HB 2160 — An Act amending the act of June 27, 1996 (P.L.403, No.58), known as the Community and Economic Development Enhancement Act, renaming the Department of Community and Economic Development to the Department of Housing and Community Development; and making a repeal and editorial changes.

PRINTER'S NO.   2803

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                         HOUSE BILL
                         No. 2160
                                               Session of
                                                 2026

     INTRODUCED BY SCOTT AND SANCHEZ, JANUARY 28, 2026

     REFERRED TO COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT,
        JANUARY 28, 2026


                                    AN ACT
 1   Amending the act of June 27, 1996 (P.L.403, No.58), entitled "An
 2      act to enhance community and economic development in this
 3      Commonwealth by restructuring certain administrative
 4      functions and entities; changing the name of the Department
 5      of Commerce to the Department of Community and Economic
 6      Development; transferring functions of the Department of
 7      Community Affairs into the Department of Community and
 8      Economic Development and other agencies; providing for a
 9      Deputy Secretary for Community Affairs and Development in the
10      Department of Community and Economic Development;
11      establishing the Center for Local Government Services and the
12      Local Government Advisory Committee; establishing the Small
13      Business Advocacy Council; conferring powers and duties on
14      the Legislative Reference Bureau; and making repeals,"
15      renaming the Department of Community and Economic Development
16      to the Department of Housing and Community Development; and
17      making a repeal and editorial changes.
18      The General Assembly of the Commonwealth of Pennsylvania
19   hereby enacts as follows:
20      Section 1.    The title and sections 101 and 102 of the act of
21   June 27, 1996 (P.L.403, No.58), known as the Community and
22   Economic Development Enhancement Act, are amended to read:
23                                  AN ACT
24   To enhance [community and economic] housing and community
25      development in this Commonwealth by restructuring certain
 1      administrative functions and entities; changing the name of
 2      the [Department of Commerce to the] Department of Community
 3      and Economic Development to the Department of Housing and
 4      Community Development; transferring functions of the
 5      Department of Community Affairs into the Department of
 6      [Community and Economic] Housing and Community Development
 7      and other agencies; providing for a Deputy Secretary for
 8      [Community Affairs and] Housing and Community Development in
 9      the Department of [Community and Economic] Housing and
10      Community Development; establishing the Center for Local
11      Government Services and the Local Government Advisory
12      Committee; establishing the Small Business Advocacy Council;
13      conferring powers and duties on the Legislative Reference
14      Bureau; and making repeals.
15   Section 101.   Short title.
16      This act shall be known and may be cited as the [Community
17   and Economic] Housing and Community Development Enhancement Act.
18   Section 102.   Declaration of purpose.
19      It is the purpose of this act to more effectively address the
20   problems of Pennsylvania's communities by recognizing that
21   [community development and economic] housing and community
22   development are inextricably linked, by expanding and providing
23   for the more efficient delivery of local services, by effecting
24   the maximum feasible coordination of [community and economic]
25   housing and community development resources to restore and
26   maintain the vigor of our communities, by advancing the economic
27   well-being of communities through the maximization of [community
28   and economic] housing and community development resources, by
29   promoting housing and community revitalization in conjunction
30   with economic development activities, by providing greater

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 1   opportunity for local jurisdictions to be fully represented in
 2   State government and by providing a one-stop agency to carry out
 3   the [community and economic] housing and community development
 4   programs which are of vital importance to all areas of this
 5   Commonwealth.
 6      Section 2.    The definitions of "department" and "secretary"
 7   in section 103 of the act are amended to read:
 8   Section 103.    Definitions.
 9      The following words and phrases when used in this act shall
10   have the meanings given to them in this section unless the
11   context clearly indicates otherwise:
12      * * *
13      "Department."    The Department of [Community and Economic]
14   Housing and Community Development of the Commonwealth.
15      "Secretary."    The Secretary of [Community and Economic]
16   Housing and Community Development of the Commonwealth.
17      * * *
18      Section 3.    Sections 104, 301 heading, (a) introductory
19   paragraph, (b) and (c), 302 heading and introductory paragraph,
20   305(a), 306(a), 502, 901, 1103(b), 1104, 1107 and 2103(c) of the
21   act are amended to read:
22   Section 104.    Name change.
23      To reflect the enhancement and consolidation of [community
24   and economic] housing and community development functions, the
25   [Department of Commerce shall hereafter be known as the]
26   Department of Community and Economic Development shall hereafter
27   be known as the Department of Housing and Community Development.
28   Section 301.    To Department of [Community and Economic] Housing
29               and Community Development.
30      (a)   Transfers.--The following functions of the Department of

