Regular Session 2017-2018 House Bill 1342 P.N. 1661

PRINTER'S NO. 1661

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

1342

Session of

2017

INTRODUCED BY SANTORA, DIAMOND AND MILLARD, MAY 5, 2017

REFERRED TO COMMITTEE ON GAMING OVERSIGHT, MAY 5, 2017

AN ACT

Amending Title 4 (Amusements) of the Pennsylvania Consolidated

Statutes, in licensees relating to gaming, providing for slot

machine license operation fee; and, in revenues, further

providing for establishment of State Gaming Fund and net slot

machine revenue distribution.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. Title 4 of the Pennsylvania Consolidated Statutes

is amended by adding a section to read:

§ 1326.1. Slot machine license operation fee.

(a) Imposition.--Beginning January 1, 2017, each Category 1

and Category 2 licensed gaming entity shall pay to the board an

annual slot machine license operation fee in an amount equal to

20% of the slot machine license fee paid at the time of issuance

under section 1209(a) (relating to slot machine license fee).

(b) Payment of fee.--The slot machine license operation fee

imposed under subsection (a) shall be paid in equal monthly

installments on or before the first day of each month.

suspend, revoke or deny a permit or license issued under this

part to a Category 1 licensed gaming entity or Category 2

licensed gaming entity that fails to pay the slot machine

license operation fee imposed under subsection (a).

(d) Deposit.--The slot machine license operation fees

collected by the board under this section shall be deposited in

the fund and are appropriated to the department on a continuing

basis for the purposes enumerated under section 1403(c)(3)

(relating to establishment of State Gaming Fund and net slot

machine revenue distribution).

Section 2. Section 1403(c)(2)(iii)(A) and (3) and (e) are

reenacted and amended and subsection (c) is amended by adding

paragraphs to read:

§ 1403. Establishment of State Gaming Fund and net slot machine

revenue distribution.

* * *

(2) From the local share assessment established in

subsection (b), make quarterly distributions among the

counties hosting a licensed facility in accordance with the

following schedule:

* * *

(iii) If the facility is a Category 2 licensed

facility and if the county in which the licensed facility

is located is:

(A) A county of the first class: [4%] 2% of the

gross terminal revenue to the county hosting the

licensed facility from each such licensed facility.

Notwithstanding any other provision to the contrary,

funds from licensed gaming entities located within a

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county of the first class shall not be distributed

outside of a county of the first class. The first

$5,000,000 of the total amount distributed annually

to the county of the first class shall be distributed

to the Philadelphia School District.

* * *

(3) From [the local share assessment established in

subsection (b)] the slot machine operation fees deposited

into the fund under section 1326.1(d) (relating to slot

machine license operation fee), make quarterly distributions

among the municipalities, including home rule municipalities,

hosting a licensed facility in accordance with the following

schedule:

[(i) To a city of the second class hosting a

licensed facility, other than a Category 3 licensed

facility, 2% of the gross terminal revenue or $10,000,000

annually, whichever is greater, shall be paid by each

licensed gaming entity operating a facility located in

that city. In the event that the revenues generated by

the 2% do not meet the $10,000,000 minimum specified in

this subparagraph, the department shall collect the

remainder of the minimum amount of $10,000,000 from each

licensed gaming entity operating a facility in the city

and deposit that amount in the city treasury.]

(i.1) To a city of the first class hosting a

licensed facility, other than a Category 3 licensed

facility, $10,000,000 annually shall be distributed to

the city treasury.

(i.2) To a city of the second class hosting a

licensed facility, other than a Category 3 licensed

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facility, $10,000,000 annually shall be distributed to

the city treasury.

