THE GENERAL ASSEMBLY OF PENNSYLVANIA

SENATE BILL

INTRODUCED BY WOZNIAK, FONTANA, WAUGH, SOLOBAY, BROWNE, BREWSTER, BOSCOLA, MENSCH AND FERLO, NOVEMBER 10, 2011

REFERRED TO FINANCE, NOVEMBER 10, 2011  

AN ACT

Establishing the Real Rainy Day Fund; and providing for the

deposit of a portion of the liquor tax into the fund and for

use of fund.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Short title.

This act shall be known and may be cited as the Real Rainy

Day Fund Act.

Section 2.  Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Disaster emergency."  As defined in 35 Pa.C.S. § 7102

(relating to definitions).

"Fund."  The Real Rainy Day Fund established in section 3.

"Liquor tax."  The tax imposed in accordance with the act of

June 9, 1936 (1st Sp.Sess., P.L.13, No.4), entitled "An act

imposing an emergency State tax on liquor, as herein defined,

sold by the Pennsylvania Liquor Control Board; providing for the

collection and payment of such tax; and imposing duties upon the

Department of Revenue and the Pennsylvania Liquor Control

Board."

"Liquor tax rate."  The rate of tax imposed pursuant to

section 2 of the act of June 9, 1936 (1st Sp.Sess., P.L.13,

No.4), entitled "An act imposing an emergency State tax on

liquor, as herein defined, sold by the Pennsylvania Liquor

Control Board; providing for the collection and payment of such

tax; and imposing duties upon the Department of Revenue and the

Pennsylvania Liquor Control Board."

Section 3.  Real Rainy Day Fund.

The Real Rainy Day Fund is established as a special fund in

the State Treasury. The moneys of the fund are hereby

appropriated on a continuing basis to carry out the provisions

of this act.

Section 4.  Deposit of liquor tax.

Notwithstanding section 2 of the act of June 9, 1936 (1st

Sp.Sess., P.L.13, No.4), entitled "An act imposing an emergency

State tax on liquor, as herein defined, sold by the Pennsylvania

Liquor Control Board; providing for the collection and payment

of such tax; and imposing duties upon the Department of Revenue

and the Pennsylvania Liquor Control Board," all revenues

received by the Commonwealth pursuant to the imposition of the

liquor tax shall be deposited by the Department of Revenue as

follows:

(1)  The revenues derived from the first 20% of the

liquor tax rate shall be deposited in the fund.

(2)  The remainder shall be deposited in the General

Fund.

Section 5.  Use of fund.

(a)  Annual report.--The Governor shall report on the fund in

the annual budget which shall include the amounts allocated

under this section.

(b)  Allocations.--

(1)  The first $250,000,000 deposited in the fund during

a fiscal year may be used by the Governor for providing

disaster relief grants or loans to the citizens of this

Commonwealth who sustained property damage as a result of a

disaster emergency for which the Governor issued an executive

order or declaration under 35 Pa.C.S. § 7301 (relating to

general authority of Governor).

(2)  Any moneys deposited in the fund or interest that

accrues in the fund during a fiscal year in excess of the

first $250,000,000 deposited in the fund, may be used by the

Governor to repair roads and bridges that failed their most

recent inspection by the Department of Transportation of the

Commonwealth.

(3)  Notwithstanding the provisions of paragraphs (1) and

(2) and subject to subsection (c), the moneys of the fund may

be used for such other purposes as provided by law.

(c)  Appropriations for other purposes.--

(1)  Whenever the Governor determines that an

appropriation from the fund is necessary to meet emergencies

involving the health, safety or welfare of the residents of

this Commonwealth or to counterbalance downturns of the

economy which result in significant unanticipated revenue

shortfalls, the Governor shall present a request for an

appropriation along with the specifics of the proposal and

suggested ancillary and substantive legislation as may be

necessary to the chairman of the Appropriations Committee of

the Senate and the chairman of the Appropriations Committee

of the House of Representatives.

(2)  The General Assembly may then through approval of a

separate appropriation bill by a vote of two-thirds of the

members elected to the Senate and the House of

Representatives appropriate money from the fund to meet the

needs identified in the Governor's proposal.

(3)  Any money appropriated according to this subsection

which has then lapsed shall be returned to the fund, subject

to the provisions of subsection (d).

(d)  Transfer to General Fund.--Any balance in the fund which

remains unallocated after the application of subsection (b)

shall be transferred to the General Fund on or before June 30 of

each fiscal year.

Section 6.  Repeals.

All acts and parts of acts are repealed insofar as they are

inconsistent with this act.

Section 7.  Applicability.

This act shall apply to the fiscal year beginning after the

effective date of this section and to each fiscal year

thereafter.

Section 8.  Effective date.

This act shall take effect immediately.