[HISTORY: Adopted by the Board of Supervisors of the Township of Chestnuthill 2-7-1984 by Ord. No. 1984-01. Amendments noted where applicable.]
Subdivision and land development — See Ch. 98.
This chapter shall be known and may be cited as the "Chestnuthill Township Real Estate and Resort Timeshare Ownership Ordinance."
This chapter shall become effective five days after enactment and applies to timeshare projects thereafter created but not to timeshare projects which have been offered for sale prior to the effective date. After such effective date, no developer shall offer a new timeshare interval to a purchaser unless the project has been approved in accordance with this chapter.
As used in this chapter, the following terms shall have the meanings indicated:
- The person designated by the Board of Supervisors to receive applications under this chapter.
- The Chestnuthill Township Planning Commission.
- COMMON EXPENSES
- Expenditures made or liabilities incurred by or on behalf of the timeshare owner, part of which is to be allocated to the maintenance of buildings or common areas.
- CONVERSION or BUILDING CONVERSION
- Includes a change in the use or tenancy of a structure for occupancy by timeshare purchasers.
- In the case of any given property, any person or entity which is in the business of creating and selling timeshare intervals in a timeshare program.
- DEVELOPMENT, PROJECT or PROPERTY
- All of the real property subject to a timeshare program.
- MAINTENANCE FEES
- The fees to be charged periodically by the maintenance organization to cover common expenses, expenses of replacing personal property, housekeeping functions and other recurring costs of timeshare ownership above the initial purchase price.
- MAINTENANCE ORGANIZATION
- The body, regardless of name or legal structure, designated to act on behalf of the owner or timeshare owner in matters concerning the payment of costs and expenses of timeshare ownership and the maintenance and care of buildings and common areas.
- A person, corporation, partnership, limited partnership, association, trust or other entity or any combination thereof.
- PROJECT INSTRUMENT
- one or more documents applicable to the whole project, by whatever name denominated, containing restrictions or covenants regulating the use, occupancy or disposition of an entire project, including any amendments to the document but excluding any law, ordinance or other governmental regulation.
- PROVIDED IMPROVEMENTS
- Those which the developer proposes to make but which are not mandated by any law or ordinance.
- A person who acquires a time interval or timeshare estate from the developer, regardless of whether the person acquires legal or equitable ownership of a project or unit. The term "purchaser" shall include fee owner, lessee, licensee, joint tenant or other status as a holder of an interest in real property.
- REQUIRED IMPROVEMENTS
- Those which are mandated under ordinances of Chestnuthill Township.
- TIMESHARE ESTATE
- An ownership or leasehold estate in property devoted to a timeshare fee (tenants in common, joint tenants, time-span ownership or interval ownership) and a timeshare lease.
- TIMESHARE INTERVAL
- A timeshare estate or a timeshare use.
- TIMESHARE PROGRAM
- Any arrangement for timeshare intervals whereby the use, occupancy or possession of real property has been made subject to either a timeshare estate or timeshare use whereby such use, occupancy or possession is divided among purchasers of the timeshare intervals according to a fixed or floating time schedule.
- TIMESHARE PROJECT
- Any real property that is subject to a timeshare program.
- TIMESHARE USE
- Any contractual right of exclusive occupancy under a timeshare program which does not fall within the definition of a timeshare estate, including, without limitation, a vacation license, prepaid hotel reservation, club membership, limited partnership or vacation bond.
- A portion of the timeshare project designated for occupancy by timeshare purchasers, regardless of whether the purchaser acquires ownership thereof.
- UNIT NUMBER
- A symbol that identifies only one unit in a timeshare project.
Except as provided in this chapter, no ordinance or regulation of Chestnuthill Township shall be construed to impose any requirement upon a timeshare program which it would not impose upon a similar development under a different form of ownership. To the extent that Chapter 98, Subdivision and Land Development, or other ordinances of Chestnuthill Township are in conflict with this chapter, this chapter shall apply to any timeshare project; otherwise, no provision of this chapter invalidates or modifies any provision of any other ordinance.
[Amended 7-23-1992 by Ord. No. 1992-10]
To the extent that this chapter conflicts with any law of the Commonwealth of Pennsylvania, the higher or more restrictive standard shall be applied, unless it clearly appears from such law that Chestnuthill Township is without jurisdiction to apply the higher standard. In particular, the provisions of 68 App. 68 Pa.C.S.A. § 3401 et seq., specifically 68 Pa.C.S.A. § 3403, shall apply.
