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| THE GENERAL ASSEMBLY OF PENNSYLVANIA |
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| SENATE BILL |
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| INTRODUCED BY COSTA, KASUNIC, KITCHEN, FONTANA, BROWNE, SOLOBAY, ORIE, PIPPY, BREWSTER AND FERLO, FEBRUARY 18, 2011 |
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| REFERRED TO ENVIRONMENTAL RESOURCES AND ENERGY, FEBRUARY 18, 2011 |
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| AN ACT |
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1 | Establishing the Landslide Insurance and Assistance Program |
2 | within the Pennsylvania Emergency Management Agency; |
3 | providing for related powers and duties of the Pennsylvania |
4 | Emergency Management Agency; establishing and providing for |
5 | the powers and duties of the Landslide Insurance and |
6 | Assistance Board; establishing the Landslide Insurance Fund |
7 | and the Landslide Assistance Fund; and making appropriations. |
8 | TABLE OF CONTENTS |
9 | Chapter 1. Preliminary Provisions |
10 | Section 101. Short title. |
11 | Section 102. Declaration of policy. |
12 | Section 103. Definitions. |
13 | Chapter 3. Program Generally |
14 | Section 301. Program goals. |
15 | Section 302. Board. |
16 | Section 303. Appeals. |
17 | Section 304. Program generally. |
18 | Section 305. Program authority. |
19 | Section 306. Land use controls and rate structure. |
20 | Chapter 5. Landslide Insurance Fund |
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1 | Section 501. Landslide Insurance Fund. |
2 | Section 502. Schedule of premiums. |
3 | Section 503. Surplus. |
4 | Section 504. Insurance program. |
5 | Section 505. Application for increase in insurance. |
6 | Section 506. Automatic inflation protection increase. |
7 | Section 507. Audit by Auditor General. |
8 | Section 508. Claims against insurance fund. |
9 | Section 509. Defenses against claims and procedure. |
10 | Section 510. Subrogation to rights of claimants. |
11 | Section 511. Insurance companies may cover risk. |
12 | Section 512. Escrow of premium payments. |
13 | Section 513. Properties in violation of State or local law. |
14 | Chapter 7. Mitigation Assistance |
15 | Section 701. Mitigation assistance. |
16 | Section 702. Landslide Assistance Fund. |
17 | Section 703. Construction permits. |
18 | Chapter 9. Program Administration and Funding |
19 | Section 901. Regulations. |
20 | Section 902. Agency report. |
21 | Section 903. Program funding. |
22 | Section 904. Reimbursement. |
23 | Section 905. Appropriations. |
24 | Section 906. Cost of administration. |
25 | Section 907. Commissions. |
26 | Chapter 21. Miscellaneous Provisions |
27 | Section 2101. Effective date. |
28 | The General Assembly of the Commonwealth of Pennsylvania |
29 | hereby enacts as follows: |
30 | CHAPTER 1 |
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1 | PRELIMINARY PROVISIONS |
2 | Section 101. Short title. |
3 | This act shall be known and may be cited as the Landslide |
4 | Insurance and Assistance Program Act. |
5 | Section 102. Declaration of policy. |
6 | The General Assembly finds and declares as follows: |
7 | (1) Geologists have studied with increasing concern the |
8 | underground movement of the geological formations in this |
9 | Commonwealth and its impeding effects on the vertical and |
10 | horizontal natural and manmade surfaces. |
11 | (2) Landslides and slope movement have historically been |
12 | the norm throughout most parts of this Commonwealth. |
13 | (3) Landslides and slope movements occur without regard |
14 | for municipal boundaries, ordinances, planning codes, |
15 | politics and economies, making it difficult for local |
16 | officials to deal effectively with the development and |
17 | implementation of methods and standards to control the |
18 | devastation these natural forces can cause. |
19 | (4) Landslides and slope movement have caused an |
20 | enormous amount of damage to homes and roadways in this |
21 | Commonwealth, particularly the southwestern region of the |
22 | State. |
23 | (5) Landslides and slope movement will continue to |
24 | plague southwestern Pennsylvania. |
25 | (6) Landslides affect every state in the nation causing |
26 | an estimated $1 billion to $3 billion in damages a year. |
27 | (7) Landslide damage caused by flooding is not covered |
28 | by the National Flood Insurance Program. |
29 | (8) While landslide damage caused by mining practices is |
30 | covered by the Coal and Clay Mine Subsidence Insurance Fund |
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1 | and mudslide damage is covered by the National Flood |
2 | Insurance Program, other types of landslide damage are |
3 | usually not covered by insurance. |
4 | (9) Problems associated with landslide damage are |
5 | becoming more widespread. |
6 | (10) It would be to the advantage of residents of the |
7 | landslide-prone areas of this Commonwealth to form a common |
