PRINTER'S NO. 743

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 678 Session of 1991


        INTRODUCED BY WOZNIAK, PESCI, TIGUE, GEIST AND HALUSKA,
           MARCH 12, 1991

        REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, MARCH 12, 1991

                                     AN ACT

     1  Relating to and regulating local government boundary changes;
     2     and making repeals.

     3                         TABLE OF CONTENTS
     4  Chapter 1.  General Provisions
     5  Section 101.  Short title.
     6  Section 102.  Definitions.
     7  Section 103.  Interpretation.
     8  Section 104.  Applicability.
     9  Chapter 2.  Boundary Change Commission
    10  Section 201.  Boundary Change Commission.
    11  Section 202.  Conduct of business.
    12  Section 203.  Powers and duties.
    13  Section 204.  Criteria for granting approval of detachments of
    14                 territory.
    15  Section 205.  Findings of effect of detachment.
    16  Section 206.  Commission panels.
    17  Section 207.  Costs of commission.


     1  Chapter 3.  Annexation
     2     Subchapter A.  General Provisions
     3  Section 301.  Procedure for annexation.
     4     Subchapter B.  Petition to Commission
     5  Section 311.  Petition to commission.
     6  Section 312.  Notice of annexation proposal.
     7  Section 313.  Study and report of petition for annexation.
     8  Section 314.  Annexation of property of annexing municipality or
     9                 municipal authority created solely thereby.
    10     Subchapter C.  Action by Governing Bodies
    11  Section 321.  Transfer or exchange of territory by agreement of
    12                 adjacent municipalities.
    13  Section 322.  Content of ordinances.
    14  Section 323.  Responsibilities of annexing municipality
    15                 following annexation.
    16  Section 324.  Appeals.
    17     Subchapter D.  Initiative and Referendum
    18  Section 331.  Annexation by initiative and referendum.
    19  Section 332.  Distribution of annexed territory among wards.
    20  Section 333.  Adjustment of indebtedness, assets and liabilities
    21                 following annexation.
    22  Section 334.  Judicial adjustment on failure of agreement.
    23  Section 335.  Proceedings on judicial adjustment.
    24  Section 336.  Exceptions to report.
    25  Section 337.  Compensation and expenses of commissioners.
    26  Section 338.  Annexing municipality located in two or more
    27                 counties.
    28  Section 339.  Liquidation of indebtedness.
    29  Section 340.  Collection of taxes levied prior to annexation.
    30  Section 341.  Authorized expenditures.
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     1  Section 342.  Crossing county lines.
     2  Section 343.  Election districts and officers.
     3  Chapter 4.  Consolidation or Merger
     4  Section 401.  Procedure for consolidation or merger.
     5  Section 402.  Joint agreement of governing bodies.
     6  Section 403.  Initiative of electors.
     7  Section 404.  Initiation by petition to commission.
     8  Section 405.  Conduct of referenda.
     9  Section 406.  Consolidation or merger agreement.
    10  Section 407.  Effectuation of consolidation or merger.
    11  Section 408.  Effect of transition on employees of consolidated
    12                 or merged municipality.
    13  Section 409.  Procedures.
    14  Chapter 5.  Incorporation
    15  Section 501.  Procedure for incorporation.
    16  Section 502.  Petition for incorporation.
    17  Section 503.  Incorporation petition.
    18  Section 504.  Study and report on petition for incorporation.
    19  Section 505.  Incorporation election.
    20  Section 506.  Effectuation of incorporation.
    21  Section 507.  Assets, liabilities and indebtedness where entire
    22                 municipality incorporated as new municipality.
    23  Section 508.  Adjustment of assets, liabilities and indebtedness
    24                 where part of municipality becomes incorporated
    25                 municipality.
    26  Section 509.  Judicial adjustment on failure of agreement.
    27  Section 510.  Proceedings on judicial adjustment.
    28  Section 511.  Compensation and expenses of commissioners.
    29  Section 512.  Incorporating municipality located in two or more
    30                 counties.
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     1  Section 513.  Liquidation of indebtedness.
     2  Section 514.  Collection of taxes levied prior to incorporation.
     3  Section 515.  Crossing county lines.
     4  Section 516.  Election districts and officers.
     5  Chapter 6.  Repeals and Effective Date
     6  Section 601.  Repeals.
     7  Section 602.  Application to procedures previously initiated.
     8  Section 603.  Effective date.
     9     The General Assembly of the Commonwealth of Pennsylvania
    10  hereby enacts as follows:
    11                             CHAPTER 1
    12                         GENERAL PROVISIONS
    13  Section 101.  Short title.
    14     This act shall be known and may be cited as the Municipal
    15  Boundary Change Act.
    16  Section 102.  Definitions.
    17     The following words and phrases when used in this act shall
    18  have the meanings given to them in this section unless the
    19  context clearly indicates otherwise:
    20     "Annexation."  Any change in municipal boundaries resulting
    21  from the transfer of territory, comprising part of any
    22  municipality, to any other municipality.
    23     "Annexed municipality."  Any municipality from which
    24  territory shall be proposed to be annexed or attached to an
    25  annexing municipality under Chapter 2. The annexed municipality
    26  may be, but need not necessarily be, located in the same county
    27  as the annexing municipality.
    28     "Annexing municipality."  Any municipality to which territory
    29  shall be or shall be proposed to be annexed or attached. The
    30  annexing municipality may be, but need not necessarily be,
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     1  located in the same county as the annexed municipality.
     2     "Commission."  The Boundary Change Commission.
     3     "Consolidated or merged municipality."  A municipal entity
     4  resulting from successful consolidation or merger proceedings
     5  under Chapter 3.
     6     "Consolidation or merger."  The combination of two or more
     7  municipalities into one municipality.
     8     "Contiguous territory."  A territory or area of which a
     9  portion abuts the boundary of another municipality, including
    10  territory or area separated from the exact boundary of another
    11  municipality by a street, road, railroad or highway or by a
    12  river or other natural or artificial stream of water.
    13     "Department."  The Department of Community Affairs of the
    14  Commonwealth.
    15     "Detached municipality."  A municipality which would decrease
    16  in total territory or area as a result of annexation,
    17  incorporation or any other means by which territory or area can
    18  be transferred.
    19     "Detaching municipality."  A municipality which would
    20  increase in total territory or area as a result of annexation,
    21  incorporation or any other means by which territory or area can
    22  be transferred.
    23     "Detachment."  The transfer of territory or area by
    24  annexation, incorporation or other means from one municipality
    25  to another municipality.
    26     "Election officials."  The county boards of election, except
    27  in a city of the first class where "election officials" means
    28  the city board of elections.
    29     "Existing municipality."  A municipality from which territory
    30  or area is proposed to be annexed.
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     1     "Incorporation."  The creation of a new municipality from all
     2  or part of the territory or area of an existing municipality or
     3  municipalities.
     4     "Initiative."  As defined in sections 321 and 403, initiative
     5  shall mean the filing with applicable election officials of a
     6  petition containing a proposal for a referendum to be placed on
     7  the ballot of the next election. The petition shall be:
     8         (1)  Filed not later than the 13th Tuesday prior to the
     9     next election in which it will appear on the ballot.
    10         (2)  Signed by voters comprising 5% of the persons voting
    11     for the Office of Governor in the last gubernatorial general
    12     election in the municipality where the proposal will appear
    13     on the ballot.
    14         (3)  Placed on the ballot by election officials in a
    15     manner fairly representing the content of the petition for
    16     decision by referendum at said election.
    17         (4)  Submitted not more than once in five years.
    18     "Municipality."  Any city, borough, incorporated town,
    19  township of the first class, township of the second class, home
    20  rule municipality or any general purpose unit of government
    21  hereinafter created by the General Assembly. The term shall not
    22  include any county.
    23     "Referendum."  Placement of a question inserted on the
    24  ballot, by initiative or otherwise, by a majority vote of the
    25  electors voting thereon.
    26  Section 103.  Interpretation.
    27     (a)  Successive changes not affected.--Nothing in this act
    28  shall preclude, restrict or limit successive changes in
    29  boundaries and territorial limits of any municipality that would
    30  affect any specific territory.
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     1     (b)  Municipalities in more than one county.--When any
     2  boundary change shall be made under the provisions of this act
     3  which shall result in a municipality which lies partly in one
     4  county and partly in one or more other counties, the territory
     5  or area within such municipality shall, for county and
     6  institution district purposes, be and remain a part of the
     7  county in which such territory is physically located.
     8     (c)  School districts not affected.--Nothing in this act, and
     9  no action taken pursuant to this act, shall affect or apply to
    10  any school district or any school district boundary. Nothing in
    11  this act shall preclude further action from being taken under
    12  the provisions of the act of March 10, 1949 (P.L.30, No.14),
    13  known as the Public School Code of 1949, or other applicable
    14  provisions of the law to change school district boundaries or
    15  locations.
    16  Section 104.  Applicability.
    17     This act establishes the procedure for and shall apply to the
    18  change of boundaries of all municipalities.
    19                             CHAPTER 2
    20                     BOUNDARY CHANGE COMMISSION
    21  Section 201.  Boundary Change Commission.
    22     (a)  Composition.--The Boundary Change Commission is created
    23  and shall be composed of 11 members, three of whom are to be
    24  appointed by the Governor, two of whom are to be appointed by
    25  the President pro tempore of the Senate, two members appointed
    26  by the Minority Leader of the Senate, two members appointed by
    27  the Speaker of the House of Representatives and two members
    28  appointed by the Minority Leader of the House of
    29  Representatives. The members of the commission appointed by each
    30  of the appointing powers shall not be of the same political
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     1  party. Commission members shall not be members of the General
     2  Assembly. The chairman of the commission shall be elected by a
     3  majority vote of the commission members.
     4     (b)  Terms.--The commission members shall be appointed as to
     5  provide for staggered terms to begin on January 1, 1990, and
     6  each shall serve until his successor is qualified. Initially,
     7  the three members appointed by the Governor shall be appointed
     8  for a term of four years. The two members appointed by the
     9  President pro tempore of the Senate and the Speaker of the House
    10  of Representatives respectively shall be appointed for a term of
    11  three years. The two members appointed by the Minority Leaders
    12  of the Senate and the House of Representatives respectively
    13  shall be appointed for a term of two years. Thereafter, terms of
    14  each member of the commission shall be for a period of four
    15  years.
    16     (c)  Vacancies.--Vacancies shall be filled by the respective
    17  appointing power. The person appointed to fill such vacancy
    18  shall serve only for the remainder of the vacated term.
    19  Section 202.  Conduct of business.
    20     The commission shall meet quarterly in the city of
    21  Harrisburg, except as required for the conduct of public
    22  hearings within the territory or area proposed for boundary
    23  change actions. The commission shall promulgate rules and
    24  regulations and prescribe procedures necessary or desirable in
    25  carrying out the intent and purpose of this act, including forms
    26  of petitions for municipal boundary changes and the documents,
    27  maps and supporting statements deemed to be necessary, and
    28  establish rules for public hearings and for the submission of
    29  supplementary documents and statements. The commission is
    30  subject to the meeting requirements of the act of July 3, 1986
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     1  (P.L.388, No.84), known as the Sunshine Act. The commission
     2  shall keep a record of all proceedings and shall annually, by
     3  July 31, make a written report of its business and activities to
     4  the Governor, the General Assembly, the Governor's Office of
     5  Policy Development or its successor, the Department of
     6  Transportation, the Department of Community Affairs, the
     7  Department of Education, the State Tax Equalization Board, the
     8  Legislative Reapportionment Commission and the court of common
     9  pleas and the board of county commissioners of the county or
    10  counties in which municipalities affected are located.
    11  Section 203.  Powers and duties.
    12     The powers and duties of the commission are as follows:
    13         (1)  To make studies of proposed local boundary changes
    14     that are referred to it by ordinance of the governing bodies
    15     of municipalities contemplating a procedure for boundary
    16     change, or by a petition signed by at least 5% of the
    17     registered electors of a municipality directly affected by
    18     the proposed study and advise the municipalities thereon, or
    19     on its own initiative. The governing body of any municipality
    20     may at any time request the commission to make a study of any
    21     proposal for boundary changes affecting the municipality.
    22     Such request may also be made jointly by the governing bodies
    23     of all the municipalities directly affected by such a
    24     proposal.
    25         (2)  To undertake long-range studies of local boundary
    26     problems in Pennsylvania.
    27         (3)  To set up a system of State and local reporting and
    28     recording of local boundary changes, and of proposals
    29     relating to local boundary changes. No boundary change shall
    30     be considered final until official copies of all ordinances,
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     1     petitions and pertinent election returns and other official
     2     documents relating to local boundary changes are deposited
     3     with the commission and the applicable court of common pleas.
     4         (4)  To set standards such as population, areawide
     5     interests, homogeneity, and services which may be used as the
     6     basis for recommending State and local action relating to
     7     local boundary changes.
     8         (5)  To make studies of boundary change proposals, other
     9     than those effected through the process of initiative and
    10     referendum, which involve detachment of territory from a
    11     municipality.
    12         (6)  To determine the precedence of simultaneous local
    13     boundary change proceedings which affect the same territory.
