PRINTER'S NO. 1178

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1068 Session of 1987


        INTRODUCED BY DALEY, KASUNIC, F. TAYLOR, DeWEESE, FISCHER,
           STAIRS, CAWLEY, BELARDI, KUKOVICH, GRUITZA, TIGUE,
           CAPPABIANCA, BLAUM, BOWLEY AND CESSAR, APRIL 8, 1987

        REFERRED TO COMMITTEE ON BUSINESS AND COMMERCE, APRIL 8, 1987

                                     AN ACT

     1  Amending the act of March 28, 1986 (P.L.75, No.25), entitled, as
     2     amended, "An act providing for grants to persons for property
     3     damaged or destroyed by tornado or flood; establishing the
     4     basis for the grants and tax moratoria; and making
     5     appropriations," further providing for legislative intent and
     6     emergency funds.

     7     The General Assembly of the Commonwealth of Pennsylvania
     8  hereby enacts as follows:
     9     Section 1.  Sections 1 and 2(b) of the act of March 28, 1986
    10  (P.L.75, No.25), entitled, as amended, "An act providing for
    11  grants to persons for property damaged or destroyed by tornado
    12  or flood; establishing the basis for the grants and tax
    13  moratoria; and making appropriations," amended July 7, 1986
    14  (P.L.402, No.88), are amended to read:
    15  Section 1.  Legislative intent.
    16     The General Assembly hereby finds and declares that:
    17         (1)  During August 1984, during 1985 and during 1986,
    18     tornadoes and flooding occurred in several counties of this
    19     Commonwealth, causing substantial damages, in excess of


     1     $60,000,000, to private homes, in addition to the damage to
     2     businesses, industry and public facilities.
     3         (2)  Federal emergency declarations designated certain
     4     areas as eligible for emergency relief.
     5         (3)  The combination of private insurance and Federal
     6     grants and loans for private homeowners [and], for persons
     7     renting the homes in which they reside and for businesses
     8     provides insufficient compensation for their losses.
     9         (4)  Because many of the victims of these disasters
    10     reside in areas which prior to the disaster were economically
    11     distressed and because their losses are inadequately covered,
    12     it is in the public interest pursuant to section 17 of
    13     Article VIII of the Constitution of Pennsylvania to provide
    14     additional aid to private homeowners [and] to persons renting
    15     the homes in which they reside and to businesses to
    16     supplement the compensation which they receive from private
    17     insurance and the Federal Government.
    18  Section 2.  Emergency funds to disaster-stricken counties.
    19     * * *
    20     (b)  Eligibility.--An applicant's request for funding shall
    21  be subject to the following evaluation:
    22         (1)  Upon receipt and approval of a sworn application by
    23     any homeowner for nonbusiness or nonfarm real property
    24     damaged or destroyed, [or], by any homeowner or tenant of
    25     premises he rents as his primary residence for personal
    26     property damaged or destroyed or by any business for real or
    27     personal property damaged or destroyed, in a declared
    28     disaster during 1984, 1985 or 1986, the Department of Public
    29     Welfare may make an individual grant to cover a portion of
    30     the adjusted loss.
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     1         (2)  The adjusted loss shall be the total eligible loss
     2     minus any amount received by or due the applicant from
     3     private insurance and Federal or State grants and shall not
     4     include any insurance deductible paid by the applicant. Loans
     5     from the Small Business Administration are not Federal grants
     6     under this paragraph.
     7         (3)  Total eligible loss shall be any loss from damage to
     8     an owner-occupied primary residence and any loss from damage
     9     to personal property, including clothing, household
    10     furnishings and appliances incurred by a homeowner in his
    11     owner-occupied primary residence or incurred by a tenant in
    12     premises he rents as a primary residence; and any loss from
    13     damage to real or personal property of a business. Eligible
    14     loss shall not include any item used principally for
    15     recreational purposes.
    16         (4)  [Applicants] Individual applicants whose household
    17     1985 income does not exceed [300% of the 1985 poverty income
    18     guidelines] $50,000 and business applicants whose 1985 net
    19     income does not exceed $50,000 shall be eligible to
    20     participate in this grant program. The applicant, in order to
    21     be eligible for this program by reason of a loss in a
    22     declared disaster during 1984, 1985 or 1986, must have
    23     registered at a disaster assistance center, unless
    24     extenuating circumstances prevented him or her from doing so.
    25     Extenuating circumstances shall be determined on an
    26     individual basis.
    27         (5)  The amount of the grant shall be determined in
    28     accordance with the following schedule:
    29             (i)  75% of the first $5,000 of adjusted loss.
    30             (ii)  50% of the second $5,000 of adjusted loss.
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     1             (iii)  10% of the remaining adjusted loss.
     2             (iv)  No grant shall exceed $12,500.
     3     * * *
     4     Section 2.  This act shall take effect in 60 days.


















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