8 | bond to combat distress resulting from landslides. |
9 | Section 103. Definitions. |
10 | The following words and phrases when used in this act shall |
11 | have the meanings given to them in this section unless the |
12 | context clearly indicates otherwise: |
13 | "Agency." The Pennsylvania Emergency Management Agency. |
14 | "Assistance fund." The Landslide Assistance Fund. |
15 | "Board." The Landslide Insurance and Assistance Board. |
16 | "Community." Either of the following: |
17 | (1) A political subdivision that has zoning and building |
18 | code jurisdiction over an area having landslide hazards. |
19 | (2) A political subdivision that is designated to |
20 | develop and administer a mitigation plan. |
21 | "Extremely hazardous area." An area where all of the |
22 | following factors that contribute to landslides occur in the |
23 | same location: |
24 | (1) Steep slopes. |
25 | (2) Soils prone to landslides. |
26 | (3) Landslide features. |
27 | "Further review area." An area for which additional site- |
28 | specific review is needed based on a geological map or model |
29 | identifying the area as including a site prone to experience a |
30 | landslide. |
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1 | "GIS." Geographic Information Systems. |
2 | "Hazardous area." An area where one of the following factors |
3 | that contribute to landslides occurs: |
4 | (1) Steep slopes. |
5 | (2) Soils prone to landslides. |
6 | (3) Landslide features. |
7 | "Insurance fund." The Landslide Insurance Fund. |
8 | "Landslide." Any detached mass of soil, rock, earth or |
9 | debris that moves down a slope and is of sufficient size to |
10 | cause damage. The term includes sinkholes. |
11 | "Landslide features." The term includes rockfall areas, |
12 | creep, red beds and historic landslides. |
13 | "Mitigation." An activity relative to landslides that |
14 | prevents an emergency from occurring, reduces the likelihood of |
15 | an emergency occurring or lessens the damaging effects of |
16 | unavoidable emergencies. |
17 | "Mitigation plan." A plan designed by a community that when |
18 | implemented provides mitigation. |
19 | "Program." The Landslide Insurance and Assistance Program. |
20 | CHAPTER 3 |
21 | PROGRAM GENERALLY |
22 | Section 301. Program goals. |
23 | The goals of the program are as follows: |
24 | (1) To provide actuarially sound insurance coverage. |
25 | (2) To make program policies universally available and |
26 | competitively priced. |
27 | (3) To make use of the most effective scientific and |
28 | technological advances available, including technology such |
29 | as GIS. |
30 | (4) To process claims promptly, fairly and consistently. |
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1 | (5) To provide tools and incentives for landslide loss |
2 | reduction, including the assistance fund. |
3 | (6) To collaborate with other organizations that operate |
4 | in the public interest to assist in achieving program goals. |
5 | Section 302. Board. |
6 | (a) Board established.--The Landslide Insurance and |
7 | Assistance Board is established within the Pennsylvania |
8 | Emergency Management Agency. |
9 | (b) Members.--The board shall consist of the following |
10 | members: |
11 | (1) The Secretary of Banking or a designee. |
12 | (2) The Secretary of Community and Economic Development |
13 | or a designee. |
14 | (3) The Secretary of Conservation and Natural Resources |
15 | or a designee. |
16 | (4) The Secretary of Environmental Protection or a |
17 | designee. |
18 | (5) The Insurance Commissioner or a designee. |
19 | (6) The Secretary of Public Welfare or a designee. |
20 | (7) The Secretary of the Commonwealth or a designee. |
21 | (8) The Secretary of Transportation or a designee. |
22 | (9) The State Treasurer or a designee. |
23 | (10) The Director of the Pennsylvania Emergency |
24 | Management Agency or a designee. |
25 | (11) The Executive Director of the Pennsylvania Housing |
26 | Finance Agency or a designee. |
27 | (c) Chairperson.--The Director of the Pennsylvania Emergency |
28 | Management Agency or the designee shall serve as the chairperson |
29 | of the board. |
30 | (d) General counsel.--The Attorney General shall, ex |
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1 | officio, be the general counsel of the board and shall appoint |
2 | an attorney or attorneys as may be deemed necessary to aid the |
3 | board in its functioning. |
4 | (e) Employees.--All employees of the board shall be employed |
5 | by and located in the agency and shall be subject to the |
6 | administrative jurisdiction and authority of the agency. |
7 | Section 303. Appeals. |
8 | Any party aggrieved by an action of the board shall have the |
9 | right to appeal in accordance with 2 Pa.C.S. (relating to |
10 | administrative law and procedure). |
11 | Section 304. Program generally. |
12 | (a) Establishment.--The Landslide Insurance and Assistance |