    14         (7)  To receive recommendations for applicable boundary
    15     changes from a financial plan adopted by a distressed
    16     municipality pursuant to the act of July 10, 1987 (P.L.246,
    17     No.47), known as the Financially Distressed Municipalities
    18     Act.
    19  Section 204.  Criteria for granting approval of detachments of
    20                 territory.
    21     (a)  Consideration of criteria.--In determining whether a
    22  proposed detachment of territory requiring its approval shall
    23  receive such approval, the commission shall consider, but shall
    24  not be limited to, the following:
    25         (1)  The topography and other physical characteristics of
    26     the geographical area affected by the proposed detachment.
    27         (2)  The comprehensive plans that pertain to any
    28     municipality or territory affected by the proposed
    29     detachment.
    30         (3)  Service factors such as:
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     1             (i)  The need for additional municipal services in
     2         the territory proposed for detachment.
     3             (ii)  The ability and willingness of any detaching
     4         municipality to provide municipal services to any
     5         affected territory and the time period within which the
     6         residents of such territory shall receive such services.
     7             (iii)  The extent to which any affected municipality
     8         or territory is interdependent for municipal services
     9         with others that are affected by the proposed detachment.
    10         (4)  The ability of any detaching municipality to assume
    11     a share of the existing indebtedness and to purchase public
    12     property, as provided in sections 333 and 507.
    13         (5)  The extent to which there are mutual community
    14     interests in the territory proposed for annexation and in the
    15     annexing municipality.
    16     (b)  Mandatory denial.--If the only reason set forth in the
    17  annexation petition is the demand or promise of extension of
    18  municipal services and within a reasonable period of time, as
    19  established by the commission, the existing municipality
    20  provides such services, then the commission shall deny the
    21  petition for annexation.
    22  Section 205.  Findings of effect of detachment.
    23     If the commission shall determine that a proposed detachment
    24  shall seriously impair the ability of the remaining portion of
    25  the municipality from which territory is proposed for detachment
    26  to provide public services to its residents, the commission
    27  shall take one of the following actions:
    28         (1)  Direct that there be no further action on the
    29     original incorporation or annexation petition and initiate a
    30     referendum in the affected municipalities for incorporation
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     1     or consolidation of the entire area of the affected
     2     municipalities.
     3         (2)  Recommend approval of the original petition for
     4     annexation or incorporation with agreement that, before
     5     passage of the annexation ordinance or before submitting the
     6     question of incorporation to the electors of the
     7     municipalities or parts of municipalities affected,
     8     provisions shall be made for the remaining portion of the
     9     municipality from which territory is proposed to be detached
    10     to be either consolidated with or annexed to another
    11     contiguous municipality.
    12         (3)  Disapprove the original petition for detachment.
    13  Section 206.  Commission panels.
    14     (a)  Submission of proposed changes.--All proposed boundary
    15  changes shall be submitted to the commission. Notice of each
    16  proposal shall be forwarded to the chairman of the commission,
    17  who may then administratively assign the proposal to a panel
    18  composed of not more than seven and not less than three members
    19  of the commission who are not residents of the municipalities
    20  affected.
    21     (b)  Action by commission.--The commission panel so appointed
    22  or the commission as a whole will have the right to hold
    23  hearings, conduct investigations and solicit the advice of
    24  experts, citizens and officials involved. The panel will be
    25  entitled to call such citizens as are available and to hear from
    26  those persons within the panel's discretion.
    27     (c)  Remuneration of members.--The members of the panel and
    28  commission shall be paid $100 per diem and other actual expenses
    29  incurred when actually engaged in the performance of their
    30  duties.
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     1     (d)  Employment of personnel.--The commission or panel may
     2  employ the necessary administrative and clerical personnel or
     3  utilize available existing personnel from the department for the
     4  conduct of investigations, hearings and determinations. Any
     5  salaried persons who are loaned to the commission by the
     6  department will not be paid additional compensation except for
     7  actual expenses which are incurred while attending these
     8  functions, in which case they will be reimbursed.
     9  Section 207.  Costs of commission.
    10     The cost of the functions of the commission in each
    11  individual matter referred to it shall be equitably assessed by
    12  the commission which in turn shall, as soon as it is assigned,
    13  meet with the municipal officials involved and such other
    14  persons who may have been involved in the initiation of the
    15  question, after which the commission shall determine and advise
    16  them as to the assessment of costs that the municipalities will
    17  be expected to pay.
    18                             CHAPTER 3
    19                             ANNEXATION
    20                            SUBCHAPTER A
    21                         GENERAL PROVISIONS
    22  Section 301.  Procedure for annexation.
    23     Annexation of contiguous territory may be accomplished by one
    24  of the following methods:
    25         (1)  Petition to the commission, approval by the
    26     commission and adoption of an ordinance by the annexing
    27     municipality.
    28         (2)  Action of the governing bodies of the municipalities
    29     affected.
    30         (3)  Initiative and referendum.
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     1                            SUBCHAPTER B
     2                       PETITION TO COMMISSION
     3  Section 311.  Petition to commission.
     4     (a)  Initiation of action.--An annexation may be initiated by
     5  a petition signed by electors comprising at least 50% of the
     6  number of electors voting for the office of Governor in the last
     7  gubernatorial general election within the territory proposed for
     8  annexation, or by the freeholders who represent at least 50% of
     9  the assessed valuation of real property within the territory
    10  proposed for annexation, as certified by the board or boards of
    11  county commissioners. The petition must be submitted to the
    12  commission. A majority in interest of owners of undivided
    13  interests in any piece of property shall be deemed and treated
    14  as one person for the purpose of ascertaining the number of
    15  freeholders. The petition shall be accompanied by a resolution
    16  of intent to annex the territory in question from the governing
    17  body of the municipality to which the territory is proposed to
    18  be annexed. Once the circulation of a petition has begun, the
    19  petition shall be submitted to the commission within seven
    20  weeks. Failure to do so within that prescribed time limit will
    21  invalidate such petition. Presentation of a receipt indicating
    22  that the petition was mailed by registered or certified mail on
    23  or before the deadline date shall be evidence of timely filing.
    24     (b)  Form and contents of petition.--The petition for
    25  annexation to be submitted to the commission shall be in such
    26  form and shall contain such information as the commission may
    27  require.
    28     (c)  Contents of resolution.--The resolution of intent to
    29  annex shall include the following information:
    30         (1)  A statement that the municipality is willing to
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     1     annex the territory described in the petition.
     2         (2)  A statement setting forth the plans of the
     3     municipality for extending to the territory proposed for
     4     annexation the municipal services performed within the
     5     annexing municipality at the time of annexation.
     6     Specifically, such plans shall:
     7             (i)  Conform to the standards of service as
     8         determined by the commission.
     9             (ii)  Provide for extending or improving such
    10         services to the territory proposed for annexation on the
    11         effective date of annexation on substantially the same
    12         basis and in the same manner as such services are
    13         provided within the rest of the annexing municipality
    14         prior to annexation.
    15             (iii)  Provide for extension or improvement of such
    16         services into the territory proposed for annexation, so
    17         that when such services are extended or improved, persons
    18         in the territory proposed for annexation will be able to
    19         secure such services, according to the policies in effect
    20         in the annexing municipality for extending such services
    21         to individual persons, lots or subdivisions.
    22             (iv)  Set forth a proposed timetable which provides
    23         for the extension or improvement of such services as soon
    24         as possible following the effective date of annexation.
    25             (v)  Set forth a method under which the annexing
    26         municipality plans to finance extension or improvement of
    27         such services into the territory proposed for annexation.
    28         (3)  A statement specifying a place or places within any
    29     annexing municipality affected by the proposed annexation
    30     where copies of the petition and the resolution of intent can
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     1     be examined by interested individuals and public officials
     2     for a period of at least 30 days following submission of the
     3     petition to the commission.
     4  Section 312.  Notice of annexation proposal.
     5     Within ten days after receipt of the petition, the commission
     6  shall notify by certified mail the governing bodies of each
     7  municipality affected, including the commissioners of each
     8  county in which territory proposed for annexation is located.
     9  Section 313.  Study and report of petition for annexation.
    10     The commission shall make a study of the petition for
    11  annexation and shall submit its recommendations, within six
    12  months after receipt of the petition, to the governing bodies of
    13  the municipalities affected and the board or boards of county
    14  commissioners of the territory affected by the proposed
    15  annexation and by public notice in a newspaper of general
    16  circulation in the affected area or areas that the
    17  recommendations are available to any person on written request.
    18  If the commission approves the proposed annexation, the annexing
    19  municipality may complete the annexation by the passage of an
    20  ordinance.
    21  Section 314.  Annexation of property of annexing municipality or
    22                 municipal authority created solely thereby.
    23     Any municipality may annex by ordinance any land contiguous
    24  thereto and owned by the annexing municipality or by a municipal
    25  authority created solely by the annexing municipality. No
    26  petition from freeholders or residents of the annexed area shall
    27  be necessary to initiate the annexation procedure.
    28                            SUBCHAPTER C
    29                     ACTION BY GOVERNING BODIES
    30  Section 321.  Transfer or exchange of territory by agreement of
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     1                 adjacent municipalities.
     2     Whenever the governing bodies of two adjacent municipalities
     3  shall agree that it is to the best interest of each municipality
     4  or that the convenience of the inhabitants thereof would best be
     5  served thereby, territory or area may be transferred from one of
     6  such adjacent municipalities to the other, or territory or area
     7  may be exchanged between such two adjacent municipalities, upon
     8  enactment of an ordinance to that effect by each of the two
     9  municipalities, and change in the boundaries and territorial
    10  limits of the said municipalities shall be affected thereby. No
    11  petition from freeholders or residents shall be necessary to
    12  initiate such transfer or exchange.
    13  Section 322.  Content of ordinances.
    14     Every ordinance providing for annexation pursuant to this act
    15  shall set forth a description of the territory or area to be
    16  annexed and shall contain or have attached thereto a plot
    17  showing the courses and distances of the boundaries of the
    18  annexing municipality before and after the proposed change in
    19  the boundaries or territorial limits thereof.
    20  Section 323.  Responsibilities of annexing municipality
    21                 following annexation.
    22     Within 30 days after final enactment of any ordinance
    23  effecting an annexation pursuant to this act, the governing body
    24  of the annexing municipality shall perform all of the following
    25  acts:
    26         (1)  Assign a distinctive designation to the annexed
    27     territory or area, for use in referring thereto.
    28         (2)  File with the court of common pleas of the county a
    29     certified copy of the ordinance by which the change was
    30     effected, together with a plot showing the courses and
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     1     distances of the boundaries of the annexing municipality
     2     before and after the change and clearly indicating the
     3     designation, as mentioned in paragraph (1), by which the
     4     annexed area is to be known. If the territory or area annexed
     5     and the annexing municipality are located in different
     6     counties, such documents and information shall be filed with
     7     the prothonotary of each of the counties. The change in
     8     boundaries shall take effect 30 days after the date on which
     9     such documents are filed in the county in which the annexing
    10     municipality or the larger portion of the territory of the
    11     annexing municipality is located, unless:
    12             (i)  That date is within 90 days prior to any
    13         general, municipal or primary election, in which case the
    14         change shall take effect as of the day following the
    15         election.
    16             (ii)  An appeal is taken before the end of such 30-
    17         day period, in which case such appeal shall act as a
    18         supersedeas and such change shall take effect immediately
    19         upon final determination and approval of such ordinance
    20         by the court of common pleas.
    21         (3)  Give notice to the county board of elections of the
    22     filing with the court of common pleas of the documents
    23     mentioned in paragraph (2).
    24         (4)  File with the commission, the Legislative
    25     Reapportionment Commission, Governor's Office of Policy
    26     Development or its successor, the State Tax Equalization
    27     Board, the Department of Community Affairs, the Department of
    28     Education, the Department of Transportation and the court of
    29     common pleas and the board of county commissioners of the
    30     county or counties in which the municipalities affected are
    19910H0678B0743                 - 18 -

