PRINTER'S NO. 185
No. 169 Session of 1985
INTRODUCED BY POTT, PETRARCA, BURD, CESSAR, OLASZ, McVERRY,
GEIST, VROON, MACKOWSKI, BRANDT, REINARD AND BOOK,
FEBRUARY 5, 1985
REFERRED TO COMMITTEE ON TRANSPORTATION, FEBRUARY 5, 1985
AN ACT
1 To facilitate vehicular traffic across the Commonwealth by
2 providing for the construction, reconstruction, improvement,
3 operation and maintenance of toll roads and the conversion of
4 existing toll-free roads to toll roads in Pennsylvania;
5 providing for the reorganization of the Pennsylvania Turnpike
6 Commission; conferring powers and imposing duties on the
7 Pennsylvania Turnpike Commission; providing for an executive
8 director of the Pennsylvania Turnpike Commission and
9 conferring powers and duties on the executive director;
10 authorizing issuance of turnpike revenue bonds, notes or
11 other obligations of the commission, payable solely from
12 revenues of the commission, including tolls, or from such
13 other funds as may be available to the commission for that
14 purpose, to pay the costs of such toll roads; providing that
15 no debt of the Commonwealth shall be incurred in the exercise
16 of any of the powers granted by this act; providing for the
17 collection of tolls for the payment of such bonds, notes or
18 other obligations, and for the cost of maintenance, operation
19 and repair of the toll roads; making such turnpike bonds,
20 notes or other obligations exempt from taxation; constituting
21 the same legal investments in certain instances; requiring
22 suits against the commission to be brought in the courts in
23 which such actions may be brought against the Commonwealth;
24 prescribing conditions on which toll roads shall be turned
25 over to the Department of Transportation; providing for grade
26 separations, grade changes, relocations, restorations and
27 vacations of public roads and State highways affected by the
28 toll roads; providing for the purchasing or condemnation of
29 land and procedure for determining damages in condemnation;
30 granting certain powers and authority to municipalities and
31 agencies of the Commonwealth to cooperate with the
32 commission; conferring powers and imposing duties on the
33 Department of Transportation; authorizing the Secretary of
1 Transportation to enter into negotiations with the United
2 States Department of Transportation, the Federal Highway
3 Administration or any other Federal agency regarding the
4 conversion of toll-free highways constructed in the
5 Commonwealth using Federal funds to toll roads; and
6 authorizing the Secretary of Transportation to enter into
7 agreements on behalf of the Commonwealth and the commission
8 with the United States Department of Transportation, the
9 Federal Highway Administration or any other Federal agency
10 with respect to obtaining Federal funds for resurfacing,
11 restoring, rehabilitating or reconstructing toll roads in
12 Pennsylvania.
13 TABLE OF CONTENTS
14 Section 1. Short title.
15 Section 2. Definitions.
16 Section 3. Reorganization of the Pennsylvania Turnpike
17 Commission.
18 Section 4. Authorization for turnpike extensions, turnpike
19 improvements and the conversion of toll-free
20 roads to toll roads.
21 Section 5. Status of turnpike bonds, notes or other
22 obligations.
23 Section 6. Exercise of commission powers deemed essential
24 government function.
25 Section 7. Commission powers and duties enumerated;
26 payment of maintenance.
27 Section 8. Expenses and bonding of commission members.
28 Section 9. Acquisition of property rights by commission.
29 Section 10. Procedural requirements of acquisition.
30 Section 11. Entry and possession of property condemned.
31 Section 12. Issuance of turnpike bonds, notes or other
32 obligations.
33 Section 13. Obligation proceeds restricted and lien created.
34 Section 14. Trust indenture authorized.
35 Section 15. Commission and obligations tax exempt.
19850H0169B0185 - 2 -
1 Section 16. Collection and disposition of tolls and other
2 revenue.
3 Section 17. Revenue refunding bonds.
4 Section 18. Rights of obligation holders and trustees.
5 Section 19. Authority granted to the Secretary of
6 Transportation.
7 Section 20. Construction of act.
8 Section 21. Repeals.
9 Section 22. Effective date.
10 The General Assembly of the Commonwealth of Pennsylvania
11 hereby enacts as follows:
12 Section 1. Short title.
13 This act shall be known and may be cited as the Turnpike
14 Extension and Toll Road Conversion Act.
15 Section 2. Definitions.
16 The following words and phrases when used in this act shall
17 have the meanings given to them in this section unless the
18 context clearly indicates otherwise:
19 "Commission." The Pennsylvania Turnpike Commission created
20 by the act of May 21, 1937 (P.L.774, No.211), referred to as the
21 Pennsylvania Turnpike Commission Act, or if the commission shall
22 be abolished, any board, commission or officer succeeding to the
23 principal functions thereof or upon whom the power and functions
24 given by this act to the commission shall be given by law.
25 "Cost of the turnpikes." Includes the cost of constructing
26 the turnpikes and all connecting roads, storm water management
27 systems, tunnels and bridges; the cost of all lands, property
28 rights, rights-of-way, easements and franchises acquired by
29 purchase or other means, which are deemed necessary or
30 convenient for such construction; the cost of all machinery and
19850H0169B0185 - 3 -
1 equipment, financing charges, interest prior to and during
2 construction and for one year after completion of construction;
3 the cost of traffic estimates and of engineering and legal
4 expenses, plans, specifications, surveys, estimates of cost and
5 of revenues, other expenses necessary or incident to determining
6 the feasibility or practicability of the enterprise,
7 administrative and legal expense, and such other expenses as may
8 be necessary or incident to the financing herein authorized; the
9 construction of the turnpikes and connecting roads, storm water
10 management systems, tunnels and bridges, the placing of the same
11 in operation, and the condemnation or other means of acquisition
12 of property necessary for the construction and operation. Any
13 obligation or expense contracted for by the commission with the
14 Department of Transportation of this Commonwealth, or with the
15 United States or any agency thereof, for traffic surveys,
16 preparation of plans and specifications, supervision of
17 construction, and other engineering, administrative and legal
18 services and expenses in connection with the construction of the
19 turnpike or any of the connecting roads, storm water management
20 systems, tunnels and bridges, and any costs of reimbursing the
21 Federal Government pursuant to the mandates of the Federal law
22 for Federal funds expended for interstate or other highways
23 which are to be made part of the turnpike system pursuant to
24 this act, shall be regarded as a part of the cost of the
25 turnpikes and shall be reimbursed or paid out of the proceeds of
26 the turnpike revenue bonds, notes or other obligations
27 hereinafter authorized. Payment of any bonds, notes or other
28 obligations shall be considered payment of the cost of the
29 turnpikes, provided the bonds, notes or other obligations were
30 issued for such purpose.
