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                                                      PRINTER'S NO. 3609

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 2445 Session of 2008


        INTRODUCED BY EACHUS, KORTZ, ARGALL, GOODMAN, WHEATLEY, DeLUCA,
           COHEN, McCALL, MUNDY, PARKER, FABRIZIO, SOLOBAY, HARHAI,
           GRELL, KULA, MANN, READSHAW, PRESTON, PASHINSKI, M. O'BRIEN,
           MOYER, J. WHITE, YUDICHAK, WALKO, SAYLOR, HESS, MAHONEY,
           McILHATTAN, CARROLL, HENNESSEY, McGEEHAN, SANTONI, STURLA,
           J. TAYLOR, BUXTON, SWANGER, BEYER, MELIO, BOYD, FRANKEL,
           McILVAINE SMITH, HALUSKA, BELFANTI, CONKLIN, DALEY, GEIST,
           HUTCHINSON, K. SMITH, GINGRICH, BENNINGHOFF, FREEMAN,
           HARKINS, HORNAMAN, JAMES, JOSEPHS, KOTIK, LEACH, MICOZZIE,
           WANSACZ, YOUNGBLOOD, GRUCELA, CAPPELLI, GIBBONS, BENNINGTON,
           SAINATO, WAGNER, CASORIO, R. MILLER, WOJNAROSKI AND BROOKS,
           APRIL 15, 2008

        REFERRED TO COMMITTEE ON LABOR RELATIONS, APRIL 15, 2008

                                     AN ACT

     1  Amending Title 53 (Municipalities Generally) of the Pennsylvania
     2     Consolidated Statutes, providing for neighborhood blight
     3     reclamation and revitalization.

     4     The General Assembly of the Commonwealth of Pennsylvania
     5  hereby enacts as follows:
     6     Section 1.  Title 53 of the Pennsylvania Consolidated
     7  Statutes is amended by adding a chapter to read:
     8                             CHAPTER 61
     9         NEIGHBORHOOD BLIGHT RECLAMATION AND REVITALIZATION
    10  Subchapter
    11     A.  Preliminary Provisions
    12     B.  Actions Against Owner of Blighted Property
    13     C.  Responsibilities of Mortgage Lenders


     1     D.  Conservatorship
     2     E.  State and Local Government Permit Denials
     3     F.  State Blight Data Collection System
     4     G.  Grants
     5     H.  Sale of Blighted and Abandoned Properties
     6     I.  Miscellaneous Provisions
     7                            SUBCHAPTER A
     8                       PRELIMINARY PROVISIONS
     9  Sec.
    10  6101.  Short title of chapter.
    11  6102.  Legislative findings and declaration of policy.
    12  6103.  Definitions.
    13  § 6101.  Short title of chapter.
    14     This chapter shall be known and may be cited as the
    15  Neighborhood Blight Reclamation and Revitalization Act.
    16  § 6102.  Legislative findings and declaration of policy.
    17     The General Assembly finds and declares as follows:
    18         (1)  It is the intent of the General Assembly to
    19     eliminate neighborhood blight caused by property owners who
    20     fail to maintain their property or to comply with municipal
    21     property maintenance codes. The General Assembly declares
    22     that it is in the best interest of the Commonwealth, its
    23     citizens and its municipalities to establish a process as set
    24     forth under this chapter to effectively deal with blighted
    25     and abandoned properties in order to bring the properties up
    26     to code standards, acquire and demolish them or, where cost-
    27     effective and structurally sound, rehabilitate them and
    28     return them to productive use. This includes constructing new
    29     housing on sites that formerly contained blighted properties
    30     and rehabilitating blighted buildings which have been
    20080H2445B3609                  - 2 -     

     1     determined to be structurally sound and capable of being
     2     rehabilitated.
     3         (2)  Pennsylvania's communities are important to this
     4     Commonwealth's economic health and provide a focal point for
     5     businesses and services. They also contribute to this
     6     Commonwealth's quality of life with their rich histories,
     7     culture, heritage and diversity, along with their parks,
     8     recreational attributes and historic buildings and
     9     architecture. Many of these communities, however, are
    10     presently being negatively affected by blighted properties
    11     that either are in use in spite of their deteriorated state
    12     or have been abandoned.
    13         (3)  Citizens of this Commonwealth living in its
    14     communities are adversely affected by abandoned and blighted
    15     residential, commercial and industrial properties, especially
    16     individuals living or owning property in close proximity to
    17     unsafe, substandard and deteriorated buildings.
    18         (4)  Substandard, deteriorating and abandoned
    19     residential, commercial and industrial structures are not
    20     only a public safety threat and nuisance, their blighted
    21     condition diminishes property values in the communities in
    22     which these properties are located. Nearby property owners
    23     lose equity in their properties, and municipalities lose
    24     desperately needed property tax revenues for municipal
    25     services as a result of lower assessed property values which
    26     result from the presence of blighted and abandoned buildings.
    27         (5)  Blighted properties presently sold at tax sales most
    28     times remain blighted. When these blighted properties are not
    29     rehabilitated or demolished immediately, they further
    30     deteriorate, resulting in increased costs to the Commonwealth
    20080H2445B3609                  - 3 -     

     1     and its municipalities to secure and demolish them.
     2         (6)  Providing a legislative mechanism to transform
     3     abandoned and blighted properties into productive reuse
     4     provides an opportunity for communities in Pennsylvania to be
     5     revitalized while improving the quality of life for
     6     individuals who live there. This revitalization includes
     7     clearing sites of blighted properties and replacing them with
     8     new housing, as well as rehabilitating structurally sound
     9     blighted properties.
    10  § 6103.  Definitions.
    11     The following words and phrases when used in this chapter
    12  shall have the meanings given to them in this section unless the
    13  context clearly indicates otherwise:
    14     "Abandoned property."  A property on which there is a
    15  building that has not been legally occupied for at least the
    16  previous 12 months and is a blighted property.
    17     "Blighted property."  Any of the following:
    18         (1)  Premises which, because of physical condition or
    19     use, are regarded as a public nuisance at common law or have
    20     been declared a public nuisance in accordance with the local
    21     housing, building, plumbing, fire and related codes and
    22     ordinances, including nuisance and dangerous building
    23     ordinances.
    24         (2)  Premises which, because of physical condition, use
    25     or occupancy, are considered an attractive nuisance to
    26     children, including, but not limited to, abandoned wells,
    27     shafts, basements, excavations and unsafe fences or
    28     structures.
    29         (3)  A dwelling which, because it is dilapidated,
    30     unsanitary, unsafe, vermin-infested or lacking in the
    20080H2445B3609                  - 4 -     

