SB 294 — An Act amending the act of February 9, 1999 (P.L.1, No.1), known as the Capital Facilities Debt Enabling Act, in capital facilities, further providing for definitions and for appropriation for and limitation on redevelopment assistance capital projects.

PRINTER'S NO.   1657

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                        SENATE BILL
                        No. 294
                                               Session of
                                                 2026

     INTRODUCED BY HUGHES, ARGALL, PISCIOTTANO, COLLETT, HAYWOOD,
        COMITTA, COSTA, SANTARSIERO, KIM AND CAPPELLETTI, MAY 1, 2026

     REFERRED TO URBAN AFFAIRS AND HOUSING, MAY 1, 2026


                                    AN ACT
 1   Amending the act of February 9, 1999 (P.L.1, No.1), entitled "An
 2      act providing for borrowing for capital facilities;
 3      conferring powers and duties on various administrative
 4      agencies and officers; making appropriations; and making
 5      repeals," in capital facilities, further providing for
 6      definitions and for appropriation for and limitation on
 7      redevelopment assistance capital projects.
 8      The General Assembly of the Commonwealth of Pennsylvania
 9   hereby enacts as follows:
10      Section 1.    The definition of "redevelopment assistance
11   capital project" in section 302 of the act of February 9, 1999
12   (P.L.1, No.1), known as the Capital Facilities Debt Enabling
13   Act, is amended to read:
14   Section 302.    Definitions.
15      The following words and phrases when used in this chapter
16   shall have the meanings given to them in this section unless the
17   context clearly indicates otherwise:
18      * * *
19      "Redevelopment assistance capital project."    The design and
20   construction of a project which meets all of the following:
 1        (1)   Is a project, including infrastructure associated
 2    with the project. A project does not include highways,
 3    bridges, waste disposal facilities, sewage facilities or
 4    water facilities. This paragraph includes:
 5              (i)    Storm water, water or sewer infrastructure, or
 6        tunnels, bridges or roads, when associated with a project
 7        that is part of an economic development project.
 8              (ii)    Hospital facilities and capital improvements
 9        for hospital facilities.
10        (2)   Is a project which will generate substantial
11    increases in or maintain current levels of employment, tax
12    revenues or other measures of economic activity. This
13    paragraph includes:
14              (i)    [a] A community asset project[; and].
15              (ii)    [a] A housing project [that will support and
16        generate economic activity].
17        (3)   Is a project that has a regional or
18    multijurisdictional impact [or, in the case of housing, is
19    part of a community revitalization plan].
20        (4)   Is eligible for tax-exempt bond funding under
21    existing Federal law and regulations.
22        (5)   Has at least a 50% non-State financial participation
23    documented at the time of application, including a portion of
24    any funds reserved for future physical maintenance and
25    operation of the project:
26              (i)    at least half of which is secured funding;
27              (ii)    toward which the only noncash non-State
28        financial participation permitted is land or fixed assets
29        which have a substantial useful life and are directly
30        related to the project;

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 1                  (iii)   toward which State funds from other programs
 2            may not be used; and
 3                  (iv)    toward which funds from Federal sources may be
 4            used.
 5            (6)     Has a total project cost of at least $1,000,000.
 6            (7)     (Reserved).
 7      * * *
 8      Section 2.      Section 317(c) of the act is amended to read:
 9   Section 317.      Appropriation for and limitation on redevelopment
10                      assistance capital projects.
11      * * *
12      (c)   [Housing units.--An amount not to exceed $50,000,000 of
13   the amount under subsection (b) may be used for the construction
14   of housing units.] (Reserved).
15      Section 3.      This act shall take effect in 60 days.




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