13 | Program is established within the agency. |
14 | (b) Program components.--The program shall consist of the |
15 | following components: |
16 | (1) A grant program. |
17 | (2) A revolving loan program. |
18 | (3) An insurance program. |
19 | (c) Purposes.--The grant program and the revolving loan |
20 | program are established for the primary purposes of mitigation |
21 | and repairing minor structural damage. The board shall employ |
22 | the grant program and the revolving loan program as tools to aid |
23 | in the success of the insurance fund. |
24 | Section 305. Program authority. |
25 | (a) Intergovernmental cooperation.--The program shall: |
26 | (1) Work closely with Federal, State and local agencies |
27 | and any other government agencies, including those of other |
28 | states, to accomplish program goals. |
29 | (2) Create and implement a Statewide landslide |
30 | mitigation plan that would encourage and support local |
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1 | mitigation efforts. |
2 | (3) Investigate sites to define hazards. |
3 | (4) Recommend legislation, regulations, ordinances and |
4 | zoning to mitigate slope instability contributed by |
5 | excavation and drainage. |
6 | (5) Work with local governments to evaluate risk |
7 | associated with certain homesite development. |
8 | (6) Share the most up-to-date geological surveys, in the |
9 | form of maps, GIS data or other useful forms, and related |
10 | information, free of charge to government agencies and |
11 | appropriate representatives of communities, and at a |
12 | reasonable cost to all other persons. Receipts under this |
13 | paragraph shall be deposited in the assistance fund. |
14 | (7) Inform the Department of Transportation which |
15 | highways are at greatest risk from landslides. |
16 | (8) Notify local governments in areas with the greatest |
17 | risk from landslides. |
18 | (9) Have the authority to consult, receive information |
19 | and enter into any agreements or other arrangements in order |
20 | to identify and publish information with respect to all |
21 | landslide-prone areas, establish or update landslide-risk |
22 | zone data and make estimates with respect to the rates of |
23 | probable landslide-caused loss for the various landslide risk |
24 | zones for each of these areas. |
25 | (10) Publish any change to landslide insurance map |
26 | panels. |
27 | (11) Ensure that it is consistent in landslide control, |
28 | landslide forecasting and landslide damage prevention. |
29 | (b) Studies and investigations.-- |
30 | (1) The program is authorized to carry out necessary |
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1 | studies and investigations, utilizing to the maximum extent |
2 | practicable the existing facilities and services of other |
3 | Federal and Commonwealth departments or agencies, local |
4 | governmental agencies and any other organizations, with |
5 | respect to the adequacy of State and local measures in |
6 | landslide-prone areas as to: |
7 | (i) Land management and use. |
8 | (ii) Landslide control. |
9 | (iii) Zoning. |
10 | (iv) Landslide damage prevention. |
11 | (2) The program may enter into any contracts, agreements |
12 | or other appropriate arrangements to carry out its authority |
13 | under this section. The studies and investigations shall |
14 | include the following: |
15 | (i) Laws. |
16 | (ii) Regulations. |
17 | (iii) Ordinances. |
18 | (iv) Zoning. |
19 | (v) Building codes. |
20 | (vi) Building permits. |
21 | (vii) Subdivision or other building restrictions. |
22 | (c) State and local measures.--On the basis of studies and |
23 | investigations under subsection (b) and other information as the |
24 | agency deems necessary, the program shall develop comprehensive |
25 | criteria designed to encourage, where necessary, the adoption of |
26 | adequate State and local measures which, to the maximum extent |
27 | feasible, will: |
28 | (1) Constrict the development of land which is exposed |
29 | to landslide damage where appropriate. |
30 | (2) Guide the development of proposed construction away |
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1 | from locations which are threatened by landslide hazards. |
2 | (3) Assist in reducing damage caused by landslides. |
3 | (4) Otherwise improve the long-range land management and |
4 | use of landslide-prone areas. |
5 | (d) Technical assistance.--The program shall work closely |
6 | with and provide any necessary technical assistance to State and |
7 | local governmental agencies to encourage the application of the |
8 | criteria and the adoption and enforcement of the measures under |
9 | this section. |
10 | Section 306. Land-use controls and rate structure. |
11 | Local governments may initiate land-use controls for the |
12 | benefit of their residents. The following shall apply: |
13 | (1) No new landslide insurance coverage shall be |
