[Ord. 777, 1/23/1995, Art. 1]
1. The Town Administrator or such official's designee (hereinafter,
the "municipal officer") is hereby appointed as the designated officer
who is authorized to carry out all responsibilities and duties of
the Town stated herein.
2. A "fire loss" or claim for fire damage is defined as any loss occurring
after the effective date of this Part and covered under a policy of
fire insurance, including any endorsements or riders to the policy.
[Ord. 777, 1/23/1995, Art. 2]
1. No insurance company, association or exchange (hereinafter the "insurer")
doing business in the Commonwealth of Pennsylvania shall pay a claim
of a named insured for fire damage to a structure located within the
Town of Bloomsburg (hereinafter the "municipality") where the amount
recoverable for the fire loss to the structure under all policies
exceeds $7,500, unless the insurer is furnished by the municipal officer
with a municipal certificate pursuant to P.L. 609, No. 93, § 508(b)
and unless there is compliance with P.L. 609, No. 93, §§ 508(c)
and (d) and the provisions of this Part.
2. After full compliance with the requirements of P.L. 609, No. 93,
§ 508(b)(1)(l), the insurer shall pay the claim of the named
insured; provided, however, that if the loss as agreed upon by the
named insured and the insurer equals or exceeds 60% of the aggregate
limits of liability on all fire policies covering the building structure,
the following procedures shall be followed.
A. The insurer shall transfer from the insurance proceeds to the municipal
officer the aggregate of $2,000 for each $15,000 of a claim and for
each fraction of that amount of a claim; provided:
(1)
That this Section is to be applied such that if the claim is
$15,000 or less, the amount transferred to the municipality shall
be $2,000.
(2)
That 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 insurer
shall transfer to the municipality from the insurance proceeds the
amount based upon the estimate.
B. 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 municipality shall
be disbursed in accordance with the policy terms.
3. 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 designated officer shall return the amount
of the funds transferred to the Town in excess of the estimate to
the named insured, if the Town has not commenced to remove, repair
or secure the building or other structure.
4. Upon receipt of proceeds under this Section, the Town shall do the
following:
A. The Town officer 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 Town.
Such costs shall include, without limitation, any engineering, legal
or administrative costs incurred by the Town in connection with such
removal, repair or securing of the building or any proceedings related
thereto.
B. It is the obligation of the insurer when transferring the proceeds
to provide the Town 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 Town officer shall contact the named insured,
certify that the proceeds have been received by the Town 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 Town and the required proof of such completion received
by the Town officer and if the Town has not incurred any costs for
repairs, removal or securing, the fund shall be returned to the named
insured. If the Town 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 Town shall transfer the remaining
funds to the named insured.
D. To the extent that interest is earned on proceeds held by the Town
pursuant to this Section and retained by it, such interest shall belong
to the Town. 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.
5. Nothing in this Section shall be construed to limit the liability
of the Town to recover any deficiency. Furthermore, nothing in this
Part shall be construed to prohibit the Town 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. 777, 1/23/1995, Art. 3]
The Bloomsburg Town Council may by resolution adopt procedures
and regulations to implement P.L. 609, No. 93, § 508 and
this Part and may be resolution fix reasonable fees to be charged
for Town activities or services provided pursuant to P.L. 609, No.
93, § 508 and this Part including, but not limited to, issuance
of certificates and bills, performance of inspections and opening
separate fund accounts.
[Ord. 841, 12/19/2001]
Any owner of property, any named insured or any insurer who
violated any provision of this Part, upon conviction thereof shall
be sentenced to pay of fine of not more than $1,000 plus costs and,
in default of payment of said fine and costs, to a term of imprisonment
not to exceed 30 days. Each day that a violation of this Part continues
or each Section of this Part which shall be found to have been violate
shall constitute a separate offense.
[Ord. 779, 4/17/1995, Art. 1]
1. The Town Administrator or such official's designee (hereinafter the
"municipal officer") is hereby appointed as the designated officer
who is authorized to carry out all responsibilities and duties of
the Town stated herein.
2. A "fire loss" or claim for fire damage is defined as any loss occurring
after the effective date of this Part and covered under a policy of
fire insurance, including any endorsements or riders to the policy.
[Ord. 779, 4/17/1995, Art. 2]
1. No insurance company, association or exchange (hereinafter the "insurer")
doing business in the Commonwealth of Pennsylvania shall pay a claim
of a named insured for fire damage to a structure located within the
Town of Bloomsburg (hereinafter the "municipality") where the amount
recoverable for the fire loss to the structure under all policies
exceeds $7,500 unless the insurer and the named insured comply with
the provisions of P.L. 609. No. 93, § 508(b) and the provisions
of this Part.
2. The municipal officer shall, upon the written request of the named
insured specifying the tax description of the property, name and address
of the insurer and the date agreed upon by the insurer and the named
insured as of the date of the receipt of a loss report of the claim,
furnish the insurer either of the following within 14 working days
of the request:
A. A certificate, or at the discretion of the Town, a verbal notification
which shall be confirmed, in writing, by the insurer to the effect
that as of the date specified in the request there are no delinquent
taxes, assessment, penalties or user charges against the property
and that as of the date of the municipal officer's certificate or
verbal notification, the Town has not certified any amount as total
costs incurred by the Town 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 municipal officer's certificate,
the amount of the total costs, if any, certified to the municipal
officer that have been incurred by the Town for removal, repair or
securing of a building or other structure on the property. For the
purposes of this subsection, the Town shall provide to the municipal
officer the total amount, if any, of such costs, if available, or
the amount of costs known to the Town at the time of the municipal
officer's certificate.
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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 Town under applicable law.
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3. Upon receipt of a certificate pursuant subsection (2)(A) of this
Section, the insurer shall pay the claim of the named insured in accordance
with the policy terms.
4. Upon receipt of certificate and bill pursuant to subsection (2)(B)
of this Section, the insurer shall return the bill to the municipal
officer and transfer to the municipal officer 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 Town shall receive the
amount and apply or credit it to payment of the items shown in the
bill.
5. Nothing in this Section shall be construed to limit the ability of
the Town to recover any deficiency.
[Ord. 779, 4/17/1995, Art. 3]
1. The transfer of proceeds to the municipal officer shall be on a pro
rata basis by all insurers with applicable policies of insurance providing
protection for fire loss.
2. The Town Council may be resolution adopt additional procedures and
regulations to implement P.L. 609, No. 93, § 508 and this
Part and may be resolution fix reasonable fees to be charged for municipal
activities or services provided pursuant to P.L. 609, No. 93, § 508
and this Part including, but not limited to, issuance of certificates
and bills.