     1     facilities and equipment required under the housing code of
     2     the municipality, has been designated by the municipal
     3     department responsible for enforcement of the code as unfit
     4     for human habitation.
     5         (4)  A structure which is a fire hazard or is otherwise
     6     dangerous to the safety of persons or property.
     7         (5)  A structure from which the utilities, plumbing,
     8     heating, water, sewage or other facilities have been
     9     disconnected, destroyed, removed or rendered ineffective so
    10     that the property is unfit for its intended use.
    11         (6)  A vacant or unimproved lot or parcel of ground in a
    12     predominantly built-up neighborhood which, by reason of
    13     neglect or lack of maintenance, has become a place for
    14     accumulation of trash and debris or a haven for rodents or
    15     other vermin.
    16         (7)  An unoccupied property which has been tax delinquent
    17     for a period of two years.
    18         (8)  A property which is vacant but not tax delinquent
    19     and which has not been rehabilitated within one year of the
    20     receipt of notice to rehabilitate from the appropriate code
    21     enforcement agency.
    22     "Building."  A residential, commercial or industrial building
    23  or structure and the land appurtenant to it.
    24     "Code."  A building, housing, property maintenance, fire,
    25  health or other public safety ordinance enacted by a
    26  municipality.
    27     "Commonwealth agency."  The Governor, departments, boards,
    28  agencies, commissions, authorities and other officers of the
    29  Commonwealth, including those subject to the policy supervision
    30  and control of the Governor. The term does not include any court
    20080H2445B3609                  - 5 -     

     1  or other officer or agency of the unified judicial system or the
     2  General Assembly or any of its officers and agencies.
     3     "Competent entity."  A person or entity, including a
     4  governmental unit, with experience in the rehabilitation of
     5  residential, commercial or industrial buildings and the ability
     6  to provide or obtain the necessary financing for such
     7  rehabilitation.
     8     "Consumer."  A person who is a named insured, insured or
     9  beneficiary of a policy of insurance or any other person who may
    10  be affected by the Insurance Department's exercise of or the
    11  failure to exercise its authority.
    12     "Cost of rehabilitation."  Costs and expenses for
    13  construction, stabilization, rehabilitation, demolition and
    14  reasonable nonconstruction costs associated with any of these
    15  projects, including, but not limited to, environmental
    16  remediation, architectural, engineering and legal fees, permits,
    17  financing fees and a developer's fee consistent with the
    18  standards for developer's fees established by the Pennsylvania
    19  Housing Finance Agency.
    20     "Court."  The appropriate court of common pleas.
    21     "Department."  The Department of Community and Economic
    22  Development of the Commonwealth.
    23     "Electronically."  Utilizing procedures promulgated by the
    24  Department of Community and Economic Development to file forms
    25  and obtain information electronically, provided the information
    26  is available to the requester under the act of June 21, 1957
    27  (P.L.390, No.212), referred to as the Right-to-Know Law.
    28     "Insurer," "company," "association" or "exchange."  As these
    29  terms are defined in section 101 of the act of May 17, 1921
    30  (P.L.682, No.284), known as The Insurance Company Law of 1921,
    20080H2445B3609                  - 6 -     

     1  or any entity subject to Article XXIV of The Insurance Company
     2  Law of 1921, the act of December 29, 1972 (P.L.1701, No.364),
     3  known as the Health Maintenance Organization Act, or 40 Pa.C.S.
     4  Ch. 61 (relating to hospital plan corporations) or 63 (relating
     5  to professional health services plan corporations).
     6     "License."  A permit granted by the Commonwealth or one of
     7  its agencies which gives permission to the applicant to
     8  participate in a certain activity or exercise a certain
     9  privilege.
    10     "Licensing" or "certification."  The issuance of a license or
    11  the formal assertion in writing of some fact or qualification
    12  from the Commonwealth or one of its agencies.
    13     "Municipality."  A city, borough, incorporated town, township
    14  or home rule, optional plan or optional charter municipality or
    15  municipal authority in this Commonwealth. The term also includes
    16  any other governmental entity charged with enforcement of
    17  municipal housing, building, plumbing, fire and related codes
    18  and specifically includes a neighborhood improvement district
    19  and nonprofit corporation created under the act of December 20,
    20  2000 (P.L.949, No.130), known as the Neighborhood Improvement
    21  District Act.
    22     "Municipal permits."  Privileges relating to real property
    23  granted by a municipality, including, but not limited to,
    24  building permits, exceptions to zoning ordinances and occupancy
    25  permits.
    26     "Nonprofit corporation."  A nonprofit corporation that has,
    27  as one of its purposes, community development activities,
    28  including economic development or the promotion or enhancement
    29  of affordable housing opportunities.
    30     "Owner."  The holder or holders of the title to or of a legal
    20080H2445B3609                  - 7 -     

     1  or equitable interest in residential, commercial or industrial
     2  real estate. The term includes, but is not limited to, heirs,
     3  assigns, trustees, beneficiaries and lessees, provided this
     4  ownership interest is a matter of public record.
     5     "Party in interest."  Any person or entity who has a direct
     6  and immediate interest in residential, commercial or industrial
     7  real estate, including:
     8         (1)  The owner or owners.
     9         (2)  Any lienholder and other secured creditors of the
    10     owner.
    11         (3)  A person who resides or owns a business which is
    12     located within 500 feet of the real estate.
    13         (4)  A nonprofit corporation carrying out community
    14     development activities within the municipality where the
    15     building is located, including, but not limited to, a
    16     redevelopment authority.
    17         (5)  A municipality in which the real estate is located.
    18     "Property maintenance code."  A municipal ordinance which
    19  regulates the maintenance or development of real property. The
    20  term includes, but is not limited to, building codes, housing
    21  codes and public safety codes.
    22     "Property maintenance code violation."  A violation of a
    23  municipal property maintenance code.
    24     "Public nuisance."  Property which, because of its physical
    25  condition or use, is regarded as a public nuisance at common law
    26  or has been declared a public nuisance in accordance with the
    27  local housing, building, health, fire or related code.
    28     "Registry."  The Property Maintenance Code Violations
    29  Registry established under this chapter.
    30     "Residential building."  A building or structure containing
    20080H2445B3609                  - 8 -     

     1  one or more dwelling units and the land appurtenant to it.
     2     "Serious violation."  A violation of a housing, building,
     3  property maintenance or fire safety code that poses an immediate
     4  threat to the health and safety of a dwelling occupant,
     5  occupants in surrounding structures or passersby.
     6     "Substantial step."  An affirmative action on the part of a
     7  property owner or managing agent, as determined by the
     8  municipality, to remedy a violation of a housing, building,
     9  property maintenance or fire safety code, including, but not
    10  limited to, physical improvements or reparations to the
    11  property.
    12     "Tax delinquent property."  Tax delinquent real property as
    13  defined under the act of July 7, 1947 (P.L.1368, No.542), known
    14  as the Real Estate Tax Sale Law, located in any municipality in
    15  this Commonwealth.
    16                            SUBCHAPTER B
    17             ACTIONS AGAINST OWNER OF BLIGHTED PROPERTY
    18  Sec.
    19  6111.  Building, housing and health code violations.
    20  6112.  Actions.
    21  6113.  Asset attachment.
    22  6114.  Duty of out-of-State owners of real estate in this
    23             Commonwealth.
    24  6115.  Duty of corporate owners.
    25  § 6111.  Building, housing and health code violations.
    26     (a)  Cause of action.--Where a building, structure,
    27  landscaping or land is or is proposed to be erected,
    28  constructed, reconstructed, altered, converted, maintained or
    29  used in violation of any building, housing or health ordinance
    30  enacted pursuant to law by a municipality, the governing body of
    20080H2445B3609                  - 9 -     

