PRIOR PRINTER'S NO. 1768 PRINTER'S NO. 3026
No. 1506 Session of 1991
INTRODUCED BY STURLA, THOMAS, PISTELLA, ULIANA, GERLACH,
SCHULER, COY, CAPPABIANCA, PETRONE, BELFANTI, KOSINSKI,
COHEN, TRICH, STISH, MELIO, DEMPSEY, STABACK, CAWLEY, BUNT,
COLAFELLA, BELARDI, WOZNIAK, ITKIN, STEIGHNER, PESCI,
FREEMAN, MICOZZIE, TRELLO, KRUSZEWSKI, NAHILL, VEON, JAMES,
STETLER, ADOLPH, CARONE, STEELMAN, DENT AND RITTER,
JUNE 3, 1991
AS REPORTED FROM COMMITTEE ON LOCAL GOVERNMENT, HOUSE OF
REPRESENTATIVES, AS AMENDED, FEBRUARY 3, 1992
AN ACT
1 Providing for low-interest loans to eligible municipal fire
2 departments; establishing rules and regulations relating to
3 such loans; and imposing duties on the Pennsylvania Emergency
4 Management Agency.
5 The General Assembly of the Commonwealth of Pennsylvania
6 hereby enacts as follows:
7 Section 1. Short title.
8 This act shall be known and may be cited as the Municipal
9 Fire Department Assistance Act.
10 Section 2. Definitions.
11 The following words and phrases when used in this act shall
12 have the meanings given to them in this section unless the
13 context clearly indicates otherwise:
14 "Accessory equipment." Firefighting equipment necessary to
15 carry out the reasonable and ordinary function of supporting
16 fire supression, lifesaving and rescue activities.
1 "Apparatus equipment." Elevated equipment, pumpers, tankers,
2 ladder trucks, utility or special service vehicles or other
3 large equipment used for firefighting or emergency rescue
4 purposes.
5 "Communication equipment." A voice transmission system used
6 to support the operation of a fire department.
7 "Eligible municipality." An incorporated city, borough or <--
8 town A CITY, BOROUGH, INCORPORATED TOWN OR TOWNSHIP within this <--
9 Commonwealth whose expenditures for fire protection from
10 municipal sources exceed $50,000.
11 "Equipment." Includes accessory, protective and
12 communicative equipment.
13 "FCC." The Federal Communications Commission.
14 "NFPA." The National Fire Protection Association.
15 "PEMA." The Pennsylvania Emergency Management Agency.
16 "Program." The Municipal Fire Department Assistance Program
17 established under this act.
18 "Protective equipment." Equipment used by firefighters to
19 protect themselves from injury while performing their functions,
20 including, but not limited to, helmets, turnout coats and pants,
21 boots, eyeshields, gloves and self-contained respiratory
22 protection units.
23 "Special service or utility vehicle." A vehicle used to
24 transport accessory equipment, including, but not limited to,
25 ladders, oxygen equipment, generators and adaptors, floodlights,
26 smoke ejectors and other equipment necessary to perform the
27 ordinary functions of supporting firefighting activities.
28 Section 3. Municipal Fire Department Assistance Program.
29 (a) Establishment.--There is hereby established within PEMA
30 the Municipal Fire Department Assistance Program. The purpose of
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1 the program is to promote delivery of effective and high-quality
2 fire protection by providing low-interest loans to eligible
3 municipal fire departments.
4 (b) Regulations.--PEMA shall administer this act and shall
5 establish, adopt and promulgate rules and regulations necessary
6 for the enforcement of the provisions of this act. PEMA may not:
7 (1) Except as otherwise provided under this act, impose
8 training or operational requirements as a precondition to
9 receipt of loans.
10 (2) Require that capital equipment purchased with State
11 loans have useful life expectancy of greater than one year.
12 (c) Use of funds.--PEMA is hereby authorized, upon
13 application of an eligible municipality, to make loans to
14 eligible municipalities in accordance with the provisions of
15 this act. The minimum amount of any loan shall be $1,000. Loans
16 awarded under this act may be used for the following purposes:
17 (1) Acquisition or rehabilitation of firefighting
18 apparatus equipment. Loans shall not exceed $50,000 for any <--
19 single firefighting apparatus or special service or utility
20 vehicle, or SHALL NOT EXCEED 50% of the total cost of the <--
21 equipment or vehicle, whichever is less. Loans for the repair <--
22 or rehabilitation of a single piece of equipment shall not be
23 less than $1,000 nor more than $35,000 or NOR EXCEED 80% of <--
24 the total cost of repair or rehabilitation. NO MUNICIPALITY <--
25 SHALL RECEIVE A LOAN FOR THE ACQUISITION OR REHABILITATION OF
26 FIREFIGHTING APPARATUS EQUIPMENT MORE THAN ONCE IN ANY FIVE-
27 YEAR PERIOD. Repaired or rehabilitated firefighting apparatus
28 equipment must meet the NFPA standards.
