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        PRIOR PRINTER'S NO. 2546                      PRINTER'S NO. 4283

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1964 Session of 1989


        INTRODUCED BY MICHLOVIC, PISTELLA, TRELLO AND GIGLIOTTI,
           OCTOBER 10, 1989

        AS REPORTED FROM COMMITTEE ON STATE GOVERNMENT, HOUSE OF
           REPRESENTATIVES, AS AMENDED, NOVEMBER 13, 1990

                                     AN ACT

     1  Amending the act of April 9, 1929 (P.L.177, No.175), entitled
     2     "An act providing for and reorganizing the conduct of the
     3     executive and administrative work of the Commonwealth by the
     4     Executive Department thereof and the administrative
     5     departments, boards, commissions, and officers thereof,
     6     including the boards of trustees of State Normal Schools, or
     7     Teachers Colleges; abolishing, creating, reorganizing or
     8     authorizing the reorganization of certain administrative
     9     departments, boards, and commissions; defining the powers and
    10     duties of the Governor and other executive and administrative
    11     officers, and of the several administrative departments,
    12     boards, commissions, and officers; fixing the salaries of the
    13     Governor, Lieutenant Governor, and certain other executive
    14     and administrative officers; providing for the appointment of
    15     certain administrative officers, and of all deputies and
    16     other assistants and employes in certain departments, boards,
    17     and commissions; and prescribing the manner in which the
    18     number and compensation of the deputies and all other
    19     assistants and employes of certain departments, boards and
    20     commissions shall be determined," further providing for the
    21     allocation of proceeds of sale of certain surplus properties.

    22     The General Assembly of the Commonwealth of Pennsylvania
    23  hereby enacts as follows:
    24     Section 1.  Section 2406-A of the act of April 9, 1929         <--
    25  (P.L.177, No.175), known as The Administrative Code of 1929,
    26  added July 1, 1981 (P.L.143, No.48), is amended to read:


     1     SECTION 1.  THE ACT OF APRIL 9, 1929 (P.L.177, NO.175), KNOWN  <--
     2  AS THE ADMINISTRATIVE CODE OF 1929, IS AMENDED BY ADDING A
     3  SECTION TO READ:
     4     SECTION 2403-A.1.  MENTAL HEALTH OR MENTAL RETARDATION
     5  FACILITIES.--(A)  FOR ALL REAL PROPERTY IDENTIFIED AS SURPLUS BY
     6  AN AGENCY, THE LAST PRIOR USE OF WHICH WAS AS A MENTAL HEALTH OR
     7  MENTAL RETARDATION FACILITY OR WHICH FORMERLY WAS A MENTAL
     8  HEALTH OR MENTAL RETARDATION FACILITY AND UNDER THE JURISDICTION
     9  OF THE DEPARTMENT OF PUBLIC WELFARE, THE DEPARTMENT SHALL
    10  DEVELOP A PLAN FOR THE DISPOSITION OF SAID PROPERTY PURSUANT TO
    11  SECTION 2403-A.
    12     (B)  THE PROCEEDS OF SUCH DISPOSITION SHALL BE PAID TO THE
    13  PENNSYLVANIA HOUSING FINANCE AGENCY (PHFA) TO BE HELD BY THE
    14  AGENCY IN A SPECIAL NEEDS HOUSING TRUST FUND TO FINANCE THE
    15  RENTAL, PURCHASE, CONSTRUCTION OR SUBSTANTIAL REHABILITATION OF
    16  COMMUNITY-BASED HOUSING FOR THE MENTALLY ILL OR MENTALLY
    17  RETARDED. SUCH FINANCING MAY TAKE THE FORM OF GRANTS OR LOANS,
    18  OR ANY COMBINATION THEREOF.
    19     (C)  THE PHFA SHALL WORK IN COOPERATION WITH THE DEPARTMENT
    20  OF PUBLIC WELFARE IN THE SELECTION AND FUNDING OF PROJECTS. THE
    21  PHFA SHALL REVIEW THE PROPOSALS FOR FINANCIAL FEASIBILITY. THE
    22  PHFA SHALL FUND THOSE PROJECTS DEEMED FINANCIALLY FEASIBLE WHICH
    23  ARE APPROVED BY THE DEPARTMENT, IN THE PRIORITY ORDER
    24  ESTABLISHED BY THE DEPARTMENT. TO THE MAXIMUM EXTENT POSSIBLE,
    25  THE PROCEEDS SHALL BE INVESTED IN THOSE MUNICIPALITIES WHICH
    26  COMPRISED THE POPULATION CATCHMENT AREA OF THE FACILITY BEING
    27  DISPOSED OF AND IN OTHER MUNICIPALITIES OF GREAT NEED AS
    28  DETERMINED BY THE DEPARTMENT.
    29     (D)  THE COSTS AND FEES INCURRED BY THE DEPARTMENT OF GENERAL
    30  SERVICES, INCLUDING, BUT NOT LIMITED TO, COSTS OF TITLE
    19890H1964B4283                  - 2 -

