PA Senate Republican News

 

 

WEEKLY SESSION NOTES
Senate Republican Policy Committee
Sen. Jake Corman, Chairman

Monday, July 9, 2007 

Senate Resolution 153 (Pileggi) prohibits the use of funds appropriated to the Senate to pay or reimburse for costs associated with the use of automatic dialing-announcing devices.  Adopted by Voice Vote. 

Tuesday, July 10, 2007

Senate Resolution 154 (Kasunic) recognizes the supreme sacrifice of Army Master Sergeant Arthur L. Lilley, who died on June 15, 2007, while serving our nation in Afghanistan.  Adopted by Voice Vote.

Senate Resolution 155 (Kasunic) recognizes the supreme sacrifice of Private First Class Nils G. Thompson, who died on August 4, 2005, while serving our nation in Iraq.  Adopted by Voice Vote.

Senate Resolution 156 (Kasunic) recognizes the supreme sacrifice of Army Sergeant Eric R. Hull, who died on August 18, 2003, while serving our nation in Iraq.  Adopted by Voice Vote.

Senate Resolution 157 (Kasunic) recognizes the supreme sacrifice of Marine Private First Class Shelby J. Feniello, who died on October 9, 2006, while serving our nation in Iraq.  Adopted by Voice Vote.

Senate Resolution 158 (Kasunic) recognizes the supreme sacrifice of Army First Sergeant Christopher C. Rafferty, who died on July 21, 2006 from combat wounds suffered while serving our nation in Afghanistan.  Adopted by Voice Vote.

House Bill 896 (Solobay) would amend the Liquor Code to make a number of changes.  Among other modifications, the bill would: 

  • Change the definition of "public venue" to include a convention or conference center owned by a university which is a member of the State System of Higher Education and which is operated by a university foundation or an alumni association.
  • Allow a development site of less than the requisite 100 acres to be included in the definition of a "mixed-use town center development project" if it meets certain additional criteria.
  • Allow the Pennsylvania Liquor Control Board to issue a special occasion permit to an eligible entity in a dry municipality if the Board is provided a copy of a resolution adopted by the municipality's governing body confirming support for issuance of the permit.
  • Add the American Cancer Society, American Red Cross, United Way and any hospice to the list of groups that may receive a permit to hold wine auctions.
  • Remove the room requirement for hotel licenses that were issued prior to January 1, 1965 in communities with fewer than 10,000 residents and for hotel licenses that were granted prior to September 1, 1949, provided that the license lapsed not more than once and the board issued the hotel a new license prior to January 1, 1971.
  • Under certain conditions, permit students being instructed in the performing arts to participate in exhibitions on licensed premises.  Currently, the law permits such exhibitions only in the observance of ethnic heritage.
  • Add farmers' markets to the list of places for which a limited winery may obtain a special permit to sell and promote its products.  Passed:  43-6.

Executive Session

Chris Dwyer – Council of Trustees of Lock Haven University.  Confirmed:  49-0. 

Wednesday, July 11, 2007

There were no final passage votes taken in the Senate on Wednesday.

Thursday, July 12. 2007 

Senate Bill 690 (Waugh) would create the Resource Enhancement and Protection Tax Credit Program Act to improve stream and river water quality standards.  Among other provisions, the bill would establish the Resource Enhancement and Protection Tax Credit Program to encourage private investment in the implementation of best management practices on agricultural operations, the planting of riparian forest buffers and the remediation of legacy sediment.  Tax credits, which may be sold or assigned and carried forward for up to fifteen years, would be granted to reimburse the cost of environmental initiatives, ranging from 25 percent to 75 percent of the costs depending on the nature of the project.  Credits granted under the program may not exceed $150,000 to an eligible applicant or $150,000 to an agricultural operation while the total amount of tax credits granted by the Department of Revenue may not exceed $10 million in any fiscal year.  Passed:  48-0.

Senate Bill 917 (Wozniak) would authorize the Department of General Services (DGS) to convey approximately five acres and a residential dwelling in Cambria Township, Cambria County to CDM Ebensburg, LLC for fair market value determined by an independent appraisal.  The proceeds from the sale could be used by DGS to construct, purchase, or lease a temporary or replacement residence for the superintendent for the Ebensburg Center.  The Department of General Services could reimburse itself for costs and fees incurred as a result of the conveyance.  Any funds remaining after the construction, purchase or lease of a replacement residence and the reimbursement of costs to DGS would be deposited in the General Fund.  The Department of General Services would be authorized to award a single contract for the construction of a new residence for the superintendent of the Ebensburg Center.  No portion of the conveyance could be used for a licensed gaming facility or it would revert to the Commonwealth.  In the event the conveyance is not executed within 12 months, the property could be disposed of in accordance with the Administrative Code of 1929.  Passed:  48-0.

Senate Bill 989 (Piccola) would authorize DGS to convey 47.28 acres in Susquehanna Township, Dauphin County to the Pennsylvania State Employees Credit Union (PSECU) for $2,718,600.  The Department of General Services could reimburse itself for costs and fees incurred as a result of the conveyance.  Any funds remaining after reimbursement to DGS would be deposited into the Agricultural Farm Operations Account.  No portion of the conveyance could be used for a licensed gaming facility or it would revert to the Commonwealth.  If PSECU and DGS cannot reach a mutually acceptable agreement of sale within 12 months, the property could be disposed of in accordance with the Administrative Code of 1929.  Passed:  48-0.

Senate Resolution 159 (Baker) recognizes the POW-MIA Pennsylvania Project as a model program for the collection of mitochondrial DNA samples to assist in the location of missing military servicemen abroad.  Adopted by Voice Vote.

House Bill 202 (Petrone) would amend the Vehicle Code to clarify that the one pilot car rule for vehicles greater than 13 feet but less than 14 feet in width would apply to any vehicle or combination up to 120 feet in length.  The measure would also amend Section 7304.1 of the Vehicle Code to include second class cities.  This section currently governs reports and removal of abandoned vehicles in first class cities.  Passed:  48-0.

House Bill 1251 (Readshaw) would amend the Medical Practice Act to increase from two to four the number of physician assistants that a physician may supervise at one time under a collaborative or written agreement.  In health care facilities, the primary supervisor for the physician assistant would be the attending physician of record for a particular patient.  Physicians would be allowed to apply to the State Board of Medicine for a waiver to employ or supervise more than four physician assistants at any time.  The Board would be required to promulgate regulations to implement the changes within 18 months of the effective date of the act.  Passed:  48-0.

