THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY FAIRCHILD, BEAR, BELFANTI, BRADFORD, CALTAGIRONE, CARROLL, CAUSER, CLYMER, CREIGHTON, DeWEESE, EVERETT, FLECK, GABLER, GEIST, GIBBONS, GODSHALL, GRELL, GROVE, HALUSKA, HARHAI, HARHART, HARKINS, HARRIS, HENNESSEY, HESS, HICKERNELL, M. KELLER, KNOWLES, KULA, MAJOR, MARSHALL, MARSICO, MICOZZIE, MILLARD, MILLER, MOUL, MURT, OBERLANDER, O'NEILL, PICKETT, RAPP, REED, SAYLOR, SIPTROTH, SOLOBAY, SONNEY, STERN, TALLMAN, TRUE, VULAKOVICH, WATSON, YUDICHAK, SWANGER, BEYER AND GINGRICH, MARCH 12, 2010

REFERRED TO COMMITTEE ON VETERANS AFFAIRS AND EMERGENCY PREPAREDNESS, MARCH 12, 2010  

AN ACT

Amending Titles 4 (Amusements), 18 (Crimes and Offenses) and 35

(Health and Safety) of the Pennsylvania Consolidated

Statutes, consolidating statutory provisions relating to

firefighters, the State Fire Commissioner and grants to fire

companies and other services; making editorial changes; and

making related repeals.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Section 1408(b) of Title 4 of the Pennsylvania

Consolidated Statutes is amended to read:

§ 1408.  Transfers from State Gaming Fund.

* * *

(b)  Transfer for Volunteer Fire Company Grant Program.--

Annually, the sum of $25,000,000 shall be transferred from the

State Gaming Fund to the Volunteer Fire Company Grant Program

established under [the act of July 31, 2003 (P.L.73, No.17),

known as the Volunteer Fire Company and Volunteer Ambulance

Service Grant Act] 35 Pa.C.S. Ch. 78 (relating to grants to

volunteer fire companies and volunteer services).

* * *

Section 2.  Section 3301(h.1) of Title 18 is amended to read:

§ 3301.  Arson and related offenses.

* * *

[(h.1)  Prohibition on certain service.--A person convicted

of violating this section or any similar offense under Federal

or State law shall be prohibited from serving as a firefighter

in this Commonwealth and shall be prohibited from being

certified as a firefighter under section 4 of the act of

November 13, 1995 (P.L.604, No.61), known as the State Fire

Commissioner Act. Proof of nonconviction must consist of either

of the following:

(1)  An official criminal history record check obtained

pursuant to Chapter 91 (relating to criminal history record

information) indicating no arson convictions.

(2)  A dated and signed statement by the person swearing

to the following:

I have never been convicted of an offense that

constitutes the crime of "arson and related offenses" under

18 Pa.C.S. § 3301 or any similar offense under any Federal or

State law. I hereby certify that the statements contained

herein are true and correct to the best of my knowledge and

belief. I understand that if I knowingly make any false

statement herein, I am subject to penalties prescribed by

law, including, but not limited to, a fine of at least

$1,000.]

* * *

Section 3.  Chapter 73 of Title 35 is amended by adding

subchapters to read:

SUBCHAPTER D

STATE FIREMEN'S TRAINING SCHOOL

Sec.

7351.  Establishment, purpose and name.

7352.  Supervision and control.

7353.  Powers and duties.

7354.  Persons admitted.

7355.  Application for admission.

7356.  Acquisition of site.

7357.  Conveyance of land and plans for buildings and

structures.

7358.  Leasing by Commonwealth.

§ 7351.  Establishment, purpose and name.

In order to enable the Department of Education more

effectively to train firefighters under the program of the

Public Service Institute Board established by the department

under its vocational education program, there is hereby

established a training school for firefighters for practical

training in the control and extinguishment of fires. The

training school shall be known as The Pennsylvania State

Firemen's Training School.

§ 7352.  Supervision and control.

The management of the school and the control and care of the

buildings and grounds owned and used by the Commonwealth for the

school and the conduct of instruction at the school shall be

under the direct supervision and control of the Department of

Education.

§ 7353.  Powers and duties.

The Department of Education and the Public Service Institute

Board shall have the power and their duty shall be:

(1)  To fix the salaries of the employees of the school

in conformity with the standards established by the Executive

Board.

(2)  To make rules and regulations for the government and

management of the school and the admission of firefighters

from the various political subdivisions to the school.

(3)  To prescribe the courses of study and the practical

training in connection therewith.

(4)  To accept on behalf of the Commonwealth donations of

land or equipment for the use of the school.

§ 7354.  Persons admitted.

All firefighters who are regularly employed by any local

political subdivision of this Commonwealth and all regularly

enrolled members of volunteer fire companies shall be eligible

for admission to the school and shall be chosen by the governing

authority of each political subdivision. The Public Service

Institute Board shall apportion the number admitted to the

school so that each county is represented in the ratio that the

number of firefighters in each county bears to the total number

of firefighters in this Commonwealth.

§ 7355.  Application for admission.

Application for admission shall be made to the Public Service

Institute Board by the political subdivisions in the manner

prescribed by the board.

§ 7356.  Acquisition of site.

The Secretary of Education, with the approval of the

Governor, may accept a gift of land suitable as a site for the

school or, if no gift of a suitable site is offered, the

secretary shall, with the approval of the Governor, select for

acquisition by the Department of General Services in the name of

the Commonwealth, a tract of land located in or adjacent to the

borough of Lewistown for the erection, construction, furnishing

and equipping thereon by Department of General Services of the

Pennsylvania State Firemen's Training School. The title to the

lands so acquired, whether by gift or otherwise, shall be

approved by the Attorney General. If it shall be found that the

Commonwealth owns State lands suitable in whole or in part for

such use, the lands may be designated by the Department of

Education, with the approval of the Governor and the department,

board or commission having possession and control of the lands,

and used for such purpose. Any additional lands necessary may be

selected and acquired as herein provided.

