Local Government Commission
Pennsylvania General Assembly
Act 47 of 1987 Municipalities Financial Recovery Act Task Force
In 1985, the Local Government Commission created a task force to examine municipalities experiencing economic and fiscal distress as a result of structural changes in their local economies or managerial deficiencies. Resulting from this effort was the enactment of the Municipal Financial Recovery Act, commonly known as Act 47 of 1987. In its 25 years of existence, 27 municipalities have entered Act 47 seeking recovery, but only six have had their distressed status rescinded by the Secretary of the Department of Community and Economic Development. The statute's effectiveness has been questioned at times with the viability of some distressed municipalities being uncertain. As a result of public hearings in late 2011 and the continued issues with the Act 47 process in general, the Commission decided in late 2012 to again form a task force to undertake a comprehensive review of Act 47 in an attempt to enhance its efficacy. The following documents reflect deliberations of the Act 47 2013 Task Force and its four subcommittees, including subcommittee supporting information. The culminating 2013 Task Force Report contains background on Act 47, issues with Act 47 and affected municipalities, the rationale for addressing issues, and the resultant legislation to remedy Act 47. Identical legislation has been introduced by the Commission as Senate Bill 1157 of 2013 and House Bill 1773 of 2013.
Summary of House Bill 1773 (Act 199 of 2014)
Summary of Senate Bill 1157 of 2013
Act 47 of 1987 Municipalities Financial Recovery Act 2013 Task Force Report
Task Force Meeting Minutes
- Task Force Meeting Minutes, May 2, 2013
- Task Force Meeting Minutes, July 2, 2013
- Task Force Meeting Minutes, September 17, 2013
Task Force Subcommittee Meeting Minutes
- Subcommittee on Act 47 Procedure Meeting Minutes, May 22, 2013
- Subcommittee on Act 47 Procedure Meeting Minutes, May 29, 2013
- Subcommittee on Labor Meeting Minutes, May 22, 2013
- Subcommittee on Labor Meeting Minutes, June 6, 2013
- Subcommittee on Comm. & Econ. Dev./Tax-Exempt Prop. Meeting Minutes, May 20, 2013
- Subcommittee on Comm. & Econ. Dev./Tax-Exempt Prop. Meeting Minutes, June 13, 2013
- Subcommittee on Finance/Indebtedness Meeting Minutes, June 6, 2013
- Subcommittee on Finance/Indebtedness Meeting Minutes, June 13, 2013
Task Force Subcommittee Supporting Information
Subcommittee on Act 47 Procedure
- Comments of AFSCME Council 13, Fraternal Order of Police, Pa. State Lodge, and Pa. Fire Fighters Association
- Pennsylvania Economy League (PEL) Response to Proposed Subcommittee Issues
Subcommittee on Labor
- Average Annual Wage Increase, Selected Contracts since 2007
- Comments of Fraternal Order of Police, Pa. State Lodge, Pennsylvania Professional Fire Fighters Association and AFSCME Council 13
- Pa. Municipal League (PML) Comments on Labor Subcommittee Issues
- Pa. State Assn. of Township Commissioners (PSATC) Comments on Labor Subcommittee Issues
- Responses from the Pennsylvania State Association of Township Supervisors (PSATS)
- Rep. Seth Grove (R-York): Pennsylvania Municipal Pension Reform Proposal
Subcommittee on Community & Economic Development/Tax-Exempt Property
- Act 47 Communities Percent Tax-Exempt
- Beyond Act 47: A Call to Action
- Chamber Paper on Economic Development
- Excerpts from PEL Reports/Commentaries
- HB 2018
- Structuring Healthy Communities Part 1: Revenue Generation and Fiscal Health
- The Pennsylvania State Association of Boroughs (PSAB)
Subcommittee on Finance/Indebtedness
- Area Government: A New System for Regional Municipal Services
- Creation of a Regional Asset District for Lehigh and Northampton Counties
- Implement tax-base sharing for distressed municipalities and neighboring communities
- Minnesota Petition for Variance from Agency Rule
- Permit the coordinator to petition the court of common pleas under Section 123 of Act 47 to increase the rate of Local Services Tax above $52.
- Wisconsin Request for Exemption from State Mandates