PRIOR PRINTER'S NO. 773                       PRINTER'S NO. 1427

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 684 Session of 1985


        INTRODUCED BY OLASZ, MANDERINO, CLARK, DeWEESE, PETRARCA,
           SALOOM, LIVENGOOD, VAN HORNE, SEVENTY, DeLUCA, GRUITZA,
           DUFFY, KASUNIC, F. E. TAYLOR, CAWLEY, TIGUE, BLAUM,
           CAPPABIANCA, COHEN, HUTCHINSON, McCALL, STABACK, LAUGHLIN,
           LESCOVITZ, COLAFELLA, KUKOVICH, PISTELLA, BELFANTI AND LUCYK,
           MARCH 20, 1985

        AS REPORTED FROM COMMITTEE ON MINES AND ENERGY MANAGEMENT,
           HOUSE OF REPRESENTATIVES, AS AMENDED, MAY 14, 1985

                                     AN ACT

     1  Providing for abandoned mine subsidence emergency assistance;
     2     and making a repeal.

     3     The General Assembly of the Commonwealth of Pennsylvania
     4  hereby enacts as follows:
     5  Section 1.  Short title.
     6     This act shall be known and may be cited as the Abandoned
     7  Mine Subsidence Assistance Act.
     8  Section 2.  Purpose of act.
     9     By this act, the General Assembly of the Commonwealth of
    10  Pennsylvania recognizes that the existence of abandoned mine
    11  cavities beneath large and populated areas of this Commonwealth
    12  poses a continued threat to the health and welfare of the
    13  residents of those areas and further recognizes that subsidence
    14  over such abandoned mines damages property, jeopardizes public
    15  safety and causes economic hardship to property owners.