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 1   Community Affairs are transferred to the Department of
 2   [Community and Economic] Housing and Community Development:
 3            * * *
 4      (b)   Functions to be consolidated.--The functions transferred
 5   to the department shall be consolidated within the department
 6   into a bureau, division, section or other organizational entity
 7   devoted to [community and economic] housing and community
 8   development. The Governor shall appoint a Deputy Secretary for
 9   [Community Affairs and] Housing and Community Development. The
10   deputy secretary shall have the powers and perform the functions
11   and duties transferred to the department in subsection (a) as
12   well as other such functions and duties authorized by the
13   Governor.
14      (c)   Center for Local Government Services established.--A
15   Center for Local Government Services shall be established and
16   maintained in the department to serve as the link between the
17   Commonwealth and local governments. The center shall be a
18   provider of services to local governments, shall serve as the
19   point of contact for local governments on issues and problems of
20   local concern, shall be responsible for coordinating State
21   program resources in response to local issues and problems and
22   shall establish a systematic process for addressing local issues
23   and problems involving the resources of more than a single
24   agency. In carrying out its responsibilities, the center shall
25   use and have access to the information, services, functions and
26   other resources transferred under subsection (a). The center
27   shall, when authorized by the Governor, use and have access to
28   any other information, services, functions and other resources
29   in the possession of executive agencies under the Governor's
30   jurisdiction deemed necessary to the fulfillment of its

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 1   responsibilities. The center shall provide to local governments,
 2   at no cost, information on purchase contracts for materials,
 3   supplies and equipment entered into by the Department of General
 4   Services in which local governments may participate pursuant to
 5   the provisions of section 2403(h) of The Administrative Code of
 6   1929. The Deputy Secretary for [Community Affairs and] Housing
 7   and Community Development shall be responsible for the
 8   administration of the center and shall report in writing to the
 9   Governor and Lieutenant Governor on the activities of the
10   center. The center shall have permanent staff both in its
11   headquarters as well as in the regional offices of the Governor
12   and shall additionally make a toll-free telephone number
13   available to local governments to assist the center in
14   accommodating requests for assistance. Funding for the center
15   shall be provided by the department.
16      * * *
17   Section 302.     To Department of [Community and Economic] Housing
18                and Community Development.
19      The functions of the Department of Community Affairs provided
20   for in the following statutes, or selected portions of statutes,
21   are transferred to the Department of [Community and Economic]
22   Housing and Community Development:
23            * * *
24   Section 305.     Subjects of transfer.
25      (a)   General rule.--The subjects of transfer from the
26   Department of Community Affairs under this chapter are
27   transferred to the Department of [Community and Economic]
28   Housing and Community Development, the Pennsylvania Historical
29   and Museum Commission, the Pennsylvania Emergency Management
30   Agency and the Department of Transportation, respectively, with

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 1   the same force and effect as if those subjects of transfer had
 2   originally belonged to or had been incurred or entered into by
 3   those entities.
 4      * * *
 5   Section 306.    Regulations.
 6      (a)   Authorization.--The Department of [Community and
 7   Economic] Housing and Community Development, the Department of
 8   Transportation, the Pennsylvania Historical and Museum
 9   Commission and the Pennsylvania Emergency Management Agency
10   shall have the power and duty to promulgate regulations to
11   administer the respective functions transferred to each under
12   this chapter.
13      * * *
14   Section 502.    Powers and duties.
15      The Local Government Advisory Committee shall serve as an
16   advocate and representative of local government before both the
17   Governor and the Center for Local Government Services in the
18   Department of [Community and Economic] Housing and Community
19   Development. It shall, among other things, make recommendations
20   to the Governor and the center with regard to both the needs of
21   local governments and the best manner in which the center can
22   service those needs. The committee shall provide advice to the
23   center with regard to the promulgation of forms and regulations
24   in connection with performance of the functions transferred to
25   the department under this act.
26   Section 901.    Board of Property.
27      The Board of Property as provided for in section 202 of the
28   act of April 9, 1929 (P.L.177, No.175), known as The
29   Administrative Code of 1929, is hereby placed and made a
30   departmental administrative board in the Department of