§ 7357.  Conveyance of land and plans for buildings and

structures.

Upon the acquisition of any land in the name of the

Commonwealth or designation of any land of the Commonwealth, the

Department of General Services shall have the authority to erect

or construct and furnish and equip thereon the buildings and

other structures necessary for the Pennsylvania State Firemen's

Training School. The plans and specifications of the school,

whether erected on land acquired directly by Department of

General Services or by conveyance to it from the Commonwealth,

shall be subject to the approval of the Department of Education

and shall provide for suitable buildings and other necessary

equipment, structures and improvements.

§ 7358.  Leasing by Commonwealth.

The Department of General Services, with the approval of the

Governor, is authorized to enter into a lease for not more than

99 years to acquire the use of the buildings and structures and

any lands connected therewith and the furnishings and equipment

thereof for the purpose of having the same managed and operated

by the Department of Education.

SUBCHAPTER E

VOLUNTEER FIRE COMPANY, AMBULANCE SERVICE

AND RESCUE SQUAD ASSISTANCE

Sec.

7361.  Scope of subchapter.

7362.  Legislative findings and declaration of purpose.

7363.  Definitions.

7364.  Assistance to volunteer fire companies, ambulance

services and rescue squads.

7365.  Volunteer Companies Loan Fund.

7366.  Powers and duties of agency.

7367.  Authority to borrow.

7368.  Bonds, issue, maturity and interest.

7369.  Sale of bonds.

7370.  Refunding bonds.

7371.  Disposition and use of proceeds.

7372.  Registration of bonds.

7373.  Information to General Assembly.

7374.  Volunteer Company Loan Sinking Fund and investments.

7375.  Expenses of preparation, issue and sale of bonds.

7376.  Repayment obligations for principal and interest.

7377.  Quorum.

7378.  Temporary financing authorization.

7378.1.  Referendum for additional indebtedness.

7378.2.  Authorization of contracts, reimbursement procedure and

amount.

7378.3.  Reimbursement procedure and amount.

§ 7361.  Scope of subchapter.

This subchapter relates to volunteer fire company, ambulance

service and rescue squad assistance.

§ 7362.  Legislative findings and declaration of purpose.

(a)  Findings.--The General Assembly finds that:

(1)  Under the provisions of section 7(a)(3) of Article

VIII of the Constitution of Pennsylvania, the voters of the

Commonwealth approved by referenda on November 4, 1975, the

incurring of indebtedness of $10,000,000 and on November 3,

1981, approved the incurring of an additional $15,000,000 of

indebtedness and on November 6, 1990, approved the incurring

of an additional $25,000,000 of indebtedness for loans to

volunteer fire companies, volunteer ambulance services and

volunteer rescue squads for the purpose of establishing or

modernizing facilities to house fire fighting apparatus

equipment, ambulances and rescue vehicles, and for purchasing

new fire fighting apparatus equipment, ambulances and rescue

vehicles, protective and communications equipment, and any

other accessory equipment necessary for the proper

performance of such organizations' duties.

(2)  Under the provisions of section 7(a)(3) of Article

VIII of the Constitution of Pennsylvania, on November 5,

2002, the voters of this Commonwealth approved by referendum

the incurring of indebtedness for the establishment of a

program that utilizes capital and other related methods to

enhance and improve the delivery of volunteer fire and

volunteer emergency services in this Commonwealth. The

General Assembly further finds that the use of up to

$50,000,000 of such indebtedness to expand the existing

program providing for loans to volunteer fire companies,

volunteer ambulance services and volunteer rescue squads as

authorized under this subchapter is an appropriate use of

such indebtedness.

(b)  Purpose.--It is the purpose of this subchapter to

implement section 5 of the act of September 25, 1975 (P.L.296,

No.95), entitled "An act authorizing the indebtedness, with the

approval of the electors, of ten million dollars for loans to

volunteer fire companies, volunteer ambulance services and

volunteer rescue squads for the purpose of establishing or

modernizing facilities to house fire fighting apparatus

equipment, ambulances, and rescue vehicles, and for purchasing

new fire fighting apparatus equipment, ambulances, and rescue

vehicles, protective and communications equipment, and any other

accessory equipment necessary for the proper performance of such

organizations' duties"; section 5 of the act of June 30, 1981

(P.L.138, No.44), entitled "An act authorizing the indebtedness,

with the approval of the electors, of $15,000,000 for loans to

volunteer fire companies, volunteer ambulance services and

volunteer rescue squads for the purpose of establishing or

modernizing facilities to house firefighting apparatus

equipment, ambulances, and rescue vehicles, and for purchasing

firefighting apparatus equipment, ambulances, and rescue

vehicles, protective and communications equipment, and any other

accessory equipment necessary for the proper performance of such

organizations' duties," and section 7378.1(5) (relating to

referendum for additional indebtedness); as well as implement in

part section 31.3 of the act of June 29, 2002 (P.L.559, No.89),

entitled "An act amending the act of March 4, 1971 (P.L.6,

No.2), entitled 'An act relating to tax reform and State

taxation by codifying and enumerating certain subjects of

taxation and imposing taxes thereon; providing procedures for

the payment, collection, administration and enforcement thereof;

providing for tax credits in certain cases; conferring powers

and imposing duties upon the Department of Revenue, certain

employers, fiduciaries, individuals, persons, corporations and

other entities; prescribing crimes, offenses and penalties,'

