Regular Session 2019-2020 House Bill 1520 P.N. 2212

SENATE AMENDED

PRIOR PRINTER'S NO. 1915

PRINTER'S NO. 2212

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

1520

Session of

2019

INTRODUCED BY SNYDER, CAUSER, PASHINSKI, BERNSTINE, A. DAVIS,

T. DAVIS, DeLISSIO, FEE, FREEMAN, GREINER, HANBIDGE, HERSHEY,

HICKERNELL, M. K. KELLER, KINSEY, LONGIETTI, MALAGARI,

MILLARD, OWLETT, RYAN, SAPPEY, SAYLOR, STRUZZI, WEBSTER,

ZIMMERMAN, IRVIN, BURGOS, RABB, SAINATO, KORTZ AND KENYATTA,

MAY 29, 2019

SENATOR VOGEL, AGRICULTURE AND RURAL AFFAIRS, IN SENATE, AS

AMENDED, JUNE 24, 2019

AN ACT

Amending Title 3 (Agriculture) of the Pennsylvania Consolidated

Statutes, providing for grant programs. IN PENNSYLVANIA

PREFERRED® TRADEMARK, FURTHER PROVIDING FOR PENNSYLVANIA

PREFERRED® TRADEMARK LICENSING FUND AND PROVIDING FOR

MILITARY VETERANS; PROVIDING FOR GRANT PROGRAMS; AND MAKING

EDITORIAL CHANGES.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. Title 3 of the Pennsylvania Consolidated Statutes

is amended by adding a part to read:

SECTION 1. CHAPTER 46 OF TITLE 3 OF THE PENNSYLVANIA

CONSOLIDATED STATUTES IS AMENDED BY ADDING A SUBCHAPTER HEADING

IMMEDIATELY PRECEDING SECTION 4601 TO READ:

SUBCHAPTER A

GENERAL PROVISIONS

SECTION 2. CHAPTER 46 OF TITLE 3 IS AMENDED BY ADDING A

SUBCHAPTER HEADING IMMEDIATELY PRECEDING SECTION 4603 TO READ:

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SUBCHAPTER B

PENNSYLVANIA PREFERRED ® PROGRAM

SECTION 3. SECTIONS 4603, 4604, 4605, 4606 AND 4607 OF TITLE

3 ARE RENUMBERED TO READ:

§ [4603] 4611. PENNSYLVANIA PREFERRED® TRADEMARK.

THE DEPARTMENT SHALL TAKE ALL ACTIONS NECESSARY AND

APPROPRIATE TO ACQUIRE, CREATE, ESTABLISH, REGISTER, MAINTAIN,

LICENSE, PROMOTE AND PROTECT A PENNSYLVANIA PREFERRED® TRADEMARK

FOR USE ON OR IN CONNECTION WITH THE SALE, MARKETING OR

PROMOTION OF A PENNSYLVANIA-PRODUCED AGRICULTURAL COMMODITY.

§ [4604] 4612. LICENSEE QUALIFICATION.

A QUALIFIED ENTITY SHALL MEET AT LEAST ONE OF THE FOLLOWING

REQUIREMENTS TO BECOME A LICENSEE:

(1) BE A PERSON THAT PRODUCES AN AGRICULTURAL COMMODITY:

(I) THAT IS ENTIRELY HARVESTED FROM A PENNSYLVANIA

LOCATION OR IS GROWN AT A PENNSYLVANIA LOCATION FOR AT

LEAST 75% OF THE COMMODITY'S PRODUCTION CYCLE; AND

(II) THAT, IF INSPECTED BY THE DEPARTMENT, THE USDA,

THE FDA OR AN INDEPENDENT CERTIFYING AGENCY APPROVED BY

THE DEPARTMENT, IS APPROVED BY THE INSPECTING AUTHORITY

AS MEETING ALL APPLICABLE QUALITY, SANITATION, SAFETY AND

LABELING STANDARDS OF THAT INSPECTING AUTHORITY.