Ten copies of an application for approval of a timeshare project shall be filed with the administrator, accompanied by an application fee as established by the Board of Supervisors by resolution. The applicant shall also bear the cost of all engineering expenses incurred by the Township in connection with all matters pertaining to this chapter with respect to said application.
Transmission of copies.
The administrator shall transmit two copies of the application to the Commission and shall also transmit one copy each to the following:
In addition, the administrator may transmit copies to the Pennsylvania Department of Environmental Protection, the Monroe County Conservation District and any other governmental body expressing an interest in commenting upon any application.
The application may be considered at the Commission's next regularly scheduled meeting, provided that it is received at least 15 calendar days in advance of said meeting.
The developer or an authorized representative shall attend the Commission meeting in order to present the application.
The following documents shall be submitted with each application:
Any document or plan required under Chapter 98, Subdivision and Land Development, including but not limited to a perimeter plan and a site plan of the timesharing units. Such site plan shall depict all information required on a major subdivision plan under Chapter 98, Subdivision and Land Development. The developer shall set forth on the site plan the units which are intended for occupancy by timeshare purchasers, and each site plan shall include adjacent parking and points of access to the nearest public roads. Roads and other improvements depicted on the plan shall meet the design standards of applicable Chestnuthill Township ordinances.
A floor plan, if more than one unit is located or is to be located within a single structure.
If the proposed project includes structure alteration, improvement or a building conversion, the supporting documentation shall include a certification of a registered architect or engineer to the effect that the existing building is structurally sound and that the proposed conversion will not impair structural soundness.
Copies of all sales documents or drafts thereof if they are not in final form.
A narrative description of the manner in which responsibility for maintenance and care of the units and common areas will be assured and a proposed operating budget for the maintenance organization. These documents shall include a breakdown of the common expenses that will be borne by the maintenance organization.
A narrative description of the manner in which the developer proposes to assure maintenance and care of the units and common facilities during the sales program, including any projected financial security or guaranty thereof.
The Commission shall, within 45 days of receipt of the application, make its written recommendation to the Board of Supervisors.
The application shall be considered by the Board of Supervisors at a public hearing, in accordance with the following standards and criteria:
Establishment of a guaranty of maintenance during the timeshare project sales program.
Establishment of a central water supply for the units shown on the development plan in accordance with applicable regulations of the Pennsylvania Department of Environmental Protection for public water supply facilities.
Establishment of a waste disposal system, including areas designated as primary and replacement treatment locations, where proposed, in accordance with applicable regulations of the Pennsylvania Department of Environmental Protection for public sewage disposal facilities.
Compliance with the provisions of Chapter 98, Subdivision and Land Development, of the Code of Chestnuthill Township.
Establishment of a road system and parking areas within the project area to service the anticipated traffic flow, including reasonable estimates for additional traffic during the sales program. All roads and parking areas shall meet the minimum standards set forth in Chapter 98, Subdivision and Land Development. The Board of Supervisors may condition approval upon installation of temporary parking facilities to accommodate additional traffic during the sales program.
Where the project proposes installation of improvements, the Board of Supervisors may condition approval upon installation of those improvements or, in lieu of completion of the improvements, the Board of Supervisors shall require a performance guaranty sufficient to assure completion of the improvements, as hereinafter set forth.
The performance guaranty shall be in the form of a written instrument which shall provide for the deposit with the Township of financial security in an amount sufficient to cover the cost of any improvement or common amenities, including but not limited to roads, parking facilities, stormwater detention and/or retention basins and other related drainage facilities, recreational facilities, open space improvements or buffer or screen plantings which may be proposed and/or required.
The financial security provided by the developer shall be in the form of an escrow agreement, trust agreement or surety agreement executed by the developer, in a form acceptable to the Township, supported by collateral or security in the form of:
Cash or a certified check payable to the Township;
An unconditional guaranty by a corporate surety company authorized and qualified to issue surety bonds in the Commonwealth of Pennsylvania;
An irrevocable unconditional letter of credit from a federal- or commonwealth-chartered lending institution; or
A restrictive or escrow account in a federal- or commonwealth-chartered lending institution.
