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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:
- Provide for
the transfer rights of temporary professional and
professional employees in the district and for their
placement in a hiring pool;
- Give the
Secretary of Education authority to designate two or more
districts within a three mile radius of Duquesne to receive
these students;
- Establish
procedures to be used to reassign students;
- Establish the
tuition rate for the attendance of the high school students
in another district and other payments to receiving
districts;
- Provide for
the transportation of the students; and
- 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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