[Adopted 2-6-1995 by Ord. No. 1995-7]
A.
The Tax Collector of the Municipality of Kingston
or such official's designee (hereinafter, the "municipal officer")
is hereby appointed as the designated officer who is authorized to
carry out all responsibilities and duties of the Municipality stated
herein.
B.
A "fire loss" or "claim for fire damage" is defined
as any loss occurring after the effective date of this article and
covered under a policy of fire insurance, including any endorsements
or riders to the policy.
A.
No insurance company, association or exchange (hereinafter
the "insurer") doing business in the Commonwealth of Pennsylvania
shall pay a claim of a named insured for fire damage to a structure
located within the Municipality of Kingston (hereinafter the "Municipality")
where the amount recoverable for the fire loss to the structure under
all policies exceeds $7,500, unless the insurer and the named insured
comply with the provisions of Section 508(b)[1] and the provisions of this article. Also, compliance with
the Fire Insurance Escrow Ordinance which is being adopted as a companion
ordinance simultaneously with the adoption of this article is required.[2]
B.
Tax status certificates; determination of delinquency.
(1)
The municipal officer shall, upon the written request
of the named insured specifying the tax description of the property,
the name and address of the insurer and the date agreed upon by the
insurer and the named insured as the date of the receipt of a loss
report of the claim, furnish the insurer either of the following within
14 working days of the request:
(a)
A certificate or, at the discretion of the Municipality,
a verbal notification which shall be confirmed in writing by the insurer,
to the effect that, as of the date specified in the request, there
are no delinquent taxes, assessments, penalties or user charges against
the property and that, as of the date of the municipal officer's certificate
or verbal notification, the Municipality has not certified any amount
as total costs incurred by the Municipality for the removal, repair
or securing of a building or other structure on the property; or
(b)
A certificate and bill showing the amount of
delinquent taxes, assessments, penalties and use charges against the
property as of the date specified in the request that have not been
paid as of the date of the certificate and also showing, as of the
date of the municipal officer's certificate, the amount of the total
costs, if any, certified to the municipal officer that have been incurred
by the Municipality for the removal, repair or securing of a building
or other structure on the property. For the purposes of this subsection,
the Municipality shall provide to the municipal officer the total
amount, if any, of such costs, if available, or the amount of costs
known to the Municipality at the time of the municipal officer's certificate.
(2)
A tax, assessment, penalty or user charge becomes
delinquent at the time and on the date a lien could otherwise have
been filed against the property by the Municipality under applicable
law.
C.
Upon the receipt of a certificate pursuant to Subsection B(1)(a) of this section, the insurer shall pay the claim of the named insured in accordance with the policy terms. Also, compliance with the Fire Insurance Escrow Ordinance[3] which is being adopted as a companion ordinance simultaneously
with the adoption of this article is required.
D.
Upon the receipt of a certificate and bill pursuant to Subsection B(1)(b) of this section, the insurer shall return the bill to the municipal officer and transfer to the municipal officer an amount from the insurance proceeds necessary to pay the taxes, assessments, penalties, charges and costs as shown on the bill, or the full amount of the insurance proceeds, whichever is the lesser amount. The Municipality shall receive the amount and apply or credit it to payment of the items shown in the bill.
E.
Nothing in this section shall be construed to limit
the ability of the Municipality to recover any deficiency.
A.
The transfer of proceeds to the municipal officer
shall be on a pro rata basis by all insurers with applicable policies
of insurance providing protection for fire loss.
B.
The Municipality of Kingston may by resolution adopt
additional procedures and regulations to implement Section 508[1] and this article and may by resolution fix reasonable
fees to be charged for municipal activities or services provided pursuant
to Section 508 and this article, including but not limited to issuance
of certificates and bills.
[1]
Editor's Note: See 40 P.S. § 638.
Any owner of property, any named insured or
any insurer who violates this article shall be subject to a penalty
of up to $1,000 per violation.
