The Housing Alliance of Pennsylvania. Addressing blight is a local concern But solutions are largely governed by State law PA General Assembly has modernized.

The Housing Alliance of Pennsylvania

Addressing blight is a local concernBut solutions are largely governed by State

lawPA General Assembly has modernized laws

Now there are a variety of new tools that can be used to address these issues

These new tools are divided into three categories:

1. Blight Prevention Strong enforcement = effective prevention

2. Disposition Transfer property for beneficial use

3. Redevelopment Incentives Encourage private investment in blighted

properties

Tools WE HAVE to Address Blight and

Abandonment

Strong Enforcement = Effective Prevention

Person purchases property with known code violations

Purchase of building

18 months to correct violations or demolish

structure

Purchase of a lot

12 months to correct violations

Code Enforcement Official inspects property at sale

12-18 month re-inspection

Violations not corrected Violations

corrected

Citation issued and fines from $1,000-

$10,000

Purpose: Purchasers of property must correct known violations within 12-18 months

Owner of a property subject building, housing or property maintenance codes

Convicted at least 4 times for

same code violation

No reasonable attempt to

abate

Purpose: Multiple code convictions are misdemeanor criminal offenses

Threatens health, safety,

property

Violations remain

unabated

Code Enforcement Official requests prosecution by ADA

ADA approves and prosecutes

Code Officials conduct periodic inspections to support prosecution

Offender punished by incarceration

Five plus summary convictions = 1st

degree misdemeanor

Four summary convictions = 2nd

degree misdemeanor

Purpose: Court appointed third party may take control of blighted property

Vacant buildings with code violations/ public nuisance conditions

Not occupied for 1 year

Not marketed

for 60 days

Not part of foreclosure

action

Owned longer than 6 months

Court action initiated by owner, lien holder, nonprofit municipality, resident/business owner within 500 feet

3rd party (conservator) appointed to:

Take possession

Bring building up

to code

Carry out court-approved

rehabilitation plan

Demolish building

(Can be financed by court approved conservators lien)

Transfer property for beneficial use

Purpose: Makes it easier for non-profit Community Development Corporations (CDCs) to purchase property owned by a municipality

Property titled in the name of the municipality

A CDC involved in affordable housing or commercial industrial redevelopment approaches municipality to purchase property

Municipality confirms prospective purchaser’s non-profit CDC status

Property sold to CDC without advertising or bidding

Purpose: Makes it easier for non-profit organizations to purchase property owned by a county

Property titled to a county government

Non-profit organization engaged in construction of affordable housing/community industrial or commercial development approaches

municipality to purchase property

County confirms prospective purchaser’s non-profit status and activities

Property sold to non-profit

Purpose: Allows Redevelopment Authorities to become personal representative of deceased person’s estate

Vacant property that is titled in the name of a deceased person

RA that serves the political subdivision where the property is located petitions for Letters of Administration

Probate Clerk, County Register of Wills grants petition

RA may administer estate for limited purpose of transferring title on real estate that is titled in the name of the deceased person only to an

interested party

Purpose: Allows for judge to terminate conservatorship if certain conditions occur

Vacant buildings under court ordered conservatorship (control by 3rd party)

Conservator requests the sale of the property from the court

Owner reimburses conservator

Owner may regain

possession

Owner does not reimburse conservator

Court may approve free and clear sale of property

Proceeds distributed in order specified in statute

Court costs/governmental liens

Conservator costsOwner receives balance after all other costs paid

Encourage private investment in blighted properties

Purpose: Distinguishes new construction code and existing building rehabilitation code

Properties with existing structures

Property developers and Code Official apply codes for existing structures to rehabilitation work

Existing structure undergoes rehabilitation work

Facilitates rehabilitation of existing structures in a safe and economical manner

Eliminates application of construction codes to building rehabs

Purpose: Exempts from real estate taxes the amount of improvements and provides for abatements over a ten year period

Deteriorated properties in designated “deteriorated neighborhood”

Municipality adopts an ordinance setting out terms of abatements

Owner applies for abatement

Owner exempt from real property taxes the assessed valuation of improvements to deteriorated property

Purpose: Allows property owners in a Neighborhood Improvement District (NID) to pool money from a special property assessment for district improvements

Properties with boundaries determined for a NID

Governing body of municipality adopts the NID by resolution or ordinance

Local municipalities, businesses and residents may agree to pool funds to provide services and improvements specifically for their

neighborhood

Municipality should designate a NID management association to manage oversight