SENATE AMENDED
        PRIOR PRINTER'S NOS. 810, 2136, 2228,         PRINTER'S NO. 3542
        3112

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 750 Session of 1987


        INTRODUCED BY OLASZ, MANDERINO, IRVIS, PETRARCA, CLARK, TELEK,
           DeWEESE, SALOOM, LIVENGOOD, VAN HORNE, SEVENTY, DeLUCA,
           GRUITZA, DUFFY, KASUNIC, F. TAYLOR, CAWLEY, TIGUE, BLAUM,
           CAPPABIANCA, COHEN, HUTCHINSON, McCALL, STABACK, LAUGHLIN,
           LESCOVITZ, COLAFELLA, KUKOVICH, PISTELLA, BELFANTI,
           O'DONNELL, DALEY, GEORGE, SWEET, LUCYK, HARPER, MICHLOVIC,
           COWELL, MARKOSEK, TRELLO, HERMAN AND VEON, MARCH 9, 1987

        AS AMENDED ON THIRD CONSIDERATION, IN SENATE, JUNE 22, 1988

                                     AN ACT

     1  Providing for abandoned mine subsidence emergency assistance.

     2     The General Assembly of the Commonwealth of Pennsylvania
     3  hereby enacts as follows:
     4  Section 1.  Short title.
     5     This act shall be known and may be cited as the Abandoned
     6  Mine Subsidence Assistance Act.
     7  Section 2.  Purpose of act.
     8     By this act, the General Assembly of the Commonwealth of
     9  Pennsylvania recognizes that the existence of abandoned mine
    10  cavities beneath large and populated areas of this Commonwealth
    11  poses a continued threat to the health and welfare of the
    12  residents of those areas and further recognizes that subsidence
    13  over such abandoned mines damages property, jeopardizes public
    14  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, to the extent
    27  funds are made available, grant assistance, 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 to
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     1     move persons whose dwellings are destroyed or endangered
     2     until the homes are repaired, until there is no further
     3     danger of subsidence or until a new permanent residence is
     4     found. GRANTS SHALL NOT BE AWARDED UNDER THIS PARAGRAPH IN     <--
     5     INSTANCES IN WHICH MINE SUBSIDENCE HAS OCCURRED WITHIN A ONE-
     6     MILE RADIUS OF THE APPLICANT'S DWELLING WITHIN THREE YEARS
     7     PRIOR TO SUBMISSION OF THE GRANT APPLICATION TO THE
     8     DEPARTMENT. THE DEPARTMENT SHALL PUBLISH NOTICE IN A
     9     NEWSPAPER OF GENERAL CIRCULATION SERVING THE VICINITY WITHIN
    10     A ONE-MILE RADIUS OF ANY AREA WHERE MINE SUBSIDENCE HAS BEEN
    11     DETECTED. THE NOTICE SHALL SET FORTH THE AREAS AND THE
    12     BOUNDARIES THEREOF WHICH ARE WITHIN A ONE-MILE RADIUS OF THE
    13     DETECTED MINE SUBSIDENCE AND SHALL INCLUDE INFORMATION
    14     REGARDING THE AVAILABILITY OF MINE SUBSIDENCE INSURANCE AND
    15     THE PROHIBITIONS AGAINST MINE SUBSIDENCE ASSISTANCE PROVIDED
    16     BY THIS ACT.
    17         (2)  Loans may be approved at interest rates not to
    18     exceed 3% for the repair or replacement of dwellings damaged
    19     by mine subsidence. Loans shall be awarded on a priority
    20     basis according to severity of damages sustained, provided
    21     that a dwelling need not be rendered unsafe for human
    22     occupancy as a result of a mine subsidence emergency as
    23     defined herein to qualify for a loan under this subsection.
    24     The loan shall be in an amount sufficient to cover the cost
    25     of repairing the structural damage to the dwelling, but in no
    26     event shall be greater than the replacement cost of the
    27     dwelling as determined by an appraiser, as provided for in
    28     regulations promulgated pursuant hereto. Loans shall be
    29     administered by the department and shall be secured by a lien
    30     upon the dwelling being repaired or replaced. LOANS SHALL NOT  <--
    19870H0750B3542                  - 3 -

