The Financially Distressed Municipalities Act (Act of 1987, P.L. 246, No. 47), also known as Act 47, empowers the Pennsylvania Department of Community and Economic Development to declare certain municipalities as financially distressed. It provides for the restructuring of debt of financially distressed municipalities, limits the ability of financially distressed municipalities to obtain government funding; authorizes municipalities to participate in Federal debt adjustment actions and bankruptcy actions under certain circumstances; and provides for consolidation or merger of contiguous municipalities to relieve financial distress.

Contents 1 History 1.1 Distressed municipalities 2 References 3 See also

[edit] History

Most provisions of Act 47 initially remained suspended until the termination of the Pennsylvania Intergovernmental Cooperation Act (Section 708 of Act 1991, June 5, P.L. 9, No 6).

The cities of Erie and Altoona, among others, have narrowly avoided Act 47 designation. Their mayors seek legislative changes to the binding arbitration rules of Act 111, as well as a reduction in the designation of tax-exempt properties, to improve their financial health.^[1]

[edit] Distressed municipalities

The following municipalities were designated as part of the Municipalities Financial Recovery Program as of the date indicated. Any dates of imposition and lifting of sanctions, and the rescinding of the initial designation are also noted.

Municipality	County	Designated	Sanctioned	Sanction rescinded	Designation rescinded
Aliquippa	Beaver	December 22, 1987
Ambridge	Beaver	April 10, 1990			April 16, 1993
Braddock	Allegheny	June 15, 1988
Chester	Delaware	April 6, 1995
Clairton	Allegheny	January 19, 1988
Duquesne	Allegheny	June 20, 1991
East Pittsburgh	Allegheny	November 13, 1992			December 27, 1999
Farrell	Mercer	November 12, 1987
Franklin	Cambria	July 26, 1988
Greenville	Mercer	May 8, 2002
Homestead	Allegheny	March 22, 1993			March 28, 2007
Johnstown	Cambria	August 21, 1992
Millbourne	Delaware	January 7, 1993
Nanticoke	Luzerne	May 26, 2006
New Castle	Lawrence	January 5, 2007
North Braddock	Allegheny	May 22, 1995			April 11, 2003
Pittsburgh	Allegheny	December 29, 2003
Plymouth	Luzerne	July 27, 2004
Rankin	Allegheny	January 9, 1989
Scranton	Lackawanna	January 10, 1992	January 1, 1999	November 22, 2002
Shenandoah	Schuylkill	May 20, 1988			April 16, 1993
West Hazleton	Luzerne	March 27, 2003
Westfall	Pike	April 14, 2009
Wilkinsburg	Allegheny	January 19, 1988			November 10, 1998

• List of Act 47 Municipalities

[edit] References

[edit] See also

• Municipalities Financial Recovery Act, Third Edition, January 2001
• Pittsburgh Act 47 Plan