Pennsylvania Act 1989-88 — PROPERTY TAX EXEMPTIONS IN FIRST CLASS COUNTY AND CITY

Act text

PROPERTY TAX EXEMPTIONS IN FIRST CLASS COUNTY AND CITY
                  Act of Dec. 21, 1989, P.L. 680, No. 88              Cl. 53
                                  AN ACT

     Relating to cities and counties of the first class, defining
        "public property used for public purposes" to include any
        public assembly facility located on public land primarily
        used for sports, entertainment, musical concerts and other
        cultural and entertainment events, including accessory uses
        incident thereto; authorizing real property tax exemptions;
        providing for payments in lieu of taxes; and making repeals.

        The General Assembly of the Commonwealth of Pennsylvania
     hereby enacts as follows:

     Section 1.  Legislative findings; declaration of policy.
        It is hereby determined and declared as a matter of
     legislative finding:
            (1)  That the health, safety and general welfare of the
        people of the city of the first class are directly dependent
        upon the continual encouragement, development, growth and
        expansion of business, commerce and tourism.
            (2)  That unemployment and the continuation and spread of
        poverty can be alleviated by the promotion, attraction,
        stimulation, development and expansion of business, commerce
        and tourism in cities of the first class.
            (3)  That development of a major multipurpose sports and
        entertainment complex and accessory uses is most appropriate
        in a city of the first class, which, because of its size, is
        capable of retaining and supporting professional as well as
        amateur sports teams and attracting major national sporting,
        and musical and cultural events; and that attraction of
        business and tourism to a city of the first class as a result
        of the development of such a facility and its accessory uses
        will be an important factor in the continued encouragement,
        promotion, attraction, stimulation, development, growth and
        expansion of business, commerce and tourism within a city of
        the first class.
            (4)  That the development of a multipurpose sports and
        entertainment complex will benefit the hotel and restaurant
        industries and related businesses whose livelihood is
        dependent thereon throughout the entire area where such
        facility is located.
            (5)  That the development and promotion of a multipurpose
        sports and entertainment complex on public property in a city
        of the first class, which will provide significant benefits
        to the general public, will require the expenditure of
        substantial private funds.
            (6)  That it is appropriate that in a city of the first
        class, a multipurpose sports and entertainment complex
        located on public property be exempt from real estate tax in
        recognition of its public purpose in promoting business,
        commerce and tourism and providing a location for
        professional and amateur sporting events and musical,
        cultural and entertainment events.
            (7)  That to promote, encourage and enable the
        development on public property of a major multipurpose sports
        and entertainment complex to benefit the general welfare in a
        city of the first class, such a facility must be exempt from
        real estate tax in recognition of its public purpose.
            (8)  That the development of a multipurpose sports and
        entertainment complex can benefit distressed or
        underdeveloped areas in the same community or in adjoining
        communities.
     Section 2.  Definitions.
        The following words and phrases when used in this act shall
     have the meanings given to them in this section unless the
     context clearly indicates otherwise:
        "City."  A city of the first class.
        "Public property used for public purposes."  The term shall
     mean any public assembly facility located on public land (which
     shall include public land leased to a private individual,
     partnership, corporation or other business enterprise),
     primarily used for professional and amateur sports
     entertainment, musical concerts and other cultural and
     entertainment events, including accessory uses incident thereto
     which shall include, but not be limited to, dining, drinking and
     parking facilities, whether or not such facility is owned and
     operated by a public authority or is leased to or operated by a
     private individual, partnership, corporation or other business
     enterprise.
     Section 3.  Exemptions from taxation; payments in lieu of taxes.
        (a)  Exemption.--All public property used for public
     purposes, with the ground thereto annexed and necessary for the
     occupancy and enjoyment of the same, shall be exempt from all
     county, city and school tax, but shall not include property
     otherwise taxable which is owned or held by an agency of the
     United States Government, nor shall this act be construed to
     exempt from taxation any privilege, act or transaction conducted
     upon public property by persons or entities which would be
     taxable if conducted upon nonpublic property regardless of the
     purpose or purposes for which such activity occurs, even if
     conducted as agent for or lessee of any public authority.
        (b)  Payments in lieu of taxes.--For public property used for
     public purposes constructed after the effective date of this
     section, the city shall impose in lieu of all city, county and
     school district real property taxes an amount annually equal to
     2% of the costs of the project as are agreed to by the city and
     the facility developer prior to the commencement of construction
     of the facility, plus such other amount as agreed upon by the
     city and the facility developer. Such payment shall be made to
     the city treasury. The in lieu of payment shall commence at the
     expiration of five years from the effective date of the
     agreement between the public authority and the facility
     developer.
     Section 4.  Repeals.
        The following acts and parts of acts are repealed insofar as
     they are inconsistent with this act:
        Act of May 22, 1933 (P.L.853, No.155), known as The General
     County Assessment Law.
        Act of June 27, 1939 (P.L.1199, No.404), entitled "An act
     relating to the assessment of real and personal property and
     other subjects of taxation in counties of the first class;
     providing for the appointment of members of the board of
     revision of taxes by the judges of the courts of common pleas;
     providing for the appointment, by the board, of personal
     property assessors, real estate assessors and assistant real
     estate assessors, clerks and other employes; fixing the salaries
     of members of the board, assessors and assistant assessors, and
     providing for the payment of salaries and expenses from the
     county treasury; prescribing the powers and duties of the board
     and of the assessors, the time and manner of making assessments,
     of the revision and notice of assessments and of appeals
     therefrom; prescribing the records of assessments; and repealing
     existing laws."
     Section 5.  Effective date.
        This act shall take effect immediately.