1Relating to taxpayer return on investment.

2The General Assembly of the Commonwealth of Pennsylvania
3hereby enacts as follows:

4Section 1.  Short title.

5This act shall be known and may be cited as the Taxpayer
6Return on Investment Act.

7Section 2.  Definitions.

8The following words and phrases when used in this act shall
9have the meanings given to them in this section unless the
10context clearly indicates otherwise:

11"Business."  A natural person, corporation, partnership,
12limited liability company, business trust, other association or
13any other legal entity engaged in a business for profit and
14authorized to do business in this Commonwealth.

15"Department."  The Department of Community and Economic
16Development of the Commonwealth.

1"Financial assistance."  Any grant awarded by the Department
2of Community and Economic Development through a participating
3program to a recipient in accordance with law.

4"Participating program."  The following programs administered
5by the Department of Community and Economic Development:

6(1)  12 Pa.C.S. Ch. 21 (relating to opportunity grants).

7(2)  12 Pa.C.S. Ch. 34 (relating to infrastructure and
8facilities improvement program).

9(3)  The Customized Job Training Program under Chapter 29
10of the act of June 29, 1996 (P.L.434, No.67), known as the
11Job Enhancement Act.

12"Recipient."  A business that has received financial
13assistance from a participating program. The term includes any
14business that has acquired, merged, purchased or is otherwise
15operating the business of the original recipient.

16Section 3.  Repayment of financial assistance authorized.

17The department may require a recipient of financial
18assistance to repay a portion, or the total amount, of financial
19assistance received from a participating program under this act.

20Section 4.  Repayment schedule and formula.

21(a)  Duties of department.--The department shall have the
22following powers and duties:

23(1)  Four years after financial assistance is disbursed
24by the department to a recipient through a participating
25program, the department shall notify the Department of
26Revenue and the recipient, in writing, whether the department
27recommends that the recipient repay all or a portion of the
28financial assistance.

29(2)  The recommendation under paragraph (1) shall be
30based on profitability and success of the recipient after

1receipt of the grant. In making the recommendation, the
2department shall consider:

3(i)  The earnings history of the recipient in the
4year prior to the awarding of the grant.

5(ii)  The earnings history of the recipient since it
6received the grant.

7(iii)  The size of the gross sales, net sales and
8earnings of the recipient.

9(3)  The written notice under paragraph (1) shall
10include:

11(i)  The date or dates of the grant disbursement.

12(ii)  The intended purpose of the grant.

13(iii)  A copy of the final application submitted by
14the recipient in applying for the grant.

15(iv)  A recommendation as to the whether the entire
16amount, a portion or none of the grant should be repaid
17by the recipient.

18(b)  Duties of Department of Revenue.--The Department of
19Revenue shall have the following powers and duties:

20(1)  Upon receipt of written notice from the department
21under subsection (a)(1), to determine a financial assistance
22repayment schedule for the recipient. The Department of
23Revenue shall use tax returns filed by the recipient in the
24immediately preceding five tax years to determine the grant
25repayment schedule and amount. The initial repayment schedule
26shall be reported to the recipient and the department within
2760 days after receiving the recommendation from the
28department. The department or recipient may suggest in
29writing a different payment schedule within ten days of
30receipt of the payment schedule.

1(2)  To establish a schedule governing repayment of all
2financial assistance awarded to recipients through
3participating programs. The department shall establish a
4repayment schedule that, at a minimum:

5(i)  Requires recipients to repay a portion or the
6full amount of any financial assistance received from a
7participating program upon completion of the project for
8which the financial assistance was received.

9(ii)  Sets forth due dates for repayments to the
10department, which shall be on a quarterly, semiannual or
11annual basis.

12(iii)  Results in full repayment of the financial
13assistance awarded not earlier than five years nor later
14than ten years from the date the project is completed.

15(3)  To utilize collection powers granted to it under
16Article II of the act of March 4, 1971 (P.L.6, No.2), known
17as the Tax Reform Code of 1971, to collect financial
18assistance repayments that are delinquent under the repayment
19schedule.

20Section 5.  Regulations.

21The department, in consultation with the Department of
22Revenue, shall promulgate regulations implementing the
23provisions of this act.

24Section 10.  Effective date.

25This act shall take effect in 60 days.