PRINTER'S NO. 3166
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
2617
Session of
2022
INTRODUCED BY INNAMORATO, KRAJEWSKI, R. BROWN, HARRIS, STURLA,
CEPHAS, N. NELSON, ROZZI, HOHENSTEIN, MERSKI, SCHLOSSBERG,
HARKINS, HILL-EVANS, PISCIOTTANO, BENHAM, KULIK, SOLOMON,
SANCHEZ, LEE, OTTEN, SCHWEYER, MADDEN, FIEDLER, DEASY,
GUZMAN, BULLOCK, DRISCOLL, KINSEY, McCLINTON, BIZZARRO,
COVINGTON, KIRKLAND, SIMS, DELLOSO, KINKEAD, ABNEY,
SHUSTERMAN, WEBSTER, SAPPEY, DALEY, KIM, ISAACSON AND
BRADFORD, MAY 27, 2022
REFERRED TO COMMITTEE ON URBAN AFFAIRS, MAY 27, 2022
AN ACT
Providing for funding to address habitability concerns in owner-
occupied and rental units, measures to improve energy or
water efficiency and make units accessible for individuals
with disabilities; establishing the Whole-Home Repairs
Program and the Whole-Home Repairs Fund; and imposing duties
on the Department of Community and Economic Development.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Short title.
This act shall be known and may be cited as the Whole-Home
Repairs Act.
Section 2. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Affordable units." Units where rents are affordable to
tenants at or below 60% of area median income, adjusted for
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household size, as defined annually by the Pennsylvania Housing
Finance Agency's PennHOMES County-wide Limits.
"Code." A building, housing, property maintenance, fire,
health or other public safety ordinance, related to the use or
maintenance of real property, enacted by a municipality. The
term does not include a subdivision and land development
ordinance or a zoning ordinance enacted by a municipality.
"County applicant." A nonprofit or governmental entity that
serves one or more counties.
"Court." The appropriate court of common pleas.
"Department." The Department of Community and Economic
Development of the Commonwealth.
"Disabilities." As the term "handicap or disability" is
defined in section 4 of the act of October 27, 1955 (P.L.744,
No.222), known as the Pennsylvania Human Relations Act.
"Existing home repair programs." Programs administered by
nonprofit organizations, governmental entities and public
utilities, or the contractors and assignees of such entities,
that provide services to repair residential housing that are
funded in accordance with or through, but not exclusively
limited to, the following programs:
(1) The weatherization assistance programs administered
as a part of the programs authorized under the Low-Income
Home Energy Assistance Act of 1981 (Public Law 97-35, 42
U.S.C. § 8621 et seq.) or the Energy Conservation in Existing
Buildings Act of 1976 (Public Law 94-385, 42 U.S.C. § 6851 et
seq.).
(2) The Community Development Block Grant Program under
Title I of the Housing and Community Development Act of 1974
(Public Law 93-383, 88 Stat. 633), as amended.
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(3) The HOME program under the act of December 18, 1992
(P.L.1376, No.172), known as the Pennsylvania Affordable
Housing Act.
(4) The Medical Assistance Community HealthChoices
Program.
(5) The Pennsylvania Housing Affordability and
Rehabilitation Enhancement Program under Article IV-D of the
act of December 3, 1959 (P.L.1688, No.621), known as the
Housing Finance Agency Law.
(6) The Keystone Communities Program administered by the
department.
(7) Low-income usage reduction programs established
under 52 Pa. Code Ch. 58 (relating to residential low income
usage reduction programs).
(8) The Energy Efficiency and Conservation Program
established under 66 Pa.C.S. § 2806.1(b)(1)(i)(G) (relating
to energy efficiency and conservation program).
"Fund." The Whole-Home Repairs Fund established under
section 5.
"Habitability concerns." Home repairs that are required to
ensure residential units are any of the following:
(1) Fit for human habitation.
(2) Free from defective conditions or health and safety
hazards, including asbestos, mold, pests or lead.
(3) Free of conditions preventing installation of
measures to improve energy or water efficiency and lower
utility costs.
"Homeowner." A person who is any of the following:
(1) An owner of record evidenced by a publicly recorded
deed.
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(2) An owner-occupant of a manufactured home who leases
a space in a manufactured home community.
(3) An equitable owner who can demonstrate an ownership
interest in a property as provided by law, including:
(i) A person who has inherited an interest in a
property.