19850H0169B0185 - 4 -
1 "Owner." An individual, copartnership, association or
2 corporation having any title or interest in any property rights,
3 easements or franchises authorized to be acquired by this act.
4 "The turnpikes." The turnpike, turnpike extensions and
5 extension improvements to be constructed, and the toll-free
6 roads to be converted to toll roads, as described in section 4
7 and otherwise provided for in this act. The phrase shall be
8 deemed to include not only the turnpikes and all connecting
9 roads, storm water management systems, tunnels and bridges
10 connected therewith, but also all property rights, easements and
11 franchises relating thereto and deemed necessary or convenient
12 for the construction or the operation thereof, which may also be
13 referred to as the Pennsylvania Turnpike System.
14 "Toll road conversion." The inclusion within the turnpike
15 system and the imposition of tolls thereon of a highway that is
16 presently toll free.
17 Section 3. Reorganization of the Pennsylvania Turnpike
18 Commission.
19 (a) Reorganization.--The Pennsylvania Turnpike Commission,
20 as created by the act of May 27, 1937 (P.L.774, No.211), is
21 hereby reorganized. The commission shall consist of nine
22 members, one of whom shall be the Secretary of Transportation,
23 who shall serve by virtue of his office. The Secretary of
24 Transportation may authorize the Deputy Secretary for Highway
25 Administration to act in his place, including the power to vote
26 on any issue. The eight remaining members shall be residents of
27 the Commonwealth at the time of their appointment and
28 qualification and shall also at such time have been qualified
29 electors therein for a period of at least one year next
30 preceding their appointment and shall be appointed as follows:
19850H0169B0185 - 5 -
1 (1) Four members shall be appointed by the Governor, no
2 more than two appointees shall be from the same political
3 party.
4 (2) One member shall be appointed by the caucus of the
5 majority party of the Senate.
6 (3) One member shall be appointed by the caucus of the
7 majority party of the House of Representatives.
8 (4) One member shall be appointed by the caucus of the
9 minority party of the Senate.
10 (5) One member shall be appointed by the caucus of the
11 minority party of the House of Representatives.
12 (b) Terms of members; limitations.--The appointed members of
13 the commission shall be appointed for terms coextensive with
14 those of their respective appointing authorities and until their
15 successors shall be duly appointed and qualified. Appointees may
16 not be removed from the commission during the term for which
17 they were appointed except by the appointing authority, when in
18 the opinion of the appointing authority, an appointee is
19 permanently incapacitated or is guilty of malfeasance,
20 misfeasance, nonfeasance, or has been adjudged by a court of
21 law, guilty of any felony or conduct involving moral turpitude.
22 No member of the commission may be a member of the General
23 Assembly at the same time that he is a member of the commission.
24 (c) Salaries.--Each appointed member of the commission shall
25 receive an annual salary of $12,000 except the chairman of the
26 commission who shall receive an annual salary of $18,000. Each
27 member of the commission shall be reimbursed for necessary
28 expenses incurred in the performance of his duties.
29 (d) Oath and chairperson.--Immediately after such
30 appointment, the members of the commission shall enter upon
19850H0169B0185 - 6 -
1 their duties. Each appointed member of the commission before
2 entering upon his duties shall take the oath prescribed by
3 Article VIII of the Constitution of the Commonwealth. The
4 commission shall elect one of the appointed members as
5 chairperson of the commission and shall also elect a secretary
6 and treasurer who shall not be members of the commission.
7 (e) Quorum.--Five members of the commission or a majority of
8 the members duly appointed shall constitute a quorum. All
9 actions must be taken by a majority vote of the members of the
10 commission present at a meeting of the commission. No vacancy in
11 the commission shall impair the right of a quorum of the
12 commissioners to exercise all the rights and perform all the
13 duties of the commission.
14 (f) Bonds.--Before the issuance of any turnpike revenue
15 bonds under the provisions of this act, each appointed member of
16 the commission and the secretary and treasurer shall execute a
17 bond in the penalty amount to be set by the commission in its
18 discretion. The bonds shall be approved by the Governor and be
19 conditioned upon the faithful performance of the duties of their
20 office. The bonds shall be filed in the office of the Secretary
21 of the Commonwealth.
22 (g) Executive director.--The members of the commission shall
23 appoint an executive director of the commission, who shall not
24 be a member of the commission, and who shall serve at the
25 pleasure of the members of the commission, with the general
26 powers and duties of management and supervision of the business
27 of the commission.
28 (h) Rules and regulations.--The commission shall make
29 necessary rules and regulations for its own government and shall
30 have power and authority to acquire, own, use, hire, lease,
19850H0169B0185 - 7 -
1 operate and dispose of personal property, real property and
2 interests in real property, and to make and to enter into all
3 contracts and agreements necessary or incidental to the
4 performance of its duties and the execution of its powers under
5 this act, and to employ engineering, traffic, architectural and
6 construction experts and inspectors and attorneys, and such
7 other employees as may be necessary in its judgment, and to fix
8 their compensation, including the compensation of the executive
9 director, in accordance with comparable salaries as set by the
10 executive board for the Department of Transportation. All
11 contracts and agreements relating to the construction of the
12 turnpike and connecting tunnels and bridges shall be approved by
13 the Department of Transportation.
14 Section 4. Authorization for turnpike extensions, turnpike
15 improvements and the conversion of toll-free
16 roads to toll roads.
