PRINTER'S NO. 166
No. 152 Session of 2003
INTRODUCED BY SOLOBAY, ARGALL, BEBKO-JONES, BELARDI, BELFANTI, CAWLEY, COSTA, CRAHALLA, CRUZ, DALEY, DeWEESE, FLEAGLE, GOODMAN, GRUCELA, HERMAN, HORSEY, KELLER, LAUGHLIN, LESCOVITZ, MANDERINO, MARKOSEK, S. MILLER, PETRONE, SAYLOR, STABACK, THOMAS, WALKO, BUNT, CORRIGAN, COY, CREIGHTON, CURRY, DALLY, EACHUS, GEORGE, GORDNER, HARHAI, HESS, HUTCHINSON, KIRKLAND, LEH, LEVDANSKY, MANN, McILHATTAN, PALLONE, ROBERTS, SHANER, TANGRETTI, TRAVAGLIO, WASHINGTON, WOJNAROSKI, McCALL AND YOUNGBLOOD, FEBRUARY 6, 2003
REFERRED TO COMMITTEE ON FINANCE, FEBRUARY 6, 2003
AN ACT 1 Amending the act of December 18, 1984 (P.L.1005, No.205), 2 entitled "An act mandating actuarial funding standards for 3 all municipal pension systems; establishing a recovery 4 program for municipal pension systems determined to be 5 financially distressed; providing for the distribution of the 6 tax on the premiums of foreign fire insurance companies; and 7 making repeals," further providing for the distribution 8 formula of the foreign fire insurance tax. 9 The General Assembly of the Commonwealth of Pennsylvania 10 hereby enacts as follows: 11 Section 1. Section 704 of the act of December 18, 1984 12 (P.L.1005, No.205), known as the Municipal Pension Plan Funding 13 Standard and Recovery Act, is amended to read: 14 Section 704. Distribution formula. 15 (a) General rule.--Except as provided in subsection (b) and 16 section 705, the amount to be paid to each municipality shall be 17 determined as follows:
1 (1) fifty percent of the fund shall be distributed based 2 on the population of each municipality in proportion to the 3 population of the entire Commonwealth, based upon the latest 4 national population census as reported by the United States 5 Bureau of Census; and 6 (2) fifty percent of the fund shall be distributed based 7 on the market value of real estate of each municipality in 8 proportion to the market value of real estate for the entire 9 Commonwealth, based upon the most recent statistics from the 10 State Tax Equalization Board. 11 (b) Minimum distribution.--Each municipality shall receive 12 the minimum sum of $10,000. In order to provide a minimum sum 13 for each municipality, money shall be obtained as follows: 14 (1) The State Treasurer, before making payment to a 15 particular municipality, shall deduct a specific sum from a 16 sliding scale determined by the Auditor General from any 17 money which a particular municipality is expected to receive 18 for the year which exceeds $100,000. 19 (2) A relief association of a fire department or 20 departments or a fire company or companies which has over 21 $1,000,000 in funds which were obtained pursuant to this 22 chapter, not including any interest which may have accrued on 23 the funds, will forfeit any payment under this chapter until 24 the amount of funding it holds, not including any interest 25 which has accrued, drops below $1,000,000. Relief 26 associations which have over $1,000,000 in funds which were 27 obtained pursuant to this chapter, not including any interest 28 that may have accrued on the funds, shall annually certify 29 that fact to the Auditor General. Any relief association 30 failing to do so or falsifying the amount of funds it holds 20030H0152B0166 - 2 -
1 shall forfeit payments under this act for a period of five 2 years. 3 Section 2. This act shall take effect in 60 days. A3L72RZ/20030H0152B0166 - 3 -