(2) BE A PERSON THAT PROCESSES AN AGRICULTURAL

COMMODITY:

(I) IN WHOLE OR IN PART AT A FACILITY WHICH IS

LOCATED WITHIN THIS COMMONWEALTH; AND

(II) IN WHOLE OR IN PART AT A FACILITY, WHICH, IF

THE AGRICULTURAL COMMODITY IS INTENDED FOR HUMAN

CONSUMPTION, IS IN COMPLIANCE WITH SUBCHAPTER B OF

CHAPTER 57 (RELATING TO FOOD SAFETY) AND ALL APPLICABLE

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FEDERAL AND STATE FOOD QUALITY, SANITATION, SAFETY AND

LABELING STANDARDS REGULATIONS; AND

(III) THE USE OF WHICH, TO THE MAXIMUM EXTENT

POSSIBLE GIVEN PRODUCTION SEASON RESTRICTIONS OR MARKET

AVAILABILITY, IS A PENNSYLVANIA-PRODUCED AGRICULTURAL

COMMODITY.

(3) BE A PERSON THAT PROMOTES OR MARKETS AN AGRICULTURAL

COMMODITY FROM A PERSON THAT MEETS THE PROVISIONS OF

PARAGRAPH (1) OR (2).

(4) BE A PUBLIC EATING AND DRINKING PLACE LICENSED UNDER

AND IN COMPLIANCE WITH SUBCHAPTER A OF CHAPTER 57 (RELATING

TO RETAIL FOOD FACILITY SAFETY) OR UNDER THE ACT OF AUGUST

24, 1951 (P.L.1304, NO.315), KNOWN AS THE LOCAL HEALTH

ADMINISTRATION LAW, WHICH OFFERS A MENU ITEM THAT INCLUDES AN

AGRICULTURAL COMMODITY FROM A PERSON THAT MEETS THE

PROVISIONS OF PARAGRAPH (1) OR (2).

(5) BE A PERSON APPROVED BY THE DEPARTMENT TO USE AND

PROMOTE THE USE OF THE PENNSYLVANIA PREFERRED® TRADEMARK TO

CONSTITUENCIES IN FURTHERING THE PURPOSES OF THIS CHAPTER.

§ [4605] 4613. DUTIES AND AUTHORITY OF DEPARTMENT.

(A) DEPARTMENT AUTHORITY TO ENTER INTO TRADEMARK LICENSE

AGREEMENTS.--

(1) THE DEPARTMENT MAY ENTER INTO A TRADEMARK LICENSE

AGREEMENT WITH A QUALIFIED ENTITY.

(2) THE DEPARTMENT SHALL ESTABLISH THE TERMS AND

CONDITIONS UNDER WHICH A PERSON MAY BE LICENSED TO USE THE

PENNSYLVANIA PREFERRED® TRADEMARK. TERMS AND CONDITIONS SHALL

REQUIRE A LICENSEE TO PRODUCE, PROCESS, PROMOTE OR MARKET AN

AGRICULTURAL COMMODITY IN A MANNER ACCEPTABLE TO THE

DEPARTMENT WHICH PROTECTS THE REPUTATION OF THE PENNSYLVANIA

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PREFERRED® TRADEMARK.

(3) THE DEPARTMENT MAY PERIODICALLY REVIEW A LICENSING

AGREEMENT TO DETERMINE IF THE TERMS ARE BEING MET.

(B) COOPERATIVE ACTIVITIES.--THE DEPARTMENT MAY ENGAGE IN

COOPERATIVE ACTIVITIES TO IMPLEMENT AND ADVANCE THE PURPOSES OF

THIS CHAPTER.

§ [4606] 4614. TRADEMARK LICENSE AGREEMENT, APPLICATION AND

LICENSURE PROCESS.

(A) GENERAL RULE.--

(1) A QUALIFIED ENTITY MAY APPLY TO BE LICENSED TO USE

THE PENNSYLVANIA PREFERRED® TRADEMARK.

(2) AN APPLICATION SHALL BE ON A FORM PREPARED BY THE

DEPARTMENT AND SHALL REQUIRE IDENTIFICATION INFORMATION AND

OTHER INFORMATION THE DEPARTMENT DEEMS NECESSARY TO DETERMINE

IF AN APPLICANT IS A QUALIFIED ENTITY.

(3) THE APPLICATION FORM SHALL BE PROVIDED BY THE

DEPARTMENT UPON REQUEST.

(4) THE DEPARTMENT SHALL HAVE THE DISCRETION TO

DETERMINE WHETHER A PERSON IS A QUALIFIED ENTITY FOR PURPOSES

OF THIS CHAPTER.

