PRIOR PRINTER'S NO. 3341                      PRINTER'S NO. 3404

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 2302 Session of 2008


        INTRODUCED BY TANGRETTI, R. STEVENSON, BUXTON, DeWEESE, DeLUCA,
           DERMODY, HALUSKA, KOTIK, PALLONE, SAINATO, SAMUELSON, SONNEY,
           BENNINGTON, BIANCUCCI, BOYD, BRENNAN, CAPPELLI, COSTA, DALLY,
           EVERETT, FLECK, FRANKEL, GEORGE, GOODMAN, GRELL, GRUCELA,
           HARHAI, HARKINS, HORNAMAN, LEVDANSKY, MAHONEY, MANN,
           MARKOSEK, MUSTIO, PASHINSKI, PETRONE, PRESTON, RAMALEY,
           READSHAW, REED, ROSS, SAYLOR, SIPTROTH, K. SMITH, SOLOBAY,
           STABACK, STEIL, STERN, THOMAS, WAGNER, WALKO, J. WHITE,
           WOJNAROSKI, SANTONI, J. EVANS, ROAE, FABRIZIO, WATSON,
           HICKERNELL, MILLARD, CALTAGIRONE, PAYNE, ARGALL, HUTCHINSON,
           JOSEPHS, R. MILLER, MARSHALL, LONGIETTI, MAJOR, CARROLL,
           BROOKS, YOUNGBLOOD, NAILOR, BEAR, HANNA, RUBLEY AND MENSCH,
           MARCH 10, 2008

        AS REPORTED FROM COMMITTEE ON TOURISM AND RECREATIONAL
           DEVELOPMENT, HOUSE OF REPRESENTATIVES, AS AMENDED,
           MARCH 12, 2008

                                     AN ACT

     1  Providing for assistance to agencies promoting tourism;
     2     authorizing the Department of Community and Economic
     3     Development to make grants and provide assistance to properly
     4     designated tourism promotion agencies and regional marketing
     5     partnerships; conferring powers and imposing duties on the
     6     governing bodies of certain political subdivisions; and
     7     repealing the Tourist Promotion Law.

     8     The General Assembly of the Commonwealth of Pennsylvania
     9  hereby enacts as follows:
    10  Section 1.  Short title.
    11     This act shall be known and may be cited as the Tourism
    12  Promotion Act.
    13  Section 2.  Definitions.
    14     The following words and phrases when used in this act shall

