PRINTER'S NO. 1814

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1552 Session of 1981


        INTRODUCED BY RICHARDSON, IRVIS, OLIVER, WHITE, J. D. WILLIAMS,
           EVANS AND DEAL, JUNE 15, 1981

        REFERRED TO COMMITTEE ON HEALTH AND WELFARE, JUNE 15, 1981

                                     AN ACT

     1  To strengthen the economy; to help to achieve a fuller and more
     2     effective use of clothing abundances; to provide for improved
     3     levels of clothing purchasing power among low-income
     4     households through a cooperative State program of clothing
     5     assistance to be operated through normal channels of trade;
     6     and making an appropriation.

     7                         TABLE OF CONTENTS
     8     Section  1.  Short title.
     9     Section  2.  Declaration of policy.
    10     Section  3.  Definitions.
    11     Section  4.  Establishment of the Clothing Stamp Program.
    12     Section  5.  Eligible households.
    13     Section  6.  Issuance and use of coupons.
    14     Section  7.  Value of the coupon allotment and charges to be
    15                  made.
    16     Section  8.  Approval of retail clothing stores and wholesale
    17                  clothing concerns.
    18     Section  9.  Redemption of coupons.
    19     Section 10.  Administration.


     1     Section 11.  Disqualification of retail clothing stores and
     2                  wholesale clothing concerns.
     3     Section 12.  Determination and disposition of claims.
     4     Section 13.  Administrative and judicial review.
     5     Section 14.  Violations and enforcement.
     6     Section 15.  Appropriation.
     7     Section 16.  Effective date.
     8     The General Assembly of the Commonwealth of Pennsylvania
     9  hereby enacts as follows:
    10  Section 1.  Short title.
    11     This act shall be known and may be cited as the "Clothing
    12  Stamp Act."
    13  Section 2.  Declaration of policy.
    14     It is hereby declared to be the policy of the General
    15  Assembly, in order to promote the general welfare, that the
    16  State's abundance of clothing should be utilized cooperatively
    17  by the State and local governmental units and other agencies to
    18  safeguard the health and well-being of the Commonwealth's
    19  population and to raise the level of clothing purchasing power
    20  among low-income households. The General Assembly hereby finds
    21  that the limited clothing purchasing power of low-income
    22  households contributes to low self-esteem which has been
    23  directly correlated with the level of performance in school,
    24  occupational and related activities of the low-income
    25  individual. The General Assembly further finds that increased
    26  utilization of clothing will promote the distribution in a
    27  beneficial manner of our clothing abundances and will strengthen
    28  the sagging apparel and textile industries. In order to promote
    29  adequate distribution of the basic essentials necessary to the
    30  well-being of the Commonwealth's citizens, a clothing stamp
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     1  program is herein authorized which will permit low-income
     2  households to purchase a respectable and balanced wardrobe
     3  through normal channels of trade.
     4  Section 3.  Definitions.
     5     The following words and phrases when used in this act shall
     6  have, unless the context clearly indicates otherwise, the
     7  meanings given to them in this section:
     8     "Authorization to purchase card."  Any document issued by the
     9  department to an eligible household which shows the face value
    10  of the coupon allotment the household is entitled to be issued
    11  on presentment of such document and the amount to be paid by
    12  such household for such allotment.
    13     "Bank."  Any member or nonmember bank of the Federal Reserve
    14  System.
    15     "Clothing."  Any apparel or footwear (or any tool, fabric,
    16  machine, or equipment used to make such apparel or footwear for
    17  the personal use of the eligible household) which is produced by
    18  any person who is a citizen of the United States, is an alien
    19  lawfully admitted for permanent residence or otherwise
    20  permanently residing in the United States under color of law or
    21  is organized under the laws of the United States or any state,
    22  except that such term does not include cosmetics, jewelry or
    23  timepieces.
    24     "Clothing stamp program."  Any program promulgated pursuant
    25  to the provisions of this act.
    26     "Coupon."  Any coupon, stamp or type of certificate issued
    27  pursuant to the provisions of this act.
    28     "Coupon allotment."  The total value of coupons to be issued
    29  to a household during each month or other time period.
    30     "Coupon vendor."  Any person, partnership, corporation,
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     1  organization, political subdivision or other entity with which a
     2  State agency has contracted for, or to which it has delegated
     3  administrative responsibility in connection with, the issuance
     4  of coupons to households.
     5     "Department."  The Department of Public Welfare.
     6     "Elderly person."  A person 60 years of age or over.
     7     "Household."  A single individual who is living alone and who
     8  is above the age of 18, or a group of individuals (including
     9  legally adopted children and legally assigned foster children)
    10  who are living as one economic unit, for whom clothing is
    11  purchased for personal use.
    12     "Retail clothing store."  An establishment, including a
    13  recognized department thereof or a house-to-house trade route
    14  which sells clothing to households.
    15     "Secretary."  The Secretary of the Department of Public
    16  Welfare.
    17     "Wholesale clothing concern."  An establishment which sells
    18  clothing to retail clothing stores for resale to households.
    19  Section 4.  Establishment of the Clothing Stamp Program.
    20     (a)  The secretary with the department is authorized to
    21  formulate and administer a clothing stamp program under which
    22  eligible households within the Commonwealth shall be provided
    23  with an opportunity to obtain an adequate supply of clothing
    24  through the issuance to such households of a coupon allotment or
    25  flat grant which shall have a greater monetary value than the
    26  charge to be paid for such allotment by such households. The
    27  coupons so received by such households shall be used only to
    28  purchase clothing from retail clothing stores which have been
    29  approved for participation in the clothing stamp program.
    30  Coupons issued and used as provided in this act shall be
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     1  redeemable at face value by the secretary through the facilities
     2  of the Treasury Department of the Commonwealth.
     3     (b)  The secretary shall issue such regulations, not
     4  inconsistent with this act, as he deems necessary or appropriate
     5  for the effective and efficient administration of the clothing
     6  stamp program.
     7  Section 5.  Eligible households.
     8     (a)  Participation in the clothing stamp program shall be