(ii) To a city of the second class A hosting a

licensed facility, other than a Category 3 licensed

facility, [2% of the gross terminal revenue or]

$10,000,000 annually[, whichever is greater, shall be

paid by each licensed entity operating a licensed

facility located in that city] shall be distributed to

the city, subject, however, to the budgetary limitation

in this subparagraph. The amount allocated to the

designated municipalities shall not exceed 50% of their

total budget for fiscal year 2003-2004, adjusted for

inflation in subsequent years by an amount not to exceed

an annual cost-of-living adjustment calculated by

applying the percentage change in the Consumer Price

Index immediately prior to the date the adjustment is due

to take effect. Any remaining moneys shall be [collected

by the department from each licensed gaming entity and]

distributed in accordance with paragraph (2) based upon

the classification of county where the licensed facility

is located. [In the event that the revenues generated by

the 2% do not meet the $10,000,000 minimum specified in

this subparagraph, the department shall collect the

remainder of the minimum amount of $10,000,000 from each

licensed gaming entity operating a facility in the city,

pay any balance due to the city and transfer any

remainder in accordance with paragraph (2).]

(iii) To a city of the third class hosting a

licensed facility, other than a Category 3 licensed

facility, [2% of the gross terminal revenue or]

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$10,000,000 annually[, whichever is greater, shall be

paid by each licensed gaming entity operating a licensed

facility located in that city,] less any amount up to

$5,000,000 received pursuant to a written agreement with

a licensed gaming entity executed prior to the effective

date of this part, shall be distributed to the city,

subject, however, to the budgetary limitation in this

subparagraph. In the event that the city has a written

agreement with a licensed gaming entity executed prior to

the effective date of this part, the amount paid under

the agreement to the city shall be applied and credited

[to the difference between 2% of the gross terminal

revenue and the $10,000,000 owed under this subparagraph

if the 2% of the gross terminal revenue is less than

$10,000,000. If 2% of the gross terminal revenue is

greater than the $10,000,000 required to be paid under

this subparagraph, the credit shall not apply. The amount

of gross terminal revenue required to be paid pursuant to

the agreement shall be deemed to be gross terminal

revenue for purposes of this subparagraph.], up to

$5,000,000, to the slot machine license operation fee

owed under section 1326.1. The amount allocated to the

designated municipalities shall not exceed 50% of their

total budget for fiscal year 2003-2004, adjusted for

inflation in subsequent years by an amount not to exceed

an annual cost-of-living adjustment calculated by

applying the percentage change in the Consumer Price

Index immediately prior to the date the adjustment is due

to take effect. Any remaining moneys shall be [collected

by the department from each licensed gaming entity and]

20170HB1342PN1661 - 5 -

distributed in accordance with paragraph (2) based upon

the classification of county where the licensed facility

is located. [In the event that the revenues generated by

the 2% do not meet the $10,000,000 minimum specified in

this subparagraph, the department shall collect the

remainder of the minimum amount of $10,000,000 from each

licensed gaming entity operating a facility, pay any

balance due to the city of the third class and transfer

any remainder in accordance with paragraph (2).]

(iii.1) If a licensed facility, other than a

Category 3 licensed facility, is located in a city of the

third class and the city is located in more than one

county of the third class, [2% of the gross terminal

revenue or] $10,000,000 annually[, whichever is greater,]

shall be distributed as follows: 80% to the host city

and 20% to the city of the third class located solely in

a nonhost county in which the host city of the third

class is also located. If a licensed facility, other than

a Category 3 licensed facility, is located in a city of

the third class and that city is located solely in a host

county of the third class in which a nonhost city of the

third class is also located, [2% of gross terminal

revenue or] $10,000,000 annually[, whichever is greater,]

shall be distributed as follows: 80% to the host city

and 20% to a city of the third class located both in a

nonhost county of the third class and in a host county of

the third class in which the host city of the third class

is located.