further providing, in sales and use tax, for definitions, for

imposition, for exclusions, for licenses, for collection, for

bulk and auction sales and for crimes; providing, in local tax

situs, for situs of mobile telecommunications services; further

providing, in personal income tax, for definitions, for classes

of income, for special tax provisions for poverty, for

contributions, for bulk and auction sales and transfers; in

corporate net income tax, for definitions, for imposition and

for interest in unincorporated entities; and in capital stock

and franchise tax, for definitions, for imposition, for deposit

of proceeds, for interest in unincorporated entities and for

applicability and expiration; establishing revenue-neutral

reconciliation in utilities gross receipts tax; providing, in

public utility realty tax and for surcharge; further providing,

in realty transfer tax, for furnishing stamps; in cigarette tax,

for incidence and rate, for floor tax, for commissions on sales

and for disposition of certain funds; in research and

development tax credit, for time limitations and for

termination; in inheritance tax, for definitions, for transfers

not subject to tax and for estate tax and for estate tax

returns; providing for immediate assessment, settlement or

collection and for depreciation of certain property in cities of

the first class; and making repeals," by providing for loans to

volunteer fire, ambulance and rescue companies to protect the

lives and property of the citizens of this Commonwealth pursuant

to and to execute the above favorable referenda in subsection

(a). The General Assembly has determined that volunteer fire

companies are most in need of loans and therefore intends that,

to the extent possible, a significant portion of the Volunteer

Companies Loan Fund be used to provide loans to volunteer fire

companies and that the balance be allocated to provide loans to

volunteer ambulance and volunteer rescue companies. The General

Assembly intends that the loans provided under this subchapter

be used to replace outmoded or unsafe equipment and buildings of

volunteer companies and that the loans be provided to volunteer

companies which are experiencing a need for equipment or

facilities to meet an increasing demand for a higher level of

service in the communities which they serve.

§ 7363.  Definitions.

The following words and phrases when used in this subchapter

shall have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Accessory equipment."  Fire fighting, ambulance and rescue

equipment necessary to carry out the ordinary functions of

supporting fires, life and rescue activities.

"Agency."  The Pennsylvania Emergency Management Agency.

"Apparatus equipment."  Elevated equipment, pumpers, tankers,

ladder trucks, utility or special service vehicles, ambulances,

rescue vehicles or other large equipment used for fire fighting

and emergency services.

"Communications equipment."  Any voice or original

transmission system required to support the operation of the

volunteer fire company, volunteer ambulance service and

volunteer rescue squad.

"Establishing."  In the context of establishing or

modernizing facilities, the term means both the construction of

new buildings and the acquisition or renovation of existing

structures.

"Facilities."  Facilities used to house fire fighting

equipment, ambulances and rescue vehicles. The term shall not

include meeting halls, social rooms or any other facilities not

directly related to fire fighting.

"National Fire Protection Association (NFPA) standards."

Apparatus and equipment, including personal protective

equipment, shall be deemed to meet the requirements of

compliance with the applicable standards of the National Fire

Protection Association (NFPA), except that:

(1)  New apparatus shall be constructed to meet or exceed

the standards in effect at the time of manufacture.

(2)  Used fire fighting apparatus shall:

(i)  in no instance meet lesser requirements than the

standards for apparatus adopted by the National Fire

Protection Association in 1991; and

(ii)  beginning June 25, 1999, meet the National Fire

Protection Association standards for apparatus in effect

at the time of original manufacture, except that no loans

shall be considered or made for apparatus that cannot

meet the National Fire Protection Association standards

in effect no more than 12 years prior to the date of the

application for loan financing.

(3)  New equipment shall meet or exceed the standards in

effect at the time of original manufacture.

(4)  Used equipment shall meet or exceed the standards in

effect at the time of original manufacture, except that no

loans for used equipment shall be considered or made for

equipment more than five years old at the time of application

for loan assistance.

(5)  In every instance, used equipment and apparatus

shall meet the applicable National Fire Protection

Association standards at the time that the loan funds are

advanced.

"Protective equipment."  Any equipment used by fire fighters,

volunteer ambulance service personnel or volunteer rescue

service personnel to protect their person from injury while

performing their functions, including, but not limited to,

helmets, turnout coats and pants, boots, eyeshields, gloves and

self-contained respiratory protection units.

"Rescue vehicle."  Any vehicle, whether a motor vehicle or a

watercraft, used for rescue services.

"Utility or special service vehicle."  A vehicle carrying

accessory equipment, including, but not limited to, ladders,

oxygen equipment, generators and adaptors, floodlights, smoke

ejectors and other equipment necessary to perform the ordinary

functions of supporting fire fighting activities.

"Volunteer ambulance service."  Any nonprofit chartered

corporation, association or organization located in this

Commonwealth and which is regularly engaged in the service of

providing emergency medical care and transportation of patients.

"Volunteer fire company."  Any nonprofit chartered

corporation, association or organization located in this

Commonwealth which provides fire protection services and other

voluntary emergency services within this Commonwealth. Voluntary

emergency services provided by a volunteer fire company may

include voluntary ambulance and voluntary rescue services.

"Volunteer rescue service."  Any nonprofit chartered

corporation, association or organization located in this

Commonwealth which provides rescue services in this

Commonwealth.

"Volunteer Companies Loan Fund."  The fund established under

section 7365 (relating to Volunteer Companies Loan Fund).

§ 7364.  Assistance to volunteer fire companies, ambulance

service and rescue squads.