     9  limited to those households whose income and other financial
    10  resources are determined to be substantial limiting factors in
    11  permitting them to purchase an adequate supply of clothing.
    12     (b)  The secretary shall establish uniform standards of
    13  eligibility for participation by households in the clothing
    14  stamp program. The standards established by the secretary, at a
    15  minimum, shall prescribe the amounts of household income and
    16  other financial resources, including both liquid and nonliquid
    17  assets, to be used as criteria of eligibility. Such standards
    18  shall take into account payments in kind received from an
    19  employer by members of a household, if such payments are in lieu
    20  of or supplemental to household income. Such payments in kind
    21  shall be limited only to housing provided by such employer to
    22  such employee and shall be the actual value of such housing, but
    23  in no event shall such value be considered to be in excess of
    24  the sum of $25 per month.
    25     (c)  Notwithstanding any other provision of law, the
    26  secretary shall include in the uniform standards of eligibility
    27  to be prescribed under subsection (b) a provision that a
    28  household shall not be eligible for assistance under this act if
    29  it includes an able-bodied adult person between the ages of 18
    30  and 65 (except mothers or other members of the household who
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     1  have the responsibility of care of dependent children or of
     2  incapacitated adults, bona fide students in any accredited
     3  school or training program, or persons employed and working at
     4  least 30 hours per week) who either:
     5         (1)  fails to register for employment at a State or
     6     Federal employment office or, when impractical, at such other
     7     appropriate State or Federal office designated by the
     8     secretary; or
     9         (2)  has refused to accept employment or public work at
    10     not less than:
    11             (i)  the applicable State minimum wage;
    12             (ii)  the applicable Federal minimum wage;
    13             (iii)  the applicable wage established by a valid
    14         regulation of the State Government authorized by existing
    15         law to establish such regulations; or
    16             (iv)  one dollar thirty cents per hour if there is no
    17         applicable wage as described in subparagraph (i), (ii) or
    18         (iii). Refusal to work at a plant or site subject to a
    19         strike or a lockout for the duration of such strike or
    20         lockout shall not be deemed to be a refusal to accept
    21         employment.
    22  Section 6.  Issuance and use of coupons.
    23     (a)  Coupons shall be printed in such denominations as may be
    24  determined to be necessary and shall be issued only to
    25  households which have been duly certified as eligible to
    26  participate in the clothing stamp program.
    27     (b)  (1)  The secretary shall by regulation develop an
    28     appropriate procedure for determining and monitoring the
    29     level of coupon inventories in the hands of coupon vendors
    30     for the purpose of insuring that such inventories are at
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     1     proper levels (taking into consideration the historical and
     2     projected volume of coupon distribution by such vendors). Any
     3     such regulations shall contain procedures to insure that
     4     coupon inventories in the hands of coupon vendors are not in
     5     excess of the reasonable needs of such vendors taking into
     6     consideration the ease and feasibility of resupplying such
     7     coupon inventories. The secretary may, at his discretion,
     8     require periodic reports from such coupon vendors respecting
     9     the level of such inventories.
    10         (2)  Any coupon vendor, or any officer, employee or agent
    11     thereof, convicted of failing to provide a report required
    12     under paragraph (1) shall be fined not more than $3,000, or
    13     imprisoned not more than one year, or both.
    14         (3)  Any coupon vendor, or any officer, employee or agent
    15     thereof, who knowingly provides false information in any
    16     report required under paragraph (1) shall be fined not more
    17     than $10,000, or imprisoned not more than ten years, or both.
    18     (c)  (1)  The secretary shall by regulation prescribe
    19     appropriate procedures for the delivery of coupons to coupon
    20     vendors and for the custody, care, control and storage of
    21     coupons in the hands of coupon vendors in order to secure
    22     such coupons against theft, embezzlement, misuse, loss or
    23     destruction.
    24         (2)  Any coupon vendor, or any officer, employee or agent
    25     thereof, convicted of violating any regulation issued under
    26     paragraph (1) shall be fined not more than $3,000, or
    27     imprisoned not more than one year, or both.
    28     (d)  Coupons issued to eligible households shall be used by
    29  them only to purchase clothing in retail clothing stores which
    30  have been approved for participation in the clothing stamp
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     1  program at prices prevailing in such stores. Nothing in this act
     2  shall be construed as authorizing the secretary to specify the
     3  prices at which clothing may be sold by wholesale clothing
     4  concerns or retail clothing stores.
     5     (e)  Coupons issued to eligible households shall be simple in
     6  design and shall include only such words or illustrations as are
     7  required to explain their purpose and define their denomination.
     8  The name of any public official shall not appear on such
     9  coupons.
    10  Section 7.  Value of the coupon allotment and charges to be
    11              made.
    12     (a)  The face value of the coupon allotment which the
    13  department shall be authorized to issue to any households
    14  certified as eligible to participate in the clothing stamp
    15  program shall be in such amount as the secretary determines to
    16  be the cost of an adequate supply of clothing, adjusted
    17  semiannually by the nearest dollar increment that is a multiple
    18  of two to reflect changes in the prices of clothing published by
    19  the Bureau of Labor Statistics in the United States Department
    20  of Labor to be implemented commencing with the allotments of
    21  January 1, 1981, incorporating the changes in the prices of
    22  clothing through August 31, 1980, but in no event shall such
    23  adjustments be made for households of a given size unless the
    24  increase in the face value of the coupon allotment for such
    25  households, as calculated above, is a minimum of $2.
    26     (b)  Notwithstanding any other provision of law, households
    27  shall be charged for the coupon allotment issued to them, and
    28  the amount of such charge shall represent a reasonable
    29  investment on the part of the household, but in no event more
    30  than 30% of the household's income. Coupon allotments may be
    19810H1552B1814                  - 8 -