House Bill 1252 (Readshaw) would amend the Osteopathic Medical Practice Act to increase from two to four the number of physician assistants that a physician may supervise at one time under a collaborative or written agreement.  In health care facilities, the primary supervisor for the physician assistant would be the attending physician of record for a particular patient.  Physicians would be allowed to apply to the State Board of Osteopathic Medicine for a waiver to employ or supervise more than four physician assistants at any time.  The Board would be required to promulgate regulations to implement the changes within 18 months of the effective date of the act.  Passed:  48-0.

House Bill 1255 (Waters) would amend the Medical Practice Act to expand the scope of practice for licensed nurse-midwives.  The bill would allow a nurse-midwife, who has attained a master's degree or its substantial equivalent and national certification, to prescribe, dispense, order and administer drugs if certain conditions are met.  In order to prescribe medications, nurse midwives would have to complete 45 hours of course work in advanced pharmacology initially and 16 hours of continuing education in pharmacology during each two-year licensure period as a condition of license renewal.  A nurse-midwife would also be required to act in accordance with a collaborative agreement with a physician which must, at a minimum, identify the categories of drugs from which the nurse-midwife could prescribe.  The physician would be required to have hospital privileges in the specialty area of the care for which he or she is providing collaborative services.  The legislation would require the State Board of Medicine to promulgate regulations to implement these provisions within 12 months of the effective date of the act and to report to the Senate Consumer Protection and Professional Licensure Committee and the House Professional Licensure Committee every three months on the status of the regulations.  Passed:  48-0.

Executive Session

Nominations to Various Boards and Commissions.  (See Attached)  Confirmed:  48-0. 

Friday, July 13, 2007 

Senate Bill 704 (Vance) would amend the Public Welfare Code to provide for the regulation of assisted living residences.  The bill would place the responsibility for the licensing and oversight of assisted living residences within the Department of Public Welfare.  It would also add the term "assisted living residence" to various sections of the Public Welfare Code dealing with personal care homes thereby extending similar requirements to assisted living residences.  Two representatives of the assisted living residence community, one an owner or administrator and one a consumer, would be also added to the Intra-Governmental Council on Long-Term Care.

Under additional provisions of the bill, assisted living residences would be required to demonstrate that they can safely provide supplemental health care services as a condition of licensure, but could admit and retain residents not requiring such services.  Personal care homes would be prohibited from providing supplemental health care services, but could assist a consumer in securing those services.  A screening process is required prior to admission to ensure that a consumer's needs are addressed.  An assisted living residence would be prohibited from admitting, retaining, or serving individuals with specified conditions unless an exception is granted by the department.  A residence could admit individuals with other specified conditions if it can be shown that the consumer's specific health care needs can be met.  Prospective or current residents for whom placement in a skilled nursing facility is imminent would be given priority for assisted living residence services funded through a home- and community-based waiver.  The Department would be required to set licensure fees and to develop regulations in consultation with industry stakeholders, consumers and other interested parties.

Additionally, the bill would require the Department to conduct at least one onsite unannounced inspection of each personal care home and each assisted living residence annually.  Assisted living residences would be mandated to provide a resident with his or her own living unit; to package, contract and price supplemental health care services separately from the resident agreement; and to give special explicit written disclosures regarding the facility's philosophy, capacity, and modalities with regard to the treatment of cognitive disorders.

Personal care home administrators and direct care staff are permitted to act as assisted living residence administrators and direct care staff unless the department establishes other qualifications.  Within nine months of the effective date of the act, the Legislative Budget and Finance Committee must report to the General Assembly on existing federal and other states' initiatives and programs that provide financial assistance for assisted living.  The legislation would take effect in ninety days.  Concurrence in House Amendments:  49-0.

House Bill 1253 (Solobay) would amend the Professional Nursing Law to expand the scope of practice of certified registered nurse practitioners (CRNP).  The legislation provides that, except as limited by the scope of an individual's specialty certification or by a collaborative written agreement with a physician, a CRNP would have authority to do all of the following:

  • Order home health and hospice care.
  • Order durable medical equipment.
  • Issue oral orders to the extent permitted by the healthcare facilities' by-laws, rules, regulations, or administrative policies and guidelines.
  • Make physical therapy and dietitian referrals.
  • Make respiratory and occupational therapy referrals.
  • Perform disability assessments for the program providing Temporary Assistance to Needy Families (TANF).
  • Perform and sign initial assessment or methadone treatment evaluations, provided that any order for methadone treatment would only be made by a physician.
  • Issue homebound schooling certifications.

In addition, the legislation would clarify that the changes could not be construed to (1) supersede the authority of the Departments of Health and Public Welfare to regulate the types of health care professionals who are eligible for medical staff membership or clinical privileges; and (2) restrict the authority of a health care facility to determine the scope of practice and supervision or other oversight requirements for health care professionals practicing within the facility.

The bill further provides that a CRNP, practicing in the Commonwealth, would be required to maintain a level of professional liability coverage required for a nonparticipating health care provider under the MCARE Act, but would not be eligible to participate in the Medical Care Availability and Reduction of Error (MCARE) Fund.  The State Board of Nursing, the Department of Public Welfare, the State Board of Medicine, and the Department of Health would be required to promulgate regulations to implement the legislation within 18 months of the effective date.  Passed:  49-0.

House Bill 1254 (Gibbons) would amend the Professional Nursing Law to provide for the certification of clinical nurse specialists (CNS).  A CNS would be defined as a registered nurse licensed in the Commonwealth who is certified by the State Board of Nursing as a clinical nurse specialist after filing an application and paying a fee.  Among other provisions, the legislation would:

  • Require that in order to be eligible for licensure, an individual must:  (1) be a licensed registered nurse; (2) have completed a board-approved masters degree in nursing, with a concentration in the role of a CNS, which is approved by a national accrediting body for nursing education programs; (3) hold current national certification as a CNS in a designated specialty or area pertinent to the designated specialty or meet the requirements of the board regulations where no certification examination is available in the specialty area, and (4) meet all other board requirements to practice as a CNS.
  • Provide that the board may issue certification to graduates of schools of other states, territories or countries, if the individual has met the requirements of this act and has completed a course or study equivalent to that required in this Commonwealth.
  • Require that a CNS, practicing in the Commonwealth, maintain a level of professional liability coverage required for a nonparticipating health care provider under the MCARE Act, but not be eligible to participate in the Medical Care Availability and Reduction of Error (MCARE) Fund.  The State Board of Nursing would be required to promulgate regulations consistent with this legislation within 18 months of the effective date. 
  • Provide that the CNS certification would expire on the same date as the individual's professional nursing license and require 30 hours of continuing education as a condition of biennial certification renewal.
  • Specify that nothing in the legislation would permit a CNS to engage in the practice of medicine or surgery; perform acts of medical diagnosis, or prescribe medical therapeutic or corrective measures for both physical and mental disorders.  A CNS could engage in normal nursing activities including nursing diagnosis.  Passed:  49-0.