(a)  General rule.--The agency is authorized, upon

application of any volunteer fire company, volunteer ambulance

service or volunteer rescue squad, to make loans for the

following purposes:

(1)  Establishing or modernizing facilities that house

fire fighting equipment, ambulance or rescue vehicles. The

amount of a loan for establishing or modernizing facilities

made to any one volunteer fire company, ambulance service or

rescue squad shall not exceed 50% of the total cost of the

facilities or modernization or $200,000, whichever is less,

and a notarized financial statement filed under subsection

(c) shall show that the applicant has available 20% of the

total cost of the facilities in unobligated funds. Proceeds

of the loan shall be used only for purposes of structure or

land acquisition or renovation or construction and shall not

be used for payment of fees for design, planning, preparation

of applications or any other cost not directly attributable

to structure or land acquisition or renovation or

construction.

(2)  Purchasing fire fighting apparatus, ambulances or

rescue vehicles. The amount of a loan made for purchasing

fire fighting apparatus to any one volunteer fire company

shall not exceed $100,000 for any single fire fighting

apparatus equipment or utility or special service vehicle or

heavy duty rescue vehicle as defined by regulation, or 50% of

the total cost of the equipment or vehicle, whichever is

less, except for loans for aerial apparatus as defined by

regulation, which shall not exceed $150,000. The amount of a

loan made to any one volunteer fire company, ambulance

service or rescue squad for any ambulance or light duty

rescue vehicle as defined by regulation shall not exceed

$50,000 and for a watercraft rescue vehicle shall not exceed

$15,000 or 50% of the cost of the ambulance or rescue

vehicle, whichever is less, and a notarized financial

statement filed under subsection (c) shall show that the

applicant has available 20% of the total cost of the vehicle

in unobligated funds.

(3)  Purchasing protective, accessory or communication

equipment. No volunteer fire company, ambulance service or

rescue squad shall receive a loan for protective, accessory

or communicative equipment more than once in any five-year

period. Each volunteer fire company, ambulance service or

rescue squad may apply for a loan for a mobile and portable

radio unit for each existing serviceable apparatus equipment,

ambulance or rescue vehicle. Radio equipment obtained through

loans under this subchapter shall be equipped with a

frequency or frequencies licensed by the Federal

Communications Commission for fire fighting or emergency

response purposes. A notarized financial statement shall be

filed and loans under this subchapter for the purchase of

protective, accessory or communicative equipment shall not

exceed $10,000.

(4)  Refinancing debt incurred or contracts entered into

after November 4, 1975, and used for the purchase of

apparatus equipment or for the construction or modernization

of facilities or for modification of apparatus equipment in

order to comply with National Fire Protection Association

standards.

(5)  Repair or rehabilitation of apparatus equipment.

Where it has been determined that existing apparatus

equipment no longer meets the standards of the National Fire

Protection Association, and the repair or rehabilitation of

such equipment will bring it in compliance with National Fire

Protection Association standards, loans for the repair or

rehabilitation for a single apparatus equipment shall be for

at least $1,000 but shall not exceed the lesser of $35,000 or

80% of the total cost of repair or rehabilitation.

(6)  Purchasing of used fire fighting apparatus,

equipment, used ambulances, used rescue vehicles, used

communications equipment, used accessory equipment or used

protective equipment, except that the used vehicles and

equipment shall meet the National Fire Protection Association

(NFPA) standards and loans for the purchase of a used single

apparatus equipment shall not exceed $60,000 or 80% of the

total cost of the equipment, whichever is less.

(7)  Purchasing Pennsylvania Fire Information Reporting

System (PennFIRS) hardware and software. A volunteer fire

company shall be eligible to apply one time only for a loan

of not more than $2,000 or 75% of the cost of such

acquisition, whichever is less, and with a term not exceeding

five years for the purpose of acquiring the hardware and

software necessary to participate in the Pennsylvania Fire

Information Reporting System. The Office of the State Fire

Commissioner shall develop, at its discretion, such

procedures and forms as it may deem necessary to facilitate

loans for PennFIRS hardware and software. The loans shall be

secured as required by law.

(a.1)  Limitation.--Loans under this subchapter may be made

for any of the purposes of subsection (a) undertaken by a

volunteer fire company, volunteer ambulance service and

volunteer rescue squad on or after November 4, 1975.

(b)  Loans.--Loans made by the agency in the amount of

$15,000 or less shall be for a period of not more than five

years. Loans in excess of $15,000 but for $50,000 or less shall

be for a period of not more than ten years. The payback period

of any loan in excess of $50,000, except a loan for establishing

or modernizing facilities, shall not exceed 15 years. The

payback period for any loan in excess of $100,000 for

establishing or modernizing facilities shall not exceed 20

years. Loans shall be subject to the payment of interest at 2%

per year and shall be subject to such security as shall be

determined by the agency. The total amount of interest earned by

the investment or reinvestment of all or any part of the

principal of any loan shall be returned to the agency and

transferred to the Volunteer Companies Loan Fund and shall not

be credited as payment of principal or interest on the loan.

Except as provided in subsection (a)(5) and (7), the minimum

amount of any loan shall be $5,000.

(c)  Applications.--Every application for a loan shall be

accompanied by a notarized financial statement of the volunteer

fire company, ambulance service or rescue squad and a financial

plan to show the amount of assets and projected revenues for the

repayment of the loan, any other obligations of the volunteer

company and operating expenses over the period of the loan.

Every application shall be accompanied by evidence sufficient to

show that all costs except the amount of the loan have been

obtained by assets of the volunteer company and other loans or

sources of revenue. If a volunteer fire company, ambulance

service or rescue squad is unable to meet the 20% requirement of

subsection (a), then a political subdivision which is served by

the volunteer company may pledge its credit in the amount of

funds necessary to satisfy the 20% requirement and, if it does

so, shall cosign the application submitted by the volunteer

company.

