HOUSE AMENDED
        PRIOR PRINTER'S NOS. 1930, 2044               PRINTER'S NO. 2068

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 1542 Session of 1976


        INTRODUCED BY CIANFRANI, JUNE 1, 1976

        AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES,
           JUNE 16, 1976

                                     AN ACT

     1  Relating to the fiscal affairs of the Commonwealth concerning
     2     duties of the Governor, the Secretary of Revenue and the
     3     Budget Secretary, with respect to the submission of and
     4     signing the budget for any fiscal year; and, after a budget
     5     is enacted, regulating the issuance of warrants by the State
     6     Treasurer for certain requisitioned funds and imposing duties
     7     on persons authorized by law to issue requisitions for the
     8     payment of moneys from the State Treasury; AND PRESCRIBING     <--
     9     THAT FEDERAL FUNDS RECEIVED BY THE COMMONWEALTH SHALL BE
    10     DEPOSITED IN THE GENERAL FUND ACCOUNT WITH CERTAIN
    11     EXCEPTIONS.

    12     The General Assembly of the Commonwealth of Pennsylvania
    13  hereby enacts as follows:
    14     Section 1.  Any person authorized by law to issue
    15  requisitions for the payment of moneys from the State Treasury
    16  shall, when submitting any such requisition to the State
    17  Treasury, indicate thereon whether any of the funds so requested
    18  were derived, in whole or in part, from Federal funds.
    19     Section 2.  Any person authorized by law to issue
    20  requisitions for the payment of moneys from the State Treasury
    21  shall, when submitting any such requisition to the State
    22  Treasurer, indicate thereon whether any of the funds so

