Regular Session 2019-2020 House Bill 2668 P.N. 4094

PRINTER'S NO. 4094

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

2668

Session of

2020

INTRODUCED BY ISAACSON, NEILSON, MILLARD, SANCHEZ AND HILL-

EVANS, JULY 8, 2020

REFERRED TO COMMITTEE ON STATE GOVERNMENT, JULY 8, 2020

AN ACT

Authorizing the Department of General Services, with the

concurrence of the Department of Environmental Protection, to

lease to L-A Battery, QOZ, LLC land within the bed of the

Delaware River within the City of Philadelphia.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. Lease of land within bed of Delaware River within

the City of Philadelphia.

(a) Authorization.--The Commonwealth owns lands within the

bed of the Delaware River, a portion of which lands are located

in the 18th Ward of the City of Philadelphia and are commonly

known as part of the former Philadelphia Electric Company (PECO)

Power Station property, 1325 Beach Street, also known as North

Beach Street. The Department of General Services, with the

concurrence of the Department of Environmental Protection,

acting on behalf of the Commonwealth, is hereby authorized to

lease to L-A Battery QOZ, LLC, or its nominee for an initial

term of 99 years, such lands within the bed of the Delaware

River in the City of Philadelphia and to extend the lease term

for all or any portion of the leased premises for an additional

term of up to 99 years.

(b) Description.--The property to be leased is approximately

10.80126-acres of partially filled lands more particularly

described as follows:

ALL THAT CERTAIN lot or piece of ground together with the

improvements thereon erected, situate in the 18th Ward of the

City of Philadelphia, Pennsylvania more particularly described

as follows to wit:

BEGINNING at a point on the dividing line between OPA #88-

435-7171, lands now or formerly of Delaware Station LLC and OPA

#88-5670040, lands now or formerly of the City of Philadelphia,

Penn Treaty Park, said point being distant the following two (2)

courses and distances from the intersection of the northeasterly

right-of-way line of Columbia Street Extended (50 foot wide

right-of-way, on City Plan) and the southeasterly right-of-way

line of Beach Street (50 foot wide right-of-way, on City Plan,

legally open);

A. Along the southeasterly right-of-way line of Beach

Street, North 59 degrees 19 minutes 33 seconds East, a distance

of 143.948 feet, thence;

B. Along the dividing line between OPA #88-4351717 and

OPA #88-5670040, South 28 degrees 11 minutes 54 seconds East, a

distance of 233.380 feet to a point on the bulkhead line

(approved by the Secretary of War January 5, 1894 and September

10, 1940) being the true point and place of BEGINNING and from

said point of BEGINNING running, thence;

The following two (2) courses and distances along the

bulkhead line:

1. North 58 degrees 21 minutes 15 seconds East, a

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distance of 404.079 feet to a point, thence;

2. North 64 degrees 18 minutes 09 seconds East, a

distance of 534.095 feet to a point, thence;

3. Along the dividing line between OPA #88-4351717 and

OPA #88-4076002, lands now or formerly Berks Street Corp., South

28 degrees 28 minutes 57 seconds East, a distance of 494.364

feet to a point on the pierhead line (approved by the Secretary

of War January 5, 1894 and September 10, 1940), thence;

The following two (2) courses and distances along the

pierhead line:

4. South 64 degrees 16 minutes 52 seconds West, a

distance of 528.614 feet to a point, thence;

5. South 54 degrees 04 minutes 10 seconds West, a

distance of 415.040 feet to a point; thence;

6. Along the dividing line between OPA #88-4351717 and

OPA #88-5670040, North 28 degrees 11 minutes 54 seconds West, a

distance of 526.300 feet to the point and place of BEGINNING.

CONTAINING 470,503 square feet or 10.80126-acres.

BEING the same property as shown on a plan entitled

"ALTA/NSPS Land Title Survey, Delaware Station LLC, 1325 N.

Beach Street, Map 16 N 21, OPA #88-4351717 & 88-4351719, City &

County of Philadelphia, 18th Ward, Commonwealth of

Pennsylvania", prepared by Control Point Associates, Inc., dated

05/28/2019, File No. 02-150120-01, Sheet 1 of 1.

hereby contemplated shall be subject to approval as to form and

legality as prescribed by the act of October 15, 1980 (P.L.950,

No.164), known as the Commonwealth Attorneys Act, and shall be

executed by the Department of General Services, with the

concurrence of the Department of Environmental Protection, which

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concurrence shall not be unreasonably withheld, in the name of

the Commonwealth. The lease shall grant the lessee, its

successors and assigns, the right to use the leased premises or

to assign the lease or sublease or permit the sublease of the

above described premises for the purposes of development for

residential, office, commercial, condominium, hotel, marina or

other uses all consistent with public and maritime uses and

amenities.