14 | provided to new construction without preapproval by an |
15 | appropriate local public body, which shall have the option of |
16 | adopting adequate land use and control measures with |
17 | effective enforcement provisions. |
18 | (2) A community rating system shall be employed by the |
19 | board as an incentive for community landslide management. |
20 | (3) Rate structures shall provide incentives for |
21 | measures that reduce the risk of landslide damage and |
22 | evaluate the measures. The program shall provide incentives |
23 | in the form of credits on premium rates for landslide |
24 | insurance coverage in communities that the agency determines |
25 | have adopted and enforced measures that reduce the risk of |
26 | landslide damage. |
27 | (4) The credits on premium rates for flood insurance |
28 | coverage shall be based on the estimated reduction in flood |
29 | and erosion damage risks resulting from the measures adopted |
30 | by the community under the program. If a community has |
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1 | received mitigation or other assistance under the program, |
2 | the credits may be used in a manner determined by the agency |
3 | to recover the amount of assistance provided for the |
4 | community. |
5 | CHAPTER 5 |
6 | LANDSLIDE INSURANCE FUND |
7 | Section 501. Landslide Insurance Fund. |
8 | (a) Establishment.--The Landslide Insurance Fund is |
9 | established as a separate fund in the Treasury Department. The |
10 | insurance fund shall be administered by the board for the |
11 | purpose of insuring subscribers against the damages to their |
12 | structures resulting from landslides if the damage is not |
13 | covered by other insurance programs or coverage. |
14 | (b) Administration.--The insurance fund shall be |
15 | administered by the board without liability on the part of the |
16 | Commonwealth beyond the amount of the fund except as provided |
17 | under this act and shall be applied to the payment of damage as |
18 | described under subsection (a). |
19 | (c) State Treasurer as custodian of insurance fund.--The |
20 | State Treasurer shall be the custodian of the insurance fund, |
21 | and all disbursements from the insurance fund shall be paid at |
22 | the request of the board. For making payments without audit, the |
23 | State Treasurer shall not be under any liability whatsoever. The |
24 | State Treasurer may deposit any portion of the insurance fund |
25 | not needed for immediate use as other State funds are lawfully |
26 | deposited. The interest shall be placed to the credit of the |
27 | insurance fund. |
28 | Section 502. Schedule of premiums. |
29 | At any time during each year, the board shall prepare and |
30 | publish a schedule of premiums or rates of insurance for |
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1 | subscribers. The schedule shall be printed and distributed free |
2 | of charge to any person upon application. Any subscriber may, at |
3 | the subscriber's option, pay to the insurance fund the amount of |
4 | premium appropriate and, upon payment of the premium, shall be |
5 | insured for the year for which the premium is paid. The |
6 | insurance shall cover all payments becoming due for which the |
7 | premium is paid. The premium shall be adequate to enable payment |
8 | of all sums which may become due and payable under this act, and |
9 | adequate reserve sufficient to carry all policies and claims to |
10 | maturity. In establishing the premiums payable by any |
11 | subscriber, the board may take into account the condition of the |
12 | premises of the subscriber in respect to the possibility of |
13 | landslide damage as shown by the report of any inspector |
14 | appointed by the board or by the agency. The board may change |
15 | the amount of premiums payable by any of the subscribers as |
16 | circumstances may require and the condition of the premises of |
17 | the subscribers in respect to the possibility of a landslide may |
18 | justify. The board may increase the premiums of any subscriber |
19 | whose loss experience warrants a change. The insurance of any |
20 | subscriber shall not be effective until the premium so fixed and |
21 | determined has been paid in full. |
22 | Section 503. Surplus. |
23 | The board shall set aside 5% of all premiums collected for |
24 | the creation of a surplus until the surplus is sufficiently |
25 | large to cover catastrophic hazard of all the subscribers to the |
26 | insurance fund and to guarantee the solvency of the fund. At |
27 | such point, the board shall reevaluate the set-aside and |
28 | investment of the surplus and make a recommendation to the |
29 | General Assembly. |
30 | Section 504. Insurance program. |
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1 | (a) General rule.--Any owner of a structure located within a |
2 | landslide-prone region who desires to become a subscriber to the |
3 | insurance fund for the purpose of insuring a structure in the |
