PRINTER'S NO. 559
No. 519 Session of 1979
INTRODUCED BY FISCHER, MARCH 6, 1979
REFERRED TO COMMITTEE ON BUSINESS AND COMMERCE, MARCH 6, 1979
AN ACT 1 Providing for the acquisition, rehabilitation and resale of 2 certain homes in certain neighborhoods, imposing additional 3 powers and duties on the Department of Community Affairs. 4 The General Assembly of the Commonwealth of Pennsylvania 5 hereby enacts as follows: 6 Section 1. Short title. 7 This act shall be known and may be cited as the "Neighborhood 8 Restoration Act." 9 Section 2. Definitions. 10 The following words and phrases when used in this act shall 11 have, unless the context clearly indicates otherwise, the 12 meanings given to them in this section: 13 "Deteriorated property." Any structure which could be 14 converted to a family dwelling occupied by up to four family 15 units and which meets at least one of the following criteria: 16 (1) any property which because of physical condition or 17 use, either individually or collectively constitutes a blight 18 or nuisance in the neighborhood; or creates fire and health 19 hazards; or are used for immoral and criminal purposes; or
1 constitutes unreasonable interferences with the reasonable 2 and lawful use and enjoyment of other premises in the 3 neighborhood; or are harmful to the social and economic well- 4 being of such municipalities; depreciates property values; 5 and generally jeopardizes the health, safety and welfare of 6 the public; 7 (2) any premises which because of physical condition, 8 use or occupancy is considered an attractive nuisance to 9 children, including but not limited to abandoned wells, 10 shafts, basements, excavations, and unsafe fences or 11 structures; 12 (3) any dwelling which because it is dilapidated, 13 unsanitary, unsafe, vermin-infested or lacking in the 14 facilities and equipment required by the housing code has 15 been designated by the department responsible for enforcement 16 of the code as unfit for human habitation; 17 (4) any structure which is a fire hazard, or is 18 otherwise dangerous to the safety of persons or property; or 19 (5) any structure from which the utilities, plumbing, 20 heating, sewerage or other facilities have been disconnected, 21 destroyed, removed, or rendered ineffective so that the 22 property is unfit for its intended use. 23 "Family unit." The term means and includes a father, mother 24 and any natural or adopted children, a father with any children 25 or a mother with any children or a married couple without any 26 children. 27 Section 3. Designation of deteriorated property. 28 The executive head of the municipality responsible for 29 enforcing the local housing, building, plumbing and related 30 codes, or any other officer or agency designated by the 19790H0519B0559 - 2 -
1 governing bodies of the municipality in writing to the 2 Department of Community Affairs, must certify to the Department 3 of Community Affairs the properties which have been found by 4 such responsible officer or agency to be deteriorated property 5 as defined in section 2, except that no property shall be 6 certified to the Department of Community Affairs unless the 7 owner of the property or an agent designed by him for receipt of 8 service of notices within the municipality has been served with 9 notice of the determination that the property is deteriorated, 10 together with an appropriate order to eliminate the conditions 11 causing the deterioration and notification that failure to do so 12 may render the property subject to condemnation under this act. 13 The notice shall be served upon the owner or his agent in accord 14 with the provisions of the local ordinance pertaining to service 15 of notice of determination of a public nuisance or code 16 violation. 17 Section 4. Acquisition of deteriorated property. 18 (a) Upon receiving certification of a deteriorated property, 19 the Department of Community Affairs shall make a determination 20 on whether to acquire and rehabilitate the property. After an 21 affirmative determination, the Department of Community Affairs 22 shall acquire the deteriorated property pursuant to the 23 provisions of the act of June 22, 1964 (1st Sp.Sess., P.L.84, 24 No.6), known as the "Eminent Domain Code." 25 (b) Title to any property acquired by an authority through 26 eminent domain shall be an absolute or fee simple title, unless 27 a lesser title shall be designated in the eminent domain 28 proceedings. The Department of Community Affairs may exercise 29 the right of eminent domain in the manner provided by law in the 30 county in which such property is located. If any of the real 19790H0519B0559 - 3 -
1 property in a redevelopment area which is to be acquired, or any 2 real property which is to be acquired for a community 3 development activity, has, prior to such acquisition, been 4 devoted to another public use, it may, nevertheless, be acquired 5 by condemnation: Provided, That no real property belonging to a 6 city, county or to the Commonwealth may be acquired without its 7 consent. No real property belonging to a public utility 8 corporation may be acquired without the approval of the Public 9 Utility Commission. In order to facilitate the planning and 10 programming of the acquisition of property of a Public Utility 11 Corporation, the Public Utility Commission, shall upon request 12 of the Department of Community Affairs, render an advisory 13 letter as to whether there is any substantive reason known that 14 would preclude the granting of permission by the Public Utility 15 Commission for the acquisition of the property. 16 Section 5. Reoccupation of acquired deteriorated property. 17 (a) All property acquired by the Department of Community 18 Affairs pursuant to section 4 shall be offered for either public 19 or private sale at its fair market value or the amount paid to 20 the condemnee, whichever is lesser. All moneys received from the 21 sale of such property shall be deposited in the State Treasury 22 to assist the department in further acquisitions of blighted 23 property. 24 (b) The Department of Community Affairs shall provide advice 25 and assistance to the new owners for the purposes of securing 26 financing to acquire the property and to restore the property to 27 a habitable condition. 28 (c) Each purchaser of any blighted property offered for sale 29 by the Department of Community Affairs shall cooperate with such 30 department in establishing a schedule for the rapid 19790H0519B0559 - 4 -
1 rehabilitation of the blighted property. 2 (d) All deeds for such property from the Department of 3 Community Affairs shall contain a restriction which requires 4 that the property be utilized only for residential dwellings. 5 (e) Whenever the Department of Community Affairs determines 6 that a private sale is in the best interests of the neighborhood 7 and the implementation of the provisions of this act, the 8 department shall select a private buyer only after close 9 consultation with concerned neighborhood groups and residents 10 surrounding the affected property. 11 Section 6. Home improvement loan program. 12 The Department of Community Affairs shall, in cooperation 13 with banks, savings and loan institutions and insurance 14 companies, develop and implement a program which shall provide 15 limited low interest home improvement loans to enable purchasers 16 of deteriorated property to restore these homes to livable 17 conditions. 18 Section 7. Appropriation. 19 The sum of $250,000 or as much thereof as may be necessary is 20 specifically appropriated to the Department of Community Affairs 21 for the fiscal year 1978-1979 in order to implement the 22 provisions of this act. 23 Section 8. Effective date. 24 This act shall take effect in 60 days. A19L46HVY/19790H0519B0559 - 5 -