29 (2) Acquisition of protective, accessory, COMPUTER-AIDED <--
30 DISPATCH or communication equipment. No eligible municipality
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1 shall receive a loan for such equipment more than once in any
2 three-year period. Radio equipment obtained through loans
3 under this act shall be equipped with a frequency or
4 frequencies licensed by the FCC for firefighting or emergency
5 response purposes. Loans shall not exceed $15,000.
6 (3) Purchase of used firefighting apparatus, equipment,
7 used accessory equipment or used protective equipment. Used
8 equipment and vehicles shall meet the NFPA standards.
9 (4) Modernizing or rehabilitating facilities used
10 primarily to house firefighting apparatus, equipment and
11 vehicles. The amount shall not exceed $75,000 or 50% of the
12 total cost, whichever is less. Loans granted under this
13 section shall not be used for payment of fees for design or
14 planning, or for any other cost not directly attributable to
15 modernizing or rehabilitating facilities.
16 (d) Restricted use of loans.--Loans made under this act may
17 not be used for the following purposes:
18 (1) Administrative costs or operating expenses of a
19 municipal fire department.
20 (2) Refinancing the construction or modernization of
21 firefighting apparatus, equipment or facilities.
22 (3) Fuel, utility or routine maintenance cost of
23 apparatus, equipment or facilities.
24 (4) Reducing debt or other financial obligations of the
25 municipal fire department.
26 (5) Replacement, repair or rehabilitation of
27 firefighting apparatus or equipment to the extent that
28 insurance proceeds are available.
29 (6) Acquiring land or an interest in land.
30 (7) Costs associated with the fire department's
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1 emergency telephone number system.
2 (e) Matching funds.--To receive a loan, each eligible
3 municipality shall expend funds for fire protection from its own
4 sources that are at least equal to the amount of State funds to
5 be received. In determining the amount expended by a
6 municipality, PEMA may review the financial information of the
7 municipality for the first completed fiscal year prior to the
8 fiscal year for which State funds are appropriated. Funds
9 appropriated to a municipality under other State programs may
10 not be used as matching funds.
11 Section 4. Terms and conditions of loans.
12 (a) Term.--Loans made by PEMA to an eligible municipality
13 shall be for a period not to exceed ten years, and any loan for
14 an amount of $10,000 or less shall be for a period of not more
15 than five years.
16 (b) Interest and security.--Loans shall be subject to the
17 payment of an annual interest rate and shall be secured as shall
18 be determined by PEMA. PEMA may specify priority of liens
19 against any apparatus, equipment or facilities purchased by a
20 municipality using loans awarded under this act to pay all or
21 any part of the purchase price, as PEMA may require by
22 regulation.
23 Section 5. Loan restrictions.
24 A municipality shall not be eligible for a loan if it owns,
25 in whole or in part, a volunteer fire company and receives
26 assistance under the provisions of the act of July 15, 1976
27 (P.L.1036, No.208), known as the Volunteer Fire Company,
28 Ambulance Service and Rescue Squad Assistance Act, for the
29 volunteer fire company.
30 Section 6. Applications.
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1 (a) Submission of applications.--Each eligible municipality
2 seeking a loan under this act shall submit an application to
3 PEMA in a form, in such manner and at such time as PEMA may
4 require.
5 (b) Additional application requirements.--An application
6 submitted by an eligible municipality shall be accompanied by
7 the following:
8 (1) A notarized financial statement of the municipal
9 fire department, IF THE FIRE DEPARTMENT MAINTAINS A FINANCIAL <--
10 STATEMENT INDEPENDENT OF THE MUNICIPAL BUDGET.
11 (2) A statement describing the amount of expenditures by
12 the municipality for fire protection.
13 (3) A financial plan describing projected revenues for
14 the repayment of loans.
15 (4) Evidence of matching funds.
16 (c) Review of applications.--PEMA shall review applications
17 for completeness and accuracy. If an application is found to be
18 incomplete or inaccurate, PEMA shall request additional data,
19 and final processing of the application will be discontinued
20 until PEMA receives the requested data. PEMA may terminate the
21 processing of an incomplete application when the additional data
22 is not forwarded to PEMA within 30 days of a written request.
