HB 2159 — An Act amending Title 27 (Environmental Resources) of the Pennsylvania Consolidated Statutes, providing for decommissioning and repurposing of warehouses.

PRINTER'S NO.   2793

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                         HOUSE BILL
                         No. 2159
                                               Session of
                                                 2026

     INTRODUCED BY DAY, JANUARY 23, 2026

     REFERRED TO COMMITTEE ON COMMERCE, JANUARY 26, 2026


                                    AN ACT
 1   Amending Title 27 (Environmental Resources) of the Pennsylvania
 2      Consolidated Statutes, providing for decommissioning and
 3      repurposing of warehouses.
 4      The General Assembly of the Commonwealth of Pennsylvania
 5   hereby enacts as follows:
 6      Section 1.    Title 27 of the Pennsylvania Consolidated
 7   Statutes is amended by adding a chapter to read:
 8                                CHAPTER 43
 9             DECOMMISSIONING AND REPURPOSING OF WAREHOUSES
10   Sec.
11   4301.   Definitions.
12   4302.   Decommissioning requirements in decommissioning plan.
13   4303.   Repurposing requirements in repurposing plan.
14   4304.   Financial assurance requirements in decommissioning plan.
15   4305.   Form and content of repurposing plan.
16   4306.   Form and content of decommissioning plan.
17   4307.   Applicability.
18   § 4301.   Definitions.
19      The following words and phrases when used in this chapter
 1   shall have the meanings given to them in this section unless the
 2   context clearly indicates otherwise:
 3      "Ceased operation."   The point at which a warehouse
 4   permanently discontinues its primary activities and no longer
 5   serves its warehousing or logistics function.
 6      "Commencement of construction."     The date on which a property
 7   owner issues a full notice to proceed to a construction
 8   contractor for the initiation of warehouse construction
 9   activities.
10      "Decommissioning plan."    A document submitted to the
11   department that describes the process for decommissioning a
12   warehouse and specifies the amount, form and timing of the
13   financial assurance required under this chapter.
14      "Department."   The Department of Community and Economic
15   Development of the Commonwealth.
16      "Professional engineer."   As defined in section 2(e) of the
17   act of May 23, 1945 (P.L.913, No.367), known as the Engineer,
18   Land Surveyor and Geologist Registration Law.
19      "Property owner."   An individual, partnership, corporation,
20   limited liability company, trust or other legal entity that
21   holds legal title to the parcel or parcels of property on which
22   a warehouse subject to this chapter is or will be constructed.
23      "Repurposing plan."   A document submitted to the department
24   that describes the proposed reuse of a warehouse that has ceased
25   operation and includes the intended new use, project schedule,
26   municipal approvals and any future decommissioning obligations.
27      "Warehouse."    A large facility used for the organized
28   storage, retrieval and movement of goods, materials, merchandise
29   or other items.
30   § 4302.   Decommissioning requirements in decommissioning plan.

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 1      A decommissioning plan executed on or after the effective
 2   date of this section shall include a provision stating that the
 3   property owner is responsible for decommissioning the warehouse
 4   in accordance with this chapter no later than 18 months after
 5   the warehouse has ceased operation unless the property owner is
 6   actively pursuing a repurposing plan approved by the department.
 7   The requirement under this section shall apply notwithstanding
 8   the occurrence of a force majeure or similar event.
 9   § 4303.   Repurposing requirements in repurposing plan.
10      A property owner that seeks to implement a repurposing plan
11   on or after the effective date of this section shall submit the
12   repurposing plan to the department and obtain approval from the
13   department no later than 18 months after the warehouse has
14   ceased operation. Upon approval of the plan, the department
15   shall establish a binding schedule for commencement and
16   completion of the repurposing project. The department may modify
17   the schedule upon written request by the property owner and a
18   showing of good cause.
19   § 4304.   Financial assurance requirements in decommissioning
20                plan.
21      (a)    Proof of financial assurance.--A property owner that
22   applies for a building permit, land development permit or zoning
23   approval for a warehouse under the Uniform Construction Code, a
24   State regulation or local ordinance on or after the effective
25   date of this subsection shall submit to the department a
26   decommissioning plan and proof of financial assurance. The
27   financial assurance shall conform to the requirements of this
28   chapter and shall secure the performance of the property owner's
29   obligation to decommission the warehouse. If the property owner
30   fails to fulfill the obligation to decommission the warehouse,

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 1   the financial assurance shall be payable to the department.
 2      (b)     Amount of financial assurance.--The amount of financial
 3   assurance shall be equal to the estimated cost to decommission
 4   the warehouse. The amount of financial assurance shall be
 5   calculated and updated every five years by a third-party
 6   professional engineer retained by the property owner from a list
 7   of professional engineers compiled by the department and
 8   published on the department's publicly accessible Internet
 9   website.
10      (c)     Delivery.--The property owner shall deliver the
11   decommissioning plan and proof of financial assurance to the
12   department as follows:
13            (1)   No later than 30 days before commencement of
14      construction of the warehouse, the property owner shall
15      submit the decommissioning plan and proof of financial
16      assurance to the department in an amount equal to 10% of the
17      estimated cost of decommissioning as determined by a third-
18      party professional engineer.
19            (2)   On or before the fifth anniversary of the
20      commencement of construction of the warehouse, the property
21      owner shall submit an updated decommissioning plan and proof
22      of financial assurance to the department in an amount equal
23      to 30% of the estimated cost of decommissioning as determined
24      by a third-party professional engineer.
25            (3)   On or before the 10th anniversary of the
26      commencement of construction of the warehouse, the property
27      owner shall submit an updated decommissioning plan and proof
28      of financial assurance to the department in an amount equal
29      to 50% of the estimated cost of decommissioning as determined
30      by a third-party professional engineer.

