AN ACT

 

1Amending Title 64 (Public Authorities and Quasi-Public
2Corporations) of the Pennsylvania Consolidated Statutes,
3further providing for revolving loan program accounts, for
4indebtedness, for Business in Our Sites Program and for First
5Industries Program; and making a transfer.

6The General Assembly of the Commonwealth of Pennsylvania
7hereby enacts as follows:

8Section 1. Sections 1542, 1543(a) and (b), 1551 and 1552(b),
9(c) and (f) of Title 64 of the Pennsylvania Consolidated
10Statutes are amended to read:

11§ 1542. Revolving loan program accounts.

12(a) The Business in Our Sites Program account.--The
13authority shall establish an account for the program established
14in section 1551 (relating to Business in Our Sites Program).
15Proceeds of bonds issued to fund the Business in Our Sites
16Program and any moneys received as loan repayments under the
17Business in Our Sites Program, or moneys otherwise made
18available to the program, shall be deposited in the account and

1made available for additional [planning grants,] project grants
2or loans for the purposes of the program in section 1551,
3subject to the provisions of any pledge to or agreement made by
4the authority with obligees of the authority.

5(b) The First Industries Program account.--The authority
6shall establish an account for the program established in
7section 1552 (relating to First Industries Program). Proceeds of
8bonds issued to fund the First Industries Program, any moneys
9received as loan repayments or in repayment or recovery of loan
10guarantees under the program, or moneys otherwise made available
11to the program, shall be deposited in the account and made
12available for additional [planning grants or] loans or used for
13additional loan guarantees as provided in section 1552, subject
14to the provisions of any pledge to or agreement made by the
15authority with obligees of the authority.

16§ 1543. Indebtedness.

17(a) General rule.--Subject to the limitations of subsection
18(b), the authority may, in its own name, incur indebtedness,
19including through the issuance of bonds, in an amount necessary
20to fund the [program as] programs established in Subchapter E
21(relating to programs) and in 12 Pa.C.S. Ch. 29 (relating to
22machinery and equipment loans).

23(b) Program limitations.--Indebtedness incurred by the
24authority under subsection (a) shall not, in aggregate, exceed
25any of the following:

26(1) [$300,000,000] $375,000,000 for the program
27established in section 1551 (relating to Business in Our
28Sites Program).

29(2) $150,000,000 for the program established in section
301552 (relating to First Industries Program).

1(3) $60,000,000 for the program established in section
21557 (relating to New Pennsylvania Venture Capital Investment
3Program).

4(4) $150,000,000 for the program established in section
51555 (relating to Building Pennsylvania Program).

6(5) $75,000,000 for the program established in 12 
7Pa.C.S. Ch. 29.

8(6) $250,000,000 for the program established in section
91554 (relating to New Pennsylvania Venture Guarantee
10Program).

11(7) [$100,000,000] $50,000,000 for the program
12established in section 1556 (relating to Tax Increment
13Financing Guarantee Program).

14(8) $50,000,000 for the program established in section
151553 (relating to Second Stage Loan Program).

16* * *

17§ 1551. Business in Our Sites Program.

18(a) Establishment.--There is established a program to be
19known as the Business in Our Sites Program. The program shall
20provide financial assistance for the preparation of sites
21located within this Commonwealth for future development.

22(b) [Applications for planning grants.--A municipality,
23municipal authority, redevelopment authority or industrial
24development agency may submit an application to the authority
25requesting a planning grant for costs associated with
26predevelopment activities and feasibility studies for a project.
27The application shall be on the form required by the board and
28shall include or demonstrate all of the following:

29(1) The applicant's name and address.

30(2) The location of the project.

1(3) A statement that the project is consistent with any
2existing comprehensive county plan where the project is
3located.

4(4) A description of the project which includes a
5statement that:

6(i) the project is for the redevelopment, reuse or
7revitalization of previously developed land, including
8previously mined areas; or

9(ii) the project is for the development of
10undeveloped land which may be the subject of future
11development pursuant to any existing comprehensive
12municipal plan.

13(5) An estimate of the cost of the predevelopment
14activities and feasibility studies.

15(6) A statement of the amount of the planning grant
16sought.

17(7) Any other information required by the board]
18(Reserved).

19(c) [Review and approval of planning grant applications.--

20(1) The board shall review the application. Upon being
21satisfied that all requirements have been met, the board may
22approve the application and, if approved, the authority shall
23award a planning grant.

24(2) Copies of all reports and studies prepared with
25planning grant funds shall be filed with the authority and
26shall be made available to any person upon request]
27(Reserved).

28(d) Applications for project financing.--A municipality,
29municipal authority, redevelopment authority or industrial
30development agency may submit an application to the authority

1requesting a loan or a combination of a loan and project grant
2for a project. A private developer may submit an application to
3the board requesting a loan for a project. The application shall
4be on the form required by the board and shall include or
5demonstrate all of the following:

6(1) The applicant's name and address.

7(2) The location of the project.

8(3) A statement that the project is consistent with any
9existing comprehensive county plan where the project is
10located.

11(4) A description of the project which includes a
12statement that:

13(i) the project is for the redevelopment, reuse or
14revitalization of previously developed land, including
15previously mined areas; or

16(ii) the project is for the development of
17undeveloped land which may be the subject of future
18development pursuant to any existing comprehensive
19municipal plan and is zoned for such development at the
20time of application.