4 | region against damage from landslides shall make a complete |
5 | application as prescribed by the board to the board, its agents |
6 | or insurance producers. Upon receipt of an application, the |
7 | board shall make an investigation as may be necessary if the |
8 | application complies with the rules and regulations of the |
9 | board. Within 60 days after the request for an application is |
10 | received, the board shall issue a certificate showing the |
11 | acceptance of the application and the amount of premium payable |
12 | by the applicant for one, two or three years as the board may |
13 | establish. No insurance shall become effective until the premium |
14 | has been paid. All premiums shall be made payable to the State |
15 | Treasurer whereupon a receipt shall be issued therefor. The |
16 | receipt for premium, together with a certificate of the board, |
17 | shall be evidence that the applicant has become a subscriber to |
18 | the insurance fund and is insured from the date of application. |
19 | The following apply: |
20 | (1) The insurance may be subject to later reductions, |
21 | and premiums adjusted accordingly, if the board determines |
22 | that the amount of insurance coverage requested is in excess |
23 | of the current replacement cost of the structure or the |
24 | maximum amount of coverage established by the fund, whichever |
25 | is less. |
26 | (2) The insurance shall be void if, upon investigation |
27 | of the structure, the board determines that either landslide |
28 | damage occurred before the application was submitted or the |
29 | applicant is responsible for not allowing the board to |
30 | inspect the structure within 60 days of receipt of the |
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1 | application. |
2 | (3) The use of the most current science available to |
3 | identify landslide-prone areas shall be employed. If the |
4 | property is located in a further review area within a |
5 | hazardous area, the property owner may be required to |
6 | complete a site assessment with a licensed professional, |
7 | which may include an onsite evaluation. The property owner |
8 | shall fund this assessment. This assessment may also be |
9 | required before a local government accepts an application for |
10 | a development permit. |
11 | (4) Notwithstanding any other provision of law, any |
12 | structure repaired or restored to its original condition with |
13 | moneys from the insurance fund shall not be eligible for |
14 | duplicative disaster relief assistance from programs |
15 | administered by the agency. |
16 | (5) In order to assist insurance producers and potential |
17 | policyholders in identifying structures that could be at risk |
18 | from landslides, the board shall publish and update in the |
19 | Pennsylvania Bulletin a list of areas in this Commonwealth |
20 | that are believed to be at risk for landslide damage. |
21 | (b) Penalty.--A person who knowingly furnishes or makes any |
22 | false certificate, application or statement required under this |
23 | section commits a misdemeanor and shall, upon conviction, be |
24 | sentenced to pay a fine of not more than $1,500 or to |
25 | imprisonment for not more than one year, or both. |
26 | Section 505. Application for increase in insurance. |
27 | Additions in the amount of insurance are subject to the same |
28 | standards as initial applications. |
29 | Section 506. Automatic inflation protection increase. |
30 | The board shall make available to all subscribers an annual |
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1 | inflation protection option on the anniversary date of each |
2 | policy issued only if the total insurance remains at or under |
3 | the value of the structure itself. An inflation protection |
4 | increase shall not be subject to a reinspection of the |
5 | structure. |
6 | Section 507. Audit by Auditor General. |
7 | The Auditor General shall, at least once each year, make a |
8 | complete examination and audit of the insurance fund, including |
9 | all receipts and expenditures, cash on hand, investments and |
10 | property held representing cash or cash disbursements. For these |
11 | purposes the Auditor General is authorized to employ agents and |
12 | staff as the Auditor General may deem necessary. The expense |
13 | incurred in making the examination and audit shall be certified |
14 | to the insurance fund by the Auditor General and shall be paid |
15 | from the program. |
16 | Section 508. Claims against insurance fund. |
17 | Any subscriber to the insurance fund must file with the board |
18 | a true statement of the subscriber's claim for any landslide |
19 | damage and shall give to the board an opportunity to investigate |
20 | and to determine whether the board will pay the claim. |
21 | Section 509. Defenses against claims and procedure. |
22 | In every case where a claim is made against the insurance |
