PRINTER'S NO. 1137
No. 1035 Session of 1981
INTRODUCED BY McCLATCHY, MARCH 25, 1981
REFERRED TO COMMITTEE ON APPROPRIATIONS, MARCH 25, 1981
AN ACT
1 Amending the act of August 26, 1971 (P.L.351, No.91), entitled,
2 "An act providing for a State Lottery and administration
3 thereof; authorizing the creation of a State Lottery
4 Commission; prescribing its powers and duties; disposition of
5 funds; violations and penalties therefor; exemption of prizes
6 from State and local taxation and making an appropriation,"
7 further providing for the purpose, powers and duties of the
8 Secretary of Revenue, the disposition of funds and making an
9 appropriation.
10 The General Assembly of the Commonwealth of Pennsylvania
11 hereby enacts as follows:
12 Section 1. Section 2, clause (11) of subsection (a) of
13 section 6 and section 12, act of August 26, 1971 (P.L.351,
14 No.91), known as the "State Lottery Law," amended October 17,
15 1980 (No.184), are amended to read:
16 Section 2. Statement of Purpose.--(a) This act is enacted
17 to establish a lottery to be operated by the State, the net
18 proceeds of which are to be used after June 30, 1972 for the
19 purposes of [providing]:
20 (1) Providing property tax relief for the elderly for taxes
21 paid in 1971 and thereafter to persons sixty-five years of age
1 or older [and for providing];
2 (2) Providing certain free fixed route local transit
3 services to persons sixty-five years of age or older [and
4 reduced];
5 (3) Providing reduced fare on group ride transit service to
6 persons sixty-five years of age or older; and
7 (4) Providing grants to area agencies on aging and other
8 organizations for aging programs and services.
9 (b) It is further intended to provide a means through which
10 to curb illegal gambling operations in Pennsylvania.
11 Section 6. Powers and Duties of the Secretary of Revenue.--
12 (a) In addition to the powers and duties provided by law and
13 "The Administrative Code of 1929," the Secretary of Revenue
14 shall have the power and it shall be his duty to operate and
15 administer the lottery, and to promulgate rules and regulations
16 governing the establishment and operation thereof, including but
17 not limited to:
18 * * *
19 (11) The apportionment of the total revenues accruing from
20 the sale of lottery tickets or shares and from all other sources
21 among (i) the payment of prizes to the holders of winning
22 tickets or shares; (ii) the payment of costs incurred in the
23 operation and administration of the lottery, including the
24 expenses of the division and the costs resulting from any
25 contract or contracts entered into for promotional, advertising
26 or operational services or for the purchase or lease of lottery
27 equipment and materials; (iii) for the repayment of the moneys
28 appropriated to the State Lottery Fund pursuant to section 16 of
29 this act; [and] (iv) for property tax relief and free or reduced
30 fare transit service for the elderly; and (v) for grants to area
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1 agencies on aging and other organizations for aging programs and
2 services as provided in section 12 of this act: Provided,
3 however, That no less than thirty per cent of the total revenues
4 accruing from the sale of lottery tickets or shares shall be
5 dedicated to subclause (iv) above.
6 * * *
7 Section 12. Disposition of Funds from Sale of Tickets or
8 Shares.--(a) All moneys received from the operation of the
9 State lottery shall be deposited in a State Lottery Fund which
10 is hereby created. Such moneys shall be used to the extent
11 necessary for the payment of lottery prizes but the amount so
12 used shall not be less than forty per cent of the amount of
13 which tickets or shares have been sold. All payments of lottery
14 prizes and for expenses of operation of the lottery shall be
15 made as provided by law. All moneys remaining after payment of
16 prizes and operating expenses shall remain in the State Lottery
17 Fund and shall be allocated for the purpose of providing
18 property tax relief for the elderly for taxes paid in 1971 and
19 thereafter pursuant to the provisions of the act of March 11,
20 1971 (P.L.104, No.3), known as the "Senior Citizens Property Tax
21 or Rent Rebate and Older Persons Inflation Needs Act," and for
22 the purpose of providing free or reduced fare transit service
23 for the elderly pursuant to the act of January 22, 1968 (P.L.42,
24 No.8), known as the "Pennsylvania Urban Mass Transportation
25 Assistance Law of 1967," and the act of February 11, 1976
26 (P.L.14, No.10), known as the "Pennsylvania Rural and Intercity
27 Common Carrier Surface Transportation Assistance Act," and for
28 the purpose of providing grants to area agencies on aging and
29 other organizations for aging programs and services. In the
30 event sufficient funds are not available from the lottery
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1 receipts to meet the requirements of the act of March 11, 1971
2 (P.L.104, No.3), known as the "Senior Citizens Property Tax or
3 Rent Rebate and Older Persons Inflation Needs Act," or for
4 providing free or reduced fare transit service for the elderly
5 under the act of January 22, 1968 (P.L.42, No.8), known as the
6 "Pennsylvania Urban Mass Transportation Assistance Law of 1967,"
7 and the act of February 11, 1976 (P.L.14, No.10), known as the
8 "Pennsylvania Rural and Intercity Common Carrier Surface
9 Transportation Assistance Act," additional funds to fulfill
10 these obligations, shall be appropriated from the General Fund
11 for this purpose.
12 (b) The moneys in said State Lottery Fund shall be
13 appropriated only:
14 (1) For the payment of prizes to the holders of winning
15 lottery tickets or shares;
16 (2) For the expenses of the division in its operation of the
17 lottery;
18 (3) For property tax relief [and], free or reduced fare
19 transit service for the elderly and for grants to area agencies
20 on aging and other organizations for aging programs and services
21 as provided under section 12 of this act; and
22 (4) For transfer to the General Fund through June 30, 1972,
23 and for the repayment to the General Fund of the amount
24 appropriated to the fund pursuant to section 16 of this act.
25 Section 2. The act is amended by adding a section to read:
26 Section 12.1. Appropriation to the Department of Aging.--
27 Funds in an amount approved annually by the Governor are hereby
28 appropriated from the State Lottery Fund to the Department of
29 Aging for grants to area service agencies on aging and other
30 organizations for aging programs and services.
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1 Section 3. This act shall take effect July 1, 1981.
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