     1  SEARCHES, NOTICES, SURVEYS AND APPRAISALS, SHALL BE DEDUCTED
     2  FROM THE PURCHASE PRICE AND THAT AMOUNT SHALL BE AN EXECUTIVELY
     3  AUTHORIZED AUGMENTATION TO THE APPROPRIATION FROM WHICH THE
     4  COSTS AND FEES WERE PAID BY THE DEPARTMENT.
     5     (E)  FUNDS WHICH ARE NOT SPENT OR ENCUMBERED FOR PROJECTS
     6  WITHIN FOUR (4) YEARS FROM THE DATE DEPOSITED IN THE FUND SHALL
     7  REVERT TO THE DEPARTMENT TO FUND PROJECTS AND PROGRAMS
     8  CONSISTENT WITH THE INTENT OF THIS SECTION.
     9     (F)  ANY INVESTMENT AND INTEREST EARNINGS OR MONEYS FROM THE
    10  FUND MAY BE USED BY THE PHFA FOR THE ADMINISTRATIVE COSTS OF THE
    11  PROGRAM.
    12     SECTION 2.  SECTION 2406-A OF THE ACT, ADDED JULY 1, 1981
    13  (P.L.143, NO.48), IS AMENDED TO READ:
    14     Section 2406-A.  Allocation of Sale Proceeds.--[The] (a)       <--
    15  Except as provided in subsection (b) SECTION 2403-A.1, the        <--
    16  proceeds of the sale of real estate under the provisions of
    17  section 2405-A shall be paid into the State Treasury, through
    18  the Department of Revenue and deposited in the Capital
    19  Facilities Redemption Fund, or if the land was acquired by
    20  moneys wholly or mainly out of a special fund, such proceeds
    21  shall be credited to the proper special fund, and all proceeds
    22  of the sale of authority properties shall be paid to the
    23  respective fiscal agent of the authority in accordance with the
    24  bond resolution. The costs and fees incurred by the Department
    25  of General Services, including, but not limited to, costs of
    26  title searches, notice, surveys and appraisals, shall be
    27  deducted from the purchase price and that amount shall be an
    28  executively authorized augmentation to the appropriation from
    29  which the costs and fees were paid by the department.
    30     (b)  When land or buildings are sold, the proceeds shall be    <--
    19890H1964B4283                  - 3 -

     1  divided among the counties. This division of proceeds may occur
     2  in the following manner at the discretion of the Secretary of
     3  the Department of Public Welfare. To the limit of the revenue
     4  available, the Commonwealth, acting on the authority of the
     5  secretary, may purchase or construct, and retain title to,
     6  appropriate real estate in the community for the provision of
     7  programs to the mentally ill or mentally retarded. This property
     8  shall then be made available to any county, except that no
     9  county match, either in cash or in kind, shall be required, but
    10  counties may voluntarily choose to contribute to the purchase of
    11  the property. The property shall then be leased to the county
    12  for one dollar ($1.00) per year, for fifty years, for the
    13  conduct of appropriate programs of treatment, rehabilitation or
    14  housing of the mentally ill and mentally retarded. The property
    15  may, at the discretion of the Board of Commissioners, be
    16  subleased to private nonprofit organizations for the provision
    17  of services to the mentally disabled.
    18     Section 2 3.  This act shall take effect immediately.          <--








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