PRIOR PRINTER'S NO. 2510 PRINTER'S NO. 3092
No. 2021 Session of 1995
INTRODUCED BY SATHER, MERRY, PISTELLA, HENNESSEY, WOZNIAK,
PETTIT, GORDNER, GEIST, SEMMEL, GODSHALL, STERN,
E. Z. TAYLOR, MILLER, BAKER, SAYLOR, MAITLAND, STEIL,
MICOZZIE, TRELLO, BOSCOLA, ROBINSON AND RUBLEY,
SEPTEMBER 25, 1995
AS REPORTED FROM COMMITTEE ON LOCAL GOVERNMENT, HOUSE OF
REPRESENTATIVES, AS AMENDED, FEBRUARY 6, 1996
AN ACT
1 Amending the act of August 9, 1955 (P.L.323, No.130), entitled
2 "An act relating to counties of the third, fourth, fifth,
3 sixth, seventh and eighth classes; amending, revising,
4 consolidating and changing the laws relating thereto,"
5 further providing for taking money and property by gift, for
6 creation of a capital reserve fund, for the operating reserve
7 fund, for billing and collecting by the county treasurer, for
8 functions of the controller, for custody of documents, for
9 books of fiscal affairs, for settlement of accounts, for
10 audit of accounts, for claims against a county, for reports
11 to commissioners, for fees of witnesses and jurors, for
12 receipts and accounts of money due a county, for preparation
13 of proposed annual budget, for amending budgets, for levies,
14 for tax rates, for appropriations, for filing the budget, for
15 notice and for the preparation of uniform forms; and
16 providing for refusal to submit to examination and for the
17 procedure for approval.
18 The General Assembly of the Commonwealth of Pennsylvania
19 hereby enacts as follows:
20 Section 1. Sections 510, 512 and 513 of the act of August 9,
21 1955 (P.L.323, No.130), known as The County Code, are repealed.
22 Section 2. Section 1701.1 of the act, amended June 25, 1968
23 (P.L.257, No.121), and December 13, 1982 (P.L.1205, No.276), is
1 amended to read:
2 Section 1701.1. Billing and Collection of Third, Fourth,
3 Fifth, Sixth, Seventh and Eighth Class County Taxes.--(a) The
4 county commissioners of each county of the third, fourth, fifth,
5 sixth, seventh and eighth class may, by resolution, provide for
6 the billing and collecting by the county treasurer of all county
7 and county institution district taxes levied within a third
8 class city by the authorities empowered to levy such taxes.
9 (a.1) The county commissioners of each county of the third,
10 fourth, fifth, sixth, seventh and eighth class may, by
11 resolution, provide for the billing and collection of all county
12 taxes in municipalities existing or organized under the act of
13 April 13, 1972 (P.L.184, No.62), known as the "Home Rule Charter
14 and Optional Plans Law," that have eliminated the elective
15 office of tax collector, by the authorities empowered to levy
16 such taxes.
17 (b) In counties of the third, fourth, fifth, sixth, seventh
18 and eighth class [in which] the county commissioners may
19 provide, by resolution, for the billing and collection of all
20 county and county institution district taxes [levied in third
21 class cities, the]. The county commissioners shall have the
22 power and authority by resolution, to vest in the county
23 treasurer the duties and responsibilities of billing and
24 collecting county and county institution district taxes. SUCH <--
25 RESOLUTION SHALL BE ADOPTED BY THE COUNTY NO LATER THAN THE
26 FIRST DAY FOR THE CIRCULATION OF NOMINATION PETITIONS FOR THE
27 OFFICE OF TAX COLLECTOR WITHIN THE COUNTY AND SHALL TAKE EFFECT
28 UPON THE FIRST DAY OF THE NEXT SUCCEEDING TERM OF OFFICE OF TAX
29 COLLECTOR FOLLOWING ADOPTION OF THE RESOLUTION.
30 (b.1) In counties of the THIRD, fourth, fifth, sixth, <--
19950H2021B3092 - 2 -
1 seventh and eighth class in which the county commissioners
2 provide, by resolution, for the billing and collection of all
3 county taxes levied in municipalities existing and organized
4 under the "Home Rule Charter and Optional Plans Law," that have
5 eliminated the elective office of tax collector, the county
6 commissioners shall have the power and authority, by resolution,
7 to vest in the county treasurer the duties and responsibilities
8 of billing and collecting county taxes.
9 (c) The county commissioners may appoint such other employes
10 as may be necessary to carry out the provisions of this section.
11 (d) The compensation of personnel and other expenses of
12 billing and collecting county and institution district taxes
13 pursuant to this section shall be paid out of the general fund
14 in the county treasury. The compensation and number of such
15 employes other than the county treasurer shall be governed by
16 the provisions of this act relating to the county salary board.