17 (a) Improvement and extension authorizations.--In order to
18 facilitate vehicular traffic within this Commonwealth, the
19 Pennsylvania Turnpike Commission heretofore created by virtue of
20 the provisions of the act of May 21, 1937 (P.L.774, No.211),
21 referred to as the Pennsylvania Turnpike Commission Act, and the
22 supplements and amendments thereto, is hereby authorized,
23 empowered and directed to construct, operate and maintain
24 turnpike extensions and turnpike improvements at such specific
25 locations and according to such schedule as shall be deemed
26 feasible and approved by the commission, together with
27 connecting roads, storm water management systems, tunnels and
28 bridges, subject to the waiver of the Federal toll prohibition
29 provisions where applicable, as follows:
30 (1) Widen turnpike to six lanes between the Northeast
19850H0169B0185 - 8 -
1 Extension and the Delaware River Interchange.
2 (2) Construct turnpike interchange with Interstate Route
3 95 in Bucks County.
4 (3) Construct turnpike interchange with Interstate Route
5 476 in Montgomery County.
6 (4) Construct turnpike interchange with Keyser Avenue in
7 Lackawanna County.
8 (5) Construct extensions to the existing turnpike from a
9 point westerly of existing Interchange 2 extending northerly
10 to a connection with the existing interchange between U.S.
11 Route 422 and proposed State Route 60 in Lawrence County and
12 extending southerly to a connection with existing State Route
13 60 in Beaver County at or near State Route 51.
14 (6) Construct an extension to the turnpike from a point
15 at or near Interchange 8 in Westmoreland County extending
16 northerly to an interchange with State Route 66 northwest of
17 Greensburg and continuing northerly to an interchange with
18 U.S. Route 22 south of Delmont.
19 (b) Subsequent extension authorization.--Upon substantial
20 completion of the turnpike extension and improvements set forth
21 in subsection (a), the commission is hereby authorized and
22 empowered to construct, operate and maintain further extensions
23 of the turnpike at such specific locations and according to such
24 schedules as shall be deemed feasible and which shall be
25 approved by the commission, subject to the waiver of the Federal
26 toll prohibition provisions where applicable, as follows:
27 (1) From an interchange with Interstate Route 70 between
28 existing interchanges at Lover and Speers extending northerly
29 to an interchange with Interstate Route 376 in Pittsburgh
30 extending southerly connecting with the existing interchange
19850H0169B0185 - 9 -
1 between U.S. Route 40 and the Mon Valley Expressway
2 (L.R.1125).
3 (2) From an interchange with the turnpike at or near
4 Interchange 10 extending northerly generally following and
5 coincident where feasible with existing U.S. Route 219 to an
6 interchange with Interstate Route 80 at or near Interchange
7 16.
8 (3) Construction of an additional tunnel or a bypass
9 around the Lehigh Tunnel on the Northeast Extension of the
10 turnpike.
11 (4) Construction of an interchange for access to the
12 International Distribution Center at Wilkes-Barre Scranton
13 International Airport in Luzerne County on the Northeastern
14 Extension of the Pennsylvania Turnpike System.
15 (c) Additional subsequent extension authorization.--Upon
16 completion of the turnpike extensions and improvements set forth
17 in subsections (a) and (b), the commission is hereby authorized
18 and empowered to construct, operate and maintain further
19 extensions of the turnpike at such specific locations and
20 according to such schedules as shall be deemed feasible and
21 which shall be approved by the commission, subject to the waiver
22 of the Federal toll prohibition provisions where applicable, as
23 follows:
24 (1) From a point at or near the existing interchange
25 between U.S. Route 40 and the Mon Valley Expressway
26 (L.R.1125) in Fayette County southeasterly along U.S. Route
27 40 to Uniontown and continuing southerly along State Route
28 857 to the West Virginia border.
29 (2) From a point at or near Turnpike Interchange 10
30 southerly generally along U.S. Route 219 to the Maryland
19850H0169B0185 - 10 -
1 border.
2 (3) From a point at or near Interstate Route 80
3 Interchange 16 northerly generally along U.S. Route 219 to a
4 connection with the existing U.S. Route 219 Expressway south
5 of Bradford in McKean County.
6 (4) From a point at or near Interstate Route 80
7 Interchange 23 at Milesburg southwesterly generally along
8 U.S. Route 220 to a connection with the existing U.S. Route
9 220 Expressway south of Bald Eagle.
10 (d) Further subsequent authorizations.--Upon completion of
11 the turnpike extensions and improvements set forth in
12 subsections (a), (b) and (c), the commission is hereby
13 authorized and empowered to construct, operate and maintain a
14 turnpike at such specific locations as shall be approved by the
15 commission, subject to the waiver of the Federal toll
16 prohibition provisions where applicable, as follows:
17 (1) From a point at or near the intersection of State
18 Route 65 and Crows Run Road in Beaver County, in a
19 southeasterly direction to a point at or near the Perry
20 Highway Interchange of the Pennsylvania Turnpike.
21 (2) From a point at or near Exit 5 of the turnpike
22 northerly to Brookville, Jefferson County, to a point at the
23 intersection with Interstate Route 80.
24 (3) From a point at or near the Pennsylvania Turnpike
25 System into various areas of Berks County in order to
26 complete the construction of the inner loop system and outer
27 loop system of highways surrounding the City of Reading and
28 to complete the missing links on Routes 222 to 422 to 1035.