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 1   [Community and Economic] Housing and Community Development.
 2   Section 1103.   Membership on Pennsylvania Housing Finance
 3               Agency.
 4      * * *
 5      (b)   Chairperson.--The Secretary of [Community and Economic]
 6   Housing and Community Development shall continue to be a member
 7   of the Pennsylvania Housing Finance Agency, and on and after the
 8   effective date of this act, the Secretary of Banking shall serve
 9   as chairperson of that agency.
10   Section 1104.   Membership on the Board of Property.
11      In place of the membership of the Secretary of Community
12   Affairs on the Board of Property under section 406 of the act of
13   April 9, 1929 (P.L.177, No.175), known as The Administrative
14   Code of 1929, the Secretary of [Community and Economic] Housing
15   and Community Development shall serve on that board. The General
16   Counsel shall be a member of the Board of Property in place of
17   the Attorney General, and on and after the effective date of
18   this act, the Secretary of the Commonwealth shall be the
19   chairperson of the Board of Property.
20   Section 1107.   Membership on the Community Service Advisory
21               Board.
22      In place of the membership of the Secretary of Community
23   Affairs on the Community Service Advisory Board as provided in
24   section 2207-B(b) of the act of April 9, 1929 (P.L.177, No.175),
25   known as The Administrative Code of 1929, the Secretary of
26   [Community and Economic] Housing and Community Development shall
27   serve on that board.
28   Section 2103.   Repeals and references.
29      * * *
30      (c)   References.--

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 1          (1)   In accordance with subsection (b), all references to
 2      the Department of Community Affairs, which shall cease to
 3      exist pursuant to this act, and to the Secretary of Community
 4      Affairs in affected acts and portions of acts shall now be
 5      deemed to refer to the Department of [Community and Economic]
 6      Housing and Community Development and Secretary of [Community
 7      and Economic] Housing and Community Development,
 8      respectively, unless otherwise provided by this act.
 9          (2)   All references to the Department of Commerce and the
10      Secretary of Commerce in affected acts and portions of acts
11      shall now be deemed to be references to the Department of
12      [Community and Economic] Housing and Community Development
13      and the Secretary of [Community and Economic] Housing and
14      Community Development, respectively, unless otherwise
15      provided by this act.
16          (3)   Beginning on the effective date of this paragraph
17      all references to the Deputy Secretary for Community Affairs,
18      shall now be deemed to refer to the Deputy Secretary for
19      Housing and Community Development unless otherwise provided
20      by this act.
21          (4)   Beginning on the effective date of this paragraph,
22      references to the Department of Community and Economic
23      Development and the Secretary of Community and Economic
24      Development in affected acts and portions of acts shall now
25      be deemed to be references to the Department of Housing and
26      Community Development and the Secretary of Housing and
27      Community Development, respectively, unless otherwise
28      provided by this act.
29      Section 4.    Section 2104 of the act is repealed:
30   [Section 2104.    Implementation.

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 1      Implementation of the provisions of this act shall begin
 2   immediately and shall be fully completed on or before July 1,
 3   1996.]
 4      Section 5.   Sections 2105 and 2106 of the act are amended to
 5   read:
 6   Section 2105.   Performance audit.
 7      The House of Representatives shall direct the Legislative
 8   Budget and Finance Committee to conduct a performance audit
 9   every two years on the Department of [Community and Economic]
10   Housing and Community Development. The final audit shall be
11   concluded four years from the effective date of this act. The
12   audit shall specifically include a comprehensive program
13   evaluation of all community development programs administered by
14   the department in conjunction with the provisions of this act.
15   In addition, the audit shall evaluate the delivery costs of the
16   local government service provided by the department.
17   Section 2106.   Existing office supplies and materials.
18      The Department of [Community and Economic] Housing and
19   Community Development shall continue to use or recycle all
20   forms, stationery, business cards and other office supplies or
21   materials which contain references to its predecessor department
22   until the existing supplies and materials are depleted.
23      Section 6.   This act shall take effect in 60 days.




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