SENATE AMENDED
        PRIOR PRINTER'S NOS. 551, 791                 PRINTER'S NO. 1035

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 494 Session of 1973


        INTRODUCED BY MESSRS. O'CONNELL, O'BRIEN, SHUPNIK, R. MUSTO,
           HASAY, USTYNOSKI, WORRILOW, KESTER, GEKAS, DININNI,
           ZIMMERMAN, LETTERMAN, GRIECO, NOYE, W. D. HUTCHINSON AND
           KLINGAMAN, FEBRUARY 26, 1973

        SENATOR MESSINGER, APPROPRIATIONS, IN SENATE, RE-REPORTED
           AS AMENDED, APRIL 30, 1973

                                     AN ACT

     1  Providing for grants to individual non-farm owners of homes or
     2     personal property damaged or destroyed by certain floods;
     3     establishing the amount of the grants and making an
     4     appropriation.

     5     The General Assembly of the Commonwealth of Pennsylvania
     6  hereby enacts as follows:
     7     Section 1.  (A) Upon receipt and approval of a sworn           <--
     8  application by a RESIDENT non-farm owner of a home or personal    <--
     9  property damaged or destroyed by the floods of September, 1971
    10  or June, 1972, the Office of the Governor may make a grant to
    11  cover a portion of the loss on the following basis:
    12     (1)  The total loss of both real and personal property
    13  combined may be ascertained in accordance with the amount
    14  approved by a Small Business Administration or Farmers Home
    15  Administration Disaster Loan as provided in U.S. P.L.92-385
    16  known as the Civil Disaster Relief Act of 1970 but shall not
    17  include any pre-flood indebtedness which has been consolidated

     1  with the property loss, nor shall it include any loss covered by
     2  an insurance policy, as any business loss as defined by the
     3  Small Business Administration.
     4     (2)  An adjusted loss shall be ascertained by deducting the
     5  amount of the Federal forgiveness from the figure arrived at in
     6  clause (1).
     7     (3)  For the first five thousand dollars ($5,000) of the
     8  adjusted loss, the grant shall be twenty-five per cent thereof.
     9     (4)  For the second five thousand dollars ($5,000) of the
    10  adjusted loss, the grant shall be fifteen per cent thereof.
    11     (5)  For the third five thousand dollars ($5,000) of the
    12  adjusted loss, the grant shall be ten per cent thereof.
    13     (6)  For the balance of the adjusted loss the grant shall be
    14  five per cent thereof but the total grant shall not exceed three
    15  thousand dollars ($3,000).
    16     (7)  Six per cent shall be added to all grants.
    17     (B)  FOR THE PURPOSE OF THIS ACT, THE TERM "RESIDENT NON-FARM  <--
    18  OWNER" SHALL MEAN ONLY AN OWNER OF REAL OR PERSONAL PROPERTY WHO
    19  WAS A RESIDENT OF PENNSYLVANIA AT THE TIME THE LOSS OCCURRED AND
    20  AT THE TIME OF APPLICATION FOR A GRANT UNDER THIS ACT.
    21     Section 2.  If real property was condemned under eminent
    22  domain proceedings and where measure of damages is calculated
    23  under section 602 of the act of June 22, 1964 (P.L.84, No.6),
    24  known as the "Eminent Domain Code," said owner shall not be
    25  eligible for the grant provided in section 1 hereof.
    26     Section 3.  The owner making application for a grant shall,
    27  in his application, authorize the Commonwealth to apply the
    28  grant to any monthly obligation that he may have on account of a
    29  Small Business Administration or Farmers Home Administration
    30  loan until such time as the amount of the grant has been
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     1  expended or the loan repaid, whichever shall first occur. If the
     2  loan is repaid prior to the expenditure of the entire amount of
     3  the grant, or there is no indebtedness, the balance thereof
     4  shall be paid to the owner.
     5     Section 4.  All grants under this act shall be administered
     6  by the Pennsylvania Department of Community Affairs, and all
     7  applications for grants shall be submitted to that department
     8  within one hundred twenty days after the effective date of this
     9  act. If sufficient funds are not allocated herein, distribution
    10  of grants shall be on a pro rata basis. Any funds unencumbered
    11  or unexpended after all claims under this act have been finally
    12  determined shall be returned to the Emergency Disaster Relief
    13  Fund for further assistance to victims of the flood of June 1972
    14  and the storm of September 1971.
    15     Section 5.  A sum not to exceed forty million dollars
    16  ($40,000,000) may be allocated by the Governor for the purpose
    17  of administering and implementing this act from funds made
    18  available under the Emergency Disaster Relief Act of July 7,
    19  1972 (No.18-A).
    20     Section 6.  Any person making a false claim under the
    21  provisions of this act shall be subject to a penalty in the
    22  amount of three times the amount of the grant with interest at
    23  the rate of six per cent from the date of the grant. Such a
    24  penalty may be enforced by the Commonwealth in an assumpsit
    25  action and collected in the manner that other debts due and
    26  owing the Commonwealth are collected.
    27     Section 7. This act shall take effect immediately.


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