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PRINTER'S NO. 689
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No.
242
Session of
2015
INTRODUCED BY SMITH, BLAKE, FONTANA, HAYWOOD, YUDICHAK,
BREWSTER, TARTAGLIONE, COSTA, FARNESE AND LEACH,
APRIL 7, 2015
REFERRED TO FINANCE, APRIL 7, 2015
AN ACT
Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
act relating to tax reform and State taxation by codifying
and enumerating certain subjects of taxation and imposing
taxes thereon; providing procedures for the payment,
collection, administration and enforcement thereof; providing
for tax credits in certain cases; conferring powers and
imposing duties upon the Department of Revenue, certain
employers, fiduciaries, individuals, persons, corporations
and other entities; prescribing crimes, offenses and
penalties," providing for a green roof tax credit.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The act of March 4, 1971 (P.L.6, No.2), known as
the Tax Reform Code of 1971, is amended by adding an article to
read:
ARTICLE XIX-D
GREEN ROOF TAX CREDIT
Section 1901-D. Scope of article.
This article relates to green roof tax credits.
Section 1902-D. Definitions.
The following words and phrases when used in this article
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shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Department." The Department of Revenue of the Commonwealth.
"Eligible rooftop space." The total space available to
support a green roof, as certified by a structural engineer.
"Green roof." An addition to a roof that supports living
vegetation and includes a synthetic, high-quality waterproof
membrane, drainage layer, soil layer and lightweight medium
plants.
"Tax credit." The green roof tax credit.
"Tax liability." For a taxpayer who is an individual, taxes
imposed under Article III and for all other taxpayers, taxes
imposed under Articles III, IV and VI.
Section 1903-D. Application.
A business or individual seeking a tax credit must file an
application with the department that includes the following:
(1) The address of the location of the proposed green
roof.
(2) The total square footage of the rooftop.
(3) The total square footage of the eligible rooftop
space.
(4) The total square footage of the proposed green roof.
(5) The total projected costs to construct the green
roof.
(6) Proof that the applicant has received all required
permits and approvals to construct the green roof, after
first submitting to the local building code official the
plans for the green roof and a written analysis conducted by
a roof engineer that certifies the following:
(i) The condition of the roof is satisfactory for
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green roof construction.
(ii) The structural capacity of the roof would
support the proposed green roof.
(iii) There is appropriate and safe access to the
roof for maintenance purposes.
(iv) The weight of the proposed green roof is
appropriate for the roof.
(v) The plans include appropriate irrigation and
drainage measures.
Section 1904-D. Commitment agreement.
The department shall approve an application for a tax credit
if it contains all of the required information. After approval,
the applicant must execute a commitment agreement with the
department setting forth the following:
(1) The plans for the green roof, as approved by the
local building code official, which plans must provide for a
green roof covering at least 50% of the building's rooftop or
75% of eligible rooftop space.
(2) The total projected costs for the construction of
the green roof.
(3) The maximum tax credit the applicant may claim.
(4) The applicant's commitment to maintain the green
roof for a period of five years after the date of its
completion and the applicant's acknowledgment that if the
taxpayer claims a tax credit and fails to incur the amount of
qualified construction or maintenance costs for a green roof
in that taxable year, the taxpayer shall repay to the
Commonwealth the amount of the tax credit claimed under this
article for the green roof.
Section 1905-D. Certification and credit.
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(a) General rule.--After the applicant and the department
have executed a commitment agreement, and upon certifying to the
department the total costs actually incurred and proof of
completion of the green roof in accordance with the plans set
forth in the commitment agreement, the applicant may claim a
credit against the tax liability of the applicant equal to 25%
of all costs initially incurred to construct the green roof and
for maintenance in the years after.
(b) Limitations.--
(1) The amount of tax credits awarded to an individual
or business may not exceed $100,000 in any fiscal year.
(2) The tax credit shall be applied against the
applicant's total tax liability subject to the tax credit for
the fiscal year during which the applicant certifies the
completion of the green roof.
(3) Any unused credits may be carried forward until
fully used.
(4) The credit is not a refundable credit.
(5) The credit is nontransferable.
(c) Availability of tax credits.--Each fiscal year,
$10,000,000 in tax credits shall be made available to the
department and may be awarded by the department in accordance
with this article.
Section 1906-D. Repayment of tax credits.
A business or individual that has received and taken the
credit must repay the credit to the Commonwealth if it fails to
maintain the green roof in accordance with the provisions of the
commitment agreement.
Section 2. This act shall take effect in 60 days.
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