     1  issued without charge to households with income of less than $30
     2  per month for a family of four under standards of eligibility
     3  prescribed by the secretary. The secretary shall provide a
     4  reasonable opportunity for any eligible household to elect to be
     5  issued a coupon allotment having a face value which is less than
     6  the face value of the coupon allotment authorized to be issued
     7  to them under subsection (a). The charge to be paid by eligible
     8  households electing to exercise the option set forth in this
     9  subsection shall be an amount which bears the same ratio to the
    10  amount which would have been charged under this subsection as
    11  the face value of the coupon allotment actually issued to them
    12  bears to the face value of the coupon allotment that would have
    13  been issued to them under subsection (a).
    14     (c)  The value of the coupon allotment provided to any
    15  eligible household which is in excess of the amount charged such
    16  households for such allotment shall not be considered to be
    17  income or resources for any purpose under any Federal or State
    18  laws, including laws relating to taxation, welfare and public
    19  assistance programs.
    20     (d)  (1)  Funds derived from the charges made for the coupon
    21         allotment shall be promptly deposited in a manner
    22         prescribed in the regulations issued pursuant to this
    23         act, in a separate account maintained in the Treasury
    24         Department of the Commonwealth for such purpose. Such
    25         deposits shall be available without limitation to fiscal
    26         years, for the redemption of coupons.
    27         (2)  (i)  The secretary shall by regulation prescribe the
    28         manner in which funds derived from the distribution of
    29         coupons (charges made for coupon allotments) shall be
    30         deposited by coupon vendors. The regulations shall
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     1         contain provisions requiring that coupon vendors promptly
     2         deposit such funds in the manner prescribed by the
     3         secretary. Such regulations shall, at a minimum, require
     4         that such deposits be made weekly and that upon the
     5         accumulation of a balance on hand of $1,000 or more, such
     6         deposits be made within two banking days following the
     7         accumulation of such amount.
     8             (ii)  Any coupon vendor, or any officer, employee or
     9         agent thereof, convicted of violating the regulations
    10         issued under subparagraph (i) shall be fined not more
    11         than $3,000, or imprisoned not more than one year, or
    12         both.
    13         (3)  (i)  Coupon vendors receiving funds derived from the
    14         distribution of coupons (charges made for coupon
    15         allotments) shall be deemed to be receiving such funds as
    16         fiduciaries of the Commonwealth and such coupon vendors
    17         shall immediately set aside all such funds as funds of
    18         the Commonwealth. Funds derived from the distribution of
    19         coupons (charges made for coupon allotments) shall not be
    20         used, prior to the deposit of such funds in the manner
    21         prescribed by the secretary, for the benefit of any
    22         person, partnership, corporation, association,
    23         organization or entity other than the Commonwealth.
    24             (ii)  Any coupon vendor, or any officer, employee or
    25         agent thereof, convicted of violating subparagraph (i)
    26         shall be fined not more than $10,000, or a sum equal to
    27         the amount of funds involved in the violation, whichever
    28         is the greater, or imprisoned not more than ten years, or
    29         both; except that if the amount of such funds is less
    30         than $1,000, such vendor shall be fined not more than
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     1         $3,000, or imprisoned not more than one year, or both.
     2         (4)  (i)  The secretary shall by regulation require that
     3         upon the deposit, in the manner prescribed by the
     4         secretary, of funds derived from the distribution of
     5         coupons (charges made for coupon allotments), coupon
     6         vendors shall immediately send a written notice to the
     7         department, accompanied by an appropriate voucher,
     8         confirming such deposit. In addition to such other
     9         information deemed by the secretary to be appropriate,
    10         such regulations shall require that the notice contain:
    11                 (A)  the name and address of the coupon vendor;
    12                 (B)  the total receipts of such coupon vendor
    13             derived from the distribution of coupons (charges
    14             made for coupon allotments) during the deposit
    15             period;
    16                 (C)  the amount of the deposit;
    17                 (D)  the name and address of the depository; and
    18                 (E)  an oath, or affirmation signed by the coupon
    19             vendor, or in the case of a corporation or other
    20             entity not a natural person, by an appropriate
    21             official of the coupon vendor, certifying that the
    22             information contained in such notice is true and
    23             correct to the best of such person's knowledge and
    24             belief.
    25             (ii)  Any coupon vendor, or any officer, employee or
    26         agent thereof, convicted of failing to provide the notice
    27         required under subparagraph (i) shall be fined not more
    28         than $3,000, or imprisoned not more than one year, or
    29         both.
    30             (iii)  Any coupon vendor, or any officer, employee or
    19810H1552B1814                 - 11 -

