[HISTORY: Adopted by the Board of Supervisors
of the Township of Kidder as indicated in article histories. Amendments
noted where applicable.]
[Adopted 11-18-1993 by Ord. No. 89]
The Secretary is hereby appointed as the designated
officer who is authorized to carry out all responsibilities and duties
stated herein.
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 of Kidder (hereinafter
the "municipality") where the amount recoverable for the fire loss
to the structure under all policies exceeds $7,500 unless the named
insured or insuring agent is furnished by the Secretary with a municipal
certificate pursuant to Section 508(b) of Act 98 of 1992 and unless
there is compliance with Section 508(c) and (d) of Act 98 of 1992
and the provisions of this article.[2]
A.
Where, pursuant to Section 508(b)(1)(i) of Act 98
of 1992, the Secretary issues a certificate indicating that there
are no 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 as 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
restructure, the following procedures must be followed:
(1)
The insuring agent shall transfer from the insurance
proceeds to the designated officer of the Township of Kidder 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 Township
of Kidder shall be $2,000; or[1]
(2)
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 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 Township of Kidder from the insurance
proceeds the amount specified in the estimate.[2]
(3)
The transfer of proceeds shall be on a pro rate 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 designated officer
shall return the amount of the funds transferred to the Township of
Kidder in excess of the estimate to the named insured if the Township
of Kidder has not commenced to remove, repair or secure the building
or other structure.
(5)
Upon receipt of proceeds under this section, the Township
of Kidder shall do the following:
(a)
The designated officer shall place the proceeds
in the separate fund to be used solely as security against the total
cost of removing, repairing or securing the building or structure
which is incurred by the Township of Kidder. Such cost shall include,
without limitation, any engineering, legal or administrative costs
incurred by the Township of Kidder in connection with such removal,
repair or securing of the building or any proceedings related thereto;
and
(b)
It is the obligation of the insuring agent when
transferring the proceeds to provide the Township of Kidder 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 Township of Kidder and notify the named
insured that the procedures under this subsection shall be followed;
and
(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 Township of Kidder and the required
proof of such completion received by the designated officer, and if
the Township of Kidder has not incurred any costs for repairs, removal
or securing, the funds shall be returned to the named insured. If
the Township of Kidder has incurred costs for repairs, removal or
securing of the building or other structure, the costs shall be paid
from the funds and if excess funds remain, the Township of Kidder
shall transfer the remaining funds to the named insured.
B.
Nothing in this section shall be construed to limit
the ability of the Township of Kidder to recover any deficiency. Furthermore,
nothing in this subsection shall be construed to prohibit the Township
of Kidder 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.
The Township Supervisors of the Township of
Kidder may, by resolution, adopt procedures and regulations to implement
Act 98 of 1992 and this article and may, by resolution, fix reasonable
fees to be charged for municipal activities or services provided pursuant
to Act 98 of 1992 and this article, including but not limited to issuance
of certificates and bills, performance of inspections and opening
separate fund accounts.
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 District
Justice, pay a fine of not more than $600, plus all court costs, including
reasonable attorney's fees, incurred by the township in the enforcement
of this chapter. No judgment shall be imposed until the date of the
determination of the violation by the District Justice. 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.