(d)  Use.--Loans shall be used for the acquisition by

volunteer companies of new or used apparatus equipment, new or

used ambulances, new or used rescue vehicles, new or used

communications equipment, new or used accessory equipment or new

or used protective equipment or for the acquisition and

renovation of existing structures to house fire fighting

equipment, ambulance or rescue vehicles or for the construction

or modernization of facilities and, except as provided in

subsection (a)(4), shall not be used for operating expenses or

for the refinancing of renovated structures, refinancing of

construction or modernization of facilities, apparatus

equipment, communication equipment, accessory equipment, nor,

except as provided in subsection (a)(4), shall be made or used

to reduce any debt or other obligations issued prior to the

effective date of this subchapter.

(e)  Payment.--Loans made by the agency shall be paid from

the Volunteer Companies Loan Fund to the volunteer fire

companies, ambulance services and rescue squads in accordance

with rules and regulations promulgated by the agency.

(f)  Deposit.--All payments of interest on the loans and the

principal thereof shall be deposited by the agency in the

Volunteer Companies Loan Fund.

(g)  Eligibility.--A volunteer fire company, ambulance

service and rescue squad shall be eligible for a loan regardless

of legal ownership in whole or in part by any political

subdivision of any facilities or apparatus equipment used by the

volunteer fire company, volunteer ambulance and volunteer rescue

squad. Any equipment or facilities financed may be transferred

to a political subdivision served by the volunteer fire company,

volunteer ambulance service or volunteer rescue squad subject to

such security as shall be determined by the agency.

(h)  Maximum amount.--Notwithstanding any other provision of

this section to the contrary, the maximum amount of any loan to

a volunteer fire company, volunteer ambulance service and

volunteer rescue squad for the purchase of fire fighting

apparatus, ambulances or rescue vehicles manufactured or

assembled in this Commonwealth may exceed the loan limits set

forth in this section by $10,000.

§ 7365.  Volunteer Companies Loan Fund.

(a)  General rule.--There is created a special fund in the

Treasury Department to be known as the Volunteer Companies Loan

Fund to which shall be credited all appropriations made by the

General Assembly other than appropriations for expenses of

administering this subchapter or grants from other sources to

the agency as well as repayment of principal and interest on

loans made under this subchapter.

(b)  Requisition.--Upon approval of the loan, the agency

shall routinely requisition from the Volunteer Companies Loan

Fund such amounts as shall be allocated by the agency for loans

to volunteer companies. When and as the amounts so allocated as

loans to volunteer companies are repaid pursuant to the terms of

the agreements made and entered into with the agency, the agency

shall pay such amounts into the Volunteer Companies Loan Fund,

it being the intent of this subchapter that the Volunteer

Companies Loan Fund shall operate as a revolving fund whereby

all appropriations and payments made thereto may be applied and

reapplied to the purposes of this subchapter.

§ 7366.  Powers and duties of agency.

(a)  Mandatory.--The powers and duties of the agency shall

be:

(1)  To appoint agents and employees, necessary to the

administration of this subchapter, and to prescribe their

duties and to fix their compensation within the limitations

provided by law.

(2)  To accept grants from the Federal Government and any

other individual, agency or government for use in the

Volunteer Companies Loan Fund.

(3)  To loan money over a term of years, but in no case

in excess of 20 years.

(4)  To promulgate such rules and regulations as it deems

necessary to carry out its powers and duties under this

subchapter.

(b)  Discretionary.--The powers and duties of the agency may

be:

(1)  To require security for all loans.

(2)  To specify priority of liens against any facilities,

apparatus equipment, ambulances, rescue vehicles or any

equipment purchased by volunteer companies using funds loaned

under this subchapter to pay all or any part of the purchase

price, as the agency may require by regulation.

§ 7367.  Authority to borrow.

Under the provisions of section 7(a)(3) of Article VIII of

the Constitution of Pennsylvania and the referenda approved by

the electorate on November 4, 1975, November 3, 1981, November

6, 1990, and November 5, 2002, the Governor, Auditor General and

State Treasurer are authorized and directed to borrow, on the

credit of the Commonwealth, money not exceeding in the aggregate

the sum of $100,000,000 to implement this subchapter, the act of

September 25, 1975 (P.L.296, No.95), entitled "An act

authorizing the indebtedness, with the approval of the electors,

of ten million dollars for loans to volunteer fire companies,

volunteer ambulance services and volunteer rescue squads for the

purpose of establishing or modernizing facilities to house fire

fighting apparatus equipment, ambulances, and rescue vehicles,

and for purchasing new fire fighting apparatus equipment,

ambulances, and rescue vehicles, protective and communications

equipment, and any other accessory equipment necessary for the

proper performance of such organizations' duties," and the act

of June 30, 1981 (P.L.138, No.44), entitled "An act authorizing

the indebtedness, with the approval of the electors, of

$15,000,000 for loans to volunteer fire companies, volunteer

ambulance services and volunteer rescue squads for the purpose

of establishing or modernizing facilities to house firefighting

apparatus equipment, ambulances, and rescue vehicles, and for

purchasing firefighting apparatus equipment, ambulances, and

rescue vehicles, protective and communications equipment, and

any other accessory equipment necessary for the proper

performance of such organizations' duties," as well as to

implement in part section 31.3 of the act of June 29, 2002

(P.L.559, No.89), entitled "An act amending the act of March 4,

1971 (P.L.6, No.2), entitled 'An act relating to tax reform and

State taxation by codifying and enumerating certain subjects of

taxation and imposing taxes thereon; providing procedures for

the payment, collection, administration and enforcement thereof;

providing for tax credits in certain cases; conferring powers

and imposing duties upon the Department of Revenue, certain

employers, fiduciaries, individuals, persons, corporations and

other entities; prescribing crimes, offenses and penalties,'