     1     located a final report of the annexation. The final report
     2     shall set forth:
     3             (i)  The name of the annexing municipality.
     4             (ii)  The area of the annexed territory in acres.
     5             (iii)  The total assessed valuation of the annexed
     6         territory.
     7             (iv)  The approximate population of the annexed
     8         territory.
     9             (v)  The designation, as mentioned in paragraph (1),
    10         by which the annexed area is to be known.
    11  Section 324.  Appeals.
    12     Within 30 days after the date of filing of any ordinance
    13  effecting an annexation pursuant to this act, any freeholder of
    14  the annexing municipality or of the municipality within which
    15  the proposed territory to be annexed is located may appeal from
    16  the ordinance to the court of common pleas of the county in
    17  which the annexing municipality or the greater portion of the
    18  territory of the annexing municipality is located. This appeal
    19  shall be the exclusive method of appeal. The appeal shall be
    20  taken by petition to the court of common pleas of the county in
    21  which the annexing municipality is located and, in the case of
    22  any annexing municipality located in more than one county, to
    23  the court of common pleas of the county in which the greater
    24  portion of the territory of the annexing municipality is
    25  located. The appeal shall act as a supersedeas. When an appeal
    26  is taken, the court shall fix a day for the hearing and shall
    27  give notice of the hearing to all parties interested, in such
    28  manner as the court shall direct. After the hearing, the court
    29  shall determine whether the proceedings are in conformity with
    30  this act and shall make an order or decree dismissing the appeal
    19910H0678B0743                 - 19 -

     1  and approving the annexation or sustaining the appeal and
     2  dismissing the annexation. From any final order or decree, any
     3  party in interest, aggrieved by the order or decree, may appeal
     4  to the Commonwealth Court. Upon final determination and approval
     5  of the ordinance by the court of common pleas or by the
     6  Commonwealth Court, the annexation shall take effect
     7  immediately.
     8                            SUBCHAPTER D
     9                     INITIATIVE AND REFERENDUM
    10  Section 331.  Annexation by initiative and referendum.
    11     (a)  General rule.--As an alternative to annexation by the
    12  other procedures set forth in this act, annexation by initiative
    13  and referendum, as governed by this section, may be effected in
    14  any municipality without the approval of any governing body and
    15  without enactment of any ordinance.
    16     (b)  Initiation of referendum.--The referendum shall be
    17  initiated by:
    18         (1)  Filing with the county board of elections of the
    19     county in which the territory proposed to be annexed is
    20     located, on or before the 13th Tuesday before the next
    21     primary, municipal or general election, a petition for
    22     referendum signed by electors comprising 5% of the number of
    23     electors voting for the office of Governor in the last
    24     gubernatorial general election in the municipality within
    25     which the proposed territory to be annexed is located.
    26         (2)  Filing with the county board of elections of the
    27     county in which the annexing municipality, or the greater
    28     portion of the territory thereof, is located, on or before
    29     the 13th Tuesday before the next primary, municipal or
    30     general election, a petition for referendum signed by
    19910H0678B0743                 - 20 -

