HB 1787 — An Act amending Titles 8 (Boroughs and Incorporated Towns) and 11 (Cities) of the Pennsylvania Consolidated Statutes, in powers and duties of elected officials, further providing for completion, filing and publication of auditor's report and financial statement; and, in accounts and finances, further providing for annual reports, publication, filing report with Department of Community and Economic Development and penalty.

PRINTER'S NO.    2198

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                         HOUSE BILL
                         No. 1787
                                               Session of
                                                 2025

     INTRODUCED BY SAPPEY, FREEMAN, SMITH-WADE-EL, JAMES AND
        B. MILLER, AUGUST 5, 2025

     REFERRED TO COMMITTEE ON LOCAL GOVERNMENT, AUGUST 10, 2025


                                    AN ACT
 1   Amending Titles 8 (Boroughs and Incorporated Towns) and 11
 2      (Cities) of the Pennsylvania Consolidated Statutes, in powers
 3      and duties of elected officials, further providing for
 4      completion, filing and publication of auditor's report and
 5      financial statement; and, in accounts and finances, further
 6      providing for annual reports, publication, filing report with
 7      Department of Community and Economic Development and penalty.
 8      The General Assembly of the Commonwealth of Pennsylvania
 9   hereby enacts as follows:
10      Section 1.    Section 1059.1(a) and (b.1) of Title 8 of the
11   Pennsylvania Consolidated Statutes are amended to read:
12   § 1059.1.   Completion, filing and publication of auditor's
13               report and financial statement.
14      (a)   Report.--The auditors shall complete the annual audit,
15   adjustment and settlement [as soon as possible after the end of
16   the fiscal year] prior to June 30. The auditors shall, within
17   ten days after completing the annual audit, publish once, in at
18   least one newspaper of general circulation, concise financial
19   information prepared or approved by the auditors and consistent
20   with the audited financial statements for total assets, total
 1   liabilities and total net position at the end of the fiscal year
 2   and total revenue, total expenses and changes in total net
 3   position for that fiscal year and a reference to a place within
 4   the borough where copies of the financial statements and
 5   accompanying audit report may be examined. If the full financial
 6   statements and accompanying audit report are not published,
 7   copies shall be supplied to the publishing newspaper when the
 8   request for publication is submitted.
 9          * * *
10      (b.1)   Filing of report and penalties.--The report shall be
11   prepared no later than [90 days after the close of the fiscal
12   year] the last day of June of each year. It shall be the duty of
13   the secretary of the auditors to file a copy of the report with
14   the secretary of the borough, with the clerk of the court of
15   common pleas of the county or the prothonotary under local rules
16   of court, with the Department of Transportation and with the
17   Department of Community and Economic Development [no later than
18   90 days after the close of the fiscal year] the last day of June
19   of each year. Any secretary of the auditors refusing or
20   willfully neglecting to file the report commits a summary
21   offense. If the failure to file the report within the period
22   specified is due to the failure of any or all of the auditors to
23   prepare the statement upon which the report is to be based, the
24   auditor commits a summary offense.
25      * * *
26      Section 2.   Section 11812(a), (b)(2) and (c) of Title 11 are
27   amended to read:
28   § 11812.   Annual reports, publication, filing report with
29               Department of Community and Economic Development and
30               penalty.

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 1      (a)   Annual report.--The chief fiscal officer shall make a
 2   report, verified by oath or affirmation to council at a stated
 3   meeting in [April] June of each year, of the public accounts of
 4   the city and of the trusts in its care for the preceding fiscal
 5   year, exhibiting all of the expenditures of the accounts,
 6   respectively, and the sources from which the revenue and funds
 7   are derived and in what measures the revenue and funds have been
 8   disbursed. Each account shall be accompanied by a statement
 9   detailing all of the following:
10            (1)   The appropriations made by council.
11            (2)   The amount drawn and encumbered on each
12      appropriation.
13            (3)   The unencumbered balance outstanding to the debit or
14      credit of the appropriation at the close of the fiscal year.
15      (b)   Publication.--
16            * * *
17            (2)     The concise financial information approved by the
18      independent auditor and consistent with the audited financial
19      statements for total assets, total liabilities and total net
20      position at the end of the fiscal year and total revenue,
21      total expenses and changes in total net position for that
22      fiscal year and a reference to a place within the city where
23      copies of the financial statements and accompanying auditor's
24      report may be examined shall be published in a newspaper of
25      general circulation as required by section 10109 (relating to
26      publication of notices) at least 10 days prior to the [April]
27      meeting scheduled pursuant to subsection (a). If the full
28      financial statements and accompanying auditor's report are
29      not published, copies shall be supplied to the publishing
30      newspaper when the request for publication is submitted.

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 1            * * *
 2      (c)   Filing.--The chief fiscal officer shall annually report
 3   the financial condition of the city to the Department of
 4   Community and Economic Development [within 90 days after the
 5   close of the fiscal year] by the last day of June of each year.
 6   The report shall be signed and duly verified by the oath of the
 7   chief fiscal officer and approved by the independent auditor, as
 8   provided above. Any chief fiscal officer appointed by the city
 9   refusing or willfully neglecting to file the report shall, upon
10   conviction in a summary proceeding brought by the Department of
11   Community and Economic Development, be sentenced to pay a fine
12   of $5 for each day delayed beyond [90 days] the last day of June
13   and costs. All fines recovered shall be for use by the
14   Commonwealth.
15      * * *
16      Section 3.    This act shall take effect immediately.




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