PRINTER'S NO. 3133
No. 2405 Session of 1980
INTRODUCED BY VROON, CALTAGIRONE, COCHRAN, F. TAYLOR, STEIGHNER,
ZELLER, CAPPABIANCA, YOHN, CORNELL, SCHEAFFER, ALDEN,
SCHWEDER, MOEHLMANN, ITKIN, SIEMINSKI, NAHILL, JONES,
M. H. GEORGE, ZWIKL, PITTS, CESSAR, BROWN, PETRARCA, NOYE,
YAHNER, WENGER, IRVIS, BOWSER, M. R. CLARK, BENNETT, PRATT,
B. F. O'BRIEN, HARPER, GRUPPO, COLE, REED AND FREIND,
MARCH 25, 1980
REFERRED TO COMMITTEE ON BUSINESS AND COMMERCE, MARCH 25, 1980
AN ACT
1 Amending the act of May 17, 1956 (1955 P.L.1609, No.537),
2 entitled "An act to promote the welfare of the people of the
3 Commonwealth by the reduction of unemployment in certain
4 areas of the Commonwealth determined to be critical economic
5 areas; providing for the establishment of industrial
6 development projects in such areas; creating The Pennsylvania
7 Industrial Development Authority as a body corporate and
8 politic with power to allocate funds for and make secured
9 loans to industrial development agencies for the payment of a
10 part of the cost of industrial development projects in
11 critical economic areas; authorizing the Authority to enter
12 into agreements with the Government of the United States or
13 any Federal agency or industrial development agency;
14 empowering the Authority to take title to, sell, convey and
15 lease industrial development projects where necessary to
16 protect loans made by the Pennsylvania Industrial Development
17 Authority on industrial development projects; providing that
18 no debt of the Commonwealth, its municipalities or political
19 subdivisions shall be incurred in the exercise of any powers
20 granted by this act; and providing for the examination of the
21 accounts and affairs of the Authority; and making an
22 appropriation," creating the Pennsylvania Energy Development
23 Office as a special division in the Pennsylvania Industrial
24 Development Authority and setting forth its powers and
25 duties.
26 The General Assembly of the Commonwealth of Pennsylvania
27 hereby enacts as follows:
1 Section 1. The act of May 17, 1956 (1955 P.L.1609, No.537),
2 known as the "Pennsylvania Industrial Development Authority
3 Act," is amended by adding sections to read:
4 Section 7.1. Declaration of Policy.--(a) It is determined
5 and declared as a matter of legislative finding:
6 (1) That the Commonwealth has extensive resources which
7 could be utilized in the development and refinement of new and
8 existing fuel sources to provide energy.
9 (2) That the development of such fuel sources should be
10 enhanced to increase employment in the Commonwealth, improve the
11 economic welfare of the citizens of this Commonwealth and
12 promote the effective utilization of the resources of this
13 Commonwealth.
14 (b) The General Assembly declares such purpose to be a
15 public purpose for which public money may be expended and there
16 is hereby created within the Pennsylvania Industrial Development
17 Authority a special division known as the Pennsylvania Energy
18 Development Office.
19 Section 7.2. Definitions.--The following terms, whenever
20 used or referred to, relative to the special division created
21 herein, shall have the following meaning, unless the context
22 clearly indicates otherwise:
23 The term "alternative energy technologies" shall mean those
24 nonconventional technologies, processes or sources which will
25 decrease United States dependency on petroleum and natural gas.
26 The term "facilities" shall mean those physical structures,
27 equipment, machinery, site and realty used in the generation of
28 sources of fuel or energy.
29 Section 7.3. General Powers of the Office.--The Pennsylvania
30 Energy Development Office shall have authority to exercise the
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1 powers necessary to effectuate the purposes of this act,
2 including, but not limited to, the following:
3 (a) To assist persons (including corporations, partnerships
4 and other associations of persons) in the development and
5 implementation within this Commonwealth, of alternative energy
6 technologies designed to increase the fuel and energy available
7 to the citizens of this Commonwealth and to make low interest
8 loans to such persons.