17 If the county treasurer is designated as the collector of the
18 county and county institution district taxes he shall not
19 receive added compensation for performing such functions.
20 (e) The treasurer shall be governed by the provisions of the
21 act of May 25, 1945 (P.L.1050) known as the "Local Tax
22 Collection Law" and its amendments.
23 Section 3. Section 1702 of the act, amended October 1, 1981
24 (P.L.284, No.96), is amended to read:
25 Section 1702. Functions of the Controller.--(a) Subject to
26 the power and duty of the county commissioners to manage and
27 administer the fiscal affairs of the county, the controller
28 shall supervise the fiscal affairs of the county including the
29 accounts and official acts relating thereto of all officers or
30 other persons who shall collect, receive, hold or disburse the
19950H2021B3092 - 3 -
1 public [moneys] ASSETS of the county. The discretionary powers <--
2 of the controller shall not be applicable to the management of
3 the fiscal policies of the county commissioners, or to matters
4 not involving the accounts and transactions of officers or other
5 persons of the county[, but the controller shall]. The
6 controller may only refuse to authorize any fiscal transaction
7 which is, by law, subject to his supervision or control where it
8 appears that such transaction is not authorized by law, or has
9 not been undertaken according to law, or has not received
10 approval according to law, or as to which he desires upon
11 reasonable grounds to investigate for or has already discovered
12 any fraud, flagrant abuse of public office or any criminal act
13 or neglect of any officer or other person of the county relating
14 to their public accounts and transactions. He may at any time
15 require from any such officers or other persons, in writing, an
16 account of all [moneys or property] ASSETS which may have come <--
17 into their control. Immediately, on the discovery of any default
18 or delinquency, he shall report the same to the commissioners
19 [who shall immediately take action to recover the money] and to
20 the district attorney of the county for such prosecution as may
21 be warranted, and shall take immediate measures to secure the
22 public [moneys or property] ASSETS. <--
23 (b) Pursuant to subsection (a), the county commissioners
24 may, for the purpose of meeting Federal or State requirements or
25 for the purpose of internal management, contract with or employ
26 an independent CERTIFIED PUBLIC ACCOUNTANT OR public accountant <--
27 for the purpose of preparing or conducting a report or audit of
28 the fiscal affairs of the county, independent of and/or in
29 addition to, that conducted by the county controller or
30 auditors. Such contracts shall be discussed with the controller
19950H2021B3092 - 4 -
1 prior to execution, AND THE CONTROLLER SHALL BE AFFORDED AN <--
2 OPPORTUNITY TO COMMENT.
3 Section 4. Sections 1704 and 1705 of the act are amended to
4 read:
5 Section 1704. Custody of [Valuable] Documents.--The
6 controller shall have the custody of all title deeds to real
7 estate owned by the county, and of all contracts entered into by
8 or on behalf of the county, and of all books, documents and
9 papers relating to its financial affairs, and of all bonds and
10 other obligations issued by said county, when paid. Such bonds
11 and other obligations, when so paid, shall be distinctly
12 cancelled by the controller and carefully and regularly filed, a
13 register of which cancellation shall be kept by him in a book to
14 be provided for that purpose.
15 Section 1705. Books of Fiscal Affairs.--The controller shall
16 keep a full and regular set of books in [detail, by double
17 entry] accordance with generally accepted accounting principles,
18 of all the fiscal operations of the county, embracing as many
19 accounts, under appropriate titles, as may be necessary to meet
20 Federal and State reporting requirements and to show distinctly
21 and separately all the property of the county, its [receipts] <--
22 REVENUE and expenditures, and all debts and accounts due by the <--
23 county officers or others, and the amount raised from each
24 source of revenue, and the expenditures in detail, and
25 classified by reference to the objects thereof. He shall
26 prescribe and administer the form and manner of keeping the
27 official books and papers [used by each of the officers of said
28 county] in connection with the fiscal affairs of the county.
29 Where the controller prescribes a [new system of accounting as
30 to the fiscal affairs of the county offices, it] change in the
19950H2021B3092 - 5 -
1 form and manner of keeping the official books AND PAPERS, any <--
2 costs necessary for implementation shall be subject to the
3 approval of the county commissioners.
