1Amending the act of July 7, 1947 (P.L.1368, No.542), entitled,
2as amended, "An act amending, revising and consolidating the
3laws relating to delinquent county, city, except of the first
4and second class and second class A, borough, town, township,
5school district, except of the first class and school
6districts within cities of the second class A, and
7institution district taxes, providing when, how and upon what
8property, and to what extent liens shall be allowed for such
9taxes, the return and entering of claims therefor; the
10collection and adjudication of such claims, sales of real
11property, including seated and unseated lands, subject to the
12lien of such tax claims; the disposition of the proceeds
13thereof, including State taxes and municipal claims recovered
14and the redemption of property; providing for the discharge
15and divestiture by certain tax sales of all estates in
16property and of mortgages and liens on such property, and the
17proceedings therefor; creating a Tax Claim Bureau in each
18county, except counties of the first and second class, to act
19as agent for taxing districts; defining its powers and
20duties, including sales of property, the management of
21property taken in sequestration, and the management, sale and
22disposition of property heretofore sold to the county
23commissioners, taxing districts and trustees at tax sales;
24providing a method for the service of process and notices;
25imposing duties on taxing districts and their officers and on
26tax collectors, and certain expenses on counties and for
27their reimbursement by taxing districts; and repealing
28existing laws," further providing for county bureau to
29collect taxes, for system of accounting and distribution, for
30reimbursement of county and charges and for agent of taxing
31districts and lien certificates.

1The General Assembly of the Commonwealth of Pennsylvania
2hereby enacts as follows:

3Section 1. Section 204 of the act of July 7, 1947 (P.L.1368,
4No.542), known as the Real Estate Tax Sale Law, amended July 3,
51986 (P.L.351, No.81), is amended to read:

6Section 204. County Bureau to Collect Taxes.--

7(a) Each county bureau shall receive and collect such taxes
8and give proper receipt therefor when payment is offered, and to
9make distribution of the moneys received as provided by this
10act.

11[(b) (1) All taxes for which returns have been made to the
12bureau shall be payable only to the bureau and shall not be
13payable to or be accepted by any taxing district or tax
14collector.

15(2) In the event that any such taxes are received or
16accepted by any taxing district contrary to the provisions of
17this section, the taxing district shall be liable to the bureau
18for, and the bureau shall deduct from any distribution to which
19the taxing district is entitled under section 205, all charges,
20fees, costs, commission and interest to which the bureau would
21otherwise have been entitled under the act if payment had been
22made directly to the bureau.]

23Section 2. Section 205 of the act, amended June 29, 1990
24(P.L.260, No.61), is amended to read:

25Section 205. System of Accounting and Distribution.--

26(a) In each county bureau a system of accounting and
27distribution of all moneys collected or received under the
28provisions of this act shall be established in the bureau as may
29be determined by the county commissioners, the county
30controller, if any, and county treasurer.

1(b) The bureau shall keep an accurate account of all money
2recovered and received by it under this act and maintain a
3separate account for each property.

4(c) Money received on account of costs, fees and expenses
5advanced by any taxing district shall be repaid to the taxing
6district making the advance. Other money collected under this
7act shall be subject, first, to a commission of five per centum
8(5%) of all money collected to be retained by the bureau to
9offset costs of the administration of this act. Money received 
10or collected by taxing districts directly pursuant to alternate 
11statutory collection schemes shall not be subject to any 
12commissions imposed under this act. Interest earned on money
13held by the bureau prior to distribution shall also be retained
14by the bureau for administrative costs.

15(c.1) It shall then be the duty of the bureau to distribute
16the entire remaining balance of the moneys collected, except
17moneys collected through any tax sale under the provisions of
18this act, to the taxing districts at least once every three (3)
19months in proportion to the taxes due each taxing district.

20(d) It shall be the duty of the bureau to distribute all
21moneys collected as the result of any tax sale conducted under
22the provisions of this act, less the deductions authorized by
23subsection (c), in the following manner and according to the
24following priority:

25(1) First, to the Commonwealth, by payment to the State
26Treasurer through the Department of Revenue, for satisfaction of
27tax liens of the Commonwealth only if the total amount of such
28liens or such portion thereof have been included in the purchase
29price and paid by the purchaser or the property is sold at
30judicial sale pursuant to this act.

1(2) Second, to the respective taxing districts in proportion
2to the taxes due them.

3(3) Third, to taxing districts or municipal authorities for
4satisfaction of municipal claims.

5(4) Fourth, to mortgagees and other lien holders, in order
6of their priority, for satisfaction of mortgages and liens as
7they may appear of record, whether or not discharged by the
8sale.

9(5) Fifth, to the owner of the property.

