PRINTER'S NO. 1346

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1192 Session of 1995


        INTRODUCED BY STEIL, CARONE, HANNA, BARD, L. I. COHEN AND
           BATTISTO, MARCH 16, 1995

        REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, MARCH 16, 1995

                                     AN ACT

     1  Amending the act of July 31, 1968 (P.L.805, No.247), entitled,
     2     as amended, "An act to empower cities of the second class A,
     3     and third class, boroughs, incorporated towns, townships of
     4     the first and second classes including those within a county
     5     of the second class and counties of the second through eighth
     6     classes, individually or jointly, to plan their development
     7     and to govern the same by zoning, subdivision and land
     8     development ordinances, planned residential development and
     9     other ordinances, by official maps, by the reservation of
    10     certain land for future public purpose and by the acquisition
    11     of such land; to promote the conservation of energy through
    12     the use of planning practices and to promote the effective
    13     utilization of renewable energy sources; providing for the
    14     establishment of planning commissions, planning departments,
    15     planning committees and zoning hearing boards, authorizing
    16     them to charge fees, make inspections and hold public
    17     hearings; providing for mediation; providing for transferable
    18     development rights; providing for appropriations, appeals to
    19     courts and penalties for violations; and repealing acts and
    20     parts of acts," providing for an educational impact fee.

    21     The General Assembly of the Commonwealth of Pennsylvania
    22  hereby enacts as follows:
    23     Section 1.  The act of July 31, 1968 (P.L.805, No.247), known
    24  as the Pennsylvania Municipalities Planning Code, reenacted and
    25  amended December 21, 1988 (P.L.1329, No.170), is amended by
    26  adding an article to read:


