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A02588
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No.
712
Session of
2019
INTRODUCED BY ARGALL AND PHILLIPS-HILL, MAY 31, 2019
REFERRED TO FINANCE, MAY 31, 2019
AN ACT
Amending the act of April 9, 1929 (P.L.343, No.176), entitled,
as amended, "An act relating to the finances of the State
government; providing for cancer control, prevention and
research, for ambulatory surgical center data collection, for
the Joint Underwriting Association, for entertainment
business financial management firms, for private dam
financial assurance and for reinstatement of item vetoes;
providing for the settlement, assessment, collection, and
lien of taxes, bonus, and all other accounts due the
Commonwealth, the collection and recovery of fees and other
money or property due or belonging to the Commonwealth, or
any agency thereof, including escheated property and the
proceeds of its sale, the custody and disbursement or other
disposition of funds and securities belonging to or in the
possession of the Commonwealth, and the settlement of claims
against the Commonwealth, the resettlement of accounts and
appeals to the courts, refunds of moneys erroneously paid to
the Commonwealth, auditing the accounts of the Commonwealth
and all agencies thereof, of all public officers collecting
moneys payable to the Commonwealth, or any agency thereof,
and all receipts of appropriations from the Commonwealth,
authorizing the Commonwealth to issue tax anticipation notes
to defray current expenses, implementing the provisions of
section 7(a) of Article VIII of the Constitution of
Pennsylvania authorizing and restricting the incurring of
certain debt and imposing penalties; affecting every
department, board, commission, and officer of the State
government, every political subdivision of the State, and
certain officers of such subdivisions, every person,
association, and corporation required to pay, assess, or
collect taxes, or to make returns or reports under the laws
imposing taxes for State purposes, or to pay license fees or
other moneys to the Commonwealth, or any agency thereof,
every State depository and every debtor or creditor of the
Commonwealth," in Treasury Department, further providing for
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investment of moneys. Amending the act of April 9, 1929
(P.L.343, No.176), entitled, as amended, "An act relating to
the finances of the State government; providing for cancer
control, prevention and research, for ambulatory surgical
center data collection, for the Joint Underwriting
Association, for entertainment business financial management
firms, for private dam financial assurance and for
reinstatement of item vetoes; providing for the settlement,
assessment, collection, and lien of taxes, bonus, and all
other accounts due the Commonwealth, the collection and
recovery of fees and other money or property due or belonging
to the Commonwealth, or any agency thereof, including
escheated property and the proceeds of its sale, the custody
and disbursement or other disposition of funds and securities
belonging to or in the possession of the Commonwealth, and
the settlement of claims against the Commonwealth, the
resettlement of accounts and appeals to the courts, refunds
of moneys erroneously paid to the Commonwealth, auditing the
accounts of the Commonwealth and all agencies thereof, of all
public officers collecting moneys payable to the
Commonwealth, or any agency thereof, and all receipts of
appropriations from the Commonwealth, authorizing the
Commonwealth to issue tax anticipation notes to defray
current expenses, implementing the provisions of section 7(a)
of Article VIII of the Constitution of Pennsylvania
authorizing and restricting the incurring of certain debt and
imposing penalties; affecting every department, board,
commission, and officer of the State government, every
political subdivision of the State, and certain officers of
such subdivisions, every person, association, and corporation
required to pay, assess, or collect taxes, or to make returns
or reports under the laws imposing taxes for State purposes,
or to pay license fees or other moneys to the Commonwealth,
or any agency thereof, every State depository and every
debtor or creditor of the Commonwealth," in Treasury
Department, further providing for investment of moneys; in
oil and gas wells, further providing for Oil and Gas Lease
Fund; in transportation network companies, motor carrier
companies and parking authority of a city of the first class,
providing for transportation network company extension; in
special funds, further providing for funding, for State
Workers' Insurance Board, for expiration, for definitions,
for other grants and for Commonwealth indebtedness; in
additional special funds, further providing for definitions,
for establishment of special fund and account, for use of
fund, for distributions from Pennsylvania Race Horse
Development Fund, for Workers' Compensation Security Fund,
for definitions, for use of funds, for amount of grant and
for guidelines for applications and providing for Enhanced
Revenue Collection Account, Environmental Stewardship Fund
and Recycling Fund; in general budget implementation,
providing for block grants and for reports to General
Assembly, further providing for Department of General
Services, for Pennsylvania Gaming Control Board, for
Department of Human Services, for Pennsylvania Higher
Education Assistance Agency, for surcharges, for Multimodal
Transportation Fund, for State Gaming Fund and providing for
Joint Legislative Air and Water Pollution Control and
Conservation Committee; in 2018-2019 budget implementation,
further providing for Department of Revenue; adding
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provisions relating to 2019-2020 budget implementation;
making related repeals; and making editorial changes.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 301.1(i)(2) of the act of April 9, 1929
(P.L.343, No.176), known as The Fiscal Code, is amended to read:
Section 301.1. Investment of Moneys.--* * *
(i) * * *
(2) The authority to invest or reinvest the moneys of any
fund pursuant to this subsection shall expire December 31,
[2019] 2024. The Treasury Department may maintain investments
pursuant to this subsection which are in existence on the
expiration date in this paragraph for not more than two years
following such expiration date.
Section 2. This act shall take effect immediately.
Section 1. The General Assembly finds and declares as
follows:
(1) The intent of this act is to provide for the
implementation of the 2019-2020 Commonwealth budget.
(2) The Constitution of Pennsylvania confers numerous
express duties upon the General Assembly, including the
passage of a balanced budget for the Commonwealth.