(iv) To a township of the first class hosting a

licensed facility, other than a Category 3 licensed

20170HB1342PN1661 - 6 -

facility, [2% of the gross terminal revenue or]

$10,000,000 annually[, whichever is greater, shall be

paid by each licensed gaming entity operating a licensed

facility located in the township] shall be distributed to

the township, subject, however, to the budgetary

limitation in this subparagraph. The amount allocated to

the designated municipalities shall not exceed 50% of

their total budget for fiscal year 2003-2004, adjusted

for inflation in subsequent years by an amount not to

exceed an annual cost-of-living adjustment calculated by

applying the percentage change in the Consumer Price

Index immediately prior to the date the adjustment is due

to take effect. Any remaining money shall be [collected

by the department from each licensed gaming entity and]

distributed in accordance with paragraph (2) based upon

the classification of county where the licensed facility

is located. [In the event that the revenues generated by

the 2% do not meet the $10,000,000 minimum specified in

this subparagraph, the department shall collect the

remainder of the minimum amount of $10,000,000 from each

licensed gaming entity operating a licensed facility in

the township, pay any balance due to the township and

transfer any remainder in accordance with paragraph (2).]

(v) To a township of the second class hosting a

licensed facility:

(A) [2% of the gross terminal revenue or]

$10,000,000 annually[, whichever is greater, shall be

paid by each licensed gaming entity operating a

licensed facility, other than a Category 3 licensed

facility or a licensed facility owning land adjacent

20170HB1342PN1661 - 7 -

to the licensed facility located in more than one

township of the second class,] shall be distributed

to the township of the second class hosting [the] a

licensed facility, other than a Category 3 licensed

facility or a licensed facility located in more than

one township of the second class, subject, however,

to the budgetary limitation in this subparagraph. The

amount allocated to the designated municipalities

shall not exceed 50% of their total budget for fiscal

year 2003-2004, adjusted for inflation in subsequent

years by an amount not to exceed an annual cost-of-

living adjustment calculated by applying the

percentage change in the Consumer Price Index

immediately prior to the date the adjustment is due

to take effect. Any remaining money shall be

[collected by the department from each licensed

gaming entity and] distributed in accordance with

paragraph (2) based upon the classification of county

where the licensed facility is located. [If revenues

generated by the 2% do not meet the $10,000,000

minimum specified in this subparagraph, the

department shall collect the remainder of the minimum

amount of $10,000,000 from each licensed gaming

entity operating a licensed facility in the township,

pay any balance due to the township and transfer any

remainder in accordance with paragraph (2).]

(B) [2% of the gross terminal revenue or]

$10,000,000 annually[, whichever is greater,] less

the amount paid under clause (C), shall be [paid by

each licensed gaming entity operating a licensed

20170HB1342PN1661 - 8 -

facility and owning land adjacent to the licensed

facility located in more than one township of the

second class, other than a Category 3 licensed

facility,] distributed to the township of the second

class hosting [the] a licensed facility which owns

land adjacent to the licensed facility located in

more than one township of the second class, other

than a Category 3 licensed facility, subject,

however, to the budgetary limitation in this

subparagraph. The amount allocated to the designated

municipalities may not exceed 50% of their total

budget for the fiscal year 2003-2004, adjusted for

inflation in subsequent years by an amount not to

exceed an annual cost-of-living adjustment calculated

by applying the percentage change in the Consumer

Price Index immediately prior to the date the

adjustment is due to take effect. Any remaining money

shall be [collected by the department from each

licensed gaming entity and] distributed in accordance

with paragraph (2) based upon the classification of

the county where the licensed facility is located.

The county commissioners of a county of the third

class in which the licensed facility is located shall

appoint an advisory committee for the purpose of

advising the county as to the need for municipal

grants for health, safety, transportation and other

projects in the public interest to be comprised of

two individuals from the host municipality, two from

contiguous municipalities within the county of the

third class and one from the host county. [In the

20170HB1342PN1661 - 9 -

event that the revenues generated by the 2% do not

meet the $10,000,000 minimum specified in this

subparagraph, the department shall collect the

remainder of the minimum amount of $10,000,000 from

each licensed gaming entity operating a licensed

facility in the township, pay any balance due to the

township and transfer any remainder in accordance

with paragraph (2).]

licensed gaming entity operating a licensed facility

and owning land adjacent to the licensed facility

located in more than one township of the second

class, other than a Category 3 licensed facility, to

the township of the second class that is located in a

county of the fifth class in which the adjacent land

is located, including racetracks, grazing fields or

any other adjoining real property.] For land owned by

a licensed gaming entity, other than a Category 3

licensed facility, and located in more than one

township of the second class: $160,000 shall be

distributed annually to the township of the second

class which is located in a county of the fifth class

if the land owned, including racetracks, grazing

fields and other adjoining real property, is adjacent

to the licensed facility.

