THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY QUINN, BARRAR, CHRISTIANA, CLYMER, FREEMAN, KAUFFMAN, M. KELLER, KILLION, OBERLANDER AND SWANGER, OCTOBER 12, 2010

REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, OCTOBER 12, 2010  

AN ACT

Providing for the extension of certain permits and approvals

affecting the physical development of real property located

in municipalities; and repealing certain provisions relating

to permit extensions in The Fiscal Code.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Short title.

This act shall be known and may be cited as the Real Property

Development Permit and Approval Extension Act.

Section 2.  Legislative findings.

The General Assembly finds and declares as follows:

(1)  There exists a state of national recession, which

has drastically affected various segments of the

Commonwealth’s economy including, but not limited to, the

banking, real estate and construction sectors.

(2)  As a result of the crisis in the real estate finance

sector of the economy, real estate developers and

redevelopers, including homebuilders and commercial, office

and industrial developers, have experienced an industry-wide

decline, including reduced demand, canceled orders, declining

sales and rentals, price reductions, increased inventory,

fewer buyers who qualify to purchase homes, layoffs and

scaled-back growth plans.

(3)  The process of obtaining planning board and zoning

board approvals for subdivisions, site plans and variances

can be difficult, time consuming and expensive, both for

private applicants and government bodies.

(4)  Due to the current inability of builders and their

purchasers to obtain financing, under existing economic

conditions, more and more once-approved permits and approvals

are expiring or lapsing and, as these permits and approvals

lapse, lenders must reappraise and thereafter substantially

lower real estate valuations established in conjunction with

approved projects, thereby requiring the reclassification of

numerous loans, which in turn, affects the stability of the

banking system and reduces the funds available for future

lending, thus creating more severe restrictions on credit and

leading to a vicious cycle of default.

(5)  As a result of the continued downturn of the economy

and the continued expiration of permits and approvals which

were granted by the Commonwealth and its municipalities, it

is possible that thousands of government actions will be

undone by the passage of time.

(6)  Obtaining an extension of a permit or an approval

under existing statutory or regulatory provisions can be both

costly in terms of time and financial resources and

insufficient to cope with the extent of the present financial

situation.

(7)  It is the purpose of this act to prevent the

wholesale abandonment of approved projects and activities due

to the present unfavorable economic conditions by tolling the

term of these permits and approvals for a period of time,

thereby preventing a waste of public and private resources

and continuing real property development projects which may

help to eradicate previously blighted structures.

Section 3.  Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Approval."  A permit or other government authorization or

approval for construction, erection, removal, demolition or

change in exterior dimension of any structure on the land or for

use or occupancy of any structure or land, including, but not

limited to:

(1)  construction or erection of a structure;

(2)  construction of an addition to a structure;

(3)  altering, modifying, repairing or improving a

structure;

(4)  demolishing, moving or removing a structure;

(5)  installing any trailer, regardless of the method of

support;

(6)  clearing, grubbing or disturbing the earth of any

land in excess of 5,000 square feet; or

(7)  making a change of occupancy or any new use

commenced on any land or in any structure.

This term does not include any approval in the nature of a

license or contractual agreement.

Section 4.  Extension of certain permits and approvals.

(a)  General rule.--Except as provided in subsection (e), any

permit or approval issued by a municipality or by the

Commonwealth under:

(1)  the act of June 1, 1945 (P.L.1242, No.428), known as

the State Highway Law;

(2)  the act of November 26, 1978 (P.L.1375, No.325),

known as the Dam Safety and Encroachments Act, specifically,

any permit issued under 25 Pa. Code § 105.99 (relating to

dams in subdivision developments);

(3)  section 5 of the act of June 22, 1937 (P.L.1987, No.

394), known as The Clean Streams Law;

(4)  the act of January 24, 1966 (1965 P.L.1535, No.

537), known as the Pennsylvania Sewage Facilities Act;

(5)  the act of October 4, 1978 (P.L.864, No.167), known

as the Storm Water Management Act; or

(6)  any approvals pursuant to an ordinance of a city of

the first class, city of the second class or any other

municipality that chooses to opt into this act that pertains

to land use, including, but not limited to, building permits;

which expires after the effective date of this section and

before January 1, 2013, shall be extended once for one full

calendar year upon written request of the holder of the permit

or approval and payment of a fee to the issuing authority that

may, in the discretion of the issuing authority, be not more

than 50% of the original permit or approval fee, but in no

circumstances more than $7,500.

(b)  Optional extensions.--A municipality, other than a city

of the first class or a city of the second class, may, in its

discretion and in accordance with subsection (a), extend permits

or approvals issued by the municipality pertaining to land use.

(c)  Independence from Commonwealth extensions.--Regardless

of any action by the Commonwealth to extend a permit or

approval, no municipality other than a city of the first class

or a city of the second class shall be required to extend any

permit or approval pertaining to the subject matter of the

Commonwealth's extension.

(d)  Extension of authority for riparian land leases.--

(1)  The time period relating to obtaining a building

permit under section 1(i) of the act of February 22, 2008

(P.L.36, No.4), entitled "An act authorizing the Department

of General Services, with the concurrence of the Department

of Environmental Protection, to lease to VTE Philadelphia,

LP, or its nominee, land within the bed of the Delaware River

in the City of Philadelphia; and affirming the authority of

the General Assembly to enact certain conveyances," shall be

extended until January 1, 2011, or one year from the

effective date of this subsection, whichever is later.

(2)  The time period relating to obtaining a building

permit under section 1(i) of the act of February 22, 2008

(P.L.41, No.5), entitled "An act authorizing the Department

of General Services, with the concurrence of the Department

of Environmental Protection, to lease to NCCB Associates, LP,

or its nominee, land within the bed of the Delaware River in

the City of Philadelphia; and affirming the authority of the

General Assembly to enact certain conveyances," shall be

extended until January 1, 2011, or one year from the

effective date of this subsection, whichever is later.

(e)  Exceptions.–-The provisions of subsection (a) shall not

apply to:

(1)  Any permit or approval issued for real property that

potentially impacts waters of this Commonwealth designated as

high quality or exceptional value watersheds or wetlands.

(2)  Any other permit or approval issued under any

Federal or State law or regulation.

(3)  Any permit or approval issued to comply with Federal

law or regulation, the duration or terms of expiration of

which is established by or pursuant to Federal law or

regulation.

Section 5.  Construction.

Notwithstanding the provisions of this act to the contrary,

the Commonwealth or a municipality shall retain the authority:

(1)  to suspend or revoke any permit or approval extended

for noncompliance with any condition or requirement

applicable to the permit or approval; and

(2)  where granted by statute or regulation, to enforce

conditions on permits and approvals.

Section 6.  Repeal.

Article XVI-I of the act of April 9, 1929 (P.L.343, No.176),

known as The Fiscal Code, is repealed.

Section 7.  Effective date.

This act shall take effect immediately.