Regular Session 2017-2018 House Bill 1415 P.N. 1780

PRINTER'S NO. 1780

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

1415

Session of

2017

INTRODUCED BY BARRAR, SAINATO, DeLUCA, DRISCOLL, FARRY, GILLEN,

NEILSON, READSHAW, ROZZI AND RYAN, MAY 19, 2017

REFERRED TO COMMITTEE ON VETERANS AFFAIRS AND EMERGENCY

PREPAREDNESS, MAY 19, 2017

AN ACT

Amending the act of August 26, 1971 (P.L.351, No.91), entitled

"An act providing for a State Lottery and administration

thereof; authorizing the creation of a State Lottery

Commission; prescribing its powers and duties; disposition of

funds; violations and penalties therefor; exemption of prizes

from State and local taxation and making an appropriation,"

in State lottery, further providing for statement of purpose,

for powers and duties of secretary and for disposition of

funds and providing for instant lottery game to benefit

veterans.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. Sections 301, 303(a)(11) and 311 of the act of

August 26, 1971 (P.L.351, No.91), known as the State Lottery

Law, are amended to read:

Section 301. Statement of purpose.

This chapter is enacted to establish a lottery to be operated

by the State, the net proceeds of which are to be used after

June 30, 1972, for the purposes of providing property tax relief

for the elderly for taxes paid in 1971 and thereafter to persons

65 years of age or older and for providing certain free fixed

route local transit services to persons 65 years of age or older

and reduced fare on group ride transit service to persons 65

years of age or older and for establishing an instant lottery

game to benefit veterans. It is further intended to provide a

means through which to curb illegal gambling operations in

Pennsylvania.

Section 303. Powers and duties of secretary.

(a) Powers and duties enumerated.--In addition to the powers

and duties provided by law and the act of April 9, 1929

(P.L.177, No.175), known as The Administrative Code of 1929, the

secretary shall have the power and it shall be his duty to

operate and administer the lottery, and to promulgate rules and

regulations governing the establishment and operation thereof,

including, but not limited to:

* * *

(11) The apportionment of the total revenues accruing

from the sale of lottery tickets or shares and from all other

sources among:

(i) [the] The payment of prizes to the holders of

winning tickets or shares[;].

(ii) [the] The payment of costs incurred in the

operation and administration of the lottery, including

the expenses of the division and the costs resulting from

any contract or contracts entered into for promotional,

advertising or operational services or for the purchase

or lease of lottery equipment and materials[; and].

(iv) [for] For property tax relief and free or

reduced fare transit service for the elderly as provided

in section 311. For fiscal years beginning before July 1,

2014, no less than 27% of the total revenues accruing

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from the sale of lottery tickets or shares shall be

dedicated to this subparagraph. For fiscal years

beginning after June 30, 2014, no less than 25% of the

total revenues accruing from the sale of lottery tickets

or shares shall be dedicated to this subparagraph.

(v) The payment to the Veterans' Trust Fund for

veterans services, outreach and benefit programs as

provided in section 316. All proceeds accruing from the

sale of instant lottery games under section 316, after

the payment of prizes and operational and administrative

costs, shall be dedicated to this subparagraph.

* * *

Section 311. Disposition of funds.

(a) State Lottery Fund.--All moneys received from the

operation of the State lottery shall be deposited in a State

Lottery Fund which is hereby created. Such moneys shall be used

to the extent necessary for the payment of lottery prizes but

the amount so used shall not be less than 40% of the amount of

which tickets or shares have been sold. All payments of lottery

prizes and for expenses of operation of the lottery shall be

made as provided by law. All moneys remaining after payment of

prizes and operating expenses shall remain in the State Lottery

Fund and shall be allocated for the purpose of providing

property tax relief for the elderly for taxes paid in 1971 and

thereafter pursuant to [the provisions of the act of March 11,

1971 (P.L.104, No.3), known as the Senior Citizens Rebate and

Assistance Act] Chapter 13 of the act of June 27, 2006 (1st

Sp.Sess., P.L.1873, No.1), known as the Taxpayer Relief Act, and

for the purpose of providing free or reduced fare transit

service for the elderly pursuant to Chapter 9 and the act of

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February 11, 1976 (P.L.14, No.10), known as the Pennsylvania

Rural and Intercity Common Carrier Surface Transportation

Assistance Act and for veterans services, outreach and benefit

programs as provided in section 316. In the event sufficient

funds are not available from the lottery receipts to meet the

requirements of [the Senior Citizens Rebate and Assistance Act]

Chapter 13 of the Taxpayer Relief Act or for providing free or

reduced fare transit service for the elderly under Chapter 9 and

the Pennsylvania Rural and Intercity Common Carrier Surface

Transportation Assistance Act or for veterans services, outreach

and benefit programs as provided in section 316, additional

funds to fulfill these obligations shall be appropriated from

the General Fund for this purpose.

(b) Appropriations.--The moneys in said State Lottery Fund

shall be appropriated only:

(1) For the payment of prizes to the holders of winning

lottery tickets or shares.

(2) For the expenses of the division in its operation of

the lottery.

(3) For property tax relief and free or reduced fare

transit service for the elderly as provided under subsection

(a).

(4) To the Veterans' Trust Fund for veterans services,

outreach and benefit programs as provided in section 316.

Section 2. The act is amended by adding a section to read:

Section 316. Instant lottery game to benefit veterans.

(a) General rule.--The secretary shall operate an instant

lottery game to benefit veterans of the armed forces of the

United States who reside in this Commonwealth. The game tickets

must clearly state that the game proceeds are used to benefit

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veterans in this Commonwealth.

(b) Advertisement.--

(1) The secretary shall market and advertise the instant

lottery game operated under this section to inform the public

that the game tickets are available for purchase daily and

that the game proceeds will be used to fund the following:

(i) Veterans' day-care services as established and

administered by the Department of Military and Veterans

Affairs.

(ii) Veterans' benefit programs as provided by the

Commonwealth.

(iii) Veterans' outreach as determined by the

Department of Military and Veterans Affairs.

(2) The secretary shall change the design or theme of

the game regularly to ensure that the game remains

competitive with all instant lottery games offered by the

State lottery.

secretary shall transfer all proceeds from the sale of the

instant lottery game tickets as provided under section 303(a)

(11)(v) to the Veterans' Trust Fund for purposes specified in 51

Pa.C.S. § 1721(c) (relating to Veterans' Trust Fund).

Section 3. This act shall take effect in 180 days.

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