(5) IF THE DEPARTMENT DETERMINES THAT AN APPLICANT IS A

QUALIFIED ENTITY, IT SHALL OFFER THAT QUALIFIED ENTITY A

TRADEMARK LICENSE AGREEMENT.

(6) A TRADEMARK LICENSE AGREEMENT UNDER THIS CHAPTER

SHALL BE EFFECTIVE FOR ONE YEAR FROM THE DATE UPON WHICH AN

AGREEMENT IS EXECUTED AND MAY BE RENEWED. AN AGREEMENT SHALL

CONTAIN PROVISIONS ALLOWING FOR THE TERMINATION OF THE

LICENSE AGREEMENT BY THE DEPARTMENT OR A LICENSEE UPON 60

DAYS' ADVANCE WRITTEN NOTICE TO THE OTHER PARTY.

(B) PREEXISTING TRADEMARK LICENSE AGREEMENTS.--A TRADEMARK

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LICENSE AGREEMENT THAT IS IN EFFECT PRIOR TO THE EFFECTIVE DATE

OF THIS SECTION AND THAT AUTHORIZES THE USE OF A PENNSYLVANIA

PREFERRED® TRADEMARK SHALL REMAIN IN EFFECT UNTIL IT IS

TERMINATED OR UNTIL THE END OF THE CURRENT CONTRACT YEAR,

WHICHEVER OCCURS FIRST.

§ [4607] 4615. COSTS.

REIMBURSEMENT OF COSTS ARE AS FOLLOWS:

(1) THE DEPARTMENT MAY CHARGE A LICENSEE FOR COSTS

INCURRED BY THE DEPARTMENT IN CONNECTION WITH THAT LICENSEE'S

PARTICIPATION IN ANY ACTIVITY, TRADE SHOW, EXHIBITION OR

OTHER PROMOTIONAL EVENT CONDUCTED OR FACILITATED BY THE

DEPARTMENT. A CHARGE SHALL REASONABLY REFLECT THE COSTS

INCURRED BY THE DEPARTMENT IN FACILITATING THE LICENSEE'S

PARTICIPATION AND MAY INCLUDE SUCH COSTS AS PROPORTIONAL

SHARES OF EVENT REGISTRATION FEES, EQUIPMENT RENTAL FEES,

DISPLAY AREA RENTAL FEES AND RELATED COSTS.

(2) THE DEPARTMENT MAY CHARGE A LICENSEE FOR COSTS OF

PENNSYLVANIA PREFERRED® PROMOTIONAL MATERIALS PROVIDED BY THE

DEPARTMENT AT THE REQUEST OF THE LICENSEE.

SECTION 4. SECTION 4608 OF TITLE 3 IS AMENDED TO READ:

§ [4608] 4616. PENNSYLVANIA PREFERRED® TRADEMARK LICENSING

FUND.

(A) ESTABLISHMENT.--THERE IS ESTABLISHED IN THE STATE

TREASURY A SPECIAL FUND WHICH SHALL BE AN INTEREST-BEARING

RESTRICTED REVENUE ACCOUNT TO BE KNOWN AS THE PENNSYLVANIA

PREFERRED® TRADEMARK LICENSING FUND. THE FOLLOWING MONEY SHALL

BE DEPOSITED INTO THE FUND:

(1) MONEY AS IS APPROPRIATED, GIVEN, GRANTED OR DONATED

FOR THE PURPOSE ESTABLISHED UNDER THIS CHAPTER BY THE FEDERAL

GOVERNMENT, THE COMMONWEALTH OR ANY OTHER GOVERNMENT OR

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PRIVATE AGENCY OR PERSON.

(2) FUNDS DERIVED FROM THE COSTS ESTABLISHED UNDER

SECTION [4607] 4615 (RELATING TO COSTS).

(3) FUNDS DERIVED FROM CIVIL PENALTIES COLLECTED BY THE

DEPARTMENT UNDER SECTION [4609] 4617 (RELATING TO CIVIL

PENALTIES).

