City of Scranton, PA
Lackawanna County
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Table of Contents
Table of Contents
[HISTORY: Adopted by the City Council of the City of Scranton: Art. I, as Ord. No. 171-1992 (Ch. 7, Art. X, of the 1979 Code), amended in its entirety 2-1-1995 by Ord. No. 10-1995. Amendments noted where applicable.]
GENERAL REFERENCES
Fire prevention — See Ch. 243.
[Adopted as Ord. No. 171-1992 (Ch. 7, Art. X, of the 1979 Code), amended in its entirety 2-1-1995 by Ord. No. 10-1995]

§ 298-1 Authority of Treasurer.

The Treasurer of the City of Scranton is hereby appointed as the designated officer who is authorized to carry out all responsibilities and duties stated herein.

§ 298-2 Municipal certificate; transfer of proceeds.

A. 
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 City of Scranton where the amount recoverable for the fire loss to the structure under all policies exceeds seven thousand five hundred dollars ($7.500.), unless the named insured or insuring agent is furnished by the Treasurer of the City of Scranton with a municipal certificate pursuant to Section 508 (b) of Act 98 of 1992,[1] as amended by Act 93 of 1994, and unless there is compliance with Section 508(b) of Act 98 of 1992, as amended, and unless there is compliance with Section 508(c) and (d) of Act 98 of 1992 as amended and the provisions of this Article.
[1]
Editor's Note: See 40 P.S. § 638 et seq.
B. 
Where pursuant to Section 508(b)(1)(i) of Act 98 of 1992, as amended, the Treasurer issues a certificate indicating that there are no delinquent taxes, assessments, penalties and user charges against real property, the insuring agent shall pay the claim of the named insured; provided however, that if the loss is agreed upon by the named insured and the insuring agent equals or exceeds sixty percent (60%) of the aggregate limits of liability on all fire policies covering the building restructure, the following procedures must be followed:
(1) 
The insuring agent shall transfer from the insurance proceeds to the Treasurer of the City of Scranton, in the aggregate of two thousand dollars ($2,000.) for each fifteen thousand dollars ($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 fifteen thousand dollars ($15,000.) or less, the amount transferred to the City of Scranton shall be two thousand dollars ($2,000.); or
(2) 
If, at the time of a loss report, 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 City of Scranton from the insurance proceeds the amount specified in the estimate.
(3) 
The transfer of proceeds shall be on a pro rata basis by all companies, associations or exchanges insuring the building or other structure.
(4) 
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 Treasurer of the City of Scranton shall return the amount of the funds transferred to the municipality in excess of the estimate to the named insured, if the City of Scranton has not commenced to remove, repair or secure the building or other structure.
(5) 
Upon receipt of proceeds under this section, the City of Scranton shall do the following:
(a) 
The Treasurer of the City of Scranton shall place the proceeds in the 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 City of Scranton. Such costs shall include, without limitation, any engineering, legal or administrative costs incurred by the municipality in connection with such removal, repair or securing of the building or any proceedings related thereto.
(b) 
It is the obligation of the insuring agent when transferring the proceeds to provide the City of Scranton 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 designated officer shall contact the named insured, certify that the proceeds have been received by the City of Scranton and notify the named insured that the procedures under this subsection shall be followed.
(c) 
When repairs, removal or securing of the building or other structure have been completed in accordance with all applicable regulations and orders of the City of Scranton and the required proof of such completion received by the Treasurer of the City of Scranton, and if the City of Scranton has not incurred any costs for repairs, removal or securing, the fund shall be returned to the named insured. If the City of Scranton has incurred costs for repairs, removal or securing of the building or other structure, the cost shall be paid from the fund, and if excess funds remain, the City of Scranton shall transfer the remaining funds to the named insured.
(d) 
To the extent that interest is earned on proceeds held by the City of Scranton pursuant to this section, and not returned to the named insured, such interest shall belong to the City of Scranton. To the extent that the 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.

§ 298-3 Additional remedies; additional agreements.

Nothing in this Article shall be construed to limit the ability of the City of Scranton to recover any deficiency. Furthermore, nothing in this Article shall be construed to prohibit the City of Scranton and the named insured from entering into an agreement that permits the transfer of funds to the named insured of some other reasonable disposition of the damaged property has been negotiated.

§ 298-4 Fees.

The governing body may fix reasonable fees to be charged for municipal activities of certificates and bills, performance of inspections and opening separate fund accounts.

§ 298-5 Violations and penalties.

An owner of property, any named insured or any insuring agent who violates this Article shall be subject to a penalty of up to one thousand dollars ($1,000.) per violation.