THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY HOUGHTON, FREEMAN, ROSS, McILVAINE SMITH, BRADFORD, SANTARSIERO, MURPHY, HENNESSEY, HARPER, MELIO, SIPTROTH, SWANGER, HORNAMAN AND CUTLER, JULY 6, 2009

AS REPORTED FROM COMMITTEE ON LOCAL GOVERNMENT, HOUSE OF REPRESENTATIVES, AS AMENDED, JULY 21, 2009   

AN ACT

Amending the act of July 31, 1968 (P.L.805, No.247), entitled,

as amended, "An act to empower cities of the second class A,

and third class, boroughs, incorporated towns, townships of

the first and second classes including those within a county

of the second class and counties of the second through eighth

classes, individually or jointly, to plan their development

and to govern the same by zoning, subdivision and land

development ordinances, planned residential development and

other ordinances, by official maps, by the reservation of

certain land for future public purpose and by the acquisition

of such land; to promote the conservation of energy through

the use of planning practices and to promote the effective

utilization of renewable energy sources; providing for the

establishment of planning commissions, planning departments,

planning committees and zoning hearing boards, authorizing

them to charge fees, make inspections and hold public

hearings; providing for mediation; providing for transferable

development rights; providing for appropriations, appeals to

courts and penalties for violations; and repealing acts and

parts of acts," providing for review fees.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Section 603 of the act of July 31, 1968 (P.L.805,

No.247), known as the Pennsylvania Municipalities Planning Code,

reenacted and amended December 21, 1988 (P.L.1329, No.170), is

amended by adding a subsection to read:

Section 603.  Ordinance Provisions.--* * *

(m)  Zoning ordinances may include provisions for the

charging of review fees for the municipality's evaluation of

conditional use applications pursuant to express standards and

criteria set forth in the zoning ordinance, consistent with

sections 603(c)(2) and 913.2. Review fees may include reasonable

and necessary charges by the municipality's professional

consultants for review and report on a conditional use

application to the municipality. Review fees charged under this

subsection shall be based upon a schedule established by

ordinance or resolution and shall be in accordance with the

ordinary and customary charges for similar service in the

community, but in no event shall the fees exceed the rate or

cost charged by the professional consultants for comparable

services to the municipality or for services which are not

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reimbursed or otherwise imposed on applicants. Review fees

charged under this subsection shall not duplicate review fees

charged under section 503(1). Fees charged to the municipality

relating to any appeal of a decision on an application shall not

be considered review fees and may not be charged to an

applicant.

(1)  Upon making a decision on an application, the

governing body shall submit to the applicant an itemized bill

showing work performed, identifying the person performing the

services and the time and date spent for each task.

(2)  In the event the applicant disputes the amount of

any such review fees, the applicant shall, not later than 30

days after the date of transmittal of the bill to the

applicant, notify the municipality and the municipality's

professional consultant that such fees are disputed and shall

explain the basis of its objections to the fees charged.

Failure of the applicant to dispute a bill within 30 days of

transmittal of the bill shall be a waiver of the applicant's

right to arbitration of that bill pursuant to this

subsection.

(3)  If, within 30 days after the applicant's

notification of dispute, the applicant and the municipality's

professional consultant cannot agree on the amount of review

fees that are reasonable and necessary, then the applicant

shall have the right to request the appointment of another

professional consultant to serve as an arbitrator. The

applicant and municipality's professional consultant shall,

within 20 days of the request and by mutual agreement,

appoint an arbitrator to review any disputed bills and make a

determination as to the amount thereof that is reasonable and

necessary. The arbitrator shall be of the same profession as

the professional consultant whose fees are being challenged.

(4)  In the event that the municipality's professional

consultant and applicant cannot agree upon the arbitrator to

be appointed within 20 days of the request for appointment,

then, upon application of either party, the president judge

of the court of common pleas of the judicial district in

which the municipality is located or, if at the time there be

no president judge, then the senior active judge then sitting

shall appoint such arbitrator, who, in that case, shall be

neither the municipality's professional consultant nor any

professional consultant who has been retained by, or

performed services for, the municipality or the applicant

within the preceding five years.

(5)  The arbitrator so appointed shall hear such evidence

and review such documentation as the arbitrator in his or her

sole opinion deems necessary and shall render a decision not

later than 50 days after the date of appointment. Based on

the decision of the arbitrator, the applicant or the

municipality's professional consultant shall be required to

pay any amounts necessary to implement the decision within 60

days following the decision. In the event the municipality

has paid the professional consultant an amount in excess of

the amount determined to be reasonable and necessary, the

professional consultant shall within 60 days reimburse the

excess payment.

(6)  The fee of the arbitrator shall be paid by the

applicant if the review fee charged is sustained by the

arbitrator, otherwise, it shall be divided equally between

the municipality's professional consultant and the applicant.

If the disputed fees are found to be excessive by more than

$5,000, the arbitrator shall have the discretion to assess an

amount greater than 50% of the arbitration fee against the

municipality's professional consultant. The governing body

and the consultant whose fees are the subject of the dispute

shall be parties to the proceeding.

Section 2.  This act shall take effect immediately.