(vi) To a borough hosting a licensed facility, other

than a Category 3 licensed facility, [2% of the gross

terminal revenue or] $10,000,000 annually[, whichever is

greater, shall be paid by each licensed gaming entity

operating a licensed facility located in that borough,]

20170HB1342PN1661 - 10 -

shall be distributed to the borough, subject, however, to

the budgetary limitation in this subparagraph. The amount

allocated to the designated municipalities shall not

exceed 50% of their total budget for fiscal year 2003-

2004, adjusted for inflation in subsequent years by an

amount not to exceed an annual cost-of-living adjustment

calculated by applying the percentage change in the

Consumer Price Index immediately prior to the date the

adjustment is due to take effect. Any remaining money

shall be [collected by the department from each licensed

gaming entity and] distributed in accordance with

paragraph (2) based upon the classification of county

where the licensed facility is located. [In the event

that the revenues generated by the 2% do not meet the

$10,000,000 minimum specified in this subparagraph, the

department shall collect the remainder of the minimum

amount of $10,000,000 from each licensed gaming entity

operating a licensed facility in the borough, pay any

balance due to the borough and transfer any remainder in

accordance with paragraph (2).]

(vii) To an incorporated town hosting a licensed

facility, other than a Category 3 licensed facility, [2%

of the gross terminal revenue or] $10,000,000 annually[,

whichever is greater, shall be paid by each licensed

entity operating a licensed facility located in the

town,] shall be distributed to the incorporated town,

subject, however, to the budgetary limitation in this

subparagraph. The amount allocated to the designated

municipalities shall not exceed 50% of their total budget

for fiscal year 2003-2004, adjusted for inflation in

20170HB1342PN1661 - 11 -

subsequent years by an amount not to exceed an annual

cost-of-living adjustment calculated by applying the

percentage change in the Consumer Price Index immediately

prior to the date the adjustment is due to take effect.

Any remaining money shall be [collected by the department

from each licensed gaming entity and] distributed in

accordance with paragraph (2) based upon the

classification of county where the licensed facility is

located. [In the event that the revenues generated by the

2% do not meet the $10,000,000 minimum specified in this

subparagraph, the department shall collect the remainder

of the minimum amount of $10,000,000 from each licensed

gaming entity operating a licensed facility in the

incorporated town, pay any balance due to the town and

transfer any remainder in accordance with paragraph (2).

(viii) (A) Except as provided in clause (B) or (C),

to a municipality of any class hosting a Category 3

facility, 2% of the gross terminal revenue from the

Category 3 licensed facility located in the

municipality, subject, however, to the budgetary

limitation in this clause. The amount allocated to

the designated municipalities shall not exceed 50% of

their total budget for fiscal year 2009, adjusted for

inflation in subsequent years by an amount not to

exceed an annual cost-of-living adjustment calculated

by applying the percentage change in the Consumer

Price Index immediately prior to the date the

adjustment is due to take effect. Any remaining money

shall be collected by the department from each

licensed gaming entity and distributed in accordance

20170HB1342PN1661 - 12 -

with paragraph (2) based upon the classification of

county where the licensed facility is located.

(B) If the municipality hosting a Category 3

licensed facility is a borough located in a county of

the third class and the borough is contiguous to a

city of the third class, 1% of gross terminal revenue

shall be distributed to the host borough and 1% of

gross terminal revenue shall be distributed to the

city of the third class that is contiguous to the

host borough, subject, however, to the budgetary

limitation in this clause. The amount allocated to

each designated municipality shall not exceed 50% of

its total budget for fiscal year 2009, adjusted for

inflation in subsequent years by an amount not to

exceed an annual cost-of-living adjustment calculated

by applying the percentage increase, if any, in the

Consumer Price Index immediately prior to the date

the adjustment is due to take effect. Any remaining

money shall be collected by the department from each

licensed gaming entity and distributed in accordance

with paragraph (2) based upon the classification of

county where the licensed facility is located.