10(e) Prior to the actual distribution required by subsection
11(d), the bureau shall petition the court of common pleas for a
12confirmation of distribution. The petition shall set forth a
13proposed schedule of distribution for each account and shall
14request the court to issue a rule to show cause on each
15distributee why the court should not confirm the distribution as
16proposed. The rule to show cause and a copy of the petition
17shall be served by first class mail upon each distributee and
18upon the purchaser, with proof of mailing to the last residence
19or place of business of the distributee known to the bureau and
20to the purchaser at the address given to the bureau. If the rule
21to show cause is not returned by any distributee or purchaser on
22or before the time set for its return, the court shall forthwith
23confirm the distribution absolutely. If any distributee or
24purchaser makes a return of the rule within the time set by the
25court, the court shall forthwith hear any objections and
26exceptions to the proposed distribution and thereafter adjust
27the schedule of distribution as it deems just and equitable
28according to law and confirm the distribution absolutely as
29adjusted. An absolute confirmation of distribution by the court
30shall be final and nonappealable with respect to all

1distributees listed in the petition.

2(f) Whenever no claim for payment of any balance due the
3owner of the property is presented by or on behalf of the owner
4within a period of three (3) years of the date of the sale, the
5balance of the proceeds shall be distributed to the respective
6taxing districts pro rata based on the millage imposed by the
7respective taxing districts as of the year such property was
8sold. Interest earned by the proceeds of the sale during this
9three-year period shall be retained by the county.

10Section 3. Sections 207 and 208 of the act, amended July 3,
111986 (P.L.351, No.81), are amended to read:

12Section 207. Reimbursement of County; Charges.--(a) In
13order to reimburse the county for the actual costs and expenses
14of operating the bureau created by this act, the county shall
15receive and retain out of all moneys collected or received under
16the provisions of [this act] section 205(c), five per centum
17(5%) thereof, which percentage shall be deducted by the bureau
18before paying over moneys to the respective taxing districts
19entitled thereto. This percentage and interest earned under
20section 205 shall be paid into the county treasury for the use
21of the county. The reimbursement herein provided for shall be in
22addition to the costs, fees and expenses advanced by the county,
23which, upon recovery, are payable to the county as provided by
24the preceding section of this act.

25(b) In addition to the five per centum (5%) authorized by
26subsection (a), and the reimbursement as therein provided,
27maximum charges for the following or similar type services are
28authorized:

29(1) Entry of Claim, includes ....................	$10.00
30(i) audit lien sheets
20130HB1336PN1734 -5-
1(ii) enter on property card
2(iii) enter in docket
3(iv) enter in index
4(v) type notice of return
5(vi) mail notice of return
6(2) Satisfaction of Claim, includes .............	$5.00
7(i) prepare receipt
8(ii) satisfy docket
9(iii) satisfy index
10(iv) post property card
11(v) enter on daily distribution sheet
12(3) Preparation of Sale, includes ...............	$15.00
13(i) prepare cost sheet
14(ii) type notice of sale
15(iii) mail notice of sale
16(iv) prepare advertising copy
17(4) Review of Records, includes .................	$10.00
18(i) check assessment records
19(ii) check Recorder of Deeds
20(iii) check Register of Wills
21(5) Preparation of Deed..........................	$25.00
22(6) Discharge of Tax Claim, Section 501..........	$5.00
23(6.1) Removal from Sale, Section 603.............	$5.00
24(7) Agreement to Stay Sale, Section 603..........	$15.00
25(8) Postage......................................	Actual cost

26It is the intent of this act to authorize the bureau to charge
27the costs of its operation against the properties for which a
28delinquent return is made on an equitable and pro-rata basis in
29so far as is possible. The charge made for each service shall
30bear a reasonable relationship to the service rendered.

1Section 208. Agent of Taxing Districts; Lien Certificates.--
2The bureau and the director thereof shall, in the administration
3of this act, be the agent of the taxing districts whose tax
4claims are returned to the bureau for collection and prosecution
5under the provisions of this act, and in the management and
6disposition of property in accordance with the provisions of
7this act.

8Any taxing district whose tax claims have been returned to
9the bureau under the provisions of this act shall have the right
10to adopt a resolution advising the bureau that it intends to
11collect some or all of its delinquent taxes pursuant to an
12alternate tax collection scheme and directing the bureau not to
13collect some or all of its delinquent taxes.

14The bureau shall, upon request of any person, furnish a lien
15certificate showing the taxes due on any property as shown by
16its records. A fee of not more than five dollars ($5) shall be
17charged for any such certificate and shall be payable to the
18county.

19Section 4. This act shall take effect in 60 days.