(ii) A person who has entered a contract to purchase
a property.
(iii) A person who was the owner of record before a
fraudulent conveyance of the property.
(iv) A person who is a trust beneficiary and a
person holding a partial ownership interest in a property
such as tenancy by the entirety, joint tenancy, tenancy
in common and life estate.
"Program." The Whole-Home Repairs Program established under
section 3.
"Serious violation." A violation of a State law or code that
poses an imminent threat to the health and safety of a dwelling
occupant, occupants in surrounding structures or passersby.
"Small landlords." A person, who is a landlord, who has an
ownership stake in no more than five properties and no more than
15 rental units and rents those properties or units for use as a
primary residence for a fee, regardless of the length or form of
the lease.
"State law." A statute of the Commonwealth or a regulation
of an agency charged with the administration and enforcement of
Commonwealth laws.
"Substantial step." An affirmative action as determined by a
property code official or officer of the court on the part of a
small landlord or property managing agent to remedy a serious
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violation of a State law or code, including physical
improvements or repairs to the property, which affirmative
action is subject to appeal in accordance with applicable law.
Section 3. Establishment.
The Whole-Home Repairs Program is established within the
department and shall be administered by the department.
Section 4. Administration of program.
(a) Applications.--The department shall make available an
application for a county applicant to apply for funding under
the program. The application may be accepted electronically.
(b) Awarding of grants.--The department shall award grants
to no more than one county applicant per county for project
types under subsection (c) to be used for purposes under
subsection (d). This subsection shall not be construed to
prohibit the department from awarding more than one grant to a
county applicant to serve multiple counties.
(c) Project types.--The program shall provide funding for
the following:
(1) To ensure that owner-occupied and rental units are
free of habitability concerns.
(2) To improve coordination across existing home repair
programs.
(3) To increase retention in workforce development
programs.
(d) Purposes.--Money for projects under subsection (c) shall
be used for all of the following:
(1) Grants and loans not to exceed $50,000 per unit to
address habitability concerns, to improve energy or water
efficiency, and, where requested, to make units accessible
for individuals with disabilities through the provision of:
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(i) Grants for homeowners whose household income
does not exceed 80% of the area median income.
(ii) Loans to small landlords renting affordable
units that are recorded against a residential property in
a mortgage security. Loans awarded under this
subparagraph shall comply with the following conditions:
(A) Loans made to small landlords who have
maintained compliance with each of the following
shall be forgiven:
(I) The small landlord offered to extend by
three years the lease of the tenant occupying the
unit when the funds were accepted.
(II) Annual increases in monthly rent have
not exceeded 3% of the base rent or the unit has
been occupied by a tenant participating in the
Housing Choice Voucher Program for a period of no
less than 15 years.
(III) In the prior 15 years, the small
landlord has not committed a serious violation
with regard to the small landlord's rental
property for which the small landlord has taken
no substantial steps to correct the serious
violation within six months following
notification of the serious violation and for
which no fines or other penalties or a judgment
to abate or correct were imposed by a magisterial
district judge or municipal court, nor a judgment
at law or in equity was imposed by a court. The
condition under this subclause may be met if the
property subject to the judgment, order or decree
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is subject to a stay or supersedeas by an order
of a court of competent jurisdiction or
automatically allowed by statute or rule of court
until the stay or supersedeas is lifted by the
court or a higher court or the stay or
supersedeas expires as otherwise provided by law.
Where a stay or supersedeas is in effect, the
small landlord shall so advise the county
applicant.
(IV) The small landlord has maintained
ownership of the unit for a period of no less
than 15 years.
(B) Loans made to small landlords who have not
maintained compliance with each of the conditions in
clause (A) shall be recaptured by county applicants.
(iii) Where possible, county applicants shall
prioritize the use of existing home repair programs'
funds to address habitability concerns, measures to
improve energy or water efficiency and, where requested,
to make units accessible for individuals with
disabilities.
(2) The county applicant's administration of the
program, including staff, implementation systems and data
management tools designed to maximize enrollment in all
existing home repair programs and use of the fund through the
provision and enhancement of all of the following:
(i) Technical assistance and case management
services for homeowners, renters and small landlords.
(ii) A universal program application process
evidenced by a single point of contact for homeowners,
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renters or small landlords.
(iii) Coordination across waitlists for existing
home repair programs.
(iv) Program and policy analysis, outcomes reporting
and program evaluation.