(3) Section 24 of Article III of the Constitution of
Pennsylvania requires the General Assembly to adopt all
appropriations for the operation of government in this
Commonwealth, regardless of their source. The Supreme Court
has repeatedly affirmed that "It is fundamental within
Pennsylvania's tripartite system that the General Assembly
enacts the legislation establishing those programs which the
State provides for its citizens and appropriates the funds
necessary for their operation."
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(4) Pursuant to section 13 of Article VIII of the
Constitution of Pennsylvania, the General Assembly is
explicitly required to adopt a balanced Commonwealth budget.
Given the unpredictability and potential insufficiency of
revenue collections, various changes in State law relating to
sources of revenue, the collection of revenue and the
implementation of statutes which impact revenue may be
required to discharge this constitutional obligation.
(5) Section 11 of Article III of the Constitution of
Pennsylvania requires the adoption of a general appropriation
act that embraces "nothing but appropriations." While actual
items of appropriation can be contained in a General
Appropriation Act, the achievement and implementation of a
comprehensive budget involves more than subjects of
appropriations and dollar amounts. Ultimately, the budget has
to be balanced under section 13 of Article VIII of the
Constitution of Pennsylvania. This may necessitate changes to
sources of funding and enactment of statutes to achieve full
compliance with these constitutional provisions.
(6) For the reasons set forth in paragraphs (1), (2),
(3), (4) and (5), it is the intent of the General Assembly
through this act to provide for the implementation of the
2019-2020 Commonwealth budget.
(7) Every provision of this act relates to the
implementation of the operating budget of the Commonwealth
for this fiscal year, addressing in various ways the fiscal
operations, revenues and potential liabilities of the
Commonwealth. To that end, this act is intended to implement
the 2019-2020 Commonwealth budget without specifically
appropriating public money from the General Fund. This act
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provides accountability for spending and makes transfers or
other changes necessary to impact the availability of revenue
in order to meet the requirements of section 13 of Article
VIII of the Constitution of Pennsylvania and to implement the
act of (P.L. , No. ), known as the General Appropriation
Act of 2019.
Section 1.1. Sections 301.1(i)(2) and 1601.2-E(e) of act of
April 9, 1929 (P.L.343, No.176), known as The Fiscal Code, are
amended to read:
Section 301.1. Investment of Moneys.--* * *
(i) * * *
(2) The authority to invest or reinvest the moneys of
any fund pursuant to this subsection shall expire December
31, [2019] 2024. The Treasury Department may maintain
investments pursuant to this subsection which are in
existence on the expiration date in this paragraph for not
more than two years following such expiration date.
Section 1601.2-E. Oil and Gas Lease Fund.
* * *
(e) Annual transfers.--The following apply:
(1) [For] (i) Except as provided under subparagraph
(ii), for the 2017-2018 fiscal year and each fiscal year
thereafter, $20,000,000 shall be transferred from the
fund to the Marcellus Legacy Fund for distribution to the
Environmental Stewardship Fund.
(ii) No amount shall be transferred from the fund to
the Marcellus Legacy Fund for distribution to the
Environmental Stewardship Fund for the 2019-2020 fiscal
year.
(2) For the 2017-2018 fiscal year and each fiscal year
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thereafter, $15,000,000 shall be transferred from the fund to
the Marcellus Legacy Fund for distribution to the Hazardous
Sites Cleanup Fund.
Section 1.2. The act is amended by adding a section to read:
Section 1606-M. Transportation network company extension.
Notwithstanding 53 Pa.C.S. § 57A22(1) (relating to
assessment), the provisions of 53 Pa.C.S. § 57A22 shall not
expire until December 31, 2020.
Section 2. Section 1702-A(b)(1) is amended by adding a
subparagraph to read:
Section 1702-A. Funding.
* * *
(b) Transfer of portion of surplus.--
(1) Except as may be provided in paragraph (2), for
fiscal years beginning after June 30, 2002, the following
apply:
* * *
(xi) If the Secretary of the Budget certifies that
there is a surplus in the General Fund for the 2018-2019
fiscal year, 100% of the surplus shall be deposited by
the end of the next succeeding quarter into the Budget
Stabilization Reserve Fund.
* * *
Section 3. The heading of Subarticle D of Article XVII-A and
section 1731-A of the act are reenacted to read:
SUBARTICLE D
INVESTMENTS
Section 1731-A. State Workers' Insurance Board.
Notwithstanding any inconsistent provisions of section 1512
of the act of June 2, 1915 (P.L.736, No.338), known as the
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Workers' Compensation Act, section 504 of the act of November
30, 1965 (P.L.847, No.356), known as the Banking Code of 1965,
and any other law of this Commonwealth, the power of the State
Workers' Insurance Board to invest money shall include the power
to hold, purchase, sell, assign, transfer and dispose of
securities, including common stock with the following
restrictions:
(1) Investments in equities may not exceed the lesser
of:
(i) 15% of the State Workers' Insurance Fund's
assets; or
(ii) the State Workers' Insurance Fund's statutory
surplus after discount, except that, notwithstanding the
statutory surplus, the State Workers' Insurance Fund is
authorized to invest up to 7 1/2% of the book value of
its assets in equities.
(1.1) Investments in equities shall be made subject to
the prudent investor rule as provided for under 20 Pa.C.S. §
7203 (relating to prudent investor rule).
(2) The State Workers' Insurance Board shall establish a
policy for investments and shall meet at least annually to
develop a schedule for rebalancing its investments in
securities to meet the restriction of paragraph (1).