(B) APPROPRIATION.--MONEY IN THE FUND IS APPROPRIATED ON A

CONTINUING BASIS TO THE DEPARTMENT FOR THE PURPOSE OF

ADMINISTERING THIS CHAPTER. ALL INTEREST AND EARNINGS RECEIVED

FROM INVESTMENT OR DEPOSIT OF THE MONEY IN THE FUND SHALL BE

PAID INTO THE ACCOUNT FOR THE PURPOSE AUTHORIZED BY THIS

SECTION. ANY UNEXPENDED MONEY AND ANY INTEREST OR EARNINGS ON

THE MONEY IN THE FUND MAY NOT BE TRANSFERRED OR REVERT TO THE

GENERAL FUND, BUT SHALL REMAIN IN THE ACCOUNT TO BE USED BY THE

DEPARTMENT FOR THE PURPOSE SPECIFIED UNDER THIS SECTION.

FOLLOWS:

(1) TO PROMOTE THE LICENSURE AND USE OF THE PENNSYLVANIA

PREFERRED® TRADEMARK WITH RESPECT TO PENNSYLVANIA-PRODUCED

AGRICULTURAL COMMODITIES.

(2) TO PROMOTE THE PENNSYLVANIA PREFERRED® TRADEMARK AS

AN IDENTIFICATION OF ORIGIN AND QUALITY.

(3) TO PROMOTE PENNSYLVANIA-PRODUCED AGRICULTURAL

COMMODITIES WITH RESPECT TO WHICH THE PENNSYLVANIA PREFERRED®

TRADEMARK IS LICENSED.

(4) TO PAY COSTS ASSOCIATED WITH MONITORING THE USE OF

THE PENNSYLVANIA PREFERRED® TRADEMARK, PROHIBITING THE

UNLAWFUL OR UNAUTHORIZED USE OF THE TRADEMARK AND ENFORCING

RIGHTS IN THE TRADEMARK.

(4.1) TO PROMOTE PARTICIPATION UNDER THIS CHAPTER BY

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QUALIFIED VETERANS AND QUALIFIED VETERAN BUSINESS ENTITIES.

(4.2) TO PROMOTE, ENCOURAGE AND FACILITATE COOPERATION

BY THE DEPARTMENT WITH MILITARY, GOVERNMENT OR PRIVATE SECTOR

MARKETING EFFORTS THAT IDENTIFY, EMPHASIZE AND ENCOURAGE THE

PRODUCTION AND MARKETING OF PENNSYLVANIA-PRODUCED

AGRICULTURAL COMMODITIES BY QUALIFIED VETERANS AND QUALIFIED

VETERAN BUSINESS ENTITIES.

(5) TO OTHERWISE FUND THE DEPARTMENT'S COSTS IN

ADMINISTERING AND ENFORCING THIS CHAPTER.

(D) DEFINITIONS.--AS USED IN THIS SECTION, THE FOLLOWING

WORDS AND PHRASES SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS

SUBSECTION UNLESS THE CONTEXT CLEARLY INDICATES OTHERWISE:

"QUALIFIED VETERAN." AS DEFINED UNDER SECTION 4632 (RELATING

TO DEFINITIONS).

"QUALIFIED VETERAN BUSINESS ENTITY." AS DEFINED UNDER

SECTION 4632.

SECTION 5. SECTION 4609 OF TITLE 3 IS RENUMBERED TO READ:

§ [4609] 4617. CIVIL PENALTIES.

IN ADDITION TO ANY OTHER REMEDY AVAILABLE AT LAW OR IN EQUITY

FOR A VIOLATION OF A PROVISION OF THIS CHAPTER OR A TRADEMARK

LICENSE AGREEMENT ESTABLISHED UNDER THIS CHAPTER, THE DEPARTMENT

MAY ASSESS A CIVIL PENALTY UPON THE PERSON RESPONSIBLE FOR THE

VIOLATION. THE CIVIL PENALTY ASSESSED SHALL NOT EXCEED $10,000

AND SHALL BE PAYABLE TO THE COMMONWEALTH AND COLLECTIBLE IN ANY

MANNER PROVIDED UNDER LAW FOR THE COLLECTION OF DEBT.

SECTION 6. SECTION 4610 OF TITLE 3 IS AMENDED TO READ:

§ [4610] 4618. INJUNCTIVE RELIEF.

