1Amending the act of June 9, 1936 (1st Sp.Sess., P.L.13, No.4),
2entitled, as reenacted and amended, "An act imposing an
3emergency State tax on liquor, as herein defined, sold by the
4Pennsylvania Liquor Control Board; providing for the
5collection and payment of such tax; and imposing duties upon
6the Department of Revenue and the Pennsylvania Liquor Control
7Board," further providing for the emergency State tax on
8liquor.

9The General Assembly of the Commonwealth of Pennsylvania
10hereby enacts as follows:

11Section 1. Section 2 of the act of June 9, 1936 (1st
12Sp.Sess., P.L.13, No.4), entitled "An act imposing an emergency
13State tax on liquor, as herein defined, sold by the Pennsylvania
14Liquor Control Board; providing for the collection and payment
15of such tax; and imposing duties upon the Department of Revenue
16and the Pennsylvania Liquor Control Board," reenacted and
17amended May 29, 1951 (P.L.479, No.112) and amended January 1,
181968 (1967, P.L.917, No.413), is amended to read:

19Section 2. (a) An emergency State tax is hereby imposed and
20assessed at the rate of eighteen per centum of the net price of

1all liquors sold by the board. The tax herein imposed shall be
2collected by the board from the purchasers of the liquor from
3the board. The amount of such eighteen per centum so collected
4by the board, under the provisions of this act, shall be paid
5into the State Treasury, through the department, in the manner
6and within the times herein specified, and shall be credited [to
7the General Fund.] fifty per centum to the General Fund and 
8fifty per centum to the Commonwealth Financing Authority for 
9deposit in the Johnstown Flood Tax Trust Fund.

10(b) The tax shall be phased out as follows:

11(1) From January 1, 2013, through December 31, 2013, the tax
12shall be credited thirty per centum to the General Fund and
13seventy per centum to the Commonwealth Financing Authority for
14deposit in the Johnstown Flood Tax Trust Fund.

15(2) From January 1, 2014, through December 31, 2014, the tax
16shall be credited twenty per centum to the General Fund and
17eighty per centum to the Commonwealth Financing Authority for
18deposit in the Johnstown Flood Tax Trust Fund.

19(3) From January 1, 2015, through December 31, 2015, the tax
20shall be credited ten per centum to the General Fund and ninety
21per centum to the Commonwealth Financing Authority for deposit
22in the Johnstown Flood Tax Trust Fund. Beginning on January 1,
232016, any amounts remaining in the Johnstown Flood Tax Trust
24Fund shall be accumulated, paying out no more than five per
25centum of the principal per year from January 1, 2016, through
26December 31, 2064, for the purposes specified in section 2.2(d)
27and (e). Beginning on January 1, 2065, such funds shall have
28accumulated and shall be paid out in amounts equal to no more
29than ten per centum of the principal per year for the purposes
30specified in section 2.2(e) only.

1(4) From January 1, 2016, through December 31, 2020, the tax
2shall be distributed equally between the State Employees'
3Retirement Fund and the Public School Employees' Retirement
4Fund.

5(5) Starting January 1, 2021, and thereafter, the tax shall
6be collected at the rate of zero per centum.

7Section 2. The act is amended by adding sections to read:

8Section 2.1. All money distributed to the State Employees'
9Retirement Fund and the Public School Employees' Retirement Fund
10under section 2(b) shall be over and above the amount set forth
11for employer contribution rates provided by 24 Pa.C.S. (relating
12to education) and 71 Pa.C.S. (relating to State government).

13Section 2.2. (a) There is established a separate account in
14the Commonwealth Financing Authority to be known as the
15Johnstown Flood Tax Trust Fund. This fund shall be administered
16by the State Treasurer as determined by the Commonwealth
17Financing Authority. All interest earned from the investment or
18deposit of money accumulated in the fund shall be deposited in
19the fund for the same uses.

20(b) All money deposited into the fund shall be held in trust
21and shall not be considered general revenue of the Commonwealth
22but shall be used only to effectuate the purposes of this
23section as determined by the Commonwealth Financing Authority
24and shall be subject to audit by the Auditor General. No funds
25allocated from the Johnstown Flood Tax Trust Fund shall be used
26to supplant Federal funds otherwise available in the absence of
27State financial relief.

28(c) The money deposited in the Johnstown Flood Tax Trust
29Fund shall be used fifty per centum to remove blighted
30properties from all cities of the first class, second class,

1second class A and third class and fifty per centum to provide
2disaster assistance projects in disaster areas.

3(d) Blighted property grants shall be awarded to all
4municipalities that make requests for such grants to the
5Commonwealth Financing Authority by December 1 of each year. The
6Commonwealth Financing Authority shall determine the specific
7amount of a grant to a municipality by taking into consideration
8the following: the proportionate number of blighted properties
9in the municipality, whether the municipality is considered a
10distressed municipality under the act of July 10, 1987 (P.L.246,
11No.47), known as the Municipalities Financial Recovery Act, and
12the general financial status of the municipality.

13(e) Disaster assistance grants shall be awarded to
14municipalities in areas where the Governor has declared a threat
15to public safety resulting from fire, flood, storm, tidal wave,
16earthquake, terrorism, epidemic or other public calamity.
17Applications from municipalities or redevelopment authorities
18shall be made to the director of the Pennsylvania Emergency
19Management Agency no later than December 1 of each year for
20road, bridge and highway projects. The Commonwealth Finance
21Authority shall determine the specific amount of the grant by
22taking into consideration matching fund assistance, the effect
23on business and employment in the area subject to the disaster
24declaration and whether applications are submitted individually
25or with the joint support of surrounding communities.

26Section 3. This act shall take effect in 60 days.