     1     electors comprising 5% of the number of electors voting for
     2     the office of Governor in the last gubernatorial general
     3     election in the annexing municipality.
     4     (c)  Contents of petition.--The petition and proceedings
     5  therein shall be in the manner and subject to the provisions of
     6  the election law which relate to the signing, filing and
     7  adjudication of nomination petitions insofar as such provisions
     8  are applicable, except that no referendum petition shall be
     9  signed or circulated prior to the 20th Tuesday before the
    10  election, nor later than the 13th Tuesday before the election.
    11     (d)  Review.--When the applicable election officials find
    12  that the petition, as submitted, is in proper order, they shall
    13  send copies of the initiative petition without the signatures to
    14  the governing bodies of both the annexing municipality and the
    15  municipality within which the proposed territory to be annexed
    16  is located and to the commission.
    17     (e)  Ballot placement.--The applicable election official
    18  shall place the proposal for such annexation on the ballot in
    19  both the annexing municipality and the municipality within which
    20  the proposed territory to be annexed is located in a manner
    21  fairly representing the content of the petition for decision by
    22  referendum at the next primary, municipal or general election,
    23  occurring not less than the 13th Tuesday after the filing of
    24  such petition.
    25     (f)  Election returns.--If there shall be a favorable vote in
    26  such referendum in both the annexing municipality and the
    27  municipality within which the proposed territory to be annexed
    28  is located, the annexation shall become effective upon
    29  certification by the county board of elections of the county or
    30  counties involved in the vote. If the vote shall fail in either
    19910H0678B0743                 - 21 -

     1  the annexing municipality, the municipality in which the
     2  territory or area is to be annexed, or both, the question of
     3  annexation described in the annexation proposal shall not be
     4  voted on again for a period of five years.
     5  Section 332.  Distribution of annexed territory among wards.
     6     (a)  Municipalities where governing body members not elected
     7  at large.--In the case of an annexing municipality with a
     8  governing body not elected entirely at large, the governing body
     9  of the annexing municipality shall, within 30 days after the
    10  effective date of the annexation, petition the court of common
    11  pleas of the county in which the annexed territory is located
    12  requesting:
    13         (1)  The assignment of the annexed territory to one or
    14     more designated wards of the annexing municipality.
    15         (2)  The distribution of the annexed territory among the
    16     wards of the annexing municipality.
    17         (3)  The creation of one or more new wards out of the
    18     annexed territory.
    19  The court shall make the necessary decree which shall include
    20  establishing or changing election districts to conform to new
    21  ward lines and shall furnish a copy of the decree to the
    22  governing body of the annexing municipality, the county board of
    23  elections of the county in which the annexing municipality is
    24  located, the county board of elections of the county in which
    25  the annexed territory is located, the school district in which
    26  the ward or wards are located, the Secretary of the
    27  Commonwealth, the Secretary of Community Affairs and the
    28  Legislative Reapportionment Committee.
    29     (b)  New wards created.--In case one or more new wards is
    30  created in the annexing municipality, the decree of the court
    19910H0678B0743                 - 22 -

     1  shall state the number by which each new ward is to be
     2  designated and shall contain a plan and schedule for the
     3  appointment or election of the first members of the governing
     4  body of the annexing municipality from each of the new wards so
     5  that, either immediately or after a transitional period, the
     6  election and tenure of the members of the governing body from
     7  the new odd-numbered wards and the new even-numbered wards, as
     8  the case may be, shall conform to those of the existing odd-
     9  numbered wards and even-numbered wards in the annexing
    10  municipality.
    11  Section 333.  Adjustment of indebtedness, assets and liabilities
    12                 following annexation.
    13     (a)  Adjustment.--Following any annexation of territory, the
    14  governing body of the annexing municipality and the governing
    15  body of the municipality from which the territory was annexed
    16  shall make a proper adjustment and apportionment between them of
    17  all indebtedness, assets and liabilities of the annexed
    18  municipality at the time of the annexation. The adjustment and
    19  apportionment shall provide that the annexing municipality and
    20  the municipality from which the territory or area was annexed
    21  shall be entitled to share in a division of the assets,
    22  liabilities and indebtedness in the proportion that the assessed
    23  valuation, as determined by the county board for the assessment
    24  and revision of taxes, of the annexed portion of the
    25  municipality from which the territory or area was annexed bears
    26  to the assessed valuation of the entire municipality from which
    27  the territory was annexed immediately prior to the annexation.
    28     (b)  Assumption by annexing municipality.--Where indebtedness
    29  was incurred by the municipality from which the territory or
    30  area was annexed for an improvement located wholly within the
    19910H0678B0743                 - 23 -

     1  limits of the territory or area annexed, that indebtedness shall
     2  be assumed by the annexing municipality and where any part of an
     3  improvement is located within the limits of the annexed
     4  territory or area, the part of the indebtedness representing
     5  that part of the improvement shall be assumed by the annexing
     6  municipality; and the adjustment and apportionment of any
     7  remaining indebtedness of the municipality from which the
     8  territory or area was annexed shall be made as provided in this
     9  subsection.
    10     (c)  Written document.--The adjustment and apportionment of
    11  assets, liabilities and indebtedness shall be reduced to
    12  writing, shall be executed and acknowledged by the clerk or
    13  secretary of the annexing municipality and shall be filed with
    14  the prothonotary of the county or counties in which any
    15  municipality affected is located and a copy shall be filed with
    16  the department.
    17  Section 334.  Judicial adjustment on failure of agreement.
    18     When the governing bodies of the municipalities affected
    19  cannot, within six months after the annexation becomes
    20  effective, arrive at the adjustment and apportionment of
    21  indebtedness, assets and liabilities, as required by section
    22  333, the governing body, a citizen, or a property owner of any
    23  of the municipalities affected may appeal to the court of common
    24  pleas of the county in which the annexing municipality, or the
    25  greater portion of its territory or area, is located. The court
    26  shall then appoint three disinterested commissioners who shall
    27  be residents and taxpayers of the county and who shall not be
    28  residents or owners of real estate in the municipalities
    29  affected. Those commissioners, after hearing, notice of which
    30  shall be given to the municipalities affected as directed by the
    19910H0678B0743                 - 24 -

     1  court, shall proceed to make the apportionment and adjustment
     2  and shall report to the court, stating the amount, if any, that
     3  shall be due and payable from one municipality affected to
     4  another, as well as the amount of indebtedness, if any, that
     5  shall be assumed by the municipality affected, or both.
     6  Section 335.  Proceedings on judicial adjustment.
     7     The commissioners appointed under the terms of section 334
     8  shall give the affected municipalities at least five days'
     9  notice of the filing of their report. Unless exceptions to the
    10  report are filed within 30 days after the date when it was
    11  filed, the report shall be confirmed absolutely by the court.
    12  Any sum awarded by the report to any municipality shall be a
    13  legal and valid claim in its favor against the other
    14  municipality. Any real or personal property awarded to any
    15  municipality shall become its property. Any claim of
    16  indebtedness charged against a municipality may be collected
    17  from that municipality by its creditors.
    18  Section 336.  Exceptions to report.
    19     In case exceptions are filed to the report of the
    20  commissioners appointed pursuant to section 334, the court shall
    21  dispose of the same, taking testimony if deemed advisable. The
    22  court shall enter its decree confirming or modifying the report
    23  of the commissioners, as to the court appears just and proper.
    24  The decision of the court shall be final unless an appeal is
    25  taken to the Commonwealth Court as provided by law.
    26  Section 337.  Compensation and expenses of commissioners.
    27     The court-appointed commissioners shall be allowed such
    28  compensation and expenses for their services as the court shall
    29  fix. The costs of the proceedings, including the compensation
    30  and expenses of the commissioners, shall be apportioned among
    19910H0678B0743                 - 25 -

     1  the municipalities involved as the court deems proper and
     2  equitable.
     3  Section 338.  Annexing municipality located in two or more
     4                 counties.
     5     In case the territory or area of an annexing municipality is
     6  located in two or more counties, the court of common pleas of
     7  the county in which the greater portion of the territory or area
     8  of the annexing municipality is located shall have exclusive
     9  jurisdiction over the proceedings to determine the cost of
    10  certain improvements in the annexed territory or area and to
    11  adjust and apportion the indebtedness among the municipalities
    12  affected.
    13  Section 339.  Liquidation of indebtedness.
    14     (a)  Court orders.--The court shall make all necessary orders
    15  for the collection by any municipality affected and payment by
    16  it to any other municipality affected of its share of any
    17  indebtedness apportioned to it. The order may direct that the
    18  municipality against which the indebtedness was apportioned levy
    19  and collect special taxes for one year or pay by annual
    20  installments over a stated period of time, the amount needed to
    21  liquidate the indebtedness.
    22     (b)  Interest-bearing notes.--If acceptable to the
    23  municipality to which money is owed, the other municipality
    24  shall have the power to issue and deliver interest-bearing notes
    25  in liquidation of the indebtedness.
    26  Section 340.  Collection of taxes levied prior to annexation.
    27     All taxes assessed and levied against property in the annexed
    28  territory or area prior to the effective date of the annexation
    29  shall be paid to the municipality from which the territory or
    30  area has been annexed and the collection and enforcement shall
    19910H0678B0743                 - 26 -