Saturday, July 14, 2007 

Senate Bill 968 (Erickson) would amend the Medical Care Availability and Reduction of Error Act to establish procedures to reduce health care-associated infections.  Among other provisions, this legislation would: 

  • Require that all health care facilities (hospitals and nursing homes) and ambulatory surgical facilities develop, implement, and enforce internal infection control plans, within 120 days of the effective date of section 403, to improve the health and safety of patients and health care workers.
  • Mandate that infection control plans be developed by a multi-disciplinary committee and include procedures for requiring cultures and screenings for all nursing home residents and other high-risk patients admitted to a hospital. 
  • Require that infection control plans be submitted to the Department of Health within two weeks after implementation to be reviewed to ensure compliance.
  • Require health care facilities and ambulatory surgical facilities to notify all health care workers and medical staff of the infection control plan.
  • Provide for the reporting of health care-associated infections (HAI) by hospitals and nursing homes to the Department of Health, the Patient Safety Authority, and the Pennsylvania Health Care Cost Containment Council (PHC4).  Data provided would be on a patient-specific basis.  Nursing homes would report electronically in a manner to be determined by the Department of Health and the Patient Safety Authority, using Centers for Disease Control and Prevention (CDC) definitions in conjunction with national standards.  Hospitals would report using the CDC's National Healthcare Safety Network (NHSN).  Each hospital would authorize the Department of Health, the Patient Safety Authority and the PHC4 to access the NHSN database.  Hospitals would be required to meet the current PHC4 reporting requirements until reporting to the CDC's database begins.
  • Require the Patient Safety Authority to publish a notice in the Pennsylvania Bulletin stating the uniform reporting requirements; establish uniform definitions using nationally recognized standards; create and conduct training programs for infection control; include HAIs in its annual report; and appoint an advisory panel that would include at least one non-profit nursing home, one for-profit nursing home, one county home, and two representatives from hospitals, at least one of which must represent a rural hospital.
  • Require hospitals to implement qualified electronic surveillance systems to help reduce the incidence of HAIs.  Those hospitals not having an electronic surveillance system in place must do a strategic assessment by December 31, 2007 to determine their ability and capacity to do so.  Hospitals must have a system in place by December 31, 2008 unless it has been determined that it is not financially or technologically feasible.
  • Require that insurers and the Medical Assistance Program, upon approval by the federal government, reimburse for the full cost of routine cultures and screenings performed in accordance with the health care facility's and ambulatory surgical facility's infection control plan.
  • Beginning in 2009, require the Department of Public Welfare (DPW), in consultation with the Department of Health, to make quality improvement payments to health care facilities that achieve at least a 10 percent reduction in the total number of HAIs from the previous year.  For each year thereafter, DPW would consult with the Department of Health to establish the appropriate percentage reduction.
  • Establish a public awareness campaign in the Department of Health to inform the public on the prevention and treatment of health care-associated infections and the proper use of antibiotics.
  • Require the Department of Health to develop recommendations for screenings and cultures for Methicillin Resistant Staphylococcus Aureus (MRSA) and Multidrug Resistant Organism (MDRO) for "high risk" patients.
  • Require the Department of Health to develop and publish HAI rate benchmarks against which health care facilities would be measured.
  • Require nursing homes to pay a surcharge, beginning July 1, 2008, on their licensing fees.  The total annual assessment could not exceed $1 million in the aggregate.  This money would be used to offset the additional costs to the Patient Safety Authority.  Those who fail to pay the annual surcharge would be subject to penalties of $1,000 per day for non-compliance.
  • Provide that the failure of a health care facility to report health care-associated infections or the failure of a health care facility or ambulatory surgical facility to develop, implement and comply with its infection control plan would be a violation of the Health Care Facilities Act.  In addition to any penalty that may be imposed under the Health Care Facilities Act, a health care facility that negligently fails to report a health care-associated infection would be subject to an administrative penalty of $1,000 per day.  Concurrence in House Amendments:  49-0.

Sunday, July 15, 2007 

Senate Bill 116 (Costa) would amend the Judicial Code to further provide for the selection of prospective jurors.  The bill would establish a statewide jury information system within the Administrative Office of Pennsylvania Courts (AOPC).  The Departments of Public Welfare, Transportation, Revenue and State would be required to submit certain information to AOPC annually for inclusion in the statewide system.  This information would include Commonwealth residents who receive cash assistance or food stamps pursuant to a state or federal program (Public Welfare); residents who have been issued a driver's license (Transportation); residents who have filed a personal income tax return (Revenue); and residents who are listed as registered voters (State).

Lists submitted by the departments would be limited to the individual's name, address, date of birth and the last four digits of the individual's social security number.  The court administrator would collect the information annually for the statewide jury information system and combine each department's list into a master list.  The administrator would be required to remove any information that identifies the source of the information, arrange the names by county and remove duplicates.  Upon request, the administrator would make the list of names available to the county.  The court administrator and the departments would be required to enter into agreements for the use of the information.  The departments would be required to provide the information in an electronic format specified by the AOPC.  The information contained in the statewide jury information system would not be considered public information under the Right to Know Law.

The legislation would also amend section 4521 of the Judicial Code to provide that the master list of prospective jurors maintained by jury selection commissions must contain the most recent available address for prospective jurors.  In addition, the current sources of optional listings that may be incorporated into the list of prospective jurors at the discretion of the counties would be amended to delete persons who pay taxes or are assessed for taxes imposed by any political subdivision.

Further, the measure would eliminate the statute of limitations in the aggravated assault cases listed in the bill if the accused knew the victim was a law enforcement officer and the officer was acting within the scope of his or her duties.  The bill would also re-establish the senior judge operational support grants until June 30, 2012.  Senate Bill 116 would also provide for a proportional reduction of the amount of county court reimbursement for each county so that the total of all reimbursements do not exceed the amount appropriated by the General Assembly and would direct the Sentencing Commission to adopt guidelines for fines or other lawful economic sanctions to be considered by the sentencing court in determining the appropriate sentences for defendants.  Concurrence in House Amendments, as Amended:  50-0.