23 Section 7. Duties of PEMA.
24 PEMA shall enforce the provisions of this act. It may
25 establish, adopt and promulgate such rules and regulations as it
26 deems necessary to enforce the provisions of this act. PEMA is
27 further authorized to:
28 (1) Loan money over a term of ten years but in no case
29 in excess of ten years.
30 (2) Accept funds from the Federal Government and any
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1 other sources for distribution to municipal fire departments,
2 if funds are available.
3 (3) Appoint the employees necessary to administer the
4 provisions of this act.
5 (4) Prioritize applications for loans on the basis of
6 need. In determining need, PEMA may consider, among other
7 relevant factors:
8 (i) The failure of the municipal fire department to
9 meet minimum standards, if such standards exist.
10 (ii) The existence, or the potential existence, of
11 an emergency situation.
12 (iii) The age and general condition of existing
13 firefighting apparatus, equipment or facilities.
14 (iv) The lack of available financial resources for
15 acquisition of firefighting apparatus, equipment or
16 facilities.
17 (5) Make a claim for and receive from the municipality
18 moneys not expended in accordance with the provisions of this
19 act.
20 (6) Cancel loans that are not being properly used.
21 (7) Declare a loan in default if the municipality fails
22 to make payments at such time as determined by PEMA.
23 Section 8. Reports.
24 (a) Municipalities.--Each municipality receiving a loan
25 under this act shall submit a report to PEMA, at the time and in
26 the form as determined by PEMA, outlining the following:
27 (1) The amount of funds expended by the municipality for
28 fire protection.
29 (2) The amount and disposition of unencumbered or
30 unexpended funds.
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1 (3) A summary of the apparatus or equipment purchased
2 and facilities constructed or rehabilitated with loans
3 awarded under the provisions of this act.
4 (4) Any other information that PEMA may require.
5 (b) PEMA.--PEMA shall report annually to the Governor and to
6 the General Assembly as to the information provided by
7 municipalities on the distribution and use of the loans provided
8 under this act. The report shall contain an assessment of the
9 extent to which the purposes of this act are being achieved.
10 Section 9. Funding. <--
11 Municipal fire department loans shall be made to the extent
12 that funds are appropriated to PEMA by the General Assembly for
13 implementation of the provisions of this act.