     1  be as though the annexation had not taken place.
     2  Section 341.  Authorized expenditures.
     3     Municipalities initiating annexations under the provisions of
     4  this act are authorized to make expenditures for surveys
     5  required to describe the property under consideration or for any
     6  other purpose necessary to plan for the study or annexation of
     7  territory or area adjacent to the municipality.
     8  Section 342.  Crossing county lines.
     9     When the municipalities affected are located in different
    10  counties, the county board of elections and the court of common
    11  pleas in the county where the annexing municipality is located
    12  shall furnish all information relating to an annexation to their
    13  counterparts in the other county or counties concerned.
    14  Section 343.  Election districts and officers.
    15     Except as provided in section 332, all election districts in
    16  the annexed territory shall remain as constituted before the
    17  annexation and shall become election districts of the annexing
    18  municipality until changed in accordance with the act of June 3,
    19  1937 (P.L.1333, No.320), known as the Pennsylvania Election
    20  Code. All election district officers shall continue in office
    21  until the expiration of their terms, unless the office is
    22  vacated.
    23                             CHAPTER 4
    24                      CONSOLIDATION OR MERGER
    25  Section 401.  Procedure for consolidation or merger.
    26     (a)  Authority.--Two or more municipalities may be
    27  consolidated or merged as provided in this chapter into a single
    28  municipality, whether situated in the same county or in two or
    29  more different counties, if each of the municipalities is
    30  contiguous to at least one of the other consolidating or merging
    19910H0678B0743                 - 27 -

     1  municipalities, and if together the municipalities would form a
     2  consolidated or merged municipality.
     3     (b)  Method.--Consolidation or merger may be commenced by one
     4  of the following methods:
     5         (1)  Joint agreement of the governing bodies of the
     6     municipalities proposed for consolidation or merger as
     7     approved by ordinance.
     8         (2)  Initiative of electors.
     9         (3)  The commission.
    10  Section 402.  Joint agreement of governing bodies.
    11     (a)  General rule.--The governing bodies of each municipality
    12  to be consolidated or merged shall enter into a joint agreement
    13  under the official seal of each municipality to consolidate or
    14  merge into one municipality.
    15     (b)  Elements.--The joint agreement shall set forth:
    16         (1)  The names of each municipality that is party to the
    17     agreement.
    18         (2)  The name and the territorial boundaries of the
    19     consolidated or merged municipality.
    20         (3)  The type and class of the consolidated or merged
    21     municipality.
    22         (4)  Whether the consolidated or merged municipality
    23     shall be governed solely by the code and other general laws
    24     applicable to the kind and class of the consolidated or
    25     merged municipality or whether it is to be governed by a home
    26     rule charter or an optional plan of government having
    27     previously been adopted by one of the consolidating or
    28     merging municipalities.
    29         (5)  The number of wards, if any, into which the
    30     consolidated or merged municipality is to be divided for the
    19910H0678B0743                 - 28 -

     1     purpose of electing all or some of the members of the
     2     municipal governing body.
     3         (6)  Terms for:
     4             (i)  The disposition of existing assets of each
     5         municipality.
     6             (ii)  The liquidation of existing indebtedness of
     7         each municipality.
     8             (iii)  The assumption, assignment or disposition of
     9         existing liabilities of each municipality, either
    10         jointly, separately or in certain defined proportions, by
    11         separate rates of taxation within each of the constituent
    12         municipalities until consolidation or merger becomes
    13         effective pursuant to section 407.
    14             (iv)  The implementation of a legally consistent
    15         uniform tax system throughout the consolidated or merged
    16         municipality which provides revenue necessary to fund
    17         required municipal services.
    18         (7)  The governmental organization of the consolidated or
    19     merged municipality insofar as it concerns elected officers.
    20     There shall be a transitional plan and schedule applicable to
    21     elected officers. The transitional plan shall provide for the
    22     abolition of the elected officers of each component
    23     municipality and the termination of the terms of the office
    24     of the elected officials of each municipality and for the
    25     election of the first officers of the consolidated or merged
    26     municipality so that election and tenure shall conform to
    27     those in other municipalities of the same kind and class in
    28     this Commonwealth with properly staggered terms where those
    29     are required or desired.
    30         (8)  The common administration and enforcement of
    19910H0678B0743                 - 29 -

     1     ordinances enforced uniformly within the consolidated or
     2     merged municipality.
     3  Section 403.  Initiative of electors.
     4     (a)  General rule.--In order for consolidation or merger
     5  proceedings to be initiated by petition of electors, petitions
     6  containing signatures of at least 5% of the electors voting for
     7  the office of Governor in the last gubernatorial general
     8  election in each municipality proposed to be consolidated or
     9  merged shall be filed with the county board of elections of the
    10  county in which the municipality, or the greater portion of the
    11  territory or area thereof, is located.
    12     (b)  Notice to governing bodies affected.--When the
    13  applicable election officials find that a petition is in proper
    14  order, they shall send copies of the initiative petition without
    15  the signatures thereon to the governing bodies of each of the
    16  municipalities affected by the consolidation or merger.
    17     (c)  Contents.--A petition shall set forth:
    18         (1)  The name of the municipality from which the signers
    19     of the petition were obtained.
    20         (2)  The names of the municipalities proposed to be
    21     consolidated or merged.
    22         (3)  The name of the consolidated or merged municipality.
    23         (4)  The type and class of the consolidated or merged
    24     municipality.
    25         (5)  Whether the consolidated or merged municipality
    26     shall be governed solely by the code and other general laws
    27     applicable to the kind and class of the consolidated or
    28     merged municipality, or whether it is to be governed by a
    29     home rule charter or an optional plan of government having
    30     previously been adopted by one of the consolidated or merged
    19910H0678B0743                 - 30 -

     1     municipalities.
     2         (6)  The number of wards, if any, into which the
     3     consolidated or merged municipality will be divided for the
     4     purpose of electing all or some of the members of the
     5     municipal governing body.
     6     (d)  Time limitation.--The consolidation or merger petition
     7  shall be filed with the election officials not later than the
     8  13th Tuesday prior to the next primary, municipal or general
     9  election. The petition and proceedings therein shall be in the
    10  manner and subject to the provisions of the election laws which
    11  related to the signing, filing and adjudication of nomination
    12  petitions insofar as such provisions are applicable except that
    13  no referendum petition shall be signed or circulated prior to
    14  the 20th Tuesday before the election, nor later than the 13th
    15  Tuesday before the election.
    16  Section 404.  Initiation by petition to commission.
    17     (a)  General rule.--Petitions may be submitted to the
    18  commission. The petition shall contain signatures of at least 5%
    19  of the electors voting for the office of Governor in the last
    20  gubernatorial general election in each municipality requesting,
    21  consolidating or merging.
    22     (b)  Content.--Every petition shall set forth:
    23         (1)  The name of the municipality from which the signers
    24     of the petition were obtained.
    25         (2)  The names of the municipalities proposed to be
    26     consolidated or merged.
    27         (3)  The name of the consolidated or merged municipality.
    28         (4)  The type and class of the consolidated or merged
    29     municipality.
    30         (5)  Whether the consolidated or merged municipality
    19910H0678B0743                 - 31 -

     1     shall be governed solely by the code and other general laws
     2     applicable to the kind and class of the consolidated or
     3     merged municipality, or whether it is to be governed by a
     4     home rule charter or an optional plan of government having
     5     previously been adopted by one of the consolidated or merged
     6     municipalities.
     7         (6)  The number of wards, if any, into which the
     8     consolidated or merged municipality will be divided for the
     9     purpose of electing some or all of the members of the
    10     municipal governing body.
    11     (c)  Time limitations.--Once the circulation of a petition
    12  has begun, the petition shall be submitted to the commission
    13  within seven weeks. Failure to do so within the prescribed time
    14  limit shall invalidate the petition. Presentation of a receipt
    15  indicating that the petition was mailed by registered or
    16  certified mail on or before the deadline date shall be evidence
    17  of timely filing.
    18     (d)  Review by commission.--Whenever such petitions shall
    19  have been received by the commission, the commission shall take
    20  all necessary steps to place such referendum question before the
    21  electors of the municipalities proposed to be so consolidated or
    22  merged. Such steps may include:
    23         (1)  A study of the consolidation or merger proposal.
    24         (2)  Advising citizens and officials on any and all
    25     matters pertaining thereto.
    26         (3)  Holding meetings or conferences in any of the
    27     municipalities proposed to be consolidated or merged.
    28  All studies, meetings and assistance by the commission shall be
    29  completed within six months after receipt of the petitions
    30  received from municipalities involved in a specific
    19910H0678B0743                 - 32 -

     1  consolidation or merger proposal. The completion date shall be
     2  attested by the chairman of the commission in a document to be
     3  filed with the Secretary of the Commonwealth.
     4  Section 405.  Conduct of referenda.
     5     (a)  Referendum.--Following initiation of proceedings for
     6  consolidation or merger by the procedures set forth in either
     7  section 402, 403 or 404, the question of the consolidation or
     8  merger shall be placed before the electors of each of the
     9  municipalities proposed to be so consolidated or merged. A
    10  referendum shall be held at the first primary, municipal or
    11  general election held not less than the 13th Tuesday after any
    12  of the following:
    13         (1)  The date of the general agreement entered into under
    14     the provisions of section 402.
    15         (2)  The date of filing of the petition filed under the
    16     provisions of section 403.
    17         (3)  The date of completion of the work of the commission
    18     under the provisions of section 404.
    19     (b)  Approval.--The consolidation or merger shall not be
    20  effective unless the referendum question is approved by a
    21  majority of electors voting in each of the municipalities in
    22  which the referendum is held. If in any one of the
    23  municipalities in which the referendum is held a majority in
    24  favor of such consolidation or merger does not result, the
    25  referendum shall fail and the consolidation or merger shall not
    26  take place. The question described in the merger or
    27  consolidation proposal shall not be voted on again for a period
    28  of five years.
    29     (c)  Further studies.--If the electors of two or more
    30  contiguous municipalities proposed for consolidation or merger
    19910H0678B0743                 - 33 -