Senate Bill 623 (Greenleaf) would amend the Crimes Code to clarify the powers of corrections officers when there has been an escape from a correctional institution.  The bill would authorize corrections officers to use whatever force is necessary to defend themselves or others from bodily harm during the pursuit of the escaped individual.  Corrections officers could use deadly force only when they believe that such force is necessary to prevent death or serious bodily injury to themselves or others, or when the officer believes that deadly force is necessary to (1) overcome resistance and capture the escaped person, and (2) the person being pursued has been convicted of a forcible felony, possesses a deadly weapon or otherwise indicates that he will endanger others unless apprehended without delay.  The measure defines a "corrections officer" as a full-time employee assigned to the Department of Corrections whose principal duty is the care, custody and control of inmates of a penal or correctional institution operated by the department.  The bill would also require local law enforcement agencies to use the best available information, including a firearms trace where necessary, to determine how and from where a person under 21 years of age gained possession of a firearm they were not permitted to possess legally.  Local law enforcement would be required to use the National Tracing Center of the Federal Bureau of Alcohol, Tobacco and Firearms in complying with these requirements and to notify the Pennsylvania State Police of all firearms that are recovered under these provisions.  Concurrence in House Amendments, as Amended:  50-0.

House Bill 1203 (Hornaman) would amend the Alternative Energy Portfolio Standards Act to make a number of changes.  Among other modifications, the measure would increase the expected level of solar energy required to be sold to retail customers, ensure that the alternative energy that counts toward compliance is derived locally, and authorize the Pennsylvania Public Utility Commission (PUC) to determine if alternative energy resources are reasonably available or if alternative energy credits may be required before a force majeure is allowed.

The definition of "force majeure" would be amended to permit the PUC to modify the alternative energy obligations of an electric distribution company (EDC) or electric generation supplier (EGS) if the PUC determines alternative energy resources are not reasonably available in sufficient quantities in the marketplace.  Under the amended definition, the PUC:

  • Must consider whether EDCs and EGSs have made a good faith effort to comply by banking alternative credits during the transition period, seeking credits through competitive solicitations and seeking credits or alternative energy through long-term contracts.
  • Must assess the availability of alternative energy credits in the Generation Attributes Tracking System (GATS), within Pennsylvania or within the PJM Interconnection transmission organization.
  • May require solicitations for alternative energy credits as part of default service before accepting requests for force majeure.
  • May only modify the compliance obligation for a specific obligation period.
  • May further modify an obligation to require EDCs or EGSs to purchase additional alternative energy credits in subsequent years to compensate for the reduced obligation under a prior force majeure determination.

Under additional provisions, "solar thermal energy" would be added to the list of Tier 1 alternative energy resources and the timetable and percentage requirements for utility acquisition of electric energy from solar photovoltaic technologies would be updated to specify the percentage obligation by year.  Further, the inclusion of the levelized, up-front rebates received by sellers of solar renewable energy credits in other jurisdictions in the PJM Interconnection transmission organization would be required when calculating the average market value share of solar renewable energy credits for purposes of assessing alternative compliance payments.

lternative energy credits would belong to the owner of the alternative energy system or customer-generator unless a contractual provision explicitly says otherwise.  A credit owned, before the act becomes law, under a long-term contract would be owned by the utility company, not the non-utility generator.  Alternative energy credits would remain the property of the alternative energy system until the alternative energy credit is voluntarily transferred by the system.  Alternative energy credits already purchased by an individual, business or government-entity that does not have a compliance obligation under the act could not be used by an EDC or EDS to meet its compliance obligation unless the EDG or EGS purchases the alternative energy credits.  The geographic boundary limitations would be clarified for purposes of complying with the act and to prevent "double-counting" by EDCs and EGSs that must comply with renewable energy portfolio requirements in other states.

The definition of "net metering," which is the means of measuring the difference between the electricity supplied by an electric utility and the electricity generated by a customer-generator, would be changed.  The modifications would clarify that virtual meter aggregation on properties owned or leased and operated by a customer-generator and located within two miles of the customer-generator's property and within a single electric distribution company's service territory would be eligible for net metering.  Excess generation from net-metered customer-generators would receive full retail value for all energy produced on an annual basis.  Passed:  50-0.

House Bill 1295 (Hanna) would amend the Fiscal Code to make a number of changes.  Among other modifications, the bill would: 

  • Re-enact the State Employees Group Life Insurance Law of 1961 in the Fiscal Code.
  • Permit an individual agency of the General Assembly, after notifying the Secretary of General Services in writing of its intention to do so, to opt to purchase life insurance for its employees and members from the first dollar of coverage.  Currently, the Secretary of General Services procures life insurance coverage for all Commonwealth employees while the General Assembly purchases life insurance coverage in excess of that amount.
  • Provide that the entire amount of the realty transfer tax transferred to the Keystone Recreation, Park and Conservation Fund be paid to the State System of Higher Education with the provision being retroactive to July 1, 2006.
  • Incorporate budget implementation language necessary for implementation of the fiscal year 2007-2008 General Appropriation Act into the Fiscal Code.  Historically, similar language was contained in the General Appropriation Act, itself; however, last year the General Assembly initiated the practice of placing such language in the Fiscal Code.  Passed:  50-0.  (Note:  House Bill 1295 was further amended by the House of Representatives on Monday.  The Senate concurred in the House amendments to Senate amendments on Monday.)

House Bill 1530 (Dermody) would amend Title 66 (Public Utilities) of the Pennsylvania Consolidated Statutes to permit electric distribution companies or PUC-approved alternative suppliers to offer large customers, with a peak demand of 15 megawatts or greater at one meter at a location in its service territory, any negotiated rate for service at all of the customers' locations within the service territory for any duration agreed upon by the customer and the electric distribution company.  The Public Utility Commission would review contract rates within 90 days to make certain that costs are not borne by other customer classes. 

The legislation would also provide that, prior to the expiration of rate caps, electric distribution companies could build or acquire an interest in a generation facility in order to meet the energy requirements of customers with a peak demand of 20 megawatts or greater.  The electric distribution company must complete construction of the new generation facility or contract to acquire the generation interest within three years after the effective date of these provisions.  Costs associated with the generating facility interests would not be permitted to be part of the company's rate base.  The company could sell excess power on the wholesale market when the customer's peak demand is less than the company's generation interest.  Passed:  50-0.

