HARRISBURG - County officials could tap two new special fees to pay for demolition of blighted buildings under legislation approved Friday by a Senate panel.
The two bills approved by the Urban Affairs Committee and headed to the Senate floor would allow counties to impose a special deed and mortgage recording fee up to $15 and a percentage fee up to 10 percent on the final sale price of a property sold at a judicial sale to underwrite a building demolition and rehabilitation fund.
It's likely that counties would use both revenue options if the bills become law, Sen. David Argall, R-29, the panel chairman and sponsor of the recording fee bill, said. He said estimates show that using both options could generate $300,000 in revenue for Schuylkill County.
The legislation stems from suggestions by a blight task force that advises Argall and other lawmakers.
"We've given local communities more tools, but it still takes money to demolish a blighted property," Argall said.
The senator said that, given tight state finances in recent years, a search has been underway to find other ways to pay for demolishing buildings that have seriously deteriorated and contribute to blight.
Communities need to remove blighted properties before they can market themselves to attract new investment, Sen. James Brewster, D-45, sponsor of the judicial sale fee bill, said.
Another measure approved by the committee would allow for a property owner's driver's license to be suspended for 90 days if they have been convicted of three serious property violations in a municipality. The bill sets several criteria before this could happen, including appeals on a conviction being exhausted and the owner making no effort to correct the violations.
Several senators voted against this bill. Argall said more work will be done on it.
Meanwhile, House lawmakers Friday approved a bill to broaden the liability of owners of blighted property subject to legal action to include corporate officers, directors, employees or others authorized to act on a corporation's behalf.
The measure, sponsored by Rep. Kurt Masser, R-107, seeks to close loopholes in current law where a property owner can switch title to a property to a shell corporate entity to escape liability. Argall said he is interested in moving that bill in the Senate.