Regular Session 2023-2024 House Bill 1216 P.N. 1595

PRIOR PRINTER'S NO. 1292

PRINTER'S NO. 1595

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

1216

Session of

2023

INTRODUCED BY SALISBURY, HILL-EVANS, PROBST, MADDEN, KRUEGER,

FREEMAN, BOROWSKI, SANCHEZ, BRENNAN, McNEILL, KHAN, MALAGARI,

HADDOCK, SCOTT, CEPEDA-FREYTIZ, FRIEL AND HANBIDGE,

MAY 22, 2023

AS REPORTED FROM COMMITTEE ON LOCAL GOVERNMENT, HOUSE OF

REPRESENTATIVES, AS AMENDED, JUNE 14, 2023

AN ACT

Establishing the Municipal Grant Assistance Program and the

Municipal Grant Assistance Program Fund; AND imposing duties

on the Department of Community and Economic Development; and

making an appropriation.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. Short title.

This act shall be known and may be cited as the Municipal

Grant Assistance Program Act.

Section 2. Declarations.

The General Assembly finds and declares as follows:

(1) Many municipalities lack the expertise and resources

to effectively seek grants for which they may be qualified.

(2) This gap in expertise and resources creates a

disparity in the opportunity to pursue economic development

and community enhancement opportunities between those

municipalities obtaining State funds and those who may have a

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greater need.

(3) The availability of professional grant writers

increases the opportunities for a municipality to obtain

grant funding.

Section 3. Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Department." The Department of Community and Economic

Development of the Commonwealth.

"Eligible grant writer." An individual registered with the

Bureau of Charitable Organizations within the Department of

State under section 8 of the act of December 19, 1990 (P.L.1200,

No.202), known as the Solicitation of Funds for Charitable

Purposes Act.

"Fund." The Municipal Grant Assistance Program Fund

established under section 6.

"Low-income census tract." A census tract where:

(1) the poverty rate is at least 20%;

(2) for tracts not located within a metropolitan area,

the median family income does not exceed 80% of Statewide

median family income; or

(3) for tracts located within a metropolitan area, the

median family income does not exceed 80% of the greater of

Statewide median family income or the metropolitan area

median family income.

"Municipality." A city of the third class, borough,

incorporated town or township.

"Program." The Municipal Grant Assistance Program

established under section 4.

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Section 4. Establishment.

The Municipal Grant Assistance Program is established within

the department and shall be administered by the department. The

department may establish the program within existing

departmental municipal technical assistance programs in whole or

in part. The program shall consist of financial assistance to

municipalities to obtain grant writing services and to develop a

training program to teach municipal employees and officials how

to develop projects, find grant application opportunities and

apply for grants.

Section 5. Administration of program.

(a) Personnel.--The department may hire new personnel,

dedicate current personnel or contract with third parties for

the implementation and administration of the program.

(b) Guidelines.--The department shall, within 90 days of the

effective date of this section, develop and publish guidelines

for the implementation and administration of the program, which

shall include:

(1) a listing of eligible grant writers participating in

the program within this Commonwealth;

(2) application procedures and guidelines for

municipalities;

(3) the development and delivery of grant writing

training to commence within six months following the

effective date of this section;

(4) criteria for fund allocations and municipal matching

fund requirements;

(5) limitations on fund use; and

(6) disbursements from the fund.

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OBTAIN GRANT-WRITING SERVICES, a municipality may not have an

employee whose primary responsibility is grant writing. In

addition, a municipality must meet at least one of the following

qualifications:

(1) Adopted and is implementing an active Strategic

Management Planning Program plan, recovery plan, exit plan or

receivership plan adopted under the act of July 10, 1987

(P.L.246, No.47), known as the Municipalities Financial

Recovery Act.

(2) At least 25% of all census tracts within the

municipality are designated as low-income census tracts.

(3) Has not received any competitive State grant funding

in the past two years.

(d) Contracts.--A municipality or the department may enter

into a contract with an eligible grant writer for a single grant

or multiple grants. Grant writers shall be paid according to the

department's funding criteria under subsection (b)(4).

(e) Reimbursement.--If a municipality is awarded a grant

through the assistance of a grant writer under the program, the

municipality shall reimburse the fund within 180 days of receipt

of the grant with an amount equal to 5% of the value of an

awarded grant, not to exceed $3,000. The maximum dollar

reimbursement shall increase by 2% annually, beginning with the

fiscal year following the effective date of this section. The

department may establish reimbursement waiver guidelines for

municipalities showing financial need.

(f) (E) Advisory committee.--The department may establish an

advisory committee to accept stakeholder input on the

administration of the program, to include municipal officials,

representatives from the Bureau of Charitable Organizations

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within the Department of State, municipal associations, economic

development agencies and chambers of business and industry.

Section 6. Municipal Grant Assistance Program Fund.

The Municipal Grant Assistance Program Fund is established as

a fund in the State Treasury. THE MONEY IN THE FUND IS

APPROPRIATED ON A CONTINUING BASIS TO THE DEPARTMENT FOR THE

PURPOSES OF THIS ACT. Any interest earned on money in the fund

shall be deposited into the fund. All money in the fund shall be

used for the purposes of this act.

Section 7. Reports.

Within five years of the effective date of this section, the

Local Government Commission shall provide a report to the

General Assembly on the funding and effect of the program.

Section 8. Initial appropriation.

(a) Appropriations.--The fund shall be funded by the General

Assembly through an appropriation of money to the department.

(b) Initial appropriation.--An initial appropriation of

$1,000,000 is appropriated to the fund for the purposes of this

act for fiscal year July 1, 2024, through June 30, 2025, and

continuing each year thereafter. The department may utilize the

appropriated funds to cover the administrative costs associated

with the program and the department's responsibilities under

this act.

end of any fiscal year.

(d) Account.--The department shall keep an accurate account

of the disbursements from the fund.

Section 9 8. Administrative expenses.

The expenses of the DEPARTMENT'S administration of the

program may be paid wholly or in part from the fund. If the

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department establishes the program within an existing

departmental municipal technical assistance program, money from

the fund shall MAY not be used for other programs within the

department.

Section 10. Limitation on grants awarded.

The total expenditure for grants awarded in any given fiscal

year shall not exceed 65% of the sum of the following:

(1) the fund balance at the conclusion of the previous

fiscal year; and

(2) the annual appropriation assigned to the fund for

the current fiscal year, if any.

Section 11 9. Effective date.

This act shall take effect in 60 days.

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