IN ADDITION TO ANY OTHER REMEDIES PROVIDED FOR UNDER THIS

CHAPTER, THE ATTORNEY GENERAL, AT THE REQUEST OF THE DEPARTMENT,

MAY INITIATE, IN THE COMMONWEALTH COURT OR THE COURT OF COMMON

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PLEAS OF THE COUNTY IN WHICH THE DEFENDANT RESIDES OR HAS HIS

PLACE OF BUSINESS, AN ACTION IN EQUITY FOR AN INJUNCTION TO

RESTRAIN VIOLATIONS OF THIS CHAPTER OR A TRADEMARK LICENSE

AGREEMENT. IN THE PROCEEDING, THE COURT SHALL, UPON MOTION OF

THE COMMONWEALTH, ISSUE A PRELIMINARY INJUNCTION IF IT FINDS

THAT THE DEFENDANT IS ENGAGING IN UNLAWFUL CONDUCT UNDER THIS

CHAPTER OR IS ENGAGING IN CONDUCT WHICH IS CAUSING IMMEDIATE OR

IRREPARABLE HARM TO THE PUBLIC. THE COMMONWEALTH SHALL NOT BE

REQUIRED TO FURNISH BOND OR OTHER SECURITY IN CONNECTION WITH

THE PROCEEDINGS. IN ADDITION TO AN INJUNCTION, THE COURT, IN

EQUITY PROCEEDINGS, MAY LEVY CIVIL PENALTIES AS PROVIDED UNDER

SECTION [4609] 4617 (RELATING TO CIVIL PENALTIES).

SECTION 6.1. SECTION 4611 OF TITLE 3 IS RENUMBERED TO READ:

§ [4611] 4619. RULES AND REGULATIONS.

THE DEPARTMENT SHALL PROMULGATE RULES AND REGULATIONS

NECESSARY TO PROMOTE THE EFFICIENT, UNIFORM AND STATEWIDE

ADMINISTRATION OF THIS CHAPTER. FOR TWO YEARS FROM THE EFFECTIVE

DATE OF THIS SECTION, THE DEPARTMENT SHALL HAVE THE POWER AND

AUTHORITY TO PROMULGATE, ADOPT AND USE GUIDELINES TO IMPLEMENT

THE PROVISIONS OF THIS CHAPTER. THE GUIDELINES SHALL BE

PUBLISHED IN THE PENNSYLVANIA BULLETIN BUT SHALL NOT BE SUBJECT

TO REVIEW UNDER SECTION 205 OF THE ACT OF JULY 31, 1968

(P.L.769, NO.240), REFERRED TO AS THE COMMONWEALTH DOCUMENTS

LAW, SECTIONS 204(B) AND 301(10) OF THE ACT OF OCTOBER 15, 1980

(P.L.950, NO.164), KNOWN AS THE COMMONWEALTH ATTORNEYS ACT, OR

THE ACT OF JUNE 25, 1982 (P.L.633, NO.181), KNOWN AS THE

REGULATORY REVIEW ACT. ALL GUIDELINES SHALL EXPIRE NO LATER THAN

DECEMBER 31, 2013, AND SHALL BE REPLACED BY REGULATIONS WHICH

SHALL HAVE BEEN PROMULGATED, ADOPTED AND PUBLISHED AS PROVIDED

UNDER LAW.

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SECTION 7. CHAPTER 46 OF TITLE 3 IS AMENDED BY ADDING

SUBCHAPTERS TO READ:

SUBCHAPTER C

(RESERVED)

SUBCHAPTER D

MILITARY VETERANS

SEC.

4631. PURPOSE.

4632. DEFINITIONS.

4633. QUALIFIED VETERANS AND QUALIFIED VETERAN BUSINESS

ENTITIES.

§ 4631. PURPOSE.

THE PURPOSE OF THIS SUBCHAPTER IS TO:

(1) BENEFIT QUALIFIED VETERANS AND QUALIFIED VETERAN

BUSINESS ENTITIES THAT ARE LICENSED BY THE DEPARTMENT UNDER

SUBCHAPTER B (RELATING TO PENNSYLVANIA PREFERRED PROGRAM) BY

ALLOWING AND ENCOURAGING THE USE OF OTHER TRADEMARKS OR

DESCRIPTIVE LABELS, PACKAGING OR ADVERTISEMENT INFORMATION TO

INFORM CONSUMERS THAT AGRICULTURAL COMMODITIES WERE PRODUCED

BY VETERANS OF THE ARMED FORCES OF THE UNITED STATES.