4 Section 5. Section 1720 of the act, amended May 6, 1981
5 (P.L.49, No.16), is amended to read:
6 Section 1720. Controller's Settlement of Accounts; Report to
7 Common Pleas; Publications; Financial Report to Department of
8 Community Affairs.--(a) The controller shall, at the end of
9 each fiscal year, complete the audit, settlement and adjustment
10 of the accounts of all county officers. He shall, before the
11 first day of [April in every] the seventh month of each fiscal
12 year, make a report, verified by oath or affirmation, to the
13 Court of Common Pleas of said county, of all [receipts] REVENUE <--
14 and expenditures of the county for the preceding fiscal year, in
15 detail, and classified by reference to the object thereof,
16 together with a full statement of the financial conditions of
17 the county. The report shall be in detail, determining all of
18 the following:
19 (1) Whether the financial statements of the county fairly
20 represent its financial position and the results of its
21 financial operations are in accordance with generally accepted
22 accounting principles.
23 (2) Whether the county has internal accounting and other
24 control systems to provide reasonable assurance that its
25 operation is in compliance with statutes and regulations.
26 (3) Whether the county is in compliance with the Federal <--
27 Single Audit Act of 1984 (P.L.98-502, 31 U.S.C. § 7501 et seq.).
28 (b) A concise summary of this report shall thereupon be
29 published one time in such newspapers published in said county
30 as the controller may direct[, but the aggregate cost thereof
19950H2021B3092 - 6 -
1 shall not exceed fifteen hundred dollars ($1500) in any one year
2 in any county], to be paid for out of the county treasury. Such
3 report may also be published in printed pamphlets at the cost of
4 the county, the number and cost of such pamphlets to be
5 determined by the controller and the county commissioners. The
6 controller shall also, before the first day of [April] the
7 seventh month of the fiscal year, make an annual report to the
8 Department of Community Affairs of the financial condition of
9 the county, on forms furnished by the Secretary of Community
10 Affairs, and subject to the penalties provided in section one
11 thousand seven hundred twenty-one of this act for auditors
12 refusing or neglecting to make similar reports. Within the
13 summary of the [auditor's or] controller's report, there shall <--
14 be a notice to the public that the entire text of the report
15 shall be available for public inspection during regular business
16 hours in the office of the [auditor or] controller. <--
17 Section 6. Section 1721 of the act, amended October 5, 1967
18 (P.L.342, No.147), April 18, 1978 (P.L.36, No.18) and May 6,
19 1981 (P.L.49, No.16), is amended to read:
20 Section 1721. Audit of Accounts by Auditors; Report to
21 Common Pleas; Publications; Financial Report to Department of
22 Community Affairs.--(a) The auditors shall, IN ACCORDANCE WITH <--
23 GENERALLY ACCEPTED AUDITING STANDARDS, audit, settle and adjust
24 the accounts of all county officers [of the county], and make an
25 annual report thereof, on or before the first day of the
26 [following May] seventh month following the close of the fiscal
27 year, to the court of common pleas, unless upon due cause shown
28 the court shall grant an extension of time therefor. Said report
29 shall be in detail, [showing distinctly and separately all
30 receipts and expenditures of the several offices, and all debts
19950H2021B3092 - 7 -
1 and accounts due, and the amount raised from each source of
2 revenue, and the expenditures in detail and classified by
3 reference to the object thereof, together with a full statement
4 of the financial conditions of the county, and a statement of
5 the balance due from or to such county officers.] determining
6 all of the following:
7 (1) Whether the financial statements of the county fairly
8 represent its financial position and the results of its
9 financial position and the results of its financial operations
10 are in accordance with generally accepted accounting principles.
11 (2) Whether the county has internal accounting and other
12 control systems to provide reasonable assurance that its
13 operation is in compliance with statutes and regulations.
14 (3) Whether the county is in compliance with the Federal <--
15 Single Audit Act of 1984 (P.L. 98-502, 31 U.S.C. § 7501 et
16 seq.).
17 (b) The auditor's report shall be prepared and within ten
18 days after being filed in the court of common pleas, a concise
19 summary thereof shall be published, once, in at least two
20 newspapers published in said county; or if not more than one
21 newspaper is published in the county, then in such newspaper; or
22 if there be no newspaper published in the county, then in one
23 newspaper of general circulation in said county. The expense of
24 the publication of said summary shall be paid by the county.
25 Within the summary of the auditor's [or controller's] report, <--
26 there shall be a notice to the public that the entire text of
27 the report shall be available for public inspection during
28 regular business hours in the office of the auditor [or <--
29 controller]. <--
30 (c) The county auditors shall also make an annual report of
19950H2021B3092 - 8 -
1 the financial condition of the county to the Department of
2 Community Affairs, which report shall be signed by a majority of
3 the auditors, and duly verified by the oath or affirmation of
4 one of the auditors. The report shall be presented on a form
5 furnished by the Secretary of Community Affairs, and shall be
6 filed on or before the first day of the [following May] seventh
7 month following the close of the fiscal year.
