[Ord. 1995-3, 2/16/1995, § I]
The Treasurer of Lower Macungie Township or such official's
designee is hereby appointed as the designated officer who is authorized
to carry out all responsibilities and duties stated herein.
[Ord. 1995-3, 2/16/1995, § II]
A "fire loss" or claim for fire damages is defined as any loss
occurring after the effective date of this Part and covered under
a policy of fire insurance, including all endorsements or riders to
the policy.
[Ord. 1995-3, 2/16/1995, § III; as amended by Ord.
1999-12, 7/1/1999, § II]
No insurance company, association or exchange (hereinafter the
"insuring agent") doing business in the Commonwealth of Pennsylvania
shall pay a claim of a named insured for fire damage to a structure
located within the Township of Lower Macungie (hereinafter the "Township")
where the amount recoverable for the fire loss to the structure under
all policies exceeds $7,500, unless the insuring agent is furnished
by the Township Treasurer with a municipal certificate pursuant to
§ 508(b) of Act 98 of 1992, as amended (the "Act"), and
unless there is compliance with § 508(c) and (d) of the
Act, 40 P.S. § 638, and the provisions of this Part.
[Ord. 1995-3, 2/16/1995, § IV]
1.
The Township Treasurer shall, upon the written request of the named
insured specifying the tax description of the property, name and address
of the insuring agent and the date agreed upon by the insuring agent
and the named insured as the date of the receipt of a loss report
of the claim, furnish the insuring agent either of the following within
14 working days of the request:
A.
A certificate 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
Township Treasurer's certificate, the Township has not certified any
amount as total costs incurred by the Township for the removal, repair
or securing of a building or other structure on the property.
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 Township Treasurer's certificate,
the amount of the total costs, if any, certified to the Township Treasurer
that have been incurred by the Township for the removal, repair or
securing of a building or other structure on the property. For the
purposes of this clause, the Township shall provide to the Township
Treasurer the total amount, if any, of such costs, if available, or
the amount of costs known to the Township at the time of the Township
Treasurer's certificate. 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 Township under applicable
law.
[Ord. 1995-3, 2/16/1995, § V]
Upon receipt of a certificate pursuant to § 7-104, Subsection 1A, of this Part, the insuring agent shall pay the claim of the named insured in accordance with policy terms, except that if the loss agreed upon by the named insured and the insuring agent equals or exceeds 60% of the aggregate limits of liability on all fire insurance policies covering the building or other structure, the procedures set forth in § 7-107 below shall be followed.
[Ord. 1995-3, 2/16/1995, § VI]
Upon the receipt of a certificate and bill pursuant to § 7-104, Subsection 1B, of this Part, the insuring agent shall return the bill to the Township Treasurer and transfer to the Township Treasurer 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 Township shall receive the amount and apply or credit it to payment of the items shown in the bill. Further, the terms of § 7-107 shall be followed, if applicable. Nothing in this section shall be construed to limit the ability of the Township to recover any deficiency.
[Ord. 1995-3, 2/16/1995, § VII; as amended by Ord.
1999-12, 7/1/1999, § 2]
1.
Where pursuant to § 508(b)(1)(i) of the Act, 40 P.S. § 638,
the Township Treasurer receives from the named insured a written request
specifying:
2.
The Township Treasurer shall respond in 14 days by issuing to the
insuring agent, (A) a certificate, or (B) verbal notice followed by
a written statement indicating, if the same is true, as follows:
A.
There are no delinquent taxes, assessments, penalties or user charges
against real property.
B.
As of the date of the Treasurer's certificate or verbal notification,
no municipality has 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.
3.
Thereupon, the insuring agent shall pay the claim of the named insured;
provided, however, that if the loss agreed upon by the named insured
and the insuring agent equals or exceeds 60% of the aggregate limits
of liability on all fire policies covering the building or other structure,
the following procedures must be followed:
A.
The insuring agent shall transfer from the insurance proceeds to
the Township Treasurer in the aggregate $2,000 for each $15,000 of
a claim and for each fraction of that amount of a claim, this section
to be applied such that if the claim is $15,000 or less, the amount
transferred to the Township shall be $2,000.
B.
If at the time of a proof of loss agreed to between the named insured
and the insuring agent, the named insured has submitted a contractor's
signed estimate of the costs of removing, repairing or securing the
building or other structure in an amount less than the amount calculated
under the foregoing transfer formula, the insuring agent shall transfer
to the Township from the insurance proceeds the amount specified in
the estimate.
C.
The transfer of proceeds shall be on a pro rata basis by all companies,
associations or exchanges insuring the building or other structure.
