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Pennsylvania Statutes Title 8 Pa.C.S.A. Boroughs and Incorporated Towns § 1201.1. Real property

Current as of January 01, 2025 | Updated by Findlaw Staff

(a) Sale.--No real estate owned by the borough may be sold except upon approval of council by resolution. Additionally, no real estate owned by the borough may be sold for a consideration in excess of $6,000, except to the highest bidder after due notice by advertisement for bids or advertisement of a public auction.

(a.1) Advertisement.--The advertisement shall be published once in one newspaper of general circulation not less than ten days prior to the date scheduled for the opening of bids or public auction. The date for opening bids or public auction shall be announced in the advertisement.

(a.2) Award of contracts.--The award of contracts shall be made only by public announcement at a regular or special meeting of council or at the public auction. All bids shall be accepted on the condition that payment of the purchase price in full shall be made within 60 days of the acceptance of bids. If no compliant bids are received after advertisement, the applicable procedures in the act of October 27, 1979 (P.L. 241, No. 78),  1 entitled “An act authorizing political subdivisions, municipality authorities and transportation authorities to enter into contracts for the purchase of goods and the sale of real and personal property where no bids are received,” shall be followed.

(b) Rejection of bids.--The council shall have the authority to reject all bids if the bids are deemed to be less than the fair market value of the real property. In the case of a public auction, the council may establish a minimum bid based on the fair market value of the real property.

(c) Exception.--Real estate owned by a borough may be sold at a consideration of $6,000 or less without advertisement or competitive bidding only after council estimates the value of the property upon receipt of an appraisal by a qualified real estate appraiser. Prior to selling real estate valued at $6,000 or less without advertisement or competitive bidding, borough council shall make a public announcement of the council's intention to sell the real estate at a regular or special meeting of council at least 30 days prior to the sale.

(d) Exchange of real property.--

(1) Notwithstanding this section, council shall have the authority to exchange real property for real property of equal or greater value, without complying with this section, if the property being acquired by the borough is to be used for municipal purposes.Municipal purposes as used in this subsection include a subsequent sale or lease of the property to any of the entities listed in section 1201.3 (relating to exceptions).

(2) Any conveyance of real property acquired in an exchange to an entity listed in section 1201.3 may contain a clause under which the lands and buildings will revert to the borough if they are no longer being used for the purposes of the entity.

(3) If council chooses to exercise its power of real property exchange under this section, it shall be by resolution adopted by council. Notice of the resolution, including a description of the properties to be exchanged, shall be published once in one newspaper of general circulation not more than 60 days nor fewer than seven days prior to adoption.

(4) Participation in a real property exchange shall not prohibit the application of the requirements of the act of October 4, 1978 (P.L. 851, No. 166),  2 known as the Flood Plain Management Act.

1 73 P.S. §§ 1641, 1642.
2 32 P.S. § 679.101 et seq.
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Cite this article: FindLaw.com - Pennsylvania Statutes Title 8 Pa.C.S.A. Boroughs and Incorporated Towns § 1201.1. Real property - last updated January 01, 2025 | https://codes.findlaw.com/pa/title-8-pacsa-boroughs-and-incorporated-towns/pa-csa-sect-8-1201-1/

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