SENATE DEMOCRATIC WRAP-UP FOR THE WEEK OF
December 14, 2009

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            The Senate voted 48 to 1 in favor of House Bill 1418, the state’s Capital Budget and Project Itemization Act for fiscal 2009-10.

            The measure specifies the maximum principal amount of additional debt that could be incurred during the 2009-10 fiscal year for projects in the capital projects itemization bill. In all, the bill would authorize $457 million more than the $1.225 billion authorized the previous fiscal year.

            The bill now goes to the governor.

The Senate unanimously passed legislation that would amend the Coal Refuse Disposal Control Act. 

House Bill 1847 discusses site selection criteria for preferred sites for coal refuse disposal.  The bill would add areas adjacent to or an expansion of an existing coal refuse disposal sites as a preferred site under the act.  When the adverse environmental impacts of the preferred site outweigh the public benefits, the site would not be considered a preferred site. 

The bill also would establish a “Coal Bed Methane Review Board,” which would consider objections and attempt to reach agreement on the location for a coal bed methane well or access road when disagreements arise.  The board would serve as an alternative to court action.

Under the bill, the board would consist of three members: a representative of the Pennsylvania Farm Bureau, one member appointed jointly by the Pennsylvania Oil and Gas Association, the Independent Oil and Gas Association and the Pennsylvania Coal Association, and one member would be an individual with expertise in petroleum geology appointed by the deans of the Penn State Colleges of Agricultural Sciences and Earth and Mineral Sciences. 

The bill now goes back to the House.

The Senate unanimously approved Senate Bill 47, which would amend requirements for County Board of Assistance nominees to require that each gubernatorial appointment to the County Board of Assistance would also be endorsed by the senator of the district in which the nominee resides.

The bill would also require the Department of Public Welfare to determine whether public assistance applicants are veterans.

It would also modify state law when it comes to unpaid medical expenses for Medical Assistance nursing home care. 

The bill also would prohibit individuals from using public assistance benefits to purchase liquor or alcohol.

Finally, under the legislation, any employee of a county assistance office who has reason to believe a recipient/applicant of public assistance is committing fraud or providing false information in order to receive public assistance benefits, the employee must make a fraud report directly to the office of inspector general. 

The bill was signed into law as Act 54 of 2009.

By a narrow 27-22 vote, the Senate passed the latest version of gaming reform and expansion, eliminating provisions added in the House and sending the bill back to that chamber.

             Senate Bill 711, which started in the Senate as a gaming reform measure, was amended in the House to add the House version of table games authorization (which passed in the Senate as Senate Bill 1033).

            The main difference between the House and Senate versions is a provision inserted by House Democrats adding a new “resort casino” license, raising the number of gaming licensees in Pennsylvania to 15. The Senate stripped the language, and voted to re-open the application process for one of two previous resort casino licenses.

            The House also made changes to the license fees and tax rates from the Senate version calling for a top license fee of $16.5 million, $1.5 million more than the Senate version.  Under Senate Bill 711, casinos would pay a 14 percent state tax and 2 percent local tax for two years. In 2011, the state tax rate would drop to 12 percent. (Senate Bill 1033 contained a steady 12 percent rate.)

            The term “table game” includes roulette, baccarat, blackjack, poker, craps, big six wheel, red dog, pai gow and “any other banking, non-banking or percentage game.”

The gaming reform part of Senate Bill 711 was a product of intensive bipartisan effort to preserve the integrity of the state’s growing slot machine industry and prevent gaming interests from donating to campaigns.

            A prohibition against campaign contributions was part of the original gaming legislation passed five years ago, but it was struck down by the Supreme Court as being too vague in its intent.

            The bill addresses numerous concerns that have arisen as slot machines across the state have provided more than $1.5 billion in tax relief to property owners. 

            Some of the key components would:

• Re-establish political campaign contribution prohibition;

• Ban gaming board members from holding outside employment (future members only);

• Extend the post-employment prohibition on PGCB employee (including attorneys) from one to two years.  The bill would penalize licensees who hire an individual in violation of the restriction; 

• Require PGCB to collect and post information on its internet web site regarding the slot machine licensee controlling interest and ownership interest;

• Provide procedures for disclosing ex-parte communications and establishes recusal process for PGCB members, employees and hearing officers; 

• Establish a procedure for reimbursement of expenses by board members and employees.  Reimbursements would be limited to actual and reasonable expenses, with receipts required for expenses over $10.  The bill also requires PGCB to post monthly and annual expenses on its Web site; 

• Requires PGCB to conduct a public input hearing for a petition seeking a structural redesign of a facility located in Philadelphia; and

• Ban for life applicants with a felony conviction from receiving a principal or key employee license. Current licensees or those who apply before the law takes effect would be exempt from the lifetime ban and remain under the law’s current 15 year ban. 

            The bill now goes back to the House.

            By a 46 to 3 vote, the Senate approved Senate Bill 1039, a $39.450 million non-preferred appropriation to the University of Pennsylvania Veterinary School in Philadelphia. Funding was restored to the 2007-08 level.

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