14 SECTION 9. MUNICIPAL FIRE DEPARTMENT LOAN FUND. <--
15 (A) CREATION.--THERE IS HEREBY CREATED A SPECIAL FUND IN THE
16 TREASURY DEPARTMENT TO BE KNOWN AS THE MUNICIPAL FIRE DEPARTMENT
17 LOAN FUND TO WHICH SHALL BE CREDITED ALL APPROPRIATIONS MADE BY
18 THE GENERAL ASSEMBLY OTHER THAN APPROPRIATIONS FOR EXPENSES OF
19 ADMINISTERING THIS ACT OR GRANTS FROM OTHER SOURCES TO THE
20 DEPARTMENT AS WELL AS REPAYMENT OF PRINCIPAL AND INTEREST ON
21 LOANS MADE PURSUANT TO THIS ACT.
22 (B) USE.--THE TREASURY DEPARTMENT SHALL ROUTINELY
23 REQUISITION FROM THE MUNICIPAL FIRE DEPARTMENT LOAN FUND SUCH
24 AMOUNTS AS SHALL BE ALLOCATED BY THE DEPARTMENT FOR LOANS TO
25 MUNICIPAL FIRE DEPARTMENTS. WHEN AND AS THE AMOUNTS SO ALLOCATED
26 BY THE DEPARTMENT AS LOANS TO MUNICIPAL FIRE DEPARTMENTS ARE
27 REPAID TO THE DEPARTMENT PURSUANT TO THE TERMS OF THE AGREEMENTS
28 MADE AND ENTERED INTO WITH THE DEPARTMENT, THE DEPARTMENT SHALL
29 PAY SUCH AMOUNTS TO THE MUNICIPAL FIRE DEPARTMENT LOAN FUND, IT
30 BEING THE INTENT OF THIS ACT THAT THE MUNICIPAL FIRE DEPARTMENT
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1 LOAN FUND SHALL OPERATE AS A REVOLVING FUND WHEREBY ALL
2 APPROPRIATIONS AND PAYMENTS MADE THERETO MAY BE APPLIED AND
3 REAPPLIED TO CARRY OUT THE PURPOSES OF THIS ACT.
4 SECTION 10. AUTHORIZATION TO FINANCE.
5 (A) AUTHORITY TO BORROW.--PURSUANT TO THE PROVISIONS OF
6 SECTION 7(A)(3) OF ARTICLE VIII OF THE CONSTITUTION OF
7 PENNSYLVANIA, THE GOVERNOR, AUDITOR GENERAL AND STATE TREASURER
8 ARE HEREBY AUTHORIZED AND DIRECTED TO BORROW, ON THE CREDIT OF
9 THE COMMONWEALTH, MONEY NOT EXCEEDING IN THE AGGREGATE THE SUM
10 OF $25,000,000 TO IMPLEMENT THE PROVISIONS OF THIS ACT.
11 (B) ISSUANCE OF GENERAL OBLIGATION BONDS.--AS EVIDENCE OF
12 THE INDEBTEDNESS AUTHORIZED UNDER THIS ACT, GENERAL OBLIGATION
13 BONDS OF THE COMMONWEALTH SHALL BE ISSUED FROM TIME TO TIME TO
14 PROVIDE MONEYS NECESSARY TO CARRY OUT THE PURPOSES OF THIS ACT.
15 THEY SHALL BE ISSUED FOR SUCH TOTAL AMOUNTS, IN SUCH FORMS, IN
16 SUCH DENOMINATIONS AND SUBJECT TO SUCH TERMS AND CONDITIONS OF
17 ISSUE, REDEMPTION AND MATURITY, RATE OR RATES OF INTEREST, AND
18 TIME OF PAYMENT OF INTEREST, AS THE GOVERNOR, AUDITOR GENERAL
19 AND STATE TREASURER SHALL DIRECT, EXCEPT THAT THE LATEST STATED
20 MATURITY DATE SHALL NOT EXCEED 30 YEARS FROM THE DATE OF THE
21 OBLIGATION BOND FIRST ISSUED FOR EACH OF THE SERIES.
22 (C) EXECUTION OF BONDS.--ALL BONDS ISSUED UNDER THE
23 AUTHORITY OF THIS ACT SHALL BEAR FACSIMILE SIGNATURES OF THE
24 GOVERNOR, AUDITOR GENERAL AND STATE TREASURER AND A FACSIMILE OF
25 THE GREAT SEAL OF THE COMMONWEALTH. THE BONDS SHALL BE
26 COUNTERSIGNED BY TWO DULY AUTHORIZED OFFICERS OF THE DULY
27 AUTHORIZED LOAN AND TRANSFER AGENTS OF THE COMMONWEALTH.
28 (D) OBLIGATION OF THE COMMONWEALTH.--ALL BONDS ISSUED IN
29 ACCORDANCE WITH THE PROVISIONS OF THIS ACT SHALL BE DIRECT
30 OBLIGATIONS OF THE COMMONWEALTH. THE FULL FAITH AND CREDIT OF
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1 THE COMMONWEALTH ARE PLEDGED FOR THE PAYMENT OF INTEREST AS IT