8 (d) Any auditors refusing or wilfully neglecting to file the
9 report required by this section shall, upon conviction thereof,
10 in a summary proceeding brought at the instance of the
11 Department of Community Affairs, be sentenced to pay a fine of
12 five dollars ($5) for each day's delay beyond said first day of
13 [May] the seventh month following the close of the fiscal year,
14 and costs. All fines recovered shall be for the use of the
15 Commonwealth.
16 Section 7. Sections 1722, 1722.1, 1723, 1724 and 1724.1 of
17 the act are repealed.
18 Section 8. The act is amended by adding a section to read:
19 Section 1724.2. Audits.--(a) It shall be the duty of the
20 controller or auditors to annually audit, settle and adjust the
21 following in accordance with generally accepted accounting <--
22 principles AUDITING STANDARDS and applicable Federal and State <--
23 laws:
24 (1) Accounts of every alderman, magistrate or district <--
25 justice within the county.
26 (2) Accounts for moneys appropriated by the county to units
27 of the Pennsylvania National Guard.
28 (3) Accounts for taxes, penalties, costs and fines collected
29 by the county treasurer and belonging to a political subdivision
30 or to the Commonwealth.
19950H2021B3092 - 9 -
1 (4) Accounts for moneys collected or disbursed by the county
2 prothonotary, the county clerk of courts, the register of wills,
3 the recorder of deeds, the clerk of the orphans' court, the
4 sheriff, the district attorney or any subdivision of the court
5 of common pleas.
6 (b) Reports of such audits shall be made to both the court
7 of common pleas and the board of county commissioners, together
8 with a statement of balances due from or to the appropriate
9 officer. SUCH REPORT MAY INCLUDE A DETERMINATION OF WHETHER THE <--
10 ACCOUNTS OR OPERATIONS CONFORM WITH GENERALLY ACCEPTED
11 ACCOUNTING PRINCIPLES. A certified copy of such report shall be
12 forwarded to the Auditor General or the Department of Revenue,
13 as the case may be, within ten days after it is prepared.
14 (c) For the purposes of this act relating to the audits of
15 accounts, money held by any county official in escrow shall be
16 deemed the same as county funds or public money and shall be
17 audited by the controller or auditors.
18 (d) The controller or auditors may, in accordance with
19 generally accepted accounting principles AUDITING STANDARDS, <--
20 audit, settle and adjust the accounts or review the operations
21 of any officer or other person who collects, receives, holds or
22 disburses the public moneys ASSETS of the county, AND MAY <--
23 DETERMINE WHETHER THE ACCOUNTS OR OPERATIONS CONFORM WITH
24 GENERALLY ACCEPTED ACCOUNTING PRINCIPLES.
25 (E) THE CONTROLLER OR AUDITORS MAY, IN ACCORDANCE WITH
26 GENERALLY ACCEPTED AUDITING STANDARDS AND FOR THE PURPOSE OF
27 INCLUSION OF THE ACCOUNTS IN THE COUNTY'S GENERAL PURPOSE
28 FINANCIAL STATEMENTS, AUDIT, SETTLE AND ADJUST THE ACCOUNTS AND
29 ANALYZE THE OPERATIONS OF ANY AUTHORITY THAT COLLECTS, RECEIVES,
30 HOLDS OR DISBURSES PUBLIC ASSETS OF THE COUNTY, AND MAY
19950H2021B3092 - 10 -
1 DETERMINE WHETHER THE ACCOUNTS OR OPERATIONS CONFORM WITH
2 GENERALLY ACCEPTED ACCOUNTING PRINCIPLES. TO COMPLY WITH THE
3 PROVISIONS OF THIS SUBSECTION, THE CONTROLLER OR AUDITORS MAY
4 UTILIZE ANY EXISTING AUDIT OF THE AUTHORITY REQUIRED BY LAW.
5 (e) (F) If the controller or auditors and COUNTY <--
6 commissioners disagree about the application of generally
7 accepted accounting principles or of Federal or State law in an
8 audit, settlement or adjustment, the parties shall appoint a
9 mutually agreed to professional with expertise relevant to the
10 dispute to settle the dispute. IF THE CONTROLLER OR AUDITORS AND <--
11 COUNTY COMMISSIONERS ARE NOT ABLE TO AGREE ON THE APPOINTMENT,
12 THE APPOINTMENT OF A PROFESSIONAL TO SETTLE THE DISPUTE SHALL BE
13 MADE BY THE COURT OF COMMON PLEAS OF THE COUNTY FROM A LIST OF
14 NAMES, THREE OF WHICH ARE FURNISHED BY THE CONTROLLER OR
15 AUDITORS AND THREE OF WHICH ARE FURNISHED BY THE COUNTY
16 COMMISSIONERS.
17 Section 9. Sections 1727 and 1750 of the act are amended to
18 read:
19 Section 1727. [Commitment to County Jail] Refusal to Submit
20 to Examination.--If any person appearing before the controller
21 or auditors for examination shall refuse to take oath or
22 affirmation, or after having been sworn or affirmed shall refuse
23 to make answer to such questions as shall be put to him by the
24 controller or auditors touching the public accounts or the
25 official conduct of any public officers, he shall be guilty of a
26 misdemeanor [and, upon conviction thereof, shall be sentenced to
27 pay a fine of not more than two hundred dollars ($200), or to
28 undergo imprisonment for not more than sixty days].
