Pennsylvania SB 1278: An Act amending Title 53 (Municipalities Generally) of the Pennsylvania Consolidated Statutes, establishing the Residential Economic Development District Grant Program and the Residential Economic Development District Fund.

Bill Text

PRINTER'S NO. 1587
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 1278
Session of
2026
INTRODUCED BY PICOZZI, STEFANO, BOSCOLA AND SANTARSIERO,
APRIL 14, 2026
REFERRED TO URBAN AFFAIRS AND HOUSING, APRIL 14, 2026
AN ACT
Amending Title 53 (Municipalities Generally) of the Pennsylvania
Consolidated Statutes, establishing the Residential Economic
Development District Grant Program and the Residential
Economic Development District Fund.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Title 53 of the Pennsylvania Consolidated
Statutes is amended by adding a chapter to read:
CHAPTER 63
RESIDENTIAL ECONOMIC DEVELOPMENT DISTRICT
GRANT PROGRAM
Sec.
6301. Definitions.
6302. Residential Economic Development District Grant Program.
6303. Submission to department.
6304. Residential Economic Development District Fund.
§ 6301. Definitions.
The following words and phrases when used in this chapter
shall have the meanings given to them in this section unless the
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context clearly indicates otherwise:
"Department." The Department of Community and Economic
Development of the Commonwealth.
"Fund." The Residential Economic Development District Fund
established under section 6304(a) (relating to Residential
Economic Development District Fund).
"Major economic development project." A project in this
Commonwealth that meets both of the following criteria:
(1) the project is reasonably expected to create, retain
and attract jobs or otherwise improve the economic well-being
of the area surrounding the project site; and
(2) at least $250,000,000 in private investments are
committed to establish, expand, renovate or occupy a facility
as part of a single project at a designated project site,
including investment in new buildings, additions or
improvements to existing buildings, machinery, equipment,
furniture, fixtures and inventory.
"Major workforce housing project." A project that reserves
at least 50 units designed for residential occupancy by at least
50 individuals or families living independently from each other.
"Program." The Residential Economic Development District
Grant Program established under section 6302 (relating to
Residential Economic Development District Grant Program).
"Pro-housing-development policy." Any of the following:
(1) Having a process in place to increase the rate at
which permits for housing developments are reviewed.
(2) Having a preapproval process in place for an
expedited review of permits for a diverse range of housing
developers.
(3) Subsidizing or decreasing costs related to water or
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sewer connections and extensions for major workforce housing
projects.
(4) Acquiring and readying sites that are ready to be
financed and built upon by developers.
(5) Reducing or eliminating impact, inspection and plan
review fees for housing developers.
(6) Adopting a zoning plan that includes promoting
higher density, small lot size and minimum setback
requirements.
(7) Developing a comprehensive plan that promotes
diverse residential development options.
(8) Having no or minimal parking requirements for
developments that include residential units as a matter of
right.
(9) Conducting a traffic study, improving water or sewer
infrastructure, improving roads or permitting both rigid and
flexible pavement types.
(10) Developing partnerships to expand the provision of
sewer and water services to new areas.
(11) Promoting the use of nontraditional building
structures such as modular or manufactured homes.
(12) Allowing accessory dwelling units as a matter of
right.
(13) Allowing for duplex, triplex and quadplex dwellings
as a matter of right.
(14) Eliminating height restrictions as a matter of
right.
"Residential economic development district." All parcels of
land within a 20-mile radius of a major economic development
project.
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§ 6302. Residential Economic Development District Grant
Program.
(a) Establishment.--The Residential Economic Development
District Grant Program is established within the department for
the purpose of encouraging major workforce housing projects in
areas of this Commonwealth that otherwise would not attract such
developments and to increase home ownership among residents of
this Commonwealth.
(b) Applicants.--A county or municipal corporation that is
fully or partially located within a residential economic
development district may apply for a grant under the program.
(c) Duties of department.--The department shall establish
guidelines necessary to implement and administer this chapter.
The guidelines shall address application procedures, scoring
metrics and grant distribution.
§ 6303. Submission to department.
(a) Application.--A county or municipal corporation may
submit an application indep