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November 2011

The State House and Senate returned to work in late September and have been busy working on issues such as Legislation signed by the Governor since our last reporting:

Act 52-2011 ~ Home Improvement Contractor Fix It Legislation

House Bill 1336 amends the Home Improvement Consumer Protection Act to provide that proof of insurance may include information indicating the applicant is self-insured. It allows for the Bureau of Consumer Protection in the Office of the Attorney General to determine the adequacy of the self-insurance and the manner by which it is maintained.

The bill establishes a restricted revenue account, the Home Improvement Account, in the General Fund for the transfer of all fees and penalties collected prior to and after the effective date into the account. The funds and any interest may be appropriated to the Attorney General to administer the Act.

The value of home improvement projects is increased from $1,000 to $5,000 to which the maximum of one-third of the contract price for deposit applies. The bill further clarifies that the contractor can collect the cost of special order materials in addition to the one-third deposit as designated in the written home improvement contract.

The bill specifies that the limitations on the maximum amounts of the deposits shall not apply to a home improvement retailer who 1) posts an irrevocable letter of credit payable to the bureau in the amount of $100,000 per store, not to exceed $2,000,000 for a retailer with multiple stores; and 2) ensures that its contractors are registered and have proof of insurance.

The bill defines a “home improvement retailer” as a person who sells materials for use in home improvement contracts, whether or not the person is registered under the Act.  It allows retail installers of all sizes the option to opt out of the 1/3 partial pay, allowing them to collect 100% of the cost if they post a letter of credit in the amount of $100,000 per store location.  In the event of a dispute with a home improvement retailer or contractor who does work on behalf of the retailer, an owner may file a complaint against the retailer and request a draw upon the letter of credit. The bureau is required to notify the retailer of the complaint and to conduct an investigation. The bill allows the bureau to draw on the letter of credit to satisfy a consumer complaint following mediation or a civil action if the retailer is in default of the contract. It prohibits a home improvement retailer with two draws on an irrevocable letter of credit from posting an irrevocable letter of credit for a period of five years from the date of the second draw.


Act 60-2011 ~ Data Quality Act

Senate Bill 263 creates the Data Quality Act to ensure the use of current and reliable data, studies and scientific research by state agencies during the creation of new regulations.  The burden of justification will be put on the regulatory agency to demonstrate that the regulation is based on testable information and would need to show the supporting documentation, reports, statistics, etc. 


PMHA continues to monitor the following legislation…

HB 1/PN 217 (Schroder/R-Chester) will restore fairness when it comes to assessing penalties in liability lawsuits.  The bill amends Section 7102 of the Pennsylvania Code on Judiciary and Judicial Procedure (title 42), eliminating joint and several liability in civil cases for defendants found to be less than 60 percent liable (except if the defendant is held liable for environmental hazards, found liable for intentional fraud or tort or found civilly liable as a result of drunk driving).  Instead, it implements a system of comparative responsibility in which a defendant is responsible for paying only his or her fair share of damages. Similar to SB 1131 which passed and is now Act 17-2011.

Status:  Passed House 112-88, Senate Judiciary


HB 106/PN 58 (Tallman/R-Adams) Creates the Disclosure of Methamphetamine Contaminated Property Act and would require owners and lessors of real property contaminated by methamphetamines to disclose any contamination to purchaser, lessees, and transferees.  This would be regulated by DEP.

Status:  Environmental Resources and Energy


HB 156/PN 93 (Payne/R-Dauphin) Amends Title 75 (Vehicles) to increase the registered gross weight limit for certain registered plates from 10,000 to 14,000.

Status:  Passed House 190-0, Senate Transportation


HB 177/PN 120 (Miller/R-York) Amends the Landlord Tenant Act to allow a landlord to request the issuance of a writ of possession immediately after the rendition of the judgment.  This would not affect the eviction process outlined in Act 261.

