An Act amending Title 68 (Real and Personal Property) of the Pennsylvania Consolidated Statutes, in real property, providing for common interest communities.

PRINTER'S NO. 1102
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 963
Session of
2025
INTRODUCED BY ARGALL, STEFANO AND FONTANA, AUGUST 13, 2025
REFERRED TO URBAN AFFAIRS AND HOUSING, AUGUST 13, 2025
AN ACT
Amending Title 68 (Real and Personal Property) of the
Pennsylvania Consolidated Statutes, in real property,
providing for common interest communities.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Part II of Title 68 of the Pennsylvania
Consolidated Statutes is amended by adding a subpart to read:
SUBPART G
COMMON INTEREST COMMUNITIES
Chapter
63. Municipal Services
CHAPTER 63
MUNICIPAL SERVICES
Sec.
6301. Short title of chapter.
6302. Definitions.
6303. Municipal services to be provided.
6304. Reimbursement for municipal services.
6305. Arbitration.
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6306. Additional services.
6307. Applicability.
6308. Construction.
§ 6301. Short title of chapter.
This chapter shall be known and may be cited as the Municipal
Services Equalization and Tax Fairness Act.
§ 6302. Definitions.
The following words and phrases when used in this chapter
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Community." The following:
(1) A condominium as defined in section 3103 (relating
to definitions).
(2) A cooperative as defined in section 4103 (relating
to definitions).
(3) A planned community as defined in section 5103
(relating to definitions).
(4) A community under paragraph (1), (2) or (3) is a
community regardless of:
(i) Whether the community was created under this
title.
(ii) The number of units in the community.
(iii) Whether individual units are owner occupied or
leased.
(iv) The following:
(A) the public has open access to its streets;
(B) the streets have been dedicated to the
municipality; or
(C) the streets meet the construction standards
of the municipality.
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"Municipal services." The following:
(1) Any of the following services to the extent that
they are provided to a noncommunity dwelling within a
municipality or within the jurisdiction of a municipal
authority that are paid for out of the general revenues of
the municipality:
(i) Solid waste collection and disposal, including
household waste, leaves and recyclable materials.
(ii) Removal of snow, ice and other obstructions
from the cartway of roads and streets.
(iii) Lighting of the roads and streets to the
extent of payment for the electricity required, but not
including the installation or maintenance of lamps,
standards, wiring or other equipment.
(iv) Maintenance, repair and replacement of sanitary
sewer lines.
(v) Maintenance, repair and replacement of water
lines.
(vi) Providing police, fire, ambulance and other
emergency services, including fire hydrants.
(vii) Any and all other services provided by a
municipality or municipal authority to single family
dwellings.
(2) The term shall include services provided by a
municipality regardless of whether the roads, streets or
other improvements are dedicated to the municipality or owned
or controlled by the community.
"Municipality." A borough, city of the first class, city of
the second class, city of the third class, township of the first
class and township of the second class. The term shall include a
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municipal authority as defined under 53 Pa.C.S. § 5602 (relating
to definitions).
"Noncommunity dwelling." A residential dwelling which is not
part of a community.
§ 6303. Municipal services to be provided.
(a) Services.--Except as provided under subsection (b),
every municipality shall provide to a community the same
municipal services it provides to noncommunity dwellings.
(b) Negotiated municipal services.--At the request of a
community, the municipality in which the community is located
shall negotiate the provision of municipal services. The
negotiations shall result in a written agreement which:
(1) describes the specific municipal services to be
provided;
(2) provides for the municipality to either supply the
municipal services or to reimburse the community for the
actual costs incurred by the community for the municipal
services; and
(3) describes the timing and procedures to be followed
for the reimbursement from the municipality to the community
as provided under section 6304 (relating to reimbursement for
municipal services).
(c) Compulsory arbitration.--In the event a community and
municipality are unable to reach a negotiated written agreement
for the provision of municipal services, the community and
municipality shall enter into compulsory arbitration as provided
under section 6305 (relating to arbitration).