(2.1) The State Workers' Insurance Board may invest in
financial institutions that are designated as a minority
depository institution, as defined in section 808(b) of the
Housing and Community Development Act of 1977 (Public Law 95-
128, 91 Stat. 1111), or a community development financial
institution, as defined in section 103 of the Riegel-Neal
Interstate Banking and Branching Efficiency Act of 1994
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(Public Law 103-328, 12 U.S.C. § 4702(5)), if the investment
is consistent with authorized investments and prudent person
standards applicable to the board.
Section 4. Section 1732-A of the act is reenacted and
amended to read:
Section 1732-A. Expiration.
This subarticle shall expire June 30, [2018] 2021.
Section 5. Section 1771-A of the act is amended by adding a
definition to read:
Section 1771-A. Definitions.
The following words and phrases when used in this subarticle
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
* * *
" Water and sewer project. " A project which is for a water
supply system, sewage disposal system, storm water system or
flood control.
Section 6. Section 1774.1-A of the act, amended June 22,
2018 (P.L.281, No.42), is amended to read:
Section 1774.1-A. Other grants.
(a) Water and sewer projects.--For the specified fiscal
years, from funds available to the authority under this act or
under 58 Pa.C.S. § 2315(a.1)(4) (relating to Statewide
initiatives), that are unrelated to indebtedness incurred for
the program, the following apply:
(1) For fiscal year 2013-2014, the sum of $3,000,000
shall be available for water and sewer projects with a cost
of not less than $50,000 and not more than $150,000.
(2) For fiscal year 2015-2016 and 2016-2017, the sum of
$22,000,000 shall be available for distribution or
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reimbursement for water and sewer projects with a cost of not
less than $30,000 and not more than $500,000.
(3) For fiscal year 2017-2018, the sum of $15,000,000
shall be available for distribution or reimbursement for
water and sewer projects with a cost of not less than $30,000
and not more than $500,000. In determining the grant amount
for the purpose of this paragraph, the authority shall not
include the matching funds requirement in the calculation of
the cost of the project.
(4) For fiscal year 2018-2019, the sum of $14,504,399
shall be available for distribution or reimbursement for
water and sewer projects with a cost of not less than $30,000
and not more than $500,000. In determining the grant amount
for the purpose of this paragraph, the authority shall not
include the matching funds requirement in the calculation of
the cost of the project.
(a.1) Additional water and sewer projects.--In addition to
the funds available under subsection (a)(3), for fiscal year
2017-2018, the sum of $10,000,000 from the trust account
established under 64 Pa.C.S. § 1541 (relating to trust accounts)
for the Building Pennsylvania Program shall be transferred to
the authority for distribution or reimbursement for water and
sewer projects with a cost of not less than $30,000 and not more
than $500,000. In determining the grant amount for the purpose
of this paragraph, the authority shall not include the matching
funds requirement in the calculation of the cost of the project.
(a.2) Additional water and sewer projects.--In addition to
the funds available under subsection (a)(4), for fiscal year
2018-2019, the sum of $10,000,000 from the First Industries
Program account established under 64 Pa.C.S. § 1542(b) (relating
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to revolving loan program accounts) shall be transferred to the
authority for distribution or reimbursement for water and sewer
projects with a cost of not less than $30,000 and not more than
$500,000. In determining the grant amount for the purpose of
this paragraph, the authority shall not include the matching
funds requirement in the calculation of the cost of the project.
(a.3) Additional water and sewer projects.--For fiscal year
2019-2020, the sum of $20,000,000 from the First Industries
Program account established under 64 Pa.C.S. § 1542(b), the sum
of $15,950,000 from the trust account established under 64
Pa.C.S. § 1541 for the Building Pennsylvania Program, the sum of
$650,000 from previously unexpended funds made available for
water and sewer projects under this section and the sum of
$3,400,000 from the trust account established under 64 Pa.C.S. §
1541 for the Water Supply and Wastewater Infrastructure Program
shall be transferred to the authority for distribution or
reimbursement for water and sewer projects with a cost of not
less than $30,000 and not more than $500,000. In determining the
grant amount for the purpose of this subsection, the authority
shall not include the matching funds requirement in the
calculation of the cost of the project.
(b) Guidelines.--The authority shall adopt guidelines for
the approval of applications under this section and shall ensure
that grants are made available to all geographic areas of this
Commonwealth.
(c) Eligibility.--An application for a water and sewer
project under this section may not be deemed ineligible if the
project detailed in the application is for a portion of a larger
project, the total cost of which exceeds $500,000.
(d) Additional eligibility.--For fiscal year 2018-2019, the
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authority may not require the submission of new applications,
but shall consider water and sewer projects for grant funding
submitted during the application period that ended on February
28, 2018.
Section 7. Section 1783-A(e) of the act is amended to read:
Section 1783-A. Commonwealth indebtedness.
* * *
(e) Expiration.--Authorization to issue bonds and notes, not
including refunding bonds and replacement notes, for the purpose
of the Assistance Act and this article shall expire [ten years
from the effective date of this section] October 9, 2024.
Section 8. The heading of Article XVII-A.1 of the act is
amended to read:
ARTICLE XVII-A.1
ADDITIONAL SPECIAL FUNDS AND RESTRICTED ACCOUNTS
Section 9. Section 1711-A.1 of the act is amended by adding
a definition to read:
Section 1711-A.1. Definitions.
The following words and phrases when used in this subarticle
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
* * *
"Debt service account." The Tobacco Revenue Bond Debt
Service Account established under section 2805(a) of the act of
March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of
1971.