29 (4) From a point at or near the intersection of T.R. 66
30 and T.R. 22 in Salem Township, Westmoreland County; thence in
19850H0169B0185 - 11 -
1 a westerly direction paralleling T.R. 22 to Exit 6 of
2 Interstate 76.
3 (e) Conversion to toll roads.--In order to facilitate
4 vehicular traffic across the Commonwealth, and after completion
5 of the turnpike extensions and improvements authorized in
6 subsection (a), and subject to prior Legislative approval by the
7 General Assembly and the United States Congress, the
8 Pennsylvania Turnpike Commission is hereby authorized and
9 empowered to convert to toll roads such portions of
10 Pennsylvania's interstate highway system as may be required in
11 order to facilitate the completion of the turnpike extensions
12 and improvements authorized in subsections (b), (c) and (d), and
13 to operate and maintain such converted interstates as toll roads
14 upon the approval by the Congress of the United States of
15 America and the General Assembly of this Commonwealth of special
16 legislation permitting the conversion of such interstates to
17 toll roads. Such conversions shall take place at a time and
18 manner set forth in the plan for the conversion prepared by the
19 Pennsylvania Department of Transportation. The provisions
20 authorizing the commission to construct, operate and maintain
21 the turnpike routes in subsections (b), (c) and (d) shall be
22 subject to:
23 (1) the prior passage by the Congress of the United
24 States and the General Assembly of this Commonwealth of
25 legislation permitting the conversion of certain interstates
26 to toll roads; or
27 (2) the availability of such other funds as might become
28 available in amounts that would be sufficient to fund to
29 completion any of the individual turnpike extensions and
30 improvements set forth in subsections (b), (c) and (d) so
19850H0169B0185 - 12 -
1 long as no turnpike extension authorized by subsection (d) is
2 undertaken until after all the turnpike extensions authorized
3 by subsection (c) are completed, and no turnpike extension
4 authorized by subsection (c) is undertaken until after all
5 the turnpike extensions and improvements authorized by
6 subsection (b) are completed. The commission is authorized to
7 use Federal funds which may be available for toll roads only
8 pursuant to the approval of the Secretary of Transportation
9 and only pursuant to the authority granted in section 18.
10 (f) Turnpike system.--The turnpike, turnpike extensions and
11 improvements, and the future toll road conversions authorized by
12 this act are hereby or shall be made part of the Pennsylvania
13 Turnpike System, as provided in the act of August 14, 1951
14 (P.L.1232, No.282), referred to as the Pennsylvania Turnpike
15 System Financing Act.
16 Section 5. Status of turnpike bonds, notes or other
17 obligations.
18 The turnpike bonds, notes or other obligations issued under
19 the provisions of this act shall not be deemed to be a debt of
20 the Commonwealth or a pledge of the faith and credit of the
21 Commonwealth, but such bonds, notes or other obligations shall
22 be payable solely from the revenues of the commission, including
23 tolls, or from such funds as may be available to the commission
24 for that purpose. All such bonds, notes or other obligations
25 shall contain a statement on their face that the Commonwealth is
26 not obligated to pay the same or the interest thereon except
27 from revenues of the commission, including tolls, or from such
28 funds as may be available to the commission for that purpose,
29 and that the faith and credit of the Commonwealth is not pledged
30 to the payment of the principal or interest of such bonds, notes
19850H0169B0185 - 13 -
1 or other obligations. The issuance of turnpike bonds, notes or
2 other obligations under the provisions of this act shall not
3 directly or indirectly or contingently obligate the Commonwealth
4 to levy or to pledge any form of taxation whatever therefor or
5 to make any appropriation for their payment.
6 Section 6. Exercise of commission powers deemed essential
7 government function.
8 The exercise by the commission of the powers conferred by
9 this act in the construction, operation and maintenance of the
10 turnpike, the turnpike extensions and improvements and in the
11 conversion of toll-free roads to toll roads shall be deemed and
12 held to be an essential governmental function of the
13 Commonwealth.
14 Section 7. Commission powers and duties enumerated; payment of
15 maintenance.
16 (a) Powers and duties of commission.--The commission is
17 authorized to:
18 (1) Maintain a principal office at such place as shall
19 be designated by the commission.
20 (2) Contract and be contracted within its own name.
21 (3) Sue and be sued in its own name, plead and be
22 impleaded. Any and all actions at law or in equity against
23 the commission shall be brought only in the courts in which
24 such actions may be brought against the Commonwealth.
25 (4) Have an official seal.
26 (5) Make necessary rules and regulations for its own
27 government.
28 (6) Acquire, hold, accept, own, use, hire, lease,
29 exchange, operate and dispose of, personal property, real
30 property and interests in real property, and to make and
19850H0169B0185 - 14 -
1 enter into all contracts and agreements necessary or
2 incidental to the performance of its duties and the execution
3 of its powers under this act, and to employ engineering,
4 traffic, architectural and construction experts and
5 inspectors, attorneys, and other employees as may in its
6 judgment be necessary, and fix their compensation.
7 (7) Provide grade separations, at its own expense, with
8 respect to all public roads, State highways and interstate
9 highways intersected by the turnpikes and to change and
10 adjust the lines and grades thereof so as to accommodate the
11 same to the design for such grade separation. The damages
12 incurred in changing and adjusting the lines and grades of
13 public roads, State highways and interstate highways shall be
14 ascertained and paid by the commission in the same manner as
15 is provided for by this act in regard to the location and
16 construction of the turnpike extensions and improvements and
17 conversions of toll-free roads to toll roads. If the
18 commission shall find it necessary to provide a grade
19 separation or change the site of any portion of any
20 interstate highway, State highway or public road, or vacate
21 the same, it shall cause it to be reconstructed and restored
22 forthwith, at the commission's own proper expense, on the
23 most favorable location and in as satisfactory a manner as
24 the original road, or vacate it, as the case may be. The
25 method of acquiring the right-of-way and determining damages
26 incurred in changing the location of or vacating such road,
27 State highway or interstate highway shall be ascertained and
28 paid for in accordance with the act of June 22, 1964
29 (Sp.Sess., P.L.84, No.6), known as the Eminent Domain Code.
30 (8) Petition the court of common pleas of the county
19850H0169B0185 - 15 -
1 wherein is situate any public road or part thereof affected
2 by the location therein of the turnpike, for the vacation,
3 relocation or supply of the same, or any part thereof, with
4 the same force and effect as is now given by existing laws to
5 the inhabitants of any township or such county, and the
6 proceedings upon such petition, whether it be for the
7 appointment of viewers or otherwise, shall be the same as
8 provided by existing law for similar proceedings upon the
9 petitions.
10 (9) Have all of the powers and perform all the duties
11 prescribed by the act of May 21, 1937 (P.L.774, No.211),
12 referred to as the Pennsylvania Turnpike Commission Act.
13 (b) Maintenance to be paid out of tolls.--The turnpike
14 extensions and improvements and the conversion of toll-free
15 roads to toll roads when completed and open to traffic shall be
16 maintained and repaired by and under the control of the
17 commission. All charges and costs for the maintenance and
18 repairs actually expended by the commission shall be paid out of
19 tolls. The turnpike, the turnpike extensions and improvements
20 and the toll-free roads converted to toll roads shall also be
21 policed and operated by a force of police, toll takers and other
22 operating employees as the commission may, in its discretion,
23 employ.