House Bill 1656 (Moyer) would authorize the Department of General Services (DGS) to convey: 

  • Eight tracts of land totaling approximately 0.57 acres in Skippack Township, Montgomery County to the township free of any Project 70 restrictions in exchange for approximately 0.54 acres from the township upon which Project 70 restrictions would be placed.  No portion of the conveyance could be used as a licensed gaming facility or it would revert to the Commonwealth.  The measure would also authorize 11 temporary construction easements over state land.  In the event that the conveyances are not executed within 12 months, the authorization would become null and void;
  • Approximately one acre in Winslow Township, Jefferson County to the county for $750.  No portion of the conveyance could be used as a licensed gaming facility or it would revert to the Commonwealth;
  • The Mansfield Armory Building and approximately 1.23 acres in Mansfield Borough, Tioga County to the borough for fair market value as determined by an independent appraisal.  No portion of the conveyance could be used as a licensed gaming facility or it would revert to the Commonwealth.  The proceeds of the conveyance would be deposited in the State Treasury Armory Fund.  In the event the conveyance is not executed within 12 months, DGS could sell the property with the approval of the Department of Military and Veterans Affairs for fair market value as determined by an independent appraisal;
  • The Pittsburgh State Office Building and 1.26 acres through a public solicitation for proposals.  No portion of the conveyance could be used as a licensed gaming facility or it would revert to the Commonwealth.  All costs and fees incurred by DGS in selling the property would be paid from the purchase price.  An amount equal to any outstanding Commonwealth general obligation debt for renovations to the Pittsburgh State Office Building from 1989 to the present would be deducted from the proceeds of the sale and deposited in the Capital Facilities Fund.  The balance of the proceeds would be deposited in the General Fund; and
  • The Philadelphia State Office Building and 1.89 acres through a public solicitation for proposals.  No portion of the conveyance could be used as a licensed gaming facility or it would revert to the Commonwealth.  All costs and fees incurred by DGS in selling the property would be paid from the purchase price.  An amount equal to any outstanding Commonwealth general obligation debt for renovations to the Philadelphia State Office Building from 1989 to the present would be deducted from the proceeds of the sale and deposited in the Capital Facilities Fund.  The balance of the proceeds would be deposited in the General Fund.  Passed:  50-0.

Monday, July 16, 2007 

Senate Bill 97 (D. White) is an omnibus amendment to the Tax Reform Code of 1971.  Among other provisions, the bill would:

  • Expand the definition of "manufacture" for sales and use tax purposes to include the remanufacture of locomotive parts;
  • Repeal the current exclusion under the sales and use tax for the sale or use of tangible personal property directly used in commercial feature-length motion picture production;
  • Expand the provision presently allowing refunds of sales and use tax attributable to bad debt by extending the refund to credit cards in retailers' names that are handled by a third party lender.  The change would be applicable to amounts deducted as bad debts on federal income tax returns required to be filed after January 1, 2008;
  • Eliminate the sunset date for the Breast and Cervical Cancer Research check-off on the personal income tax form and extend the sunset dates for the Wild Resources and the Organ Donation check-offs from 2008 to 2010;
  • Permit banks, beginning January 1, 2008, involved in mergers or acquisitions to exclude from the book value of total equity capital, any goodwill recorded as a result of the use of purchase accounting for an acquisition or combination occurring after June 30, 2001.  (Goodwill is the excess amount above fair market value that a firm pays for another company during an acquisition);
  • Exempt out-of-state corporations from the corporate net income tax and the capital stock and franchise tax if their only activity in Pennsylvania is the owing or leasing of property, such as dies, molds, tooling and related equipment, used in the state by an unaffiliated Pennsylvania manufacturer of powder metallurgy;
  • Provide that only assessments in excess of $300 are required to be sent by certified mail by the Department of Revenue to taxpayers for assessments issued after December 31, 2007; and,
  • Establish a Film Production Tax Credit Program with maximum tax credits available of $75 million.  The credits would available for up to 25 percent of a film's qualified production expenses.  Qualified film production expense is defined as a Pennsylvania production expense if at least 60 percent of the total expenses are Pennsylvania production expenses.  However, qualified production expenses attributable to total compensation (wages and salaries) could not exceed $15 million per film.  The definition of "film" includes a feature film, a television film, a television talk or game show series, a television commercial or a television pilot or each episode of a television series which is intended as programming for a national audience.  The tax credit could be sold or assigned;
  • Establish a Resource Enhancement and Protection Tax Credit Program with a cap of $10 million per year.  The program provides a tax credit of up to $150,000 per agricultural operation for projects that utilize best management practices and meet standards established by the State Conservation Commission.  The amount of tax credit eligible applicants could receive varies from 25 to 75 percent of project costs depending upon the scope of the project.  The tax credit could be carried forward for up to 15 years and could be sold or assigned.  Entities other than the property owner, such as conservation districts, may act as project sponsors and apply for the tax credit; and,
  • Amend the Neighborhood Assistance Tax Credit Program to provide for tax credits for pass-through entities and to provide for special consideration of applications involving multiple projects.  The overall cap would remain unchanged at $18 million per year.  Credit amounts would be increased from 50 percent to 55 percent of contributions by a business firm and from 20 percent to 25 percent of qualified investments by a private company.  In addition, the credit amount limit is increased from 70 percent to 75 percent of contributions by a business firm and from 30 percent to 35 percent of qualified investments by a private company, if either of which has been designated special program priorities by the Governor.  Unused credits may be sold or assigned.  Two million dollars of the $18 million would be set aside specifically for small businesses.  Concurrence in House Amendments, as Amended:  45-3.

Senate Bill 246 (Greenleaf) would enact the Smoke Free Pennsylvania Act to prohibit smoking, with certain exceptions, in enclosed or substantially enclosed public places and workplaces, including employer-owned vehicles with more than one occupant.  "Substantially enclosed" is defined as having a ceiling or roof, with an opening in the walls constituting less than half the total area of the walls.  The area of the opening does not include doors, windows or other fittings opened or shut.  The exceptions would include:

  • a private home, private residence and private vehicle, unless the home, residence or vehicle is being used at the time for the provision of child-care services or services related to the care of children and youth in state or county custody;
  • a retail tobacco business in which the primary activity is the retail sale of tobacco products and accessories where the sale of such products generates 75 percent or more of annual gross income;
  • a cigar bar, which is defined as any area, enclosed or substantially enclosed, devoted to the sale and service of tobacco and tobacco accessories where the sales of tobacco and tobacco-related products generates 75 percent or more of the annual gross income;
  • up to 25 percent of designated sleeping rooms within a lodging establishment;
  • a private club in existence for more than 10 years; and,
  • under certain circumstances, exhibition halls, conference rooms or similar facility used exclusively for a tobacco-related event.

Smoking would not be prohibited by patients or residents in separate enclosed rooms of residential health care facilities, government housing facilities or facilities where day treatment programs are provided.  The rooms would either have to be designated as smoking rooms for patients of the facilities or programs, or serve as private residences within the facilities.  The rooms or residences would have to be ventilated to the outside.

The owner, operator, manager or other person having control of an area would be required to prominently post and properly maintain "smoking" or "no smoking" signs or the international "no smoking" symbol in the area where smoking is regulated.  In addition, the bill would prohibit any person or employer from discharging, refusing to hire or retaliating against an employee or applicant for employment for exercising any right to a smoke-free environment under the act.