* * *
Section 10. Section 1712-A.1(a) of the act is amended to
read:
Section 1712-A.1. Establishment of special fund and account.
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(a) Tobacco Settlement Fund.--
(1) There is established a special fund known as the
Tobacco Settlement Fund. [All]
(2) The following shall be deposited into the Tobacco
Settlement Fund:
(i) Except for deposits in the debt service account
under section 2805(b) of the act of March 4, 1971 (P.L.6,
No.2), known as the Tax Reform Code of 1971, all payments
received by the Commonwealth pursuant to the Master
Settlement Agreement shall be deposited by the Treasury
Department in the fund.
(ii) For the 2019-2020 fiscal year, an amount equal
to the annual debt service due in the 2019-2020 fiscal
year as certified by the Secretary of the Budget pursuant
to section 2804 of the Tax Reform Code of 1971, as
published in the Pennsylvania Bulletin on March 3, 2018,
at 48 Pa.B. 1406, shall be transferred to the fund from
the taxes collected under Article XII of the Tax Reform
Code of 1971, by April 30, 2020. A deposit under this
paragraph shall occur prior to the deposits and transfers
under section 1296 of the Tax Reform Code of 1971.
* * *
Section 11. Section 1713-A.1(b)(1), (1.1), (1.2), (1.3),
(1.4), (1.5) and (1.6) of the act, amended June 22, 2018
(P.L.281, No.42), are amended and the subsection is amended by
adding a paragraph to read:
Section 1713-A.1. Use of fund.
* * *
(b) Appropriations.--The following shall apply:
(1) [Except as otherwise provided in paragraphs (1.1),
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(1.2), (1.3), (1.4), (1.5) and (1.6), the General Assembly
appropriates moneys in the fund in accordance with the
following percentages based on the annual payment received in
each year:
(i) Thirteen percent for home and community-based
services pursuant to Chapter 5 of the Tobacco Settlement
Act.
(ii) Four and five-tenths percent for tobacco use
prevention and cessation programs pursuant to Chapter 7
of the Tobacco Settlement Act.
(iii) Twelve and six-tenths percent for health and
related research pursuant to section 906 of the Tobacco
Settlement Act.
(iv) One percent for health and related research
pursuant to section 909 of the Tobacco Settlement Act.
(v) Eight and eighteen one-hundredths percent for
the uncompensated care payment program pursuant to
Chapter 11 of the Tobacco Settlement Act.
(vi) Thirty percent for the purchase of Medicaid
benefits for workers with disabilities pursuant to
Chapter 15 of the Tobacco Settlement Act.
(vii) Eight percent for the expansion of the PACENET
program pursuant to Chapter 23 of the Tobacco Settlement
Act.
(viii) Twenty-two and seventy-two one-hundredths
percent shall remain in the fund to be separately
appropriated for health-related purposes.] (Reserved).
(1.1) For fiscal year 2013-2014, the General Assembly
appropriates money in the fund in accordance with the
following percentage based on the annual payment received
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each year:
(i) Thirteen percent for home-based and community-
based services under Chapter 5 of the Tobacco Settlement
Act.
(ii) Two and ninety-three hundredths percent for
tobacco use prevention and cessation programs under
Chapter 7 of the Tobacco Settlement Act.
(iii) Six and three-tenths percent for health and
related research under section 906 of the Tobacco
Settlement Act.
(iv) One-half percent for health and related
research under section 909 of the Tobacco Settlement Act.
(v) Four and nine-hundredths percent for the
uncompensated care payment program under Chapter 11 of
the Tobacco Settlement Act.
(vi) Thirty percent for the purchase of Medicaid
benefits for workers with disabilities under Chapter 15
of the Tobacco Settlement Act.
(vii) Forty-three and eighteen hundredths percent
shall remain in the fund to be separately appropriated
for health-related purposes.
(1.2) For fiscal year 2014-2015, money in the fund from
a payment received due to the recalculation of a prior annual
payment shall remain in the fund to be separately
appropriated for health-related purposes.
(1.3) For fiscal year 2014-2015, the General Assembly
appropriates money in the fund in accordance with the
following percentages based on the annual payment received
each year:
(i) Thirteen percent for home-based and community-
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based services under Chapter 5 of the Tobacco Settlement
Act.
(ii) Four and five-tenths percent for tobacco use
prevention and cessation programs under Chapter 7 of the
Tobacco Settlement Act.
(iii) Twelve and six-tenths percent for health and
related research under section 906 of the Tobacco
Settlement Act.
(iv) One percent for health and related research
under section 909 of the Tobacco Settlement Act.
(v) Eight and eighteen hundredths percent for the
uncompensated care payment program under Chapter 11 of
the Tobacco Settlement Act.
(vi) Fifteen and twelve hundredths percent for the
purchase of Medicaid benefits for workers with
disabilities under Chapter 15 of the Tobacco Settlement
Act.
(vii) Forty-five and six-tenths percent shall remain
in the fund to be separately appropriated for health-
related purposes.
(1.4) For fiscal year 2015-2016 and fiscal year 2016-
2017, money in the fund from a payment received due to the
recalculation of a prior annual payment shall remain in the
fund to be separately appropriated for health-related
purposes.
(1.5) For fiscal year 2015-2016, fiscal year 2016-2017
and fiscal year 2017-2018, the General Assembly appropriates
money in the fund in accordance with the following
percentages based on the annual payment received each year:
(i) Thirteen percent for home-based and community-
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based services under Chapter 5 of the Tobacco Settlement
Act.