29 Section 1750. Claims Against County.--The controller or the
30 county commissioners in counties having no controller shall
19950H2021B3092 - 11 -
1 scrutinize, audit and decide on all bills, claims and demands
2 whatsoever against the county, except such as are otherwise
3 provided for in this subdivision. All persons having such claims
4 shall first present the same to the controller or to the county
5 commissioners [as the case may be] and, if required, make oath
6 or affirmation before him or them to the correctness thereof.
7 The controller or the commissioners, as the case may be, may, if
8 he or they deem it necessary, require evidence, by oath or
9 affirmation, of the claimant and otherwise that the claim is
10 legally due and that the supplies or services for which payment
11 is claimed have been furnished or performed under legal
12 authority. He or they may inquire or ascertain whether any
13 officer or agent of the county is interested in the contract
14 under which any claim may arise, or has received or is to
15 receive any commission, consideration or gratuity relating
16 thereto, or whether there has been any evasion of the provisions
17 of this act by making two or more contracts for small amounts
18 which should have been in one. If he or they shall find that
19 there has been any evasion, or that any such officer or agent is
20 so interested, he or they shall refuse to approve the claim.
21 Section 10. Section 1751 of the act, amended July 1, 1978
22 (P.L.723, No.129), is amended to read:
23 Section 1751. [Voucher Check System] Procedure for
24 Approval.--The controller shall date upon receipt, [draw and <--
25 certify vouchers for] DATE, UPON RECEIPT, all bills, claims and <--
26 demands presented to him, which he approves and only for such as
27 he approves, and shall forward [the vouchers together with
28 checks therefor with] the bills, claims or demands along with
29 checks therefor to the county commissioners for their approval
30 or, if already approved by the commissioners, for their
19950H2021B3092 - 12 -
1 signatures as provided in this section. If the county
2 commissioners approve [a voucher] payment of a bill, claim or
3 demand, at least two commissioners shall sign the check as
4 properly drawn upon the county treasury. In such cases
5 facsimiles of their signatures may be used. The bill, claim or
6 demand[, and the voucher therefor,] shall be returned to the
7 controller for filing in his office and the check shall be
8 forwarded to the county treasurer. The county treasurer shall
9 sign the check as his draft upon the county treasury, but he
10 shall not sign any check not already signed, as herein provided,
11 by the commissioners and the controller. [Vouchers shall be
12 numbered serially before the controller forwards them to the
13 county commissioners and every check incident thereto shall bear
14 the same serial number as the voucher] Every check issued shall
15 include reference to its corresponding bill, claim or demand as
16 well as the number or numbers which may be put upon it by the
17 county treasurer. If the county commissioners refuse to approve
18 any bill, claim or demand, they shall return the same together
19 with the voucher and check involved to the controller for filing
20 in his office. In counties not having a controller, the county
21 commissioners shall approve each transaction and the [voucher
22 and] check shall be drawn by their chief clerk who shall keep
23 files of the bills, claims or demands involved [and of the
24 vouchers]. At least two commissioners shall sign the checks
25 either personally or by facsimile, and they shall be forwarded,
26 as hereinbefore provided, to the county treasurer for his
27 signature. In all cases the cancelled checks, or official bank
28 record thereof, shall be filed in the office of the county
29 treasurer, but he shall transmit, at such times as the
30 controller shall establish, a list of all checks paid from the
19950H2021B3092 - 13 -
1 county treasury and not previously transmitted, [giving their
2 voucher serial numbers] along with appropriate identification.
3 The county treasurer and the controller in those counties having
4 a controller are authorized to use a facsimile signature on any
5 check [for the payment of wages or salaries of county employes]
6 which they are required to sign.
7 Section 11. Sections 1752, 1753, 1754 and 1760 of the act
8 are amended to read:
9 Section 1752. Claims Not Approved by Controller.--If the
10 controller does not approve a claim, bill or demand presented to
11 him, he shall within thirty days forward it to the county
12 commissioners together with his notice that he has [refused]
13 disapproved the claim, bill or demand or is unable to approve
14 the same and his reasons therefor. The county commissioners
15 shall consider the claim, bill or demand and, if they consider
16 that it should be paid by the county, they shall so notify the
17 controller. If the controller thereafter continues to refuse his
18 approval no payment shall be made thereon by the county except
19 pursuant to an order of court upon a proper issue thereto
20 directing the controller to approve payment.