Any Commonwealth agency or any political subdivision may by any other law, rule or regulation adopt and enforce additional local laws, ordinances or regulations that are more restrictive than the provisions of the act.  The board of health of a county or the officer designated by the governing body in a county that does not have a board of health would have sole jurisdiction to serve as the enforcement officer for the provisions of the act under guidelines developed and published by the Department of Health.  The Department would be required to promulgate and adopt rules and regulations to implement the provisions of the act including the enforcement of the act in the event individual counties fail to do so.  The Department of Health would also engage in a continuing program to explain and clarify the purposes and requirements of the act to affected persons and to guide owners, operators and managers in their compliance.  For a violation of the act, the enforcement officer could impose a civil penalty of $250 for the first offense, $500 for the second offense and $1,000 for each subsequent offense.  Section 10.1 of the Fire and Panic Act would be repealed.  Concurrence in House Amendments/Failed:  13-36.

Senate Bill 413 (Browne) would amend the Second Class County Code to prohibit counties covered by the act and municipalities in those counties from assessing signs and sign structures as real property for real estate tax purposes regardless of whether the structure has become affixed to the real estate.  This change would apply retroactively to assessments used for purposes of real property taxes levied and collected for fiscal periods of political subdivisions beginning on or after January 1, 2005.  Concurrence in House Amendments:  46-2.

Senate Bill 466 (Robbins) would amend the Pennsylvania Construction Code Act to exclude temporary structures which are:  erected for the purpose of participation in a fair, flea market, arts and crafts festival or other public celebration; less than 1,600 square feet in size; erected for a period of less than 30 days; not a swimming pool, spa or hot tub; and, subject to Section 503 (a) (2) of the act.  This section provides for municipal ordinances which can require compliance with certain standards as listed in the bill dealing with flame propagation criteria, electricity and portable fire extinguishers.  The bill would also exempt pole barns that are constructed on agricultural fairgrounds and only used for agricultural purposes and animal displays.  The exemption would not apply to inspections required under the International Code Council Electrical Code or its successor codes.  Concurrence in House Amendments:  48-0.

Senate Bill 548 (Corman) would establish the Long-Term Care Partnership Program to reduce future Medicaid costs for long-term care by providing incentives to individuals to insure against the potentially substantial costs that arise upon the need for long-term care.  The program would be administered by the Department of Public Welfare in accordance with requirements for qualified state long-term care insurance partnerships.  The Department of Public Welfare would be required to file a State Plan amendment with the Centers for Medicare and Medicaid Services of the United States Department of Health and Human Services to implement the program.  The program, and the treatment of assets for Medicaid eligibility and estate recovery, would be structured and administered in accordance with federal law and applicable federal guidelines for qualified state long-term care partnerships.  Long-term care policies would provide "comprehensive" coverage which includes both home care and nursing home care and would apply to all policies issued on or after the effective date of the act.

The Insurance Department would be directed to require insurers to exchange any policy or certificate issued between February 8, 2006, and the date the state plan takes effect, with a qualified Long-Term Care Partnership Program policy.  Policies exchanged would not be subject to medical underwriting if there is no change in coverage material to the risk.  Current policy holders would not be required to exchange their policy for a partnership policy.

Senate Bill 548 would also modify the provisions governing the Life and Health Insurance Guaranty Association.  The measure would increase the amount for which the Association may become liable in the event of an insurer insolvency to $300,000 (rather than the current amount of $100,000) for health insurance benefits, including any net cash surrender and net cash withdrawal values.  The bill would also establish a $300,000 limit for long-term care insurance benefits, as defined under section 1103, including any cash surrender and net cash withdrawal values.  Concurrence in House Amendments:  48-0.

Senate Bill 929 (Armstrong) would make a number of appropriations to the Trustees of the Pennsylvania State University for the 2007-2008 Fiscal Year.  These appropriations would include:  $263,499,000 for education and general expenses; $25,595,000 for the cost of agricultural research; $30,384,000 for the cost of agricultural extension services; $454,000 to enhance the recruitment and retention of disadvantaged students; $12,909,000 for the Pennsylvania College of Technology; and, $1,389,000 for debt service related to the former Williamsport Area Community College.  Concurrence in House Amendments:  46-2.

Senate Bill 930 (Armstrong) would make a number of appropriations to the Trustees of the University of Pittsburgh for the 2007-2008 Fiscal Year.  These appropriations would include:  $164,312,000 for educational and general expenses; $435,000 for student life initiatives; $442,000 to enhance the recruitment and retention of disadvantaged students; $523,000 for the teen suicide center at the Western Psychiatric Institute and Clinic; and, $2,457,000 for rural education outreach.  Concurrence in House Amendments:  46-2.

Senate Bill 934 (Armstrong) would make a number of appropriations to the Trustees of the University of Pennsylvania for the 2007-2008 Fiscal Year.  These appropriations would include:  $1,088,000 for dental clinics; $4,057,000 for instruction in the Doctor of Medicine program; $39,450,000 for veterinary activities; $3,216,000 for the Center for Infectious Disease; and $1,609,000 for cardiovascular studies.  The sum of $254,000 would also be appropriated for the general maintenance of and purchase of equipment for the University of Pennsylvania Museum.  Concurrence in House Amendments:  46-2.

Senate Bill 947 (Armstrong) would appropriate $150,000 to the Lancaster Cleft Palate for outpatient-inpatient treatment during the 2007-2008 Fiscal Year.  Concurrence in House Amendments:  46-2.

Senate Bill 953 (Armstrong) would appropriate $254,000 to the Carnegie Museums of Pittsburgh for the Carnegie Museum of Natural History for maintenance and the purchase of apparatus, supplies and equipment during the 2007-2008 Fiscal Year.  The bill would also appropriate $254,000 for the Carnegie Science Center for the general operation of the planetarium and center.  Concurrence in House Amendments:  40-8.

Senate Bill 954 (Armstrong) would appropriate $769,000 to the Franklin Institute Science Museum in Philadelphia for maintenance of the institute during the 2007-2008 Fiscal Year.  None of the appropriation could be used in support of the institute's research laboratories.  Concurrence in House Amendments:  40-8.

Senate Bill 955 (Armstrong) appropriate $471,000 to the Academy of Natural Sciences in Philadelphia for the maintenance of the academy during the 2007-2008 Fiscal Year.  Concurrence in House Amendments:  40-8.

Senate Bill 956 (Armstrong) would appropriate $359,000 to the African-American Museum in Philadelphia for operating expenses, including maintenance and the purchase of apparatus, supplies, and equipment, during the 2007-2008 Fiscal Year.  Concurrence in House Amendments:  40-8.

Senate Bill 957 (Armstrong) would appropriate $46,000 to the Everhart Museum in Scranton for operating expenses, including maintenance and the purchase of apparatus, supplies, and equipment, during the 2007-2008 Fiscal Year.  Concurrence in House Amendments:  40-8.