§ 6304. Reimbursement for municipal services.
(a) Reimbursement.--Any amount received by a community from
a municipality shall be applied as reimbursement to the
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community for the actual costs incurred by the community in
performing the municipal services.
(b) Actual costs.--The actual costs of providing the
municipal services shall be evidenced by copies of paid invoices
produced by the community to the municipality at times as may be
agreed upon between the community and municipality in the
written agreement.
(c) Timing for reimbursement.--Reimbursements for municipal
services shall be paid at least annually by the municipality to
the community and no later than 90 days after the date on which
the community provides the municipality with copies of invoices
paid for by the community or other timing requirements as may be
negotiated between the community and the municipality.
(d) Disputes.--Any disputes pertaining to the amount of the
reimbursement to be paid by the municipality to the community
for the provision of municipal services shall be subject to
arbitration as provided under section 6305 (relating to
arbitration), unless otherwise agreed to, in writing, between
the community and the municipality.
§ 6305. Arbitration.
(a) Request and appointment.--If a municipality and a
community are unable to reach an understanding on the terms of
an agreement within 90 days after a community has provided the
municipality with a written request to negotiate the provision
of municipal services, the community may request arbitration and
a board of arbitrators shall be appointed as provided under
subsection (b).
(b) Board of arbitrators.--The board of arbitrators shall be
composed of three individuals, one appointed by the
municipality, one appointed by the community and a third member
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to be agreed upon by the other two arbitrators. The community
arbitrator shall be named in the request for the appointment of
the board of arbitrators. The municipal arbitrator shall be
named within 10 days from the date the request is delivered.
If, after a period of 10 days from the date of the appointment
of the two arbitrators, the third arbitrator has not been
selected, either arbitrator may request the American Arbitration
Association to furnish a list of seven American Arbitration
Association members from which a third arbitrator shall be
selected. The municipal arbitrator shall eliminate a name from
the list and then the two arbitrators shall alternately
eliminate names until one name remains. That individual shall be
the third or neutral arbitrator and shall act as chairperson of
the board of arbitrators. The board of arbitrators established
shall commence the arbitration proceedings within 30 days after
the third arbitrator is selected and shall make its
determination within 40 days after its hearing is concluded.
(c) Powers of arbitrators.--Each of the arbitrators shall
have the power to administer oaths and compel the attendance of
witnesses and physical evidence by subpoena.
(d) Determination.--The determination of the majority of the
board of arbitrators shall be final on the issues in dispute and
shall be binding upon the municipality and the community. The
determination shall be in writing and a copy of the
determination shall be forwarded to the municipality and the
community. No appeal of the determination shall be allowed to
any court. The determination shall constitute a mandate to the
municipality or the community to take the action necessary to
carry out the determination of the board of arbitrators.
(e) Compensation.--The compensation, if any, of the neutral
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arbitrator shall be shared by the municipality and the
community. The municipality and the community shall each pay its
respective arbitrator. The cost of any stenographic expenses
shall be paid by the party requesting a stenographic record.
(f) Sole arbitrator.--The municipality and the community may
conduct the arbitration provided under this section before a
sole arbitrator if agreed upon between the municipality and the
community, in writing.
§ 6306. Additional services.
Nothing in this chapter shall prevent a municipality from
providing additional services that primarily serve public
purposes to the residents of a community. The governing body of
a municipality, which prior to the effective date of this
section has enacted an ordinance providing all the municipal
services or reimbursement provided by this chapter to a
community, may repeal the ordinance and implement the provisions
of this chapter.
§ 6307. Applicability.
This chapter applies to all cities of the first class, cities
of the second class, cities of the third class, boroughs,
townships of the first class and townships of the second class
that render municipal services.
§ 6308. Construction.
Nothing in this chapter shall be construed as abrogating or
superseding any agreement in effect under an ordinance providing
all the municipal services or reimbursement provided by this
chapter to a community prior to the effective date of this
section.
Section 2. This act shall take effect in 60 days.
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