53 Pa. Stat. § 11701.441

Current through P.A. Acts 2024-18
Section 11701.441 - Establishment of unincorporated service district
(a)General rule.--The area formerly contained within a municipality shall, after disincorporation under Subchapter C, become an unincorporated service district. The district shall be an entity of the Commonwealth established for the special purpose of providing essential services to the citizens living within the district until such time as the district is incorporated as a municipality or made a part of a merged or consolidated with an existing municipality under section 447.
(b)Authorized administrative authority.--All powers providing for the administration of the district shall be vested in the department through the administrator as provided in this subchapter. The district advisory committee shall not possess the corporate powers of the governing body of any municipality or any authority, except as provided by this subchapter.
(c)Corporate powers prohibited.--Nothing in this subchapter shall be construed as authorizing the district to exercise corporate powers for the administration of a local government, including the power to levy taxes, establish elected or appointed offices and purchase, sell or convey property, except that the residents of the district may incorporate a municipality or merge or consolidate with an existing municipality as provided for in section 447.
(d)Assets held by Commonwealth in trust.--
(1) All assets not sold by the municipality during the process of its disincorporation shall be conveyed to the Commonwealth to be held in trust for the benefit of the residents and property owners of the district.
(2) The administrator shall serve as trustee of the property and provide for the repair and maintenance of all real property and roadways held in trust for the benefit of the residents and property owners of the district through the collection of assessments under this subchapter and administration of payments distributed to the district as provided in subsection (f).
(3) Nothing in this subsection shall be construed as providing the express approval of the General Assembly to dispose of or use any lands acquired with funds under the act of June 22, 1964 (Sp.Sess., P.L. 131, No. 8), known as the Project 70 Land Acquisition and Borrowing Act, for purposes other than those provided by that act, except that the Commonwealth may succeed in title of the property for the limited purposes established by this subsection.
(e)Former municipal debt secured by entrusted assets.--
(1) All debt incurred by the municipality before the establishment of the district shall be held by the district for administration by the administrator. Any such debt shall be secured by the assets conveyed to the Commonwealth and held in trust under subsection (d) and serviced by fees collected under this subchapter.
(2) Nothing in this section shall be construed to authorize the Commonwealth to guarantee any debt incurred by a municipality or district with the full faith and credit of the Commonwealth, revenues from the General Fund or any other source of revenue not derived from fees assessed for the administration of this subchapter or gains from the sale of assets of the former municipality.
(f)Eligibility for State grants and programs unaffected.--
(1) A district shall be eligible to receive any financial grant, loan or payment and participate in any program for which it was eligible when it was a municipality, including, but not limited to, emergency grants and loans under Chapter 3, payments distributed pursuant to the act of June 1, 1956 (1955 P.L. 1944, No. 655), referred to as the Liquid Fuels Tax Municipal Allocation Law, all programs administered by the Pennsylvania Infrastructure Investment Authority and all economic and community development programs funded by the Commonwealth.
(2) A district shall continue to receive priority in all economic and community development programs funded by the Commonwealth as provided for by Subchapter E of Chapter 2.
(3) The administrator may apply for and shall manage any funds distributed to the district pursuant to this section.
(g)Credit for fees assessed.--The payment of fees under this subchapter by a resident of a district shall constitute a credit against the collection of any income tax by a municipality on nonresidents, if applicable.
(h)Relationship with existing municipal and other authorities preserved.--
(1) All authorities established to provide services to the residents and property owners of a municipality prior to disincorporation shall continue to serve the residents and property owners of a district, and all members of the authority appointed by the governing body of the municipality prior to disincorporation shall continue to serve out the remainder of the members' terms.
(2) Notwithstanding the provisions of 53 Pa.C.S. § 5607 (relating to purposes and powers) or any other provision of law, subsequent appointments to the authority board which would otherwise be made by the governing body of the municipality shall be made by the administrator in consultation with the district advisory committee.
(i)Governing standards enforceable.--
(1) The governing standards included in the essential services plan shall be enforceable by the filing of a civil action by the administrator or any aggrieved property owner or resident of the district.
(2) A violation of the governing standards shall constitute a public nuisance.
(3) A magisterial district court or another court of competent jurisdiction presiding over a civil action brought under this subsection may find relief for the filing party according to the relief provided for in the essential services plan or any other relief which is available by law for the abatement of a public nuisance.
(j)Pennsylvania Construction Code applicable.--
(1) The act of November 10, 1999 (P.L. 491, No. 45), known as the Pennsylvania Construction Code Act, shall apply to all construction, alteration, repair and occupancy of all buildings within the district as though the district were a municipality which opted not to adopt the uniform construction code by ordinance.
(2) The administrator shall receive any application for a construction permit and provide appropriate notices to an applicant of a construction permit and the Department of Labor and Industry as provided under section 501(e) of the Pennsylvania Construction Code Act.
(k)Incurrence of debt limited.--The district shall not incur debts not provided for in subsection (e), except that the administrator may utilize such mechanisms as are necessary to incur temporary debts, or make purchases on credit, on behalf of and for the limited purpose of managing the cash flow for the district. All obligations incurred under this subsection shall be satisfied in full within one year and secured only by the anticipation of the collection of assessments under section 443.

53 P.S. § 11701.441

1987, July 10, P.L. 246, No. 47, § 441, added 2014, Oct. 31, P.L. 2983, No. 199, § 24, effective in 60 days [Dec. 30, 2014].