Senate Bill 958 (Armstrong) would appropriate $196,000 to the Mercer Museum in Doylestown for operating expenses, including maintenance and the purchase of apparatus, supplies, and equipment, during the 2007-2008 Fiscal Year.  Concurrence in House Amendments:  40-8.

Senate Bill 959 (Armstrong) would appropriate $141,000 to the Whitaker Center for Science and the Arts in Harrisburg for operating expenses, including maintenance and the purchase of apparatus, supplies, and equipment, during the 2007-2008 Fiscal Year.  Concurrence in House Amendments:  40-8.

Senate Resolution 160 (Piccola) commemorates the contributions of Milton Friedman and the 95th birthday of Milton Friedman on July 31, 2007.  Adopted by Voice Vote.

House Bill 842 (Prime Sponsor Withdrew) would amend the Public School Code to outline the funding parameters for Pennsylvania schools during the 2007-08 Fiscal Year and to make numerous other changes.  The measure would:

  • Provide for the education of high school students in the Duquesne School District whose high school has been closed by a Board of Control.  The legislation would:
  1. Provide for the transfer rights of temporary professional and professional employees in the district and for their placement in a hiring pool;
  2. Give the Secretary of Education authority to designate two or more districts within a three mile radius of Duquesne to receive these students;
  3. Establish procedures to be used to reassign students;
  4. Establish the tuition rate for the attendance of the high school students in another district and other payments to receiving districts;
  5. Provide for the transportation of the students; and
  6. Establish an Education Advisory Committee which will include representatives from the Duquesne School District and the receiving districts and parents to evaluate the process and make recommendations for improvements;
  • Require the Department of Education to notify educators 31 days in advance of their certification becoming inactive;
  • Limit the time period the Department could place a professional educator's certificate on inactive status to between June 30 and July 31 of each year;
  • Extend the authority for educational assistance funding (tutoring) to the 2007-08 school year to be used by schools that failed to achieve proficiency in mathematics and reading;
  • Authorize a Commonwealth Partnership School District (Pittsburgh School District) to dismiss certain management employees who do not hold state certification;
  • Provide funding to reimburse school districts for costs related to charter schools;
  • Provide for the distribution of the State-aid to public libraries;
  • Increase the size of the Harrisburg School District Board of Control from five to seven members with the new members being elected by and from the elected school board;
  • Require the Philadelphia School District to submit a budget stabilization plan progress report to the Secretaries of Education and Budget no later than October 15, 2007 and another no later than January 15, 2008.  Copies of the report would be sent to the Appropriations and Education Committees of the House and Senate;
  • Establish a School Nutrition Incentive Program to provide supplemental school lunch and breakfast reimbursement to schools that have adopted and implemented the Department of Education's nutritional guidelines;
  • Implement changes for submission of fingerprints for background checks to the FBI;
  • Add language to continue the Department of Education's ability to utilize funds not expended, encumbered or committed from appropriations for grants and subsidies to assist school districts certified as empowerment districts (in 2007-08 this would apply to Duquesne City and Chester-Upland School Districts);
  • Implement the Governor's Pennsylvania Inspired Leadership (PILS) initiative which alters certification procedures for school administrators;
  • Provide for the implementation of the Governor's $2 million initiative to create a technical college program to provide postsecondary occupational education and training in educationally underserved areas of the state;
  • Provide for the implementation of the Governor's $75 million initiative (known as Pre-K) as a competitive grant program to expand pre-kindergarten opportunities for eligible children ages three and four;
  • Provide for basic education payments to school districts.  All schools are guaranteed at least a two percent increase over Fiscal Year 2006-07.  The distribution formula would include:  a base supplement, hold harmless provision, tax burden supplement, poverty supplement, foundation supplement, growth supplement, limited English proficiency and inflation index supplement;
  • Provide Small District Assistance to 108 school districts;
  • Provide up to $11,200,000 from the Special Education appropriation to intermediate units for institutionalized children;
  • Provide for the special education payments to school districts with each district receiving its 2006-07 Special Education Formula Funding as a base;
  • Expand the program options from which school districts may choose to expend Pennsylvania Accountability Grants to include:  foreign language instruction in early grades, strengthening high school curricula, and intensive teacher training and teaching resources for elementary science teachers; and
  • Provide that school districts will receive the same amount in Pennsylvania Accountability Grants as the previous year, with an additional $25 million dispersed as follows:  $15 million distributed to districts using the funding to expand or create full-day kindergarten programs; $5 million to districts that currently use block grant funding for full-day kindergarten to help maintain the existing programs; and $5 million to all school districts as a two percent cost of living adjustment to their current block grant allocation.  Conference Committee Report Adopted:  41-7.

House Bill 1286 (D. Evans) is the General Appropriation Act of 2007, which contains the proposed $27.162 billion state spending plan for the 2007-2008 Fiscal Year.  Among other highlights, the measure would:

  • Provide $10.5 billion to the Department of Education, an increase of 6.2 percent.  This amount includes an additional $167 million for basic education and an additional $29 million for special education.
  • Increase the Education Improvement Tax Credit program by $16 million for a total of $75 million in available tax credits;
  • Provide funding for the "Science-It's Elementary" and "Science in Motion" programs;
  • Add $2.5 million to the New Choices/New Options Program, which helps displaced workers seek and find employment;
  • Provide $34 million for charter school reimbursement, $75 million for pre-kindergarten, and an additional $5 million for accountability grants;
  • Earmark $450,000 for a program to improve veterans' outreach and assistance throughout Pennsylvania;
  • Maintain funding for the Civil Air Patrol;
  • Increase funding for the Attorney General's drug enforcement efforts by $200,000;
  • Provide an additional $300,000 for local drug task forces and an additional $500,000 for the Attorney General's child predator unit;
  • Add $10 million to fund the Resource Enhancement and Protection Act to encourage conservation measures on farms;
  • Earmark an additional $900,000 to further enhance conservation districts;
  • Provide nursing homes with $49 million in state funding for an overall three percent increase;
  • Increase state support for autism intervention and services from $3 million to nearly $10 million;
  • Maintain the current percentage for hospital uncompensated care from the Tobacco Fund;
  • Restore $7.1 million in funding for the Hospital Community Access Program, which reimburses hospitals with a large number of medical assistance patients; and,
  • Earmark $4 million in additional funding for the health care associated infections.  Conference Committee Report Adopted:  46-2.

