PRINTER'S NO. 17
No. 13 Session of 1985
INTRODUCED BY SAURMAN, BUNT, HALUSKA, BOWSER, CIMINI, WOGAN,
REBER, HAGARTY, E. Z. TAYLOR, HERSHEY, FISCHER, TRUMAN,
SEMMEL, CORNELL, BOOK, JOHNSON, ITKIN, SIRIANNI, OLASZ,
NAHILL, HERMAN, J. L. WRIGHT, FLICK, BATTISTO AND WESTON,
JANUARY 23, 1985
REFERRED TO COMMITTEE ON FINANCE, JANUARY 23, 1985
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 distribution of funds; and making
8 editorial changes.
9 The General Assembly of the Commonwealth of Pennsylvania
10 hereby enacts as follows:
11 Section 1. Sections 2, 6(a)(11) and 12 of the act of August
12 26, 1971 (P.L.351, No.91), known as the State Lottery Law,
13 amended October 17, 1980 (P.L.1088, No.184), are amended to
14 read:
15 Section 2. Statement of Purpose.--This act is enacted to
16 establish a lottery to be operated by the State, the net
17 proceeds of which are to be used after June 30, 1972 for the
18 purposes of providing property tax relief for the elderly for
19 taxes paid in 1971 and thereafter to persons sixty-five years of
1 age or older [and], for providing certain free fixed route local
2 transit services to persons sixty-five years of age or older and
3 reduced fare on group ride transit service to persons sixty-five
4 years of age or older and for providing a loan program for
5 certain persons. It is further intended to provide a means
6 through which to curb illegal gambling operations in
7 Pennsylvania.
8 Section 6. Powers and Duties of the Secretary of Revenue.--
9 (a) In addition to the powers and duties provided by law and
10 "The Administrative Code of 1929," the Secretary of Revenue
11 shall have the power and it shall be his duty to operate and
12 administer the lottery, and to promulgate rules and regulations
13 governing the establishment and operation thereof, including but
14 not limited to:
15 * * *
16 (11) The apportionment of the total revenues accruing from
17 the sale of lottery tickets or shares and from all other sources
18 among (i) the payment of prizes to the holders of winning
19 tickets or shares; (ii) the payment of costs incurred in the
20 operation and administration of the lottery, including the
21 expenses of the division and the costs resulting from any
22 contract or contracts entered into for promotional, advertising
23 or operational services or for the purchase or lease of lottery
24 equipment and materials; (iii) for the repayment of the moneys
25 appropriated to the State Lottery Fund pursuant to section 16 of
26 this act; and (iv) for property tax relief [and], free or
27 reduced fare transit service for the elderly and for providing a
28 loan program for certain persons as provided in section 12 of
29 this act: Provided, however, That no less than thirty per cent
30 of the total revenues accruing from the sale of lottery tickets
19850H0013B0017 - 2 -
1 or shares shall be dedicated to subclause (iv) above.
2 * * *
3 Section 12. Disposition of Funds from Sale of Tickets or
4 Shares.--(a) All moneys received from the operation of the
5 State lottery shall be deposited in a State Lottery Fund which
6 is hereby created. Such moneys shall be used to the extent
7 necessary for the payment of lottery prizes but the amount so
8 used shall not be less than forty per cent of the amount of
9 which tickets or shares have been sold. All payments of lottery
10 prizes and for expenses of operation of the lottery shall be
11 made as provided by law. All moneys remaining after payment of
12 prizes and operating expenses shall remain in the State Lottery
13 Fund and shall be allocated for the purpose of providing
14 property tax relief for the elderly for taxes paid in 1971 and
15 thereafter pursuant to the provisions of the act of March 11,
16 1971 (P.L.104, No.3), known as the "Senior Citizens [Property
17 Tax or Rent] Rebate and [Older Persons Inflation Needs]
18 Assistance Act," [and] for the purpose of providing free or
19 reduced fare transit service for the elderly pursuant to the act
20 of January 22, 1968 (P.L.42, No.8), known as the "Pennsylvania
21 Urban Mass Transportation [Assistance] Law [of 1967]," and the
22 act of February 11, 1976 (P.L.14, No.10), known as the
23 "Pennsylvania Rural and Intercity Common Carrier Surface
24 Transportation Assistance Act," and for providing a loan program
25 for certain persons pursuant to the act of (P.L. ,
26 No. ), known as the "Senior Citizens Revolving Relief Fund
27 Act." In the event sufficient funds are not available from the
28 lottery receipts to meet the requirements of the act of March
29 11, 1971 (P.L.104, No.3), known as the "Senior Citizens
30 [Property Tax or Rent] Rebate and [Older Persons Inflation
19850H0013B0017 - 3 -
1 Needs] Assistance Act," or for providing free or reduced fare
2 transit service for the elderly under the act of January 22,
3 1968 (P.L.42, No.8), known as the "Pennsylvania Urban Mass
4 Transportation [Assistance] Law [of 1967]," and the act of
5 February 11, 1976 (P.L.14, No.10), known as the "Pennsylvania
6 Rural and Intercity Common Carrier Surface Transportation
7 Assistance Act," additional funds to fulfill these obligations,
8 shall be appropriated from the General Fund for this purpose.
9 (b) The moneys in said State Lottery Fund shall be
10 appropriated only:
11 (1) For the payment of prizes to the holders of winning
12 lottery tickets or shares;
13 (2) For the expenses of the division in its operation of the
14 lottery;
15 (3) For property tax relief [and], free or reduced fare
16 transit service for the elderly and a loan program for certain
17 persons as provided under section 12 of this act; and
18 (4) For transfer to the General Fund through June 30, 1972,
19 and for the repayment to the General Fund of the amount
20 appropriated to the fund pursuant to section 16 of this act.
21 Section 2. This act shall take effect in 60 days.
L13L72WMB/19850H0013B0017 - 4 -