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| THE GENERAL ASSEMBLY OF PENNSYLVANIA |
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| HOUSE BILL |
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| INTRODUCED BY FRANKEL, DECEMBER 20, 2011 |
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| REFERRED TO COMMITTEE ON APPROPRIATIONS, DECEMBER 20, 2011 |
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| AN ACT |
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1 | Amending Titles 74 (Transportation) and 75 (Vehicles) of the |
2 | Pennsylvania Consolidated Statutes, further providing for |
3 | department authorization, for fund, for application and |
4 | approval process, for coordination, for asset improvement |
5 | program and for programs of Statewide significance; and |
6 | making repeals. |
7 | The General Assembly of the Commonwealth of Pennsylvania |
8 | hereby enacts as follows: |
9 | Section 1. Section 1504(a) of Title 74 of the Pennsylvania |
10 | Consolidated Statutes is amended to read: |
11 | § 1504. Department authorization. |
12 | (a) General.--The department may, within the limitations |
13 | provided in this chapter, incur costs directly and provide |
14 | financial assistance for the purposes and activities enumerated |
15 | in this chapter. The operation of such programs, activities and |
16 | services by the department shall not be subject to the |
17 | jurisdiction of the Pennsylvania Public Utility Commission. |
18 | * * * |
19 | Section 2. Section 1506(b)(1), (c)(1) and (e) of Title 74 |
20 | are amended and the section is amended by adding a subsection to |
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1 | read: |
2 | § 1506. Fund. |
3 | * * * |
4 | (a.1) Availability of funds.--Funds not expended in the |
5 | fiscal year they were made available shall not lapse and shall |
6 | be available until expended. |
7 | (b) Deposits to fund by department.-- |
8 | (1) The following apply: |
9 | (i) Except as provided under subparagraph (ii), upon |
10 | receipt, the department shall deposit into the fund the |
11 | revenues received by the department under 75 Pa.C.S. Ch. |
12 | 89 (relating to Pennsylvania Turnpike) and the lease |
13 | agreement executed between the department and the |
14 | Pennsylvania Turnpike Commission under 75 Pa.C.S. § |
15 | 8915.3 (relating to lease of Interstate 80; related |
16 | agreements) as follows: |
17 | (A) For fiscal year 2007-2008, $250,000,000. |
18 | (B) For fiscal year 2008-2009, $250,000,000. |
19 | (C) For fiscal year 2009-2010, $250,000,000. |
20 | (D) For fiscal year 2010-2011 and each fiscal |
21 | year thereafter, the amount calculated for the |
22 | previous fiscal year, increased by 2.5%. |
23 | (ii) The deposits made to the fund under this |
24 | subsection from the turnpike shall equal [$250,000,000] |
25 | $450,000,000 annually for each fiscal year commencing |
26 | [after the expiration of the conversion period if the |
27 | conversion notice is not received by the secretary prior |
28 | to expiration of the conversion period as set forth under |
29 | 75 Pa.C.S. § 8915.3(3)] with fiscal year 2012-2013. |
30 | (c) Other deposits.--The following shall be deposited into |
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1 | the fund annually: |
2 | (1) [4.4%] 6.4% of the amount collected under Article II |
3 | of the Tax Reform Code. Revenues under this paragraph shall |
4 | be deposited into the fund by the 20th day of each month for |
5 | the preceding month. The amount deposited under this |
6 | paragraph is estimated to be equivalent to the money |
7 | available to the department from the following sources: |
8 | (i) The Supplemental Public Transportation Account |
9 | established under former section 1310.1 (relating to |
10 | supplemental public transportation assistance funding). |
11 | (ii) The amount appropriated annually by the |
12 | Commonwealth from the General Fund for mass transit |
13 | programs pursuant to a General Appropriations Act. |
14 | (2) An amount of proceeds of Commonwealth capital bonds |
15 | as determined annually by the Secretary of the Budget. |
16 | (3) Revenue in the Public Transportation Assistance Fund |
17 | established under Article XXIII of the Tax Reform Code not |
18 | otherwise dedicated pursuant to law. |
19 | (4) Other appropriations, deposits or transfers to the |
20 | fund. |
21 | * * * |
22 | (e) Program funding amounts.--Subject to available funds, |
23 | the programs established under this chapter shall be funded |
24 | annually as follows: |
25 | (1) For the program established under section 1513 |
26 | (relating to operating program), the following amounts shall |
27 | be allocated from the fund: |
28 | (i) All revenues deposited in the fund under |
29 | subsection (b)(1). |
30 | (ii) All revenues deposited in the fund under |
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1 | subsection (b)(2). |
2 | (iii) 69.99% of the revenues deposited in the fund |
3 | under subsection (c)(1). |
4 | (iv) All revenues deposited into the fund under |
5 | subsection (c)(3). |
6 | (2) (i) Except as provided under subparagraph (ii), for |
7 | the program established under section 1514 (relating to asset |
8 | improvement program): |
9 | (A) By the proceeds of Commonwealth capital |
10 | bonds deposited into the fund under subsection (c) |
