The two-year, 1991-92 legislative session ended in historic fashion as the final three days saw the Democrats gain control of the Senate for the first time in 12 years.

Democrats took the Senate's organizational reins when Sen. Frank A. Pecora joined 24 other Senate Democrats in electing (25-23) Sen. Robert J. Mellow (D-Lackawanna) as the Senate's new President Pro Tempore.

Following the reorganization, some 80 bills -- many of which had been delayed for months by the chamber's former GOP majority -- were finally passed.

The first winners were Pennsylvania's children. Within hours of the Democratic takeover, long-delayed child health care legislation was brought to a vote and approved.

The landmark measure, which had collected dust in GOP-controlled Senate committees for nearly a year, provides for free and/or low-cost health coverage for thousands of uninsured children in Pennsylvania. Funded by two cents of the state's per-pack tax on cigarettes, the new program -- to be implemented by April -- will provide health coverage for youngsters whose families earn too much to qualify for Medicaid but too little to afford private insurance.

Also enacted was a companion measure to reduce the taxpayer cost for child health care by requiring that insurance coverage of children be a part of court-ordered child support by divorced or separated parents.

The final days also resulted in action on legislation to help shore up the financial solvency of the state Lottery Fund and, in particular, to preserve prescription drug assistance for senior citizens.

The so-called "PACE rescue" bill, intended to save more than $36 million annually, requires higher rebates from drug manufacturers and the increased use of generic drugs under the Pharmaceutical Assistance Contract for the Elderly program.

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Aging and Youth

Agriculture and Rural Affairs

Banking and Insurance

Budget and Finance

Community and Economic Development

Consumer Protection

Education

Environmental Resources and Energy

Game and Fisheries

Intergovernmental Affairs

Judiciary

Labor and Industry

Law and Justice

Local Government

Military Affairs

Public Health and Welfare

State Government

Transportation

Urban Affairs and Housing

Also passed in the session's waning hours were measures that:

-- provide for the implementation of a federally-mandated "enhanced" auto emissions inspection and maintenance program in 33 counties of Pennsylvania by 1995;

-- require insurers to pay for yearly mammograms for women over 40;

-- promote payroll savings for school districts by encouraging the voluntary early retirement of long-time teachers and other school employees;

-- strengthen the state's laws against drunken driving and underage drinking in the wake of recent court decisions; and

-- guarantee people with physical disabilities equal access to institutions of higher education.

Enacted earlier in the two-year session were two budgets. Whacked by the multi-headed hammer blow of spiraling costs for federal mandates, an increase in participation in human service

programs and a dramatic recession-induced decline in revenues, the 1991-92 state budget required the first state tax increase in eight years.

The 1992-93 state budget, a bare-bones spending plan, allowed for a tax cut.

Also winning final approval in 1991-92 were bills to limit teachers' strikes, to implement the federal Clean Air Act, to permit so-called "living wills" and to provide for the creation of a new college savings incentive program.

These and many other new laws and bills are highlighted in this summary of the legislative session which officially ended November 30, 1992. The governor completed final action on the last bills sent to his desk December 28, 1992.

*** 1992-93 State Budget -- Pennsylvania entered the 1992-93 fiscal year with a budget on time, but nobody -- neither the Senate, the House, nor the governor -- was particularly happy with the end product.

As a midnight June 30, 1992 budget deadline approached, House Democrats took the unusual step of sending a Senate Republican-sponsored spending plan (HB 1320) to the governor. House passage occurred on a 102 to 93 vote.

The bill, originally passed (28-21) by the Senate June 10, had been intended only as a vehicle to achieve a budget compromise. It was expected to go to a House-Senate conference committee for a final resolution.

As it was, a negotiated settlement never occurred.

The $14.049 billion General Fund budget signed by the governor (Act 8A/1992) -- along with $71.3 million in line item vetoes -- freezes overall state government spending. The total budget amount was only one-half percent higher than the $13.989 billion budget approved for fiscal 1991-92.

The good news was that it allowed for a scheduled July 1, 1992 reduction in the state personal income tax rate -- from 3.1 to 2.8 percent.

The bad news was that many state government programs and services endured budget cuts.

State agencies sustained a 5 percent reduction while funding for most programs and services was slashed by 3.5 percent.

In the area of education, the new state budget appropriated a total of $5.871 billion. Of that amount, $2.961 billion was for basic education subsidies to school districts. After being increased by $200 million in the prior year, the 1992-93 Equalized Subsidy for Basic Education (ESBE) amount was frozen at the 1991-92 level (See Education section).