Status:  Judiciary


HB 256/PN 207 (Grove/R-York) Provides for the forfeiture of vehicles when finding controlled substances or found driving under the influence.  Makes exceptions for vehicles used by a person as a common carrier in the transaction of business unless it appears that the owner or other person in charge of the conveyance was a consenting party or had knowledge of a violation.

PN 207 (Grove/R-York) Provides for the forfeiture of vehicles when finding controlled substances or found driving under the influence.  Makes exceptions for vehicles used by a person as a common carrier in the transaction of business unless it appears that the owner or other person in charge of the conveyance was a consenting party or had knowledge of a violation.

Status: Judiciary


HB 350/PN 305 (Sonney/R-Erie)  Amends the PA Construction Code Act 45 to allow municipalities to retain three or more construction code officials or third-party agencies to enforce the Act, and establishes language to limit fees that municipalities can charge to administer and enforce the Act.  Municipalities will be required to collect fees that represent their actual administrative costs for code enforcement and prohibits excessive charges.  It defines “excessive” to be “programs whose annual fees exceed operating costs by 10%.”  They also will be required to submit annual reports to the Department of Labor and Industry for fee review. 

/PN 305 (Sonney/R-Erie)  Amends the PA Construction Code Act 45 to allow municipalities to retain three or more construction code officials or third-party agencies to enforce the Act, and establishes language to limit fees that municipalities can charge to administer and enforce the Act.  Municipalities will be required to collect fees that represent their actual administrative costs for code enforcement and prohibits excessive charges.  It defines “excessive” to be “programs whose annual fees exceed operating costs by 10%.”  They also will be required to submit annual reports to the Department of Labor and Industry for fee review. 

Status:  Labor & Industry


HB 352/PN 307 (Sonney/R-Erie) Amends the Home Improvement Consumer Protection Act by allowing the AG to determine other permissible forms of ID and expands proof of insurance to allow for an application for self-insured for religious purposes.  Note: contents of this legislation were included in HB 1336 which was passed and signed into law.

Status:  Consumer Affairs


HB 377/PN 310, 884 (Everett/R-Lycoming) Amends the PA Construction Code to remove the sprinkler mandate for single one- and two-family homes from the IRC, enhance safety for firefighters by providing floor fire protection which is not currently in the IRC, requires homeowners to be provided with information about the cost, installation, maintenance and benefits of a sprinkler system prior to purchasing a new home, provides reasonable alternative for saving energy that are essential to the future of the log home industry in the Commonwealth and provides retroactivity for home buyers who have already been issued a building permit so that they may reapply for a new permit that would fall under this legislation, provided they install floor fire protection.

Status:  Act 1-2011, signed by Governor 4/25/11, effective immediately



HB 380
/PN 344 (Galloway/D-Bucks) Requires the construction industry, including manufactured housing retailers, to verify the social security numbers of all employees for purposes of wage reporting and employment eligibility.

Status:  Labor & Industry


HB 400/PN 366 (DeLuca/D-Allegheny) Amends the Landlord Tenant Act requiring all tenements and multiple dwelling premises with more than 26 units to provide 24 hour monitored security system in and about the premises.  Would not apply to mobile home parks.

Status:  Urban Affairs


HB 407/PN 373 (DeLuca/D-Allegheny) Amends the PA Construction Code Act 45 to require the contractor to prove there are no outstanding liens or judgments against them prior to the issuance of a construction permit.

Status:  Labor & Industry


HB 415/PN 381 (Wagner/ D-Allegheny) Amends the Landlord Tenant Act by prohibiting the assignment of rebates to the landlord or the landlord’s assignee or representative.

Status:  Consumer Affairs, 6/15/2011 re-referred to Urban Affairs


HB 440/PN 2084, 1666, 1523, 411 (Mustio/R-Allegheny) Amends the Workers’ Compensation Act of 1915 to add a new section which would authorize insurers to voluntarily provide workers’ compensation coverage to sole proprietors, partners in partnerships, and members of LLCs.