2 BECOMES DUE AND THE PAYMENT OF THE PRINCIPAL AT MATURITY.
3 (E) EXEMPTION FROM TAXATION.--ALL BONDS ISSUED UNDER THE
4 PROVISIONS OF THIS ACT SHALL BE EXEMPT FROM TAXATION FOR STATE
5 AND LOCAL PURPOSES. THE PRINCIPAL OF AND INTEREST ON THE BONDS
6 SHALL BE PAYABLE IN LAWFUL MONEY OF THE UNITED STATES.
7 (F) FORM OF BONDS.--THE BONDS MAY BE ISSUED AS COUPON BONDS
8 OR REGISTERED AS TO BOTH PRINCIPAL AND INTEREST, AS THE ISSUING
9 OFFICIALS MAY DETERMINE. IF INTEREST COUPONS ARE ATTACHED, THEY
10 SHALL CONTAIN THE FACSIMILE SIGNATURE OF THE STATE TREASURER.
11 (G) AMORTIZATION.--THE ISSUING OFFICIALS SHALL PROVIDE FOR
12 THE AMORTIZATION OF THE BONDS IN SUBSTANTIAL AND REGULAR AMOUNTS
13 OVER THE TERM OF THE DEBT. THE FIRST RETIREMENT OF PRINCIPAL
14 SHALL BE STATED TO MATURE PRIOR TO THE EXPIRATION OF A PERIOD OF
15 TIME EQUAL TO ONE-TENTH OF THE TIME FROM THE DATE OF THE FIRST
16 OBLIGATION ISSUE TO EVIDENCE THE DEBT TO THE DATE OF THE
17 EXPIRATION OF THE TERM OF THE DEBT. RETIREMENTS OF PRINCIPAL
18 SHALL BE REGULAR AND SUBSTANTIAL IF MADE IN ANNUAL OR SEMIANNUAL
19 AMOUNTS WHETHER BY STATED SERIAL MATURITIES OR BY MANDATORY
20 SINKING FUND RETIREMENTS COMPUTED IN ACCORDANCE WITH EITHER A
21 LEVEL ANNUAL DEBT SERVICES PLAN, AS NEARLY AS MAY BE, OR UPON
22 THE EQUAL ANNUAL MATURITIES PLAN.
23 (H) PREPARATION OF BONDS.--THE ISSUING OFFICIALS SHALL
24 PROCEED TO HAVE THE NECESSARY BONDS PREPARED AND PRINTED. THE
25 BONDS, AS SOON AS THEY ARE PREPARED AND PRINTED, SHALL BE
26 DEPOSITED WITH THE DULY AUTHORIZED LOAN AND TRANSFER AGENT OF
27 THE COMMONWEALTH AND SHALL REMAIN THERE UNTIL SOLD IN ACCORDANCE
28 WITH THE PROVISIONS OF THIS ACT.
29 (I) EXPENSES FOR PREPARATION FOR ISSUE AND SALE OF BONDS.--
30 THERE IS HEREBY APPROPRIATED TO THE STATE TREASURER FROM THE
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1 PROCEEDS OF THE BONDS ISSUED AS MUCH MONEYS AS MAY BE NECESSARY
2 FOR ALL COSTS AND EXPENSES IN CONNECTION WITH THE ISSUE OF AND
3 SALE AND REGISTRATION OF THESE BONDS IN CONNECTION WITH THIS
4 ACT.
5 SECTION 11. SALE OF BONDS.
6 (A) PUBLIC SALE.--WHEN BONDS ARE ISSUED, THEY SHALL BE
7 OFFERED FOR SALE AT NOT LESS THAN 98% OF THE PRINCIPAL AMOUNT
8 AND ACCRUED INTEREST AND SHALL BE SOLD BY THE GOVERNOR, THE
9 AUDITOR GENERAL AND THE STATE TREASURER TO THE HIGHEST AND BEST
10 BIDDER OR BIDDERS AFTER DUE PUBLIC ADVERTISEMENT, ON SUCH TERMS
11 AND CONDITIONS AND UPON SUCH OPEN COMPETITIVE BIDDING, AS THE
12 GOVERNOR, AUDITOR GENERAL AND STATE TREASURER SHALL DIRECT. THE
13 MANNER AND CHARACTER OF ADVERTISEMENT AND THE TIMES OF
14 ADVERTISING SHALL BE PRESCRIBED BY THE GOVERNOR, THE AUDITOR
15 GENERAL AND THE STATE TREASURER.
16 (B) PRIVATE SALE.--ANY PORTION OF A BOND ISSUE SO OFFERED
17 AND NOT SOLD OR SUBSCRIBED FOR MAY BE DISPOSED OF BY PRIVATE
18 SALE BY THE GOVERNOR, AUDITOR GENERAL AND STATE TREASURER, IN
19 SUCH MANNER AND AT SUCH PRICES, NOT LESS THAN 98% OF THE
20 PRINCIPAL AMOUNT AND ACCRUED INTEREST, AS THE GOVERNOR SHALL
21 DIRECT. NO COMMISSION SHALL BE ALLOWED OR PAID FOR THE SALE OF
