PRINTER'S NO. 170

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 156 Session of 1985


        INTRODUCED BY FARGO, TRELLO, WILSON, BIRMELIN, MERRY, DISTLER,
           HERMAN, REINARD, HALUSKA, BOOK, GREENWOOD, J. L. WRIGHT,
           BURNS, ARGALL, PERZEL, POTT, JOHNSON, GODSHALL, LASHINGER,
           PUNT, LANGTRY, CORNELL AND MICOZZIE, FEBRUARY 4, 1985

        REFERRED TO COMMITTEE ON APPROPRIATIONS, FEBRUARY 4, 1985

                                     AN ACT

     1  Amending the act of April 9, 1929 (P.L.177, No.175), entitled
     2     "An act providing for and reorganizing the conduct of the
     3     executive and administrative work of the Commonwealth by the
     4     Executive Department thereof and the administrative
     5     departments, boards, commissions, and officers thereof,
     6     including the boards of trustees of State Normal Schools, or
     7     Teachers Colleges; abolishing, creating, reorganizing or
     8     authorizing the reorganization of certain administrative
     9     departments, boards, and commissions; defining the powers and
    10     duties of the Governor and other executive and administrative
    11     officers, and of the several administrative departments,
    12     boards, commissions, and officers; fixing the salaries of the
    13     Governor, Lieutenant Governor, and certain other executive
    14     and administrative officers; providing for the appointment of
    15     certain administrative officers, and of all deputies and
    16     other assistants and employes in certain departments, boards,
    17     and commissions; and prescribing the manner in which the
    18     number and compensation of the deputies and all other
    19     assistants and employes of certain departments, boards and
    20     commissions shall be determined," providing for the creation,
    21     operation and administration of a Budget Reserve Account.

    22     The General Assembly of the Commonwealth of Pennsylvania
    23  hereby enacts as follows:
    24     Section 1.  Sections 613(1) and 619(a) of the act of April 9,
    25  1929 (P.L.177, No.175), known as The Administrative Code of
    26  1929, added September 27, 1978 (P.L.775, No.149), are amended to


     1  read:
     2     Section 613.  Submission of Budget to General Assembly.--As
     3  soon as possible after the organization of the General Assembly,
     4  but not later than the first full week in February of each year,
     5  except in the case where a Governor has been elected for his
     6  first term of office and then no later than the first full week
     7  in March, the Governor shall submit to the General Assembly
     8  copies of agency budget requests and a State budget and program
     9  and financial plan embracing:
    10     (1)  A balanced operating budget for the ensuing fiscal year
    11  setting forth in detail:
    12     (i)  The amounts recommended by him to be appropriated to the
    13  General Assembly, the Judicial Department, the Governor, and the
    14  several administrative departments, boards, and commissions of
    15  the State Government, and to institutions within the State, and
    16  for all public purposes, classified by department or agency and
    17  by program.
    18     (ii)  The estimated revenues or receipts from any and all
    19  sources, and an estimated amount to be raised by taxation or
    20  otherwise, including proposals for new revenues and receipts.
    21     (iii)  The estimated unencumbered funds remaining at the end
    22  of the current fiscal year which are to be deposited into the
    23  Budget Reserve Account.
    24     * * *
    25     Section 619.  Transmission of Budget Information to the
    26  General Assembly.--(a)  In December of each year, the Governor
    27  shall meet with the Majority and Minority Chairmen of the
    28  Appropriations Committees and the officers of the General
    29  Assembly to brief the legislative leadership on the issues he
    30  can foresee as being imminent in the budget for the next fiscal
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     1  year and exchange views with them on issues on the budget before
     2  it is formally submitted to the General Assembly. The Governor's
     3  briefing shall include:
     4     (1)  Major anticipated increases or decreases in programs.
     5     (2)  The results or anticipated results of employee union
     6  negotiations for salaries, wages and other benefits.
     7     (3)  The statistics involved in preliminary forecasts of the
     8  major programs mandated by statute such as education subsidies,
     9  all public assistance programs, debt service and forecasts of
    10  revenue.
    11     (4)  The amount of the Budget Reserve Account at the end of
    12  the preceding fiscal year.
    13     (5)  Other appropriate budget information.
    14  The legislative officers shall also inform the Governor of
    15  financial matters which should be considered in the budget.
    16     * * *
    17     Section 2.  The act is amended by adding a section to read:
    18     Section 622.  Budget Reserve Account.--(a)  There is
    19  established within the General Fund a restricted account to be
    20  known as the Budget Reserve Account. The funds for the Budget
    21  Reserve Account shall come from the estimated General Fund
    22  surplus existing at the end of each fiscal year after deducting
    23  tax anticipation notes or bonds, estimated and actual
    24  encumbrances and estimated and actual continuing appropriation
    25  amounts necessary for the current fiscal year. In no
    26  circumstances shall the amount to be deposited in the Budget
    27  Reserve Account exceed five percentum (5%) of the total revenues
    28  raised for the General Fund.
    29     (b)  Any or all of the funds in the Budget Reserve Account
    30  may be appropriated from time to time by the General Assembly in
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     1  the event of emergencies involving the health, safety or welfare
     2  of the citizens of Pennsylvania. Any appropriation from the
     3  Budget Reserve Account shall require approval by a vote of two-
     4  thirds of the members elected to each house of the General
     5  Assembly.
     6     Section 2.  This act shall take effect in 60 days.
















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