     1  the municipality or, with the approval of the governing body, an
     2  officer of the municipality, or an aggrieved owner or tenant of
     3  real property who shows that his property or person will be
     4  substantially affected by the alleged violation, in addition to
     5  other remedies, may institute an action or proceeding to
     6  prevent, restrain, correct or abate such building, structure,
     7  landscaping or land or to prevent, in or about such premises,
     8  any act, conduct, business or use constituting a violation. When
     9  any such action is instituted by a landowner or tenant, notice
    10  of the action shall be served upon the municipality at least 30
    11  days prior to the time the action is begun by serving a copy of
    12  the complaint on the governing body of the municipality. No such
    13  action may be maintained until such notice has been given.
    14     (b)  Jurisdiction.--Except as provided under 42 Pa.C.S. §
    15  1143(a)(3) (relating to jurisdiction and venue), magisterial
    16  district judges shall have jurisdiction of actions instituted
    17  pursuant to this section.
    18  § 6112.  Actions.
    19     In addition to other remedies, a municipality may institute
    20  the following actions against the legal owner or owner of record
    21  of any building, housing or land in serious violation of an
    22  ordinance regarding a building or housing code:
    23         (1)  An in personam action may be initiated for a
    24     continuing violation for which the legal owner of record
    25     takes no substantial step to correct within 60 days following
    26     notification of any violation.
    27         (2)  An action against an owner of record shall be for an
    28     amount equal to any penalties imposed against the owner and
    29     for the amount expended by the municipality to abate the
    30     violation.
    20080H2445B3609                 - 10 -     

     1         (3)  A proceeding in equity.
     2  § 6113.  Asset attachment.
     3     A lien may be placed against the assets of an owner of
     4  unremediated blighted real property after a legal action
     5  initiated under section 6112 (relating to actions) is concluded
     6  with a finding against the legal owner or owner of record of the
     7  property.
     8  § 6114.  Duty of out-of-State owners of real estate in this
     9             Commonwealth.
    10     A person who lives or has a principal place of residence
    11  outside this Commonwealth, who owns real estate in this
    12  Commonwealth against which municipal housing code violations
    13  have been cited under 18 Pa.C.S. § 7510 (relating to municipal
    14  housing code avoidance), and who has been properly notified of
    15  the violations may be extradited to this Commonwealth to face
    16  criminal prosecution.
    17  § 6115.  Duty of corporate owners.
    18     (a)  Means of identification.--A deed or other instrument of
    19  writing involving transfer of title to a corporate owner or
    20  corporate officer shall include an attachment setting forth the
    21  name and address of each officer of the corporation and a
    22  photographic copy of the current driver's license or other photo
    23  identification from the state in which anyone who is an officer
    24  of the corporation is licensed to drive.
    25     (b)  Means of service.--Mailing a notice or citation for any
    26  property maintenance code violation for any property owned by a
    27  corporation to the mailing address of any corporate officer
    28  shall constitute good service by the municipality.
    29                            SUBCHAPTER C
    30                RESPONSIBILITIES OF MORTGAGE LENDERS
    20080H2445B3609                 - 11 -     

     1  Sec.
     2  6121.  Business or commercial mortgages.
     3  6122.  Code compliance.
     4  6123.  Residential mortgages.
     5  § 6121.  Business or commercial mortgages.
     6     This subchapter shall apply to mortgage loans made for
     7  residential, business or commercial purposes.
     8  § 6122.  Code compliance.
     9     (a)  Liability assumed.--Thirty days following the
    10  foreclosure of a building due to the owner of record's default
    11  on a mortgage loan, the mortgage lender or Federal insurer in
    12  possession of the building shall assume legal responsibility and
    13  liability as the owner of record for all exterior municipal
    14  housing, building and property maintenance code requirements
    15  representing the following:
    16         (1)  Serious violations.
    17         (2)  Violations which contribute to blight in a
    18     neighborhood due to their negative effect on the aesthetic
    19     appearance of the structure or the neighborhood.
    20     (b)  Time period.--The time period provided for under
    21  subsection (a) shall be extended to 120 days following the
    22  foreclosure of a property due to the owner of record's default
    23  on a mortgage loan in cases where the mortgage lender or Federal
    24  insurer has executed a contract to sell the property in
    25  question.
    26  § 6123.  Residential mortgages.
    27     Entities that may grant or insure residential mortgages or
    28  participate in related activities for purposes of this
    29  subchapter shall include, but not be limited to, the following:
    30         (1)  A State-chartered bank, bank and trust company,
    20080H2445B3609                 - 12 -     

     1     savings bank, private bank or national bank, a federally
     2     chartered or State-chartered savings and loan association, a
     3     federally chartered savings bank or a federally chartered or
     4     State-chartered credit union.
     5         (2)  An attorney authorized to practice law in this
     6     Commonwealth who acts as a mortgage broker in negotiating or
     7     placing a mortgage loan in the normal course of legal
     8     practice.
     9         (3)  A person licensed under the act of February 19, 1980
    10     (P.L.15, No.9), known as the Real Estate Licensing and
    11     Registration Act, who is principally engaged in a third-party
    12     real estate brokerage business, but only to the extent that
    13     the person provides information, verbal or written, to or
    14     negotiates or places a mortgage loan for a buyer of real
    15     estate and is not compensated by the buyer or any other
    16     person for providing such information or negotiating or
    17     placing such mortgage loan. If the person is compensated for
    18     providing the information or negotiating or placing a
    19     mortgage loan, the person shall be subject to sections 308,
    20     310, 311 and 314(b) of the act of December 22, 1989 (P.L.687,
    21     No.90), known as the Mortgage Bankers and Brokers and
    22     Consumer Equity Protection Act.
    23         (4)  A seller of a dwelling if the person has resided in
    24     the dwelling at least one year and as part of the purchase
    25     price receives a first mortgage executed by the purchaser.
    26         (5)  A person who either originates or negotiates fewer
    27     than 12 mortgage loans in a calendar year in this
    28     Commonwealth.
    29         (6)  Builders, when obtaining mortgages for their own
    30     construction or for the sale of their own construction.
    20080H2445B3609                 - 13 -     