11 | (2). |
12 | (A.1) For fiscal year 2007-2008, $50,000,000 |
13 | from the revenues received by the department under 75 |
14 | Pa.C.S. Ch. 89 and the lease agreement executed |
15 | between the department and the Pennsylvania Turnpike |
16 | Commission under 75 Pa.C.S. § 8915.3. The amount |
17 | received by the department under this section shall |
18 | be deposited into the fund prior to distribution and |
19 | shall be in addition to the amounts received under |
20 | subsection (b)(1). |
21 | (B) For fiscal year 2008-2009, $100,000,000 from |
22 | the revenues received by the department under 75 |
23 | Pa.C.S. Ch. 89 and the lease agreement executed |
24 | between the department and the Pennsylvania Turnpike |
25 | Commission under 75 Pa.C.S. § 8915.3. The amount |
26 | received by the department under this section shall |
27 | be deposited into the fund prior to distribution and |
28 | shall be in addition to the amounts received under |
29 | subsection (b)(1). |
30 | (C) For fiscal year 2009-2010, $150,000,000 from |
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1 | the revenues received by the department under 75 |
2 | Pa.C.S. Ch. 89 and the lease agreement executed |
3 | between the department and the Pennsylvania Turnpike |
4 | Commission under 75 Pa.C.S. § 8915.3. The amount |
5 | received by the department under this section shall |
6 | be deposited into the fund prior to distribution and |
7 | shall be in addition to the amounts received under |
8 | subsection (b)(1). |
9 | (D) For fiscal year 2010-2011 and each fiscal |
10 | year thereafter, the amount calculated for the prior |
11 | fiscal year increased by 2.5% from the revenues |
12 | received by the department under 75 Pa.C.S. Ch. 89 |
13 | and the lease agreement executed between the |
14 | department and the Pennsylvania Turnpike Commission |
15 | under 75 Pa.C.S. § 8915.3. The amount received by the |
16 | department under this section shall be deposited into |
17 | the fund prior to distribution and shall be in |
18 | addition to the amounts received under subsection |
19 | (b)(1). |
20 | (E) 95% of all revenues deposited in the fund |
21 | under subsection (b)(1). |
22 | (ii) If the conversion notice is not received by the |
23 | secretary prior to the end of the conversion period as |
24 | set forth in 75 Pa.C.S. § 8915.3(3), no additional |
25 | allocation shall be made under subparagraph (i). |
26 | (3) For the program established under section 1516 |
27 | (relating to programs of Statewide significance), [13.24%] |
28 | 20.63% of the revenues deposited in the fund under subsection |
29 | (c)(1) shall be allocated from the fund plus 5% of all |
30 | revenue deposited in the fund under subsection (b)(1). |
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1 | [(4) For the program established under section 1517 |
2 | (relating to capital improvements program), 16.77% of the |
3 | revenues deposited in the fund under subsection (c)(1). |
4 | Additional funds for this program may be provided from the |
5 | funds allocated but not distributed based on the limitation |
6 | set forth under section 1513(c)(3).] |
7 | Section 3. Sections 1507(a) and (c) and 1512 of Title 74 are |
8 | amended to read: |
9 | § 1507. Application and approval process. |
10 | (a) Application.--An eligible applicant that wishes to |
11 | receive financial assistance under this chapter shall submit a |
12 | written application to the department on a form developed by the |
13 | department, which shall include the following: |
14 | (1) The name and address of the applicant. |
15 | (2) The name and telephone number of a contact person |
16 | for the applicant. |
17 | (3) The amount and type of financial assistance |
18 | requested and the proposed use of the funds. |
19 | (4) A statement as to the particular need for the |
20 | financial assistance. |
21 | (5) A certified copy of a current resolution authorizing |
22 | submission of the application if the applicant is a governing |
23 | body. |
24 | (6) Evidence satisfactory to the department of the |
25 | commitment for matching funds required under this chapter |
26 | sufficient to match the projected financial assistance |
27 | payments [at the same times that the financial assistance |
28 | payments are to be provided] no later than June 30 of the |
29 | applicable fiscal year. If this evidence is not provided, |
30 | subsequent funding under section 1513 (relating to operating |
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1 | program) shall be withheld. |
2 | (7) A statement of policy outlining basic principles for |
3 | adjustment in fare revenue growth to meet the rate of |
4 | inflation. |
5 | (8) Any other information the department deems necessary |
6 | or desirable. |
7 | * * * |
8 | (c) Restriction on use of funds.--[Financial assistance |
9 | under this chapter shall be used only for activities set forth |
10 | under the financial assistance agreement unless the department |
11 | grants the award recipient a waiver allowing the funds to be |
12 | used for a different purpose. The department's regulations shall |
13 | describe circumstances under which it will consider waiver |
14 | requests and shall set forth all information to be included in a |
15 | waiver request. The maximum duration of a waiver shall be one |
16 | year, and a waiver request shall include a plan of corrective |