(d) Nondisturbance.--The Department of General Services,

with the concurrence of the Department of Environmental

Protection, acting on behalf of the Commonwealth, is also

specifically authorized to enter into one or more nondisturbance

agreements with any sublessee of the leased premises described

in this section pursuant to which the Commonwealth shall agree

that, if the Commonwealth succeeds to the interest of the

sublessor under a sublease, the Commonwealth will not terminate

the sublease unless the sublessee is in default.

(e) Land use restriction.--All leases authorized or referred

to under this section shall be made under and subject to the

condition, which shall be contained in the lease documents, that

no portion of the leased premises shall be used as a licensed

facility as defined in 4 Pa.C.S. § 1103 (relating to

definitions) or any other similar type of licensed facility

authorized under the laws of this Commonwealth. This condition

shall be a covenant running with the land and shall be binding

upon the lessee and sublessees and their respective successors

and assigns. Should any portion of any parcel authorized to be

leased under this act be used in violation of this subsection,

the lease shall terminate immediately.

(f) Improvements.--

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(1) The Department of General Services is hereby

authorized to execute, on behalf of the Commonwealth of

Pennsylvania, any declaration or other document necessary to

submit the leased premises or any portion thereof and any

improvements thereon to the provisions of 68 Pa.C.S. Pt. II

Subpt. B (relating to condominiums) as a leasehold

condominium.

(2) The lease agreement shall contain the following

terms and conditions:

(i) The lessee, all sublessees and their respective

successors and assigns, shall provide and maintain at

least the following free public access to the riverfront,

for fishing and other recreation activities, and public

parking in connection with such access:

(A) A minimum of ten public parking spaces

available at all times located proximate to the

public walkway near the water edge and signage

indicating the public parking.

(B) Public walkways on the riverfront, including

promenades or trails along the entire water edge of

the leasehold and adjacent to the water edge of the

leasehold providing free public access to the water

and allowing for passive and active recreational

activities year-round and signage indicating the

walkways are open to the general public.

walkway near the water.

(D) Public access to the Delaware River which is

consistent with the Waterfront Setback requirements

set forth in Section 14-216(6)(g) of the Philadelphia

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Code (enacted into law by an Ordinance enacting Bill

No. 050465, passed by the City Council on June 16,

2005, and signed by the Mayor on July 8, 2005, as

amended and updated) or in accordance with such other

plan and such other municipal ordinance as may govern

such public access in the future.

(ii) These conditions shall be covenants that run

with the land and shall be binding upon the lessee, any

sublessee and their respective successors and assigns.

Should the lessee, any sublessee or any of their

respective successors or assigns permit the parcels

authorized to be leased under this section, or any

portion thereof, to be used in a manner inconsistent with

the conditions contained in this subsection, all rights

and interests in the lease authorized by this act shall

terminate immediately.

(iii) Should the lessee or successor or its assigns

wish to modify the public access or parking required by

this section, it must obtain the prior written approval

of the Department of Environmental Protection and the

Department of General Services, which approval shall not

be unreasonably withheld. The public access and parking

shall be completed and open to the public no later than

the date the first tenant or resident occupies the leased

premises.

(iv) Nothing herein shall affect or otherwise limit

the requirements of the provisions of the act of November

26, 1978 (P.L.1375, No.325), known as the Dam Safety and

Encroachments Act, which may require further measures to

provide for public access and use of the land and

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adjacent water.

(g) Consideration.--The Department of General Services shall

lease the land within the bed of the Delaware River as described

in subsection (b) upon such terms and conditions and for such

consideration as it shall, with the concurrence of the

Department of Environmental Protection, establish through the

lease agreement. These terms may include a requirement to

commence and construct improvements authorized or required by

this section with certain time periods.

(h) Costs and fees.--Costs and fees incidental to the lease

authorized by this section shall be borne by the lessee.

(i) Sunset provision.--In the event that the lease

authorized by this section is not fully executed within 36

months following the effective date of this section, the

authority contained in this section shall be void.

Section 2. Effective date.

This act shall take effect immediately.

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