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                                 HOUSE AMENDED
        PRINTER'S NO. 553                             PRINTER'S NO. 1941

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 497 Session of 1999


        INTRODUCED BY THOMPSON, MARCH 9, 1999

        AS REPORTED FROM COMMITTEE ON LOCAL GOVERNMENT, HOUSE OF
           REPRESENTATIVES, AS AMENDED, MAY 9, 2000

                                     AN ACT

     1  Amending the act of August 9, 1955 (P.L.323, No.130), entitled,   <--
     2     as amended, "An act relating to counties of the third,
     3     fourth, fifth, sixth, seventh and eighth classes; amending,
     4     revising, consolidating and changing the laws relating
     5     thereto; and providing for regional renaissance initiatives,"
     6     further providing for authorization of excise tax. PROVIDING   <--
     7     FOR A HOTEL ROOM RENTAL TAX IN CERTAIN THIRD CLASS
     8     COUNTIES.

     9     The General Assembly of the Commonwealth of Pennsylvania
    10  hereby enacts as follows:
    11     Section 1.  The definition of "county" in section 1770.2(f)    <--
    12  of the t of August 9, 1955 (P.L.323, No.130), known as The
    13  County Code, amended June 18, 1998 (P.L.619, No.79), is amended
    14  to read:
    15     Section 1770.2.  Authorization of Excise Tax.--* * *
    16     (f)  As used in this section, the following words and phrases
    17  shall have the meanings given to them in this subsection:
    18      * * *
    19     "County."  Any county which is on the effective date of this