     1         (7)  An agency or instrumentality of the Federal
     2     Government or a corporation otherwise created by an act of
     3     Congress, including, but not limited to, the Federal National
     4     Mortgage Association, the Department of Veterans Affairs, the
     5     Federal Home Loan Mortgage Corporation and the Federal
     6     Housing Administration.
     7         (8)  The Pennsylvania Housing Finance Agency.
     8         (9)  A licensee under the act of April 8, 1937 (P.L.262,
     9     No.66), known as the Consumer Discount Company Act, except
    10     that a licensee who makes a mortgage loan other than under
    11     the provisions of the Consumer Discount Company Act shall be
    12     subject to the provisions of sections 304(b)(2) and (3), 308,
    13     310 and 314(b) of the Mortgage Bankers and Brokers and
    14     Consumer Equity Protection Act, excluding section 308(a)(1).
    15         (10)  Except for a licensee described under paragraph
    16     (9), a subsidiary or affiliate of the following institutions:
    17             (i)  State-chartered banks, bank and trust companies,
    18         savings banks, private banks, savings and loan
    19         associations and credit unions.
    20             (ii)  National banks.
    21             (iii)  Federally chartered savings and loans
    22         associations.
    23             (iv)  Federally chartered savings banks.
    24             (v)  Federally chartered credit unions.
    25     A subsidiary or affiliate set forth under this paragraph
    26     shall be subject to the provisions of sections 308,
    27     309(a)(3), 310 and 314(b) of the Mortgage Bankers and Brokers
    28     and Consumer Equity Protection Act, excluding section
    29     308(a)(1), and shall deliver annually to the Department of
    30     Banking copies of financial reports made to all supervisory
    20080H2445B3609                 - 14 -     

     1     agencies.
     2         (11)  An employee of a licensee or a person designated to
     3     act on behalf of his employer.
     4         (12)  An insurance company, association or exchange
     5     authorized to transact business in this Commonwealth under
     6     the act of May 17, 1921 (P.L.682, No.284), known as The
     7     Insurance Company Law of 1921, and any subsidiaries and
     8     affiliates thereof. A subsidiary or affiliate shall:
     9             (i)  be subject to the provisions of sections 308,
    10         309(a)(3), 310 and 314(b) of the Mortgage Bankers and
    11         Brokers and Consumer Equity Protection Act, excluding
    12         section 308(a)(1); and
    13             (ii)  deliver annually to the Insurance Department
    14         copies of financial reports made to all supervisory
    15         agencies.
    16                            SUBCHAPTER D
    17                          CONSERVATORSHIP
    18  Sec.
    19  6131.  Initiation of action.
    20  6132.  Appointment of conservator.
    21  6133.  Powers and duties of conservator.
    22  6134.  Ownership of property.
    23  6135.  Incurring indebtedness.
    24  6136.  Sale of property.
    25  6137.  Termination of conservatorship.
    26  § 6131.  Initiation of action.
    27     (a)  Filing of petition.--A petition for the appointment of a
    28  conservator to take possession and to undertake the
    29  rehabilitation of a building may be filed by a party in interest
    30  in a court in the county in which the building is located.
    20080H2445B3609                 - 15 -     

     1     (b)  Contents.--The petition submitted to the court shall
     2  include a concise statement of the reasons a conservator should
     3  be appointed and, to the extent available to the petitioner:
     4         (1)  A copy of any citation charging the owner with being
     5     in violation of municipal code requirements or declaring the
     6     building to be a public nuisance.
     7         (2)  A recommendation as to which person or entity should
     8     be appointed conservator.
     9         (3)  A preliminary plan with initial cost estimates for
    10     rehabilitation of the building to bring it into compliance
    11     with all municipal codes and duly adopted plans for the area
    12     in which the building is located and anticipated funding
    13     sources.
    14     (c)  Notification of owner and lienholders.--
    15         (1)  Upon filing the petition with the court, the
    16     petitioner shall notify the current owner of the property and
    17     all lienholders of the filing by registered or certified mail
    18     to the last known address of each and by posting a copy of
    19     the notice on the building.
    20         (2)  In the event the registered or certified mail is
    21     returned with notation by the postal authorities that the
    22     recipient refused to accept the mail, the petitioner may mail
    23     a copy to the recipient at the same address by ordinary mail
    24     with the return address of the petitioner appearing thereon.
    25         (3)  Service by ordinary mail shall be presumed complete
    26     if the mail is not returned to the petitioner within 15 days
    27     after mailing.
    28         (4)  In the event the registered or certified mail is
    29     returned with the notation by the postal authorities that it
    30     was unclaimed, the notice shall be personally served.
    20080H2445B3609                 - 16 -     

     1         (5)  In the event that the personal service is not able
     2     to be made after two such attempts, the petitioner shall mail
     3     the petition to the recipient at the same address by ordinary
     4     mail with the return address of the petitioner appearing
     5     thereon with service by ordinary mail deemed complete if the
     6     mail is not returned to the petitioner within 15 days after
     7     the mailing.
     8         (6)  The petitioner shall also notify the owner and each
     9     lienholder of the hearing date and provide notice that the
    10     owner and lienholders may petition to intervene in the
    11     action.
    12  § 6132.  Appointment of conservator.
    13     (a)  General rule.--The court shall act upon a petition
    14  submitted by holding a hearing within 90 days of receipt of the
    15  petition and rendering a decision no later than 30 days after
    16  completion of the hearing.
    17     (b)  Intervention.--Subject to the court's discretion, a
    18  party in interest may intervene in the proceeding and be heard
    19  with respect to the petition, the requested relief or any other
    20  matter which may come before the court in connection with the
    21  proceeding.
    22     (c)  Hearing.--At the hearing, any party in interest shall be
    23  permitted to present evidence to support or contest the
    24  petition.
    25     (d)  Conditions for conservatorship.--If a petition is filed
    26  under section 6131 (relating to initiation of action), the court
    27  may appoint a conservator if the building has not been legally
    28  occupied for at least the previous 12 months and has not been
    29  actively marketed during the 60 days prior to the date of the
    30  petition and the court finds at least two of the following:
    20080H2445B3609                 - 17 -     

     1         (1)  The building or physical structure is a public
     2     nuisance.
     3         (2)  The building is in need of substantial
     4     rehabilitation and no rehabilitation has taken place during
     5     the previous 12 months.
     6         (3)  The building is unfit for human habitation,
     7     occupancy or use.
     8         (4)  The condition and vacancy of the building materially
     9     increases the risk of fire to the building and to adjacent
    10     properties.
    11         (5)  The building is subject to unauthorized entry
    12     leading to potential health and safety hazards and:
    13             (i)  the owner has failed to take reasonable and
    14         necessary measures to secure the building; or
    15             (ii)  the municipality has secured the building in
    16         order to prevent such hazards after the owner has failed
    17         to do so.
    18         (6)  The property is an attractive nuisance to children,
    19     including, but not limited to, the presence of abandoned
    20     wells, shafts, basements, excavations and unsafe structures.
    21         (7)  The presence of vermin or the accumulation of
    22     debris, uncut vegetation or physical deterioration of the
    23     structure or grounds has created potential health and safety
    24     hazards and the owner has failed to take reasonable and
    25     necessary measures to remove the hazards.
    26         (8)  The dilapidated appearance or other condition of the
    27     building negatively affects the economic well-being of
    28     residents and businesses in close proximity to the building,
    29     including decreases in property value and loss of business,
    30     and the owner has failed to take reasonable and necessary
    20080H2445B3609                 - 18 -     