24 Section 8. Expenses and bonding of commission members.
25 (a) Payment of expenses.--All compensation and salaries and
26 all expenses incurred in carrying out the provisions of this act
27 shall be paid solely from funds provided under the authority of
28 this act and no liability or obligation shall be incurred
29 hereunder beyond the extent to which money shall have been
30 provided under the authority of this act.
19850H0169B0185 - 16 -
1 (b) No additional bond required.--The issuance of any
2 turnpike revenue bonds, notes or other obligations under the
3 provisions of this act shall not cause any member of the
4 commission to be required to execute a bond that a member of the
5 commission is not otherwise required to execute.
6 Section 9. Acquisition of property rights by commission.
7 (a) Condemnation.--The commission is hereby authorized and
8 empowered to condemn, pursuant to the provisions of the act of
9 June 22, 1964 (Sp.Sess., P.L.84, No.6), known as the Eminent
10 Domain Code, any lands, interests in lands, property rights,
11 rights-of-way, franchises, easements and other property deemed
12 necessary or convenient for the construction and efficient
13 operation of the turnpike extensions, improvements and the toll
14 road conversions or necessary in the restoration or relocation
15 of public or private property damaged or destroyed, and the date
16 of the commission resolution authorizing condemnation shall be
17 the effective date of condemnation.
18 (b) Purchase.--The commission is hereby authorized and
19 empowered to acquire by purchase, whenever it shall deem such
20 purchase expedient, or otherwise accept if dedicated to it, any
21 lands, interests in lands, property rights, rights-of-way,
22 franchises, easements and other property deemed necessary or
23 convenient for the construction and efficient operation of the
24 turnpike extensions, improvements and toll road conversions or
25 necessary in the restoration of public or private property
26 damaged or destroyed, whether the same had theretofore been
27 condemned or otherwise, upon such terms and at such price as may
28 be considered by it to be reasonable and can be agreed upon
29 between the commission and the owner thereof, and to take title
30 thereto in the name of the commission. The net proceeds of the
19850H0169B0185 - 17 -
1 purchase price payable to a municipality or the Department of
2 Transportation for any real property or interest therein
3 obtained by the commission pursuant to this act, less the cost
4 of retiring any bonded indebtedness on such property or
5 interest, shall be used exclusively, in the case of a
6 municipality, for road and bridge related expenses and, in the
7 case of the Department of Transportation, for highway and bridge
8 construction, reconstruction and maintenance in the same
9 engineering and maintenance district wherein the subject
10 property is located.
11 Section 10. Procedural requirements of acquisition.
12 (a) Title.--Title to any property condemned by the
13 commission shall be taken in the name of the commission. Prior
14 to physical entry upon the land, the commission shall be under
15 no obligation to accept and pay for any property condemned or
16 any costs incidental to any condemnation proceedings. In any
17 condemnation proceedings, the court having jurisdiction of the
18 suit, action or proceedings may make such orders as may be just
19 to the commission and to the owners of the property to be
20 condemned and may require an undertaking or other security to
21 secure such owners against any loss or damage by reason of the
22 failure of the commission to enter upon, accept and pay for the
23 property, but neither such undertaking or security nor any act
24 or obligation of the commission shall impose any liability upon
25 the Commonwealth except such as may be paid from the funds
26 provided under the authority of this act.
27 (b) Vacation of condemned land.--The commission, in its
28 discretion, may vacate any portion or all of the land condemned
29 either prior to or after physical entry upon the land or any
30 part thereof and prior to final determination of damages. In
19850H0169B0185 - 18 -
1 such cases, the commission shall be under no obligation to
2 accept and pay for any property condemned and subsequently
3 vacated. However, in any case, the court having jurisdiction of
4 the suit, action or proceeding may make the orders as may be
5 just to the commission and to the owners of the property and may
6 require an undertaking or other security to secure the owners
7 against any and all loss or damages occasioned to the owner from
8 the time of the original condemnation to the time of the
9 modification thereof, but neither such undertaking or security
10 nor any act or obligation of the commission shall impose any
11 liability upon the Commonwealth except such as may be paid from
12 the funds provided under the authority of this act.
13 (c) Entry.--In addition to the foregoing powers, the
14 commission and its authorized agents and employees may enter
15 upon any lands, waters and premises in this Commonwealth for the
16 purpose of making surveys, soundings, drillings and
17 examinations, as it may deem necessary or convenient for the
18 purpose of this act, and the entry shall not be deemed a
19 trespass, nor shall an entry for such purposes be deemed an
20 entry under any condemnation proceedings which may be then
21 pending. The commission shall make reimbursement for any actual
22 damages resulting to the lands, waters and premises as a result
23 of the activities.
24 (d) Restoration of property.--All public or private property
25 damaged or destroyed in carrying out the powers granted by this
26 act shall be restored or repaired and placed in their original
27 condition as nearly as practicable or adequate compensation made
28 therefor out of funds provided under the authority of this act.
29 (e) Powers of public bodies.--All political subdivisions and
30 all public agencies and commissions of the Commonwealth,
19850H0169B0185 - 19 -
1 notwithstanding any contrary provision of law, are hereby
2 authorized and empowered to lease, lend, dedicate, grant, convey
3 or otherwise transfer to the commission, upon its request, upon
4 such terms and conditions as the proper authorities of such
5 political subdivisions or public agencies and commissions of the
6 Commonwealth may deem reasonable and fair and without the
7 necessity for any advertisement, order of court or other action
8 or formality, other than the regular and formal action of the
9 authorities concerned, any real property which may be necessary
10 or convenient to the effectuation of the authorized purposes of
11 the commission, including public roads and other real property
12 already devoted to public use.