further providing, in sales and use tax, for definitions, for

imposition, for exclusions, for licenses, for collection, for

bulk and auction sales and for crimes; providing, in local tax

situs, for situs of mobile telecommunications services; further

providing, in personal income tax, for definitions, for classes

of income, for special tax provisions for poverty, for

contributions, for bulk and auction sales and transfers; in

corporate net income tax, for definitions, for imposition and

for interest in unincorporated entities; and in capital stock

and franchise tax, for definitions, for imposition, for deposit

of proceeds, for interest in unincorporated entities and for

applicability and expiration; establishing revenue-neutral

reconciliation in utilities gross receipts tax; providing, in

public utility realty tax and for surcharge; further providing,

in realty transfer tax, for furnishing stamps; in cigarette tax,

for incidence and rate, for floor tax, for commissions on sales

and for disposition of certain funds; in research and

development tax credit, for time limitations and for

termination; in inheritance tax, for definitions, for transfers

not subject to tax and for estate tax and for estate tax

returns; providing for immediate assessment, settlement or

collection and for depreciation of certain property in cities of

the first class; and making repeals."

§ 7368.  Bonds, issue, maturity and interest.

(a)  General rule.--As evidence of the indebtedness

authorized by this subchapter, general obligation bonds of the

Commonwealth shall be issued from time to time for such total

amounts, in such form, in such denominations, and subject to

such terms and conditions of issue, redemption and maturity,

rate or rates of interest, and time of payment of interest, as

the Governor, Auditor General and State Treasurer shall direct,

except that the latest stated maturity date shall not exceed 30

years from the date of the bond first issued for each series.

(b)  Facsimile signatures.--All bonds issued under the

authority of this subchapter shall bear facsimile signatures of

the Governor, Auditor General and State Treasurer, and a

facsimile of the Great Seal of the Commonwealth and shall be

countersigned by two duly authorized officers of the duly

authorized loan and transfer agents of the Commonwealth.

(c)  Direct obligations.--All bonds issued in accordance with

this subchapter shall be direct obligations of the Commonwealth,

and the full faith and credit of the Commonwealth are hereby

pledged for the payment of the interest thereon as the same

shall become due and the payment of the principal thereof at

maturity. All bonds issued under this subchapter shall be exempt

from taxation for State and local purposes. The principal of and

interest on such bonds shall be payable in lawful money of the

United States.

(d)  Types of bonds.--Bonds may be issued as coupon bonds or

registered as to both principal and interest as the issuing

officials may determine. If interest coupons are attached, they

shall contain the facsimile signature of the State Treasurer.

(e)  Authorization.--The issuing officials shall provide for

the amortization of the bonds in substantial and regular amounts

over the term of the debt, except that the first retirement of

principal shall be stated to mature prior to the expiration of a

period of time equal to one-tenth of the time from the date of

the first obligation issue to evidence such debt to the date of

the expiration of the term of the debt. Retirements of principal

shall be regular and substantial if made in annual or semiannual

amounts whether by stated serial maturities or by mandatory

sinking fund retirements computed in accordance with either a

level annual debt service plan, as nearly as may be, or upon the

equal annual maturities plan.

(f)  Preparation and printing.--The Governor, the Auditor

General and the State Treasurer shall have the necessary bonds

prepared and printed. Upon preparation and printing, the bonds

immediately shall be deposited with the duly authorized loan and

transfer agent of the Commonwealth and shall remain in the

agent's possession until sold in accordance with this

subchapter.

§ 7369.  Sale of bonds.

(a)  General rule.--Bonds shall be offered for sale at not

less than 98% of the principal amount and accrued interest and

shall be sold by the Governor, the Auditor General and State

Treasurer to the highest and best bidder or bidders after due

public advertisement, on such terms and conditions and upon such

open competitive bidding, as the Governor, Auditor General and

State Treasurer shall direct. The manner and character of

advertisement and the times of advertising shall be prescribed

by the Governor, the Auditor General and the State Treasurer.

(b)  Private sale.--Any portion of any bond issue so offered

and not sold or subscribed for may be disposed of by private

sale by the Governor, the Auditor General and the State

Treasurer, in such manner and at such prices, not less than 98%

of the principal amount and accrued interest, as the Governor

shall direct. No commission shall be allowed or paid for the

sale of any bonds issued under the authority of this subchapter.

(c)  Series.--When bonds are issued from time to time, the

bonds of each issue shall constitute a separate series to be

designated by the issuing officials or may be combined for sale

as one series with other general obligation bonds of the

Commonwealth.

§ 7370.  Refunding bonds.

The Governor, Auditor General and the State Treasurer are

authorized to provide, by resolution, for the issuance of

refunding bonds for the purpose of refunding any bonds issued

under this subchapter and then outstanding, either by voluntary

exchange with the holders of the outstanding bonds, or by

providing funds to redeem and retire such outstanding bonds with

accrued interest and any premium payable thereon, at maturity or

at any call date. The issuance of such refunding bonds, the

maturities and other details thereof, the rights of the holders

thereof and the duties of the Governor, Auditor General and the

State Treasurer in respect to the same shall be governed by this

subchapter, insofar as this subchapter may be applicable.

Refunding bonds may be issued by the Governor, Auditor General

and the State Treasurer to refund bonds originally issued or to

refund bonds previously issued for refunding purposes.

§ 7371.  Disposition and use of proceeds.

(a)  General rule.--The proceeds realized from the sale of

bonds under this subchapter shall be paid into the Volunteer

Companies Loan Fund and are specifically dedicated to the

purposes of the referenda of November 4, 1975, November 3, 1981,

November 6, 1990, and November 5, 2002, as implemented by this

subchapter. The moneys shall be paid by the State Treasurer

periodically to those agencies or authorities authorized to

expend the moneys at such times and in such amounts as may be

necessary to satisfy the funding needs of the agency or

authority.