     1  requested will be used, directly or indirectly, as matching
     2  funds to Federal funds.
     3     Section 3.  The State Treasurer is hereby specifically
     4  prohibited from issuing any warrant for requisitioned funds
     5  which were derived, in whole or in part, from Federal funds
     6  unless such funds have been specifically appropriated by an act
     7  of the General Assembly.
     8     Section 4.  The State Treasurer is hereby specifically
     9  prohibited from issuing any warrants for requisitioned funds
    10  which will be used, directly or indirectly, as matching funds to
    11  Federal funds unless such Federal funds have been specifically
    12  appropriated by an act of the General Assembly.
    13     SECTION 5.  EXCEPT AS MAY BE HEREINAFTER PROVIDED IN THIS      <--
    14  SECTION, NO FEDERAL FUNDS, WHETHER DESIGNATED AS GRANTS,
    15  AUGMENTATIONS, CREDITS OR OTHERWISE, RECEIVED FROM THE FEDERAL
    16  GOVERNMENT IN ANY FISCAL YEAR SHALL, BY EXECUTIVE ORDER OF THE
    17  GOVERNOR OR BY ANY OTHER EXECUTIVE ACTION, BE DEPOSITED IN OR
    18  DESIGNATED AS A SPECIAL OR RESTRICTED FUND ACCOUNT, SEPARATE AND
    19  DISTINCT FROM THE GENERAL FUND ACCOUNT. ALL SUCH FEDERAL FUNDS
    20  SHALL BE DEPOSITED IN AND CREDITED TO THE GENERAL FUND ACCOUNT,
    21  BE CONTAINED IN THE BUDGET AS HEREINAFTER PROVIDED, AND BE
    22  AVAILABLE FOR APPROPRIATION BY THE GENERAL ASSEMBLY AS PART OF
    23  ITS OPERATING BUDGET, EXCEPT THAT SUCH FEDERAL FUNDS NEED NOT BE
    24  DEPOSITED IN NOR DISBURSED BY APPROPRIATION FROM THE GENERAL
    25  FUND ACCOUNT UNDER THE FOLLOWING LIMITED STATUTORY
    26  CIRCUMSTANCES. IF THE GENERAL ASSEMBLY HAS BY STATUTORY
    27  ENACTMENT CREATED A SPECIAL FUND OR RESTRICTED RECEIPT ACCOUNT
    28  AND HAS SPECIFICALLY PROVIDED THEREIN FOR AN EXCLUSIVE, SPECIAL
    29  PURPOSE OR PURPOSES FOR WHICH FEDERAL FUNDS DEPOSITED IN SUCH
    30  SPECIAL FUND OR RESTRICTED RECEIPT ACCOUNT CAN ONLY BE USED,
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     1  THEN UNDER SUCH STATUTORY CIRCUMSTANCES, FEDERAL FUNDS RECEIVED
     2  WHICH ARE SPECIFICALLY AND EXCLUSIVELY EAR-MARKED FOR SUCH
     3  GENERAL ASSEMBLY DETERMINED SPECIAL FUND OR RESTRICTED RECEIPT
     4  PURPOSE OR PURPOSES MAY BE DEPOSITED IN SUCH STATUTORILY CREATED
     5  SPECIAL FUND OR RESTRICTED RECEIPT ACCOUNT. AND, WITHOUT FURTHER
     6  STATUTORY APPROPRIATION BEING REQUIRED, CAN BE USED SOLELY AND
     7  EXCLUSIVELY FOR SUCH SPECIFIC STATUTORY SPECIAL FUND OR
     8  RESTRICTED RECEIPT PURPOSE OR PURPOSES. BUT, UNDER NO
     9  CIRCUMSTANCES SHALL FEDERAL FUNDS RECEIVED AND DEPOSITED IN SUCH
    10  STATUTORILY CREATED SPECIAL FUND OR RESTRICTED RECEIPT ACCOUNT
    11  BE DISBURSED BY EXECUTIVE ORDER OF THE GOVERNOR OR BY ANY OTHER
    12  EXECUTIVE ACTION FOR ANY PURPOSE OR PURPOSES NOT SPECIFICALLY
    13  PRESCRIBED BY THE STATUTE WHICH CREATED SAID SPECIAL OR
    14  RESTRICTED RECEIPT ACCOUNT, EXCEPT BY APPROPRIATION MADE BY LAW
    15  DURING THE FISCAL YEAR IN WHICH SUCH FUNDS WERE RECEIVED.
    16     Section 5. 6.  Notwithstanding any thing in any law to the     <--
    17  contrary, it shall be the duty of the Secretary of Revenue when
    18  submitting to the Budget Secretary and to the Governor his
    19  officially certified estimate of revenues and receipts from any
    20  and all sources for use in the preparation of the Governor's
    21  proposed budget for the ensuing fiscal year to specifically
    22  include therein an estimate of any and all funds received or
    23  anticipated to be received from the Federal Government whether
    24  such funds are designated as grants, augmentations, credits or
    25  otherwise, together with the purposes for which such funds, as
    26  aforesaid, are provided or to be provided. The Secretary of
    27  Revenue shall provide a Federal funds estimate to the Governor
    28  for use by the Governor in signing any appropriation bill.
    29     The General Assembly hereby declares its legislative intent
    30  not to enact any operating budget for any fiscal year unless and
    19760S1542B2068                  - 3 -

     1  until a budget is submitted in accordance with the provisions of
     2  this act.
     3     SECTION 7.  NOTWITHSTANDING ANY OTHER LAW OR PORTION OF ANY    <--
     4  OTHER LAW INCLUDING SECTION 3 OF THE ACT OF DECEMBER 27, 1933
     5  (SP.S. 1933-34, P.L.113, NO.29), ENTITLED "AN ACT AUTHORIZING
     6  THE STATE TREASURER TO ACT AS CUSTODIAN OF MONEYS AND SECURITIES
     7  CONTRIBUTED TO OR DEPOSITED WITH THE COMMONWEALTH, OR OFFICERS,
     8  DEPARTMENTS, BOARDS OR COMMISSIONS OF THE COMMONWEALTH;
     9  PRESCRIBING THE MANNER IN WHICH SUCH MONEYS OR SECURITIES SHALL
    10  BE HELD AND DISBURSED OR DELIVERED UP; AND MAKING AN
    11  APPROPRIATION TO THE TREASURY DEPARTMENT FOR THE COST OF
    12  ADMINISTERING SUCH MONEYS AND SECURITIES," THE PROVISIONS OF
    13  THIS ACT SHALL PREVAIL.

    14     Section 7 8.  This act shall take effect immediately.          <--










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