In the area of higher education, funding for state-owned and state-related colleges and universities was reduced by 3.5 percent (Also see: Non-Preferred Appropriations, this section) while state assistance for private colleges -- such as the University of Pennsylvania and Drexel University -- was eliminated.

Community colleges, however, received a 6 percent boost in state funding to a total of $140.1 million.

The appropriation for state-owned universities, members of the State System of Higher Education, was $358 million -- a $13 million drop from fiscal 1991-92.

Although much debate prior to the budget's passage centered on the question of welfare reform, that issue was left unresolved.

The new budget appropriated $4.696 billion for Department of Public Welfare-related programs in fiscal 1992-93, including $667 million for welfare cash grants, $594.6 million for medical assistance outpatient care and $710.1 million for medical assistance inpatient care.

In the area of transportation, the overall budget appropriated $544.9 million for highway maintenance and $232.9 million for mass transit assistance.

The budget also included: $500.4 million for the Department of Corrections, $203.3 million for the Department of Environmental Resources, $189.6 million for the Department of Health and $127.8 million for the Department of Commerce.

In his line item veto of funding in certain areas of the budget, the governor eliminated all funding for county court costs ($26.8 million) and wiped out an $8.3 million reimbursement for district justice expenses.

*** 1991-92 State Budget -- One of the most difficult budget struggles in Pennsylvania history ended on Sunday, August 4, 1991 as Governor Casey, following a marathon House and Senate weekend session, signed his name on a tax and spending accord for fiscal 1991-92.

Prolonged by an extremely unpopular, and yet, unavoidable need to increase taxes, the 35-day budget impasse held up property tax and rent rebate checks for 370,000 senior citizens, resulted in late payments to schools, counties, hospitals and other service providers and delayed paychecks for thousands of state workers.

In effect, the state's fiscal logjam didn't end until the Legislature mustered sufficient votes for the tax bill (See Taxes) to fund the $13.99 billion 1991-92 General Fund budget (HB 1536, Act 7A/1991).

Faced with the double whammy of spiraling costs for federal mandates and a sharp recession-induced increase in participation in human service programs, the final 1991-92 spending plan saw a 16 percent increase in state-funded costs for public welfare from $3.86 billion in fiscal 1990-91 to $4.49 billion in 1991-92.

Basic education subsidies were boosted by $200 million, the largest dollar increase in history, while funding for special education and early intervention services was increased by 33 percent over 1990-91.

Transportation and corrections also received major funding increases in 1991-92.

*** Taxes -- The same legislation (HB 185, Act 22/1991) that in 1991 resulted in the first state tax increase in eight years also triggered an automatic reduction in the state's personal income tax (PIT) rate, from 3.1 percent to 2.8 percent, on July 1, 1992.

Also effective July 1, 1992 was a provision requiring that two cents of the state's 31 cents-per-pack tax on cigarettes be deposited in a special Children's Health Fund. Monies generated for the fund, estimated at $20 million annually, were targeted to provide free and/or low-cost health care coverage for young children of low to moderate income working families who don't qualify for medical assistance (See Public Health & Welfare).

When first enacted, Act 22/1991 raised an assortment of levies on individuals and businesses -- and extended the state's sales tax to a series of previously untaxed products and services -- to generate what was estimated at $2.863 billion in new revenues for the General Fund.

Also enacted in 1991 was legislation (HB 840, Act 26/1991 --See Transportation section) to provide up to $440 million in additional funding annually for mass transit and highway improvements.

Act 22/1991 had passed the House on a vote of 103 to 99 and the Senate on a vote of 26 to 24. Seven Republicans joined 19 Democrats to pass the bill in the Senate.

Key provisions provided for the following:

-- an increase in the state Personal Income Tax (PIT) rate from 2.1 percent to 3.1 percent, effective July 1, 1991, with a reduction in the rate to 2.8 percent July 1, 1992;

-- an increase in the Corporate Net Income (CNI) tax rate from 8.5 percent to 12.25 percent, effective January 1, 1991;

-- an increase in the business Capital Stock and Franchise Tax from 9 1/2 mills to 13 mills, effective January 1, 1991, with a reduction to 12 3/4 mills January 1, 1992;

-- an increase in the utility gross receipts tax from 4.4 percent to 5 percent effective July 1, 1991;

-- a 2 percent tax on insurance companies for setting up non-pension annuities;

-- a 13 cent increase in the state cigarette tax from 18 cents to 31 cents per pack; and

-- extension of the state's six percent sales tax to cable television "premium channels", long distance phone calls, certain household paper and cleaning products, pizza deliveries; pest control services, lawn care services, storage space services, credit reporting and collection services, building cleaning and maintenance services, janitorial services, computer and data processing services, personnel services and lobbying services.