The performance guaranty shall provide for and secure to the public the completion of all proposed or required improvements within one year of the date fixed on the site plan for the completion of such improvements. Any such improvement completion date fixed on the plan shall not exceed three years from the date of final plan approval.
Except as otherwise provided hereinafter, the amount of financial security provided by the performance guaranty shall be equal to 110% of the cost of the proposed or required improvements for which financial security is being posted. The cost of the improvement shall be established by a submission to the Township of a bona fide bid or bids from the contractor or contractors chosen by the developer to complete the improvements. In the absence of such bona fide bids, the cost shall be established by an estimate prepared by the Township Engineer.
If the developer requires more than one year from the date of posting of financial security to complete the required improvements, the amount of financial security may be fixed by either of the following methods:
The amount of financial security shall be increased by an additional 10% for each one-year period beyond the anniversary date from posting of financial security.
The amount of financial security for the first one-year period shall be established as set forth in Subsection G(4). On or about the expiration of said one-year period, the developer shall submit to the Township a current bona fide bid or bids for the proposed or required improvements. The amount of financial security for the upcoming one-year period shall be equal to 110% of the updated cost of completing said improvements. Said process of resubmittal and recalculation shall continue each year until completion of said improvements.
Where the development is projected over a period of years, the Board of Supervisors may authorize submission of final plans by sections or stages of development, subject to such requirements or guaranties as to improvements in future sections or stages as the Board of Supervisors finds essential for the protection of any previously approved section of the development.
The developer may request from time to time as work progresses the release of such portions of the financial security as are necessary for making payment to the contractor performing the work.
All such requests shall be in writing, by certified mail addressed to the Board of Supervisors, with a copy thereof sent to the Township Engineer. The Board of Supervisors shall have 45 days from receipt of such request within which to allow the Township Engineer to certify, in writing, to the Board of Supervisors that such portion of the work upon the improvements has been completed in accordance with the approved plan and to act upon such request. The cost of the Township Engineer's certification shall be borne by the developer.
Accompanying all requests for release of financial security shall be a certification to the Board of Supervisors from the developer's engineer that the subject portion of the work has been completed in accordance with the approved plans and to Township standards. The certification must be specific with respect to the type, amount and actual location of the work completed. The period of time hereinabove allocated to the Township for such inspections and action will not begin until such certification has been received by the Township.
Upon the Township Engineer's certification, the Board of Supervisors shall authorize the release of an amount of financial security as estimated by the Township Engineer to fairly represent the value of the improvements completed. The Board of Supervisors may, prior to the final release at the time of completion and certification by the Township Engineer, require retention of 10% of the estimated cost of the aforesaid improvements.
Should the Board of Supervisors fail to act within said forty-five-day period, the Board shall be deemed to have approved the release of funds as requested, unless the developer has agreed to an extension of time.
When the developer has completed all of the proposed or required improvements, the developer shall notify the Board of Supervisors, in writing, by certified mail, of the completion of the aforesaid improvements and shall send a copy thereof to the Township Engineer. A certification, as specified in Subsection G(9), must be submitted with said notification. The Board of Supervisors shall, within 10 days after receipt of such notice and certification, direct and authorize the Township Engineer to inspect all of the aforesaid improvements. The Township Engineer shall thereupon file a report, in writing, with the Board of Supervisors and shall promptly mail a copy of the same to the developer by certified mail. The report shall be made and mailed within 30 days after receipt by the Township Engineer of the aforesaid authorization from the Board of Supervisors, and said report shall be detailed and indicate approval or rejection of said improvements, either in whole or in part, and if said improvements or any portion thereof shall not be approved or shall be rejected by the Township Engineer, said report shall contain, by reference to sections of this chapter, a statement of reasons for such nonapproval or rejection.
The Board of Supervisors shall send notification to the developer, in writing, by certified mail, of the action of said Board of Supervisors within 45 days from receipt of the aforesaid notification and certification from the developer.
If the Board of Supervisors or the Township Engineer fails to comply with the time limitation provisions contained herein, all improvements will be deemed to have been approved and the developer shall be released from all liability pursuant to its performance guaranty, unless the developer has agreed to an extension of time.
If any portion of said improvements are not approved or are rejected by the Board of Supervisors, the developer shall proceed to complete the same and, upon completion, the same procedure of notification shall be followed.
