1Amending Title 35 (Health and Safety) of the Pennsylvania 
2Consolidated Statutes, further providing for employment 
3sanctions; and providing for a volunteer emergency responders 
4employer tax credit.

5The General Assembly of the Commonwealth of Pennsylvania
6hereby enacts as follows:

7Section 1. Subchapter C of Chapter 74 of Title 35 of the
8Pennsylvania Consolidated Statutes is repealed:

9[SUBCHAPTER C

10EMPLOYMENT SANCTIONS

11Sec.

127421. Scope of subchapter.

137422. Definitions.

147423. Prohibition on termination and discipline.

157424. Prohibition on discrimination.

167425. Lost time.

17426. Statements.

27427. Violations.

3§ 7421. Scope of subchapter.

4This subchapter relates to employment sanctions.

5§ 7422. Definitions.

6The following words and phrases when used in this subchapter
7shall have the meanings given to them in this section unless the
8context clearly indicates otherwise:

9"Discipline." The taking of an action against an employee
10which adversely affects his regular pay to an extent greater
11than permitted by section 7425 (relating to lost time), his job
12status, his opportunity for promotion or his right to any
13benefit granted by the employer to other similarly situated
14employees.

15"Discriminate." To discharge or to discipline in a manner
16inconsistent with the employer's treatment of other similarly
17situated employees who are injured in the course of their
18employment or related activities.

19"Employer." An individual, partnership, association,
20corporation, business trust or a person or group of persons
21acting directly or indirectly in the interest of an employer in
22relation to any employee.

23"Line of duty." Going to, coming from or during fire
24prevention and safety activities which includes fire prevention,
25first aid, rescue and salvage, ambulance service, fire police
26work, assistance at accidents, control of crowds both on the
27fire grounds and at occasions of public or general assembly,
28animal rescue, abatement of conditions due to storm, flood or
29general peril, abatement or removal of hazards to safety and
30other activities as are commonly undertaken by fire companies,

1ambulance services or rescue squads or their affiliated
2organizations.

3§ 7423. Prohibition on termination and discipline.

4No employer shall terminate or discipline an employee who is
5a volunteer fireman, a volunteer member of the fire police or a
6volunteer member of an ambulance service or rescue squad and, in
7the line of duty, has responded to a call prior to the time he
8was due to report for work resulting in a loss of time from his
9employment.

10§ 7424. Prohibition on discrimination.

11No employer shall discriminate against an employee because 
12the employee has been injured in the line of duty as a volunteer 
13fireman, a volunteer member of the fire police or a volunteer 
14member of an ambulance service or rescue squad, nor shall an 
15employer discriminate against an employee injured in the line of 
16duty as a volunteer fireman, a volunteer member of the fire 
17police or a volunteer member of an ambulance service or rescue 
18squad who subsequently returns to work after receiving workers' 
19compensation benefits under the act of June 2, 1915 (P.L.736, 
20No.338), known as the Workers' Compensation Act.

21§ 7425. Lost time.

22Time lost from employment as provided in section 7423
23(relating to prohibition on termination and discipline) may be
24charged to the regular pay of the employee.

25§ 7426. Statements.

26An employee losing time as provided in section 7423 (relating
27to prohibition on termination and discipline) shall supply his
28employer with a statement from the chief executive officer of
29his volunteer fire company, ambulance service or rescue squad or
30its affiliated organization stating that he responded to a call

1and the time of the call.

2§ 7427. Violations.

3(a) Employers.--An employer who willfully and knowingly
4violates this subchapter shall be required to revoke a
5disciplinary action and any penalty attached thereto or to
6reinstate such employee to his former position and shall be
7required to pay the employee all lost wages and benefits for the
8period between termination and reinstatement and reasonable
9attorney fees incurred in an action to recover lost wages and
10benefits.

11(b) Statute of limitations.--An action to enforce this
12subchapter shall be commenced within two years of the date of
13violation, and the action shall be commenced in the court of
14common pleas of the county in which the employer is located.]