     1  have the meanings given to them in this section unless the
     2  context clearly indicates otherwise:
     3     "County tourism promotion agency."  A nonprofit corporation,
     4  organization, association or agency which is designated by
     5  ordinance in cities of the first class and by proper resolution
     6  of the governing body of a county, concurred in by resolution of
     7  the governing bodies of cities, boroughs, towns or townships
     8  within the county which have an aggregate of more than 50% of
     9  the total population of the county, as determined by the most
    10  recently completed decennial United States Census, as the agency
    11  authorized to make application to and receive grants from the
    12  Department of Community and Economic Development for the purpose
    13  of representing a single governmental entity in accordance with
    14  this act.
    15     "Department."  The Department of Community and Economic
    16  Development of the Commonwealth.
    17     "Eligible costs."  Any and all promotional expenses incurred
    18  by a tourism promotion agency in connection with marketing and
    19  advertising activities. The term does not include operational
    20  expenses, including, but not limited to, rent, utilities,
    21  equipment, insurance, financing and capital expenditures.
    22     "Governing body."  The elected unit empowered to enact
    23  ordinances or adopt resolutions in order to govern a particular
    24  county, city, borough, town or township.
    25     "Governor's Tourism Partnership."  The Pennsylvania Travel
    26  and Tourism Partnership established under the act of December 9,
    27  2002 (P.L.1491, No.189), known as the Travel and Tourism Act.
    28     "Paid overnight accommodations."  Lodging provided overnight   <--
    29  in a hotel, motel, bed and breakfast, homestead, inn, guest
    30  house or other structure. The term also includes, but is not
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     1  limited to, paid lodging provided in a cabin, campground,
     2  vacation home or time-share.
     3     "Place-based regional marketing partnership."  An entity
     4  supporting regional heritage or natural resources, including,
     5  but not limited to, waterways, forests, mountains and
     6  experiences that reflect regional assets.
     7     "Regional marketing partnership."  Any of the following:
     8         (1)  An eligible applicant under this act that primarily
     9     includes a nonprofit entity representing a regional marketing
    10     area determined by contiguous counties, that shares a sense
    11     of place and experience conducive to tourism promotion.
    12         (2)  A marketing entity that focuses on experience-based
    13     promotion across multiple regions or multiple states and that
    14     focuses on specific interests or other themed tourism
    15     experiences.
    16         (3)  A place-based regional marketing partnership or
    17     eligible applicant from a county of the second class.
    18     "Regional tourism promotion agency."  A nonprofit
    19  corporation, organization, association or agency which is
    20  designated by the governing bodies of counties, governing body
    21  of a county of the second class or governing body of a city of
    22  the first class, as the agency to make application to and
    23  receive grants from the department for the purpose of
    24  representing any of the following in accordance with this act:
    25         (1)  Two or more counties.
    26         (2)  A county of the second class.
    27         (3)  A city of the first class.
    28     "Secretary."  The Secretary of Community and Economic
    29  Development of the Commonwealth.
    30     "Tourism promotion agency."  A county or regional tourism
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     1  promotion agency.
     2  Section 3.  Recognition of tourism promotion agencies.
     3     The department, upon receipt of certified copies of such
     4  ordinances or resolutions designating a tourism promotion agency
     5  to act within counties, a county of the second class or city of
     6  the first class, shall recognize such tourism promotion agency
     7  as the sole such agency within the counties, county of the
     8  second class or city of the first class for the purposes of this
     9  act.
    10  Section 4.  Applications for and approval of grants to tourism
    11                 promotion agencies.
    12     (a)  Duties of department.--
    13         (1)  The department, working jointly with the Governor's
    14     Tourism Partnership, shall adopt guidelines for awarding
    15     grants under this act.
    16         (2)  (i)  For the fiscal year 2008-2009, the department
    17         shall award grants not to exceed 63% of the appropriation
    18         to fund grants under this section.
    19             (ii)  For the fiscal year 2009-2010, not more than
    20         57% of the appropriated funds shall be made to fund
    21         grants under this section.
    22             (iii)  For the fiscal year 2010-2011, and every
    23         fiscal year thereafter, not more than 50% of the
    24         appropriated funds shall be made to fund grants under
    25         this section.
    26     (b)  Procedure.--
    27         (1)  A tourism promotion agency shall apply to the
    28     department for grants under this section in accordance with
    29     tourism promotion program guidelines adopted by the
    30     department working jointly with the Governor's Tourism
    20080H2302B3404                  - 4 -     

     1     Partnership.
     2         (2)  Upon approval AFTER REVEIWING THE APPLICATION, the    <--
     3     department shall award a grant to the tourism promotion
     4     agency not to exceed the following:
     5             (i)  In the case of a regional tourism promotion
     6         agency, two and one-half times the local funds expended
     7         by the agency for eligible costs in the previous fiscal
     8         year.
     9             (ii)  In the case of a county tourism promotion
    10         agency, two times the local funds expended by the agency
    11         for eligible costs in the previous fiscal year.
    12     (c)  Limitation on grant amounts.--Notwithstanding the         <--
    13  provisions of subsection (b)(2), no NO tourism promotion agency   <--
    14  shall be awarded more than 30% of the tourism promotion
    15  agencies' portion of any appropriation allocated to tourism
    16  promotion agencies under this section.
    17  Section 5.  Eligibility requirements for tourism promotion
    18                 agencies.
    19     (a)  Guidelines.--
    20         (1)  To qualify for a grant under this section, a tourism
    21     promotion agency must meet all eligibility requirements as
    22     set forth in the tourism promotion grant program guidelines
    23     adopted by the department under this act.
    24         (2)  The department shall publish annually in the
    25     Pennsylvania Bulletin a description of eligibility
    26     requirements and guidelines.
    27     (b)  Criteria.--The criteria for eligibility established by
    28  the tourism promotion grant program guidelines shall include,
    29  but not be limited to, requiring the tourism promotion agency to
    30  demonstrate:
    20080H2302B3404                  - 5 -     