17 | action to demonstrate that the award recipient does not have an |
18 | ongoing need to use financial assistance funds for activities |
19 | other than those for which funds were originally awarded.] |
20 | Financial assistance under this chapter shall be used only for |
21 | activities set forth under the financial waiver allowing the |
22 | funds to be used for a different purpose. The department's |
23 | regulations shall describe circumstances under which it will |
24 | consider waiver requests and shall set forth all information to |
25 | be included in a waiver request. The waiver request shall |
26 | include a plan of corrective action to demonstrate that the |
27 | award recipient does not have an ongoing need to use financial |
28 | assistance funds for activities other than those for which funds |
29 | were originally awarded and the duration of the waiver cannot |
30 | exceed the duration of the plan of corrective action. If the |
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1 | waiver request and plan are approved, the department shall |
2 | monitor the implementation of the plan of corrective action. If |
3 | the plan of corrective action is not implemented by the local |
4 | transportation organization, the department shall rescind the |
5 | waiver approval. |
6 | § 1512. Coordination. |
7 | (a) Coordination.--Coordination is required in regions where |
8 | two or more award recipients have services or activities for |
9 | which financial assistance is being provided under this chapter |
10 | to assure that the services or activities are provided |
11 | efficiently and effectively. |
12 | (b) Consolidation.--The department may study consolidation |
13 | of local transportation organizations as a means of reducing |
14 | annual expenses. Consolidation shall not occur until the |
15 | department and the affected transportation organizations have |
16 | jointly conducted a study. The study shall examine the creation |
17 | of service regions to determine whether consolidation would |
18 | reduce annual expenses. If the results of the study estimate |
19 | annual savings, the transportation organizations and local |
20 | governments shall either implement the recommended actions or |
21 | provide increased local matching funds equal to the projected |
22 | annual savings. |
23 | (c) Funding for merger and consolidation incentives.-- |
24 | Capital projects that are needed to support local transportation |
25 | organizations that have agreed to merge and consolidate |
26 | operations and administration to achieve cost and service |
27 | efficiencies shall be eligible for financial assistance under |
28 | this chapter. The application for financial assistance shall |
29 | identify the efficiencies in a merger and consolidation plan and |
30 | shall include the expected dollar savings that will result from |
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1 | the merger and consolidation. |
2 | Section 4. Sections 1514(c) and (e)(3) and 1516(b)(1) and |
3 | (e)(3) of Title 74 are amended to read: |
4 | § 1514. Asset improvement program. |
5 | * * * |
6 | (c) Local match requirements.--Financial assistance under |
7 | this section shall be matched by local or private cash funding |
8 | in an amount not less than [3.33% of the amount of the financial |
9 | assistance being provided] 10% of the non-Federal share of the |
10 | project cost. The source of funds for the local match shall be |
11 | subject to the requirements of section 1513(d)(3) (relating to |
12 | operating program). |
13 | * * * |
14 | (e) Priorities.--The award of financial assistance under |
15 | this section shall be subject to the following set of priorities |
16 | in descending order of significance unless a compelling return |
17 | on investment analysis for a project in a lower category is |
18 | provided to and approved by the department: |
19 | * * * |
20 | (3) Other non-Federal capital projects as determined by |
21 | the department, which shall be further subject to the |
22 | following set of priorities in descending order of |
23 | significance: |
24 | (i) Essential emergency asset improvement projects. |
25 | (ii) [Standard replacement] Replacement of existing |
26 | assets that have exceeded their useful life and asset |
27 | improvement projects to extend the useful life of the |
28 | affected assets. |
29 | (iii) [Asset improvement projects to extend the |
30 | useful life of the affected assets. |
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1 | (iv)] Acquisition of new assets and other acceptable |
2 | purposes, other than projects to be funded under the new |
3 | initiatives program described in section 1515 (relating |
4 | to new initiatives program), as determined by the |
5 | department. |
6 | * * * |
7 | § 1516. Programs of Statewide significance. |
8 | * * * |
9 | (b) Persons with disabilities.--The department shall |
10 | establish and administer a program providing reduced fares to |
11 | persons with disabilities on community transportation services |
12 | and to provide financial assistance for start-up, administrative |
13 | and capital expenses related to reduced fares for persons with |
14 | disabilities. All of the following shall apply: |
15 | (1) A community transportation system operating in the |
