Pennsylvania Statutes Title 36 P.S. Highways and Bridges § 381. Claim of state against borough;  payment in installments

Where the Commonwealth, through the Department of Highways, shall have heretofore, in accordance with law, expended moneys for the construction, reconstruction or maintenance of any State highway located in any borough and, in accordance with the provisions of an act of Assembly or an agreement between the Commonwealth and the borough, shall have charged a portion of the cost of such construction, reconstruction or maintenance to the borough, and such claim remains unpaid and has been referred by the Department of Highways to the Department of Justice for collection, the Attorney General, on behalf of the Commonwealth, and with the approval of the Auditor General and State Treasurer, may enter into an agreement with the borough against which such claim is outstanding for the payment of such claim in installments.  Such agreement may be made whenever it appears that the borough is unable to pay the claim at once by reason of its financial condition, and shall provide for the liquidation of such claim before or after being reduced to judgment in definite payments over a period not exceeding five years.  If it shall appear that the borough by reason of its financial condition would be unable to pay the full amount of such claim in installments over a period of five years, the Attorney General, with the approval of the Auditor General and State Treasurer, may compound or settle such outstanding claim for such portion thereof as such officers may find the borough to be able to pay over a period of five years, and the agreement hereinbefore provided for shall be entered into on the basis of such settlement.