     1         (1)  The existence of sufficient tourism assets, such as
     2     lodging, service businesses and tourism attractions.
     3         (2)  The capability, through a combination of staffing
     4     and contractual support, to carry out essential marketing
     5     functions, such as:
     6             (i)  An interactive Internet website.
     7             (ii)  A strategic tourism marketing plan.
     8             (iii)  Comprehensive fulfillment services.
     9     (c)  Notification and appeal of determination of
    10  noneligibility.--
    11         (1)  If the department determines that a tourism
    12     promotion agency is ineligible for tourism promotion grant
    13     program funding, the department shall provide the tourism
    14     promotion agency with a written explanation of such
    15     determination.
    16     (d)  Appeal of decision.--A decision of ineligibility may be
    17  appealed to the secretary, whose decision shall be final. The
    18  appeal must be filed in accordance with the tourism promotion
    19  grant program guidelines to be adopted under this act.
    20  Section 6.  Regional marketing partnership grant program.
    21     (a)  Authorization.--The department may make grants to
    22  regional marketing partnerships that satisfy the eligibility
    23  criteria set forth in program guidelines to be adopted by the
    24  department working jointly with the Governor's Tourism
    25  Partnership.
    26     (b)  Funding for regional marketing partnership grants.--
    27         (1)  For the fiscal year 2008-2009, the department shall
    28     award grants not to exceed 37% of the appropriation to fund
    29     grants under this section.
    30         (2)  For the fiscal year 2009-2010, not more than 43% of
    20080H2302B3404                  - 6 -     

     1     the appropriated funds shall be made to fund grants under
     2     this section.
     3         (3)  For the fiscal year 2010-2011, and every fiscal year
     4     thereafter, not more than 50% of the appropriated funds shall
     5     be made to fund grants under this section.
     6     (c)  Eligibility criteria for regional marketing partnership
     7  grants.--In order to be eligible for a grant under this act, a
     8  regional marketing partnership must satisfy the following
     9  criteria:
    10         (1)  The region served by the regional marketing
    11     partnership must include at least two counties or an
    12     applicant from a county of the second class.
    13         (2)  The grantee must be an entity with a charter, bylaws
    14     or other such binding governance document that specifies the
    15     counties or parts of counties included in the tourism
    16     marketing programs of the regional marketing partnership and
    17     shall demonstrate that it provides comprehensive
    18     representation of tourism stakeholders in the marketing
    19     region.
    20     (d)  Appeal of decision.--A decision of ineligibility for
    21  grants under this section may be appealed to the secretary,
    22  whose decision shall be final. An appeal shall be heard in
    23  accordance with the regional marketing partnership grant program
    24  guidelines to be adopted by the department.
    25  Section 7.  Administration of act.
    26     The department shall administer the tourism promotion program
    27  so as to establish an effective and economical tourism promotion
    28  program for the Commonwealth.
    29  Section 8.  Existing tourism promotion agencies.
    30     It shall not be necessary for a tourism promotion agency that
    20080H2302B3404                  - 7 -     

     1  exists on the effective date of this section to be redesignated
     2  by ordinance or resolution in order to be recognized by the
     3  department under section 3.
     4  Section 9.  Repeal.
     5     (a)  Intent.--The General Assembly declares that the repeal
     6  under subsection (b) is necessary to effectuate this act.
     7     (b)  Provision.--The act of April 28, 1961 (P.L.111, No.50),
     8  known as the Tourist Promotion Law, is repealed.
     9  Section 10.  Effective date.
    10     This act shall take effect immediately.














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