     1         agent thereof, who knowingly provides false information
     2         in any notice required under subparagraph (i) shall be
     3         fined not more than $10,000, or imprisoned not more than
     4         ten years, or both.
     5         (5)  (i)  The secretary shall by regulation require each
     6         coupon vendor at intervals prescribed by the secretary,
     7         but not less often than monthly, to send to the
     8         secretary, or his designee, a written report of the
     9         vendor's operations during such period under the clothing
    10         stamp program. In addition to such other information
    11         deemed by the secretary to be appropriate, the
    12         regulations shall require that the report contain:
    13                 (A)  the name and address of the coupon vendor;
    14                 (B)  the total receipts of the coupon vendor
    15             derived from the distribution of coupons (charges
    16             made for coupon allotments) during the report period;
    17                 (C)  the total amount of deposits made by the
    18             vendor of funds derived from the distribution of
    19             coupons (charges made for coupon allotments) during
    20             such period;
    21                 (D)  the name and address of each depository
    22             receiving such funds from such vendor; and
    23                 (E)  an oath, or affirmation, signed by the
    24             coupon vendor, or in the case of a corporation or
    25             other entity not a natural person, by an appropriate
    26             official of the coupon vendor, certifying that the
    27             information contained in the report is true and
    28             correct to the best of such person's knowledge and
    29             belief.
    30             (ii)  Any coupon vendor, or any officer, employee or
    19810H1552B1814                 - 12 -