     1     measures to remedy appearance or the condition.
     2     (e)  Appointment.--
     3         (1)  If the court determines after a hearing that the
     4     property has met the conditions of subsection (d), the court
     5     may appoint a conservator and grant such other relief as may
     6     be just and appropriate.
     7         (2)  The court may appoint a nonprofit corporation or
     8     other competent entity. In appointing a conservator, the
     9     court shall consider any recommendations contained in the
    10     petition or otherwise presented by a party in interest.
    11     (f)  Conditional relief.--
    12         (1)  If the court finds after a hearing that the
    13     conditions for conservatorship set forth under subsection (d)
    14     have been established, but the owner represents that the
    15     violations or nuisance or emergency condition will be abated
    16     in a reasonable period, the court may allow the owner to
    17     proceed to remedy the conditions.
    18         (2)  If the conditions set forth under paragraph (1) have
    19     been satisfied, the court shall enter an order providing
    20     that, in the event that the violations or nuisance or
    21     emergency conditions are not abated by the owner by a
    22     specific date or that other specified remedial activities
    23     have not occurred by a specific date or dates, an order
    24     granting the relief requested in the petition shall be
    25     entered.
    26         (3)  The court may also require the owner to post a bond
    27     in the amount of the repair costs estimated in the petition
    28     as a condition to retaining possession of the building.
    29     (g)  Hearing on conservator's final plan for abatement.--At
    30  the time the court appoints a conservator, the court shall set a
    20080H2445B3609                 - 19 -     

     1  date for a hearing on the conservator's final plan for abatement
     2  to be held within 120 days.
     3     (h)  Conservator's lien.--The conservator shall file a lien
     4  against the property in an amount based on the estimated costs
     5  to be incurred during the conservatorship. The lien amount may
     6  be adjusted from time to time.
     7     (i)  Immediate possession.--The conservator shall promptly
     8  take possession of the building and other property subject to
     9  the conservatorship and shall immediately be authorized to
    10  exercise all powers of this act.
    11     (j)  Removal by court.--A conservator may be removed by the
    12  court at any time upon the request of the conservator or upon a
    13  showing by a party to the action that the conservator is not
    14  carrying out its responsibilities under this chapter.
    15  § 6133.  Powers and duties of conservator.
    16     (a)  Full powers and duties.--The conservator shall have all
    17  powers and duties necessary or desirable, from time to time, for
    18  the efficient operation, management and improvement of the
    19  building in order to bring it into compliance with all municipal
    20  building and housing code requirements and to fulfill the
    21  conservator's responsibilities under this chapter. Such powers
    22  and duties shall include, but not be limited to, the power to:
    23         (1)  Take possession and control of the building,
    24     appurtenant land and any personal property of the owner used
    25     with respect to the building, including any bank or operating
    26     account for the building.
    27         (2)  Collect outstanding accounts receivable.
    28         (3)  Pursue all claims or causes of action of the owner
    29     with respect to the building and all other property subject
    30     to the conservator.
    20080H2445B3609                 - 20 -     

     1         (4)  Contract for the repair and maintenance of the
     2     building. The contracts shall be appropriately documented and
     3     included in the reports and accounting which the conservator
     4     is required to submit or file under the provisions of this
     5     chapter.
     6         (5)  Borrow money and incur credit in accordance with
     7     section 6135 (relating to incurring indebtedness).
     8         (6)  Contract and pay for the maintenance and restoration
     9     of utilities to the building.
    10         (7)  Purchase materials, goods and supplies to accomplish
    11     repairs and operate the building.
    12         (8)  With the court's approval, enter into new rental
    13     contracts and leases for a period not to exceed one year.
    14         (9)  Affirm, renew or enter into contracts providing for
    15     insurance coverage on the building.
    16         (10)  Engage and pay legal, accounting, appraisal and
    17     other professionals to aid the conservator in the conduct of
    18     the conservatorship.
    19         (11)  Apply for and receive public grants or loans.
    20         (12)  Sell the building in accordance with section 6136
    21     (relating to sale of property).
    22         (13)  Exercise all authority that an owner of the
    23     building would have to improve, maintain and otherwise manage
    24     the building.
    25     (b)  Affirmative duty.--While in possession of the building,
    26  the conservator shall:
    27         (1)  Maintain, safeguard and insure the building.
    28         (2)  Apply all revenue generated from the building
    29     consistent with the provisions of this chapter.
    30         (3)  Develop a final plan for abatement of the conditions
    20080H2445B3609                 - 21 -     

     1     which caused the petition to be granted or, if no such
     2     feasible final plan can be developed, develop alternatives,
     3     including the closing, sealing or demolition of all or part
     4     of the building.
     5         (4)  Implement the final plan referred to under paragraph
     6     (3) upon approval by the court.
     7         (5)  Submit a status report to the court and parties to
     8     the action annually or more frequently as the court may deem
     9     appropriate. The status report shall include:
    10             (i)  A copy of any contract entered into by the
    11         conservator regarding the improvement of the building.
    12             (ii)  An account of the disposition of all revenue
    13         generated from the building.
    14             (iii)  An account of all expenses and improvements.
    15             (iv)  The status of developing and implementing the
    16         final plan pursuant to this subsection.
    17             (v)  A description of any proposed actions to be
    18         taken in the next six months to improve the building.
    19     (c)  Submission of final plan.--
    20         (1)  The final plan referred to under subsection (b)(3)
    21     shall be submitted to the court and to all parties to the
    22     action.
    23         (2)  After notice and an opportunity for a hearing, the
    24     court may amend the final plan.
    25     (d)  Accounting.--Upon the implementation of the final plan
    26  approved by the court, the conservator shall file with the court
    27  a full accounting of all income and expenditures during the
    28  period of time it took to implement the final plan.
    29  § 6134.  Ownership of property.
    30     (a)  Ownership interest of conservator.--A conservator
    20080H2445B3609                 - 22 -     

     1  appointed under section 6132 (relating to appointment of
     2  conservator) shall be deemed to have an ownership interest in
     3  and legal control of the property for the purposes of filing
     4  plans with public agencies and boards, seeking and obtaining
     5  construction permits and other approvals and submitting
     6  applications for financing or other assistance to public or
     7  private entities.
     8     (b)  Liability of owner.--Notwithstanding the appointment of
     9  a conservator under section 6132, nothing in this chapter shall
    10  be construed to relieve the owner of any civil or criminal
    11  liability or of any obligation to pay taxes, municipal liens and
    12  charges, mortgages, private liens or other fees or charges,
    13  whether incurred before or after the appointment of the
    14  conservator.
    15  § 6135.  Incurring indebtedness.
    16     (a)  Borrowing.--From time to time a conservator may borrow
    17  money or incur indebtedness in order to cover the cost of
    18  rehabilitation, improvement, preservation, insurance, management
    19  or operation of the building or to otherwise fulfill the
    20  conservator's obligations under this chapter.
    21     (b)  Liens.--In order to facilitate the borrowing of funds
    22  for the rehabilitation of the building, the court may grant a
    23  lien or security interest with priority over all other liens
    24  with the exception of municipal or other governmental liens,
    25  provided, however, that prior to granting a priority lien, the
    26  court has found that:
    27         (1)  The conservator sought to obtain the necessary
    28     financing from the senior lienholder, but the lienholder
    29     declined to provide financing on reasonable terms.
    30         (2)  Lien priority is necessary in order to induce
    20080H2445B3609                 - 23 -     

