PRINTER'S NO. 2161

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1736 Session of 1987


        INTRODUCED BY NOYE, MOWERY, PICCOLA, MANMILLER, DININNI,
           SERAFINI, SCHULER, YANDRISEVITS, STABACK, PHILLIPS, ROBBINS
           AND HERSHEY, SEPTEMBER 29, 1987

        REFERRED TO COMMITTEE ON STATE GOVERNMENT, SEPTEMBER 29, 1987

                                     AN ACT

     1  Providing for grants for property damaged by flood; establishing
     2     the basis for the grants; providing for penalties; and making
     3     appropriations.

     4     The General Assembly of the Commonwealth of Pennsylvania
     5  hereby enacts as follows:
     6  Section 1.  Short title.
     7     This act shall be known and may be cited as the 1987 Flood
     8  Relief Act.
     9  Section 2.  Declaration of policy.
    10     The General Assembly finds and declares as follows:
    11         (1)  As a result of the severe storms of September 8, 12
    12     and 13, 1987, flooding occurred in several counties.
    13         (2)  The floods caused substantial damage to individual,
    14     business, industrial and public property.
    15         (3)  No Federal emergency declarations have been made on
    16     this problem.
    17         (4)  Private insurance provides insufficient compensation
    18     for losses suffered.

     1  Section 3.  Definitions.
     2     The following words and phrases when used in this act shall
     3  have the meanings given to them in this section unless the
     4  context clearly indicates otherwise:
     5     "Agency."  The Pennsylvania Emergency Management Agency.
     6     "Business."  A sole proprietorship, a partnership, a
     7  corporation or an unincorporated association doing business in
     8  this Commonwealth.
     9     "Department."  The Department of Public Welfare of the
    10  Commonwealth.
    11  Section 4.  Individual assistance grants.
    12     (a)  General rule.--The department may make individual
    13  assistance grants.
    14     (b)  Eligibility.--
    15         (1)  A homeowner is eligible for a grant if both of the
    16     following apply:
    17             (i)  The 1986 household income of the homeowner does
    18         not exceed 300% of the 1986 poverty income guidelines.
    19             (ii)  The homeowner suffered damage to owner-occupied
    20         real property that was used as a primary residence or to
    21         personal property as a result of the flooding caused by
    22         the storms of September 8, 12 and 13, 1987.
    23         (2)  A business is eligible for a grant if the business
    24     suffered damage to real property or personal property used
    25     for the operation of the business as a result of the flooding
    26     caused by the storms of September 8, 12 and 13, 1987.
    27     (c)  Procedure.--To apply for a grant, a person must file an
    28  application with the department, under oath or affirmation,
    29  stating all of the following:
    30         (1)  That the applicant is eligible under subsection (b).
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     1         (2)  One of the following:
     2             (i)  If the applicant is a homeowner, the loss
     3         resulting from damage to owner-occupied real property
     4         that was used as a primary residence and the loss from
     5         damage to personal property.
     6             (ii)  If the applicant is a business, the loss
     7         resulting from damage to real or personal property used
     8         for the operation of the business.
     9         (3)  The amount of the loss under paragraph (2) that is
    10     covered by private insurance, Federal grants or State grants.
    11     (d)  Amount.--The department shall determine the amount of
    12  the grant as follows:
    13         (1)  Ascertain total eligible loss as follows:
    14             (i)  For a homeowner, determine the loss from damage
    15         to owner-occupied real property that was used as a
    16         primary residence and the loss from damage to personal
    17         property. This subparagraph does not apply to an item
    18         used primarily for recreational purposes.
    19             (ii)  For a business, determine the loss from damage
    20         to real or personal property used for the operation of
    21         the business.
    22         (2)  Determine the amount of the loss under paragraph (1)
    23     that is covered by private insurance, Federal grants and
    24     State grants. This paragraph does not apply to amounts that
    25     are deductible under a policy of insurance.
    26         (3)  Subtract the figure determined under paragraph (2)
    27     from the figure determined under paragraph (1). This
    28     difference is the adjusted loss.
    29         (4)  Award grants as follows:
    30             (i)  Award 75% of the first $5,000 of the adjusted
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     1         loss.
     2             (ii)  Award 50% of the second $5,000 of adjusted
     3         loss.
     4             (iii)  Award 10% of the balance of the adjusted loss.
     5             (iv)  No grant shall exceed $12,500.
     6  Section 5.  Public assistance grants.
     7     (a)  General rule.--The agency may make public assistance
     8  grants.
     9     (b)  Eligibility.--The Commonwealth or a political
    10  subdivision is eligible for a grant if it has suffered damage to
    11  its real property or personal property as a result of the
    12  flooding caused by the storms of September 8, 12 and 13, 1987.
    13     (c)  Procedure.--To apply for a grant, the Commonwealth or a
    14  political subdivision must file an application with the agency
    15  stating all of the following:
    16         (1)  That the applicant is eligible under subsection (b).
    17         (2)  The loss resulting from damage to its real property
    18     or personal property.
    19         (3)  The amount of the loss under paragraph (2) that is
    20     covered by private insurance, Federal grants or State grants.
    21     (d)  Amount.--The agency shall determine the amount of the
    22  grant as follows:
    23         (1)  Determine the loss from damage to real property or
    24     personal property.
    25         (2)  Determine the amount of the loss under paragraph (1)
    26     that is covered by private insurance, Federal grants and
    27     State grants. This paragraph does not apply to amounts that
    28     are deductible under a policy of insurance.
    29         (3)  Subtract the figure determined under paragraph (2)
    30     from the figure determined under paragraph (1). This
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     1     difference is the adjusted loss.
     2         (4)  Award grants as follows:
     3             (i)  Award 75% of the first $5,000 of the adjusted
     4         loss.
     5             (ii)  Award 50% of the second $5,000 of adjusted
     6         loss.
     7             (iii)  Award 10% of the balance of the adjusted loss.
     8             (iv)  No grant shall exceed $12,500.
     9  Section 6.  Penalty.
    10     A person who makes a false claim under this act is subject to
    11  a civil penalty in an amount equal to three times the grant for
    12  which the claim is made, plus interest at the rate of 6%, from
    13  the time the grant is made.
    14  Section 7.  Regulations.
    15     The department and the agency may promulgate regulations to
    16  administer this act. Regulations promulgated under this act are
    17  not subject to review under the act of June 25, 1982 (P.L.633,
    18  No.181), known as the Regulatory Review Act.
    19  Section 8.  Appropriations.
    20     (a)  Department.--The sum of $5,000,000, or as much thereof
    21  as may be necessary, is hereby appropriated to the Department of
    22  Public Welfare for the fiscal year July 1, 1987, to June 30,
    23  1988, to carry out the provisions of this act. Two percent of
    24  the appropriation under this subsection may be used for
    25  administrative purposes.
    26     (b)  Agency.--The sum of $5,000,000, or as much thereof as
    27  may be necessary, is hereby appropriated to the Pennsylvania
    28  Emergency Management Agency for the fiscal year July 1, 1987, to
    29  June 30, 1988, to carry out the provisions of this act. Two
    30  percent of the appropriation under this subsection may be used
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     1  for administrative purposes.
     2  Section 9.  Effective date.
     3     This act shall take effect immediately.


















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