23 | fund, the fund shall be entitled to every defense against the |
24 | claim under the policy and shall be subrogated to every right of |
25 | the subscriber arising out of such accidents against any third |
26 | persons. The insurance fund may, in the name of the fund, sue or |
27 | be sued to enforce any right given against or to any subscriber |
28 | or other persons under this act. |
29 | Section 510. Subrogation to rights of claimants. |
30 | Nothing in this act shall relieve any person, partnership or |
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1 | corporation otherwise liable therefor from any liability for |
2 | damages sustained by a subscriber. The insurance fund shall be |
3 | subrogated to the rights of any property owner's insurance under |
4 | this act. |
5 | Section 511. Insurance companies may cover risk. |
6 | Any insurance company may issue policies covering the type of |
7 | risk provided for under this chapter subject to the prior |
8 | approval of the Insurance Commissioner as to policy form and |
9 | rates. |
10 | Section 512. Escrow of premium payments. |
11 | Mortgage lenders shall escrow the landslide insurance premium |
12 | payments if they offer the purchase of the insurance. |
13 | Section 513. Properties in violation of State or local law. |
14 | No new landslide insurance coverage shall be provided for any |
15 | property which the agency finds has been declared by a State or |
16 | local zoning authority or other authorized public body to be in |
17 | violation of State or local laws, regulations or ordinances |
18 | which are intended to discourage or otherwise restrict land |
19 | development or occupancy in landslide-prone areas. |
20 | CHAPTER 7 |
21 | MITIGATION ASSISTANCE |
22 | Section 701. Mitigation assistance. |
23 | (a) Financial assistance generally.--The agency shall carry |
24 | out a program to provide financial assistance to communities and |
25 | individuals for planning and carrying out activities designed to |
26 | reduce the risk of landslide damage to structures covered under |
27 | contracts for landslide insurance. Financial assistance may be |
28 | made available to communities and individuals in the form of |
29 | grants or revolving loans for the carrying out of mitigation |
30 | activities. Loans shall carry an interest rate of no more than |
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1 | 3%. |
2 | (b) Grants.--The agency may make grants under this section |
3 | to communities to assist in developing mitigation plans. |
4 | (c) Eligibility.--To be eligible to receive financial |
5 | assistance, a community shall develop a mitigation plan that |
6 | describes the mitigation activities to be carried out with |
7 | assistance provided under this section. The mitigation plan must |
8 | be consistent with the criteria established by the agency and |
9 | provide protection against landslide losses to structures for |
10 | which contracts for flood insurance are available under this |
11 | act. The mitigation plan shall be consistent with a |
12 | comprehensive strategy for mitigation activities for the area |
13 | affected by the mitigation plan that has been adopted by the |
14 | community following a public hearing. |
15 | (d) Procedure.--The agency shall notify a community |
16 | submitting a mitigation plan of the approval or disapproval of |
17 | the plan not later than 120 days after submission of the plan. |
18 | If the agency does not approve a mitigation plan submitted under |
19 | this section, the agency shall notify in writing the community |
20 | submitting the plan of the reasons for the disapproval. |
21 | (e) Limitation.--Amounts provided under this section may be |
22 | used only for mitigation activities specified in a mitigation |
23 | plan approved by the agency. The agency may approve only |
24 | mitigation plans that specify mitigation activities that are |
25 | technically feasible and cost effective and that are cost |
26 | beneficial under Chapter 5. |
27 | (f) Approval.--The agency shall approve funding for |
28 | mitigation plans based on criteria that include: |
29 | (1) Criteria under subsection (e). |
30 | (2) Proposed activities to address repetitive loss |
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1 | structures and structures that have incurred substantial |
2 | damage. |
3 | (g) Matching funds.--The agency may require a community to |
4 | match grant funds. |
5 | (h) Oversight.--The agency shall conduct oversight of |
6 | recipients of mitigation assistance to ensure that the |
7 | assistance is used in compliance with the approved mitigation |
8 | plans of the recipients and that any matching fund requirements |
9 | are fulfilled. |
10 | (i) Failure to comply.--If the agency determines that a |
11 | community that has received mitigation assistance has not |
12 | carried out the mitigation activities as set forth in the |
13 | mitigation plan or has not secured required matching funds, the |