licensed facility is a township of the second class

in a county of the fifth class which is contiguous to

a county of the seventh class, 2% of the gross

terminal revenue from the Category 3 licensed

facility located in the municipality shall be

distributed to the municipality, subject, however, to

the budgetary limitation in this clause. The amount

20170HB1342PN1661 - 13 -

allocated to the designated municipalities shall not

exceed the lesser of $1,000,000 or 50% of their total

budget for fiscal year 2009, adjusted for inflation

in subsequent years by an amount not to exceed an

annual cost-of-living adjustment calculated by

applying the percentage change in the Consumer Price

Index immediately prior to the date the adjustment is

due to take effect. Any remaining money shall be

collected by the department from each licensed gaming

entity and distributed in equal amounts to each

municipality contiguous to the host municipality.

However, the amount to be allocated to any contiguous

municipality shall not exceed the lesser of

$1,000,000 or 50% of the municipality's total budget

for fiscal year 2009, adjusted for inflation in

subsequent years by an amount not to exceed an annual

cost-of-living adjustment calculated by applying the

percentage change in the Consumer Price Index

immediately prior to the date the adjustment is due

to take effect. Any money remaining following

distribution to contiguous municipalities shall be

collected by the department and distributed in

accordance with paragraph (2) based upon the

classification of county where the licensed facility

is located.

(ix) Any municipality not specifically enumerated in

subparagraphs (i) through (viii), 2% of the gross

terminal revenue to the municipality hosting the licensed

facility from each such licensed facility.

(x) If the licensed facility is located in more than

20170HB1342PN1661 - 14 -

one municipality, the amount available shall be

distributed on a pro rata basis determined by the

percentage of acreage located in each municipality to the

total acreage of all municipalities occupied by the

licensed facility.

(xi) If the licensed facility is located at a resort

which is also an incorporated municipality, such

municipality shall not be eligible to receive any

distribution under this paragraph. The distribution it

would have otherwise been entitled to under this

paragraph shall instead be distributed in accordance with

paragraph (2) based upon the county where the licensed

facility is located.

(xii) The distributions provided in this paragraph

shall be based upon municipal classifications in effect

on the effective date of this section. For the purposes

of this paragraph, any reclassification of municipalities

as a result of a Federal decennial census or of a State

statute shall not apply to this paragraph.

(xiii) If any provision of this paragraph is found

to be unenforceable for any reason, the distribution

provided for in such unenforceable provision shall be

made to the municipality in which the licensed facility

is located.

(xiv) Nothing in this paragraph shall prevent any of

the above municipalities from entering into

intergovernmental cooperative agreements with other

jurisdictions for sharing this money.

(xv) Notwithstanding any other law, agreement or

provision in this part to the contrary, all revenues

20170HB1342PN1661 - 15 -

provided, directed or earmarked under this section to or

for the benefit of a city of the second class in which an

intergovernmental cooperation authority has been

established and is in existence pursuant to the act of

February 12, 2004 (P.L.73, No.11), known as the

Intergovernmental Cooperation Authority Act for Cities of

the Second Class, shall be directed to and under the

exclusive control of such intergovernmental cooperation

authority to be used:

(A) to reduce the debt of the second class city;

(B) to increase the level of funding of the

municipal pension funds of the second class city; or

in the best interest of the second class city by such

intergovernmental cooperation authority. Such

revenues shall not be directed to or under the

control of such city of the second class or any

coordinator appointed pursuant to the act of July 10,

1987 (P.L.246, No.47), known as the Municipalities

Financial Recovery Act, for such city of the second

class.]