(ii) Four and five-tenths percent for tobacco use
prevention and cessation programs under Chapter 7 of the
Tobacco Settlement Act.
(iii) Twelve and six-tenths percent for health and
related research under section 906 of the Tobacco
Settlement Act.
(iv) One percent for health and related research
under section 909 of the Tobacco Settlement Act.
(v) Eight and eighteen hundredths percent for the
uncompensated care payment program under Chapter 11 of
the Tobacco Settlement Act.
(vi) Thirty percent for the purchase of Medicaid
benefits for workers with disabilities under Chapter 15
of the Tobacco Settlement Act.
(vii) Thirty and seventy-two hundredths percent
shall remain in the fund to be separately appropriated
for health-related purposes.
(1.6) For fiscal year 2018-2019, the General Assembly
appropriates money in the fund in accordance with the
following percentages based on the annual payment received
each year:
(i) Four and five-tenths percent for tobacco use
prevention and cessation programs under Chapter 7 of the
Tobacco Settlement Act.
(ii) Twelve and six-tenths percent for health and
related research under section 906 of the Tobacco
Settlement Act.
(iii) One percent for health and related research
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under section 909 of the Tobacco Settlement Act.
(iv) Eight and eighteen hundredths percent for the
uncompensated care payment program under Chapter 11 of
the Tobacco Settlement Act.
(v) Thirty percent for the purchase of Medicaid
benefits for workers with disabilities under Chapter 15
of the Tobacco Settlement Act.
(vi) Forty-three and seventy-two hundredths percent
shall remain in the fund to be separately appropriated
for health-related purposes.
(1.7) For fiscal year 2019-2020, the General Assembly
appropriates money in the fund, in accordance with the
following percentages based on the sum of the portion of the
annual payment deposited and the amount deposited under
section 1712-A.1(a)(2)(ii) in the fiscal year:
(i) Four and five-tenths percent for tobacco use
prevention and cessation programs under Chapter 7 of the
Tobacco Settlement Act.
(ii) Twelve and six-tenths percent for health and
related research under section 906 of the Tobacco
Settlement Act.
(iii) One percent for health and related research
under section 909 of the Tobacco Settlement Act.
(iv) Eight and eighteen hundredths percent for the
uncompensated care payment program under Chapter 11 of
the Tobacco Settlement Act.
(v) Thirty percent for the purchase of Medicaid
benefits for workers with disabilities under Chapter 15
of the Tobacco Settlement Act.
(vi) Forty-three and seventy-two hundredths percent
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shall remain in the fund to be separately appropriated
for health-related purposes.
* * *
Section 12. Section 1723-A.1(2) and (3) of the act, amended
June 22, 2018 (P.L.281, No.42), are amended to read:
Section 1723-A.1. Distributions from Pennsylvania Race Horse
Development Fund.
Funds in the fund are appropriated to the department on a
continuing basis for the purposes set forth in this subsection
and shall be distributed to each active and operating Category 1
licensee conducting live racing as follows:
* * *
(2) Distributions from the fund shall be allocated as
follows:
(i) For fiscal years 2013-2014 and 2014-2015, each
week, $802,682 in the fund shall be transferred to the
account. This transfer shall not exceed $17,659,000
annually.
(i.1) In addition to the transfer under subparagraph
(i), for a total of 14 weeks from the effective date of
this subparagraph, each week, $300,000 shall be
transferred from the fund, for a total amount of
$4,200,000, to the State Racing Fund to be used
exclusively for the enforcement of the act of December
17, 1981 (P.L.435, No.135), known as the Race Horse
Industry Reform Act. Moneys transferred pursuant to this
subparagraph shall not be transferred subsequently to any
other State fund or account for any purpose.
(i.2) For fiscal year 2015-2016, beginning on the
effective date of this subparagraph, the sum of
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$25,759,000 in the fund shall be transferred to the
account in equal weekly amounts sufficient to complete
the transfer by June 30, 2016.
(i.3) For fiscal year 2016-2017, the sum of
$19,659,000 in the fund shall be transferred to the
account in 22 equal weekly amounts beginning on the
effective date of this subparagraph.
(i.4) For fiscal year 2017-2018, the sum of
$19,659,000 in the fund shall be transferred to the
account in 22 equal weekly amounts beginning on the
effective date of this subparagraph.
(i.5) For fiscal year 2018-2019, the sum of
$19,659,000 in the fund shall be transferred to the
account in 22 equal weekly amounts beginning on the
effective date of this subparagraph.
(i.6) For fiscal year 2019-2020, the sum of
$19,659,000 in the fund shall be transferred to the
account in 22 equal weekly amounts beginning on the
effective date of this subparagraph.
(ii) Each week, the money remaining in the fund
after any transfer under subparagraphs (i), (i.1), (i.2),
(i.3), (i.4) [and], (i.5) and (i.6) shall be distributed
to each active and operating Category 1 licensee
conducting live racing in accordance with the following
formula:
(A) Divide:
(I) the total daily assessments paid, by
each active and operating Category 1 licensee
conducting live racing, into the fund for that
week; by
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(II) the total daily assessments paid, by
all active and operating Category 1 licensees
conducting live racing, into the fund for that
week.
(B) Multiply the quotient under clause (A) by
the amount to be distributed under this subparagraph.