21 Section 1753. [Controller's Register of Vouchers;] Reports
22 to Commissioners.--[The controller shall keep a register of all
23 vouchers drawn and a copy of each voucher. When the check or
24 checks drawn upon each voucher has been paid by the treasury the
25 controller shall cancel the voucher or otherwise indicate the
26 payment.] The controller shall report to the commissioners
27 monthly or oftener, if required by them, the amount of
28 outstanding checks registered and the amount of money in the
29 treasury or the amount of any particular unencumbered
30 appropriation items involved.
19950H2021B3092 - 14 -
1 Section 1754. Fees of Witnesses and Jurors.--Fees of jurors
2 and witnesses shall be ascertained by the courts of the county
3 entered upon the records thereof and duly certified by their
4 respective clerks to the commissioners being first sworn to or
5 affirmed before the controller or the chief clerk of the
6 commissioners as the case may be. The commissioners, then, may
7 draw [voucher] checks therefor without approval of the
8 controller. The certificates shall be filed with the controller
9 or the commissioners where there is no controller after the
10 [voucher] checks are issued.
11 Section 1760. Receipts and Accounts of Money Due County.--
12 The county treasurer shall receive and receipt for all moneys
13 due or accruing to the county. He shall keep proper accounts of
14 all moneys received and disbursed. His books shall be, at all
15 times during office hours, open to the inspection of the
16 controller[, or] AND, FOR INSPECTION OR OTHER MANAGEMENT <--
17 PURPOSE, TO the commissioners, or any of them in counties having
18 no controller.] and, for inspection or other management purpose, <--
19 to the commissioners. He shall issue receipts, at least in
20 triplicate, for all moneys received for the county, and shall
21 transmit the duplicate or triplicate thereof daily to the
22 controller, or to the county commissioners in counties having no
23 controller. Said receipts shall be serially numbered, shall
24 indicate the amount of money received, from whom, on what
25 account and the date. He shall likewise keep daily records of
26 all disbursals from the county treasury, and shall forward daily
27 records thereof to the controller, or the commissioners as the
28 case may be. The controller, or the chief clerk of the
29 commissioners where there is no controller, shall have the right
30 to a certified daily or monthly deposit slip from the county
19950H2021B3092 - 15 -
1 depository or depositories, without prejudice to the said
2 depositories, of all moneys deposited in the name of the county
3 by the treasurer. In counties having no controller, the
4 treasurer shall render, at least quarterly and oftener, if
5 required, a statement of all moneys received and disbursed since
6 his last statement, showing the balance remaining in his
7 accounts and the names of the collectors having arrearages in
8 taxes with the amounts thereof. He shall state his accounts at
9 the end of each fiscal year, producing his vouchers, which
10 statement and vouchers shall be examined by the commissioners
11 and delivered by them to the auditors for settlement.
12 Section 12. Section 1781 SECTIONS 1781 AND 1782.1 of the <--
13 act, amended OR ADDED December 14, 1967 (P.L.831, No.357), is <--
14 ARE amended to read: <--
15 Section 1781. Preparation of Proposed Annual Budget.--(a)
16 The commissioners, at least [thirty] NINETY days prior to <--
17 adopting the budget, shall begin the preparation of the proposed
18 budget for the succeeding fiscal year.
19 (b) [The] AT THE REQUEST OF THE COMMISSIONERS, BUT IN NO <--
20 CASE LESS THAN NINETY DAYS PRIOR TO THE DEADLINE FOR ADOPTION OF
21 THE BUDGET BY THE COMMISSIONERS, THE controller shall transmit
22 to the commissioners a comparative statement of revenues for the
23 current and the immediately preceding fiscal year, FUND BALANCES <--
24 PROJECTED FOR THE CLOSE OF THE CURRENT FISCAL YEAR, and a
25 comparative statement of expenditures, including interest due
26 and to fall due on all lawful interest bearing debts of the
27 county for the same years.
28 (c) The controller's statement shall also indicate the
29 amounts of all appropriation requests, submitted to the
30 controller or to the commissioners and supplied by them to the
19950H2021B3092 - 16 -
1 controller, from the several county offices and agencies,
2 including estimates of expenditures contemplated by the
3 commissioners as forwarded by them to the controller.