House Bill 1295 (Hanna) would amend the Fiscal Code to make a number of changes.  Among other modifications, the bill would:

  • Re-enact the State Employees Group Life Insurance Law of 1961 in the Fiscal Code.
  • Permit an individual agency of the General Assembly, after notifying the Secretary of General Services in writing of its intention to do so, to opt to purchase life insurance for its employees and members from the first dollar of coverage.  Currently, the Secretary of General Services procures life insurance coverage for all Commonwealth employees while the General Assembly purchases life insurance coverage in excess of that amount.
  • Provide that the entire amount of the realty transfer tax transferred to the Keystone Recreation, Park and Conservation Fund be paid to the State System of Higher Education with the provision being retroactive to July 1, 2006.
  • Permit the Governor, after declaring a disaster emergency, to transfer up to $20 million in unused general fund dollars originally appropriated for ordinary government operations to such agencies as the Governor may direct for the purpose of disaster relief.  In addition, the bill would permit the Governor to transfer up to an additional $5 million to such agencies for the purpose of reimbursing local governments for costs incurred maintaining roadways not officially the responsibility of the political subdivision and for restoring water systems adversely effected as a direct result of the emergency.
  • Incorporate budget implementation language necessary for implementation of the fiscal year 2007-2008 General Appropriation Act into the Fiscal Code.  Historically, similar language was contained in the General Appropriation Act, itself; however, last year the General Assembly initiated the practice of placing such language in the Fiscal Code.  Concurrence in House Amendments to Senate Amendments:  48-0.

House Bill 1590 (Markosek) would amend Titles 53 (Municipalities Generally), 74 (Transportation), and 75 (Vehicles) to make a number of changes.  The purpose of the bill is to provide additional funding for mass transportation and the repair of the Commonwealth's roads and bridges.

The measure would require the Pennsylvania Turnpike Commission to enter into a fifty year lease with PennDOT for the leasing of Interstate 80 which would be subsequently converted to a toll road.  Under the terms of the agreement, the Commission would be required to make payments to PennDOT of $750 million during the current fiscal year ($300 million for mass transit and $450 million for road and bridge repairs) gradually escalating to total payments of $900 million in the 2009-2010 fiscal year ($400 million for mass transit and $500 million for road and bridge repairs).  In each fiscal year thereafter, payments would increase by 2.5 percent in each of the three categories (total required Commission payments, the mass transit funding allocation, and the allocation for road and bridge funding).

The bill would permit the Commission to raise additional revenue necessary to make the required annual payments to PennDOT.  First, the Commission would be authorized to issue $5 billion in special revenue bonds to be pledged against specified revenue in the Motor License Fund, but to be paid by the Commission from tolls collected.  The Commission would be authorized to issue additional monetized bonds of approximately $5.8 million to be pledged against toll revenues.  (Excluding an estimated $1.1 billion in capital improvements necessary to convert Interstate 80 to a toll road, this would net approximately $9.7 billion for the Commonwealth's transportation needs.)  The Commission would raise revenues sufficient to repay the cost of these bonds through increased turnpike tolls (a 25 percent increase in 2009 with an annual three percent increase thereafter) and additional tolls to be collected along Interstate 80.

Highway and Bridge Repairs.  Annually, $30 million of highway and bridge repair funds would be earmarked for municipalities, with an additional $5 million for county bridges.  Further, federal funds apportioned to the Commonwealth for the maintenance of Interstate 80 (on average, $40 million over the past five years) will not be lost but will continue to be eligible for use on all other interstates in the Commonwealth.  Overall, it is estimated that the Commonwealth will save $116 million annually on costs related to repairing and maintaining Interstate 80 with that amount to become available for the repair and maintenance of other bridges and roadways.

Public Transportation.  House Bill 1590 would provide a continuing source of additional revenue for mass transit operations, commencing with $300 million during the current fiscal year.  The money would be distributed to transit agencies based on performance statistics in order to ensure an equitable distribution.  The measure includes a hold harmless provision at current year levels and contains a 50 percent annual growth cap to ensure that no agency's budget grows too rapidly.  For operating funds, a 15 percent local match is required (or a five percent increase of each system's prior year local match until it reaches the 15 percent threshold) which is just slightly over the current average.  Allegheny County would be permitted to levy two additional taxes to meet its transit deficit:  a liquor-by-the-drink tax of up to 10 percent and a $2 per day excise tax on vehicle rentals.

In addition to the Operating Program, funds would be distributed for various dedicated purposes such as the Asset Improvement Program (capital projects) including the New Initiative Program, the Capital Improvement Program, and Programs of Statewide Significance (e.g., the Persons with Disabilities Shared Ride Program and Welfare to Work programs) which, depending on the fund, will either be funded entirely by the Commonwealth or require only a minimal local match.

Funding for transit agencies would encompass not only the new infusion of cash from the Pennsylvania Turnpike Commission ($300 million), but also revenue from the Lottery Fund ($80 million), the PTAF fund ($180.3 million) and a permanently dedicated revenue neutral portion (4.4 percent) of the sales tax ($392.8 million) for total revenues of $953.1 million during the current fiscal year.  All of these monies would be deposited into a newly created consolidated fund to be known as the "Public Transportation Trust Fund."  Finally, House Bill 1590 would require transit agencies that receive greater than $5 million in state funding to conduct an evaluation of private investment opportunities and to report their findings to the chairs of the House and Senate Transportation Committees.

Tolling of Interstate 80.  Significant provisions of the bill relating to the tolling of Interstate 80 would:

  • Authorize the Commission to erect up to ten toll barriers along the 313 mile interstate;
  • Prohibit the Commission from establishing service plazas along Interstate 80, thereby protecting local businesses;
  • Require the Commission and PennDOT to conduct traffic counts on the roadways associated with Interstate 80 in order to determine diversion from the interstate;
  • Require the Commission to provide quarterly updates on the conversion process to legislative transportation committee chairs; and
  • Require the General Assembly to approve any extension of the lease of Interstate 80 beyond its current fifty years.

Miscellaneous Provisions.  Among other modifications, House Bill 1590 would impose a new code of conduct upon Turnpike commissioners and employees and require consideration for minority, women and disadvantaged business participation in contracts with PennDOT and public transportation agencies.  Passed:  30-19.

House Bill 1631 (D. Evans) is the Pennsylvania Gaming Economic Development and Tourism Fund Capital Budget Itemization Act of 2007.  The Act itemizes nine specific projects to be funded from the current revenues of the Pennsylvania Gaming Economic Development and Tourism Fund.  Grants for the itemized projects could include capital, debt and operational expenses.  The total amount authorized is $1,509,000,000.  Generally, project grants would be paid over a 10-year period with any unpaid amount being paid over the next succeeding two fiscal years.  The Pittsburgh Penguins project and the Pennsylvania Convention Center project would be paid over 30 years.  Payments for the Pennsylvania Convention Center project would be limited to a total of $880,000,000.  The Secretary of the Budget would be required to provide a quarterly report to the House and Senate Appropriations Committees detailing payments and transactions under the act.  Passed:  31-17.

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