(2) ENCOURAGE QUALIFIED VETERANS AND QUALIFIED VETERAN

BUSINESS ENTITIES TO AVAIL THEMSELVES OF MARKETING

OPPORTUNITIES FOR PENNSYLVANIA-PRODUCED AGRICULTURAL

COMMODITIES THROUGH LICENSURE UNDER SUBCHAPTER B AND

PARTNERSHIP WITH ORGANIZATIONS SUCH AS THE FARMER VETERAN

COALITION HOMEGROWN BY HEROES PROGRAM AND SIMILAR PROGRAMS

INTENDED TO ENCOURAGE VETERANS TO FARM OR TO OTHERWISE

BENEFIT FARMERS WHO ARE VETERANS.

§ 4632. DEFINITIONS.

THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS SUBCHAPTER

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SHALL HAVE THE MEANINGS GIVEN TO THEM IN THIS SECTION UNLESS THE

CONTEXT CLEARLY INDICATES OTHERWISE:

"QUALIFIED VETERAN." A QUALIFIED ENTITY WHO:

(1) IS A VETERAN OF ONE OR MORE OF THE ARMED FORCES OF

THE UNITED STATES, INCLUDING THE UNITED STATES ARMY, THE

UNITED STATES NAVY, THE UNITED STATES MARINE CORPS, THE

UNITED STATES AIR FORCE OR THE UNITED STATES COAST GUARD; AND

(2) HAS RECEIVED AN HONORABLE DISCHARGE OR A GENERAL

DISCHARGE UNDER HONORABLE CONDITIONS.

"QUALIFIED VETERAN BUSINESS ENTITY." A QUALIFIED ENTITY TO

WHICH THE FOLLOWING APPLY:

(1) THE ENTITY IS A CORPORATION, PARTNERSHIP,

ASSOCIATION OR OTHER BUSINESS ORGANIZATION.

(2) QUALIFIED VETERANS MAKE UP 50% OR MORE OF THE

ENTITY'S OWNERSHIP AND A MINIMUM OF 50% OF THE ENTITY'S

MANAGEMENT CONTROL.

§ 4633. QUALIFIED VETERANS AND QUALIFIED VETERAN BUSINESS

ENTITIES.

(A) ENCOURAGEMENT OF PARTICIPATION.--THE DEPARTMENT SHALL

PROMOTE PARTICIPATION UNDER THIS SUBCHAPTER BY QUALIFIED

VETERANS AND QUALIFIED VETERAN BUSINESS ENTITIES AND SHALL

CONDUCT OUTREACH AND EDUCATION EFFORTS TO ENCOURAGE AND

FACILITATE VETERAN PARTICIPATION.

(B) COORDINATION OF EFFORT.--THE DEPARTMENT SHALL COOPERATE

WITH MILITARY, GOVERNMENT OR PRIVATE SECTOR MARKETING EFFORTS

THAT IDENTIFY, EMPHASIZE AND ENCOURAGE THE PRODUCTION AND

MARKETING OF PENNSYLVANIA-PRODUCED AGRICULTURAL COMMODITIES BY

QUALIFIED VETERANS AND QUALIFIED VETERAN BUSINESS ENTITIES AND

MAY ALLOW THE USE OF THE PENNSYLVANIA PREFERRED® TRADEMARK IN A

COOPERATIVE EFFORT.

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SECTION 8. TITLE 3 IS AMENDED BY ADDING A PART TO READ:

PART IX

GRANT PROGRAMS

Chapter

101. Very Small Meat Processor Federal Inspection

Reimbursement Grant Program

103. (Reserved)

CHAPTER 101

VERY SMALL MEAT PROCESSOR FEDERAL INSPECTION

REIMBURSEMENT GRANT PROGRAM

Sec.

10101. Short title of chapter.

10102. Legislative intent.

10103. Definitions.

10104. Grant program.

10105. Eligible costs.

10106. Final reimbursement.

§ 10101. Short title of chapter.

This chapter shall be known and may be cited as the Very

Small Meat Processor Federal Inspection Reimbursement Grant

Program.