13 Section 11. Entry and possession of property condemned.
14 Whenever the commission has condemned any lands, rights,
15 rights-of-way, easements and franchises, or interests therein,
16 as provided in this act, and has tendered a bond or other
17 security to secure the owner or owners for damages and the same
18 has been accepted, or if the acceptance of the bond has been
19 refused and the same has been filed in and approved by the court
20 of common pleas of the county in which the property is located,
21 or, in the case of property located in two or more counties,
22 then in any one of such counties, the commission shall have the
23 right to immediate possession of the property covered by the
24 bond and may enter thereon in the name of the commission. If the
25 owner, lessee or occupier of any of the premises or any building
26 or structure thereon shall refuse to remove his personal
27 property therefrom, or give up possession thereof, the
28 commission may proceed to obtain possession in the manner now
29 provided by law for obtaining possession, by the Secretary of
30 Transportation, of occupied structures.
19850H0169B0185 - 20 -
1 Section 12. Issuance of turnpike bonds, notes or other
2 obligations.
3 (a) Issuance of bonds.--The commission is hereby authorized
4 to provide, by resolution, at one time or from time to time, for
5 the issuance of turnpike bonds, notes or other obligations of
6 the Commonwealth for the purpose of paying the cost of the
7 turnpikes, as defined in section 2, including the reconstruction
8 of the converted roads as provided for in this act and the
9 repayment to the Federal Treasury of any funds so required to be
10 repaid pursuant to any special legislation passed by the
11 Congress of the United States authorizing the conversion of
12 toll-free roads to toll roads. The principal and interest of the
13 bonds, notes or other obligations shall be payable solely from
14 revenues of the commission, including tolls collected on the
15 various turnpike extensions, improvements and toll road
16 conversions authorized by this act and those tolls collected on
17 the Pennsylvania Turnpike System, subject to the terms of any
18 trust indenture heretofore entered into by the commission and
19 any existing bond resolution of the commission or from such
20 funds as may be available to the commission for that purpose.
21 The bonds, notes or other obligations shall be dated, shall bear
22 interest at such rate or rates acceptable to the commission,
23 shall mature at such time or times not exceeding 40 years from
24 their date or dates, as may be determined by the commission, and
25 may be made redeemable before maturity, at the option of the
26 commission, at such price or prices and under such terms and
27 conditions as may be fixed by the commission prior to the
28 issuance of the bonds, notes or other obligations. The principal
29 and interest of such bonds, notes or other obligations may be
30 made payable in any lawful medium. The commission shall
19850H0169B0185 - 21 -
1 determine the form of bonds, notes or other obligations,
2 including any interest coupons to be attached thereto, and shall
3 fix the denomination or denominations of the bonds, notes or
4 other obligations, and the place or places of payment of
5 principal and interest thereof, which may be at any bank or
6 trust company within or without the Commonwealth. The bonds,
7 notes or other obligations shall be approved by and shall bear
8 the facsimile signatures of the Governor and of the chairman of
9 the commission, and the facsimile of the official seal of the
10 commission shall be affixed thereto, and attested by the
11 secretary and treasurer of the commission, and any coupons
12 attached thereto shall bear the facsimile signature of the
13 chairman of the commission. In case any officer whose signature
14 or a facsimile of whose signature shall appear on any bonds,
15 notes or other obligations or coupons shall cease to be such
16 officer before the delivery of such bonds, notes or other
17 obligations, such signature or such facsimile shall nevertheless
18 be valid and sufficient for all purposes, the same as if he had
19 remained in office until such delivery.
20 (b) Form of bonds.--The bonds, notes or other obligations
21 authorized herein may be issued in bearer or registered form,
22 with or without coupons attached as the commission may
23 determine, and provision may be made for the registration of any
24 coupon bonds as to principal alone and also as to both principal
25 and interest, and registered and coupon bonds, notes or other
26 obligations shall be interchangeable. The commission may sell
27 such bonds, notes or other obligations in such manner and for
28 such price as it may determine to be for the best interest of
29 the Commonwealth.
30 (c) Use of bond proceeds.--The proceeds of such bonds, notes
19850H0169B0185 - 22 -
1 or other obligations shall be used for the payment of the cost
2 of the turnpike extensions and improvements and the toll road
3 conversions, including the reconstruction of the converted roads
4 as provided for in this act and the repayment to the Federal
5 Treasury of any funds so required to be repaid pursuant to any
6 special legislation passed by the Congress of the United States
7 authorizing the conversion of toll-free roads to toll roads, and
8 shall be disbursed upon requisition of the chairman of the
9 commission under such restrictions, if any, as the resolution
10 authorizing the issuance of the bonds, notes or other
11 obligations, or any trust indenture or other agreement entered
12 into by the commission, may provide. If the proceeds of the
13 bonds, notes or other obligations shall exceed the cost of the
14 turnpike extensions and improvements and the toll road
15 conversions, including the reconstruction of the converted roads
16 as provided for in this act and the repayment to the Federal
17 Treasury of any funds so required to be repaid pursuant to any
18 special legislation passed by the Congress of the United States
19 authorizing the conversion of toll-free roads to toll roads,
20 such excess proceeds shall be set aside and applied to the
21 payment of the principal and the interest of such bonds, notes
22 or other obligations as are issued pursuant to this act. Prior
23 to the preparation of definitive bonds, notes or other
24 obligations, the commission may, under like restrictions, issue
25 temporary bonds, notes or other obligations with or without
26 coupons, exchangeable for definitive bonds, notes or other
27 obligations upon the issuance of the latter. The commission may
28 also provide for the replacement of any bond, note or other
29 obligation which shall become mutilated or be destroyed or lost.
30 Such turnpike bonds, notes or other obligations may be issued
19850H0169B0185 - 23 -
1 without any other proceedings or the happening of any other
2 conditions or things than those proceedings, conditions and
3 things which are specified and required by this act.
4 (d) Power to borrow.--The commission is hereby authorized to
5 borrow money from time to time to provide the preliminary or
6 interim financing, up to, but not exceeding, the estimated total
7 cost of the turnpike extensions and improvements and the toll
8 road conversions, including the reconstruction of said converted
9 roads as provided for in this act and the repayment to the
10 Federal Treasury of any funds so required to be repaid pursuant
11 to any special legislation passed by the Congress of the United
12 States authorizing the conversion of toll-free roads to toll
13 roads, and to evidence such borrowing by the issuance of
14 turnpike notes or other obligations of the commission and, in
15 its discretion, to pledge as collateral for such notes or other
16 obligations, turnpike bonds, notes or other obligations issued
17 under the provisions of this act, and to renew any such notes or
18 other obligations from time to time, and the payment or
19 retirement of such notes or other obligations shall be
20 considered to be payment of the cost of the projects authorized
21 by this act.