(iii) The distribution under subparagraph (ii) shall
be allocated as follows:
(A) The greater of 4% of the amount to be
distributed under subparagraph (ii) or $220,000 shall
be used to fund health and pension benefits for the
members of the horsemen's organizations representing
the owners and trainers at the racetrack at which the
licensed racing entity operates for the benefit of
the organization's members, their families, employees
and others in accordance with the rules and
eligibility requirements of the organization, as
approved by the commission. This amount shall be
deposited within five business days of the end of
each week into a separate account to be established
by each respective horsemen's organization at a
banking institution of its choice. Of this amount, a
minimum of $250,000 shall be paid annually by the
horsemen's organization to the thoroughbred jockeys
or standardbred drivers organization at the racetrack
at which the licensed racing entity operates for
health insurance, life insurance or other benefits to
active and disabled thoroughbred jockeys or
standardbred drivers in accordance with the rules and
eligibility requirements of that organization. The
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total distribution under this clause in any fiscal
year shall not exceed $11,400,000.
(B) Of the money remaining to be distributed
under subparagraph (ii) after application of clause
(A), the following disbursements shall be made:
(I) Eighty-three and one-third percent of
the money to be distributed under this clause
shall be deposited on a weekly basis into a
separate, interest-bearing purse account to be
established by and for the benefit of the
horsemen. The earned interest on the account
shall be credited to the purse account. Licensees
shall combine these funds with revenues from
existing purse agreements to fund purses for live
races consistent with those agreements with the
advice and consent of the horsemen.
(II) For thoroughbred tracks, 16 and 2/3% of
the money to be distributed under this clause
shall be deposited on a weekly basis into the
Pennsylvania Breeding Fund. For standardbred
tracks, 8 and 1/3% of the money to be distributed
under this clause shall be deposited on a weekly
basis into the Pennsylvania Sire Stakes Fund; and
8 and 1/3% of the money to be distributed under
this clause shall be deposited on a weekly basis
into a restricted account in the State Racing
Fund to be known as the Pennsylvania Standardbred
Breeders Development Fund. The commission shall,
in consultation with the Secretary of
Agriculture, promulgate regulations adopting a
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standardbred breeders program that will include
the administration of the Pennsylvania Stallion
Award, the Pennsylvania Bred Award and the
Pennsylvania Sired and Bred Award.
(3) The following shall apply:
(i) For fiscal year 2016-2017, the department shall
transfer $8,555,255 from the fund to the State Racing
Fund pursuant to section 2874-D of The Administrative
Code of 1929.
(ii) For fiscal year 2017-2018, the department shall
transfer $10,066,000 from the fund to the State Racing
Fund pursuant to 3 Pa.C.S. § 9374 (relating to costs of
enforcement of medication rules or regulations).
(iii) For fiscal year 2018-2019, the department
shall transfer $10,066,000 from the fund to the State
Racing Fund pursuant to 3 Pa.C.S. § 9374.
(iv) For fiscal year 2019-2020, the department shall
transfer $10,066,000 from the fund to the State Racing
Fund pursuant to 3 Pa.C.S. § 9374.
Section 12.1. Section 1734-A.1 of the act is amended to
read:
Section 1734-A.1. Workers' Compensation Security Fund.
Notwithstanding section 2112 of the act of July 12, 2016
(P.L.1577, No.16A), known as the General Appropriation Act of
2016, or any other provision of law to the contrary, any amount
transferred from the Workers' Compensation Security Fund
pursuant to section 2112 shall be repaid to the Workers'
Compensation Security Fund by July 1, [2019] 2024.
Section 12.2. Section 1741-A.1 of the act is amended by
adding definitions to read:
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Section 1741-A.1. Definitions.
The following words and phrases when used in this subarticle
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
* * *
"Large residential conversion projects." A residential
conversion project with greater than 100 parcels.
"Tapping." Interconnecting distribution facilities with
upstream interstate transmission facilities or gathering line
facilities allowing distribution service expansion, including,
but not limited to, metering, regulation, odorization and
related controls.
Section 13. Sections 1744-A.1(a), 1745-A.1 and 1746-A.1 of
the act are amended to read:
Section 1744-A.1. Use of funds.
(a) Grants.--The authority shall use the fund to provide
grants to obtain access to natural gas to any of the following:
(1) Hospitals.
(2) Businesses.
(3) Economic development organizations.
(4) Municipalities.
(5) Counties.
(6) School districts.
(7) Large residential conversion projects.
(8) Combined heat and power applications.
* * *
Section 1745-A.1. Amount of grant.
(a) Amount generally.--The authority may provide a grant for
not more than the lesser of:
(1) 50% of the cost of a project; or
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(2) [$1,000,000] $1,500,000.
(b) Tapping costs.--In addition to the amount under
subsection (a)(2), the authority may provide not more than
$500,000 for costs related to the tapping of upstream
facilities.
Section 1746-A.1. Guidelines for applications.
The authority shall:
(1) develop guidelines for submitting applications for a
grant; [and]
(2) give priority to applications that will result in
adjoining residential and nonresidential properties obtaining
natural gas[.]; and
(3) develop streamlined guidelines for submitting
applications for grants issued in the amount of $75,000 or
less to expedite the process.
Section 14. Article XVII-A.1 of the act is amended by adding
subarticles to read:
SUBARTICLE G
ENHANCED REVENUE COLLECTION ACCOUNT
Section 1761-A.1. Definitions.
The following words and phrases when used in this subarticle
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Account." The Enhanced Revenue Collection Account continued
under section 1762-A.1.
"Department." The Department of Revenue of the Commonwealth.
Section 1762-A.1. Enhanced Revenue Collection Account.
The Enhanced Revenue Collection Account is continued as a
restricted account within the General Fund. Revenues collected
and the amount of refunds avoided as a result of expanded tax
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return reviews and tax collection activities by the department
shall be deposited into the account.