     1     another lender to provide financing on reasonable terms.
     2  § 6136.  Sale of property.
     3     (a)  Sale by owner or lienholder.--If a property subject to
     4  conservatorship is sold by the owner or foreclosed upon by a
     5  lienholder or if any interest in the property is transferred,
     6  such sale, foreclosure or transfer shall be subject to the
     7  conservatorship.
     8     (b)  Sale by conservator.--Upon application of the
     9  conservator, the court may order the sale of the property if the
    10  court finds that:
    11         (1)  Notice was given to each record owner of the
    12     building and each lienholder of record.
    13         (2)  The conservator has been in control of the building
    14     for more than six months and the owner has not successfully
    15     petitioned to terminate the conservatorship under section
    16     6137 (relating to termination of conservatorship).
    17     (c)  Sale free and clear.--
    18         (1)  The court may authorize the conservator to sell the
    19     building free and clear of all liens, claims and
    20     encumbrances, provided that the proceeds of the sale are
    21     distributed pursuant to subsection (d) at settlement.
    22         (2)  In the event that the proceeds of the sale are
    23     insufficient to pay all existing liens, claims and
    24     encumbrances, the proceeds shall be distributed according to
    25     the priorities set forth under subsection (d), and all unpaid
    26     liens, claims or encumbrances shall be extinguished.
    27     (d)  Distribution.--The proceeds of the sale shall be applied
    28  in accordance with the following priorities to:
    29         (1)  All court costs.
    30         (2)  Municipal or other governmental liens.
    20080H2445B3609                 - 24 -     

     1         (3)  Costs and expenses of sale.
     2         (4)  Principal and interest on any borrowing or
     3     incurrence of indebtedness granted priority over existing
     4     liens and security interest under section 6135(b) (relating
     5     to incurring indebtedness).
     6         (5)  Costs of rehabilitation and any fees and expenses
     7     incurred by the conservator in connection with the sale or
     8     the safeguarding, insuring or maintaining of the property.
     9         (6)  Valid liens and security interests in accordance
    10     with their priority.
    11         (7)  Any unpaid obligations of the conservator.
    12         (8)  Costs incurred by the petitioner in requesting the
    13     court to place the property in conservatorship.
    14         (9)  The owner.
    15  § 6137.  Termination of conservatorship.
    16     Upon request of a party in interest or the conservator, the
    17  court may order the termination of the conservatorship if it
    18  determines:
    19         (1)  the conditions that were the grounds for the
    20     petition and all other code violations have been abated or
    21     corrected, the obligations, expenses and improvements of the
    22     conservatorship, including all fees and expenses of the
    23     conservator, have been fully paid or provided for and the
    24     purposes of the conservatorship have been fulfilled;
    25         (2)  the owner, mortgagee or lienholder has requested the
    26     conservatorship be terminated and has provided adequate
    27     assurances to the court that the conditions that constituted
    28     grounds for the petition will be promptly abated, all
    29     obligations, expenses and improvements of the
    30     conservatorship, including all fees and expenses of the
    20080H2445B3609                 - 25 -     

     1     conservator, have been fully paid or provided for and the
     2     purposes of the conservatorship have been fulfilled;
     3         (3)  the building has been sold by the conservator and
     4     the proceeds distributed in accordance with section 6136(d)
     5     (relating to sale of property); or
     6         (4)  the conservator has been unable after diligent
     7     effort to present a plan that could be approved under section
     8     6133(b)(3) (relating to powers and duties of conservator) or
     9     implement a previously approved plan or, for any reason, the
    10     purposes of the conservatorship cannot be fulfilled.
    11                            SUBCHAPTER E
    12             STATE AND LOCAL GOVERNMENT PERMIT DENIALS
    13  Sec.
    14  6141.  State permit denials.
    15  6142.  Municipal permit denial.
    16  § 6141.  State permit denials.
    17     (a)  General rule.--A department, board or commission may
    18  deny an applicant a State permit, certification, license or
    19  approval for contemplated action requiring such approval, if the
    20  applicant owns any real property in this Commonwealth and any of
    21  the following apply:
    22         (1)  The applicant owns real property in a municipality
    23     for which taxes, water or sewer or refuse collection charges
    24     are delinquent.
    25         (2)  The applicant owns real property in this
    26     Commonwealth that has been determined to be in serious
    27     violation of applicable State or municipal housing, building,
    28     property maintenance or fire safety code requirements and has
    29     not taken substantial steps to bring the property into code
    30     compliance.
    20080H2445B3609                 - 26 -     

     1         (3)  The real property is in violation of an applicable
     2     State or municipal housing, building, property maintenance or
     3     fire safety code requirement and the property owner has taken
     4     no substantial steps to correct within 60 days following
     5     notification of the violation.
     6     (b)  Proof of compliance.--
     7         (1)  A State permit, certification, license or approval
     8     may be withheld until the applicant obtains a letter from the
     9     appropriate State agency, municipality or school district
    10     which indicates the following:
    11             (i)  The property in question is not presently tax
    12         delinquent or does not owe sewer, water or refuse
    13         collection charges.
    14             (ii)  The property in question is now in code
    15         compliance.
    16             (iii)  The property owner of the property in question
    17         has taken substantial steps to bring the property into
    18         code compliance.
    19         (2)  Letters required under this subsection shall be
    20     verified by the appropriate State officials before the
    21     official may issue the applicant a State permit,
    22     certification, license or approval.
    23     (c)  Availability of information.--Information contained in
    24  the property maintenance code violation report shall be subject
    25  to the provisions of the act of February 14, 2008 (P.L.  ,
    26  No.3), known as the Right-to-Know Law.
    27  § 6142.  Municipal permit denial.
    28     (a)  Denial.--A municipality may deny issuing to an applicant
    29  a building permit, zoning permit, zoning variance, municipal
    30  license, municipal permit or municipal approval for contemplated
    20080H2445B3609                 - 27 -     

     1  action that requires the approval of the municipality, if any of
     2  the following apply:
     3         (1)  The applicant owns real property in any municipality
     4     for which taxes or water, sewer or refuse collection charges
     5     are delinquent.
     6         (2)  The applicant owns any property in any municipality
     7     that has been determined to be in serious violation of
     8     applicable State or municipal housing, building, property
     9     maintenance or fire safety code requirements and has not
    10     taken substantial steps to bring the property into code
    11     compliance.
    12         (3)  The applicant owns any property in any municipality
    13     which is in violation of an applicable State or municipal
    14     housing, building, property maintenance or fire safety code
    15     requirement and has taken no substantial steps to correct the
    16     violation within six months following notification of the
    17     violation.
    18     (b)  Proof of compliance.--
    19         (1)  All municipal variances, approvals, permits or
    20     licenses may be withheld until an applicant obtains a letter
    21     from the appropriate State agency, municipality or school
    22     district indicating the following:
    23             (i)  The property in question is not presently tax
    24         delinquent.
    25             (ii)  The property in question is now in code
    26         compliance.
    27             (iii)  The owner of the property in question has
    28         taken substantial steps to bring the property into code
    29         compliance.
    30         (2)  Letters required under this subsection shall be
    20080H2445B3609                 - 28 -     