16 | Commonwealth other than in counties of the first [and second] |
17 | class may apply for financial assistance under this |
18 | subsection. |
19 | * * * |
20 | (e) Technical assistance and demonstration.--The department |
21 | is authorized to provide financial assistance under this section |
22 | for technical assistance, research and short-term demonstration |
23 | projects. All of the following shall apply: |
24 | * * * |
25 | (3) Financial assistance under this subsection provided |
26 | to a local transportation organization shall be matched by |
27 | local or private cash funding in an amount not less than |
28 | 3.33% of the [amount of the financial assistance being |
29 | provided] non-Federal share of project costs. The sources of |
30 | funds for the local match shall be subject to the |
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1 | requirements of section 1513(d)(3) (relating to operating |
2 | program). |
3 | Section 5. Section 1517 of Title 74 is repealed: |
4 | [§ 1517. Capital improvements program. |
5 | (a) Eligibility.--A local transportation organization may |
6 | apply for financial assistance under this section. |
7 | (b) Applications.--The department shall establish the |
8 | contents of the application for the program established under |
9 | this section. The information shall be in addition to |
10 | information required under section 1507 (relating to application |
11 | and approval process). |
12 | (c) Distribution formula.--The department shall award |
13 | financial assistance under this section based on the number of |
14 | passengers. The actual amount awarded to a local transportation |
15 | organization under this subsection shall be calculated as |
16 | follows: |
17 | (1) Multiply the local transportation organization's |
18 | passengers by the total amount of funding available under |
19 | this section. |
20 | (2) Divide the product under paragraph (1) by the sum of |
21 | the passengers for all qualifying local transportation |
22 | organizations. |
23 | (d) Payments.--Financial assistance under this section shall |
24 | be paid to local transportation organizations at least |
25 | quarterly. |
26 | (e) Reduction in financial assistance.--Financial assistance |
27 | provided to a local transportation organization under this |
28 | section shall be reduced by any financial assistance received |
29 | previously under this section which has not been spent or |
30 | committed in a contract within three years of its receipt.] |
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1 | Section 6. Section 8915.6 of Title 75 is repealed: |
2 | [§ 8915.6. Deposit and distribution of funds. |
3 | (a) Deposits.--Upon receipt by the department, the following |
4 | amounts from the scheduled annual commission contribution shall |
5 | be deposited in the Motor License Fund: |
6 | (1) For fiscal year 2007-2008, $450,000,000. |
7 | (2) For fiscal year 2008-2009, $500,000,000. |
8 | (3) For fiscal year 2009-2010, $500,000,000. |
9 | (4) For fiscal year 2010-2011 and each fiscal year |
10 | thereafter, the amount calculated for the previous year |
11 | increased by 2.5%. |
12 | (b) Distribution.--The following shall apply: |
13 | (1) Annually, 15% of the amount deposited in any fiscal |
14 | year under subsection (a) shall be distributed at the |
15 | discretion of the secretary. |
16 | (2) Annually, $5,000,000 of the amount deposited in any |
17 | fiscal year under subsection (a) shall be distributed to |
18 | counties. |
19 | (i) The distribution shall be in the ratio of: |
20 | (A) the square footage of deck area of a |
21 | county's county-owned bridges; to |
22 | (B) the total square footage of deck area of |
23 | county-owned bridges throughout this Commonwealth. |
24 | (ii) The amount of square footage under subparagraph |
25 | (i) shall be that reported as part of the National Bridge |
26 | Inspection Standards Program. |
27 | (3) Annually, $30,000,000 of the amount deposited in any |
28 | fiscal year under subsection (a) shall be distributed to |
29 | municipalities pursuant to the act of June 1, 1956 (1955 |
30 | P.L.1944, No.655), referred to as the Liquid Fuels Tax |
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1 | Municipal Allocation Law. |
2 | (4) Any funds deposited under subsection (a) but not |
3 | distributed under paragraphs (1), (2) and (3) shall be |
4 | distributed in accordance with needs-based formulas that are |
5 | developed and subject to periodic revision based on |
6 | consultation and collaboration among metropolitan planning |
7 | organizations, rural planning organizations and the |
8 | department. |
9 | (c) Definitions.--The following words and phrases when used |
10 | in this section shall have the meanings given to them in this |
11 | subsection unless the context clearly indicates otherwise: |
12 | "Metropolitan planning organization." The policy board of an |
13 | organization created and designated to carry out the |
14 | metropolitan transportation planning process. |
15 | "Rural planning organization." The organization of counties |
16 | with populations of less than 50,000 created and designated as |
17 | local development districts and which carry out the rural |
18 | transportation planning process.] |
19 | Section 7. This act shall take effect in 60 days. |
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