Act 22 of 1991 also eliminated, retroactive to January 1, 1991, a corporation's ability (Net Operating Loss provision) to offset corporate net income taxes by carrying previous losses forward for three years.

Additionally, while the General Assembly maintained the manufacturer's exemption from the Capital Stock and Franchise Tax, the minimum levy for those who do pay that tax was boosted from $75 to $300 a year and the exemption of the tax on the first $100,000 of a business's valuation was lowered to $50,000.

Act 22 of 1991 also provided for a phased-in reduction in the so-called "widows' tax" when an estate being transferred to a surviving spouse is valued at $200,000 or less and when annual household income averaged less than $40,000 in the three years prior to the decedent's death.

Under the measure, the state's six percent inheritance tax on the first $100,000 of value of a qualifying estate was to be cut by two percent after January, 1992, by four percent after January, 1993 and eliminated after January, 1994.

The provision -- with its so-called "means test" -- represented a compromise between the Legislature and the governor who, in the prior 1989-90 session, had vetoed a bill that would have provided for a total repeal of the widows' tax.

New taxes for mass transit and highways, as contained in House Bill 840, Act 26/1991, included a $1 excise tax on each new tire purchase, a 12 mill increase in the Public Utility Realty Tax, an extension of the state's six percent sales tax to magazines, a $2 per day tax on car rentals, a 3 percent tax on automobile leases and an increase in the Oil Company Franchise tax from 6 percent to 11.5 percent.

*** Non-Preferred Appropriations -- Enacted were 28 so-called non-preferred appropriations bills (SBs 1747-1750; 1760-1763; 1766-1785), which became Acts 11A-38A/1992, providing for a total of $539 million to state-related universities as well as several health-related institutions and museums.

A series of Senate-passed bills authorizing some $70 million in funding to private colleges were never enacted.

Of the non-preferred appropriations measures that did become law, the bulk of the money -- a reduction of 3.5 percent from the prior year -- went to the state-related universities as follows: Penn State, $249.2 million; Pitt, $135.07 million; Temple, $137.81 million; and Lincoln, $9.89 million.

Prior to his signing of the non-preferred appropriations, the governor line item vetoed $1.7 million from several of the bills.

*** PUC, Consumer Advocate; Miscellaneous Budgets -- Enacted were a series of bills providing for the 1992-93 operating budgets of the Public Utility Commission, Consumer Advocate and Small Business Advocate (HB 2467, Act 10A/1992); the State Employees' Retirement System (HB 1323, Act 9A/1992); the Public School Employees' Retirement System (HB 2701, Act 7A/1992); the state Bureau of Professional and Occupational Affairs, the state Board of Medicine, the state Board of Podiatry and the state Athletic Commission (HB 2501, Act 5A/1992); and the state workers' compensation program (HB 2500, Act 4A/1992).

The PUC budget of $33.5 million, the Consumer Advocate budget of nearly $3.4 million and the Small Business Advocate budget of $735,000 are funded by assessments on utilities.

Funding for the State Employees' Retirement System budget of $13,830,000 and the Public School Employees' Retirement System budget of $18,282,000 comes from earnings on investments while the $16,602,000 budget of the Bureau of Professional and Occupational Affairs and the other professional board budgets are financed by fees and fines on licensees. The state workers' compensation program budget of $23,098,000 is financed by assessments on insurers and self-insurers.

*** Capital Budget -- Passed by both houses was a 218-page capital budget measure (SB 1642) that would have authorized a total of $3.43 billion for hundreds of highway and public improvement projects throughout the state.

In signing the bill as Act 188 on December 28, 1992, however, the governor line item vetoed $1.039 billion from the measure -- reducing authorization to $2.38 billion. Much of the funding vetoed, he said, were projects not eligible for capital budget funding or projects which were duplicated or previously included in capital budget acts.

At $1.4 billion, highway construction projects constituted the largest share of the capital budget. The highway funding will be used by PennDOT to construct some 630 highway projects around the state.