9 (b) To determine the feasibility of the development and
10 implementation of alternative energy technologies within the
11 Commonwealth.
12 (c) To make rules and regulations and prescribe necessary
13 forms for carrying out the purposes of this act, subject to the
14 approval of the governing board as provided in section 4 of this
15 act.
16 Section 7.4. Energy Development Loans.--(a) Upon the
17 application of a person desiring to develop or implement
18 facilities for the manufacture, distillation, processing,
19 refinement or other generation of fuel sources intended to
20 increase the fuels available to the citizens of this
21 Commonwealth, on forms provided by the Pennsylvania Energy
22 Development Office, a determination shall be made concerning the
23 appropriateness and feasibility of implementing the proposed
24 facility and attainment of the purposes of this act. The
25 Pennsylvania Energy Development Office may approve and loan such
26 person up to (40%) of the cost of constructing and implementing
27 the proposed facility.
28 (b) In determining the grant of loans issued pursuant to
29 this section, the Pennsylvania Energy Development Office, in
30 consultation with the Pennsylvania Industrial Development
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1 Authority, shall establish the repayment term of the loan,
2 conditions on securing matching funds and similar requirements
3 applicable to all such loans.
4 (c) The proceeds from repayments of the loans made by the
5 Pennsylvania Energy Development Office shall be credited to the
6 Pennsylvania Energy Development Office and be deposited with the
7 Pennsylvania Industrial Development Fund subject to the
8 conditions imposed on the other moneys deposited in said fund.
9 Section 2. Section 8 of the act, fourth paragraph amended
10 September 27, 1973 (P.L.257, No.73), is amended to read:
11 Section 8. Appropriation; Industrial Development Fund.--The
12 sum of five million dollars ($5,000,000) is hereby specifically
13 appropriated to the Authority for the purposes set forth in this
14 act.
15 There is hereby created a special account in the Treasury of
16 the Commonwealth to be known as the Industrial Development Fund
17 to which shall be accredited the above provided appropriation
18 and any subsequent appropriations made by the Legislature to the
19 Authority, as well as such other deposits as in this section
20 provided.
21 As often as may be necessary, the Authority, for itself and
22 the Pennsylvania Energy Development Office, shall requisition
23 from the Industrial Development Fund such amounts as may be
24 necessary to provide adequate funds for the payment of the
25 administration of the purpose of this act.
26 The Authority shall also requisition, from time to time, from
27 the Industrial Development Fund such amounts as shall be
28 allocated and appropriated by the Authority or the Pennsylvania
29 Energy Development Office for loans to industrial development
30 agencies for industrial development projects or for loans to
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1 persons for implementation of alternative energy fuel sources.
2 Subject to the provisions of sections 5 [and], 5.1, 7.1 and 7.4
3 of this act and subject to the provisions of any agreements to
4 the contrary entered into with lenders or trustees pursuant to
5 the Authority granted in said sections 5 [and], 5.1, 7.1 and
6 7.4, when and as the amounts so allocated and appropriated by
7 the Authority as loans to industrial development agencies are
8 repaid to the Authority pursuant to the terms of the mortgages
9 and other agreements made and entered into by the Authority, the
10 Authority shall pay such amounts into the Industrial Development
11 Fund, it being the intent of this act that the Industrial
12 Development Fund shall operate as a revolving fund whereby all
13 appropriations and payments made thereto may be applied and
14 reapplied to the purposes of this act.
15 At any time that the Authority shall determine that funds
16 held for the credit of the Industrial Development Fund are in
17 excess of the amount needed by the Authority to carry out the
18 purposes of this act, the Authority shall take such action as
19 shall be required to release such excess from the Industrial
20 Development Fund and transfer the same to the General Fund of
21 the State Treasury.
22 Section 3. This act shall take effect in 60 days.
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