     1     verified by the appropriate municipal officials before
     2     issuing to the applicant a municipal variance, approval,
     3     permit or license.
     4                            SUBCHAPTER F
     5                STATE BLIGHT DATA COLLECTION SYSTEM
     6  Sec.
     7  6151.  Property Maintenance Code Violations Registry.
     8  6152.  Property maintenance code violation reports.
     9  6153.  Dissemination of information by department.
    10  6154.  Expungement.
    11  6155.  Administrative requirements.
    12  6156.  Audit.
    13  6157.  Imposition of surcharge.
    14  § 6151.  Property Maintenance Code Violations Registry.
    15     (a)  Establishment.--The Property Maintenance Code Violations
    16  Registry is hereby established. The department shall implement
    17  and administer the registry.
    18     (b)  Purpose.--The registry shall contain property
    19  maintenance code violation reports filed by municipalities under
    20  section 6152 (relating to property maintenance code violation
    21  reports).
    22  § 6152.  Property maintenance code violation reports.
    23     (a)  Municipalities to file.--A municipality shall file a
    24  property maintenance code violation report for any person who
    25  owns real property within that municipality with current
    26  property maintenance code violations that have gone unabated for
    27  90 days or more.
    28     (b)  Forms provided.--Property maintenance code violation
    29  reports may be made on forms provided by the department or may
    30  be made electronically.
    20080H2445B3609                 - 29 -     

     1     (c)  Information included.--Property maintenance code
     2  violation reports shall include the following information:
     3         (1)  The name of the convicted property maintenance code
     4     violator.
     5         (2)  Where owned by a corporation, the information on
     6     record at the Department of Transportation in connection with
     7     the individual drivers' licenses for each officer of the
     8     corporation.
     9         (3)  The legal description of the real property which is
    10     in violation of the municipal property maintenance code.
    11         (4)  A description of the condition of the real property
    12     which resulted in the property maintenance code violation.
    13         (5)  The date of the original property maintenance code
    14     violation.
    15         (6)  The amount of penalties owed or liens attached to
    16     the property with maintenance code violations.
    17         (7)  The name of the municipality filing the report.
    18     (d)  Duty of municipality.--A municipality that files a
    19  property maintenance code violation report shall follow the
    20  guidelines for expungement under section 6154 (relating to
    21  expungement).
    22  § 6153.  Dissemination of information by department.
    23     (a)  Availability of information.--Information contained in
    24  the property maintenance code violation report shall be subject
    25  to the provisions of the act of February 14, 2008 (P.L.  ,
    26  No.3), known as the Right-to-Know Law.
    27     (b)  Requests by municipalities.--
    28         (1)  Municipalities may request a copy of a property
    29     maintenance code violation report on any pending applicant
    30     for a municipal permit by submitting a property maintenance
    20080H2445B3609                 - 30 -     

     1     code violation report request form to the department or
     2     requesting the form electronically.
     3         (2)  The department shall disseminate all property
     4     maintenance code violation reports relating to a municipal
     5     permit applicant to the requesting municipality within two
     6     weeks of receipt of a property maintenance code violation
     7     report request from that municipality.
     8         (3)  The municipality shall notify an applicant in
     9     writing of the reasons for a decision which denies the
    10     applicant a municipal permit if the decision is based in
    11     whole or in part on information contained in the Property
    12     Maintenance Code Violations Registry.
    13     (c)  Requests by Commonwealth.--
    14         (1)  Commonwealth agencies may request a copy of any
    15     property maintenance code violation report on any pending
    16     applicant for licensing or certification by submitting a
    17     property maintenance code violation report request form to
    18     the department or requesting the form electronically.
    19         (2)  The department shall disseminate all property
    20     maintenance code violation reports relating to a State
    21     license or certification applicant to a requesting
    22     Commonwealth agency within two weeks of receipt of a property
    23     maintenance code violation report request from the agency.
    24         (3)  The Commonwealth agency shall notify an applicant in
    25     writing of the reasons for a decision which denies the
    26     licensing or certification requested by that applicant if the
    27     decision is based in whole or in part on information
    28     contained in the Property Maintenance Code Violations
    29     Registry.
    30     (d)  Hearing.--If requested by an applicant, a hearing shall
    20080H2445B3609                 - 31 -     

     1  be scheduled to appeal a decision made as a result of municipal
     2  property maintenance code violation convictions under subsection
     3  (b)(3) or (c)(3). If the applicant can show cause why the
     4  municipal property maintenance code violation convictions should
     5  not be considered, the State shall reevaluate any request by the
     6  applicant for a State license or certification, and the
     7  municipality shall likewise reevaluate any request by the
     8  applicant for a municipal permit.
     9     (e)  Record of dissemination.--The department shall maintain
    10  a listing of Commonwealth agencies and all municipalities that
    11  have requested information on a particular real property owner
    12  and the date on which the information was disseminated. This
    13  listing shall be maintained separate from the registry.
    14     (f)  Fee.--There shall be no fee assessed for the
    15  dissemination of property maintenance code violation
    16  information.
    17  § 6154.  Expungement.
    18     A municipality that files a report with the department shall
    19  subsequently notify the department when the real property is
    20  brought into code compliance. Upon notification by the
    21  municipality, the department shall include the information as
    22  part of the official record for the specific property and
    23  violator.
    24  § 6155.  Administrative requirements.
    25     (a)  Regulations.--The department shall establish procedures
    26  for the completeness and accuracy of information in the registry
    27  and shall promulgate the regulations necessary to carry out its
    28  duty of maintaining the registry.
    29     (b)  Forms.--The department shall develop property
    30  maintenance code violation report forms and property maintenance
    20080H2445B3609                 - 32 -     

     1  code violation report request forms, as well as procedures to
     2  obtain the information electronically.
     3     (c)  Security requirements.--The department shall ensure the
     4  confidentiality and security of the information contained in the
     5  registry by providing that:
     6         (1)  Procedures have been instituted to reasonably
     7     protect the registry from theft, fire, sabotage, flood, wind
     8     or other natural or manmade disasters.
     9         (2)  All personnel authorized to have access to registry
    10     information are selected, supervised and trained accordingly.
    11  § 6156.  Audit.
    12     (a)  Duty of Auditor General.--The Auditor General shall
    13  conduct annual performance audits of registry operations.
    14     (b)  Access to records.--The department shall provide
    15  auditors with access to all records, reports and listings
    16  required to conduct an audit of property maintenance code
    17  violations record information. Persons having supervision of or
    18  authorized to receive registry information shall cooperate with
    19  auditors and provide requested information.
    20     (c)  Contents of audit.--The audit shall report in writing
    21  any deficiencies and any recommendations for correcting the
    22  deficiencies. The department shall respond to the audit
    23  recommendations within a reasonable period of time unless the
    24  audit report is appealed to the Auditor General and the appeal
    25  is upheld.
    26     (d)  Modification of recommendations.--Upon appeal of the
    27  audit recommendations by the department, the Auditor General may
    28  modify corrective measures recommended by auditors.
    29  § 6157.  Imposition of surcharge.
    30     There is imposed on each property owner who is in violation
    20080H2445B3609                 - 33 -     