The legislation also contains $38.1 million to help finance a double-stack container rail transportation network in Pennsylvania. The anticipated project will remove low bridges and other obstacles in order to provide the 20-foot, eight-inch clearance needed for double-stack containers to travel on rail freight lines between Philadelphia and Ohio and Philadelphia and New York.

Authorized was $2 million to support the continued planning and design of a magnetic levitation railroad demonstration project in Allegheny County. Planners eye the construction of a high-speed transporation link between downtown Pittsburgh and the new Midfield Terminal at Pittsburgh International Airport.

Senate Bill 1642 contains some $60 million for the proposed "Avenue of the Arts" in Philadelphia, including $35 million for a 2,800-seat concert hall to house the Philadelphia Orchestra. Approximately $50 million is authorized for Allegheny County's on-going "Strategy 21" initiatives, including $17,750,000 for cultural district development in Pittsburgh.

The legislation includes a total of $439.7 million for public improvement projects around the state, including $198.6 million for state-owned educational facilities.

The Legislature also passed House Bill 1959 (Act 143/1992) providing authorization for more than $1.7 billion in bridge projects.

*** "Sunny Day" Investments -- Enacted were four bills appropriating nearly $29 million in so-called Sunny Day funds. The low-cost financing for seven business expansion projects was expected to create more than 4,000 new jobs.

Senate Bill 1812, Act 39A/1992, appropriated $3 million in Sunny Day loans for two projects. A $2 million loan was authorized for U.S. Bioscience for the location of a new facility in either Chester or Montgomery Counties for the manufacture of Hexalen, a drug used in treating ovarian cancer. The project was expected to result in the creation of 270 new jobs. A $1 million loan was approved for Murry's Incorporated to help finance the construction of a meat and poultry processing and distribution facility in Lebanon County, expected to create 200 jobs.

House Bill 2932, Act 40A/1992, provided a $3 million loan to finance the consolidation and expansion of an auto part manufacturer's operations in southeastern Pennsylvania. The financing to Blue Chip Products, Inc. will enable the company to relocate all of its operations -- including those in Maryland -- to Falls Township, Bucks County for the retention of 300 existing Pennsylvania jobs and the creation, within three years, of 700 new jobs. House Bill 2932 also authorized an additional $750,000 loan for the Murry's, Inc. project in Lebanon County which received initial Sunny Day financing under Act 39A/1992.

Senate Bill 1440, Act 1A/1992, authorized an additional $11 million in Sunny Day financing for three projects as follows:

-- $4.5 million to Plastek Industries for the construction of a new plastic injection molding plant in Erie, expected to create 500 new jobs;

-- $2 million to the Little Tikes Company to help finance the construction of a toy manufacturing plant near Shippensburg in Cumberland County, expected to create 224 jobs; and

-- $4.5 million to Astra/Merck (a Swedish pharmaceutical firm) to locate a new corporate headquarters in Tredyffrin Township in Chester County, expected to create 300 new jobs.

House Bill 1644, Act 53A/1991, provided an $11.5 million Sunny Day loan to Sony Corporation to assist in the establishment of a color television assembly plant at the site of the former Volkswagen plant in Westmoreland County. Sony was expected to employ more than 2,000 workers at its new facilities over the next several years.

The Sunny Day Fund, first established in 1985, provides a financial incentive to encourage major job-producing businesses to locate or expand their operations in Pennsylvania.

*** Lottery Preservation -- Enacted were measures intended to help shore up the financial solvency of the state Lottery Fund. One bill (HB 2442, Act 128/1992), better known as "PACE Rescue" legislation, requires drug manufacturers to give the state a higher rebate for prescriptions purchased under the PACE prescription drug assistance program for senior citizens (See Aging & Youth).

The other measure, House Bill 164 (Act 138/1992), permits commercial advertising on lottery tickets. The Secretary of Revenue has discretion to refuse any advertisement that is inappropriate or offensive. Advertisements for tobacco products or alcoholic beverages are prohibited. All revenues generated from such lottery ticket ads would be deposited in the state Lottery Fund.

*** State Employee Early Retirement; Budget Cost Savings -- Legislation (SB 405) designed to save the state millions of dollars through a state employees' "early retirement" incentive program and other pension system changes unanimously cleared the Senate and House and became law (Act 23/1991).

Under the early retirement provision, state workers 55 years of age or older with 10 or more years of service received an extra 10 percent service credit in the calculation of their pension benefits if they retired between February 1, 1991 and December 31, 1991.