     1         agent thereof, convicted of failing to provide any notice
     2         required under subparagraph (i) shall be fined not more
     3         than $3,000, or imprisoned not more than one year, or
     4         both.
     5             (iii)  Any coupon vendor, or any officer, employee or
     6         agent thereof, who knowingly provides false information
     7         in any notice required under subparagraph (i) shall be
     8         fined not more than $10,000, or imprisoned not more than
     9         ten years, or both.
    10             (iv)  The department shall make periodic reports
    11         containing a consolidation of the respective coupon
    12         vendor's notices at such intervals as the secretary in
    13         his discretion deems appropriate.
    14  Section 8.  Approval of retail clothing stores and wholesale
    15              clothing concerns.
    16     (a)  Regulations issued pursuant to this act shall provide
    17  for the submission of applications for approval by retail
    18  clothing stores and wholesale clothing concerns which desire to
    19  be authorized to accept and redeem coupons under the clothing
    20  stamp program and for the approval of those applicants whose
    21  participation will effectuate the purposes of the clothing stamp
    22  program. In determining the qualifications of applicants there
    23  shall be considered, among such other factors as may be
    24  appropriate, the following:
    25         (1)  the nature and extent of the retail or wholesale
    26     clothing business conducted by the applicant;
    27         (2)  the volume of coupon business which may reasonably
    28     be expected to be conducted by the applicant retail clothing
    29     store or wholesale clothing concern; and
    30         (3)  the business integrity and reputation of the
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     1     applicant. Approval of an applicant shall be evidenced by the
     2     issuance to such applicant of a nontransferable certificate
     3     of approval.
     4     (b)  Regulations issued pursuant to this act shall require an
     5  applicant retail clothing store or wholesale clothing concern to
     6  submit information which will permit a determination to be made
     7  as to whether such applicant qualifies, or continues to qualify,
     8  for approval under the provisions of this act and the
     9  regulations issued pursuant to this act. Regulations issued
    10  pursuant to this act shall provide for safeguards which restrict
    11  the use or disclosure of information obtained under the
    12  authority granted by this subsection to purposes directly
    13  connected with administration and enforcement of the provisions
    14  of this act or the regulations issued pursuant to this act.
    15     (c)  Any retail clothing store or wholesale clothing concern
    16  which has failed upon application to receive approval to
    17  participate in the clothing stamp program may obtain a hearing
    18  on such refusal as provided in section 13.
    19  Section 9.  Redemption of coupons.
    20     Regulations issued pursuant to this act shall provide for the
    21  redemption of coupons accepted by retail clothing stores through
    22  approved wholesale clothing concerns or through banks with the
    23  cooperation of the Treasury Department.
    24  Section 10.  Administration.
    25     (a)  All practicable efforts shall be made in the
    26  administration of the clothing stamp program to assure that
    27  participants use their increased clothing purchasing power to
    28  obtain the clothing most necessary for an adequate supply of
    29  clothing and particularly to encourage the continued use of
    30  clothing which is in abundant or surplus supply. In addition to
    19810H1552B1814                 - 14 -