22 (e) Bonds as securities.--The bonds, notes or other
23 obligations authorized herein are hereby made securities in
24 which all State and municipal officers and administrative
25 departments, boards and commissions of the Commonwealth; all
26 banks, bankers, savings banks, trust companies, saving and loan
27 associations, investment companies and other persons carrying on
28 a banking business; all insurance companies, insurance
29 associations and other persons carrying on an insurance
30 business; and all administrators, executors, guardians, trustees
19850H0169B0185 - 24 -
1 and other fiduciaries; and all other persons whatsoever who now
2 or may hereafter be authorized to invest in bonds or other
3 obligations of the Commonwealth, may properly and legally invest
4 any funds, including capital, belonging to them or within their
5 control, and the bonds, notes or other obligations are hereby
6 made securities which may properly and legally be deposited with
7 and received by any State or municipal officer or agency of the
8 Commonwealth, or any purpose for which the deposit of bonds,
9 notes or other obligations of the Commonwealth is now or may
10 hereafter be authorized by law.
11 (f) Negotiable instruments.--All such bonds, notes or other
12 obligations authorized herein shall have and are hereby declared
13 to have all the qualities and incidents of negotiable
14 instruments under the laws of this Commonwealth.
15 Section 13. Obligation proceeds restricted and lien created.
16 All moneys received from any bonds, notes or other
17 obligations issued pursuant to this act shall be applied solely
18 to the payment of the cost of the turnpike, the turnpike
19 extensions and improvements and the toll road conversions,
20 including the reconstruction of said converted roads as provided
21 for in this act and the repayment to the Federal Treasury of any
22 funds so required to be repaid pursuant to any special
23 legislation passed by the Congress of the United States
24 authorizing the conversion of toll-free roads to toll roads or
25 to the appurtenant fund, and there is created and granted a lien
26 upon such moneys, until so applied, in favor of holders of such
27 bonds, notes or other obligations or the trustee hereinafter
28 provided for in respect of such bonds, notes or other
29 obligations.
30 Section 14. Trust indenture authorized.
19850H0169B0185 - 25 -
1 (a) Security for bonds.--In the discretion of the
2 commission, such bonds, notes or other obligations may be
3 secured by a trust indenture by and between the commission and a
4 corporate trustee, which may be any trust company or bank having
5 the powers of a trust company, within or without this
6 Commonwealth. Such trust indenture may pledge or assign tolls
7 and revenue to be received but shall not convey or mortgage the
8 turnpike, the turnpike extensions and improvements or toll road
9 conversions provided for by this act or any part hereof.
10 (b) Rights of bondholders.--Either the resolution providing
11 for the issuance of such bonds, notes or other obligations or
12 such trust indenture may contain such provisions for protecting
13 and enforcing the rights and remedies of the bondholders or
14 holders of notes or other obligations as may be reasonable and
15 proper and not in violation of law, including covenants setting
16 forth the duties of the commission in relation to the
17 acquisition of properties and the construction, maintenance,
18 operation and repair, and insurance of, the turnpikes, and the
19 custody, safeguarding and application of all moneys. It shall be
20 lawful for any bank or trust company incorporated under the laws
21 of this Commonwealth to act as a depository of the proceeds of
22 bonds, notes or other obligations or revenues, and to furnish
23 such indemnity bonds or to pledge such securities as may be
24 required by the commission. The trust indenture may set forth
25 the rights and remedies of the bondholders or holders of notes
26 or other obligations and of the trustee and may restrict the
27 individual right of action of bondholders or holders of notes or
28 other obligations as is customary in trust indentures securing
29 bonds, debentures of corporations, notes or other obligations.
30 In addition to the foregoing, the trust indenture may contain
19850H0169B0185 - 26 -
1 such other provisions as the commission may deem reasonable and
2 proper for the security of bondholders or holders of notes or
3 other obligations. All expenses incurred in carrying out the
4 trust indenture may be treated as part of the cost of
5 maintenance, operation and repair of the turnpike extensions,
6 improvements and toll road conversions provided for by this act.
7 Section 15. Commission and obligations tax exempt.
8 The accomplishment by the commission of the authorized
9 purposes stated in this act being for the benefit of the people
10 of the Commonwealth and for the improvement of their commerce
11 and prosperity, in which accomplishment the commission will be
12 performing essential governmental functions, the commission
13 shall not be required to pay any taxes or assessments on any
14 property acquired or used by it for the purposes provided in
15 this act, and the bonds, notes or other obligations issued by
16 the commission, their transfer, and the income therefrom,
17 including any profits made on the sale thereof, shall at all
18 times be free from taxation within the Commonwealth.
19 Section 16. Collection and disposition of tolls and other
20 revenue.
21 (a) Establishment and changes in toll amounts.--Subject to
22 the terms of any trust indenture entered into by the commission
23 and any resolution authorizing the issuance of any bonds, notes
24 or other obligations of the commission, the commission is hereby
25 authorized to fix, and to revise from time to time, tolls for
26 the use of the Pennsylvania Turnpike System and the different
27 parts or sections thereof, including the turnpike, the turnpike
28 extensions and improvements and the toll road conversions
29 authorized by this act and to charge and collect the same, and
30 to contract with any person, partnership, association or
19850H0169B0185 - 27 -
1 corporation desiring the use of any part thereof, including the
2 right-of-way adjoining the paved portion, for placing thereon
3 telephone, telegraph, electric light or power lines, gas
4 stations, garages, stores, hotels, restaurants and advertising
5 signs, or for any other purpose, except for tracks for railroad
6 or railway use, and to fix the terms, conditions, rents and
7 rates of charges for such use. Tolls shall be so fixed and
8 adjusted as to provide funds at least sufficient with other
9 revenues of the Pennsylvania Turnpike System, if any, to pay:
10 (1) the cost of constructing, maintaining, repairing and
11 operating the Pennsylvania Turnpike System and the different
12 parts and sections thereof; and
13 (2) any bonds, notes or other obligations and the
14 interest thereon of the commission, and all sinking fund
15 requirements of the commission, and other requirements
16 provided for by any resolution authorizing the issuance of
17 the bonds, notes or other obligations by the commission, or
18 by any trust indenture to which the commission is a party, as
19 the same shall become due.