(b)  Investing.--Pending their application to the purposes

authorized, moneys held or deposited by the State Treasurer may

be invested or reinvested as are other funds in the custody of

the State Treasurer in the manner provided by law. All earnings

received from the investment or deposit of such funds shall be

paid into the State treasury to the credit of the Volunteer

Companies Loan Fund.

§ 7372.  Registration of bonds.

The Auditor General shall prepare the necessary registry book

to be kept in the office of the duly authorized loan and

transfer agent of the Commonwealth for the registration of any

bonds, at the request of owners thereof, according to the terms

and conditions of issue directed by the Governor, the Auditor

General and the State Treasurer. All bonds which are issued

without interest coupons attached shall be registered in the

registry books kept by the duly authorized loan and transfer

agent of the Commonwealth.

§ 7373.  Information to General Assembly.

It shall be the duty of the Governor to include in every

budget submitted to the General Assembly, full information

relating to the issuance of bonds under this subchapter, and the

status of the sinking fund of the Commonwealth for the payment

of the interest on said bonds and the principal thereof at

maturity.

§ 7374.  Volunteer Company Loan Sinking Fund and investments.

All bonds issued under this subchapter shall be redeemed at

maturity and all interest due from time to time on such bonds

shall be paid from the Volunteer Company Loan Sinking Fund,

which is hereby created. For the specific purpose of redeeming

bonds issued under this subchapter at maturity and paying all

interest thereon in accordance with the information received

from the Governor, the General Assembly shall appropriate moneys

to the Volunteer Company Loan Sinking Fund for the payment of

interest on such bonds and the principal thereof at maturity.

All moneys paid into the Volunteer Company Loan Sinking Fund and

all of such moneys not necessary to pay accruing interest shall

be invested by the Board of Finance and Revenue in such

securities as are provided by law for the investment of the

sinking funds of the Commonwealth.

§ 7375.  Expenses of preparation, issue and sale of bonds.

There is appropriated to the State Treasurer from the

proceeds of the bonds issued as much moneys as may be necessary

for all costs and expenses in connection with the issue of and

sale and registration of the bonds in connection with this

subchapter.

§ 7376.  Repayment obligations for principal and interest.

The General Assembly shall appropriate an amount equal to

moneys received from the agency under section 7365 (relating to

Volunteer Companies Loan Fund) and such other moneys as may be

necessary to meet repayment obligations for principal and

interest into the Volunteer Company Loan Sinking Fund.

§ 7377.  Quorum.

Whenever under this subchapter an action is to be taken or a

decision is to be made by the Governor, the Auditor General and

the State Treasurer, and the three officers shall not be able to

agree unanimously, the action or decision of the Governor and

either the Auditor General or State Treasurer shall be binding

and final.

§ 7378.  Temporary financing authorization.

(a)  General rule.--Pending the issuance of bonds of the

Commonwealth, the Governor, Auditor General and State Treasurer

are authorized on the credit of the Commonwealth to make

temporary borrowings of such moneys as may from time to time be

necessary to carry out the purposes of this subchapter and are

authorized in the name and on behalf of the Commonwealth to

enter into loan or credit agreements with any banks or trust

companies or other lending institutions or persons in the United

States having power to enter into the same.

(b)  Notes.--All temporary borrowings made under the

authority of this section shall be evidenced by notes of the

Commonwealth, which shall be issued from time to time for such

amounts not exceeding in the aggregate the sum of $100,000,000

in such form and in such denominations, and subject to such

terms and conditions of issue, prepayment or redemption and

maturity, rate of interest and time of payment of interest, as

the issuing officials shall direct. All notes issued under the

authority of this section shall bear the facsimile signatures of

the issuing officials and a facsimile of the Great Seal of the

Commonwealth, and shall be countersigned by one duly authorized

officer of a duly authorized loan and transfer agent of the

Commonwealth.

(c)  Funding of notes.--All such notes shall be funded and

retired by the issuance and sale of bonds of the Commonwealth to

the extent that payment of such notes has not otherwise been

made or provided for.

(d)  Proceeds.--The proceeds of all such temporary borrowings

shall be paid into the Volunteer Companies Loan Fund.

§ 7378.1.  Referendum for additional indebtedness.

The following shall apply:

(1)  The question of incurring indebtedness of

$25,000,000 for loans to volunteer fire companies, volunteer

ambulance services and volunteer rescue squads for the

purpose of establishing or modernizing facilities to house

firefighting apparatus equipment, ambulances and rescue

vehicles, and for purchasing firefighting apparatus

equipment, ambulances and rescue vehicles, protective and

communications equipment and any other accessory equipment

necessary for the proper performance of such organizations'

duties, shall be submitted to the electors at the next

primary, municipal or general election held after July 15,

1976.

(2)  The Secretary of the Commonwealth shall forthwith

certify the question to the county boards of election.

(3)  The question shall be in substantially the following

form:

Do you favor the incurring of indebtedness of

$25,000,000 for loans to volunteer fire companies,

volunteer ambulance services and volunteer rescue squads

for the purpose of establishing or modernizing facilities

to house firefighting apparatus equipment, ambulances and

rescue vehicles, and for purchasing firefighting

apparatus equipment, ambulances and rescue vehicles,

protective and communications equipment, and any other

accessory equipment necessary for the proper performance

of such organizations' duties?

(4)  The election shall be conducted in accordance with

the act of June 3, 1937 (P.L.1333, No.320), known as the

Pennsylvania Election Code, except that the time limits for

advertisement of notice of the election may be waived as to

the question.

(5)  Proceeds of borrowing shall be used through loans to

volunteer fire companies, volunteer ambulance services and

volunteer rescue squads pursuant to and for any purpose

established by this subchapter.

§ 7378.2.  Authorization of contracts, reimbursement procedure

and amount.

