[Ord. 367, 5/14/2014, § 1]
The Township Secretary, or such official's designee is
hereby appointed as the designated officer who is authorized to carry
out all responsibilities and duties stated herein.
[Ord. 367, 5/14/2014, § 2]
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 Township (hereinafter "Municipality") where the
amount recoverable for the fire loss to the structure under all policies
exceeds $7,500, unless the insuring agent is furnished by the Township
Treasurer with a municipal certificate pursuant to § 508(B)
of Act 98 of 1992, as amended, and unless there is compliance with § 508(C)
of Act 98 of 1992, as amended, and the provisions of this Part.
[Ord. 367, 5/14/2014, § 3]
1. Where pursuant to § 508(B)(1)(I) of Act 98 of 1992, as
amended, the Township Treasurer issues a certificate indicating that
there are not delinquent taxes, assessments, penalties, or user charges
against real property, the insuring agent shall pay the claim of the
named insured, provided however, that if the loss agreed upon by the
named insured and the insuring agent equals or exceeds 60% of the
aggregate limits of liability on all fire policies covering the building
or structure, the following procedures must be followed:
A. The insuring agent shall transfer from the insurance proceeds to
the designated officer of the Municipality in the aggregate of $2,000
for each $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 $15,000
or less, the amount transferred to the municipality shall be $2,000.
B. If at the time of a proof of loss agreed to between the named insured
and the insuring agent, the named insured has submitted a contractors
signed estimate of the costs of removing, repairing or security and
building or other structure, the insuring agent shall transfer to
the Municipality from the insurance proceeds the amount specified
in the estimate.
C. The transfer of proceeds shall be on pro rata basis by all companies,
associations or exchanges insuring the building or other structure.
D. After the transfer, the named insured shall submit, within 60 days,
a contractor's signed estimate confirming 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 Municipality
in excess of the estimate to the named insured, if the Municipality
has not commenced to remove, repair or secure the building or other
structure.
E. Upon receipt of proceeds under this Section, the Municipality shall
do the following:
(1)
The designated officer shall place the proceeds in a 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 Municipality. Such costs shall include, all reasonable and
customary 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.
(2)
It is the obligation of the insuring agent when transferring
the proceeds to provide the Municipality with the name and address
of the name insured. Upon receipt of the transferred funds and the
name and address of the name insured, certify that the proceeds have
been received by the Municipality and notify the named insured that
the procedures under this subsection shall be followed.
(3)
When repairs, removal or securing of the building or other structure
have been completed in accordance with all applicable regulations
and orders of the Municipality and the required proof of such completion
received by the designated officer and if the Municipality has not
incurred any costs for repairs, removal or securing, the fund shall
be returned to the named insured. If the Municipality 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 Municipality shall transfer the remaining funds to the named insured.
(4)
To the extent that interest is earned on proceeds held by the
Municipality pursuant to this Section, and not returned to the named
insured, such interest shall belong to the Municipality. 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.
F. Nothing in this Section shall be construed to limit the ability of
the Municipality to recover any deficiency. Furthermore, nothing in
this subsection shall be construed to prohibit the Municipality 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. 367, 5/14/2014, § 4]
The Board of Supervisors of Plainfield Township may by resolution
adopt procedures and regulations to implement Act 98 of 1992, as amended,
and this Part may by resolution fix reasonable fees to be charged
for municipal activities or services provided pursuant to Act 98 of
1992, as amended, and this Part, including, but not limited to, issuance
of certificates and bills, performance of inspections and opening
separate fund accounts.
[Ord. 367, 5/14/2014, § 5; as amended by Ord. 382,
11/8/2017]
Any owner of property, any named insured or any insuring agent
who violates this Part, upon conviction thereof in an action brought
before a magisterial district judge in the manner provided for the
enforcement of summary offenses under the Pennsylvania Rules of Criminal
Procedure, shall be sentenced to pay a 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 90 days. Each day that a violation
of this Part continues or each Section of this Part which shall be
found to have been violated shall constitute a separate offense.