More than 6,700 state employees with combined annual salaries of more than $222 million took advantage of the retirement window. Exact payroll savings were unavailable, although it was estimated at a conservative $30 million for fiscal 1991-92.

Another key feature of Act 23 of 1991 provided additional financial savings for the state and local school districts by extending, to 20 years, the time period for payment of State Employees' Retirement System and the Public School Employees' Retirement System liability.

This reamortization resulted in a lowering of the employer contribution rates for both the State Employees' Retirement System (from 12.5% to 10%) and the Public School Employees' Retirement System (from 16.6% to 14.9%). Liability costs for the school employees' pension system are shared equally between the state and local school districts while the state pays the full cost of liability of the state employees' system.

Additionally, the law also provided for the following:

-- limited health insurance premium assistance ($55 per month), effective July 1, 1992, for school retirees with 24 1/2 years of service or with disabilities;

-- an extension, until June 30, 1993, of a previous early retirement window allowing state and school employees with 30 years of service (regardless of age) to retire without any pension penalty;

-- an expansion of the definition of "enforcement officer" for pension benefit purposes to include enforcement officers and investigators of the state Attorney General's office, agents and employees of the Board of Probation and Parole, and corrections and welfare department employees who provide therapeutic treatment services to inmates; and

-- a statutory increase, from 1% to 2%, in the asset amount that both the state employees' and public school employees' pension systems can designate for economic development venture capital investments.

*** School Employee Early Retirement -- Intended to promote payroll savings for school districts, the General Assembly approved a bill (SB 1790, Act 186/1992) to encourage the voluntary early retirement of long-time, higher-paid teachers and other school employees.

The legislation, similar to a previous retirement incentive for state workers, grants school employees 55 years of age or older an extra 10 percent service credit in the calculation of their pension benefits if they retire prior to August 31, 1993.

The window for the incentive would apply to those eligible school employees who retired after July 1, 1992 and to those who retire prior to August 31, 1993.

Eligible school employees are required to declare their intent to retire prior to April 1, 1993 and file applications for retirement before September 1, 1993.

*** Judiciary Pay Raise -- For the first time in five years, the Legislature passed a bill (HB 627, Act 167/1992) granting a pay raise for members of the judiciary.

Absent from the measure was any salary adjustment for state lawmakers or other state officials.

The bill, which passed the Senate (39-10) and the House (138-51) at the end of the session, increases the annual salaries of Supreme Court justices by $13,500, to $105,000; of Superior and Commonwealth Court judges by $12,000, to $101,500; and of Common Pleas Court judges by $10,000, to $90,000.

District justices were to receive an approximate $7,000 increase in their base pay, capped at a maximum $45,000.

The measure also provides for annual cost of living adjustments in judicial salaries -- starting in January 1994 -- tied to the consumer price index.

Funding for the judicial pay raises does not come from General Fund tax dollars. Instead, the legislation raises court filing fees and costs imposed on criminals to more than cover the expense of the salary adjustments. Court fees and costs were increased by an estimated $20.7 million annually. The cost of the judicial pay raise was estimated at $10 million annually.

*** Lottery Intercept -- Passed and signed by the governor was legislation (SB 402, Act 87/1992) allowing the state to intercept lottery winnings of individuals who are delinquent in making child support payments.

The measure applies to lottery winnings of more than $2,500. Delinquent child support payments would be deducted from the lottery prize.

"V" Tax Amnesty -- Although it cleared the Senate on a vote of 49 to 1 and the House on a vote of 197 to 5, Governor Casey vetoed tax amnesty legislation (SB 1059) -- a bill designed to finally collect all back taxes owed the state by giving tax delinquents a one-time forgiveness on penalties and half of the interest cost.

Under the measure, delinquent citizen and business taxpayers (or even those who previously under-reported income and didn't pay their full tax obligation), would have had a one-time, three month "grace period" to pay their back taxes in full with a 50 percent reduction in the interest cost and without additional penalty.

Similar tax amnesty programs have reaped an aggregate of $1.5 billion in windfall tax revenues in 31 states and the District of Columbia.

The governor said he vetoed Senate Bill 1059 because of technical flaws and also because he feared the measure's provisions were too broad and would interfere with certain existing Department of Revenue enforcement and collection efforts.

*** Budget Oversight; Etc. -- Enacted was legislation (HB 804, Act 35/1991) containing a wide assortment of legislative provisions including language to enhance legislative oversight of executive branch budget actions.