     1  such steps as may be taken administratively, the voluntary
     2  cooperation of existing Federal, State and local and private
     3  agencies which carry out informational and educational programs
     4  for consumers shall be enlisted.
     5     (b)  The department shall assume responsibility for the
     6  certification of applicant households and for the issuance of
     7  coupons. There shall be kept such records as may be necessary to
     8  ascertain whether the program is being conducted in compliance
     9  with the provisions of this act and the regulations issued
    10  pursuant to this act. Such records shall be available for
    11  inspection and audit at any reasonable time and shall be
    12  preserved for such period of time, not in excess of three years,
    13  as may be specified in the regulations.
    14     (c)  Certification of a household as eligible in any
    15  political subdivision shall, in the event of removal of such
    16  household to another political subdivision in which the clothing
    17  stamp program is operating, remain valid for participation in
    18  the clothing stamp program for a period of 60 days from the date
    19  of such removal. In the certification of applicant households
    20  for the clothing stamp program, there shall be no discrimination
    21  against any household by reason of race, religious creed,
    22  national origin or political beliefs.
    23     (d)  Participating political subdivisions thereof shall not
    24  decrease welfare grants or other similar aid extended to any
    25  person or persons as a consequence of such person's or persons'
    26  participation in benefits made available under the provisions of
    27  this act or the regulations issued pursuant to this act.
    28     (e)  The department shall implement the secretary's plan of
    29  operation specifying the manner in which such program will be
    30  conducted within the Commonwealth, the political subdivisions
    19810H1552B1814                 - 15 -

