[Ord. 98-8, 8/10/1998, § 1]
1.
No insurance company, association or exchange (hereinafter "insurer")
doing business in the Commonwealth of Pennsylvania shall pay a claim
of a named insured for fire damage to a structure located within New
Hanover Township where the amount recoverable for the fire loss to
the structure under all policies exceeds $7,500 unless the insurer
is furnished by the New Hanover Township Treasurer or other officer
designated by the Board of Supervisors for the Township of New Hanover
with a certificate pursuant to § 508(b) of the Insurance
Company Law of 1921, as amended by Act 98 of 1992, and Act 93 of 1994,
(collectively, the "Act") and unless there is compliance with the
procedures set forth in §§ 508(c) and (d) of the Act,
40 P.S. § 638.
2.
Where there are delinquent taxes, assessments, penalties or user
charges against the property ("municipal claims") or there are expenses
which New Hanover Township has incurred as a cost for the removal,
repair or securing of a building or other structure on the property
(collectively "municipal expenses"), the Township Manager of New Hanover
Township shall immediately render a bill for such work, if he has
not already done so. Upon written request of the named insured specifying
the tax description of the property, the name and address of the insurer
and the date of receipt by the insurer of a loss report of the claim,
the Treasurer shall furnish a certificate within 14 working days after
the request, to the insurer, a certificate (or at his discretion and
oral notice confirmed in writing) either:
A.
Stating that there are no unpaid municipal claims or municipal expenses
against the property.
B.
Specifying that nature and amount of such claims or expenses, accompanied
by a bill for such amounts.
C.
Taxes, assessments, penalties and user charges shall be deemed delinquent for this purpose if a lien has been or could have been filed for such claims under applicable law. Upon receipt of a certificate and bill pursuant to Subsection 2A of this section, the insurer shall transfer to the Treasurer an amount from the insurance proceeds sufficient to pay such sums prior to making payment to the named insured, subject to the provisions of Subsection 3 hereof.
3.
When all municipal claims and municipal expenses have been paid pursuant to Subsection 2 of this section, or where the Treasurer has issued a certificate described in Subsection 2A indicating that there are no municipal or municipal expenses against the property, the insurer shall pay the claim of the named insured; provided, however, that if the loss agreed upon by the named insured and the insurer equals or exceeds 60% of the aggregate limits of liability on all fire policies covering the building or structure, the following procedures must be followed:
A.
The insurer shall transfer from the insurance proceeds to the Treasurer,
in the aggregate, $2,000 for each $15,000 of such claim or fraction
thereof.
B.
If at the time a loss report is submitted by the insured, such insured
has submitted to the insurer, with a copy to New Hanover Township,
a contractor's signed estimate of the cost of removing, repairing
or securing the building or other structure in an amount less than
the amount calculated under the foregoing transfer formula, the insurer
shall transfer to the Treasurer from the insurance proceeds the amount
specified in the estimate. If there is more than one insurer, the
transfer of proceeds shall be on a pro rata basis by all insurers
insuring the building or other structure.
C.
Upon receipt of the above described portion of the insurance proceeds,
the Treasurer shall do the following:
(1)
Place the proceeds in a separate fund to be used solely as security
against the total municipal expenses anticipated by New Hanover Township
to be required in removing, repairing or securing the building or
structure as required by this part. Such costs shall include, without
limitation, any engineering, legal or administrative costs incurred
by New Hanover Township in connection with such removal, repair or
securing or any proceedings related thereto.
(2)
Mail to the named insured, at the address received from the
insurer, a notice the proceeds have been received by New Hanover Township
and that the procedures under this subsection shall be followed.
(3)
After the transfer, the named insured may submit to New Hanover
Township a contractor's signed estimate of the cost of removing,
repairing or securing the building or other structure, in which event
the Treasurer shall, if such estimate is deemed by the Treasurer to
be reasonable, return to the insured the amount of the funds transferred
to New Hanover Township in excess of that required to pay the municipal
expenses; provided, New Hanover Township has not commenced to remove,
repair or secure the building or structure, in which case New Hanover
Township will complete the work.
(4)
Pay to the Township Manager, for reimbursement to the New Hanover
Township General Fund, the amount of the municipal expenses paid by
New Hanover Township.
(5)
Pay the remaining balance in the fund (without interest) to
the named insured upon receipt of a certificate issued by the Township
Manager that the repair, removal or securing of the building or other
structure has been completed in accordance with all applicable codes
and regulations of New Hanover Township.
(6)
Nothing in this section shall be construed to limit the ability
of New Hanover Township to recover any deficiency in the amount of
municipal claims or municipal expenses recovered pursuant to this
part, or to insurance proceeds, by an action at law or in equity to
enforce the codes of New Hanover Township or to enter into an agreement
with the named insured with regard to such other disposition of the
proceeds as New Hanover Township may deem responsible.
[Ord. 98-8, 8/10/1998, § 1]
Nothing in this part shall be construed to make an insurance
company, association or exchange liable for any amount in excess of
proceeds payable under its insurance policy or for any other act performed
pursuant to this part or to make New Hanover Township, any New Hanover
Township official, a municipality or public official an insured under
a policy of insurance or to create an obligation to pay delinquent
property taxes or unpaid removal liens or expenses other than as provided
in this part.
[Ord. 98-8, 8/10/1998, § 1]
An insurance company, association or exchange making payment
of policy proceeds under this part for delinquent taxes or structure
removal liens or removal expenses incurred by New Hanover Township
shall have a full benefit of such payment, including all rights of
subrogation and of assignment.
[Ord. 98-8, 8/10/1998, § 1]
This part shall be liberally construed to accomplish its purpose
to deter the commission of arson and related crimes, to discourage
the abandonment of property and to prevent the urban blight and deterioration.
[Ord. 98-8, 8/10/1998, § 1]
The Secretary of New Hanover Township shall transmit a certified
copy of this part promptly to the Pennsylvania Department of Community
and Economic Development.
[Ord. 98-8, 8/10/1998, § 1]
The Board of Supervisors may, and does hereby reserve the right,
by resolution, as may be adopted from time to time, to establish administrative
procedures and regulations implementing Act 98 of 1992, Act 93 of
1994, and this part and further may, by resolution, fix reasonable
fees to be charged for municipal activities and/or services provided
pursuant to Act 98, Act 93 and this part including, but not limited
to, issuance of certificates and bills, performance of inspections
and administrative services opening, maintaining and managing separate
fund accounts.
[Ord. 98-8, 8/10/1998, § 1; as amended by Ord.
17-03, 3/27/2017]
Any person, firm or corporation who shall violate any provision
of this part, upon conviction thereof in an action brought before
a magisterial district judge in the manner provided for the enforcement
of summary offenses under the Pennsylvania Rules of Criminal Procedure,
shall be sentenced to pay a fine of not more than $1,000 plus costs
and, in default of payment of said fine and costs, to a term of imprisonment
not to exceed 90 days. Each day that a violation of this part continues
or each section of this part which shall be found to have been violated
shall constitute a separate offense.
