TURZAI, MUSTIO AND T. STEVENSON, NOVEMBER 19, 2004
REFERRED TO COMMITTEE ON RULES, NOVEMBER 19, 2004
AN ACT 1 Amending the act of February 12, 2004 (P.L.73, No.11), entitled 2 "An act providing for intergovernmental cooperation in cities 3 of the second class; establishing an intergovernmental 4 authority; providing for financing, for bankruptcy and for 5 sovereign immunity; and making an appropriation," further 6 providing for limit on city borrowing; and providing for 7 applicability of other law. 8 The General Assembly of the Commonwealth of Pennsylvania 9 hereby enacts as follows: 10 Section 1. Section 208 of the act of February 12, 2004 11 (P.L.73, No.11), known as the Intergovernmental Cooperation 12 Authority Act for Cities of the Second Class, is amended to 13 read: 14 Section 208. Limit on city borrowing. 15 A city and its corporate entities may not borrow or receive 16 funds for any lawful purpose unless [the city has entered into 17 an intergovernmental cooperation agreement with the authority 18 and there is an approved financial plan in effect.] all of the 19 following requirements are met: 20 (1) The city has entered into an intergovernmental
1 cooperation agreement with the authority and there is an 2 approved financial plan in effect. 3 (2) Subject to the approval of the authority, the city 4 has entered into by January 1, 2006, a contract with a third 5 party which provides for the privatization and collection of 6 fees for sanitation services. 7 (3) Subject to the approval of the authority, the city 8 has entered into by January 1, 2006, a contract with a third 9 party which provides for the privatization of the functions 10 of emergency medical services. 11 (4) Subject to the approval of the authority, the city 12 has entered into by January 1, 2006, a contract with a third 13 party which provides for the privatization of towing pound 14 operations. 15 (5) Subject to the approval of the authority, the city 16 has provided for a reduction of at least $15,000,000 in costs 17 from fiscal year 2004 expenditures for the bureau of fire, 18 including operating costs, debt service, facilities, 19 miscellaneous services, utilities, fringe benefits and 20 pension costs. The reductions must begin in fiscal year 2006. 21 (6) Subject to the approval of the authority, the city 22 and its corporate entities have rendered defeasible all bonds 23 financed by funding directly or indirectly received from 24 taxes levied under the authorization of Article XXXI-B of the 25 act of July 28, 1953 (P.L.723, No.230), known as the Second 26 Class County Code, in order that such moneys shall be 27 deposited into the city's general fund, no later than January 28 1, 2007. 29 Section 2. The act is amended by adding a section to read: 30 Section 702.1. Applicability of Municipalities Financial 20040H3009B4789 - 2 -
1 Recovery Act. 2 An assisted city and its corporate entities are not subject 3 to the act of July 10, 1987 (P.L.246, No.47), known as the 4 Municipalities Financial Recovery Act. 5 Section 3. This act shall take effect in 120 days. K17L11BIL/20040H3009B4789 - 3 -