(4) From the local share assessment established in

subsection (b), make quarterly distributions among the

municipalities, including home rule municipalities, hosting a

licensed facility in accordance with the following schedule:

(i) Except as provided in subparagraph (ii) or

(iii), to a municipality of any class hosting a Category

3 facility, 2% of the gross terminal revenue from the

Category 3 licensed facility located in the municipality,

subject, however, to the budgetary limitation in this

20170HB1342PN1661 - 16 -

subparagraph. The amount allocated to the designated

municipalities shall not exceed 50% of their total budget

for fiscal year 2009, adjusted for inflation in

subsequent years by an amount not to exceed an annual

cost-of-living adjustment calculated by applying the

percentage change in the Consumer Price Index immediately

prior to the date the adjustment is due to take effect.

Any remaining money shall be collected by the department

from each licensed gaming entity and distributed in

accordance with paragraph (2) based upon the

classification of county where the licensed facility is

located.

(ii) If the municipality hosting a Category 3

licensed facility is a borough located in a county of the

third class and the borough is contiguous to a city of

the third class, 1% of gross terminal revenue shall be

distributed to the host borough and 1% of gross terminal

revenue shall be distributed to the city of the third

class that is contiguous to the host borough, subject,

however, to the budgetary limitation in this

subparagraph. The amount allocated to each designated

municipality shall not exceed 50% of its total budget for

fiscal year 2009, adjusted for inflation in subsequent

years by an amount not to exceed an annual cost-of-living

adjustment calculated by applying the percentage

increase, if any, in the Consumer Price Index immediately

prior to the date the adjustment is due to take effect.

Any remaining money shall be collected by the department

from each licensed gaming entity and distributed in

accordance with paragraph (2) based upon the

20170HB1342PN1661 - 17 -

classification of county where the licensed facility is

located.

(iii) If the municipality hosting a Category 3

licensed facility is a township of the second class in a

county of the fifth class which is contiguous to a county

of the seventh class , 2% of the gross terminal revenue

from the Category 3 licensed facility located in the

municipality shall be distributed to the municipality,

subject, however, to the budgetary limitation in this

subparagraph. The amount allocated to the designated

municipalities shall not exceed the lesser of $1,000,000

or 50% of their total budget for fiscal year 2009,

adjusted for inflation in subsequent years by an amount

not to exceed an annual cost-of-living adjustment

calculated by applying the percentage change in the

Consumer Price Index immediately prior to the date the

adjustment is due to take effect. Any remaining money

shall be collected by the department from each licensed

gaming entity and distributed in equal amounts to each

municipality contiguous to the host municipality. The

amount to be allocated to any contiguous municipality

shall not exceed the lesser of $1,000,000 or 50% of the

municipality's total budget for fiscal year 2009,

adjusted for inflation in subsequent years by an amount

not to exceed an annual cost-of-living adjustment

calculated by applying the percentage change in the

Consumer Price Index immediately prior to the date the

adjustment is due to take effect. Any money remaining

following distribution to contiguous municipalities shall

be collected by the department and distributed in

20170HB1342PN1661 - 18 -

accordance with paragraph (2) based upon the

classification of county where the licensed facility is

located.

(5) From the slot machine operation fees deposited in

the fund under section 1326.1(d), make quarterly

distributions to any municipality not specifically enumerated

in paragraph (3) or (4) hosting a Category 1 licensed

facility or a Category 2 licensed facility, equal to

$10,000,000 annually.

(6) From the local share assessment established in

subsection (b), make quarterly distributions to any

municipality not enumerated in paragraph (3) or (4) hosting a

Category 3 licensed facility: 2% of the gross terminal

revenue paid by each licensed gaming entity operating a

Category 3 licensed facility.

(7) If a licensed facility is located in more than one

municipality, the amount available shall be distributed on a

pro rata basis determined by the percentage of acreage

located in each municipality to the total acreage of all

municipalities occupied by the licensed facility.

(8) If a licensed facility is located at a resort which

is also an incorporated municipality, the municipality shall

not be eligible to receive any distribution under paragraph

(3), (4), (5) or (6). The distribution it would have

otherwise been entitled to under paragraph (3), (4), (5) or

(6) shall instead be distributed in accordance with paragraph

(2) based upon the classification of county where the

licensed facility is located.