The legislation also transfers $4,000,000 from the Workermen’s Compensation Administration Fund to the Uninsured Employers Guaranty Fund (UEGF).

Status:  Act 20-2011, signed by Governor 6/30/11


HB 442/PN 2083, 1040, 714, 413 (Helm/R-Dauphin) Prohibits the imposition of private transfer fees (also called resale fees or capital recovery fees) that all a developer or builder of a property to collect a percentage of the sale price from the seller every time the property changes hands for the next 99 years.

Status:  Act 8-2011, signed by Governor 6/24/11, effective immediately


HB 454/PN 425 (Petri/R-Bucks) Amends the MPC to define and allow for transportation impact fees to be charged against new development. 

Status:  Local Government


HB 598/PN 582 (Preston/D-Allegheny) Regulates new home builders and create a registration program similar to the Home Improvement Registration Act.  It includes the licensing of retailers selling new manufactured homes and installers installing new manufactured homes (excludes home manufacturers unless they install homes).  The current language is contrary to current laws governing manufactured housing businesses.  It cites the Mobile Home Park Rights Act and gives no consideration for the fact that retailers and installers are already licensed under other laws.  Initial registration will be $300 and renewals will be based on number of building permits in the preceding calendar year ~ 10 or fewer, $150 and 11 or more, $300.  Contractors will have to maintain a minimum of $300,000 personal injury and a minimum of $300,000 for property damage and be required to put their registration number on all advertising and contracts.  It establishes a Home Builder Guaranty Fund from an assessment of $50 per building permit.

Status:  Consumer Affairs


HB 599/PN 583 (Preston/D-Allegheny)  Amends the Home Improvement Consumer Protection Act establishing the Home Improvement Guaranty Fund along with procedures to submit claims and for reimbursement from the fund.  Note: contents of this legislation were included in HB 1336 which was passed and signed into law.

Status:  Consumer Affairs


HB 642/PN 643 (J. Taylor/R-Philadelphia) Tax sale of abandoned properties. Would not apply to abandoned manufactured homes.

Status:  Urban Affairs


HB 725/PN 738 (Oberlander/R-Clarion) Amends the PA Construction Code Act reforming the way the building code is adopted.

Status:  Labor & Industry


HB 916/PN 979 (Perry/R-York) Amends the Unemployment Compensation Law to provide for relief for charges from certain employers and to extend benefits program definitions.

Status:  Laid on table in House


HB 979/PN 1053 (Bishop/D-Philadelphia)   Creates the Residential Lease Protection for Illness Act which will require landlords to grant medical access and provides procedures to terminate residential leases for situations involving terminal or mental illness.

Status:  Consumer Affairs


HB 1048/PN 1135 (Staback/D-Lackawanna) Amends the Vehicle code requiring proof of taxes paid before a title can be transferred on a house coach, house trailer, mobile home, motor homes, truck camper or similar vehicle that has been anchored to the ground and connected to utilities.

Status:  Transportation



HB 1180/PN 1286 (Perry/R-York) Provides for “English only” tests when qualifying for commercial driver’s license.

Status:  Transportation


HB 1182/PN 1288 (Harper/R-Montgomery) Amends Act 261 and would require a long lease disclosure to be given to all residents in a manufactured housing community.  PMHA is opposing this legislation.

Status:  Consumer Affairs, re-referred to Urban Affairs


HB 1336/PN 2091, 1534 (Godshall/R-Montgomery) Amends the Home Improvement Consumer Protection Act.  Establishes the Home Improvement Account in the General Fund for use by the AG to enforce the law.  Allows a Home Improvement Retailer to provide an irrevocable letter of credit in order to be exempt from the one-third deposit limits. (Same language as in SB 963) Additionally the amount for home improvement contracts, to which the one-third deposit amount restriction is applicable, is increased from $1000 to $5000.  Also, clarifies that a contractor can collect a one-third deposit as well as the cost of special order material that will be ordered as designated on the written contract.