22 ANY BONDS ISSUED UNDER THE AUTHORITY OF THIS ACT.
23 (C) BOND SERIES.--WHEN BONDS ARE ISSUED FROM TIME TO TIME,
24 THE BONDS OF EACH ISSUE SHALL CONSTITUTE A SEPARATE SERIES TO BE
25 DESIGNATED BY THE ISSUING OFFICIALS OR MAY BE COMBINED FOR SALE
26 AS ONE SERIES WITH OTHER GENERAL OBLIGATION BONDS OF THE
27 COMMONWEALTH.
28 SECTION 12. REFUNDS, DISPOSITION OF PROCEEDS AND REGISTRATION
29 OF BONDS.
30 (A) REFUND OF BONDS.--THE GOVERNOR, AUDITOR GENERAL AND
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1 STATE TREASURER ARE AUTHORIZED TO PROVIDE, BY RESOLUTION, FOR
2 THE ISSUANCE OF REFUNDING BONDS TO REFUND AN OUTSTANDING BOND,
3 EITHER BY VOLUNTARY EXCHANGE WITH THE HOLDER OF THE OUTSTANDING
4 BOND, OR BY PROVIDING FUNDS TO REDEEM AND RETIRE THE OUTSTANDING
5 BOND WITH ACCRUED INTEREST AND ANY PREMIUM PAYABLE, AT MATURITY
6 OR AT A CALL DATE. THE ISSUANCE OF REFUNDING BONDS, THE
7 MATURITIES AND OTHER DETAILS, THE RIGHTS OF THE HOLDER AND THE
8 DUTIES OF THE GOVERNOR, AUDITOR GENERAL AND STATE TREASURER IN
9 RESPECT TO THE SAME, SHALL BE GOVERNED BY THE FOREGOING
10 PROVISIONS OF THIS ACT, INSOFAR AS THE SAME MAY BE APPLICABLE.
11 REFUNDING BONDS MAY BE ISSUED BY THE GOVERNOR, AUDITOR GENERAL
12 AND STATE TREASURER TO REFUND BONDS ORIGINALLY ISSUED OR TO
13 REFUND BONDS PREVIOUSLY ISSUED FOR REFUNDING PURPOSES.
14 (B) DISPOSITION OF PROCEEDS.--THE PROCEEDS REALIZED FROM THE
15 SALE OF BONDS UNDER THE PROVISIONS OF THIS ACT SHALL BE PAID
16 INTO THE MUNICIPAL FIRE DEPARTMENT LOAN FUND. THE MONEYS SHALL
17 BE PAID BY THE STATE TREASURER PERIODICALLY TO THOSE
18 DEPARTMENTS, AGENCIES OR AUTHORITIES AUTHORIZED TO EXPEND THEM
19 AT TIMES AND IN AMOUNTS NECESSARY TO SATISFY THE FUNDING NEEDS
20 OF THE DEPARTMENT, AGENCY OR AUTHORITY.
21 (C) INVESTMENT OF FUNDS.--PENDING THEIR APPLICATION TO THE
22 PURPOSE AUTHORIZED, MONEYS HELD OR DEPOSITED BY THE STATE
23 TREASURER MAY BE INVESTED OR REINVESTED AS ARE OTHER FUNDS IN
24 THE CUSTODY OF THE STATE TREASURER IN THE MANNER PROVIDED BY
25 LAW. ALL EARNINGS RECEIVED FROM THE INVESTMENT OR DEPOSIT OF
26 SUCH FUNDS SHALL BE PAID INTO THE STATE TREASURY TO THE CREDIT
27 OF THE MUNICIPAL FIRE DEPARTMENT LOAN FUND.
28 (D) QUORUM.--WHEN ANY ACTION IS TO BE TAKEN OR DECISION MADE
29 UNDER THIS ACT BY THE GOVERNOR, AUDITOR GENERAL AND STATE
30 TREASURER, AND THE THREE OFFICERS DO NOT UNANIMOUSLY AGREE, THE
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1 ACTION OR DECISION OF THE GOVERNOR AND EITHER THE AUDITOR
2 GENERAL OR STATE TREASURER SHALL BE BINDING AND FINAL.
3 (E) REGISTRATION OF BONDS.--THE AUDITOR GENERAL SHALL
4 PREPARE THE NECESSARY REGISTRY BOOK TO BE KEPT IN THE OFFICE OF
5 THE DULY AUTHORIZED LOAN AND TRANSFER AGENT OF THE COMMONWEALTH
6 FOR THE REGISTRATION OF ANY BONDS. BONDS SHALL BE REGISTERED AT
7 THE REQUEST OF THE BOND OWNERS, ALONG WITH THE TERMS AND
8 CONDITIONS OF ISSUE DIRECTED BY THE GOVERNOR, AUDITOR GENERAL
9 AND STATE TREASURER. ALL BONDS WHICH ARE ISSUED WITHOUT INTEREST
10 COUPONS ATTACHED SHALL BE REGISTERED IN THE REGISTRY BOOKS KEPT
11 BY THE DULY AUTHORIZED LOAN AND TRANSFER AGENT OF THE
