An Act amending Title 27 (Environmental Resources) of the Pennsylvania Consolidated Statutes, providing for decommissioning and repurposing of warehouses.

PRINTER'S NO. 2793
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 2159
Session of
2026
INTRODUCED BY DAY, JANUARY 23, 2026
REFERRED TO COMMITTEE ON COMMERCE, JANUARY 26, 2026
AN ACT
Amending Title 27 (Environmental Resources) of the Pennsylvania
Consolidated Statutes, providing for decommissioning and
repurposing of warehouses.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Title 27 of the Pennsylvania Consolidated
Statutes is amended by adding a chapter to read:
CHAPTER 43
DECOMMISSIONING AND REPURPOSING OF WAREHOUSES
Sec.
4301. Definitions.
4302. Decommissioning requirements in decommissioning plan.
4303. Repurposing requirements in repurposing plan.
4304. Financial assurance requirements in decommissioning plan.
4305. Form and content of repurposing plan.
4306. Form and content of decommissioning plan.
4307. Applicability.
§ 4301. Definitions.
The following words and phrases when used in this chapter
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shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Ceased operation." T he point at which a warehouse
permanently discontinues its primary activities and no longer
serves its warehousing or logistics function.
"Commencement of construction." T he date on which a property
owner issues a full notice to proceed to a construction
contractor for the initiation of warehouse construction
activities.
"Decommissioning plan." A document submitted to the
department that describes the process for decommissioning a
warehouse and specifies the amount, form and timing of the
financial assurance required under this chapter.
"Department." T he Department of Community and Economic
Development of the Commonwealth.
"Professional engineer." A s defined in section 2(e) of the
act of May 23, 1945 (P.L.913, No.367), known as the Engineer,
Land Surveyor and Geologist Registration Law.
"Property owner." An individual, partnership, corporation,
limited liability company, trust or other legal entity that
holds legal title to the parcel or parcels of property on which
a warehouse subject to this chapter is or will be constructed.
"Repurposing plan." A document submitted to the department
that describes the proposed reuse of a warehouse that has ceased
operation and includes the intended new use, project schedule,
municipal approvals and any future decommissioning obligations.
"Warehouse." A large facility used for the organized
storage, retrieval and movement of goods, materials, merchandise
or other items.
§ 4302. D ecommissioning requirements in decommissioning plan.
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A decommissioning plan executed on or after the effective
date of this section shall include a provision stating that the
property owner is responsible for decommissioning the warehouse
in accordance with this chapter no later than 18 months after
the warehouse has ceased operation unless the property owner is
actively pursuing a repurposing plan approved by the department.
The requirement under this section shall apply notwithstanding
the occurrence of a force majeure or similar event.
§ 4303. R epurposing requirements in repurposing plan.
A property owner that seeks to implement a repurposing plan
on or after the effective date of this section shall submit the
repurposing plan to the department and obtain approval from the
department no later than 18 months after the warehouse has
ceased operation. Upon approval of the plan, the department
shall establish a binding schedule for commencement and
completion of the repurposing project. The department may modify
the schedule upon written request by the property owner and a
showing of good cause.
§ 4304. Financial assurance requirements in decommissioning
plan.
(a) Proof of financial assurance.--A property owner that
applies for a building permit, land development permit or zoning
approval for a warehouse under the Uniform Construction Code, a
State regulation or local ordinance on or after the effective
date of this subsection shall submit to the department a
decommissioning plan and proof of financial assurance. The
financial assurance shall conform to the requirements of this
chapter and shall secure the performance of the property owner's
obligation to decommission the warehouse. If the property owner
fails to fulfill the obligation to decommission the warehouse,
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the financial assurance shall be payable to the department.
(b) Amount of financial assurance.--T he amount of financial
assurance shall be equal to the estimated cost to decommission
the warehouse. The amount of financial assurance shall be
calculated and updated every five years by a third-party
professional engineer retained by the property owner from a list
of professional engineers compiled by the department and
published on the department's publicly accessible Internet
website.
(c) Delivery.--T he property owner shall deliver the
decommissioning plan and proof of financial assurance to the
department as follows:
(1) No later than 30 days before commencement of
construction of the warehouse, the property owner shall
submit the decommissioning plan and proof of financial
assurance to the department in an amount equal to 10% of the
estimated cost of decommissioning as determined by a third-
party professional engineer.