     1  act a county of the third class having a population under the
     2  1990 Federal Decennial Census in excess of 337,000 residents,
     3  but less than 341,000 residents, or a county of the third class
     4  having a population under the 1990 Federal Decennial Census in
     5  excess of 374,000 residents, but less than 380,000 residents, or
     6  a county of the fourth class having a population under the 1990
     7  Federal Decennial Census in excess of 159,000 residents, but
     8  less than 175,000 residents, or a county of the fifth class
     9  having a population under the 1990 Federal Decennial Census in
    10  excess of 123,000 residents, or a county of the sixth class
    11  having a population under the 1990 Federal Decennial Census in
    12  excess of 87,000 residents.
    13     * * *
    14     Section 2.  This act shall take effect immediately.
    15  SECTION 1.  SHORT TITLE.                                          <--
    16     THIS ACT SHALL BE KNOWN AND MAY BE CITED AS THE HOTEL ROOM
    17  RENTAL TAX ACT.
    18  SECTION 2.  DEFINITIONS.
    19     THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ACT SHALL
    20  HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE
    21  CONTEXT CLEARLY INDICATES OTHERWISE:
    22     "COUNTY."  ANY COUNTY WHICH IS, ON THE EFFECTIVE DATE OF THIS
    23  ACT, A COUNTY OF THE THIRD CLASS HAVING A POPULATION UNDER THE
    24  1990 FEDERAL DECENNIAL CENSUS IN EXCESS OF 290,000 RESIDENTS BUT
    25  LESS THAN 295,000 RESIDENTS, OR A COUNTY OF THE THIRD CLASS
    26  HAVING A POPULATION UNDER THE 1990 FEDERAL DECENNIAL CENSUS IN
    27  EXCESS OF 245,000 RESIDENTS BUT LESS THAN 250,000 RESIDENTS.
    28     "CONSIDERATION."  RECEIPTS, FEES, CHARGES, RENTALS, LEASES,
    29  CASH, CREDITS, PROPERTY OF ANY KIND OR NATURE OR OTHER PAYMENT
    30  RECEIVED BY OPERATORS IN EXCHANGE FOR OR IN CONSIDERATION OF THE
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     1  USE OR OCCUPANCY BY A TRANSIENT OF A ROOM OR ROOMS IN A HOTEL
     2  FOR A TEMPORARY PERIOD.
     3     "HOTEL."  A HOTEL, MOTEL, INN, GUEST HOUSE OR OTHER BUILDING
     4  WHICH HOLDS ITSELF OUT BY ANY MEANS, INCLUDING ADVERTISING,
     5  LICENSE, REGISTRATION WITH AN INNKEEPERS GROUP, CONVENTION
     6  LISTING ASSOCIATION, TRAVEL PUBLICATION OR SIMILAR ASSOCIATION
     7  OR WITH A GOVERNMENT AGENCY, AS BEING AVAILABLE TO PROVIDE
     8  OVERNIGHT LODGING OR USE OF FACILITY SPACE FOR CONSIDERATION TO
     9  PERSONS SEEKING TEMPORARY ACCOMMODATION. THE TERM INCLUDES A
    10  PLACE WHICH ADVERTISES TO THE PUBLIC AT LARGE OR A SEGMENT OF
    11  THE PUBLIC THAT IT WILL PROVIDE BEDS, SANITARY FACILITIES OR
    12  OTHER SPACE FOR A TEMPORARY PERIOD TO MEMBERS OF THE PUBLIC AT
    13  LARGE. THE TERM ALSO INCLUDES A PLACE RECOGNIZED AS A HOSTELRY,
    14  PROVIDED THAT PORTIONS OF A FACILITY WHICH ARE DEVOTED TO
    15  PERSONS WHO HAVE ESTABLISHED PERMANENT RESIDENCE SHALL NOT BE
    16  INCLUDED IN THIS TERM.
    17     "JOINT PLANNING COMMISSIONS."  A COMMISSION ESTABLISHED BY
    18  ORDINANCE OR MEMBERSHIP OF TWO OR MORE MUNICIPALITIES TO
    19  ENCOURAGE PLANNING FOR FUTURE DEVELOPMENT AND TO COORDINATE
    20  PLANNING WITH NEIGHBORING MUNICIPALITIES, COUNTIES AND OTHER
    21  GOVERNMENT AGENCIES, IN ACCORDANCE WITH ARTICLE XI OF THE ACT OF
    22  JULY 31, 1968 (P.L.805, NO.247), KNOWN AS THE PENNSYLVANIA
    23  MUNICIPALITIES PLANNING CODE.
    24     "OPERATOR."  ANY INDIVIDUAL, PARTNERSHIP, NONPROFIT OR
    25  PROFIT-MAKING ASSOCIATION OR CORPORATION OR OTHER PERSON OR
    26  GROUP OF PERSONS WHO MAINTAIN, OPERATE, MANAGE, OWN, HAVE
    27  CUSTODY OF OR OTHERWISE POSSESS THE RIGHT TO RENT OR LEASE