(v) Referrals, where appropriate, to legal aid,
social service providers specializing in mental,
developmental and physical health conditions, and other
relevant community-based services.
(3) The county applicant's investments in workforce
development programs that will connect trainees to jobs
through committed employer partnerships related to improving
the habitability and performance of homes, including any of
the following:
(i) Cash stipends for trainees.
(ii) Costs related to the design and implementation
of preapprenticeship, apprenticeship and publicly funded
on-the-job training programs.
(e) Limitation.--The following shall apply:
(1) Program funds shall not supplant existing resources
dedicated to existing home repair programs, but may be used
to support, expand and enhance existing home repair programs
as provided under this section.
(2) The department may not award funding to more than
one county applicant per county. This paragraph shall not be
construed to prohibit the department from awarding funding to
a county applicant to serve other counties.
Section 5. Whole-Home Repairs Fund.
(a) Establishment.--The Whole-Home Repairs Fund is
established as a special fund in the State Treasury.
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(b) Contributions to the fund.--The following shall be
deposited into the fund:
(1) Appropriations from the General Assembly.
(2) Any allocations received by the Commonwealth from
the Federal Government made available for purposes of funding
the program.
(3) Any gift, donation, legacies or other revenues.
(c) Interest.--Any interest that accrues from money in the
fund shall remain in the fund.
(d) Use of funds.--Money in the fund is appropriated to the
department on a continuing basis to carry out the provisions of
this act. The appropriation shall not lapse at the end of any
fiscal year.
Section 6. Administration by the department.
(a) Costs.--The department shall be reimbursed by the fund
for its administrative costs in carrying out the provisions of
this act.
(b) Guidelines.--The department may develop and publish
program guidelines for the implementation and administration of
the program.
Section 7. Reports.
(a) Department reporting.--No later than September 1
following the first fiscal year or any portion of the first
fiscal year in which the program is in effect and no later than
September 1 for all succeeding fiscal years in which the program
is in effect, the department shall prepare a report on the
program and submit it to the chairperson and minority
chairperson of the Appropriations Committee of the Senate, the
chairperson and minority chairperson of the Appropriations
Committee of the House of Representatives, the chairperson and
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minority chairperson of the Urban Affairs and Housing Committee
of the Senate and the chairperson and minority chairperson of
the Urban Affairs Committee of the House of Representatives. The
department shall post the report on the department's publicly
accessible Internet website. The report shall include all of the
following information for the prior year:
(1) On program funds utilized under section 4(d)(1):
(i) The total number of units, and the average cost
per unit, for which homeowners addressed habitability
concerns, installed energy efficiency measures and made
accessible for individuals with disabilities as a result
of program funds awarded under this act.
(ii) The total number of units, and the average cost
per unit, for which small landlords addressed
habitability concerns, installed energy efficiency
measures and made accessible for individuals with
disabilities as a result of program funds awarded under
this act.
(iii) The total amount of program funds invested in
addressing habitability concerns, installing energy
efficiency measures and making units accessible for
individuals with disabilities.
(iv) The total number of grant and loan applications
that were received, approved and denied.
(v) A summary of the most common reasons for denial
of applications.
(vi) The income and demographic information for
households assisted under the program.
(2) On program funds utilized under section 4(d)(2):
(i) A summary of the most common referrals as
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described under section 4(d)(2)(v).
(ii) The number of new staff hired to fulfill the
services described under section 4(d)(2).
(iii) A summary of systems improvements to fulfill
the services described under section 4(d)(2).
(3) On program funds utilized under section 4(d)(3):
(i) The total amount of program funds invested in
workforce development programs.
(ii) The total number and average amount of cash
stipends provided to trainees.
(iii) The income and demographic information for
individuals assisted by funds utilized under section 4(d)
(3).
(b) County reporting.--The department may require county
applicants awarded grants under the program to submit reports,
on a form and in a manner prescribed by the department,
containing information necessary for the department to comply
with subsection (a).
Section 8. Funding.
The department's implementation of the program shall be
contingent upon sufficient program funds being deposited into
the fund in accordance with section 5 to carry out the purposes
of this act. In a year in which there are insufficient program
funds deposited into the fund for the purposes outlined in this
act, the program shall cease until sufficient Federal funds are
allocated to the Commonwealth, funds are specifically
appropriated by the General Assembly or funds are provided by a
source other than the Commonwealth.
Section 9. Effective date.
This act shall take effect in 180 days.
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