     1     BE AWARDED UNDER THIS PARAGRAPH IN INSTANCES IN WHICH MINE
     2     SUBSIDENCE HAS BEEN DETECTED WITHIN A ONE-HALF MILE RADIUS OF
     3     THE DWELLING FOR WHICH ASSISTANCE IS BEING APPLIED UNDER THIS
     4     ACT AND IN WHICH THE SUBSIDENCE HAS BEEN DETECTED WITHIN THE
     5     PRECEDING YEAR BUT PRIOR TO 30 DAYS BEFORE ASSISTANCE IS
     6     APPLIED FOR UNDER THIS ACT. THE DEPARTMENT SHALL PUBLISH
     7     NOTICE IN A NEWSPAPER OF GENERAL CIRCULATION SERVING THE
     8     VICINITY WITHIN A ONE-HALF MILE RADIUS OF ANY AREA WHERE MINE
     9     SUBSIDENCE HAS BEEN DETECTED. THE NOTICE SHALL SET FORTH THE
    10     AREAS AND THE BOUNDARIES THEREOF WHICH ARE WITHIN A ONE-HALF
    11     MILE RADIUS OF THE DETECTED MINE SUBSIDENCE AND SHALL INCLUDE
    12     INFORMATION REGARDING THE AVAILABILITY OF MINE SUBSIDENCE
    13     INSURANCE AND THE PROHIBITIONS AGAINST MINE SUBSIDENCE
    14     ASSISTANCE PROVIDED BY THIS ACT.
    15     (b)  Prohibition.--The provisions of this section are not
    16  applicable:                                                       <--
    17         (1) To TO homeowners if they are holders of mine           <--
    18     subsidence insurance policies pursuant to the act of August
    19     23, 1961 (P.L.1068, No.484), entitled, as reenacted and
    20     amended, "An act to provide for the creation and
    21     administration of a Coal and Clay Mine Subsidence Insurance
    22     Fund within the Department of Environmental Resources for the
    23     insurance of compensation for damages to subscribers thereto;
    24     declaring false oaths by the subscribers to be misdemeanors;
    25     providing penalties for the violation thereof; and making an
    26     appropriation."
    27         (2)  If mine subsidence has been detected within a one-    <--
    28     half mile radius of the dwelling for which assistance is
    29     being applied under this act, and if such subsidence has been
    30     detected within the preceding year but prior to 30 days
    19870H0750B3542                  - 4 -

     1     before assistance is applied for under this act: Provided,
     2     however, That the department shall publish notice in a
     3     newspaper of general circulation serving the vicinity within
     4     a one-half mile radius of any area where mine subsidence has
     5     been detected. The notice shall set forth the areas and the
     6     boundaries thereof which are within a one-half mile radius of
     7     the detected mine subsidence and shall include information
     8     regarding the availability of mine subsidence insurance and
     9     the prohibitions against mine subsidence assistance provided
    10     by 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
    19870H0750B3542                  - 5 -

     1  subscribers to be misdemeanors; providing penalties for the
     2  violation thereof; and making an appropriation."
     3  Section 7.  Allocation of State appropriation.
     4     Notwithstanding any other provision of law to the contrary,
     5  the sum of $500,000 from the appropriation for non-mine
     6  subsidence projects in section 213 of the act of July 3, 1987
     7  (P.L.459, No.9A), known as the General Appropriation Act of
     8  1987, is hereby allocated to the Department of Environmental
     9  Resources to carry out the purposes of this act. Any
    10  unencumbered funds from this allocation shall not lapse but
    11  shall be available for expenditure for the duration of this act.
    12  SECTION 8.  REPEALS.                                              <--
    13     THE ACT OF NOVEMBER 8, 1971 (P.L.532, NO.136), ENTITLED "AN
    14  ACT PROVIDING ASSISTANCE TO PERSONS SUFFERING DAMAGE FROM MINE
    15  SUBSIDENCE," IS REPEALED.
    16  Section 8 9.  Expiration.                                         <--
    17     This act shall expire within five years of FIVE YEARS FROM     <--
    18  the effective date of this act.
    19  Section 9 10.  Effective date.                                    <--
    20     This act shall take effect in 90 days.







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