Status:  Act 52-2011, signed by Governor 7/7/11, effective immediately



HB 1390
/PN 1638 (Payne/R-Dauphin) Amends the Landlord Tenant Act changing the summons and service from “not less than seven nor more than ten” to “a date not more than seven” days from the date of summons, and reduces the appeal by tenant from ten to five days.

Status:  Judiciary


HB 1393/PN 1641 (Ross/R-Chester)  Codifies the provisions of the Motor Vehicle Sales Finance Act and the Goods and Services Installment Sales Act.

/PN 1641 (Ross/R-Chester)  Codifies the provisions of the Motor Vehicle Sales Finance Act and the Goods and Services Installment Sales Act.

Status:  Commerce



HB 1526/PN 1870 (Saylor/R-York) Amends the Landlord Tenant Act and will require the landlord to terminate a lease the last day of the calendar month that immediately follows the death of a tenant.  Or, upon the surrender of the rental unit and removal of personal belongings by the tenant’s estate.  If the estate fails to extend the lease or remove personal belongings by the close of the calendar month immediately following the death of the tenant the landlord may dispose of the belongings without responsibility or liability.

Status:  Urban Affairs


HB 1630/PN 2079 (Tobash/R-Berks) – Amends the Motor Vehicle Sales Finance Act.  Removes the cap placed on service contracts, warranties and debt suspension or cancellation agreements allowing the free market to determine the cost consumers will pay for these products.

/PN 2079 (Tobash/R-Berks) – Amends the Motor Vehicle Sales Finance Act.  Removes the cap placed on service contracts, warranties and debt suspension or cancellation agreements allowing the free market to determine the cost consumers will pay for these products.

Status:  Passed the House (192-0), Senate Consumer Protection and Professional Licensure



HB 1764/PN 2265 (Davis/D-Bucks) Amends the Landlord Tenant Act requiring landlords to disclose foreclosure information to tenants.

Status:  Urban Affairs


HB 1767/PN 2267 (Freeman/D-Northampton) Amends the Manufactured Home Community Rights Act to allow community owners to sell or destroy homes and property abandoned by residents. 

Additionally it requires community owners to notify their residents, resident organization (if one), the municipality where the community is located and the PHFA in writing 60 days prior to entering into any agreement for sale or lease of the community or closure of the community.  If closing, the community owner must provide additional notifications and postings and consider any offer to purchase the community made by a resident organization or a nonprofit corporation representing at least 25% of the home spaces.  The community owner will be required to pay relocation costs up to $4000 per single section home and up to $6000 for a multi section home.  If a resident is unwilling or unable to relocate their home the community owner will be required to pay a minimum of $2500 or the appraised value or a cost mutually agreed to by the community owner and the resident.  Appraisal costs will be split between the community owner and the resident.  PMHA will be working with the community committee to establish a position on this bill.

Status:  Urban Affairs



HB 1845/PN 2368 (Davis/D-Bucks) Creates the Loan Interest and Protection Law providing for a single point of contact for residential mortgage debtors.

Status:  Finance


HB 1846/PN 2369 (Davis/D-Bucks) Amends Landlord Tenant Act to require landlord to notify residents in writing should notice of foreclosure due to tax sale is levied against them.

Status:  Judiciary



SB2/PN 456, 142, (Corman/R-Centre) Amends provisions related to comparative negligence.

Status:  Judiciary


SB 26/PN 11 (Greenleaf/R–Bucks) Amends Act 261 to allow the residents in a manufactured housing community to challenge rent increases through an arbitration process.  And defines “excessive rent increase” to be unreasonable increases and based on the community owners total expenses, debt service, taxes and a reasonable return on the owners investment or equity in the community.  The debt service must be directly related to the acquisition or capital management of the community in question.  An arbitrator would perform the analysis and the cost would be split equally between the community owner and the residents.  PMHA is opposing this legislation.

