PRINTER'S NO. 3370
No. 2559 Session of 1980
INTRODUCED BY MILLER, McCLATCHY, MICOZZIE, W. D. HUTCHINSON,
GRUPPO, WASS, ARTY, MADIGAN, BELARDI, CESSAR, RYAN, STAIRS,
WILT, D. R. WRIGHT AND CIVERA, MAY 20, 1980
REFERRED TO COMMITTEE ON APPROPRIATIONS, MAY 20, 1980
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 December 27,
15 1972 (P.L.1629, No.338), are amended to read:
16 Section 2. Statement of Purpose.--This act is enacted to
17 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 property tax relief for the elderly for
20 taxes paid in 1971 and thereafter, [and] for providing certain
21 free local transit to persons sixty-five years of age or older
1 and for providing grants to area agencies on aging and other
2 organizations for aging programs and services. It is further
3 intended to provide a means through which to curb illegal
4 gambling operations in Pennsylvania.
5 Section 6. Powers and Duties of the Secretary of Revenue.--
6 (a) In addition to the powers and duties provided by law and
7 "The Administrative Code of 1929," the Secretary of Revenue
8 shall have the power and it shall be his duty to operate and
9 administer the lottery, and to promulgate rules and regulations
10 governing the establishment and operation thereof, including but
11 not limited to:
12 * * *
13 (11) The apportionment of the total revenues accruing from
14 the sale of lottery tickets or shares and from all other sources
15 among (i) the payment of prizes to the holders of winning
16 tickets or shares; (ii) the payment of costs incurred in the
17 operation and administration of the lottery, including the
18 expenses of the division and the costs resulting from any
19 contract or contracts entered into for promotional, advertising
20 or operational services or for the purchase or lease of lottery
21 equipment and materials; (iii) for the repayment of the moneys
22 appropriated to the State Lottery Fund pursuant to section 16 of
23 this act; and (iv) for property tax relief and free local
24 transit for the elderly and for grants to area agencies on aging
25 and other organizations for aging programs and services as
26 provided in section 12 of this act: Provided, however, That no
27 less than thirty per cent of the total revenues accruing from
28 the sale of lottery tickets or shares shall be dedicated to
29 subclause (iv) above.
30 * * *
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1 Section 12. Disposition of Funds from Sale of Tickets or
2 Shares.--(a) All moneys received from the operation of the
3 State lottery shall be deposited in a State Lottery Fund which
4 is hereby created. Such moneys shall be used to the extent
5 necessary for the payment of lottery prizes but the amount so
6 used shall not be less than forty per cent of the amount of
7 which tickets or shares have been sold. All payments of lottery
8 prizes and for expenses of operation of the lottery shall be
9 made as provided by law. All moneys remaining after payment of
10 prizes and operating expenses shall be transferred to the
11 General Fund through June 30, 1972, after which date they shall
12 remain in the State Lottery Fund and shall be allocated for the
13 purpose of providing property tax relief for the elderly for
14 taxes paid in 1971 and thereafter pursuant to the provisions of
15 the act of March 11, 1971 (P.L.104, No.3), known as the "Senior
16 Citizens Property Tax Assistance Act," [and] for the purpose of
17 providing local transit for the elderly pursuant to the act of
18 January 22, 1968 (P.L.42, No.8), known as the "Pennsylvania
19 Urban Mass Transportation Assistance Law of 1967," and for the
20 purpose of providing grants to area agencies on aging and other
21 organizations for aging programs and services. In the event
22 sufficient funds are not available from the lottery receipts to
23 meet the requirements of the act of March 11, 1971 (P.L.104,
24 No.3), known as the "Senior Citizens Property Tax Assistance
25 Act," or for providing local transit for the elderly under the
26 act of January 22, 1968 (P.L.42, No.8), known as the
27 "Pennsylvania Urban Mass Transportation Assistance Law of 1967,"
28 additional funds to fulfill these obligations, shall be
29 appropriated from the General Fund for this purpose.
30 (b) The moneys in said State Lottery Fund shall be
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1 appropriated only:
2 (1) For the payment of prizes to the holders of winning
3 lottery tickets or shares;
4 (2) For the expenses of the division in its operation of the
5 lottery;
6 (3) For property tax relief, [and] free local transit for
7 the elderly and for grants to area agencies on aging and other
8 organizations for aging programs and services as provided under
9 section 12 of this act; and
10 (4) For transfer to the General Fund through June 30, 1972,
11 and for the repayment to the General Fund of the amount
12 appropriated to the fund pursuant to section 16 of this act.
13 Section 2. The act is amended by adding a section to read:
14 Section 12.1. Appropriation to the Department of Aging.--
15 Funds in an amount approved annually by the Governor are hereby
16 appropriated from the State Lottery Fund to the Department of
17 Aging for grants to area service agencies on aging and other
18 organizations for aging programs and services.
19 Section 3. This act shall take effect July 1, 1980.
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