(9) The distributions provided in paragraph (3), (4),

(5) or (6) shall be based upon municipal classifications in

20170HB1342PN1661 - 19 -

effect on July 5, 2004. For the purposes of paragraphs (3),

(4), (5) and (6), any reclassification of municipalities as a

result of a Federal decennial census or of a State statute

shall not apply to paragraphs (3), (4), (5) and (6).

(10) If any provision of paragraph (3), (4), (5) or (6)

is found to be unenforceable for any reason, the distribution

provided for in the unenforceable provision shall be made to

the municipality in which the licensed facility is located.

(11) Nothing in paragraph (3), (4), (5) or (6) shall be

construed to prevent any of the above municipalities from

entering into intergovernmental cooperative agreements with

other jurisdictions for sharing the funds distributed to

them.

(12) Notwithstanding any other law, agreement or

provision in this part to the contrary, all revenues

provided, directed or earmarked under this section to or for

the benefit of a city of the second class in which an

intergovernmental cooperation authority has been established

and is in existence under the act of February 12, 2004

(P.L.73, No.11), known as the Intergovernmental Cooperation

Authority Act for Cities of the Second Class, shall be

directed to and under the exclusive control of the

intergovernmental cooperation authority to be used:

(i) to reduce the debt of the city of the second

class;

(ii) to increase the level of funding of the

municipal pension funds of the city of the second class;

(iii) for any other purposes as determined to be in

the best interest of the city of the second class by the

20170HB1342PN1661 - 20 -

intergovernmental cooperation authority. The revenues

shall not be directed to or under the control of the city

of the second class or any coordinator appointed under

the act of July 10, 1987 (P.L.246, No.47), known as the

Municipalities Financial Recovery Act, for the city of

the second class.

* * *

(e) Reporting.--

(1) In cooperation with the department and the

Commonwealth Financing Authority, the Department of Community

and Economic Development shall submit an annual report on all

distributions of local share assessments and slot machine

license operation fees to counties and municipalities under

this section to the chairman and minority chairman of the

Appropriations Committee of the Senate, the chairman and

minority chairman of the Community, Economic and Recreational

Development Committee of the Senate, the chairman and

minority chairman of the Appropriations Committee of the

House of Representatives and the chairman and minority

chairman of the Gaming Oversight Committee of the House of

Representatives. The report shall be submitted by [August 31,

2010] March 31, 2018, and by [August] March 31 of each year

thereafter.

(2) All counties and municipalities receiving

distributions of local share assessments or slot machine

license operation fees under this section shall submit

information to the Department of Community and Economic

Development on a form prepared by the Department of Community

and Economic Development that sets forth the amount and use

of the funds received in the prior calendar year. The form

20170HB1342PN1661 - 21 -

shall set forth whether the funds received were deposited in

the county's or municipality's General Fund or committed to a

specific project or use.

* * *

Section 3. Licensed gaming entities required to make

payments under 4 Pa.C.S. § 1326.1 shall:

(1) receive a credit against payments due in calendar

year 2017 for any payments made up to the date the first

payment is due under paragraph (2) under the following:

(i) 4 Pa.C.S. § 1403(c)(3)(i), (ii), (iii), (iii.1),

(iv), (v), (vi) and (vii) and 4(i) and (ii), formerly (3)

(viii)(A) and (B), as those provisions were in existence

prior to the effective date of the amendment of 4 Pa.C.S.

§ 1403; or

(ii) any written agreement between a municipality

and a licensed gaming entity required to make payments

under 4 Pa.C.S. § 1326.1 entered into prior to the

effective date of this section that relates to the

payments required under 4 Pa.C.S. § 1403(c)(3)(i), (ii),

(iii), (iii.1), (iv), (v), (vi) and (vii) and 4(i) and

(ii), formerly (3)(viii)(A) and (B), as those provisions

existed prior to the effective date of the amendment of 4

Pa.C.S. § 1403; and

(2) commence the payments due under this section the

first day of the first calendar month following the effective

date of this section.

Section 4. This act shall take effect immediately.

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