     1  within the Commonwealth in which the Commonwealth desires to
     2  conduct the program and the effective dates of participation by
     3  each such political subdivision. In addition, such plan of
     4  operation shall provide, among such other provisions as may by
     5  regulations be required, the following:
     6         (1)  the specific standards to be used in determining the
     7     eligibility of applicant households;
     8         (2)  that the department shall undertake the
     9     certification of applicant households in accordance with the
    10     general procedures and personnel standards prescribed by the
    11     secretary in the regulations issued pursuant to this act;
    12         (3)  safeguards which restrict the use or disclosure of
    13     information obtained from applicant households to persons
    14     directly connected with the administration or enforcement of
    15     the provisions of this act or the regulation issued pursuant
    16     to this act;
    17         (4)  for the submission of such reports and other
    18     information as from time to time may be required;
    19         (5)  that the department shall undertake effective
    20     action, including the use of services provided by other
    21     Federally funded agencies and organizations, to inform low-
    22     income households concerning the availability and benefits of
    23     the clothing stamp program and to assure the participation of
    24     eligible households;
    25         (6)  issuance of coupon allotments no less often than two
    26     times per month; and
    27         (7)  for the granting of a fair hearing and a prompt
    28     determination thereafter to any household aggrieved by the
    29     action of the department under any provision of its plan of
    30     operation as it effects the participation of such household
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     1     in the clothing stamp program.
     2  In approving the participation of the political subdivisions
     3  requested in its plan of operation, the secretary shall provide
     4  for an equitable and orderly expansion in accordance with their
     5  relative need and readiness to meet their requested effective
     6  dates of participation. The department shall make such State
     7  plan operable by January 1, 1982.
     8  Section 11.  Disqualification of retail clothing stores and
     9               wholesale clothing concerns.
    10     Any approved retail clothing store or wholesale clothing
    11  concern may be disqualified from further participation in the
    12  clothing stamp program on a finding, made as specified in the
    13  regulations, that such store or concern has violated any of the
    14  provisions of this act, or of the regulations issued pursuant to
    15  this act. Such disqualification shall be for such period of time
    16  as may be determined in accordance with regulations issued
    17  pursuant to this act. The action of disqualification shall be
    18  subject to review as provided in section 13.
    19  Section 12.  Determination and disposition of claims.
    20     The secretary shall have the power to determine the amount of
    21  and settle and adjust any claim and to compromise or deny all or
    22  part of any such claim or claims arising under the provisions of
    23  this act or the regulations issued pursuant to this act.
    24  Section 13.  Administrative and judicial review.
    25     Whenever:
    26         (1)  an application of a retail clothing store or
    27     wholesale clothing concern to participate in the clothing
    28     stamp program is denied;
    29         (2)  a retail clothing store or a wholesale clothing
    30     concern is disqualified under the provisions of section 11;
    19810H1552B1814                 - 17 -

     1     or
     2         (3)  all or part of any claim of a retail clothing store
     3     or wholesale clothing concern is denied under the provisions
     4     of section 12;
     5  notice of such administrative action shall be issued to the
     6  retail clothing store or wholesale clothing concern involved.
     7  Such notice shall be delivered by certified mail or personal
     8  service. If such store or concern is aggrieved by such action,
     9  it may, in accordance with regulations promulgated under this
    10  act, within ten days of the date of delivery of such notice,
    11  file a written request for an opportunity to submit the
    12  information in support of its position to such person or persons
    13  as the regulations may designate. If such a request is not made
    14  or if such store or concern fails to submit information in
    15  support of its position after filing a request, the
    16  administrative determination shall be final. If such a request
    17  is made by such store or concern, such information as may be
    18  submitted by the store or concern, as well as such other
    19  information as may be available, shall be reviewed by the person
    20  or persons designated, who shall, subject to the right of
    21  judicial review hereinafter provided, make a determination which
    22  shall be final and which shall take effect 15 days after the
    23  date of the delivery or service of such final notice of
    24  determination. If the store or concern suffers a legal wrong as
    25  a result of, or is adversely affected or aggrieved by, such
    26  final determination it may obtain judicial review thereof by
    27  filing a complaint against the Commonwealth in the court of
    28  common pleas in which it is engaged in business, or in any court
    29  of record of the Commonwealth having competent jurisdiction,
    30  within 30 days after the date of delivery or service of the
    19810H1552B1814                 - 18 -