     1  shall approve the consolidation or merger, but one or more of
     2  the municipalities shall fail to approve, the commission may
     3  make a study of the feasibility of consolidation or merger of
     4  those municipalities approving the proposal and, in its
     5  discretion may initiate a local referendum for the consolidation
     6  or merger of such municipalities at the next primary, municipal
     7  or general election but not less than the 13th Tuesday after the
     8  commission has submitted its study to the local governing bodies
     9  of the municipalities involved.
    10  Section 406.  Consolidation or merger agreement.
    11     (a)  Form.--Upon favorable action by the electorate on
    12  consolidation or merger, in cases where consolidation or merger
    13  was initiated other than by joint agreement of the governing
    14  bodies under section 402, the governing bodies of the
    15  municipalities to be consolidated or merged into a single
    16  municipality shall meet within 60 days after the certification
    17  of the favorable vote and shall make a consolidation or merger
    18  agreement as follows:
    19         (1)  If the governing body, or part of the governing
    20     body, of the consolidated or merged municipality is to be
    21     elected on a ward basis, the agreement shall set forth the
    22     boundaries and the ward designation, by number of each ward,
    23     and the number of members of the municipal governing body to
    24     be elected from each ward.
    25         (2)  The agreement shall set forth those terms for:
    26             (i)  The disposition of the existing assets of each
    27         municipality.
    28             (ii)  The liquidation of the existing indebtedness of
    29         each municipality.
    30             (iii)  The assumption, assignment and disposition of
    19910H0678B0743                 - 34 -

     1         the existing liabilities of each municipality, either
     2         jointly, separately or in certain defined proportions, by
     3         separate rates of taxation within each of constituent
     4         municipalities until consolidation or merger becomes
     5         effective under section 407.
     6         (3)  The agreement shall set forth the governmental
     7     organization of the consolidated or merged municipality,
     8     insofar as it concerns elected officers, and shall contain a
     9     transitional plan and schedule applicable to elected
    10     officers. The agreement shall provide for the abolition of
    11     elected offices and for the termination of the terms of
    12     office of elected officers of each municipality being merged
    13     or consolidated, and the election of the first officers of
    14     the consolidated or merged municipality so that election and
    15     tenure shall conform to those in other municipalities of the
    16     same kind and class in the Commonwealth, with properly
    17     staggered terms, where those are required or desired.
    18         (4)  The agreement shall provide for common
    19     administration and enforcement of ordinances to be enforced
    20     uniformly within the consolidated or merged municipality.
    21         (5)  The agreement shall also provide, consistent with
    22     existing law, for the implementation of a uniform tax system
    23     throughout the consolidated or merged municipality which
    24     shall provide the revenues necessary to fund required
    25     municipal services.
    26     (b)  Filing.--A copy of the consolidation or merger agreement
    27  shall be filed with the commission, the Legislative
    28  Reapportionment Commission, the Governor's Office of Policy
    29  Development or its successor, the State Tax Equalization Board,
    30  the Department of Community Affairs, the Department of
    19910H0678B0743                 - 35 -

     1  Education, the Department of Transportation, the court of common
     2  pleas and the board of county commissioners of the county or
     3  counties in which municipalities affected are located.
     4  Section 407.  Effectuation of consolidation or merger.
     5     (a)  Election of officers.--Municipalities so consolidated or
     6  merged shall continue to be governed as before consolidation or
     7  merger until the first Monday of January following the municipal
     8  election next succeeding the election at which consolidation or
     9  merger referenda were held. At that municipal election, the
    10  necessary officers of the consolidated municipality shall be
    11  elected in accordance with the terms of the general law
    12  affecting municipalities of the kind or class of the
    13  consolidated or merged municipality, or, in case of a
    14  consolidated or merged municipality operating under a home rule
    15  charter or optional plan of government, in accordance with the
    16  charter or optional plan or with general law affecting home rule
    17  or optional plan municipalities, as applicable.
    18     (b)  Terms.--The officers elected at that municipal election
    19  shall be elected for terms of office under the plan and schedule
    20  set out in the consolidation or merger agreement authorized by
    21  section 402 or 406, as the case may be. They shall take office
    22  as officers of the consolidated or merged municipality on the
    23  first Monday of January following the municipal election at
    24  which they were elected, and, thereupon, the consolidated or
    25  merged municipality shall begin to function and the former
    26  municipalities consolidated or merged shall be abolished.
    27  Section 408.  Effect of transition on employees of consolidated
    28                 or merged municipality.
    29     As of the date when a consolidated or merged municipality
    30  shall begin to function, except for those officers and employees
    19910H0678B0743                 - 36 -

     1  which are protected by any tenure of office, civil service
     2  provision or collective bargaining agreement, all appointive
     3  offices and positions then existing in all former municipalities
     4  involved in the consolidation or merger shall be disposed of in
     5  accordance with the terms of the consolidation or merger
     6  agreement. Provisions shall be made for instances in which there
     7  is duplication of positions, including, but not limited to,
     8  chief of police or manager, and for such other matters as
     9  varying length of employee contracts, different civil service
    10  regulations in the constituent municipalities and differing
    11  ranks and position classifications for similar positions.
    12  Section 409.  Procedures.
    13     (a)  Ordinance book.--After consolidation or merger becomes
    14  effective, a new ordinance book shall be used by the
    15  municipality and the first document to be recorded in it shall
    16  be the consolidation or merger agreement.
    17     (b)  Ordinance codification.--No later than two years after
    18  the consolidation or merger goes into effect, codification of
    19  all the ordinances of the constituent municipalities shall be
    20  completed. This shall include tabulation or indexing of those
    21  ordinances of the component municipalities that are of permanent
    22  effect in the consolidated or merged municipalities.
    23     (c)  Vesting of rights, privileges, property and
    24  obligations.--All rights, privileges and franchises of each
    25  component municipality and all property, real, personal and
    26  mixed, belonging to each component municipality shall be vested
    27  in the consolidated or merged municipality. The title to real
    28  estate vested in any of those municipalities shall not revert or
    29  be in any way impaired by reason of the consolidation or merger.
    30  All rights of creditors and liens shall be preserved. Agreements
    19910H0678B0743                 - 37 -

     1  and contracts shall remain in force. Debts, liabilities and
     2  duties of each of the municipalities shall be attached to the
     3  consolidated or merged municipality and may be enforced against
     4  it.
     5                             CHAPTER 5
     6                           INCORPORATION
     7  Section 501.  Procedure for incorporation.
     8     A municipality may be incorporated by initiative and
     9  referendum from contiguous territory of all or part of an
    10  existing municipality or municipalities. Incorporation proposals
    11  which include a part of a municipality shall receive the
    12  approval of the commission before they are submitted for
    13  referendum.
    14  Section 502.  Petition for incorporation.
    15     (a)  Submission and signatures.--The petition for
    16  incorporation of a municipality shall be submitted to the
    17  commission. The petition shall be signed by:
    18         (1)  Electors comprising at least 5% of the electors in
    19     each municipality, respectively, voting for the Office of
    20     Governor in the last gubernatorial general election within
    21     each municipality proposed for incorporation.
    22         (2)  The freeholders in each municipality or part thereof
    23     who represent at least 50% of the assessed valuation of real
    24     property within each municipality or part thereof proposed
    25     for incorporation, as certified by the board or boards of
    26     county commissioners. A majority in interest of owners of
    27     undivided interests in any piece of property shall be deemed
    28     and treated as one person for the purpose of ascertaining the
    29     number of freeholders.
    30     (b)  Time limitation.--Once the circulation of a petition has
    19910H0678B0743                 - 38 -

     1  begun, the petition shall be submitted to the commission within
     2  seven weeks. Failure to do so within the prescribed time limit
     3  shall invalidate the petition. Presentation of a receipt
     4  indicating that the petition was mailed by registered or
     5  certified mail on or before the deadline date shall be evidence
     6  of timely filing.
     7  Section 503.  Incorporation petition.
     8     The petition for incorporation to the commission shall be in
     9  such form and shall contain such information as the commission
    10  may require.
    11  Section 504.  Study and report on petition for incorporation.
    12     The commission shall make a study of the petition for
    13  incorporation and shall submit its recommendations, within six
    14  months after receipt of the petition, to the person in each
    15  municipality who submitted the petition, to the governing bodies
    16  of the municipalities affected and to the board or boards of
    17  county commissioners of the territory affected by the proposed
    18  incorporation.
    19  Section 505.  Incorporation election.
    20     (a)  Submission of question.--The commission shall cause a
    21  question relating to the proposed incorporation to be submitted
    22  to the electorate of the territory or area proposed for
    23  incorporation. The commission shall not cause to be submitted
    24  for referendum any incorporation proposal affecting less than an
    25  entire municipality unless the proposal has been approved by the
    26  commission.
    27     (b)  Conduct of election.--The election shall be held at the
    28  next primary, municipal or general election not less than the
    29  13th Tuesday after the commission has requested the appropriate
    30  county board or boards of elections to place the question on the
    19910H0678B0743                 - 39 -

