WEST VIRGINIA LEGISLATURE

2024 REGULAR SESSION

Introduced

House Bill 5321

By Delegates Howell, W. Clark, Moore, and Dittman

[Introduced January 29, 2024; Referred to the Committee on Government Organization then Finance]

A BILL to amend and re-enact §22-15A-30 of the Code of West Virginia, 1931, as amended; all relating to requiring local governments to provide matching funds for grants from the  Reclamation of Abandoned and Dilapidated Properties Program unless demonstrated to be fiscally unable; and requiring that fines assessed by local governments related to abandoned and dilapidated property be committed to the matching of Reclamation of Abandoned and Dilapidated Properties Program grants or to the demolition of condemned properties.

Be it enacted by the Legislature of West Virginia:

ARTICLE 15A. THE A. JAMES MANCHIN REHABILITATION ENVIRONMENTAL ACTION PLAN.

§22-15A-30. Reclamation of Abandoned and Dilapidated Properties Program.

(a) To assist county commissions, municipalities, urban renewal authorities created pursuant to §16-18-1 et seq. of this code, and land reuse agencies and municipal land banks created pursuant to §31-18E-1 et seq. of this code, in their efforts to remediate abandoned, blighted, and dilapidated structures or properties as provided in this code, the Department of Environmental Protection may develop a program called the Reclamation of Abandoned and Dilapidated Properties Program. Using the fund established in subsection (b) of this section, the Department of Environmental Protection may work with county commissions, municipalities, urban renewal authorities, land reuse agencies, and municipal land banks to implement redevelopment plans which will, at a minimum, establish prioritized inventories of structures eligible to participate in the program, offer reuse options for sites, and recommend actions county commissions or municipalities may take to remediate abandoned and dilapidated structures in their communities.

(b) There is created in the State Treasury a special revenue fund known as the Reclamation of Abandoned and Dilapidated Properties Program Fund. The fund shall be comprised of any money granted by charitable foundations, allocated by the Legislature, allocated from federal agencies, and earned from the investment of money held in the fund, and all other money designated for deposit to the fund from any source, public or private. The fund shall operate as a special revenue fund and all deposits and payments into the fund do not expire to the General Revenue Fund but shall remain in the account and be available for expenditure in succeeding fiscal years.

(c) The fund, to the extent that money is available, may be used solely to assist county commissions, municipalities, urban renewal authorities, land reuse agencies, and municipal land banks to remediate abandoned and dilapidated structures and properties by demolishing, deconstructing, or redeveloping them together with predevelopment expenses related thereto and other activities as authorized by a charitable grant or legislative appropriation. The fund may also be used to defray costs incurred by the Department of Environmental Protection in administering the provisions of this section. However, no more than five percent of money transferred from the Solid Waste Facility Closure Cost Assistance Fund may be used for administrative purposes.

(d) The Department of Environmental Protection, in consultation with the State Fire Marshal, Insurance Commissioner, the Auditor, the Secretary of Revenue, and the Legislative Auditor, shall conduct a review of the needs of county commissions, municipalities, urban renewal authorities, land reuse agencies, and municipal land banks. On or before December 31, 2023, the Department of Environmental Protection shall submit to the Joint Committee on Government and Finance a comprehensive report of that review, along with recommendations that are substantiated by the findings of the review that may be taken to meet the needs of the state in demolishing and redeveloping abandoned and dilapidated structures and properties.

(e) Statewide contracts. — The Department of Environmental Protection may cooperate with the Purchasing Division of the Department of Administration to establish one or more statewide contracts for services to be utilized by county commissions, municipalities, urban renewal authorities, land reuse agencies, and municipal land banks to implement the purposes of this section.

(f) County commissions, municipalities, urban renewal authorities created pursuant to §16-18-1 et seq. of this code, and land reuse agencies and municipal land banks created pursuant to §31-18E-1 et seq. of this code who take part in the Reclamation of Abandoned and Dilapidated Properties Program must provide matching funds in the amount of 20 percent of the total amount of a grant awarded to the entity by the Department, unless the prospective grantee can demonstrate to the Department, using data provided by the West Virginia State Auditor’s Office pursuant to the State Auditor's rulemaking authority, that it is fiscally unable to do so.

(g) Beginning on July 1, 2024, county commissions, municipalities, urban renewal authorities created pursuant to §16-18-1 et seq. of this code, and land reuse agencies and municipal land banks created pursuant to §31-18E-1 et seq. of this code who take part in the Reclamation of Abandoned and Dilapidated Properties Program shall demonstrate that all fines assessed or other payments collected by the grantee that relate to code, ordinance, or any other law related to the maintenance or state of repair of private property within in the grantee’s jurisdiction be placed into a separate account to be used solely for the purpose of meeting match requirements to obtain grants from the Reclamation of Abandoned and Dilapidated Properties Program or to otherwise complete demolition work to remove condemned structures.

(f)(h) The Department of Environmental Protection may propose rules for legislative approval in accordance with the provisions of §29A-3-1 et seq. of this code, to include, but not be limited to, governing the disbursement of money from the fund, establishing the Reclamation of Abandoned and Dilapidated Properties Program, directing the distribution of money from the fund, entering contracts statewide contracts, and establishing criteria for eligibility to receive money from the fund.

(g)(i) Nothing in this section shall may be construed to limit, restrain, or otherwise discourage this state and its political subdivisions from disposing of abandoned and dilapidated structures in any other manner provided by the laws of this state.

NOTE: The purpose of this bill is to require local governments to provide matching funds for grants from the  Reclamation of Abandoned and Dilapidated Properties Program unless demonstrated to be fiscally unable; and to require that fines assessed by local governments related to abandoned and dilapidated property be committed to the matching of Reclamation of Abandoned and Dilapidated Properties Program grants or to the demolition of condemned properties.

Strike-throughs indicate language that would be stricken from a heading or the present law and underscoring indicates new language that would be added.