14 | agency shall recapture any unexpended amounts and redeposit the |
15 | amounts in the assistance fund. |
16 | Section 702. Landslide Assistance Fund. |
17 | The Landslide Assistance Fund is established as a restricted |
18 | account in the Treasury Department. The assistance fund shall be |
19 | administered by the agency and shall be comprised of moneys |
20 | appropriated for purposes of this chapter. All moneys in the |
21 | assistance fund and the interest accruing thereon are |
22 | appropriated to the agency on a continuing basis to carry out |
23 | the provisions of this chapter. |
24 | Section 703. Construction permits. |
25 | No Commonwealth agency shall approve any financial assistance |
26 | for the acquisition of land for construction purposes in any |
27 | area that has been identified by the agency as an extremely |
28 | hazardous zone without approval to proceed by the agency based |
29 | on the results of a risk assessment. |
30 | CHAPTER 9 |
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1 | PROGRAM ADMINISTRATION AND FUNDING |
2 | Section 901. Regulations. |
3 | The agency, in conjunction with the board, may promulgate |
4 | rules and regulations and establish other conditions of the |
5 | policies as it deems just and expedient in keeping with the |
6 | fulfillment of the purposes of this act, including reasonable |
7 | classification of risks eligible for coverage under this act, |
8 | limits of coverage and rules covering the adjustment and |
9 | settlement of claims. |
10 | Section 902. Agency report. |
11 | The agency shall make an annual report on the program and on |
12 | experience with landslide insurance sales through producers to |
13 | the General Assembly. Each report shall include mitigation |
14 | efforts, an analysis of the cost-effectiveness of the program, |
15 | accomplishments or shortcomings of the program and |
16 | recommendations for legislation regarding the program. |
17 | Section 903. Program funding. |
18 | The program shall be funded by the General Assembly through |
19 | an appropriation of moneys to the Pennsylvania Emergency |
20 | Management Agency until which time the insurance fund and |
21 | assistance fund are deemed self-sufficient by the General |
22 | Assembly. |
23 | Section 904. Reimbursement. |
24 | The program shall reimburse any Commonwealth departments for |
25 | agreed-upon costs of services that aid in administering the |
26 | program. |
27 | Section 905. Appropriations. |
28 | (a) Insurance fund.--The sum of $2,500,000, or as much |
29 | thereof as may be necessary, is appropriated to the Landslide |
30 | Insurance Fund for the fiscal year July 1, 2011, through June |
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1 | 30, 2012. |
2 | (b) Assistance fund.--The sum of $2,500,000, or as much |
3 | thereof as may be necessary, is appropriated to the Landslide |
4 | Assistance Fund for the fiscal year July 1, 2011, through June |
5 | 30, 2012. |
6 | (c) Agency.--Moneys in the Landslide Insurance Fund and the |
7 | Landslide Assistance Fund are appropriated to the Pennsylvania |
8 | Emergency Management Agency in such amounts as may be determined |
9 | annually by the Governor to be used for the specified purposes |
10 | of this act. |
11 | (d) Additional appropriations.--If, upon completion of the |
12 | annual examination and audit, it is determined that the total |
13 | asset value of either the insurance fund or assistance fund is |
14 | less than $2,500,000, any additional sum as may be necessary to |
15 | increase the total asset value of the fund or funds to |
16 | $2,500,000 shall be appropriated. |
17 | Section 906. Cost of administration. |
18 | The board shall keep an accurate account of the money paid in |
19 | premiums by the subscribers and the disbursements on account of |
20 | damages to premises. If, at the expiration of any year there |
21 | shall be a balance remaining after deducting the disbursements, |
22 | the unearned premiums on undetermined risks and the percentage |
23 | of premiums paid or payable to create or maintain the surplus |
24 | provided under this act, and after setting aside an adequate |
25 | reserve, the board may determine to allocate to the cost of |
26 | administering the insurance fund. |
27 | Section 907. Commissions. |
28 | Moneys from the insurance fund shall be available to pay a |
29 | one-time commission, as determined by the board, to insurance |
30 | producers who forward applications for landslide insurance to |
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1 | the board if a policy is issued pursuant to an application |
2 | submitted by an insurance producer. The amount of the commission |
3 | shall be determined by the board on an annual basis. |
4 | CHAPTER 21 |
5 | MISCELLANEOUS PROVISIONS |
6 | Section 2101. Effective date. |
7 | This act shall take effect July 1, 2011, or immediately, |
8 | whichever is later. |
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