     1  ballot. The election shall be conducted under the provisions of
     2  the act of June 3, 1937 (P.L.1333, No.320), known as the
     3  Pennsylvania Election Code. In the case of a referendum on the
     4  incorporation of territory not constituting an entire existing
     5  municipality or one or more entire existing wards, the county
     6  board of elections shall prescribe the procedure to be followed.
     7     (c)  Election return.--If a majority of the electors voting
     8  on such question in each of the municipalities affected shall
     9  vote in favor of such incorporation or, where a proposal
    10  affecting less than an entire municipality has been approved by
    11  the commission, if a majority of the electors voting upon such
    12  question in the territory proposed for incorporation shall vote
    13  in favor of such incorporation, it shall be deemed final.
    14     (d)  Certification.--Certification of the vote favorable to
    15  incorporate shall be made by the county board of elections to
    16  the governing bodies of the municipalities affected, to the
    17  appropriate board or boards of county commissioners and to the
    18  commission.
    19     (e)  Failure of proceeding.--If the incorporation proposal
    20  includes either all or part of two or more municipalities and if
    21  a majority of the persons voting on such question in the area or
    22  territory affected by an incorporation in any one of the
    23  municipalities affected shall vote against such incorporation,
    24  then the incorporation proceedings shall fail. If the referendum
    25  on incorporation proceedings shall fail, the question of
    26  incorporation of territory described in the incorporation
    27  proposal shall not be voted on again for a period of five years.
    28  Section 506.  Effectuation of incorporation.
    29     (a)  Effective date.--Incorporation shall become effective on
    30  the first Tuesday after the first Monday in January following
    19910H0678B0743                 - 40 -

     1  the next succeeding municipal election or special election held
     2  in conjunction with any primary, general or municipal election
     3  at which local officials of the new municipality shall be
     4  elected. At the request of the petitioners, the special election
     5  may be called for by the court of common pleas which shall fix
     6  the time, place and manner of holding the special election which
     7  shall be in conjunction with any primary, general or municipal
     8  election.
     9     (b)  Terms of office.--Municipal officers chosen at a special
    10  election shall serve until the first Tuesday after the first
    11  Monday in January following the next succeeding municipal
    12  election at which time their successors shall be elected in
    13  accordance with the laws covering the election of municipal
    14  officials of the type and class of municipality to which the new
    15  incorporated municipality belongs.
    16     (c)  Governing law.--The municipal election at which said
    17  officials are to be elected shall be held in accordance with the
    18  laws governing municipal officials of the type and class of
    19  municipality to which the incorporated municipality belongs. The
    20  election of municipal officials shall be such as to provide for
    21  staggering terms of office as closely in compliance as possible
    22  with the governing municipal code.
    23     (d)  Appointment of officials.--The municipal election shall
    24  not be held before the 13th Tuesday after certification of the
    25  favorable vote to incorporate. The court of common pleas having
    26  jurisdiction shall appoint from among the electors of the newly
    27  incorporated municipality a judge and inspector to hold the
    28  election.
    29     (e)  Existence of incorporated municipality terminates old
    30  municipality.--When the incorporated municipality shall go into
    19910H0678B0743                 - 41 -

     1  effect, the former municipality or municipalities shall cease to
     2  exist in every case in which the entire territory of a
     3  municipality or municipalities has been included in the
     4  incorporated municipality.
     5  Section 507.  Assets, liabilities and indebtedness where entire
     6                 municipality incorporated as new municipality.
     7     Where an entire municipality shall be incorporated as a newly
     8  created municipality, all assets of the former municipality
     9  shall become assets of and property of the incorporated
    10  municipality, all indebtedness of the former municipality shall
    11  be assumed by the incorporated municipality and all liabilities
    12  of the former municipality shall become liabilities of the
    13  incorporated municipality.
    14  Section 508.  Adjustment of assets, liabilities and indebtedness
    15                 where part of municipality becomes incorporated
    16                 municipality.
    17     (a)  Adjustment.--Following any incorporation of part of the
    18  territory or area of a municipality as a newly incorporated
    19  municipality, the governing body of the newly incorporated
    20  municipality and the governing body of the municipality from
    21  which territory was incorporated shall make a proper adjustment
    22  and apportionment between the two municipalities of all
    23  indebtedness, assets and liabilities of the municipality from
    24  which territory was incorporated, as of the time of
    25  incorporation. The adjustment and apportionment shall provide
    26  that both the new municipality and the municipality from which
    27  an incorporation occurred shall be entitled to share in a
    28  division of the assets, liabilities and indebtedness in the
    29  proportion that the assessed valuation of the newly incorporated
    30  municipality, as determined by the county board for the
    19910H0678B0743                 - 42 -

     1  assessment and revision of taxes, bears to the assessed
     2  valuation, as so determined, of the original municipality the
     3  year immediately prior to the incorporation.
     4     (b)  Assumption by incorporating municipality.--Where
     5  indebtedness was incurred by the municipality from which the new
     6  municipality was incorporated for an improvement located wholly
     7  within the newly incorporated municipality, that indebtedness
     8  shall be assumed by the newly incorporated municipality. Where
     9  any part of an improvement is located within the limits of the
    10  newly incorporated municipality, the part of the indebtedness
    11  representing that part of the improvement shall be assumed by
    12  the newly incorporated municipality, and apportionment of any
    13  remaining indebtedness of the original municipality shall be
    14  made as provided in subsection (a).
    15     (c)  Written document.--The adjustment and apportionment of
    16  the assets, liabilities and indebtedness shall be reduced to
    17  writing, shall be executed and acknowledged by the clerk or
    18  secretary of the newly incorporated municipality and shall be
    19  filed with the prothonotary of the county or counties in which
    20  the two municipalities are located and copies shall be filed
    21  with the commission, the Legislative Reapportionment Commission,
    22  the Governor's Office of Policy Development or its successor,
    23  the State Tax Equalization Board, the Department of Community
    24  Affairs, the Department of Education, the Department of
    25  Transportation and the court of common pleas and the board of
    26  county commissioners of the county or counties in which the two
    27  municipalities are located.
    28  Section 509.  Judicial adjustment on failure of agreement.
    29     (a)  Appeal to court.--In case the governing bodies of the
    30  newly incorporated municipality and the municipality from which
    19910H0678B0743                 - 43 -

     1  territory was incorporated cannot, within six months after the
     2  incorporation becomes effective, arrive at the adjustment and
     3  apportionment of the indebtedness, assets and liabilities,
     4  pursuant to section 507, the governing body, a citizen or a
     5  property owner of any of the municipalities affected may appeal
     6  to the court of common pleas of the county in which the
     7  municipality from which territory was incorporated or the
     8  greater portion of the area of that municipality is located.
     9     (b)  Appointment of commissioners.--The court shall thereupon
    10  appoint three disinterested commissioners, who shall be
    11  residents and taxpayers of the county and who shall not be
    12  residents or owners of real estate in either the newly
    13  incorporated municipality or the municipality from the territory
    14  of which that municipality was incorporated. The commissioners,
    15  after hearing, notice of which shall be given to both interested
    16  municipalities as directed by the court, shall proceed to make
    17  the apportionment and adjustment and shall report to the court
    18  stating the amount, if any, that shall be due and payable from
    19  the newly incorporated municipality to the municipality from
    20  which it was incorporated or from the municipality from which
    21  the new municipality was incorporated, as well as the amount of
    22  indebtedness, if any, that shall be assumed by the newly
    23  incorporated municipality or the municipality from which it was
    24  incorporated or both of them.
    25  Section 510.  Proceedings on judicial adjustment.
    26     (a)  Notice.--The commissioners shall give the incorporating
    27  municipality and the municipality from which territory was
    28  incorporated at least 15 days' notice of the filing of their
    29  report. Unless exceptions to the report are filed, the report
    30  shall be confirmed absolutely by the court. Any sum awarded by
    19910H0678B0743                 - 44 -

     1  the court to the incorporating municipality or to the
     2  municipality from which territory has been incorporated shall be
     3  a legal and valid claim in its favor against the municipality
     4  charged therewith. Any property, real or personal, given to the
     5  incorporating municipality or to the municipality from which
     6  territory has been incorporated shall become its property. Any
     7  claim or indebtedness charged against the incorporating
     8  municipality or the municipality from which territory has been
     9  incorporated shall be paid within one year from the date of
    10  confirmation absolute.
    11     (b)  Exceptions.--If exceptions are filed to the report of
    12  the commissioners, the court shall dispose of the exceptions and
    13  enter its decree or modify the same as it appears just and
    14  proper.
    15  Section 511.  Compensation and expenses of commissioners.
    16     The appointed commissioners shall be allowed such
    17  compensation and expenses for their services as the court shall
    18  fix. The compensation and expenses shall be paid to the
    19  commissioners for days on which they are actually engaged in the
    20  performance of their duties. The costs of the proceedings,
    21  including the compensation and expenses of the commissioners,
    22  shall be apportioned between the newly incorporated municipality
    23  and the municipality from which territory has been incorporated
    24  as it deems proper and equitable.
    25  Section 512.  Incorporating municipality located in two or more
    26                 counties.
    27     If the territory of the newly incorporated municipality is
    28  located in two or more counties, the court of common pleas of
    29  the county in which the greater portion of the territory of the
    30  newly incorporated municipality is located shall have exclusive
    19910H0678B0743                 - 45 -

