PRINTER'S NO. 1709
THE GENERAL ASSEMBLY OF PENNSYLVANIA
INTRODUCED BY SCHWANK, BLAKE, TEPLITZ, WILEY, FARNESE, FONTANA, YUDICHAK, SOLOBAY, SMUCKER, HUGHES, SMITH, BOSCOLA, COSTA, VULAKOVICH AND KASUNIC, JANUARY 16, 2014
REFERRED TO FINANCE, JANUARY 16, 2014
1Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
2act relating to tax reform and State taxation by codifying
3and enumerating certain subjects of taxation and imposing
4taxes thereon; providing procedures for the payment,
5collection, administration and enforcement thereof; providing
6for tax credits in certain cases; conferring powers and
7imposing duties upon the Department of Revenue, certain
8employers, fiduciaries, individuals, persons, corporations
9and other entities; prescribing crimes, offenses and
10penalties," further providing for the definitions of "city,"
11"contracting authority" and "pilot zone" and for
12establishment of contracting authority; providing for number
13of authorized zones; and further providing for approval.
16Section 1. The definitions of "city," "contracting
17authority" and "pilot zone" in section 1802-C of the act of
18March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of
191971, added July 9, 2013 (P.L.270, No.52), are amended to read:
20Section 1802-C. Definitions.
1* * *
2"City." A city of the second class A or third class [with a
3population of at least 30,000 based on the most recent Federal
4decennial census. The term shall not include a city that has had
5a receiver appointed under Chapter 7 of the act of July 10, 1987
6(P.L.246, No.47), known as the Municipalities Financial Recovery
7Act]. The term includes a city that is a distressed city under
8the act of July 10, 1987 (P.L.246, No.47), known as the
9Municipalities Financial Recovery Act, and a city that has had a
10receiver appointed under Chapter 7 of the Municipalities
11Financial Recovery Act.
12* * *
16(1) designating zones; and
20* * *
21"Pilot zone." An area of not more than 130 acres designated
22by the contracting authority following application and approval
23by the Department of Community and Economic Development, the
24office and the department which will provide economic
25development and job creation within a township or borough, with
26a population of at least 7,000 based on the most recent Federal
28* * *
1Section 1803-C. Establishment of contracting authority.
5(b) Distressed cities.--A city that is a distressed city
6under the act of July 10, 1987 (P.L.246, No.47), known as the
7Municipalities Financial Recovery Act, and is located in a
8county of the second class A that is a home rule county may not
9establish a contracting authority under this article.
10(c) Counties.--[The home rule county]A county of the second
11class A that is a home rule county and where a distressed city
12under the Municipalities Financial Recovery Act is located may
13establish a contracting authority to designate a zone under this
14article within the distressed city.
15Section 3. The act is amended by adding a section to read:
16Section 1803.1-C. Number of authorized zones.
17The department shall authorize 15 zones as follows:
30Section 1804-C. Approval.
1* * *
5(1) Following the effective date of this paragraph,
6applications for [two] 15 initial zones may be approved.
7Priority for approval shall be given to applications
8submitted on behalf of a city that is a distressed city under
9the act of July 10, 1987 (P.L.246, No.47), known as the
10Municipalities Financial Recovery Act, or a city that has had
11a receiver appointed under Chapter 7 of the Municipalities
12Financial Recovery Act.
13(2) Beginning in 2016, applications for two additional
14zones may be approved each calendar year[.] regardless of
15population. Priority for approval shall be given to
16applications submitted on behalf of a city that is a
17distressed city under the Municipalities Financial Recovery
18Act or a city that has had a receiver appointed under Chapter
197 of the Municipalities Financial Recovery Act.
20(3) Following the effective date of this paragraph, the
21Department of Community and Economic Development, the office
22and the department, may approve [one pilot zone] not more
23than five pilot zones.
24(4) A city may not be approved for more than one zone.
25A township or borough may not be approved for more than one
26pilot zone. A city that established a neighborhood
27improvement zone under Article XIX-B shall be eligible to
28apply for or be approved for a zone under this article.
29* * *
30Section 5. This act shall take effect in 60 days.