15Section 2. Title 35 is amended by adding a chapter to read:

16CHAPTER 74A

17VOLUNTEER EMERGENCY RESPONDERS EMPLOYER TAX CREDIT

18Subchapter

19A. Preliminary Provisions

20B. Private Sector Incentives

21C. Public Sector Incentives

22SUBCHAPTER A

23PRELIMINARY PROVISIONS

24Sec.

2574A01. Scope of chapter.

2674A02. Legislative findings and declaration.

2774A03. Definitions.

2874A04. Employment discrimination prohibited.

29§ 74A01. Scope of chapter.

30This chapter relates to volunteer emergency responders

1employer tax credit.

2§ 74A02. Legislative findings and declaration.

3(a) Findings.--The General Assembly finds as follows:

4(1) Over 85% of all emergency service personnel in this
5Commonwealth are volunteers.

6(2) Volunteer emergency service personnel have saved
7many lives and millions of tax dollars for the citizens of
8this Commonwealth.

9(3) During the past decade, the ranks of volunteer
10emergency service personnel have decreased by more than 10%.

11(4) The decrease in manpower within this Commonwealth's
12volunteer emergency services, coupled with increasing
13conflicts with the volunteer's professional duties, has
14resulted in:

15(i) Manpower response shortages to emergency calls.

16(ii) A decrease in the number of volunteers
17permitted and able to participate in necessary, and
18sometimes required, emergency service training.

19(iii) A greater risk to those who are permitted to
20respond to an emergency call.

21(b) Declaration.--The General Assembly declares as follows:

22(1) It is vital to provide new ways to attract and
23retain volunteer emergency service personnel without placing
24an undue burden on taxpayers or businesses throughout this
25Commonwealth.

26(2) It is in the public interest for the General
27Assembly to:

28(i) Encourage private employers to permit an
29employee-volunteer to leave work in response to an
30emergency call in the employee's capacity as a member of

1a volunteer emergency service organization, with the
2option of pay, and no loss of time or efficiency rating,
3by providing a tax credit to the employer for the period
4during which the employee-volunteer is absent from work
5because of the employee-volunteer's response to an
6emergency call, provided that the employee is in
7compliance with a prearranged, preapproved release policy
8of the employer.

9(ii) Encourage private employers to permit an
10employee-volunteer to take a paid leave of absence at the
11request of the chief executive officer of the volunteer
12emergency service organization to which the employee-
13volunteer belongs in order to participate in emergency
14service training by providing a tax credit to the
15employer for a period of no more than five days per year
16during which the employee-volunteer is participating in
17emergency service training, provided the employee is in
18compliance with a prearranged, preapproved release policy
19of the employer.

20(iii) Authorize the Commonwealth and its political
21subdivisions to permit an employee-volunteer to leave
22work in response to an emergency call, with or without
23pay, and no loss of time or efficiency rating.

24§ 74A03. Definitions.

25The following words and phrases when used in this chapter
26shall have the meanings given to them in this section unless the
27context clearly indicates otherwise:

28"Commonwealth." A department, agency, board, commission or
29instrumentality of State government.

30"Discipline." To take any action against an employee which

1adversely affects the employee's regular pay to an extent not
2provided for in this chapter, the employee's job status or
3opportunity for promotion or the employee's right to any benefit
4granted by the employer to other similarly situated employees.

5"Discriminate." To discharge or to discipline in a manner
6inconsistent with the employer's treatment of other similarly
7situated employees who are injured in the course of their
8employment or related activities.

9"Department." The Department of Community and Economic
10Development of the Commonwealth.

11"Employee-volunteer." A member of a volunteer emergency
12service organization who is in the employ of the Commonwealth, a
13political subdivision or a private employer.

14"Employer." An individual, partnership, association,
15corporation, business trust or any person or group of persons
16who controls and directs a worker under an express or implied
17contract of hire and who pays the worker's salary or wages. The
18term shall include the Commonwealth and its political
19subdivisions.

20"Line of duty." Going to, coming from or during fire
21prevention and safety activities, which includes fire
22prevention, first aid, rescue and salvage, ambulance service,
23fire police work, assistance at accidents, control of crowds
24both on the fire grounds and at occasions of public or general
25assembly, animal rescue, abatement of conditions due to storm,
26flood or general peril, abatement or removal of hazards to
27safety and other activities as are commonly undertaken by fire
28companies, ambulance services or rescue squads or their
29affiliated organizations.