§ 10102. Legislative intent.

It is the intent of the General Assembly that very small meat

processors be offered reimbursement grants to cover the costs

associated with meeting Federal inspection and certification

guidelines during the planning and start-up periods for these

operations.

§ 10103. Definitions.

The following words and phrases when used in this chapter

shall have the meanings given to them in this section unless the

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context clearly indicates otherwise:

"Person." An individual, partnership, association, firm,

corporation or any other legal entity.

"Very small meat processor." A person subject to Federal

meat inspection that meets the United States Department of

Agriculture's definition of a "very small processor," having

fewer than 10 employees or annual sales of less than $2,500,000.

§ 10104. Grant program.

(a) Availability.--Grants under this chapter shall only be

offered in a fiscal year in which and to the extent that funding

is made available to the department. The following shall apply:

(1) In the event funding is exhausted or otherwise

unavailable, the department shall be under no obligation to

provide grants under this chapter.

(2) Grant money may be prorated or offered as a

percentage of actual costs, as determined by the department

and set forth in an order by the secretary, to spread

available money to a larger number of eligible applicants.

The secretary shall transmit notice of an order issued under

this chapter to the Legislative Reference Bureau for

publication in the Pennsylvania Bulletin.

(b) Reimbursement grants.--A grant under this chapter shall

be a reimbursement grant. The following shall apply:

(1) The amount of reimbursement shall be based on actual

eligible costs submitted by an approved applicant during a

fiscal year in which grants are offered.

(2) Grant reimbursement money shall only be available

for the eligible costs of obtaining a Federal certification

to allow the sale of meat by a very small meat processor.

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receive reimbursement for the cost of meeting Federal inspection

guidelines during the planning and start-up periods for the

operations. The applicant must be in compliance with all

applicable Federal licensure, recordkeeping and slaughter

requirements.

(d) Application procedure.--An applicant who desires to

receive a very small meat processor Federal inspection

reimbursement grant shall submit a grant application on a form

provided by the department. The application shall contain the

following information demonstrating and attesting to:

(1) The applicant's name, the organization name, a

business address and a telephone number.

(2) A list of corporate officers.

(3) The applicant's eligibility, setting forth

information evidencing and attesting that the applicant meets

the definition of a "very small meat processor."

(4) A plan outlining the process being undertaken to

apply for and obtain Federal certification as a meat

processor.

(5) The estimated costs for which reimbursement is

sought.

(6) An attestation signed by the applicant stating the

applicant is in good standing with all Federal licensure,

recordkeeping and slaughter requirements, including the

Federal Hazard Analysis and Critical Control Points

standards.

§ 10105. Eligible costs.

The following costs shall be eligible for reimbursement:

(1) Invoiced costs directly incurred for the initial

compliance inspection.

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(2) A one-time reimbursement for the cost, not including

man hours, directly incurred in producing the required

Federal Hazard Analysis and Critical Control Points plan. If

a professional consultant is utilized to develop the Federal

Hazard Analysis and Critical Control Points plan, reasonable

costs may be reimbursed, as determined by the department.

(3) Up to 50% of the actual costs of a first-time

purchase of equipment necessary for compliance with the

Federal Hazard Analysis and Critical Control Points plan.

§ 10106. Final reimbursement.

(a) Required submission.--Reimbursement shall be based on

the approved applicant's submission of the final costs of

obtaining the required Federal certification for which grant

money was sought. The submission shall include:

(1) The date of the inspection.

(2) The name of the Federal inspector or veterinarian in

charge of the inspection.

(3) A document signed by the Federal inspector or

veterinarian in charge evidencing that the approved

applicant's establishment passed the inspection.

(4) Documentation of actual costs for which

reimbursement is sought and payment of the costs.

(b) Distribution of final reimbursement.--Distribution of

grant money to the approved applicant will occur upon the

following:

(1) Submission and receipt of the information required

under subsection (a).

(2) Final review and approval for completeness of the

required submission and the eligible costs.

(3) A completed grant agreement between the department

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and an approved applicant.

distributed to the owner of the eligible establishment. The

department may not assign grant money to a lessee, operator or

person other than the owner of the eligible very small meat

processing establishment.

CHAPTER 103

( Reserved )

Section 2 9. This act shall take effect in 60 days.

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