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        PRIOR PRINTER'S NOS. 3338, 4025               PRINTER'S NO. 4184

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 2378 Session of 2002


        INTRODUCED BY M. WRIGHT, THOMAS, DiGIROLAMO, WATSON, CAPPELLI,
           COLAFELLA, COY, DALEY, HALUSKA, HARHAI, HORSEY, McCALL,
           McILHATTAN, MICOZZIE, READSHAW, SATHER, SHANER, R. STEVENSON,
           WILT, YOUNGBLOOD AND LEDERER, FEBRUARY 14, 2002

        AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES,
           JUNE 28, 2002

                                     AN ACT

     1  Amending the act of December 14, 1992 (P.L.866, No.137),
     2     entitled "An act authorizing certain counties to increase the
     3     recording fees of deeds and mortgages to support or enhance
     4     local affordable housing efforts," amending the title and
     5     short title of the act; further providing for legislative
     6     purpose, for definitions, for optional fee increases and for
     7     disposition of proceeds; and providing for economic
     8     development efforts IN COUNTIES OF THE SECOND CLASS A.         <--

     9     The General Assembly of the Commonwealth of Pennsylvania
    10  hereby enacts as follows:
    11     Section 1.  The title and sections 1, 2, 3, 4 and 5 of the
    12  act of December 14, 1992 (P.L.866, No.137), known as the
    13  Optional County Affordable Housing Funds Act, are amended to
    14  read:
    15                               AN ACT
    16  Authorizing certain counties to increase the recording fees of
    17     deeds and mortgages to support or enhance local affordable
    18     housing efforts and economic development initiatives.
    19  Section 1.  Short title.


     1     This act shall be known and may be cited as the Optional
     2  County Affordable Housing and Economic Development Funds Act.
     3  Section 2.  Legislative purpose.
     4     The General Assembly intends to provide an alternative method
     5  for county governments to raise revenues at the local level to
     6  enable county residents to purchase or rent quality residential
     7  housing and to pursue economic development efforts IN COUNTIES    <--
     8  OF THE SECOND CLASS A that revitalize areas and communities,
     9  maximize use of local economic assets and create business and
    10  employment opportunities for their residents.
    11  Section 3.  Definitions.
    12     The following words and phrases when used in this act shall
    13  have the meanings given to them in this section unless the
    14  context clearly indicates otherwise:
    15     "Affordable housing effort."  Any program or project approved
    16  by the county commissioners which increases the availability of
    17  quality housing, either sales or rental, to any county resident
    18  whose annual income is less than the median income of the
    19  county.
    20     "County."  Any county of the second, second A, third, fourth,
    21  fifth, sixth, seventh or eighth class. The term does not include
    22  any county of the first class.
    23     "Economic development effort."  A program or project approved
    24  by the county commissioners OF A COUNTY OF THE SECOND CLASS A     <--
    25  which promotes redevelopment and revitalization of dilapidated
    26  areas, upgrading of infrastructure or aesthetics and
    27  beautification with the intent of creating or attracting
    28  business activity and jobs for local residents.
    29  Section 4.  Optional fee increases.
    30     (a)  Recording fees.--The county commissioners or the
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     1  governing body of each county, as defined in section 3, shall
     2  have the power and may by ordinance increase the fees charged by
     3  the recorder of deeds for recording deeds and mortgages under
     4  the act of June 12, 1919 (P.L.476, No.240), referred to as the
     5  Second Class County Recorder of Deeds Fee Law, and the act of
     6  April 8, 1982 (P.L.310, No.87), referred to as the Recorder of
     7  Deeds Fee Law.
     8     (b)  Limitation.--The additional fees levied by the county
     9  commissioners shall not exceed 100% for affordable housing and    <--
    10  200% for economic development of the amounts charged on the
    11  effective date of this act.
    12     (c)  Certain counties.--Counties that already have an
    13  affordable housing program may increase fees levied up to 100%
    14  for economic development of the amounts charged on the effective
    15  date of this act. COMMISSIONERS FOR AFFORDABLE HOUSING OR IN      <--
    16  COUNTIES OF THE SECOND CLASS A FOR ECONOMIC DEVELOPMENT, SHALL    <--
    17  NOT EXCEED 100% OF THE AMOUNTS CHARGED [ON THE EFFECTIVE DATE OF
    18  THIS ACT] FOR RECORDING DEEDS AND MORTGAGES.
    19  Section 5.  Disposition of proceeds.
    20     All additional moneys raised under section 4 shall be
    21  deposited in the general fund of the county and shall be
    22  allocated as follows: A minimum of 85% or such higher amount as
    23  may be determined by the county of the additional revenue shall
    24  be set aside in a separate account to be used to fund affordable
    25  housing efforts in the county. [Fifteen percent of the amount
    26  allocated under this paragraph may be used by the county for the
    27  administrative costs associated with the affordable housing
    28  efforts.] In addition, if the economic development trust fund
    29  option is exercised BY A COUNTY OF THE SECOND CLASS A, a minimum  <--
    30  of 85% or such higher amount as may be determined by the county
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     1  of the additional revenue shall be set aside in a separate
     2  account to be used to fund economic development efforts in the
     3  county. In addition, up to 15% of the additional money raised
     4  may be used by the county for the administrative costs
     5  associated with affordable housing and economic development
     6  efforts.
     7     Section 2.  The act is amended by adding a section to read:
     8  Section 6.1.  Economic development efforts IN COUNTIES OF THE     <--
     9                 SECOND CLASS A.
    10     Economic development efforts IN COUNTIES OF THE SECOND CLASS   <--
    11  A may include, but shall not be limited to:
    12         (1)  Providing matching funds to secure private, Federal
    13     and State economic development funds.
    14         (2)  Assisting and supporting efforts by the
    15     Commonwealth, developers and lending institutions to
    16     redevelop or revitalize local areas.
    17         (3)  Supporting the efforts of municipalities in regard
    18     to infrastructure and aesthetic improvements with grants and
    19     zero percent loans for the purpose of retaining or expanding
    20     their business base.
    21     Section 3.  This act shall take effect in 60 days.






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