William Penn property committee hears Delaware County Land Bank presentation; resolution language to be drafted

Laura Goodrich Kearns, commerce director for Delaware County, told the William Penn School District Property Committee on Feb. 7 that the Delaware County Land Bank could acquire tax-delinquent parcels before judicial sale and work with municipalities to return them to productive use.

Kearns said the land bank was created under the Delaware County Redevelopment Authority and that the county used ARPA seed funding and sought EPA Revolving Loan Fund monies to support remediation efforts. "We went after EPA revolving loan fund monies in order to be able to help clean up contaminated ground in the county," she said.

The land bank model Kearns described would allow the county to negotiate a pre-set price with the county treasurer to acquire parcels before they reach judicial sale, potentially preventing high-bid purchasers from obtaining property free of prior liens. Kearns used a 2023 example in which a municipality paid substantially more than a pre-set cap at auction: "The winning bid was a hundred and 40 [thousand]," she said, describing the cost municipalities faced without a pre-negotiated path.

Why it matters: District officials said parcels that stop paying taxes also tend not to contribute to neighborhood maintenance and can depress nearby property values. Kearns said the land bank’s aim is to stop that recurring cycle and return parcels to uses the municipality prefers — including open space, housing or commercial reuse — noting that "productive use does not necessarily mean tax ratables." She added that if a parcel returns to taxable use, the land bank would split taxes with the municipality and school district for up to five years to fund the land bank’s activities.

Discussion and next steps: Committee members asked how the school district benefits financially and operationally. Kearns replied that many delinquent parcels have not paid school taxes for at least four years and that municipal ownership through the land bank could enable future taxable use or other community-desired outcomes. She said the land bank is completing sign-on agreements with municipalities and school districts and expects to act in the May judicial sale cycle: "We should be able to actually act in this next judicial sale, which would be May," she said.

District staff indicated they would get specific draft language from Kearns. Mr. Deans said he will "follow up with Laura tomorrow, to get the specific language" for an intergovernmental cooperation agreement and a resolution and then add the item to the committee-of-the-whole and business meeting agendas for formal consideration.

Board members pressed for transparency and public information. Kearns said the land bank will publish property information and that the county is building a website and legal partners to ensure compliance with land bank law. Committee members also asked how disputes between a municipality and the land bank would be resolved; Kearns said the land bank intends to work "in concert with" municipal zoning and comprehensive plans and that she would consult other land banks about formal dispute mechanisms.

What was not decided: No vote or formal resolution was taken at the Feb. 7 meeting. District staff and the county will draft the intergovernmental agreement and proposed resolution for the board.

Ending: Committee members asked that the draft resolution and supporting language be included in the Friday board update and that the meeting video include timecodes for the presentation so absent board members can review it.