Status:  Consumer Protection and Professional Licensure


SB 150/PN 124 (Greenleaf/R-Bucks) Would require a person that is contractually obligated to the contract holder under the terms of a service contract to become registered with the PA Insurance Department and comply with various capital and insurance requirements.

Status:  Banking and Insurance


SB 158/PN 145 (Fontana/D-Allegheny) Amends the New Home Construction Local Tax Abatement Act to clarify the form shall be submitted between the time the building permit is issued and six months following the date of the initial occupancy of the property.

/PN 145 (Fontana/D-Allegheny) Amends the New Home Construction Local Tax Abatement Act to clarify the form shall be submitted between the time the building permit is issued and six months following the date of the initial occupancy of the property.

Status:  Re-referred from Finance to Appropriations


SB 235/PN 205 (Tartaglione/D-Philadelphia) Amends the Minimum Wage Act of 1968 to tie increases automatically to the CPI for All Urban Consumers.

Status:  Labor and Industry 


SB 263/PN 240 (Erickson/R-Chester) Amends the Regulatory Review Act requiring state agencies when creating new regulations to justify that the change is supported by tested, acceptable and approved data. 

Status:  Act 60-2011, signed by Governor 7/7/11, effective 60 days.


SB 370/PN 354 (D.White/R-Armstrong) Amends the Home Improvement Consumer Protection Act to allows for the Bureau to accept self-insurance.  Note: contents of this legislation were included in HB 1336 which was passed and signed into law.

Status:  Consumer Protection and Professional Licensure



SB 405/PN 1055 (Browne/R-Lehigh)  Amends the Local Tax Enabling Act  to limit a local government’s ability to levy a mercantile or business privilege tax to those businesses whose base of operation is in the local taxing jurisdiction.  Also, would prohibit local government from levying the tax on activities that are already subject to the tax by another local government.

Status:  Appropriations


SB 478/PN 470 (Browne/R-Lehigh) Provides for the tax sale of abandoned properties. 

Status:  Finance Committee


SB 479/PN 471 (Browne/R-Lehigh) Allows motor vehicles dealers to get a sales and use tax discount if submitted in a timely manner.

Status:  Finance


SB 500/PN 500 (Greenleaf/R-Bucks) Amends provisions related to comparative negligence.

Status:  Judiciary


SB 605/PN 655 (Robbins/R-Butler) Amends the PA Construction Code Act providing for revised or successor codes and a report.

Status:  Labor and Industry


SB 747/PN 757 (Erickson/R-Chester) Creates the State Board of Plumbing Contractors to regulate the licensing of plumbers and maintain a license registry.  Would prohibit anyone who is not licensed from providing plumbing services and allow only master plumbers to use the title “licensed plumbing contractor.”  Also, would prohibit a municipality from adopting plumbing standards outside the relevant provisions of the PA UCC.

Status:  Appropriations


SB 752/PN 804 (Corman/R-Centre) Amends the PA Construction Code Act by fixing the broken code adoption process and allow for a more thoughtful and deliberative code change process.  Note this language was amended into HB 377 and is now included in Act 1-2011.

Status:  Labor and Industry


SB 758/PN 773 (Stack/D-Philadelphia) Amends the Board of Vehicles Act to allow all vehicle dealers to be open and consummate vehicle sales on one Sunday per month.  Manufactured housing retailers are currently allowed to be open and consummate vehicle sales on all Sundays.

Status:  Consumer Protection and Professional Licensure


SB 789/PN 820 (Folmer/R-Berks) Amends the Unemployment Compensation law. Note: Similar to HB 916.

Status:  Labor and Industry


SB 809/PN 815 (Rafferty/R-Berks) Amends the General County Assessment Law to exclude “house trailers and mobilehomes” from taxing laws.