Section 1763-A.1. Use of account.
(a) Appropriation.--The General Assembly may appropriate
money in the account to the department to fund the costs
associated with expanded tax return reviews and tax collection
activities.
(b) Return.--Except for amounts appropriated under
subsection (a), money in the account shall be returned
proportionately to the General Fund revenue or refund accounts
that were the source of the money no later than the 28th day of
each month of the fiscal year.
Section 1764-A.1. Report.
The department shall issue a report to the Governor, the
chairperson and minority chairperson of the Appropriations
Committee of the Senate and the chairperson and minority
chairperson of the Appropriations Committee of the House of
Representatives by June 1, 2020, and each June 1 thereafter,
with the following information:
(1) A detailed breakdown of the department's
administrative costs in implementing expanded tax return
reviews and tax collection activities.
(2) The amount of revenue collected and the amount of
refunds avoided as a result of the expanded tax return
reviews and tax collection activities, including the type of
tax generating the revenue and avoided refunds.
SUBARTICLE H
ENVIRONMENTAL STEWARDSHIP FUND
Section 1771-A.1. Definitions.
The following words and phrases when used in this subarticle
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shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Fund." The Environmental Stewardship Fund established under
27 Pa.C.S. § 6104(a) (relating to fund).
Section 1772-A.1. Appropriations.
(a) Additional appropriations.--In addition to an
appropriation under 27 Pa.C.S. § 6104(c) and (d) (relating to
fund), the General Assembly may appropriate money from the fund
to the Department of Environmental Protection and the Department
of Conservation and Natural Resources.
(b) Priority.--Money appropriated from the fund by the
General Assembly under a general appropriation act or other
appropriation act shall be distributed prior to allocations
under 27 Pa.C.S. § 6104(d).
SUBARTICLE I
RECYCLING FUND
Section 1781-A.1. Definitions.
The following words and phrases when used in this subarticle
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Fund." The Recycling Fund established under section 706 of
the act of July 28, 1988 (P.L.556, No.101), known as the
Municipal Waste Planning, Recycling and Waste Reduction Act.
Section 1782-A.1. Appropriations.
(a) Additional appropriations.--In addition to an
appropriation under section 706(b) and (c) of the act of July
28, 1988 (P.L.556, No.101), known as the Municipal Waste
Planning, Recycling and Waste Reduction Act, the General
Assembly may appropriate money from the fund to the Department
of Environmental Protection.
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(b) Priority.--Money appropriated from the fund by the
General Assembly under a general appropriation act or other
appropriation act shall be distributed prior to allocations
under section 706(c) of the Municipal Waste Planning, Recycling
and Waste Reduction Act.
Section 15. The act is amended by adding sections to read:
Section 1705-E. Block grants.
(a) Small Communities Development Block Grant.--The Small
Communities Development Block Grant (SCDBG) is to assist small
cities and communities that have a high concentration of
impoverished citizens and substandard housing to expand their
low-income and moderate-income housing opportunities and to meet
community development needs.
(b) Community Services Block Grant.--The Community Services
Block Grant (CSBG) is to provide a range of services and
activities having a measurable and potentially major impact on
the causes of poverty in the community or those areas of the
community where poverty is a particularly acute problem. In
addition, new focus may be placed on the unemployed, both old
and new. Local agencies may lower their eligibility requirements
for recipients to three months to allow greater flexibility to
assure proper consideration of each recipient.
(c) Preventive Health and Health Services Block Grant.--The
Preventive Health and Health Services Block Grant (PHHSBG) is
for the provision of preventive health and other health services
related to emergency medical systems, health initiative grants,
comprehensive public health, hypertension, fluoridation, health
education, risk reduction, home health, rape crisis and domestic
violence services.
(d) Maternal and Child Health Services Block Grant.--The
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Maternal and Child Health Services Block Grant (MCHSBG) is to
enable states to maintain and strengthen their leadership in
planning, promoting, coordinating and evaluating health care for
pregnant women, mothers, infants and children, and children with
special health care needs and in providing health services for
mothers and children who do not have access to adequate health
care.
(e) Low-Income Home Energy Assistance Block Grant.--The Low-
Income Home Energy Assistance Block Grant (LIHEABG) is to help
lessen the impact of the high cost of energy on low-income
families and individuals, including energy efficiency grants for
low-income dwellings. No less than 15% of the LIHEABG funds
received shall be used for weatherization. LIHEABG funds
received pursuant to a Presidential release of contingency funds
shall be exempt from the 15% requirement.
(f) Social Services Block Grant.--The Social Services Block
Grant (SSBG) is for the provision of social services to eligible
persons.
(g) Mental Health Services Block Grant.--The Mental Health
Services Block Grant (MHSBG) provides funds for the provision of
services to adults with serious mental illness or children with
serious emotional disturbance.
(h) Substance Abuse Block Grant.--The Substance Abuse Block
Grant (SABG) provides funds to establish and maintain programs
to combat drug and alcohol abuse.
(i) Child Care and Development Fund Block Grant.--The Child
Care and Development Fund Block Grant (CCDFBG) is for the
provision of direct child care for low-income families.
(j) Temporary Assistance for Needy Families Block Grant.--
The Temporary Assistance for Needy Families Block Grant (TANFBG)
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provides funds for the provision of cash grants, child care,
training and support services, child welfare and administration
for eligible families and individuals.
Section 1706-E. Reports to General Assembly.