The following shall apply:

(1)  The Secretary of General Services is authorized to

enter into contracts with local volunteer fire, ambulance and

rescue companies to provide services necessary to extinguish

fires or perform any other allied services on State-owned

property.

(2)  The Secretary of Transportation is authorized to

enter into contracts with local volunteer fire, ambulance and

rescue companies to provide services necessary to extinguish

fires or perform any other allied services on limited access

highways, other than the Pennsylvania Turnpike.

§ 7378.3.  Reimbursement procedure and amount.

The following shall apply:

(1)  A contract between the Secretary of General Services

or the Secretary of Transportation and a local volunteer

fire, ambulance and rescue company shall provide that the

Department of General Services or the Department of

Transportation shall, monthly, upon receipt of proper proof,

reimburse each contracted volunteer fire, ambulance and

rescue company attending and providing fire control or other

allied services on State-owned property or limited access

highways, as the case may be, a minimum amount of $50 for

each verified fire or emergency call and the cost of any

special extinguishing agents utilized, which the volunteer

fire, ambulance and rescue company made in the preceding

month as certified by the person in charge at the particular

State-owned property or by an individual or individuals

designated by the Secretary of Transportation to verify

services rendered on limited access highways.

(2)  A contract between the Department of General

Services or the Department of Transportation and a local

volunteer ambulance or rescue company shall also provide that

the ambulance or rescue company request reimbursement from

collectible insurance proceeds available as a result of the

fire or emergency situation for which the ambulance or rescue

company provided allied services. Proceeds payable to the

ambulance or rescue company shall be deducted from the

reimbursement for services provided pursuant to a contract

entered into under this subchapter. Prior to payment for

services rendered, the local volunteer ambulance or rescue

company shall provide proof that they requested reimbursement

from collectible insurance proceeds.

(3)  A false alarm on State-owned property to which a

volunteer fire, ambulance or rescue company responds shall

constitute a fire or emergency call and shall be reimbursed

at a rate set by the contract with the Secretary of General

Services, but shall not be less than $25 for each occurrence.

SUBCHAPTER F

STATE FIRE COMMISSIONER

Sec.

7381.  Scope of subchapter.

7382.  Definitions.

7383.  State Fire Commissioner.

7384.  Pennsylvania State Fire Academy.

7385.  Pennsylvania Volunteer Loan Assistance Program.

7386.  Fire Safety Advisory Committee.

7387.  Appropriations.

§ 7381.  Scope of subchapter.

This subchapter relates to the State Fire Commissioner.

§ 7382.  Definitions.

The following words and phrases when used in this subchapter

shall have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Agency."  The Pennsylvania Emergency Management Agency.

"Commissioner."  The State Fire Commissioner.

"Committee."  The Fire Safety Advisory Committee.

§ 7383.  State Fire Commissioner.

(a)  State Fire Commissioner.--There shall be a State Fire

Commissioner, who, through the Lieutenant Governor, shall report

to the Governor on all matters concerning fire safety in this

Commonwealth. The Office of the State Fire Commissioner shall be

within the agency for administrative purposes only, and the

commissioner shall not report to the director of the agency. The

commissioner shall have the power and duty to:

(1)  Coordinate the activities of State and local

community interests engaged in fire prevention and control

activities.

(2)  Serve as a focal point for information relative to

fires, property damage, injuries and the loss of life.

(3)  Disseminate, through periodic reports, information

about fire prevention efforts and fire control techniques.

(4)  Develop and participate in a program of public

information and education designed to create a public

awareness of the incidence and the ravages of fire and

methods the individual can take to prevent fires and minimize

loss when they occur.

(5)  Serve as a central point to support local efforts

and interests in all matters pertinent to fire prevention and

control.

(b)  Transfer.--The commissioner shall use, employ and

expend, in connection with the functions, powers and duties

enumerated in subsection (a) for the position of the

commissioner, contract obligations, if any, records, files,

property, supplies and equipment now being used or held in

connection with such functions, powers and duties and the

unexpended balance of appropriations, allocations, Federal

grants and other funds available or to be made available for use

in connection with such functions, powers and duties as

previously were vested in the agency by Reorganization Plan No.5

of 1981 (P.L.612).

(c)  Qualifications and appointment.--The commissioner shall

be a person who, by reason of training, experience and

attainment, is qualified to coordinate fire prevention and

control activities. The commissioner shall be appointed by the

Governor after consultation with the fire service community. The

commissioner shall act as the Commonwealth's primary

representative with the Statewide fire service community.

§ 7384.  Pennsylvania State Fire Academy.

(a)  Creation.--There is created the Pennsylvania State Fire

Academy, which shall be under the operational control of the

commissioner. The commissioner shall administratively provide

for the erection or construction, the furnishing, the staffing

and the equipping of buildings and structures through the

Department of General Services and for the leasing thereof by

the Commonwealth for the use and support of the Pennsylvania

State Fire Academy. The Pennsylvania State Firemen's Training

School and the powers and duties of the Department of Education

and the Public Service Institute Board pertaining to the

Pennsylvania State Firemen's Training School, which were

transferred to the agency under Reorganization Plan No.6 of 1981

(P.L.613) and which are set forth in Subchapter D (relating to

State Firemen's Training School), are hereby transferred to and

vested in the commissioner.

(b)  Transfer.--There are transferred to the commissioner, to

be used, employed and expended in connection with the functions,

powers and duties enumerated in subsection (a), personnel,

contract obligations, if any, records, files, property, supplies

and equipment now being used or held in connection with such

functions, powers and duties and the unexpended balance of

appropriations, allocations, Federal grants and other funds

available or to be made available for use in connection with

such functions, powers and duties as previously were vested in

the Department of Education and the Public Service Institute