12 COMMONWEALTH.
13 SECTION 13. MUNICIPAL FIRE DEPARTMENT LOAN SINKING FUND.
14 (A) INVESTMENTS.--ALL BONDS ISSUED UNDER THE AUTHORITY OF
15 THIS ACT SHALL BE REDEEMED AT MATURITY AND ALL INTEREST DUE FROM
16 TIME TO TIME ON THE BONDS SHALL BE PAID FROM THE MUNICIPAL FIRE
17 DEPARTMENT LOAN SINKING FUND, WHICH IS HEREBY CREATED. FOR THE
18 SPECIFIC PURPOSE OF REDEEMING BONDS AT MATURITY AND PAYING ALL
19 INTEREST ON THE BONDS IN ACCORDANCE WITH THE INFORMATION
20 RECEIVED FROM THE GOVERNOR, THE GENERAL ASSEMBLY SHALL
21 APPROPRIATE MONEYS TO THE MUNICIPAL FIRE DEPARTMENT LOAN SINKING
22 FUND FOR THE PAYMENT OF INTEREST ON THE BONDS AND THE PRINCIPAL
23 AT MATURITY. ALL MONEYS PAID INTO THE MUNICIPAL FIRE DEPARTMENT
24 LOAN SINKING FUND AND ALL MONEYS NOT NECESSARY TO PAY ACCRUING
25 INTEREST SHALL BE INVESTED BY THE BOARD OF FINANCE AND REVENUE
26 IN SECURITIES AS PROVIDED BY LAW FOR THE INVESTMENT OF THE
27 SINKING FUNDS OF THE COMMONWEALTH.
28 (B) APPROPRIATION.--THE GENERAL ASSEMBLY SHALL APPROPRIATE
29 AN AMOUNT EQUAL TO MONEYS RECEIVED PURSUANT TO SECTION 9 AND
30 SUCH OTHER MONEYS AS MAY BE NECESSARY TO MEET REPAYMENT
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1 OBLIGATIONS FOR PRINCIPAL AND INTEREST INTO THE MUNICIPAL FIRE
2 DEPARTMENT LOAN SINKING FUND.
3 SECTION 14. TEMPORARY FINANCING AUTHORIZATION.
4 (A) AUTHORITY.--PENDING THE ISSUANCE OF BONDS OF THE
5 COMMONWEALTH, THE GOVERNOR, AUDITOR GENERAL AND STATE TREASURER
6 ARE AUTHORIZED ON THE CREDIT OF THE COMMONWEALTH TO MAKE
7 TEMPORARY BORROWINGS OF MONEYS AS MAY FROM TIME TO TIME BE
8 NECESSARY TO CARRY OUT THE PURPOSES OF THIS ACT AND ARE
9 AUTHORIZED IN THE NAME AND ON BEHALF OF THE COMMONWEALTH TO
10 ENTER INTO LOAN OR CREDIT AGREEMENTS WITH BANKS OR TRUST
11 COMPANIES OR OTHER LENDING INSTITUTIONS OR PERSONS IN THE UNITED
12 STATES HAVING POWER TO ENTER INTO THE LOAN OR CREDIT AGREEMENTS.
13 (B) EVIDENCE OF TEMPORARY BORROWING.--ALL TEMPORARY
14 BORROWINGS MADE UNDER THE AUTHORITY OF THIS SECTION SHALL BE
15 EVIDENCED BY NOTES OF THE COMMONWEALTH, WHICH SHALL BE ISSUED
16 FROM TIME TO TIME FOR SUCH AMOUNTS NOT EXCEEDING IN THE
17 AGGREGATE THE SUM OF $25,000,000, IN A FORM, IN DENOMINATIONS
18 AND SUBJECT TO TERMS AND CONDITIONS OF ISSUE, PREPAYMENT OR
19 REDEMPTION AND MATURITY, RATE OF INTEREST, AND TIME OF PAYMENT
20 OF INTEREST, AS THE ISSUING OFFICIALS DIRECT. ALL NOTES ISSUED
21 UNDER THE AUTHORITY OF THIS SECTION SHALL BEAR THE FACSIMILE
22 SIGNATURES OF THE ISSUING OFFICIALS AND A FACSIMILE OF THE GREAT
23 SEAL OF THE COMMONWEALTH OF PENNSYLVANIA, AND SHALL BE
24 COUNTERSIGNED BY TWO DULY AUTHORIZED OFFICERS OF A DULY
25 AUTHORIZED LOAN AND TRANSFER AGENT OF THE COMMONWEALTH.
26 (C) FUNDING AND RETIREMENT.--ALL NOTES ISSUED UNDER THIS
27 SECTION SHALL BE FUNDED AND RETIRED BY THE ISSUANCE AND SALE OF
28 BONDS OF THE COMMONWEALTH TO THE EXTENT THAT PAYMENT OF THE
29 NOTES HAS NOT OTHERWISE BEEN MADE OR PROVIDED FOR.
30 (D) DISPOSITION OF PROCEEDS.--THE PROCEEDS OF TEMPORARY