30"Pass-through entity." A partnership as defined in section

1301(n.0) of the act of March 4, 1971 (P.L.6, No.2), known as the
2Tax Reform Code of 1971, or a Pennsylvania S corporation as
3defined in section 301(n.1) of the Tax Reform Code of 1971.

4"Political subdivision." A county, city, borough,
5incorporated town, township, home rule municipality, school
6district or municipal authority.

7"Qualified tax liability." The liability for taxes imposed
8under Article III, IV, VI, VII, VIII, IX or XV of the act of
9March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of
101971. The term shall not include a tax withheld by an employer
11from an employee under Article III of the Tax Reform Code of
121971.

13"Tax credit." The employee-volunteer emergency response tax
14credit established by this article.

15"Taxpayer." An entity that is subject to a tax imposed under
16Article III, IV, VI, VII, VIII, IX or XV of the act of March 4,
171971 (P.L.6, No.2), known as the Tax Reform Code of 1971. The
18term shall not include a tax withheld by an employer from an
19employee under Article III of the Tax Reform Code of 1971.

20"Volunteer ambulance service." A nonprofit chartered
21corporation, association or organization located in this
22Commonwealth, which is licensed by the Department of Health, is
23not associated or affiliated with a hospital and which is
24regularly engaged in the provision of emergency medical
25services, including basic life support or advanced life support
26services and advanced life support squads as defined in 28 Pa.
27Code § 1005.1 (relating to general provisions). The term shall
28not include a corporation, association or organization that is
29primarily engaged in the operation of invalid coaches which are
30intended for the routine transport of persons who are

1convalescent or otherwise nonambulatory and do not ordinarily
2require emergency medical treatment while in transit.

3"Volunteer emergency service organization." An organization
4which is a volunteer fire company, volunteer ambulance service,
5volunteer rescue company or volunteer hazardous material
6response team.

7"Volunteer fire company." A nonprofit chartered corporation,
8association or organization located in this Commonwealth which
9provides fire protection or rescue services and which may offer
10other voluntary emergency services within this Commonwealth.
11Voluntary emergency services provided by a volunteer fire
12company may include voluntary ambulance and voluntary rescue
13services.

14"Volunteer hazardous material response team." A nonprofit
15chartered corporation, association or organization located in
16this Commonwealth whose members are certified and organized to
17provide emergency response services to mitigate actual or
18potential immediate threats to public health and the environment
19in response to the release or threat of a release of a hazardous
20material. The term includes teams certified to perform
21stabilization actions needed to remove threats to public health
22and the environment from hazardous material releases.

23"Volunteer rescue company." A nonprofit chartered
24corporation, association or organization located in this
25Commonwealth which provides rescue service in this Commonwealth.

26§ 74A04. Employment discrimination prohibited.

27(a) General rule.--It is unlawful for an employer to
<-28discriminate against, refuse to hire or employ an individual
29because the individual is a member of a volunteer emergency
30service organization.

1(b) <-Discrimination <-Prohibition on discipline and
2discrimination for time lost.--

3(1) It is unlawful for an employer to discipline or
4discriminate or to discharge from employment <-or to otherwise
5discriminate against an employee-volunteer with respect to
6base salary, hire, tenure, terms, conditions or privileges of
7employment for the reason that the employee-volunteer
8responded to an emergency call prior to the time the
9employee-volunteer was due to report to work, resulting in
10loss of time from employment, if the employee-volunteer
11satisfies the requirements of paragraph (2).

12(2) An employee-volunteer who loses time <-as prohibited
<-13for reasons specified in this section shall immediately upon
14arriving at work inform his or her employer or immediate
15supervisor that the employee-volunteer has been called to
16respond to an emergency. The employee-volunteer losing time
17as provided for under this chapter shall supply his or her
18employer with a statement from the chief executive officer of
19his or her volunteer emergency service organization stating
20that he or she responded to a call and the time of the call.

