PRINTER'S NO. 1376
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1058
Session of
2015
INTRODUCED BY HARHART, McNEILL, LONGIETTI, MILLARD, SCHLOSSBERG,
MARSICO, MURT, HARHAI AND READSHAW, APRIL 27, 2015
REFERRED TO COMMITTEE ON COMMERCE, APRIL 27, 2015
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," in city revitalization and improvement zones,
further providing for definitions, for establishment of
contracting authority and for transfers.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The definitions of "contracting authority" and
"pilot zone" in section 1802-C of the act of March 4, 1971
(P.L.6, No.2), known as the Tax Reform Code of 1971, amended
October 31, 2014 (P.L.2929, No.194), are amended and the section
is amended by adding definitions to read:
Section 1802-C. Definitions.
The following words and phrases when used in this article
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
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* * *
"Contracting authority." [An authority established under 53
Pa.C.S. Ch. 56 (relating to municipal authorities) by a city,
borough, township or home rule county for the purpose of:
(1) designating zones; and
(2) engaging in the construction, including related site
preparation and infrastructure, reconstruction or renovation
of facilities.] A new or existing authority established under
53 Pa.C.S. Ch. 56 (relating to municipal authorities) or
other Commonwealth statute. The term includes:
(1) A new authority established by a city, home rule
county, qualifying municipality or qualifying contiguous
municipalities to designate city revitalization and
improvement zones or pilot zones, issue bonds and engage in
the financing, construction, related site preparation and
infrastructure, reconstruction or renovation of facilities in
accordance with this article.
(2) An existing authority designated by a city, home
rule county, qualifying municipality or qualifying contiguous
municipalities, if the authority meets all the requirements
of this article and amends its articles of incorporation to
include the purposes and powers granted to a contracting
authority in paragraph (1) and maintains separate accounts
and records for the zone.
* * *
"Pilot zone." An area of not more than 130 acres designated
by the contracting authority following application and approval
by the Department of Community and Economic Development, the
office and the department which will provide economic
development and job creation within a [township or borough, with
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a population of at least 7,000 based on the most recent Federal
decennial census] qualifying municipality or qualifying
contiguous municipalities.
* * *
"Qualifying contiguous municipality." Two or three
contiguous townships or boroughs, which have a combined
population of at least 4,000 based on the most recent Federal
decennial census.
"Qualifying municipality." A township or borough, with a
population of at least 4,000 based on the most recent Federal
decennial census.
* * *
Section 2. Section 1803-C of the act is amended by adding
subsections to read:
Section 1803-C. Establishment of contracting authority.
* * *
(d) Other qualifying municipalities.--A qualifying
municipality may establish or designate a contracting authority
to designate a pilot zone within the qualifying municipality .
(e) Qualifying contiguous municipalities.--Qualifying
contiguous municipalities may establish or designate a
contracting authority to designate a pilot zone within the
qualifying contiguous municipalities. If a pilot zone will
include acreage in more than one municipality, the application
under section 1804-C(a) shall include a copy of an ordinance of
the governing body of each municipality where part of the zone
will be located authorizing the contracting authority to
exercise the powers and duties granted to it under this article .
Section 3. Section 1812-C(c)(5) of the act, added July 9,
2013 (P.L.270, No.52), is amended to read:
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Section 1812-C. Transfers.
* * *
(c) Notification.--The following shall apply:
* * *
(5) Money transferred under paragraph (3) shall be
repaid to the General Fund by the contracting authority. If
money transferred under paragraph (3) is not repaid to the
General Fund by the contracting authority by the date of the
final payment on the bonds originally issued under section
1813-C(a)(1), the city [or], county, qualifying municipality
or qualifying contiguous municipality which established or
designated the contracting authority shall pay the money not
repaid to the General Fund plus an additional penalty of 10%
of the amount outstanding on the date of the final payment on
the bonds originally issued under section 1813-C(a)(1).
Section 4. This act shall take effect in 60 days.
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