PRINTER'S NO. 1849
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1573
Session of
2023
INTRODUCED BY CIRESI, ROZZI, MADDEN, SANCHEZ, BOYD, SMITH-WADE-
EL, PROBST, HILL-EVANS, HARKINS, BURGOS, KULIK, DELLOSO,
HOWARD, SCHLOSSBERG, KINSEY, GUENST, BOROWSKI, PARKER,
D. WILLIAMS, GREEN AND NEILSON, JULY 18, 2023
REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, JULY 18, 2023
AN ACT
Providing for the redevelopment of historic and older buildings;
establishing the Historic and Older Building Redevelopment
Assistance Grant Program and the Historic and Older Building
Redevelopment Fund; promulgating regulations; and making a
transfer.
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 Historic and
Older Building Redevelopment Assistance Grant Program Act.
Section 2. 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:
"Applicant." A person who submits an application under
section 3(d).
"Application." An application submitted under section 3(d).
"Department." The Department of Community and Economic
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Development of the Commonwealth.
"Developer." A person whose purpose is the promotion or
construction of redevelopment projects and who is engaged in the
development of real estate.
"Fund." The Historic and Older Building Redevelopment Fund
established under section 4(a).
"Grant." A grant awarded under this act.
"Historic building." A building located in this Commonwealth
that qualifies as a certified historic structure under 26 U.S.C.
ยง 47(c)(3) (relating to rehabilitation credit).
"Historic nature and traditional style." An older building
or qualified historic building which may include architectural
detailing, engineering achievements, vernacular style or few
modifications affecting the original historic configuration and
appearance of the property which offers commercial, cultural or
community development to the municipality.
"Older building." A building that is no less than 50 years
old.
"Program." The Historic and Older Building Redevelopment
Grant Program established under section 3(a).
"Project." The redevelopment, rehabilitation or enhancement
of a historic or older building for which a developer seeks a
grant under this act.
"Qualified municipality." A municipality with a median year
of structures built in 1955 or earlier.
"Redevelopment plan." A plan that provides for the
improvement of a historic or older building and meets the
requirements under section 3(e).
Section 3. Historic and Older Building Redevelopment Assistance
Grant Program.
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(a) Establishment.--The Historic and Older Building
Redevelopment Assistance Grant Program is established within the
department.
(b) Administration.--The program shall be administered by
the department.
(c) Purpose.--The purpose of the program shall be to issue
grants to eligible developers or property owners for the
redevelopment, rehabilitation or enhancement of historic and
older buildings in qualified municipalities across this
Commonwealth.
(d) Application.--An applicant must submit a written grant
application to the department in a manner prescribed by the
department. The application must include the following
information:
(1) A detailed description of the project and how the
grant would be used, including any private sector
participation.
(2) A copy of the redevelopment plan required under
subsection (e).
(3) A statement of the ability to produce income once
the project is complete and an explanation of how the project
will contribute significantly to economic and community
redevelopment or the revitalization of adjacent communities.
(4) An explanation of how the project will provide for
historic preservation or commercial or recreational
opportunities for the public.
(5) If the project includes the purchase of property, an
identification of the intended use of the property and a
timeline for redevelopment of the property.
(6) The total cost of the project.
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(7) A detailed description of the practices the
applicant will implement and maintain to improve or maintain
the property and improve or maintain the historic nature and
traditional style of the property.
(8) A statement of favorable consideration or
endorsement from a local nonprofit economic or community
development organization.
(9) Evidence of a firm commitment from the developer or
property owner to use the project upon completion.
(10) If applicable, how the redevelopment will increase
accessibility for people with disabilities.
(11) Other information that the department may require.
(e) Redevelopment plan.--An applicant that applies for a
grant shall prepare a redevelopment plan. The redevelopment
plan, at a minimum, shall:
(1) Establish the project use of commercial, industrial,
transportation or multifamily residential purposes in a
qualified municipality.
(2) Involve at least one of the following primary
activities:
(i) Mechanical improvements.
(ii) Electrical improvements.
(iii) Plumbing system improvements.
(iv) Fire protection system improvements.
(v) Building egress or accessibility improvements.
(3) Clearly designate the property and areas included
within the redevelopment plan for the property.
(4) Identify the economic impact on the improved area,
the surrounding neighborhood and the municipality in which
the property is located.
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(5) Provide any additional information as required by
the department for redevelopment plans.
(f) Publication and notice.--The department shall transmit
notice of the program's availability to the Legislative
Reference Bureau for publication in the next available issue of
the Pennsylvania Bulletin.
(g) Department action.--
(1) The department shall review an application and,
within 30 days of receipt of an application, approve or
disapprove the application.
(2) In reviewing grant applications, the department
shall consider the following:
(i) Whether the project proposed to be funded is
authorized under this act.
(ii) Whether the application complies with this act.
(iii) Consistency of the project with the
redevelopment plan required under subsection (e) for the
area in which the property is located.
(iv) Additional historic preservation, commercial or
recreational opportunities for the public provided by the
project.
(v) Significant contribution by the project to the
municipality's economic and community redevelopment or
the revitalization of adjacent communities.
(vi) The viability of the redevelopment plan
required under subsection (e).
(vii) The level of public and private commitment and
other resources available for the project.
(viii) Other criteria that the department considers
relevant.
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(h) Award of grants.--
(1) The department may issue a grant award to an
approved applicant for a project that contributes to the
redevelopment or revitalization of historic and older
buildings throughout this Commonwealth that meet any of the
following purposes:
(i) Provide for activities on the property
consistent with the project's redevelopment plan.
(ii) Provide for the demolition of buildings,
structures or other facilities on the property that are
inconsistent with the project's redevelopment plan.
(iii) Provide for the acquisition of property or the
assembly of property consistent with the project's
redevelopment plan.
(iv) Provide public infrastructure and public
facility improvements to the property consistent with the
project's redevelopment plan.
(v) Provide for the improvement or maintenance of
the historical nature and traditional style of properties
within the municipality.
(2) The department shall award a grant of no less than
$50,000 and no more than $200,000 to each eligible applicant,
subject to the availability of funding.
(3) A project must be completed no later than two years
after the date of the grant. The department may grant a
redevelopment plan extension for up to six months.
Section 4. Historic and Older Building Redevelopment Fund.
(a) Establishment.--The Historic and Older Building
Redevelopment Fund is established as a nonlapsing fund within
the State Treasury. The fund shall be used by the department to
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award grants in accordance with this act.
(b) Initial transfer.--No later than July 1, 2023,
$25,000,000 shall be transferred from the General Fund to the
fund.
(c) Alternative funding.--The department may solicit and
accept alternative funding, including Federal funds, grants and
donations from any source to assist with the goals of this act.
All money received by the department under this subsection shall
be deposited into the fund.
(d) Appropriation.--All money deposited into the fund and
the interest that the money accrues is appropriated on a
continuing basis to the department to award grants in accordance
with this act.
Section 5. Reports.
The department shall submit a report to the General Assembly
on expenditures from the fund and the progress of economic
development and rehabilitation of historic and older buildings
throughout this Commonwealth following the expiration of this
act. The report shall include the following information:
(1) The number of projects.
(2) The types of projects.
(3) The number and amount of grants.
(4) The economic impact of the program.
(5) Recommendations for the continuation or expansion of
the program.
(6) Any other information required by the department.
Section 6. Rules and regulations.
The department may promulgate rules and regulations necessary
to implement this act.
Section 7. Expiration.
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This act shall expire two years following the effective date
of this section.
Section 8. Effective date.
This act shall take effect in 180 days.
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