In the event that any improvements which may be required have not been installed as provided in this chapter or in accord with the approved plan, the Board of Supervisors may enforce any corporate bond or other security by any means deemed appropriate, including resorting to equitable remedies. If the proceeds of such bond or other security are insufficient to pay the cost of installing or making repairs or corrections to all the improvements covered by said security, the Board of Supervisors may, at its option, install part of such improvements in all or part of the project and may institute appropriate legal or equitable action to recover the moneys necessary to complete the remainder of the improvements. All of the proceeds, whether resulting from the security or from any legal or equitable action brought against the developer, or both, shall be used solely for the installation of the improvements covered by such security and not for any other municipal purposes.
Assurance that purchasers of a timeshare estate or timeshare use will obtain a nondisturbance agreement from the holder of any lien on the premises.
Upon receipt of the written recommendation required by § 111-8, the Board of Supervisors shall schedule a public hearing for consideration of the application. The hearing on the application shall be advertised once a week for two successive weeks in a newspaper of general circulation within the Township, and the first publication shall be not more than 30 days nor less than 14 days from the date of the hearing. The Board shall act upon the application and shall render its decision no later than 90 days following the date of the regular meeting of the Planning Commission next following the date the application was filed, provided that should the first regular meeting of the Planning Commission occur more than 30 days following the filing of the application, the ninety-day period shall be measured from the 30th day following the day the application was filed. The decision of the Board of Supervisors shall be in writing and shall be communicated to the developer personally or mailed to the developer not more than 15 days following the date of rendering of said decision. The procedure at the hearing shall be in accordance with Subsections 4 through 8 of Section 908 of the Pennsylvania Municipalities Planning Code. The application must be approved if it meets the criteria and standards set forth in this chapter, and in the event that it does not meet those criteria and standards, the Board of Supervisors must specify to what extent it is deficient and give the developer an opportunity to correct the deficiencies.
Editor's Note: See 53 P.S. § 10908, Subsections (4) through (8).
Maintenance of a timeshare project shall be vested in:
An association or other legal entity organized prior to the first offer of a timeshare unit, the membership of which includes all of the timeshare owners;
A manager, who may be the developer or a person designated by the developer before the developer offers a timeshare unit for sale; or
The timeshare owners themselves if the number of timeshares is not more than 25.
The maintenance association or manager, as the case may be, shall be responsible for the maintenance, repair and replacement of the timeshare units, common facilities and areas and, if specified, of the furniture, fixtures and equipment within the units.
The maintenance organization shall be required to keep and maintain insurance in an amount sufficient to replace the building and personal property in the event of fire or other insurable casualty. The maintenance organization shall also be required to keep and maintain comprehensive general liability insurance. Where specified, the maintenance organization shall be responsible for the collection of the purchaser's pro rata share of real estate taxes and the remittance of such taxes to the local tax collector on a timely basis.
The sales documents and the project instruments shall specify the expenses which the maintenance organization may incur and collect from the purchaser as a maintenance fee. Unless otherwise provided in the sale documents, the developer shall pay the maintenance fee for all unsold timeshare intervals of completed units.
Upon request of the Board of Supervisors, the maintenance organization shall provide evidence that the provisions of this section are currently being met.
In the event that the maintenance organization defaults in its responsibilities as provided for in § 111-12 above, the Township may, but shall not be required to, take such action as it deems necessary, and reasonable costs of such action shall be made a lien upon the project premises.
[Amended 6-25-1992 by Ord. No. 1992-05]
Any person who violates or permits a violation of this chapter shall, upon conviction in a summary proceeding brought before a District Justice under the Pennsylvania Rules of Criminal Procedure, be guilty of a summary offense and shall be punishable by a fine of not more than $1,000, plus costs of prosecution. In default of payment thereof, the defendant may be sentenced to imprisonment for a term not exceeding 90 days. Each day or portion thereof that such violation continues or is permitted to continue shall constitute a separate offense, and each section of this chapter that is violated shall also constitute a separate offense. All fines collected for the violation of this chapter shall be paid to Chestnuthill Township.
In addition to the enforcement penalties provided for in § 111-14 above, the Board of Supervisors may institute, in the name of Chestnuthill Township, any appropriate action or proceeding to prevent, restrain, correct or abate the use or occupancy of any building or structure or the operation of any business in violation of this chapter.