21(3) If an employee-volunteer is employed by a private
22employer, any time lost from employment may be charged
23against the employee-volunteer's regular salary or wages or
24the private employer may apply for the tax credits provided
25in section 74A11(a) (relating to volunteer responders
26employer tax credit).

27(4) If an employee-volunteer is employed by the
28Commonwealth or a political subdivision, payment of salary or
29wages for time lost from employment shall be based on a
30policy adopted by the Commonwealth or the political

1subdivision.

2(c) Discrimination because of injury.--It is unlawful for an
3employer to discipline or to discharge from employment or to
4otherwise discriminate against an employee-volunteer with
5respect to compensation, hire, tenure, terms, conditions or
6privilege of employment because the employee-volunteer has been
7injured in the line of duty and has subsequently returned to
8work, regardless of whether the employee-volunteer received any
9workers' compensation benefits under the act of June 2, 1915
10(P.L.736, No.338), known as the Workers' Compensation Act.

11(d) Legal action.--An employer who willfully and knowingly
12violates the provisions of this chapter shall:

13(1) Revoke any disciplinary action and any penalty
14imposed against an employee-volunteer or reinstate the
15employee-volunteer to his or her former position.

16(2) Pay to the employee-volunteer all lost wages and
17benefits for the period between termination and reinstatement
18and any reasonable attorney fees which are incurred in an
19action to recover lost wages and benefits.

20(e) Period of limitations.--An action to enforce the
21provisions of this chapter shall be commenced within a period of
22two years from the date of violation, and the action shall be
23commenced in the court of common pleas of the county in which
24the employer is located.

25SUBCHAPTER B

26PRIVATE SECTOR INCENTIVES

27Sec.

2874A11. Volunteer responders employer tax credit.

2974A12. Application for tax credit.

3074A13. Review and approval.

174A14. Limitations.

274A15. Shareholder, owner or member pass-through.

374A16. Guidelines.

474A17. Applicability.

574A18. Reports.

6§ 74A11. Volunteer responders employer tax credit.

7(a) Eligibility.--A taxpayer shall be eligible to receive a
8tax credit against any qualified tax liability if the taxpayer
9permits an employee-volunteer to take a paid leave of absence
10for any of the following:

11(1) In response to an emergency call or to respond to an
12emergency call prior to the start of work.

13(2) At the written request of the chief executive
14officer of the volunteer emergency service organization in
15order to participate as a student or instructor in training
16appropriate to the volunteer emergency services organization.

17(b) Official notice required.--

18(1) In order to qualify for the paid leave of absence as
19provided for in subsection (a)(1), the employee-volunteer
20shall provide notice that the employee-volunteer has been
21called to respond to an emergency or provide notice that he
22or she responded to a call and the time of the call and
23request that a leave of absence be granted.

24(2) In order to qualify for the paid leave of absence as
25provided for in subsection (a)(2), the employee-volunteer
26shall provide the employer, within 14 days of the scheduled
27training, a signed statement from the chief executive officer
28of the volunteer emergency service organization that includes
29the reason and amount of time needed for the employee-
30volunteer to complete the training along with a request that

1a leave of absence be granted.

2§ 74A12. Application for tax credit.

3A taxpayer may apply to the department for a tax credit
4certificate under this section. The application must be on a
5form required by the department and shall include all of the
6following information:

7(1) The name and address of the taxpayer.

8(2) Documentation of the following for each eligible
9employee-volunteer in which a tax credit is being claimed:

10(i) Name and address of the employee-volunteer.

11(ii) Total wages paid by the taxpayer to the
12employee-volunteer.

13(iii) Wages paid by the taxpayer to the employee-
14volunteer paid under section 74A11(a) (relating to
15volunteer responders employer tax credit).

16(iv) Documentation as required by section 74A11(a)
17(2) or (b).

18(3) Any other information required by the department.

19§ 74A13. Review and approval.

20(a) Duties.--The department shall do all of the following:

21(1) Review and approve applications according to the
22order applications are received and the availability of tax
23credits.

24(2) Notify the applicant within 30 days of receipt of
25the application of its determination.

