PRINTER'S NO. 841

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 754 Session of 1983


        INTRODUCED BY KENNEDY, MARMION, CAWLEY, PETRARCA, NOYE AND BOOK,
           APRIL 13, 1983

        REFERRED TO COMMITTEE ON EDUCATION, APRIL 13, 1983

                                     AN ACT

     1  Providing for the repayment of grants following revitalization
     2     of distressed commercial areas and the creation of increased
     3     commercial job opportunities.

     4     The General Assembly of the Commonwealth of Pennsylvania
     5  hereby enacts as follows:
     6  Section 1.  Short title.
     7     This act shall be known and may be cited as the Distributive
     8  Education Improvement Act.
     9  Section 2.  Legislative intent.
    10     The General Assembly of the Commonwealth recognizes the need
    11  to provide financial assistance to municipalities to revitalize
    12  distressed commercial areas. The General Assembly also
    13  recognizes that through grants provided by the Commonwealth for
    14  revitalizing distressed commercial areas, businesses located in
    15  those commercial areas upon the completion of the improvements
    16  financed by the grants, benefit through increased sales; and the
    17  municipality in which the commercial center is located also
    18  benefits through increased tax revenues resulting from the new

     1  commercial activity and increased value of commercial property.
     2  Therefore a need exists to have a portion of the funds which
     3  made possible the stabilization of the once distressed
     4  commercial areas repaid at the completion of the improvements
     5  financed by the grants. A need to create more job opportunities
     6  and educational programs in the area of distributive education
     7  for students in this Commonwealth also exists and it is the
     8  intent of the General Assembly to create new commercial job
     9  opportunities and improve and expand distributive education
    10  programs by financing the programs through the repayment of
    11  revitalization grants for distressed commercial areas currently
    12  being funded in this Commonwealth.
    13  Section 3.  Grant qualification.
    14     Any applicant receiving a grant administered by the
    15  Department of Community Affairs from funds appropriated by the
    16  General Assembly after the effective date of this act for
    17  programs aimed at revitalizing distressed commercial areas
    18  including grants to municipalities and redevelopment authorities
    19  for downtown revitalization projects and public-private
    20  partnership developments under the department's Small
    21  Communities and Community Revitalization Assistance Programs,
    22  shall be subject to repayment as provided for in section 4.
    23  Section 4.  Method of repayment.
    24     (a)  Annual payments.--Applicants receiving grants as
    25  described in section 3, beginning 12 months after receipt of the
    26  final grant payment, shall repay 10% of the original grant award
    27  per year for a period of five consecutive years.
    28     (b)  No interest.--The amount to be repaid by the applicant
    29  shall not include interest.
    30     (c)  Extension of time.--The department shall have the
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     1  discretion to extend for a period not to exceed 12 months the
     2  date of any installment due, where the department determines
     3  there is sufficient cause for an extension of the repayment
     4  terms.
     5  Section 5.  Special fund.
     6     All grant repayments made by recipients of grants as
     7  described in section 3, shall upon receipt by the department, be
     8  deposited in a special fund to be established in the Department
     9  of Education and administered by the Department of Education for
    10  the purpose of furthering distributive education programs in the
    11  Commonwealth which will result in increased commercial job
    12  opportunities for students. No additional personnel shall be
    13  hired by the Department of Education with these funds.
    14  Section 6.  Distributive education programs.
    15     (a)  Develop program.--The Department of Education shall
    16  within 12 months following the effective date of this act,
    17  develop a competitive distributive education program for schools
    18  in the Commonwealth which shall be funded from revenue from the
    19  special fund described in section 5. The purpose of the program
    20  shall be to:
    21         (1)  Improve or expand the distributive education
    22     programs currently being administered by schools in this
    23     Commonwealth.
    24         (2)  Increase commercial job opportunities available to
    25     students in this Commonwealth.
    26     (b)  Regulations.--The Department of Education shall develop
    27  necessary implementing regulations and the funding formula for
    28  distributing annually to schools in this Commonwealth those
    29  funds deposited in the special fund described in section 5, for
    30  programs which are developed by schools that meet the objectives
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     1  described in this section.
     2  Section 7.  Penalty.
     3     Any recipient of a grant as described in section 3 that fails
     4  to satisfy the terms of the repayment schedule established by
     5  the department shall until all grants are repaid be ineligible
     6  to receive any State funds from any source. This penalty may be
     7  waived by the Department of Community Affairs if the applicant
     8  is deemed to be in a depressed area.
     9  Section 8.  Severability.
    10     If any provision of this act or the application thereof to
    11  any person or circumstances is held invalid, such invalidity
    12  shall not affect other provisions or applications of the act
    13  which can be given effect without the invalid provision or
    14  application, and to this end the provisions of this act are
    15  declared to be severable.
    16  Section 9.  Effective date.
    17     This act shall take effect in 60 days.









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