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1 BORROWING SHALL BE PAID INTO THE MUNICIPAL FIRE DEPARTMENT LOAN
2 FUND.
3 SECTION 15. APPROPRIATIONS.
4 THE SUM OF $25,000,000, OR AS MUCH THEREOF AS IS ABLE TO BE
5 BORROWED BY TEMPORARY FINANCING OR BY BONDS, IS HEREBY
6 APPROPRIATED TO THE MUNICIPAL FIRE DEPARTMENT LOAN FUND FOR THE
7 PURPOSES SET FORTH IN THIS ACT. THE GENERAL ASSEMBLY MAY MAKE
8 APPROPRIATIONS FROM TIME TO TIME TO THE MUNICIPAL FIRE
9 DEPARTMENT LOAN FUND OR TO THE DEPARTMENT TO CARRY OUT THE
10 PURPOSES OF THIS ACT, WHICH APPROPRIATIONS SHALL BE CONTINUING
11 APPROPRIATIONS AND SHALL NOT LAPSE.
12 SECTION 16. INFORMATION TO GENERAL ASSEMBLY.
13 IT SHALL BE THE DUTY OF THE GOVERNOR TO INCLUDE IN EVERY
14 BUDGET SUBMITTED TO THE GENERAL ASSEMBLY FULL INFORMATION
15 RELATING TO THE ISSUANCE OF BONDS UNDER THE PROVISIONS OF THIS
16 ACT AND THE STATUS OF THE SINKING FUND OF THE COMMONWEALTH FOR
17 THE PAYMENT OF THE INTEREST ON THE BONDS AND THE PRINCIPAL AT
18 MATURITY.
19 SECTION 17. REFERENDUM FOR INCURRENCE OF INDEBTEDNESS.
20 (A) SUBMISSION TO ELECTORS.--THE QUESTION OF INCURRING
21 INDEBTEDNESS OF $25,000,000 FOR LOANS TO MUNICIPAL FIRE
22 DEPARTMENTS FOR THE PURPOSE OF MODERNIZING OR REHABILITATING
23 FACILITIES TO HOUSE FIREFIGHTING APPARATUS, EQUIPMENT AND
24 VEHICLES, THE ACQUISITION OR REHABILITATION OF FIREFIGHTING
25 APPARATUS EQUIPMENT, THE ACQUISITION OF PROTECTIVE, ACCESSORY,
26 COMMUNICATION OR COMPUTER-AIDED DISPATCH EQUIPMENT, THE PURCHASE
27 OF USED FIREFIGHTING APPARATUS, ACCESSORY OR PROTECTIVE
28 EQUIPMENT, AND ANY OTHER EQUIPMENT NECESSARY FOR THE PROPER
29 PERFORMANCE OF MUNICIPAL FIRE DEPARTMENTS' DUTIES SHALL BE
30 SUBMITTED TO THE ELECTORS AT THE NEXT PRIMARY, MUNICIPAL OR
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1 GENERAL ELECTION FOLLOWING THE ENACTMENT OF THIS ACT.
2 (B) CERTIFICATION TO COUNTY BOARDS.--THE SECRETARY OF THE
3 COMMONWEALTH SHALL CERTIFY THE QUESTION TO THE COUNTY BOARDS OF
4 ELECTION.
5 (C) FORM OF QUESTION TO BE SUBMITTED TO ELECTORS.--THE
6 QUESTION SHALL BE IN SUBSTANTIALLY THE FOLLOWING FORM:
7 DO YOU FAVOR THE INCURRING OF INDEBTEDNESS OF $25,000,000
8 FOR LOANS TO MUNICIPAL FIRE DEPARTMENTS FOR THE PURPOSE
9 OF MODERNIZING OR REHABILITATING FACILITIES TO HOUSE
10 FIREFIGHTING APPARATUS EQUIPMENT, THE ACQUISITION OR
11 REHABILITATION OF FIREFIGHTING APPARATUS EQUIPMENT, THE
12 ACQUISITION OF PROTECTIVE, ACCESSORY, COMMUNICATIONS OR
13 COMPUTER-AIDED DISPATCH EQUIPMENT AND FOR THE PURCHASE OF
14 USED FIREFIGHTING APPARATUS, ACCESSORY OR PROTECTIVE
15 EQUIPMENT AND ANY OTHER EQUIPMENT NECESSARY FOR THE
16 PROPER PERFORMANCE OF THE FIREFIGHTING DUTIES OF
17 MUNICIPAL FIRE DEPARTMENTS?
18 (D) CONDUCT OF ELECTIONS.--THE ELECTION SHALL BE CONDUCTED
19 IN ACCORDANCE WITH THE ACT OF JUNE 3, 1937 (P.L.1333, NO.320),
20 KNOWN AS THE PENNSYLVANIA ELECTION CODE, EXCEPT THAT THE TIME
21 LIMITS FOR ADVERTISEMENT OF NOTICE OF THE ELECTION MAY BE WAIVED
22 AS TO THE QUESTION.
23 Section 10 18. Effective date. <--
24 This act shall take effect in 60 days.
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