Section 1105 - Appointment of conservator(a) General rule.--The court shall act upon a petition submitted by holding a hearing within 60 days of receipt of the petition and by rendering a decision no later than 30 days after completion of the hearing.(b) Intervention.--A party in interest may intervene in the proceeding and be heard with respect to the petition, the requested relief or any other matter which may come before the court in connection with the proceeding.(c) Hearing.--At the hearing, any party in interest shall be permitted to present evidence to support or contest the petition, including, but not limited to, the schedule of encumbrances(d)Conditions for conservatorship.--If a petition is filed under section 4, the court may appoint a conservator if all of the following apply as of the date of filing: (1) The building has not been legally occupied for at least the previous 12 months.(2) The owner fails to present compelling evidence that he has actively marketed the property during the preceding 60-day period and made a good faith effort to sell the property at a price which reflects the circumstances and market conditions.(3) The property is not subject to a pending foreclosure actionby an individual or nongovernmental entity.(4) The current owner fails to present sufficient evidence that he has acquired the property within the preceding six months. The evidence shall not include instances where the prior owner is a member of the immediate family of the current owner, unless the transfer of title results from the death of the prior owner, or where the current or prior owner is a corporation, partnership or other entity in which either owner or the immediate family of either owner has an interest in excess of 5%.(5) The court finds at least three of the following: (i) The building or physical structure is a public nuisance.(ii) The building is in need of substantial rehabilitation and no rehabilitation has taken place during the previous 12 months.(iii) The building is unfit for human habitation, occupancy or use.(iv) The condition and vacancy of the building materially increase the risk of fire to the building and to adjacent properties.(v) The building is subject to unauthorized entry leading to potential health and safety hazards and one of the following applies: (A) The owner has failed to take reasonable and necessary measures to secure the building.(B) The municipality has secured the building in order to prevent such hazards after the owner has failed to do so.(vi) The property is an attractive nuisance to children, including, but not limited to, the presence of abandoned wells, shafts, basements, excavations and unsafe structures.(vii) The presence of vermin or the accumulation of debris, uncut vegetation or physical deterioration of the structure or grounds has created potential health and safety hazards and the owner has failed to take reasonable and necessary measures to remove the hazards.(viii) The dilapidated appearance or other condition of the building negatively affects the economic well- being of residents and businesses in close proximity to the building, including decreases in property value and loss of business, and the owner has failed to take reasonable and necessary measures to remedy appearance or the condition.(ix) The property is an attractive nuisance for illicit purposes, including prostitution, drug use and vagrancy.(e)Appointment.--(1) If the court determines after a hearing that the property has met the conditions of subsection (d), the court may appoint a conservator, certify the schedule of encumbrances and grant such other relief as may be just and appropriate. The certification shall be binding with respect to all mortgages, liens and encumbrances, including municipal liens, arising or attaching to the property prior to the date of the petition.(2) The court shall give first consideration for appointment as conservator to the most senior nongovernmental lienholder on the property.(3) In the event the senior lienholder is found to be not competent or declines the appointment, the court may appoint a nonprofit corporation or other competent entity. If the property is located in a city of the first class, the nonprofit corporation or entity must be located in the city and must have participated in a project within a [one-mile] five-mile radius of the location of the property. In appointing a conservator, the court shall: (i) consider any recommendations contained in the petition or otherwise presented by a party in interest; and(ii) give preference to the appointment of a nonprofit corporation or governmental unit over an individual.(f)Conditional relief.-- (1) If the court finds after a hearing that the conditions for conservatorship set forth in subsection (d) have been established, but the owner represents that the conditions, violations or nuisance or emergency condition will be abated in a reasonable period, the court may allow the owner to proceed to remedy the conditions.(2) If the conditions set forth in paragraph (1) have been satisfied, the court shall enter an order providing that, in the event that the violations or nuisance or emergency conditions are not abated by the owner by a specific date or that other specified remedial activities have not occurred by a specific date or dates, an order granting the relief requested in the petition shall be entered.(3) The court shall also require the owner to post a bond in the amount of the repair costs estimated in the petition as a condition to retaining possession of the building.(4) Upon a finding that: (1) the petition states conditions for conservatorship; or(2) the owner elects to either: (i) remedy all violations and nuisance or emergency conditions; or(ii) sell the property subject to the conservatorship, the owner shall reimburse the petitioner for all costs incurred by the petitioner in preparing and filing the petition in accordance with the requirements of section 4 and the conservator's or developer's fee.
(g)Conservator's lien.--The conservator may file a lien against the property in an amount based on the costs incurred during the conservatorship, including, but not limited to, costs of rehabilitation, attorney fees and court costs. The lien amount may be adjusted from time to time.(h) Immediate possession.--The conservator shall promptly take possession of the building and other property subject to the conservatorship and shall immediately be authorized to exercise all powers of this act.(i) Removal by court.--A conservator may be removed by the court at any time upon the request of the conservator or upon a showing by a party to the action that the conservator is not carrying out its responsibilities under this act.Amended by P.L. TBD 2014 No. 157, § 3, eff. 12/21/2014.2008, Nov. 26, P.L. 1672, No. 135, § 5, effective in 90 days [Feb. 24, 2009].