     1  jurisdiction over the proceedings to determine the cost of
     2  certain improvements in the territory incorporated and to adjust
     3  and apportion the indebtedness between the incorporating
     4  municipality and the municipality from which territory has been
     5  incorporated.
     6  Section 513.  Liquidation of indebtedness.
     7     (a)  Court orders.--The court may make all necessary orders
     8  for the collection by the newly incorporated municipality or by
     9  the municipality from which territory was incorporated, as the
    10  case may be, and payment by it to the other municipality, of its
    11  share of any indebtedness apportioned to it. The order may
    12  direct the municipality against which the indebtedness was
    13  apportioned to levy and collect special taxes for one year or
    14  pay by annual installments over a stated period of time the
    15  amount needed to liquidate the indebtedness.
    16     (b)  Interest-bearing bonds.--If acceptable to the
    17  municipality to which money is owed, the other municipality
    18  shall have the power to issue and deliver interest-bearing bonds
    19  in liquidation of the indebtedness.
    20  Section 514.  Collection of taxes levied prior to incorporation.
    21     All taxes levied against property in the territory
    22  incorporated prior to the effective date of the incorporation
    23  shall be paid to the municipality from which territory has been
    24  incorporated and the collection and enforcement shall be as
    25  though the incorporation had not taken place.
    26  Section 515.  Crossing county lines.
    27     Where the newly incorporated municipality is located in more
    28  than one county, the county board of elections and the court of
    29  common pleas in the county in which the greater part of the
    30  territory of the newly incorporated municipality is located
    19910H0678B0743                 - 46 -

     1  shall furnish official information relating to the incorporation
     2  to their counterparts in the other county or counties concerned.
     3  Section 516.  Election districts and officers.
     4     Except for any temporary arrangements for the purpose of a
     5  referendum under section 505, all election districts in the
     6  newly incorporated territory shall remain as constituted before
     7  the incorporation and shall become election districts of the
     8  incorporating municipality until changed in accordance with the
     9  act of June 3, 1937 (P.L.1333, No.320), known as the
    10  Pennsylvania Election Code. All election district officers shall
    11  continue in office until the expiration of their terms, unless
    12  the office is vacated.
    13                             CHAPTER 6
    14                     REPEALS AND EFFECTIVE DATE
    15  Section 601.  Repeals.
    16     (a)  Specific.--The following acts and parts of acts are
    17  repealed:
    18     Act of April 22, 1903 (P.L.247, No.183), entitled "An act
    19  enabling the burgess and council of any borough or incorporated
    20  town, by ordinance, to annex to the borough or incorporated town
    21  adjacent territory, upon petition of a majority of the freehold
    22  owners thereof."
    23     Act of April 28, 1903 (P.L.332, No.260), entitled "An act for
    24  the annexation of any city, borough, township, or part of a
    25  township, to a contiguous city, and providing for the
    26  indebtedness of the same."
    27     Act of February 7, 1906 (Sp.Sess., P.L.7, No.1), entitled "An
    28  act to enable cities that are now, or may hereafter be,
    29  contiguous or in close proximity, to be united, with any
    30  intervening land other than boroughs, in one municipality;
    19910H0678B0743                 - 47 -

     1  providing for the consequences of such consolidation, the
     2  temporary government of the consolidated city, payment of the
     3  indebtedness of each of the united territories, and the
     4  enforcement of debts and claims due to or from each."
     5     Act of May 28, 1907 (P.L.295, No.223), entitled "A supplement
     6  to an act, entitled 'An act for the annexation of any city,
     7  borough, township, or part of a township, to a contiguous city,
     8  and providing for the indebtedness of the same,' approved the
     9  twenty-eighth day of April, Anno Domini one thousand nine
    10  hundred and three; to enable territory now annexed, or which may
    11  hereafter be annexed under the provisions of said act, to be
    12  arranged and erected into a ward, or wards, of the city to which
    13  it is annexed; and providing the procedure for that purpose, and
    14  for the proper representation of the ward or wards erected."
    15     Act of June 1, 1907 (P.L.377, No.271), entitled "A supplement
    16  to an act, approved April twenty-eighth, one thousand nine
    17  hundred three, entitled 'An act for the annexation of any city,
    18  borough, township, or part of a township, to a contiguous city,
    19  and providing for the indebtedness of the same,' providing for
    20  the preservation of rights of creditors and of liens, and for
    21  funding the debt of the municipality or school district
    22  annexed."
    23     Act of May 6, 1915 (P.L.260, No.152), entitled "A supplement
    24  to an act approved the seventh day of February, one thousand
    25  nine hundred and six, entitled 'An act to enable cities that are
    26  now or may hereafter be contiguous or in close proximity, to be
    27  united with any intervening land, other than boroughs, in one
    28  municipality; providing for the consequences of such
    29  consolidation, the temporary government of the consolidated
    30  city, payment of the indebtedness of each of the united
    19910H0678B0743                 - 48 -

     1  territories, and the enforcement of debts and claims due to or
     2  from each,' by providing that the indebtedness of each city and
     3  intervening land, heretofore or hereafter united or consolidated
     4  under the provisions of said act, shall be paid by the
     5  consolidated city, and for the levying of a uniform tax, upon
     6  all the territory included within the consolidated city, for the
     7  payment of the same."
     8     Act of May 6, 1915 (P.L.272, No.167), entitled "A supplement
     9  to an act, approved the twenty-eight day of April, one thousand
    10  nine hundred and three, entitled 'An act for the annexation of
    11  any city, borough, township, or part of a township, to a
    12  contiguous city, and providing for the indebtedness of the
    13  same,' by providing that any city, heretofore or hereafter
    14  enlarged by any annexation under the terms of said act, shall be
    15  liable for and shall pay the indebtedness of such city and the
    16  territory so annexed; and providing for the levying of a uniform
    17  tax upon all the territory included within such city as enlarged
    18  by such annexation, for the payment of all such indebtedness."
    19     Act of May 31, 1923 (P.L.473, No.258), entitled "An act
    20  authorizing the annexation to cities of the second class of
    21  portions of townships not exceeding one hundred acres in area
    22  and totally surrounded by said cities; and providing for the
    23  division of the assets and liabilities of said townships."
    24     Act of May 12, 1925 (P.L.596, No.320), entitled "An act
    25  providing for the alteration of the boundaries of counties in
    26  certain cases for the adjustment of the indebtedness thereof;
    27  providing the effect thereof."
    28     Sections 201, 202, 203, 204, 205, 206, 207, 208, 209, 210,
    29  250, 251, 252, 253, 254, 255, 501, 502, 503, 504, 505, 506, 515,
    30  516, 517, 518, 525, 526, 535, 536, 540, 541, 542, 543, 544, 545,
    19910H0678B0743                 - 49 -

     1  550, 551, 560, 561, 562, 570 and 580 of the act of June 23, 1931
     2  (P.L.932, No.317), known as The Third Class City Code.
     3     Sections 210, 211, 212, 213, 214, 216, 217, 218 and 219 of
     4  the act of June 24, 1931 (P.L.1206, No.331), known as The First
     5  Class Township Code.
     6     Sections 205, 206, 207, 208, 209, 210, 211, 211.1, 212, 213,
     7  214 and 215 of the act of May 1, 1933 (P.L.103, No.69), known as
     8  The Second Class Township Code.
     9     Sections 2(c) and 3 of the act of May 29, 1935 (P.L.244,
    10  No.102), entitled "An act creating a Local Government Commission
    11  to study and report on functions of local government; their
    12  allocation and elimination; the cost of local government and
    13  means of reducing it; and the consolidation of local government;
    14  and making an appropriation."
    15     Act of May 13, 1937 (P.L.620, No.161), entitled "An act
    16  requiring the consent of the electors of a township of the first
    17  class when such township, or any part thereof, is to be annexed
    18  to a contiguous borough or city."
    19     Act of July 2, 1937 (P.L.2803, No.588), entitled "An act
    20  providing a method of annexation of townships of the first
    21  class, and parts thereof, to cities and boroughs, and regulating
    22  the proceedings pertaining thereto."
    23     Act of June 15, 1939 (P.L.372, No.217), entitled "An act
    24  affecting cities of the second class A, authorizing the
    25  annexation of boroughs and townships thereto under certain
    26  conditions, and, in connection therewith, placing duties upon or
    27  affecting courts of quarter sessions, county boards of
    28  elections, and officers of boroughs, townships, and cities of
    29  the second class A, and providing for the payment of the
    30  indebtedness of the various territorial units involved."
    19910H0678B0743                 - 50 -

     1     Act of July 20, 1953 (P.L.550, No.145), entitled "An act
     2  providing for and regulating the annexation of parts of a second
     3  class township to boroughs, cities and townships."
     4     Articles II and IV of the act of February 1, 1966 (1965
     5  P.L.1656, No.581), known as The Borough Code.
     6     Act of July 10, 1987 (P.L.246, No.47), known as the
     7  Financially Distressed Municipalities Act, as follows: the
     8  definitions of "consolidated or merged municipality,"
     9  "consolidation or merger," "contiguous territory," "election
    10  officials," "initiative" and "referendum" in section 103; as
    11  much as reads "pursuant to Chapter 4" of section 241(7); all of
    12  sections 401, 402, 403, 404, 405, 406, 407 and 409; and as much
    13  as reads "under provisions of this chapter" of section 421.
    14     (b)  General.--All other acts and parts of acts are repealed
    15  insofar as they are inconsistent with this act.
    16  Section 602.  Application to procedures previously initiated.
    17     Where initiative and referendum proceedings under the second
    18  paragraph of section 8 of Article IX of the Constitution of
    19  Pennsylvania were commenced in any municipality before the
    20  effective date of this act, those proceedings may continue just
    21  as if this act had not been passed. Insofar as this act sets
    22  forth procedures, conditions and requirements applicable
    23  following a referendum on the question of consolidation, merger
    24  or boundary change, this act shall apply in any municipality
    25  where those referendum proceedings had been commenced or where
    26  the electors had voted in the affirmative or in the negative in
    27  any such referendum before the effective date of this act.
    28  Section 603.  Effective date.
    29     This act shall take effect in 90 days.

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