Status:  Finance



SB 877/PN 892 (Rafferty/R-Berks) Establishes guidelines for planned communities that relate to meetings and quorums of unit owner’s association, for proxies and for association records.

Status:  Urban Affairs and Housing


SB 887/PN 903 (Browne/R-Lehigh) Amends the Landlord Tenant Act related to the disposition of abandoned personal property.

Status:  Urban Affairs and Housing


SB 963/PN 1046 (Tomlinson/R-Bucks) Amends the Home Improvement Consumer Protection Act.  Establishes the Home Improvement Account in the General Fund for use by the AG to enforce the law.  Allows a Home Improvement Retailer to provide an irrevocable letter of credit in order to be exempt from the one-third deposit limits.  Similar to HB 1336.

Status: Consumer Protection and Professional Licensure


SB 1030/PN 1365, 1363, 1293, 1239, 1189, 1133 (Gordner/R-Columbia) Amends the Unemployment Compensation Law to provide relief from charges and for establishment and maintenance of employer’s reserve accounts; providing for automatic relief from charges; further providing for qualification required to secure compensation, for rate and amount of compensation, for definitions and for rules of procedures; and proving for shared-work program and for applicability.

Status:  Act 6-2011, signed by Governor 6/17/11.


SB 1101/PN 1464 (Farnese/D-Philadelphia) Requires the buyer to sign and date disclosures to the seller in regards to title insurance, legal representation and liens.

Status:  Consumer Protection and Professional Licensure


SB 1106/PN 1484 (Washington/D-Montgomery) Creates the Domestic Violence Safe Housing Act and prohibits a landlord from terminating a tenancy or failing to renew a tenancy based upon an act of domestic violence, sexual assault or stalking against a protected tenant or a protected tenant’s household member.

Status: Urban Affairs and Housing


SB 1131/PN 1322, 1389 (Prime Sponsor, Greenleaf, Withdrew)  The bill amends Section 7102 of Title 42, relating to comparative negligence, to provide that each defendant in an action to recover damages for negligence resulting in death or injury to person or property shall be liable for that proportion of the total dollar amount awarded as damages in the ratio of the amount of that defendant’s liability to the amount of liability attributed to all defendants. The court shall enter a separate and several judgment against each defendant. A defendant’s liability shall be joint and several in cases of intentional misrepresentation, an intentional tort, a release or threatened release of a hazardous substance, a civil action in which a defendant violated Section 497 of the Liquor Code, or where the defendant has been held liable for not less than 60% of the total liability apportioned to all parties. A defendant is entitled to recover contribution from defendants who have paid less than their proportionate share of the damages awarded. Responsibility shall be apportioned by the trier of fact upon appropriate requests and proofs by any party.

The provisions related to comparative negligence would apply to causes of action which accrue on or after the effective date of the bill. Similar to HB 1.

Status: Act 17-2011, signed by Governor 6/28/11, effective immediately.



SB 1141/PN 1460 (McIlhinney/R-Bucks) Amends the Manufactured Housing Improvement Act to create a standard to install relocated manufactured homes and to develop guidelines to establish the habitability of relocated manufactured homes.

Status:  Urban Affairs and Housing


SB 1159/PN1379 (Stack/D-Philadelphia) Amends the Motor Vehicle Sales Finance Act providing for the regulation of professional repossessors and collateral recovery companies.

Status:  Banking and Insurance


SB 1164/PN 1384 (Wozniak/D-Cambria) Amends the PA Consolidated Statues increasing the cost of a removal permit for a “mobile home” from $2 to $10.

Status:  Local Government


SB 1165/PN 1385 (Wozniak/D-Cambria) Amends The General County Assessment Law increasing the cost of a removal permit for a “mobile home” from $2 to $10.

Status:  Local Government


For more information or copies of any of these bills, please contact PMHA at 888-242-7642 or linda@pmha.org.