21(5) An estimate of the cost of the project, prepared by
22an engineer or other qualified professional.

23(6) A statement of the amount of the loan or combined
24loan and project grant sought. If the applicant is requesting
25a project grant, a statement as to the financial necessity
26for the project grant must be included.

27(7) Proof that notification of the project has been sent
28to the governing bodies of the county or counties and of the
29municipality or municipalities in which the project is
30located.

1(8) Any other information required by the board.

2(e) Review of project financing applications.--The board
3shall review the application to determine all of the following:

4(1) That the project is consistent with any existing
5comprehensive county plan where the project is located.

6(2) That the project is the redevelopment, reuse or
7revitalization of previously developed land, including
8previously mined areas, or that the project is the
9development of undeveloped land which may be the subject of
10future development pursuant to any existing comprehensive
11municipal plan and is zoned for such development at the time
12of application.

13(3) That the value of the proposed collateral and the
14financial resources offered by the applicant are sufficient
15to repay the loan.

16(4) That there is a substantial likelihood the land or
17buildings will be used upon project completion.

18(5) That the project will enable future employment
19opportunities in or have a net positive economic impact on
20the surrounding community.

21(6) That the statement of the estimated cost of the
22project is reasonable.

23(7) That the applicant complied with all other criteria
24established by the board.

25(f) Approval of project financing applications.--Upon being
26satisfied that all requirements have been met, the board may
27approve the application, and, if approved, the authority shall
28award a loan or a combination of a loan and project grant to be
29used for costs of the project. A combined loan and project grant
30may be awarded only if the board finds that the value of the

1proposed collateral and the financial resources offered by the
2applicant are not sufficient to repay a loan in the amount of
3the total project cost.

4(g) Limitations.--

5(1) [A planning grant awarded for a project under
6section (c) shall not exceed $250,000. No more than
7$10,000,000 of the funds made available for the program
8authorized by this section may be used for planning grants]
9(Reserved).

10(2) A project grant awarded under subsection (f) shall
11not exceed 50% of the total amount of financing awarded by
12the board for the project or $5,000,000, whichever is less.
13No more than one-third of the funds made available for the
14program authorized by this section may be used for all
15project grants.

16(3) No more than 15% of the funds made available for the
17program authorized by this section may be awarded for
18projects located within any one city, town, borough or
19township of this Commonwealth.

20(4) The anticipated use of the land or buildings may not
21be primarily residential or primarily recreational.

22(5) A project grant may be used only for one or more of
23the following purposes:

24(i) Environmental assessment and remediation.

25(ii) Site preparation, including earth moving
26activities.

27(iii) Demolition of structures.

28(iv) Installation or rehabilitation of
29infrastructure.

30(v) Reimbursement of engineering and administrative

1expenses associated with any of the activities listed in
2subparagraphs (i) through (iv).

3§ 1552. First Industries Program.

4* * *

5(b) [Applications for planning grants.--An applicant may
6submit an application to the authority requesting a planning
7grant in an amount not to exceed $250,000 for the costs of
8predevelopment activities and feasibility studies for a project
9related to tourism or agriculture. The application shall be on
10the form required by the board and shall include or demonstrate
11all of the following:

12(1) The applicant's name and address.

13(2) The location of the project.

14(3) A description of the project.

15(4) An estimate of the cost of the predevelopment
16activities and feasibility studies and the goal to be
17achieved by carrying out the proposed activities or studies.

18(5) A statement of the amount of the planning grant
19sought.

20(6) Any other information required by the board]
21(Reserved).

22(c) [Review and approval of planning grant applications.--

23(1) The board shall review the application to determine
24that the project demonstrates one or more of the following:

25(i) The project will have a demonstrable impact on
26the economy or well-being of the neighborhood, community
27or region where the project will be located.

28(ii) The project will promote research and
29development efforts leading to increased
30commercialization or utilization of farm commodities.

1(iii) The project will result in environmentally
2friendly or energy efficient operations related to
3agriculture, including projects authorized by the act of
4December 12, 1994 (P.L.888, No.128), known as the
5Agricultural By-Product Management Technology Act.

6(iv) The project will result in more cost-effective
7and efficient marketing of regional assets related to
8tourism or agriculture.

9(v) The project will result in a substantial
10increase in revenues for the Commonwealth or the host
11municipality.

12(vi) The project proposes to utilize Commonwealth-
13owned natural resources for public/private development of
14tourism.

15(2) Upon being satisfied that the requirements of
16paragraph (1) have been met, the board may approve the
17application, and, if approved, the authority shall award a
18planning grant.

19(3) Copies of all reports and studies prepared with
20planning grant funds shall be filed with the authority and
21shall be made available to any person upon request]
22(Reserved).

23* * *

24(f) Limitations.--

25(1) [No more than $10,000,000 of the funds available for
26the program authorized by this section may be used for
27planning grants awarded under subsection (c)] (Reserved).

28(2) At least two-thirds of the funds available for the
29program authorized by this section shall be used for
30financing of projects related to agriculture.

1Section 2. The sum of $50,000,000 is transferred from the
2Tax Increment Financing Guarantee Program to the Business in Our
3Sites Program.

4Section 3. This act shall take effect in 60 days.