[HISTORY: Adopted by the Board of Supervisors of the Township of Polk 2-26-2001 by Ord. No. 2001-03. Amendments noted where applicable.]
As used in this chapter, the following terms shall have the meanings indicated:
COVERED CLAIM
A claim of a named insured for fire damage to a building or other structure located within the Township of Polk, Monroe County, if the amount recoverable for the fire loss to the building or the structure under all policies covering the building or other structure exceeds $7,500 or such other minimum amount as may be provided for in Section 508 of the Insurance Company Law of 1921, as amended,[1] and if the loss agreed upon by the named insured and the insuring agent or agents equals or exceeds 60% of the aggregate limits of liability on all fire policies covering the building and other structure covered under the same policies.
DELINQUENT/DELINQUENCIES OUTSTANDING
A tax, assessment, penalty or use charge becomes delinquent at the time and on the date a lien could otherwise have been filed against the property by the Township under the applicable Township ordinances and applicable law.
INSURING AGENT
An insurance company, association or exchange which has issued a policy of insurance covering fire damage to a building or other structure.
[1]
Editor's Note: See 40 P.S. § 638.
A. 
For every covered claim as defined in § 202-1, the insuring agent or agents shall transfer to the Polk Township Treasurer from the insurance proceeds either:
(1) 
Two thousand dollars for each $15,000 of a claim and for each fraction of that amount of a claim, or $2,000 if the claim is less than $15,000 or such other amount as may be provided by Section 508 of the Insurance Company Law of 1921, as amended;[1] or
[1]
Editor's Note: See 40 P.S. § 638.
(2) 
If at the time of a loss report the named insured has submitted a contractor's signed estimate of the cost of removing, repairing or securing the building or other structure in an amount less than the amount calculated under the formula set forth in § 202-2A(1) above, then the amount specified in such estimate. Any such estimate must include the name, address and telephone number of the contractor and a certification that the contractor will perform the work consistent with the estimate provided.
B. 
Whenever an insuring agent transfers proceeds to the Township Treasurer, it shall provide the Treasurer with the following information:
(1) 
A copy of the certificate of insurance issued to the named insured and the mailing address of the named insured;
(2) 
If there are more than one insuring agent for a covered claim, then the transfer of insurance proceeds required by § 202-2A shall be on a pro rata basis by all insuring agents.
C. 
Upon receipt of any proceeds from an insuring agent pursuant to this chapter the Treasurer shall:
(1) 
Deposit such proceeds in an escrow account, together with any other proceeds received pursuant to the Insurance Law of 1921, in a separate fund to be used solely in accordance with this chapter and the Insurance Company Law of 1921, as amended; and
(2) 
Certify to the named insured that the proceeds have been received by the Township and notify the named insured that the procedure set forth in §§ 202-3 and 202-4 of this chapter will be followed.
A. 
Written notice. After the transfer of the proceeds to the Township by the insuring agent, the Township Secretary shall provide written notice to a named insured that if the named insured(s) fails to commence to remove, repair, or secure the building or other structure, within 90 days of the written notice the Township may do so. The written notice shall advise a named insured that if the Township acts to remove, repair, or secure the building or other structure it will use the proceeds held in escrow to do so, and if the costs incurred by the Township exceed the amount held in escrow, the Township will pursue all remedies available to it in law and equity to recover any cost incurred by the Township in excess of the escrow proceeds.
B. 
Return of proceeds. If the Township has not commenced to remove, repair or secure the building or other structure, a named insured may submit to the Township a contractor's signed estimate of the cost of removing, repairing or securing the building or other structure, and the Township shall then return to the named insured, the amount of the proceeds held by the Township in excess of such estimate, less any outstanding delinquencies. Any such estimate must include the name, address and phone number of the contractor and a certification from the contractor that it shall perform the work set forth therein for the amount set forth therein. If the named insured completes the removal, repair or securing of the building or other structure to the satisfaction of the Township, it shall refund the proceeds held in escrow, less any costs incurred by the Township or outstanding delinquencies. If the Township is require to perform the removal, repair or securing of the building or other structure, and the cost incurred by the Township to do so is less than the escrow proceeds, the Township shall transfer to the named insured the remaining funds held in escrow, less any outstanding delinquencies.
A. 
No insuring agent shall pay a claim of any named insured for fire damage to a building or other structure located within the Township, if the amount recoverable for the fire loss to the structure under all policies exceeds $7,500, unless the insuring agent is furnished with a certificate issued pursuant to this section and unless the insuring agent complies with the provisions of this chapter.
B. 
The Township Treasurer (or designee) shall, upon the written request of a insuring agent, provide either of the following within 14 working days of the request:
(1) 
A certificate or, at the Treasurer's discretion, a verbal notification which shall be confirmed in writing by the insuring agent, to the effect that as of the date specified in the request, there are no delinquent taxes, assessments, penalties or user charges against the subject property, building or other structure due to the Township and that as of the date of the certificate or verbal notification, the Township has not incurred any costs for the removal, repair or securing of a building or other structure on the property; or
(2) 
A certificate and bill showing the amount of the delinquent taxes, assessments, penalties and user charges against the subject property, building or other structure due to the Township 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 certificate, the amount of the total costs, if any, that had been incurred by the Township for the removal, repair or securing of a building or other structure on the property.
C. 
Upon the receipt of a certificate and bill issued pursuant to § 202-4B(2), the insuring agent shall return the bill to the Township Treasurer and transfer to the Township Treasurer an amount from the insurance proceeds necessary to pay the taxes, assessments, penalties, changes and costs as shown on the bill. The Township Treasurer shall review the amount and see to it that the appropriate credit for the payment is made on the bill.
The Township Secretary shall file with the Commonwealth Department of Community and Economic Development a certified copy of this chapter, together with the name, position and phone number of the designee of the Township as the officer authorized to carry out the duties of the Township under Section 508(c) and (d) of the Insurance Law of 1921[1] and of the Township Treasurer, who is the Township officer responsible for compliance with Section 508(a) and (b) of the Insurance Law of 1921.
[1]
Editor's Note: See 40 P.S. § 638(c) and (d), respectively.
[Amended at time of adoption of Code (see Ch. 1, General Provisions, Art. I)]
Any person who violates or permits a violation of this chapter shall, upon being found liable therefor in a civil enforcement proceeding commenced by the Township before a Magisterial District Judge, pay a fine of not more than $600, plus all court costs, including reasonable attorneys' fees, incurred by the Township in the enforcement of this chapter. If the defendant neither pays nor timely appeals the judgment, the Township may enforce the judgment pursuant to the applicable Rules of Civil Procedure. Each day a violation exists shall constitute a separate offense. Further, the appropriate officers or agents of the Township are hereby authorized to seek equitable relief, including injunction, to enforce compliance herewith.