Policy proceeds remaining after the transfer to the Township shall
be disbursed in accordance with the policy terms.
D.
After the transfer, the named insured may submit a contractor's signed
estimate of the costs of removing, repairing or securing the building
or other structure, and the Township Treasurer shall return the amount
of the funds transferred to the Township in excess of the estimate
to the named insured, if the Township has not commenced to remove,
repair or secure the building or other structure.
E.
Upon receipt of proceeds under this section, the Township shall do
the following:
(1)
The Township's Treasurer shall place the proceeds in a separate
fund to be used solely as security against the total costs of removing,
repairing or securing the building or structure which are incurred
by the Township. Such costs shall include, without limitation, any
engineering, legal or administrative costs incurred by the Township
in connection with such removal, repair or securing of the building
or any proceedings related thereto.
(2)
It is the obligation of the insuring agent when transferring
the proceeds to provide the Township with the name and address of
the named insured. Upon receipt of the transferred funds and the name
and address of the named insured, the Township Treasurer shall contact
the named insured, certify that the proceeds have been received by
the Township and notify the named insured that the procedures under
this Part shall be followed.
(3)
When repairs, removal or securing of the building or other structure
have been completed in accordance with all applicable regulations
and orders of the Township and the required proof of such completion
received by the Township Treasurer, and if the Township has not incurred
any costs for repairs, removal or securing, the fund shall be returned
to the named insured. If the Township has incurred costs for repairs,
removal or securing of the building or other structure, the costs
shall be paid from the fund and if excess funds remain, the Township
shall transfer the remaining funds to the named insured.
(4)
To the extent that interest is earned on proceeds held by the
Township pursuant to this Part, and such proceeds are not returned
to the named insured, such interest shall belong to the Township.
To the extent that proceeds are returned to the named insured, interest
earned on such proceeds shall be distributed to the named insured
at the time that the proceeds are returned.
F.
Nothing in this Part shall be construed (1) to limit the ability
of the Township to recover any deficiency, or (2) to make an insuring
agent liable for any amount in excess of proceeds payable under its
insurance policy or for any other act performed pursuant to this Part;
or (3) to make the Township or public official an insured under a
policy of insurance; (4) to create an obligation to pay delinquent
property taxes or unpaid removal liens or expenses other than as provided
in this Part or the Act; or (5) to prohibit the Township and the named
insured from entering into an agreement that permits the transfer
of funds to the named insured if some other reasonable disposition
of the damaged property has been negotiated.
[Ord. 1995-3, 2/16/1995, § VIII; as amended by
Ord. 1999-12, 7/1/1999, § 4; and by Ord. 2011-12, 10/6/2011]
The Board of Commissioners may, by resolution, adopt procedures
and regulations to implement the Act and this Part and may, by resolution,
fix reasonable fees to be charged for municipal activities or services
provided pursuant to the Act and this Part, including, but not limited
to, issuance of certificates and bills, performance of inspections
and opening separate fund accounts.
[Ord. 1995-3, 2/16/1995; as added by Ord. 1999-12, 7/1/1999,
§ 3]
1.
Where, pursuant to § 508(b)(1)(ii) of the Act, 40 P.S. § 638, the Township Treasurer receives a written request from the named insured in the terms set forth in § 7-107 above, and any of the following delinquencies exist, the Treasurer shall issue to the insuring agent within 14 days a certificate and bill showing:
A.
The amount of delinquent taxes, assessments, penalties and user charges
against the property as of the date specified in the request that
have not been paid as of the date of the certificate.
B.
As of the date of the Treasurer's certificate, the amount of the
total costs, if any, certified to the Treasurer by the Township for
the removal, repair or securing of a building or other structure on
the property.
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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 Township under applicable law.
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2.
Upon receipt of a certificate and bill issued under this section,
the insuring agent shall return the bill to the Township Treasurer
and transfer to the Treasurer an amount from the insurance proceeds
necessary to pay the taxes, assessments, penalties, charges and costs
as shown on the bill. The Township shall receive the amount and apply
or credit it to payment of the items shown in the bill.
[Ord. 1995-3, 2/16/1995; as added by Ord. 1999-12, 7/1/1999,
§ 5]
Exact copies of this Part shall be filed with the Department
of Community and Economic Development together with the name and phone
number of the Township Treasurer responsible for complying with such
ordinances.
[Ord. 1995-3, 2/16/1995, § IX; as amended by Ord.
2011-12, 10/6/2011]
Any person, firm or corporation who shall violate any provision
of this Part, upon conviction thereof, shall be sentenced to pay a
fine of not more than $1,000 plus costs. 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.