4 (d) Said statements[, in such form and detail as the
5 commissioners direct,] shall be prepared [upon a form or forms
6 furnished, as provided in this subdivision, by the Department of
7 Community Affairs of the Commonwealth] in such REASONABLE form <--
8 and detail as the commissioners direct. With this information as
9 a guide, the commissioners shall, within a reasonable time,
10 begin the preparation of a proposed budget for the succeeding
11 fiscal year.
12 (e) In counties not having a controller, the commissioners
13 shall prepare the statements hereinbefore required.
14 Section 13. Section 1782.1 of the act, added December 14, <--
15 1967 (P.L.831, No.357), is amended to read:
16 Section 1782.1. Amending Budget; Notice.--During the month
17 of January next following any municipal election the
18 commissioners of any county may amend the budget and the levy
19 and tax rate to conform with its amended budget. A period of ten
20 days' public inspection at the office of the chief clerk of the
21 proposed amended budget, after notice by the chief clerk to that
22 effect is published once in a newspaper as provided in section
23 110 of this act, shall intervene between the proposed amended
24 budget and the adoption thereof. Any amended budget must be
25 adopted by county commissioners on or before the fifteenth day
26 of February.
27 No such proposed amended budget shall be revised upward in
28 excess of ten per centum in the aggregate thereof or as to an
29 individual [item] function in excess of twenty-five per centum
30 of the amount of such individual [item] function in the proposed
19950H2021B3092 - 17 -
1 amended budget.
2 Within fifteen days after the adoption of an amended budget
3 the chief clerk shall file a copy thereof in the office of the
4 Department of Community Affairs.
5 Section 14 13. Section 1783 of the act, amended October 5, <--
6 1967 (P.L.342, No.147), is amended to read:
7 Section 1783. Annual Budget Appropriations and Tax Rate;
8 Filing Budget.--The budget shall reflect as nearly as possible
9 the estimated revenues and expenditures for the year for which
10 it is prepared. [It shall be prepared on forms provided in <--
11 accordance with this subdivision by the Department of Community
12 Affairs.] The commissioners shall, upon adopting the budget, <--
13 adopt the appropriation measures required to put it into effect,
14 and shall fix such rate of taxation upon the valuation of the
15 property taxable for county purposes as will, together with all
16 other estimated revenues of the county, excluding operating,
17 capital and other reserve funds, raise a sufficient sum to meet
18 the said expenditures. Within fifteen days after the adoption of
19 the budget, the commissioners shall file a copy thereof in the
20 office of the Department of Community Affairs ON FORMS PROVIDED <--
21 IN ACCORDANCE WITH THIS SUBDIVISION BY THE DEPARTMENT OF
22 COMMUNITY AFFAIRS.
23 Section 15 14. The act is amended by adding sections to <--
24 read:
25 Section 1784.1. Take Money and Property by Gift, Etc.--The
26 county commissioners may take by gift, grant, devise or bequest,
27 any money or property, real, personal or mixed, for the benefit
28 of the county.
29 Section 1784.2. Capital Reserve Fund for Anticipated Capital
30 Expenditures.--(a) The county commissioners shall have the
19950H2021B3092 - 18 -
1 power to create and maintain a separate capital reserve fund for
2 anticipated legal capital expenditures. The money in the fund
3 shall be used, from time to time, for the construction, purchase
4 or replacement of or addition to county buildings, equipment,
5 machinery, motor vehicles or other capital assets of the county,
6 and for no other purpose.
7 (b) The county commissioners may, annually, appropriate
8 moneys from the general county funds, not to exceed five TEN per <--
9 centum of the county operating budget, to be paid into the
10 capital reserve fund, or place in the fund any moneys received
11 from the sale, lease or other disposition of any county property
12 or from any other source, unless received or acquired for a
13 particular purpose. The fund shall be controlled, invested,
14 reinvested and administered, and the moneys therein and income
15 from such moneys expended, for any of the purposes for which the
16 fund is created, in such manner as may be determined by the
17 county commissioners. The money in the fund, when invested,
18 shall be invested in a manner consistent with the provisions of
19 section 1706. This subsection shall not be construed to limit
20 the powers of the county to the use of moneys in the capital
21 reserve fund in making lawful capital expenditures.
22 Section 1784.3. Operating Reserve Fund.--(a) The county
23 commissioners shall have the power to create and maintain a
24 separate operating reserve fund in order to minimize future
25 revenue shortfalls and deficits, provide greater continuity and
26 predictability in the funding of vital government services,
27 minimize the need to increase taxes to balance the budget in
28 times of fiscal distress, provide the capacity to undertake
29 long-range financial planning and develop fiscal resources to
30 meet long-term needs.
19950H2021B3092 - 19 -
1 (b) The county commissioners may annually make
2 appropriations from the county general fund to the operating
3 reserve fund, but no appropriation shall be made to the
4 operating reserve fund if the effect of the appropriation would
5 cause the fund to exceed five per centum of the estimated
6 revenues of the county's general fund in the current fiscal
7 year.