     1                            ARTICLE V-B
     2                  Educational Capital Improvement
     3     Section 501-B.  Purpose.--The imposition of educational
     4  impact fees is an alternative school district's need to insure
     5  that a school district will be reimbursed for the incremental
     6  costs associated with additional students imposed on a school
     7  district as a result of additional residential development in
     8  the district without burdening current residents with such
     9  costs.
    10     Section 502-B.  Definitions.--The following words and phrases
    11  when used in this article shall have the meanings given to them
    12  in this section unless the context clearly indicates otherwise:
    13     "Affordable," as defined in section 502-A.
    14     "Educational impact fee," a charge or fee computed for each
    15  new dwelling unit by multiplying the incremental cost of each
    16  new student by a student housing factor and imposed by a school
    17  district against new residential development in order to
    18  compensate the school district for the start-up costs associated
    19  with increased student enrollment due to such new development.
    20     "Educational impact statement," a report or statement
    21  required in conjunction with all building permit applicants to
    22  disclose the impact of new construction or development on
    23  educational costs and services in the affected school district.
    24     "Incremental cost," the cost attributable to adding one new
    25  student to the student base in existence at the later of the
    26  time the educational impact fee is imposed or the time this cost
    27  factor is reviewed as required hereunder.
    28     "Residential development," dwelling units constructed for
    29  single-family or multi-family occupation, to be either leased or
    30  owned.
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     1     "Student housing factor," the average number of students
     2  expected to occupy each new residential dwelling unit based on
     3  the size, type and total cost of the structure as determined and
     4  established in a scale set by the school board.
     5     Section 503-B.  Establishment and Calculation of Impact
     6  Fees.--(a)  The educational impact fee shall be determined for
     7  each dwelling unit by multiplying the incremental cost by the
     8  student housing factor:
     9         (1)  School districts may impose an educational impact
    10     fee and require the filing of educational impact statements
    11     at the discretion of the board of school directors.
    12         (2)  The decision not to impose an educational impact fee
    13     at any time shall not preclude requiring the filing of
    14     educational impact statements.
    15         (3)  An educational impact fee may be imposed based on
    16     the submission of a specific educational impact statement.
    17     Such imposition shall be valid as applied to any dwelling
    18     unit, provided it becomes effective prior to the issuance of
    19     the building permit for that specific unit.
    20     (b)  The incremental cost of each new student shall be
    21  calculated by using the following factors:
    22         (1)  One-time administrative costs necessary to enroll
    23     additional students.
    24         (2)  Pro rata cost of instructional salary.
    25         (3)  Cost of instructional material.
    26         (4)  Pro rata cost based on the impact to the physical
    27     plant in accommodating additional students.
    28         (5)  Cost of additional insurance.
    29         (6)  Pro rata cost of transportation.
    30         (7)  Actual cost of initial student evaluation.
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     1         (8)  Pro rata cost of student special services.
     2         (9)  Pro rata cost of hiring and training.
     3     (c)  The educational impact fee shall not be based on any of
     4  the following:
     5         (1)  Pro rata cost of voluntary curriculum instruction
     6     salaries or materials.
     7         (2)  Cost of hiring or training necessary State-funded
     8     staff, including the intermediate units.
     9         (3)  Pro rata shares of special education costs.
    10         (4)  Pro rata costs for any contracted services, except
    11     direct instructional and maintenance costs.
    12         (5)  The costs of complying with local codes and
    13     regulations.
    14         (6)  Costs which are reimbursed by another governmental
    15     unit.
    16     (d)  (1)  The educational impact fee shall be subject to
    17     annual adjustments by the school district, based on changes
    18     in the Consumer Price Index for All Urban Consumers.
    19         (2)  The incremental cost of each new student and the
    20     student housing factor shall be reviewed at least once every
    21     three years and be subject to upward or downward revision.
    22     (e)  Prior to initial passage of any resolution imposing an
    23  educational impact fee under the authority granted hereunder,
    24  the school district shall give public notice of the intention to
    25  pass such resolution. The notice shall set forth the substantial
    26  nature of the fee to be imposed by the resolution, the reason
    27  which, in the judgment of the board of school directors,
    28  necessitates the imposition of the fee, and the amount of
    29  revenue estimated to be derived therefrom. Publication of the
    30  notice shall be made by advertisement once a week for three
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     1  weeks in a newspaper of general circulation within the school
     2  district if there is a newspaper and, if there is not,
     3  publication shall be made in a newspaper of general circulation
     4  in the county in which the advertising school district is
     5  located.
     6     Section 504-B.  Administration of Educational Impact Fees.--
     7  (a)  (1)  Educational impact fees shall be collected by the
     8     school district.
     9         (2)  The educational impact fee shall be payable in full
    10     prior to the time of the issuance of a building permit for
    11     residential development.
    12         (3)  No municipality shall issue a building permit within
    13     the boundaries of a school district which has imposed an
    14     educational impact fee without proof of payment of the
    15     educational impact fee to that school district.
    16     (b)  The educational impact fee shall be waived for building
    17  permits issued for the replacement of existing dwelling units,
    18  even if the permits are nonconcurrent.
    19     (c)  The school district may reduce, eliminate or otherwise
    20  negotiate over the educational impact fee applicable to
    21  affordable housing.
    22     Section 505-B.  Educational Impact Statement.--(a)  An
    23  educational impact statement must be submitted to the
    24  appropriate school district for all proposed development in
    25  conjunction with the building permit process. It shall be
    26  presented prior to submission by the builders of any subdivision
    27  plan or other preliminary documents that may require municipal
    28  approval. The municipality shall not accept the subdivision plan
    29  or other preliminary documents without proof that the
    30  educational impact statement has been filed with the school
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     1  district.
     2     (b)  The educational impact statement shall include the
     3  following:
     4         (1)  The type of unit or units to be developed.
     5         (2)  The target market that the building permit applicant
     6     hopes to reach.
     7         (3)  The size of the units by distribution.
     8         (4)  The estimated initial student population broken down
     9     according to elementary, middle and senior grade levels.
    10         (5)  A time frame for achievement of the student
    11     population.
    12         (6)  The estimated student population by grade level at
    13     both five years and ten years from the date of the issuance
    14     of the last building permit.
    15     Section 2.  This act shall be applicable beginning with the
    16  first full fiscal year of a school district, commencing at least
    17  60 days after the effective date of this act.
    18     Section 3.  This act shall take effect immediately.








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