20 (b) Restrictions on toll revenue.--Tolls shall not be
21 subject to supervision or regulation by any other State
22 commission, board, bureau or agency. Subject to the terms of any
23 presently existing trust indenture entered into by the
24 commission and any presently existing resolution authorizing the
25 issuance of any bonds, notes or other obligations of the
26 commission, the tolls and all other revenue derived from the
27 Pennsylvania Turnpike System shall be set aside and pledged as
28 may be provided in any resolutions, trust indentures or any
29 other agreements that the commission may hereafter adopt or
30 hereafter enter into with respect to the issuance of bonds,
19850H0169B0185 - 28 -
1 notes or other obligations of the commission.
2 Section 17. Revenue refunding bonds.
3 The commission is hereby authorized to provide, by
4 resolution, for the issuance of turnpike revenue refunding bonds
5 of the Commonwealth for the purpose of refunding any turnpike
6 revenue bonds, notes or other obligations issued and then
7 outstanding. The issuance of such turnpike revenue refunding
8 bonds, the maturities and other details thereof, the rights of
9 the holders thereof, and the duties of the Commonwealth and of
10 the commission in respect to the same, shall be governed by the
11 provisions of this act insofar as the same may be applicable.
12 Section 18. Rights of obligation holders and trustees.
13 Any holder of bonds, notes or other obligations issued under
14 the provisions of this act, or any of the coupons attached
15 thereto, and the trustee under the trust indenture, if any,
16 except to the extent the rights herein given, may be restricted
17 by resolution passed before the issuance of the bonds, notes or
18 other obligations, or by the trust indenture, and may, either at
19 law or in equity, by suit, action, mandamus or other
20 proceedings, protect and enforce any and all rights granted
21 hereunder or under such resolution or trust indenture, and may
22 enforce and compel performance of all duties required by this
23 act or by such resolution or trust indenture to be performed by
24 the commission or any officer thereof, including the fixing,
25 charging and collecting of tolls for the use of the turnpikes.
26 Section 19. Authority granted to the Secretary of
27 Transportation.
28 (a) Agreement with Federal Government.--The Secretary of
29 Transportation is hereby authorized and empowered to enter into
30 an agreement with the United States Department of
19850H0169B0185 - 29 -
1 Transportation, the Federal Highway Administration and any other
2 Federal agency pursuant to section 105 of the Federal-Aid
3 Highway Act of 1978 (Public Law 95-599), in order to obtain
4 Federal funds for projects for resurfacing, restoring and
5 rehabilitating toll roads in Pennsylvania. The commission is
6 authorized to use Federal funds which may be available for toll
7 roads only pursuant to the approval of the Pennsylvania
8 Secretary of Transportation and only pursuant to the authority
9 granted in this section.
10 (b) Approval by department.--All contracts and agreements
11 relating to the construction of the turnpike and connecting
12 tunnels and bridges shall be approved by the Department of
13 Transportation.
14 Section 20. Construction of act.
15 This act shall be deemed to provide an additional and
16 alternative method for the doing of things authorized thereby,
17 and shall be regarded as supplemental and additional to powers
18 conferred by other laws, and shall not be regarded as in
19 derogation of any powers now existing and shall be liberally
20 construed to effect the purposes thereof.
21 Section 21. Repeals.
22 (a) Absolute repeals.--The following acts and parts of acts
23 are repealed:
24 Section 18 of the act of May 16, 1940 (1941 Sp.Sess. P.L.949,
25 No.11), known as the Pennsylvania Turnpike Philadelphia
26 Extension Act.
27 Section 18 of the act of June 11, 1941 (P.L.101, No.53),
28 known as the Western Pennsylvania Turnpike Extension Act.
29 Section 18 of the act of May 23, 1951 (P.L.335, No.74), known
30 as the Pennsylvania Turnpike Delaware River Extension Act.
19850H0169B0185 - 30 -
1 Section 18 of the act of September 27, 1951 (P.L.1430,
2 No.348), known as the Pennsylvania Turnpike Northeastern
3 Extension Act.
4 Section 18 of the act of May 15, 1956 (1955 P.L.1589,
5 No.534), known as the Pennsylvania Turnpike Philadelphia Loop
6 Extension Act.
7 (b) Inconsistent repeals.--The following acts and parts of
8 acts are repealed insofar as they are inconsistent with this
9 act:
10 Act of May 21, 1937 (P.L.774, No.211), entitled "An act to
11 facilitate vehicular traffic between the eastern and western
12 sections of the Commonwealth by providing for the construction,
13 operation and maintenance of a turnpike from a point at or near
14 Middlesex in Cumberland County to a point at or near Irwin in
15 Westmoreland County; providing for the creation of the
16 Pennsylvania Turnpike Commission, and conferring powers and
17 imposing duties on said commission; authorizing the issuance of
18 turnpike revenue bonds of the Commonwealth, payable solely from
19 tolls, to pay the cost of such turnpike; providing that no debt
20 of the Commonwealth shall be incurred in the exercise of any of
21 the powers granted by this act; providing for the collection of
22 tolls for the payment of such bonds and for the cost of
23 maintenance, operation and repair of the turnpike; making such
24 bonds exempt from taxation; constituting such bonds legal
25 investments in certain instances; prescribing conditions upon
26 which such turnpike shall become free; providing for
27 condemnation; granting certain powers and authority to municipal
28 subdivisions and agencies of the Commonwealth to cooperate with
29 the commission; and authorizing the issuance of turnpike revenue
30 refunding bonds."
19850H0169B0185 - 31 -
1 (c) General repeal.--All other acts and parts of acts are
2 repealed insofar as they are inconsistent with this act.
3 Section 22. Effective date.
4 This act shall take effect in 60 days.
L19L36RAW/19850H0169B0185 - 32 -