Pennsylvania Consolidated & Unconsolidated Statutes
Chapter 7 - Alteration of Territory or Corporate Entity and
Section 737 - Consolidation or merger agreement


(a) Form.--Upon favorable action by the electorate on consolidation or merger, in cases where consolidation or merger was initiated by petition of electors under section 735 (relating to initiative of electors seeking consolidation or merger without new home rule charter), the governing bodies of the municipalities to be consolidated or merged shall meet as deemed necessary after the certification of the favorable vote and shall within one year after certification enter into a consolidation or merger agreement as follows:
(1) If the governing body, or part of the governing body, of the consolidated or merged municipality is to be elected on a district or ward basis, the agreement shall set forth the district or ward boundaries and the district or ward designation, by number, and the number of members of the municipal governing body to be elected from each district or ward. The boundaries of the districts or wards shall be established to achieve substantially equal representation.
(2) The agreement shall set forth terms for:
(i) The disposition of the existing assets of each municipality.
(ii) The liquidation of the existing indebtedness of each municipality.
(iii) The assumption, assignment and disposition of the existing liabilities of each municipality, either jointly, separately or in certain defined proportions, by separate rates of taxation within each of the constituent municipalities until consolidation or merger becomes effective pursuant to section 738 (relating to effectuation of consolidation or merger).
(3) The agreement shall set forth the governmental organization of the consolidated or merged municipality insofar as it concerns elected officers and shall contain a transitional plan and schedule applicable to elected officers.
(4) The agreement shall provide for common administration and uniform enforcement of ordinances within the consolidated or merged municipality.
(5) The agreement shall also provide, consistent with existing law, for the implementation of a uniform tax system throughout the consolidated or merged municipality which shall provide the revenue necessary to fund required municipal services.
(6) The agreement shall mandate full implementation of the consolidation or merger plan within four years following the date of certification.
(b) Filing.--Within 30 days following certification of electorate approval by the county boards of election, a copy of the consolidation or merger agreement under this section or the joint agreement under section 734 (relating to joint agreement of governing bodies) shall be filed with the Department of Community and Economic Development, the Department of Transportation, the Governor's Office of Policy Development or its successor, the Department of Education, the State Tax Equalization Board and the Legislative Data Processing Committee. A copy shall also be filed with the court of common pleas and the board of county commissioners of the county or counties in which municipalities affected are located.
(Oct. 23, 2003, P.L.180, No.29, eff. 60 days; Oct. 27, 2010, P.L.980, No.102, eff. 60 days)

Cross References. Section 737 is referred to in sections 738, 741 of this title.

Structure Pennsylvania Consolidated & Unconsolidated Statutes

Pennsylvania Consolidated & Unconsolidated Statutes

Title 53 - MUNICIPALITIES GENERALLY

Chapter 7 - Alteration of Territory or Corporate Entity and

Extra - Chapter Notes

Section 711 - Scope of subchapter

Section 712 - Definitions

Section 713 - Interpretation

Section 714 - Stream boundaries

Section 715 - Boundary change agreement by abutting municipalities

Section 716 - Petition and establishment of disputed boundaries by judicial ascertainment

Section 717 - Judicial ascertainment procedure

Section 718 - Effective date of boundary change

Section 719 - Notification of boundary change

Section 720 - Monuments

Section 721 - Wards

Section 722 - Collection of taxes levied prior to change of boundary and authorized expenditures

Section 723 - Election districts and officers

Section 724 - Governing body agreements

Section 725 - Adjustment of indebtedness

Section 726 - Judicial adjustment award proceedings

Section 727 - Compensation, expenses and costs

Section 728 - Territory located in multiple counties

Section 729 - Bond issues

Section 731 - Short title of subchapter

Section 732 - Definitions

Section 733 - Procedure for consolidation or merger

Section 734 - Joint agreement of governing bodies

Section 735 - Initiative of electors seeking consolidation or merger without new home rule charter

Section 735.1 - Initiative of electors seeking consolidation or merger with new home rule charter

Section 736 - Conduct of referenda

Section 737 - Consolidation or merger agreement

Section 738 - Effectuation of consolidation or merger

Section 739 - Effect of transition on employees of consolidated or merged municipality

Section 740 - Procedures

Section 741 - Court review of transitional plan