8 (c) The commissioners may at any time, by resolution, make
9 appropriations from the operating reserve fund for the following
10 purposes only:
11 (1) to meet emergencies involving the health, safety or
12 welfare of the residents of the county;
13 (2) to counterbalance potential budget deficits resulting
14 from shortfalls in anticipated revenues or program receipts from
15 whatever source; or
16 (3) to provide for anticipated operating expenditures
17 related either to the planned growth of existing projects or
18 programs or to the establishment of new projects or programs if
19 for each project or program appropriations have been made and
20 allocated to a separate restricted account established within
21 the operating reserve fund.
22 (d) The operating reserve fund shall be invested, reinvested
23 and administered in a manner consistent with the provisions of
24 section 1706.
25 Section 16 15. Section 1785 of the act, amended October 5, <--
26 1967 (P.L.342, No.147), is amended to read:
27 Section 1785. Committee to Prepare Uniform Forms.--(a) The
28 [budget and] report forms specified in the foregoing sections of
29 this article shall be prepared by a committee consisting of
30 three representatives from the [Pennsylvania State Association
19950H2021B3092 - 20 -
1 of] County Commissioners Association of Pennsylvania, three
2 representatives from the Pennsylvania State Association of
3 County Controllers, ONE CERTIFIED PUBLIC ACCOUNTANT, one member <--
4 of the Senate and one member of the House of Representatives of
5 the General Assembly, who shall be members of the Local
6 Government Commission, designated by the chairman of said
7 commission, and the Secretary of Community Affairs or his agent
8 who shall be a person trained in the field of municipal finance.
9 (b) [Such] EXCEPT FOR THE CERTIFIED PUBLIC ACCOUNTANT, WHO <--
10 SHALL BE APPOINTED BY THE GOVERNOR, SUCH representatives shall
11 be appointed by the president of each said organization. In the
12 case of representatives of the county commissioners, one shall
13 be appointed from a county of either the third or fourth class,
14 one from a county of either the fifth or sixth class, and one
15 from a county of either the seventh or eighth class. The
16 president of each said organization shall supply to the
17 Department of Community Affairs the names and addresses of such
18 representatives immediately upon their appointment. Said
19 representatives shall serve without compensation, but they shall
20 be reimbursed by the Commonwealth for all necessary expenses
21 incurred in attending meetings of the committee.
22 (c) The committee shall meet at the call of the Secretary of
23 Community Affairs or his agent, who shall serve as chairman of
24 the committee. The Secretary of Community Affairs may call
25 meetings of the committee, and shall do so at the request of the
26 secretary of either of said associations, but in every case
27 there shall be at least two weeks' notice to each member of the
28 committee of any such meeting.
29 (d) In preparing the uniform forms for both budgets and
30 annual reports, the committee shall give careful consideration
19950H2021B3092 - 21 -
1 to the differing legal requirements and needs of the counties of
2 the several classes, producing, if necessary, separate forms for
3 certain classes of counties or groups of classes.
4 (e) It shall be the duty of the Secretary of Community
5 Affairs or his agent to see to it that the forms required by
6 this section are prepared in cooperation with said committee.
7 Should said committee for any reason fail to furnish such
8 cooperation, the Secretary of Community Affairs or his agent
9 shall complete the preparation of the forms. After their
10 preparation, he shall issue said forms and distribute them
11 annually, as needed, to the commissioners, controller or
12 auditors of each county.
13 (f) It shall be the duty of the Secretary of Community
14 Affairs to include within the budget and report forms specified
15 in this article the changes necessitated by the provisions of
16 this act in regard to property, powers, duties and obligations
17 of institution districts transferred to counties and the
18 committee established by this section shall not be responsible
19 therefor.
20 (g) It shall be the duty of the Secretary of Community
21 Affairs to convene the committee to assist counties in coming
22 into compliance with generally accepted accounting principles.
23 Section 17 16. This act shall take effect as follows: <--
24 (1) The amendment of section 1705 of the act relating to
25 generally accepted accounting principles shall take effect
26 the third full fiscal year following the enactment of this
27 act.
28 (2) The amendment of section SECTIONS 1721 AND 1724.2 of <--
29 the act relating to audits undertaken in accordance with
30 generally accepted accounting principles AUDITING STANDARDS <--
19950H2021B3092 - 22 -
1 shall take effect the third full fiscal year following the
2 enactment of this act.
3 (3) This section shall take effect immediately.
4 (4) The remainder of this act shall take effect in 60
5 days.
F21L16JAM/19950H2021B3092 - 23 -