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 1            (4)   On or before the 15th anniversary of the
 2      commencement of construction of the warehouse, the property
 3      owner shall submit an updated decommissioning plan and proof
 4      of financial assurance to the department in an amount equal
 5      to 75% of the estimated cost of decommissioning as determined
 6      by a third-party professional engineer.
 7            (5)   On or before the 20th anniversary of the
 8      commencement of construction of the warehouse, the property
 9      owner shall submit an updated decommissioning plan and proof
10      of financial assurance to the department in an amount equal
11      to 100% of the estimated cost of decommissioning as
12      determined by a third-party professional engineer.
13      (d)   Forms of financial assurance.--Any of the following
14   shall constitute an acceptable form of financial assurance:
15            (1)   An escrow account.
16            (2)   A certificate of deposit or an automatically
17      renewable, irrevocable letter of credit issued by a financial
18      institution chartered or authorized to do business in this
19      Commonwealth and regulated and examined by a Federal agency
20      or the Commonwealth.
21            (3)   A bond executed by the property owner and a
22      corporate surety licensed to do business in this
23      Commonwealth.
24            (4)   A negotiable bond issued by the Federal Government,
25      the Commonwealth or a municipality within this Commonwealth.
26      (e)   Transferability.--A decommissioning plan and the
27   associated financial assurance may not be separated from the
28   warehouse through a change in property ownership. The new
29   property owner shall submit proof of financial assurance in
30   accordance with subsection (a). The prior property owner may not

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 1   release or revoke the existing financial assurance until the new
 2   property owner's proof of financial assurance is filed with the
 3   department.
 4      (f)    Repurposing exception.--If the property owner submits,
 5   and the department approves, a repurposing plan in accordance
 6   with section 4305 (relating to form and content of repurposing
 7   plan), the department may suspend or release the financial
 8   assurance requirements under this section. The department shall
 9   ensure that any future decommissioning obligations are addressed
10   in the approved repurposing plan.
11   § 4305.    Form and content of repurposing plan.
12      (a)    Development of form.--Within 180 days of the effective
13   date of this subsection, the department shall, by regulation and
14   in consultation with the industrial development and warehouse
15   industry, develop a final standard form for the submission of
16   repurposing plans under this chapter.
17      (b)    Contents.--The final standard form developed under
18   subsection (a) shall require that the property owner's
19   repurposing plan include all of the following:
20             (1)   A letter of written approval from the governing body
21      of the municipality in which the repurposing project is
22      proposed. If municipal approval is not provided, the
23      repurposing plan shall be invalid.
24             (2)   A description of the proposed repurposed use and its
25      expected operational timeline.
26             (3)   A proposed schedule for commencement and completion
27      of the repurposing project, subject to approval and
28      modification by the department under section 4303 (relating
29      to repurposing requirements in repurposing plan).
30             (4)   A plan for future decommissioning in the event that

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 1      the repurposed use ceases operation.
 2             (5)   A description of any modifications to existing
 3      financial assurance requirements.
 4             (6)   Any other information the department deems necessary
 5      to evaluate the feasibility and public benefit of the
 6      repurposing plan.
 7   § 4306.    Form and content of decommissioning plan.
 8      (a)     Development of form.--Within 180 days of the effective
 9   date of this subsection, the department shall, by regulation and
10   in consultation with the industrial development and warehouse
11   industry, develop a final standard form for the submission of
12   decommissioning plans and financial assurance under this
13   chapter.
14      (b)     Contents.--The final standard form developed under
15   subsection (a) shall require that the property owner's
16   decommissioning plan include all of the following:
17             (1)   The removal of all warehouse structures, concrete
18      slabs, fencing and foundations.
19             (2)   The removal of all graveled areas and parking lots.
20             (3)   The disconnection of all utility service lines and
21      removal of all aboveground and underground utility
22      infrastructure. The property owner shall not be required to
23      remove equipment or materials that a public utility requires
24      to remain on site.
25             (4)   The restoration of the property to a condition
26      reasonably similar to its condition before commencement of
27      construction.
28             (5)   The financial assurance required under section 4304
29      (relating to financial assurance requirements in
30      decommissioning plan).

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 1   § 4307.    Applicability.
 2      This chapter shall not apply to a warehouse with a square
 3   footage less than or equal to 5,000 square feet.
 4      Section 2.      This act shall take effect as follows:
 5             (1)   The following provisions shall take effect
 6      immediately:
 7                   The addition of 27 Pa.C.S. §§ 4305 and 4306.
 8                   This section.
 9             (2)   The remainder of this act shall take effect in 180
10      days.




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