     1  final notice of determination upon it, requesting the court to
     2  set aside such determination. The copy of the summons and
     3  complaint required to be delivered to the official or agency
     4  whose order is being attacked shall be sent to the secretary or
     5  such person or persons as he may designate to receive service of
     6  process. The suit in the court of common pleas shall be a trial
     7  de novo by the court in which the court shall determine the
     8  validity of the questioned administrative action in issue. If
     9  the court determines that such administrative action is invalid,
    10  it shall enter such judgment or order as it determines is in
    11  accordance with the law and the evidence. During the pendency of
    12  such judicial review, or any appeal therefrom, the
    13  administrative action under review shall be and remain in full
    14  force and effect, unless an application to the court on not less
    15  than ten days' notice, and after hearing thereon and a showing
    16  of irreparable injury, the court temporarily stays such
    17  administrative action pending disposition of such trial or
    18  appeal.
    19  Section 14.  Violations and enforcement.
    20     (a)  Notwithstanding any other provisions of this act, the
    21  secretary may provide for the purchase, issuance or presentment
    22  for redemption of coupons to such person or persons, and at such
    23  times and in such manner, as he deems necessary or appropriate
    24  to protect the interests of the Commonwealth or to insure
    25  enforcement of the provisions of this act or the regulations
    26  issued pursuant to this act.
    27     (b)  Whoever knowingly uses, transfers, acquires, alters or
    28  possesses coupons or authorization to purchase cards in any
    29  manner not authorized by this act or the regulations issued
    30  pursuant to this act shall, if such coupons or authorization to
    19810H1552B1814                 - 19 -

     1  purchase cards are of the value of $100 or more, be guilty of a
     2  felony and shall, upon conviction thereof, be fined not more
     3  than $10,000 or imprisoned for not more than five years or both,
     4  or, if such coupons or authorization to purchase cards are of a
     5  value of less than $100, shall be guilty of a misdemeanor and
     6  shall, upon conviction thereof, be fined not more than $5,000 or
     7  imprisoned for not more than one year, or both.
     8     (c)  Whoever presents, or causes to be presented, coupons for
     9  payment or redemption of the value of $100 or more, knowing the
    10  same to have been received, transferred or used in any manner in
    11  violation of the provisions of this act or the regulations
    12  issued pursuant to this act shall be guilty of a felony and
    13  shall, upon conviction thereof, be fined not more than $10,000
    14  or imprisoned for not more than five years, or both, or, if such
    15  coupons are of a value of less than $100, shall be guilty of a
    16  misdemeanor and shall, upon conviction thereof, be fined not
    17  more than $5,000 or imprisoned for not more than one year, or
    18  both.
    19     (d)  Coupons issued pursuant to this act shall be deemed to
    20  be obligations of the Commonwealth.
    21  Section 15.  Appropriation.
    22     (a)  The sum of $10,000,000 is hereby appropriated to carry
    23  out the provisions of this act for the fiscal year 1981-1982.
    24     (b)  Sums appropriated under the provisions of this act
    25  shall, notwithstanding the provisions of any other law, continue
    26  to remain available until expended. Such portion of any such
    27  appropriation as may be required to pay for the value of the
    28  coupon allotments issued to eligible households which is in
    29  excess of the charges paid by such households for such
    30  allotments shall be transferred to and made a part of the
    19810H1552B1814                 - 20 -

     1  separate account created under section 7(d). This act shall be
     2  carried out only with funds appropriated from the General Fund
     3  of the Treasury Department for that specific purpose, and in no
     4  event shall it be carried out with funds derived from permanent
     5  appropriations. On or before January 20 of each year, the
     6  secretary shall submit to the General Assembly a report setting
     7  forth operations under this act during the preceding calendar
     8  year and projecting needs for the ensuing calendar year.
     9     (c)  In any fiscal year, the secretary shall limit the value
    10  of those coupons issued which is in excess of the value of
    11  coupons for which households are charged, to an amount which is
    12  not in excess of the portion of the appropriation for such
    13  fiscal year which is transferred to the separate account under
    14  the provisions of subsection (b). If in any fiscal year the
    15  secretary finds that the requirements of the program will exceed
    16  the limitation set forth herein, the secretary shall direct the
    17  department to reduce the amount of such coupons to be issued to
    18  participating households to the extent necessary to comply with
    19  the provisions of this subsection.
    20     (d)  If the secretary determines that any of the funds in the
    21  separate account created under section 7(d) are no longer
    22  required to carry out the provisions of this act, such portion
    23  of such funds shall be paid into the miscellaneous receipts of
    24  the Treasury Department.
    25  Section 16.  Effective date.
    26     This act shall take effect immediately.



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