PRIOR PRINTER'S NO. 3832
PRINTER'S NO. 4339
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
2548
Session of
2020
INTRODUCED BY FREEMAN, JAMES, MOUL, EVERETT, SAPPEY, WEBSTER AND
KIRKLAND, MAY 26, 2020
AS AMENDED ON SECOND CONSIDERATION, HOUSE OF REPRESENTATIVES,
SEPTEMBER 2, 2020
AN ACT
Amending the act of July 10, 1987 (P.L.246, No.47), entitled "An
act empowering the Department of Community and Economic
Development to assist municipalities in avoiding financial
distress; declare certain municipalities as financially
distressed; providing for the restructuring of debt of
financially distressed municipalities; limiting the ability
of financially distressed municipalities to obtain government
funding; authorizing municipalities to participate in Federal
debt adjustment actions and bankruptcy actions under certain
circumstances; authorizing certain taxes; and providing for
the disincorporation of municipalities and the establishment
of unincorporated service districts," in municipal financial
distress, providing for emergency plan extension.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The act of July 10, 1987 (P.L.246, No.47), known
as the Municipalities Financial Recovery Act, is amended by
adding a section to read:
Section 255.2. Emergency plan extension.
(a) Extension.-- Notwithstanding any other provision of this
act or law, and except as provided under subsection (b), the
scheduled expiration of a plan or deadline to terminate the
distressed status of a municipality under this act shall be
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extended for a period of 18 months from the effective date of
this section.
(b) Plan amendment required.--The department shall require
each plan to be amended within 60 days of the effective date of
this section to, at a minimum, incorporate the extended
expiration date of the plan and address any recovery objectives
affected by the proclamation of disaster emergency issued by the
Governor on March 6, 2020, published at 50 Pa.B. 1644 (March 21,
2020), and any renewal of the state of disaster emergency. A
plan which is not amended under this subsection shall not be
extended under subsection (a).
(c) Application.--This section shall not apply to any plan
adopted by a municipality which was not distressed under this
act on the effective date of this section. THE PLAN EXTENSION
AUTHORIZED BY SECTION 1604-D.1 OF THE ACT OF APRIL 9, 1929
(P.L.343, NO.176), KNOWN AS THE FISCAL CODE, SHALL APPLY TO ANY
DEADLINE TO TERMINATE THE DISTRESSED STATUS OF A MUNICIPALITY IN
THIS SUBCHAPTER.
(B) APPLICABILITY.--THIS SECTION SHALL:
(1) NOT APPLY TO A PLAN ADOPTED BY A MUNICIPALITY WHICH
WAS NOT DISTRESSED UNDER THIS ACT ON THE EFFECTIVE DATE OF
THIS SECTION.
(2) APPLY RETROACTIVELY TO THE EXTENSION OF A PLAN ON OR
AFTER JULY 1, 2020.
Section 2. This act shall take effect immediately.
20200HB2548PN4339 - 2 -
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