    28  OVERNIGHT ACCOMMODATIONS IN A BUILDING TO THE PUBLIC FOR
    29  CONSIDERATION.
    30     "PATRON."  ANY PERSON WHO PAYS THE CONSIDERATION FOR THE
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     1  OCCUPANCY OF A ROOM OR ROOMS IN A HOTEL.
     2     "PERMANENT RESIDENT."  ANY PERSON WHO HAS OCCUPIED OR HAS THE
     3  RIGHT TO OCCUPY A ROOM OR ROOMS IN A HOTEL AS A PATRON OR
     4  OTHERWISE FOR A PERIOD EXCEEDING 30 CONSECUTIVE DAYS.
     5     "ROOM."  A SPACE IN A BUILDING SET ASIDE FOR USE AND
     6  OCCUPANCY BY PATRONS, OR OTHERWISE, FOR CONSIDERATION, HAVING AT
     7  LEAST ONE BED OR OTHER SLEEPING ACCOMMODATIONS PROVIDED.
     8     "TEMPORARY RESIDENT."  ANY PERSON WHO HAS OCCUPIED OR HAS THE
     9  RIGHT TO OCCUPY A ROOM OR ROOMS IN A HOTEL AS A PATRON OR
    10  OTHERWISE FOR A PERIOD OF TIME NOT EXCEEDING 30 CONSECUTIVE
    11  DAYS.
    12     "TRANSACTION."  THE ACTIVITY INVOLVING THE OBTAINING BY A
    13  TRANSIENT OR PATRON OF THE USE OR OCCUPANCY OF A HOTEL ROOM FROM
    14  WHICH CONSIDERATION EMANATES TO THE OPERATOR UNDER AN EXPRESSED
    15  OR IMPLIED CONTRACT.
    16     "TRANSIENT."  ANY PERSON WHO OBTAINS AN ACCOMMODATION IN ANY
    17  HOTEL FOR HIMSELF BY MEANS OF REGISTERING AT THE FACILITY FOR
    18  THE TEMPORARY OCCUPANCY OF A ROOM FOR THE PERSONAL USE OF THAT
    19  INDIVIDUAL BY PAYING TO THE OPERATOR OF THE FACILITY A FEE IN
    20  CONSIDERATION THEREFOR.
    21  SECTION 3.  TAX.
    22     (A)  IMPOSITION OF TAX.--A COUNTY MAY, BY ORDINANCE, IMPOSE A
    23  TAX WHICH SHALL BE KNOWN AS THE HOTEL ROOM RENTAL TAX ON THE
    24  CONSIDERATION RECEIVED BY EACH OPERATOR OF A HOTEL WITHIN THE
    25  COUNTY FROM EACH TRANSACTION OF RENTING A ROOM OR ROOMS TO
    26  ACCOMMODATE TEMPORARY RESIDENTS. THE TAX SHALL BE COLLECTED BY
    27  THE OPERATOR FROM THE PATRON OF THE ROOM AND PAID OVER TO THE
    28  COUNTY WHERE THE HOTEL IS LOCATED AS PROVIDED UNDER THIS
    29  SECTION.
    30     (B)  RATE.--THE TAX IMPOSED UNDER SUBSECTION (A) SHALL BE
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     1  EQUAL TO 3.5% OF THE CONSIDERATION RECEIVED FROM EACH
     2  TRANSACTION OF RENTING A ROOM OR ROOMS TO ACCOMMODATE TEMPORARY
     3  NOT PERMANENT RESIDENTS.
     4     (C)  COLLECTION AND PAYMENT.--THE TAX SHALL BE COLLECTED BY
     5  THE OPERATOR FROM THE PATRON AND PAID OVER TO THE COUNTY WHERE
     6  THE HOTEL IS LOCATED. THE COUNTY EXECUTIVE OF EACH COUNTY IS
     7  HEREBY AUTHORIZED TO ESTABLISH RULES AND REGULATIONS GOVERNING
     8  THE COLLECTION OF THE TAX WHICH COLLECTION SHALL NOT OCCUR MORE
     9  OFTEN THAN MONTHLY AND NOT LESS THAN QUARTERLY.
    10     (D)  DISTRIBUTION.--MONEY RECEIVED UNDER SUBSECTION (C) AND
    11  INTEREST ACCRUED SHALL BE DISTRIBUTED BY THE FISCAL OFFICER OF
    12  EACH COUNTY AS FOLLOWS:
    13         (1)  EACH COUNTY SHALL WITHIN TEN DAYS OF RECEIPT
    14     TRANSMIT 78.5% OF THE MONEY COLLECTED IN THAT COUNTY TO THE
    15     REGIONAL TOURIST PROMOTION AGENCY, WHICH SERVES MORE THAN ONE
    16     COUNTY AND WHICH IS DESIGNATED BY THE GOVERNING BODY OF THE
    17     COUNTY TO BE ELIGIBLE FOR GRANTS FROM THE DEPARTMENT OF
    18     COMMUNITY AND ECONOMIC DEVELOPMENT PURSUANT TO THE ACT OF
    19     APRIL 28, 1961 (P.L.111, NO.50), KNOWN AS THE TOURIST
    20     PROMOTION LAW.
    21         (2)  EACH COUNTY SHALL RETAIN 21.5% OF THE MONEY
    22     COLLECTED IN THAT COUNTY FOR THE FURTHER DEVELOPMENT OF
    23     TOURISM FACILITIES AND FOR COMMUNITY DEVELOPMENT INITIATIVES,
    24     WITHIN THAT COUNTY, THAT ENHANCE REGIONAL TOURISM.
    25  SECTION 4.  EFFECTIVE DATE.
    26     THIS ACT SHALL TAKE EFFECT IMMEDIATELY.



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