     1  Accordingly, it is the purpose of this act to authorize
     2  financial assistance, in the form of grants and loans, to
     3  homeowners whose dwellings have been damaged by subsidence over
     4  abandoned mine cavities.
     5  Section 3.  Definitions.
     6     The following words and phrases when used in this act shall
     7  have the meanings given to them in this section unless the
     8  context clearly indicates otherwise:
     9     "Department."  The Department of Environmental Resources of
    10  the Commonwealth.
    11     "Dwelling."  A structure whose primary use is residential.
    12     "Mine subsidence damage."  Damage to a dwelling caused by the
    13  vertical or lateral movement of the earth as the result of the
    14  collapse of an abandoned mine cavity.
    15     "Mine subsidence emergency."  A condition in which a dwelling
    16  sustains mine subsidence damage sufficient to render the
    17  structure unsafe for human occupancy.
    18  Section 4.  Mine Subsidence Assistance Program.
    19     (a)  Financial assistance.--Whenever a homeowner believes
    20  that his dwelling has sustained mine subsidence damage, the
    21  homeowner may apply to the department for mine subsidence
    22  assistance. The application shall be on a form prepared by the
    23  department and shall provide for inspection of the dwelling to
    24  determine the nature and extent of the damage. Upon a
    25  determination by the department that a dwelling has sustained
    26  mine subsidence damage, the department shall grant assistance,
    27  as follows:
    28         (1)  Grants may be awarded only to those homeowners whose
    29     dwellings are unsafe for occupancy as a result of a mine
    30     subsidence emergency as defined herein and may be awarded:     <--
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     1             (i)  To match any Federal funds available for mine
     2         subsidence relief.
     3             (ii)  To fill voids from mine subsidence.
     4             (iii)  To TO move persons whose dwellings are          <--
     5         destroyed or endangered until the homes are repaired,
     6         until there is no further danger of subsidence or until a
     7         new permanent residence is found.
     8         (2)  Loans may be approved at interest rates not to
     9     exceed 3% for the repair or replacement of dwellings damaged
    10     by mine subsidence. The loans may be awarded without regard
    11     to whether such dwellings are rendered unsafe for occupancy
    12     as a result of a mine subsidence emergency as defined. The     <--
    13     loan may be in an amount up to either 75% of the assessed
    14     value of the dwelling prior to the subsidence event or 75% of
    15     one-half of the fair market value of the dwelling prior to
    16     the subsidence event, whichever is greater. THE LOAN SHALL BE  <--
    17     IN AN AMOUNT SUFFICIENT TO COVER THE COST OF REPAIRING THE
    18     STRUCTURAL DAMAGE TO THE DWELLING, BUT IN NO EVENT SHALL BE
    19     GREATER THAN THE REPLACEMENT COST OF THE DWELLING AS
    20     DETERMINED BY AN APPRAISER, AS PROVIDED FOR IN REGULATIONS
    21     PROMULGATED PURSUANT HERETO.
    22     (b)  Prohibition.--The provisions of this section are not
    23  applicable:
    24         (1)  To homeowners if they are holders of mine subsidence
    25     insurance policies pursuant to the act of August 23, 1961
    26     (P.L.1068, No.484), entitled  as reenacted and amended, "An
    27     act to provide for the creation and administration of a Coal
    28     and Clay Mine Subsidence Insurance Fund within the Department
    29     of Environmental Resources for the insurance of compensation
    30     for damages to subscribers thereto; declaring false oaths by
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     1     the subscribers to be misdemeanors; providing penalties for
     2     the violation thereof; and making an appropriation."
     3         (2)  If mine subsidence has occurred within the past year  <--
     4     within a 1/2 mile radius of the dwelling for which assistance
     5     is being applied for under this act.
     6         (2)  IF MINE SUBSIDENCE HAS BEEN DETECTED WITHIN A 1/2     <--
     7     MILE RADIUS OF THE DWELLING FOR WHICH ASSISTANCE IS BEING
     8     APPLIED UNDER THIS ACT, AND IF SUCH SUBSIDENCE HAS BEEN
     9     DETECTED WITHIN THE PRECEDING YEAR BUT PRIOR TO 30 DAYS
    10     BEFORE ASSISTANCE IS APPLIED FOR UNDER THIS ACT.
    11     (C)  INSURANCE REQUIRED.--PERSONS RECEIVING ASSISTANCE UNDER
    12  THIS SECTION SHALL BE REQUIRED TO PURCHASE MINE SUBSIDENCE
    13  INSURANCE AT SUCH TIME AS THE STRUCTURAL DAMAGE FOR WHICH
    14  ASSISTANCE WAS GRANTED HAS BEEN REPAIRED IF IT IS DEEMED BY THE
    15  DEPARTMENT THAT SAID DWELLING IS IN DANGER OF FURTHER DAMAGE
    16  FROM MINE SUBSIDENCE.
    17  Section 5.  Rulemaking.
    18     The Environmental Quality Board may promulgate regulations
    19  which it deems necessary to carry out the provisions and
    20  purposes of this act.
    21  Section 6.  Public notice.
    22     For five consecutive years from the effective date of this
    23  act, the department shall undertake appropriate measures to
    24  notify the public of the availability of and need for mine
    25  subsidence insurance as provided for by the act of August 23,
    26  1961 (P.L.1068, No.484), entitled, as reenacted and amended, "An
    27  act to provide for the creation and administration of a Coal and
    28  Clay Mine Subsidence Insurance Fund within the Department of
    29  Environmental Resources for the insurance of compensation for
    30  damages to subscribers thereto; declaring false oaths by the
    19850H0684B1427                  - 4 -

     1  subscribers to be misdemeanors; providing penalties for the
     2  violation thereof; and making an appropriation." The department
     3  is hereby appropriated the sum of $250,000 FOR A PERIOD           <--
     4  BEGINNING FIVE YEARS FROM THE EFFECTIVE DATE OF THIS ACT for the
     5  purpose of conducting the public notice required by this
     6  section.
     7  Section 7.  Expiration of program.
     8     The provisions of this act shall expire within five years of
     9  the effective date of this act.
    10  Section 8.  Repeals.
    11     The act of November 8, 1971 (P.L.532, No.136), entitled "An
    12  act providing assistance to persons suffering damage from mine
    13  subsidence," is repealed.
    14  Section 9.  Effective date.
    15     This act shall take effect in 90 days.










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