(2) On or before the fifth anniversary of the
commencement of construction of the warehouse, the property
owner shall submit an updated decommissioning plan and proof
of financial assurance to the department in an amount equal
to 30% of the estimated cost of decommissioning as determined
by a third-party professional engineer.
(3) On or before the 10th anniversary of the
commencement of construction of the warehouse, the property
owner shall submit an updated decommissioning plan and proof
of financial assurance to the department in an amount equal
to 50% of the estimated cost of decommissioning as determined
by a third-party professional engineer.
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(4) On or before the 15th anniversary of the
commencement of construction of the warehouse, the property
owner shall submit an updated decommissioning plan and proof
of financial assurance to the department in an amount equal
to 75% of the estimated cost of decommissioning as determined
by a third-party professional engineer.
(5) On or before the 20th anniversary of the
commencement of construction of the warehouse, the property
owner shall submit an updated decommissioning plan and proof
of financial assurance to the department in an amount equal
to 100% of the estimated cost of decommissioning as
determined by a third-party professional engineer.
(d) Forms of financial assurance.--A ny of the following
shall constitute an acceptable form of financial assurance:
(1) An escrow account.
(2) A certificate of deposit or an automatically
renewable, irrevocable letter of credit issued by a financial
institution chartered or authorized to do business in this
Commonwealth and regulated and examined by a Federal agency
or the Commonwealth.
(3) A bond executed by the property owner and a
corporate surety licensed to do business in this
Commonwealth.
(4) A negotiable bond issued by the Federal Government,
the Commonwealth or a municipality within this Commonwealth.
(e) Transferability.--A decommissioning plan and the
associated financial assurance may not be separated from the
warehouse through a change in property ownership. The new
property owner shall submit proof of financial assurance in
accordance with subsection (a). The prior property owner may not
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release or revoke the existing financial assurance until the new
property owner's proof of financial assurance is filed with the
department.
(f) Repurposing exception.--If the property owner submits,
and the department approves, a repurposing plan in accordance
with section 4305 (relating to form and content of repurposing
plan), the department may suspend or release the financial
assurance requirements under this section. The department shall
ensure that any future decommissioning obligations are addressed
in the approved repurposing plan.
§ 4305. Form and content of repurposing plan.
(a) Development of form.--W ithin 180 days of the effective
date of this subsection, the department shall, by regulation and
in consultation with the industrial development and warehouse
industry, develop a final standard form for the submission of
repurposing plans under this chapter.
(b) Contents.--T he final standard form developed under
subsection (a) shall require that the property owner's
repurposing plan include all of the following:
(1) A letter of written approval from the governing body
of the municipality in which the repurposing project is
proposed. If municipal approval is not provided, the
repurposing plan shall be invalid.
(2) A description of the proposed repurposed use and its
expected operational timeline.
(3) A proposed schedule for commencement and completion
of the repurposing project, subject to approval and
modification by the department under section 4303 (relating
to repurposing requirements in repurposing plan).
(4) A plan for future decommissioning in the event that
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the repurposed use ceases operation.
(5) A description of any modifications to existing
financial assurance requirements.
(6) Any other information the department deems necessary
to evaluate the feasibility and public benefit of the
repurposing plan.
§ 4306. F orm and content of decommissioning plan.
(a) Development of form.--W ithin 180 days of the effective
date of this subsection, the department shall, by regulation and
in consultation with the industrial development and warehouse
industry, develop a final standard form for the submission of
decommissioning plans and financial assurance under this
chapter.
(b) Contents.--The f inal standard form developed under
subsection (a) shall require that the property owner's
decommissioning plan include all of the following:
(1) The removal of all warehouse structures, concrete
slabs, fencing and foundations.
(2) The removal of all graveled areas and parking lots.
(3) The disconnection of all utility service lines and
removal of all aboveground and underground utility
infrastructure. The property owner shall not be required to
remove equipment or materials that a public utility requires
to remain on site.
(4) The restoration of the property to a condition
reasonably similar to its condition before commencement of
construction.
(5) The financial assurance required under section 4304
(relating to financial assurance requirements in
decommissioning plan).
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§ 4307. A pplicability.
This chapter shall not apply to a warehouse with a square
footage less than or equal to 5,000 square feet.
Section 2. This act shall take effect as follows:
(1) The following provisions shall take effect
immediately:
The addition of 27 Pa.C.S. §§ 4305 and 4306.
This section.
(2) The remainder of this act shall take effect in 180
days.
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