PRINTER'S NO. 740
No. 689 Session of 1993
INTRODUCED BY FUMO, MARCH 23, 1993
REFERRED TO APPROPRIATIONS, MARCH 23, 1993
AN ACT
1 Amending the act of April 9, 1929 (P.L.343, No.176), entitled,
2 as amended, "An act relating to the finances of the State
3 government; providing for the settlement, assessment,
4 collection, and lien of taxes, bonus, and all other accounts
5 due the Commonwealth, the collection and recovery of fees and
6 other money or property due or belonging to the Commonwealth,
7 or any agency thereof, including escheated property and the
8 proceeds of its sale, the custody and disbursement or other
9 disposition of funds and securities belonging to or in the
10 possession of the Commonwealth, and the settlement of claims
11 against the Commonwealth, the resettlement of accounts and
12 appeals to the courts, refunds of moneys erroneously paid to
13 the Commonwealth, auditing the accounts of the Commonwealth
14 and all agencies thereof, of all public officers collecting
15 moneys payable to the Commonwealth, or any agency thereof,
16 and all receipts of appropriations from the Commonwealth,
17 authorizing the Commonwealth to issue tax anticipation notes
18 to defray current expenses, implementing the provisions of
19 section 7(a) of Article VIII of the Constitution of
20 Pennsylvania authorizing and restricting the incurring of
21 certain debt and imposing penalties; affecting every
22 department, board, commission, and officer of the State
23 government, every political subdivision of the State, and
24 certain officers of such subdivisions, every person,
25 association, and corporation required to pay, assess, or
26 collect taxes, or to make returns or reports under the laws
27 imposing taxes for State purposes, or to pay license fees or
28 other moneys to the Commonwealth, or any agency thereof,
29 every State depository and every debtor or creditor of the
30 Commonwealth," redefining "Redevelopment Assistance Capital
31 Project"; further providing for project eligibility; and
32 increasing the limitation on redevelopment assistance capital
33 projects.
1 The General Assembly of the Commonwealth of Pennsylvania
2 hereby enacts as follows:
3 Section 1. The definition of "Redevelopment Assistance
4 Capital Project" in section 1602-B of the act of April 9, 1929
5 (P.L.343, No.176), known as The Fiscal Code, amended July 13,
6 1987 (P.L.338, No.63), is amended to read:
7 Section 1602-B. Definitions.--As used in this article--
8 * * *
9 "Redevelopment Assistance Capital Project" shall mean the
10 design and construction of facilities which (i) are facilities
11 other than housing units, highways, bridges, waste disposal
12 facilities, sewage systems or facilities, or water systems or
13 facilities, and are projects which cannot obtain funding under
14 other State or Federal programs; (ii) are economic development
15 projects or projects with cultural, historical or civic
16 significance which generate substantial increases in employment,
17 tax revenues or other measures of economic activity; (iii) are
18 facilities which have a regional or multijurisdictional impact;
19 (iv) are eligible for tax-exempt bond funding under existing
20 Federal law [or under Federal H.R.3838 of 1985, which shall be
21 known as the Tax Reform Act of 1985 if it is enacted] and
22 regulations; (v) have a fifty per centum non-State
23 participation[, of] provided in advance, at least half of which
24 is cash or legally binding commitments, and which the only
25 noncash non-State participation permitted is land donation and
26 toward which State funds from other programs may not be used;
27 and (vi) have a total project cost of five million dollars
28 ($5,000,000) or more, or for such projects in municipalities
29 designated as "financially [disadvantaged] distressed
30 municipalities" under the provisions of the act of [July 9, 1986
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1 (P.L.1223, No.110), known as the "Financially Disadvantaged
2 Municipalities Matching Assistance Act,"] July 10, 1987
3 (P.L.246, No.47), known as the "Municipalities Financial
4 Recovery Act," have a total project costs of one million dollars
5 ($1,000,000) or more; and (vii) have a cooperation agreement
6 between the applicant and a redevelopment authority or
7 industrial development authority if a general purpose unit of
8 local government is not the applicant.
9 * * *
10 Section 2. Section 1616.1-B of the act, amended July 13,
11 1987 (P.L.338, No.63), is amended to read:
12 Section 1616.1-B. Appropriation and Limitation on
13 Redevelopment Assistance Capital Projects.--(a) The amount
14 necessary to pay principal of and interest on all obligations
15 issued to provide funds for redevelopment assistance capital
16 projects is hereby appropriated from the General Fund and shall
17 be transferred to the Capital Debt Fund upon authorization by
18 the Governor.
19 (b) The maximum amount of redevelopment assistance capital
20 projects undertaken by the Commonwealth for which obligations
21 are to be issued shall not exceed, in aggregate, [four hundred
22 million dollars ($400,000,000)] seven hundred million dollars
23 ($700,000,000).
24 Section 3. The act is amended by adding a section to read:
25 Section 1616.2-B. Funding and Administration of
26 Redevelopment Assistance Capital Projects.--(a) The Secretary
27 of the Budget, in consultation with the Secretary of Commerce
28 and the Secretary of Community Affairs, shall approve or
29 disapprove redevelopment assistance capital projects.
30 (b) State funding for approved redevelopment assistance
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1 capital projects shall be paid over not less than a thirty-six
2 month period, unless the Secretary of the Budget authorizes a
3 shorter period.
4 (c) All fees for project planning and administration,
5 audits, construction cost estimates and other professional
6 services for redevelopment assistance capital projects shall be
7 paid from non-State funds.
8 (d) Expenditure of State and non-State funds shall be made
9 on a proportional basis for construction expenses.
10 (e) Redevelopment assistance capital project cost estimates
11 shall be verified by an independent architect or construction
12 management firm approved by the Office of the Budget before
13 final approval is given to a project application. Cost estimates
14 shall include total project cost, projected use for State and
15 non-State funds and a year-by-year schedule of costs for the
16 entire project construction phase.
17 (f) The solicitation of a minimum of three written bids
18 shall be required for all contracted work in redevelopment
19 assistance projects.
20 (g) Redevelopment assistance capital projects shall be
21 reviewed at regular intervals by the Office of the Budget or its
22 designated agent during the funding phase to ensure financial
23 and program compliance. A final close-out audit shall be
24 performed by the Office of the Budget or its designated agent
25 for all projects.
26 Section 4. This act shall take effect immediately.
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