Pennsylvania Statutes Title 10 P.S. Charities and Welfare § 377. Voluntary agreements

(a) General rule.--A political subdivision may execute a voluntary agreement with an institution that owns real property within the political subdivision. All contributions received from such voluntary agreements shall be used to help ensure that essential governmental, public or community services will continue to be provided in a manner that will permit an institution to continue to fulfill its charitable mission. Nothing in this section shall be construed to prohibit a political subdivision from sharing with another political subdivision a portion of the proceeds derived from a voluntary agreement upon the mutual agreement of all affected parties.

(b) Public service foundations.--Institutions of purely public charity may establish a public service foundation, upon mutual agreement with a political subdivision, for the purpose of receiving contributions from institutions of purely public charity. Upon agreement, the foundation shall make distributions or grants to a participating political subdivision to help ensure that essential governmental, public or community services will continue to be provided in a manner that will permit an institution to continue to fulfill its charitable mission. A political subdivision which receives a distribution or grant from a public service foundation shall not assess or seek a separate contribution for services from institutions of purely public charity participating in a foundation.

(c) Additional credit for voluntary agreements.--An institution which has entered into a voluntary agreement may credit the following percentage of the reasonable value of its contribution for purposes of computing the community service criteria set forth in section 5(d)(4)(viii):  1

(d) Existing agreements.--Nothing in this act shall be construed to affect, impair, terminate or supersede any contract, agreement or other arrangement in effect on or before the effective date of this section between an institution and a political subdivision which authorizes or requires payment of taxes, amounts in lieu of taxes or other charges or fees for the services of a political subdivision.

(e) New agreements.--Nothing in this act shall be construed to impair or otherwise inhibit the right or ability of any institution seeking or possessing an exemption as an institution of purely public charity, a public service foundation or a political subdivision from executing voluntary agreements after the effective date of this section.