     1  of a municipal property maintenance code a surcharge in the
     2  amount of $100 for each municipal property maintenance code
     3  violation. This surcharge shall be in addition to any other
     4  applicable fees or charges lawfully collected by the
     5  municipality and court. The municipality shall collect the
     6  surcharge and remit all funds to the department on a quarterly
     7  basis. Funds generated by the surcharge shall be used to finance
     8  the Statewide implementation of the Property Maintenance Code
     9  Violations Registry and to conduct training of the judiciary in
    10  accordance with section 6192 (relating to education and training
    11  programs for judges).
    12                            SUBCHAPTER G
    13                               GRANTS
    14  Sec.
    15  6161.  Municipal Code Enforcement Grant Program.
    16  6162.  Regulations.
    17  § 6161.  Municipal Code Enforcement Grant Program.
    18     (a)  Establishment.--The department shall issue grants to
    19  eligible municipalities for the purpose of reducing blighted
    20  property conditions.
    21     (b)  Purpose.--The purpose of the Municipal Code Enforcement
    22  Grant Program is to encourage the establishment of special code
    23  enforcement programs to address blighted property and the hiring
    24  and training of code enforcement personnel in those
    25  municipalities with an existing code enforcement program.
    26     (c)  Eligibility.--In order to receive a grant under this
    27  subchapter, a municipality must submit an application to the
    28  department and satisfy the eligibility criteria established by
    29  the department.
    30     (d)  Matching funds.--A municipality shall provide its own
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     1  funds or in-kind contributions, approved by the department as
     2  determined by regulations promulgated by the department under
     3  section 6162 (relating to regulations) equal to the amount of
     4  the grant provided and shall dedicate and expend those funds for
     5  the purpose for which the grant was awarded.
     6     (e)  Limitation.--Grants provided under this section shall
     7  not be provided to the same recipient for more than three
     8  consecutive years.
     9  § 6162.  Regulations.
    10     Within 90 days following the effective date of this
    11  subchapter, the department shall promulgate rules and
    12  regulations to carry out the provisions of this subchapter. The
    13  regulations to implement section 6161(b) (relating to Municipal
    14  Code Enforcement Grant Program) may include, but not be limited
    15  to:
    16         (1)  The age of the existing housing in the municipality.
    17         (2)  The municipality's existing tax base.
    18         (3)  The existing financial condition of the
    19     municipality.
    20                            SUBCHAPTER H
    21             SALE OF BLIGHTED AND ABANDONED PROPERTIES
    22  Sec.
    23  6165.  Applicability.
    24  6166.  Tax sales.
    25  6167.  Requirements for purchaser of abandoned property.
    26  § 6165.  Applicability.
    27     The provisions of this subchapter shall be in addition to the
    28  provisions of the act of July 7, 1947 (P.L.1368, No.542), known
    29  as the Real Estate Tax Sale Law. If there is a conflicting
    30  provision, this subchapter and not the Real Estate Tax Sale Law
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     1  shall prevail where the tax sale affects blighted or abandoned
     2  property.
     3  § 6166.  Tax sales.
     4     (a)  Publication of tax sale properties.--At least 60 days
     5  prior to the date scheduled for a tax sale, the county shall
     6  make public a list of properties to be offered at the sale. The
     7  county shall provide a copy of the list to the mayor, or
     8  comparable municipal official, of any municipality in which
     9  property scheduled for sale is located.
    10     (b)  Notification about abandoned properties.--Within 30 days
    11  following receipt of the list, the municipality shall notify the
    12  county of any properties within its jurisdiction which are
    13  abandoned properties. Not less than 15 days prior to the
    14  scheduled tax sale, the county shall make public a revised list
    15  of properties to be offered for sale indicating which are
    16  abandoned.
    17  § 6167.  Requirements for purchaser of abandoned property.
    18     In addition to requirements under the act of May 16, 1923
    19  (P.L.207, No.153), referred to as the Municipal Claim and Tax
    20  Lien Law, the act of July 7, 1947 (P.L.1368, No.542), known as
    21  the Real Estate Tax Sale Law, or the act of October 11, 1984
    22  (P.L.876, No.171), known as the Second Class City Treasurer's
    23  Sale and Collection Act, a purchaser of an abandoned property
    24  shall:
    25         (1)  Enter into a redevelopment agreement with the
    26     municipality in which the property is located, obligating the
    27     purchaser to redevelop the property in accordance with all
    28     municipal codes and any officially adopted plans for the
    29     geographic area in which the property is located. The
    30     redevelopment agreement shall include, at a minimum:
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     1             (i)  A specified time by which the redevelopment must
     2         be completed, which time shall not be less than 12
     3         months.
     4             (ii)  A description of the redevelopment work to be
     5         completed.
     6             (iii)   Remedies for noncompliance, including the
     7         right of the municipality to acquire title to the
     8         property if the redevelopment is not completed by the
     9         agreed-upon date.
    10         (2)  Post a bond to ensure compliance with the
    11     redevelopment agreement, naming the municipality as the
    12     beneficiary.
    13                            SUBCHAPTER I
    14                      MISCELLANEOUS PROVISIONS
    15  Sec.
    16  6191.  Unfair insurance practices.
    17  6192.  Education and training programs for judges.
    18  6193.  County housing courts.
    19  § 6191.  Unfair insurance practices.
    20     In addition to the provisions of section 5 of the act of July
    21  22, 1974 (P.L.589, No.205), known as the Unfair Insurance
    22  Practices Act, the act of refusing to issue or renew an
    23  insurance policy on real property on the basis of the condition
    24  of surrounding properties or because surrounding properties are
    25  unoccupied is prohibited as an unfair method of competition and
    26  unfair insurance practices.
    27  § 6192.  Education and training programs for judges.
    28     Funds provided under section 6157 (relating to imposition of
    29  surcharge) shall be used to develop and implement annual and
    30  ongoing education and training programs for judges, including
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     1  magisterial district judges, regarding the laws of this
     2  Commonwealth relating to blighted and abandoned property and the
     3  economic impact that blighted and abandoned properties have upon
     4  municipalities. The education and training programs shall
     5  include, but not be limited to:
     6         (1)  The importance and connection of municipal housing
     7     code violations and crime.
     8         (2)  Time-in-fact violations as they relate to property
     9     maintenance code violations.
    10         (3)  Conduct of witnesses in prosecuting property
    11     maintenance code violations.
    12         (4)  Limiting continuances in property maintenance code
    13     violations.
    14         (5)  Use of indigency hearings in the prosecution of
    15     property maintenance code violations.
    16  § 6193.  County housing courts.
    17     Upon a request or approval of a resolution by the county
    18  commissioners, the president judge of a county may establish a
    19  housing court to hear and decide matters arising under this
    20  chapter and other laws relating to real property matters.
    21     Section 2.  This act shall take effect in 90 days.






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