26(b) Issuance.--If an application is approved, the department
27shall issue the taxpayer a tax credit certificate within 15 days
28of the approval.

29§ 74A14. Limitations.

30(a) Amount.--A tax credit certificate issued under this

1section may not exceed 50% of a taxpayer's qualified tax
2liability.

3(b) Prohibition.--In granting tax credits under this
4chapter, the department may not do any of the following:

5(1) Grant more than $5,000,000 in tax credit
6certificates in any fiscal year.

7(2) Grant more than $10,000 in tax credit certificates
8to a single taxpayer in any fiscal year.

9(c) Unused credits.--A taxpayer shall not be entitled to
10carry forward, carry back or obtain a refund of any unused tax
11credit.

12(d) Sale or reassignment.--A tax credit may not be sold or
13reassigned.

14§ 74A15. Shareholder, owner or member pass-through.

15(a) Shareholder entitlement.--If a Pennsylvania S
16corporation does not have an eligible tax liability against
17which the tax credit may be applied, a shareholder of the
18Pennsylvania S corporation shall be entitled to a tax credit
19equal to the tax credit determined for the Pennsylvania S
20corporation for the taxable year multiplied by the percentage of
21the Pennsylvania S corporation's distributive income to which
22the shareholder is entitled.

23(b) Pass-through entity entitlement.--If a pass-through
24entity other than a Pennsylvania S corporation does not have tax
25liability against which the tax credit may be applied, an owner
26or member of the pass-through entity shall be entitled to a tax
27credit equal to the tax credit determined for the pass-through
28entity for the taxable year multiplied by the percentage of the
29pass-through entity's distributive income to which the owner or
30member is entitled.

1(c) Additional credit.--

2(1) Except as provided under paragraph (2), the tax
3credit provided under subsections (a) or (b) shall be in
4addition to any other tax credit to which a shareholder,
5owner or member of a pass-through entity is otherwise
6entitled under this chapter.

7(2) A pass-through entity and a shareholder, owner or
8member of a pass-through entity shall not claim a tax credit
9under this chapter for the same employee-volunteer.

10§ 74A16. Guidelines.

11The department, in conjunction with the Department of
12Revenue, shall develop written guidelines necessary for the
13implementation and administration of this article. The
14guidelines shall be posted on the department's publicly
15accessible Internet website.

16§ 74A17. Applicability.

17This chapter shall apply to taxable years beginning after
18December 31, 2013.

19§ 74A18. Reports.

20No later than June 1, 2015, and each June 1 thereafter, the
21department shall submit a report on the effectiveness of the tax
22credits granted under this chapter. The report shall include the
23names of taxpayers who were issued tax credits as of the date of
24the report. The report may include recommendations for changes
25in the calculation or administration of the tax credits and
26other information as the department deems appropriate. The
27report shall be submitted to all of the following:

28(1) The chairman and minority chairman of the
29Appropriations Committee of the Senate.

30(2) The chairman and minority chairman of the Finance

1Committee of the Senate.

2(3) The chairman and minority chairman of the
3Appropriations Committee of the House of Representatives.

4(4) The chairman and the minority chairman of the
5Finance Committee of the House of Representatives.

6SUBCHAPTER C

7PUBLIC SECTOR INCENTIVES

8Sec.

974A21. Emergency response leave of absence.

10§ 74A21. Emergency response leave of absence.

11(a) Optional paid leave.--An officer or employee of the
12Commonwealth or a political subdivision who is an employee-
13volunteer may be entitled to leave work in response to an
14emergency call without loss of pay, time or efficiency, subject
15to the terms and conditions of a policy adopted by the
16Commonwealth or political subdivision.

17(b) Official notice required.--In order to qualify for the
18paid leave as provided for in subsection (a), the employee-
19volunteer shall:

20(1) Inform his or her employer or immediate supervisor
21that the employee-volunteer has been called to respond to an
22emergency and request that a leave of absence be granted.

23(2) Supply his or her employer with a statement from the
24chief executive officer of the emergency service organization
25stating that he or she responded to a call and the time of
26the call.

27Section 3. This act shall take effect in 60 days.