(a) Independent Fiscal Office.--The Independent Fiscal
Office shall evaluate the economic impact to the Commonwealth,
its industry partners and consumers for any regulation impacting
single-use plastics, reusable plastics, auxiliary containers,
wrappings or polystyrene containers and submit a full report of
its findings to the General Assembly no later than December 31,
2020.
(b) Legislative Budget and Finance Committee.--The
Legislative Budget and Finance Committee shall evaluate the
environmental impact and any impact upon residents of this
Commonwealth from any regulation impacting single-use plastics,
reusable plastics, auxiliary containers, wrappings or
polystyrene containers and submit a full report of its findings
to the General Assembly no later than December 31, 2020.
(c) Prohibition.--Until such time as the Independent Fiscal
Office and the Legislative Budget and Finance Committee submit
the reports required under subsections (a) and (b),
respectively, the General Assembly or a local governmental body
or agency may not enact a law, rule, regulation or ordinance
imposing a tax on or relating to the use, disposition, sale,
prohibition or restriction of single-use plastics, reusable
plastics, auxiliary containers, wrappings or polystyrene
containers.
Section 16. Sections 1724-E and 1724.1-E of the act are
amended to read:
Section 1724-E. Department of General Services.
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(a) Capitol Complex fire services.--The General Assembly
shall provide annual appropriations to support the provision of
fire services to the Capitol Complex in the City of Harrisburg.
(b) Farm Show Complex restricted revenue account.--A
restricted account is hereby created within the General Fund.
Each fiscal year, the State Treasurer, after consultation with
the Secretary of the Budget and Secretary of General Services,
shall transfer into the restricted account the amount from the
general revenues of the Commonwealth collected under Article III
of the act of March 4, 1971 (P.L.6, No.2), known as the Tax
Reform Code of 1971, that is necessary for the Department of
General Services to make payments due each fiscal year under
contract number 2018-OCC7364 beginning with the 2019-2020 fiscal
year. Monies deposited in the account are hereby appropriated by
the General Assembly to the Department of General Services for
the payment of such costs.
Section 1724.1-E. Pennsylvania Gaming Control Board.
(a) Required deposit.--Notwithstanding 4 Pa.C.S. Pt. II
(relating to gaming) or any other provision of law to the
contrary, any payment of a slot machine license fee under 4
Pa.C.S. § 1209 (relating to slot machine license fee) received
by the Pennsylvania Gaming Control Board after June 30, 2014,
shall be deposited in and credited to the General Fund.
(b) Deadlines for fees.--The following shall apply:
(1) Notwithstanding 4 Pa.C.S. Pt. II or any other
provision of law to the contrary, for any slot machine
license issued in the 2016-2017 fiscal year the board shall
require the slot machine license fee under subsection (a) and
the fee under 4 Pa.C.S. § 13A61 (relating to table game
authorization fee) to be paid in full no later than June 30,
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2017.
(2) Notwithstanding 4 Pa.C.S. Pt. II or any other
provision of law to the contrary, for any slot machine
license issued in the 2017-2018 fiscal year, the board shall
require the slot machine license fee under subsection (a) and
the fee under 4 Pa.C.S. § 13A61 to be paid in full no later
than June 30, 2018.
(c) Category 4 slot machine license auctions.--
Notwithstanding 4 Pa.C.S. Pt. II or any other provision of law
to the contrary, the following shall apply:
(1) Beginning no later than September 4, 2019, and
concluding by December 31, 2019, the board shall conduct up
to five auctions for the remaining available Category 4 slot
machine licenses, subject to the limitations under paragraphs
(2) and (2.1).
(2) In conducting the auctions, the following shall
apply:
(i) The board shall conduct auctions according to
the procedures under 4 Pa.C.S. § 1305.2(c) (relating to
conduct of auctions).
(ii) The board shall set the date, time and location
of the auctions at least two weeks prior to the first
auction and make auction information available on the
board's publicly accessible Internet website.
(iii) Additional auctions shall take place until
either no remaining Category 4 slot machine licenses
remain or until an auction fails to generate a bid.
(iv) If an auction fails to generate a bid, no
further auctions shall be conducted.
(v) Eligible bidders shall only be slot machine
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licensees as defined under 4 Pa.C.S. § 1103 (relating to
definitions) which satisfy the following:
(A) the slot machine licensee's license and
table games operation certificate are in good
standing with the board; and
(B) the slot machine licensee agrees to locate a
Category 4 licensed facility as provided under 4
Pa.C.S. § 1305.1(b)(1), (3), (4), (5), (6) and (7)
(relating to Category 4 slot machine license).
(2.1) A winning bidder's Category 4 location may not be
located within 40 linear miles of a licensed facility or
another Category 4 location, as those terms are defined under
4 Pa.C.S. § 1103.
(3) Upon conclusion of the auctions under this
subsection, the board may not conduct an additional auction
of Category 4 licenses, including an auction authorized under
4 Pa.C.S. § 1305.2(b.1).
(4) Each Category 4 slot machine license fee under 4
Pa.C.S. § 1305.1(e) and authorization fee under 4 Pa.C.S. §
1305.1(d)(3)(ii) shall be deposited in accordance with 4
Pa.C.S. § 1305.2(d).
(5) The provisions of 4 Pa.C.S. § 1305.1(a), (b)(1),
(3), (4), (5), (6) and (7), (c), (d), (e), (f) and (g) shall
apply to this subsection.
(d) Category 1 slot machine license.-- The board may not
award a Category 1 slot machine license which has not been
awarded as of the effective date of this subsection.
Section 17. Sections 1729-E and 1738-E(a) of the act are
amended by adding paragraphs to read:
Section 1729-E. Department of Human Services.
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