The legislation requires the governor, at the time of his annual budget presentation to the General Assembly, to submit the original budget requests of the various departments and agencies of state government.

It also requires the Secretary of the Budget to give the appropriations committees of both houses of the General Assembly prior notice, for legislative review and comment, of any plans to disapprove or reduce grant or subsidy appropriations.

Another budget-related feature requires the Secretary of the Budget to deposit, on a quarterly basis, 10 percent of any surplus operating revenues in the state's tax stabilization reserve or Rainy Day Fund. Additionally, any monies received by the sale of commonwealth assets are required to be deposited in the Rainy Day Fund.

The legislation also doubled, from $15 to $30, the added costs convicted criminals are required to pay for compensation to crime victims and for victim-witness services.

The measure expanded the state's crime victims' compensation program to permit payment to the injured victims of alcohol-related motor vehicle and boating mishaps and to certain out-of-state crimes committed against Pennsylvania residents.

Additionally, the legislation expanded the definition of losses from which crime victims' compensation may be awarded to include pension, retirement or disability payments; eyeglasses or contact lenses; and dental and prosthetic devices.

The legislation also required the courts -- at the time of placing an offender on probation, parole, accelerated rehabilitative disposition (ARD) or in some other alternative or intermediate sentencing program -- to impose a $25 monthly fee on the offender to help defray the cost of supervision for such programs. The courts could reduce, waive or defer such fee payments if the offender is found to have a "present inability to pay."

Other provisions of Act 35 of 1991 provided for:

-- a continuation of health insurance coverage, to be deducted from pension benefits at the state's group rate, for widowed spouses of retired state employees; and

-- the drilling of water wells on state forest land by boroughs, other municipalities and municipal authorities, subject to DER restrictions and regulations.

*** Children & Youth Services Reimbursement -- Passed as part of the 1991-92 state budget agreement was legislation (HB 1143, Act 30/1991) establishing a new "needs based" budgeting system for county-operated children and youth services.

* State Funding For Mandates On Local Government -- Failing to win final House consideration was a proposed constitutional amendment (SB 401) to require the state to provide adequate funding or a funding mechanism when imposing new or expanded mandates on the backs of local government. The bill had passed the Senate on a vote of 50-0.

Under the measure, state government would have been required -- as stated by its Senate Democratic sponsor -- to "put its money where its mouth is" when telling Pennsylvania's more than 2,600 units of local government and 501 school districts that they must provide a new program or offer an expanded service.

According to the Pennsylvania Local Government Commission, there are already an estimated 8,000 legislative and regulatory state government mandates on local government.

Also passing (50-0) the Senate, but not acted upon by the House, was a somewhat related measure (SB 1089) that would have required, by law, that the state Senate and House Appropriations Committees determine the fiscal impact of bills on local government before being passed by either the Senate or House.

* Spending Limit -- The Senate voted (32-16) to pass a proposed constitutional amendment (SB 917) intended to cap annual increases in state spending to the overall percentage growth in personal income of Pennsylvania's citizens over the previous two years. The bill died in the House.

"V" State Deposits -- Passing the Senate (48-2) and House (187-0), but vetoed by the governor, was a bill (SB 1190) that would have made it easier for smaller, community banks to qualify as depositories of state funds. The legislation would have allowed a smaller bank's retained earnings and loan loss reserves to be included as factors in determining eligibility for state deposits.

In his veto message, the governor said provisions of the bill would have increased investment risks to the commonwealth without any increase in investment return.

* Foster Care Tax Exemption -- Passing the Senate (47-0) was a bill (SB 413) that would, by law, exempt all payments to foster parents for in-home care of foster children from the state income tax. Such payments are already exempt from the state tax under policy of the Department of Revenue. Senate Bill 413 failed to receive final action in the House.

*** Retirement Panels -- Enacted was a bill (SB 1368, Act 42/1991) changing the name of the Public Employee Retirement Study Commission to the Public Employee Retirement Commission and reestablishing it until December 31, 2001. Also passed by both houses and signed by the governor was legislation (SB 1369, Act 43/1991) reestablishing the Municipal Pension Advisory Committee through 2001.

* Legislative Tax Commission -- Passed (46-0) by the Senate was a bill (SB 1504) to create a special 18-member Legislative Tax Commission to study taxation policy in Pennsylvania. The bill died in the House.

*** Teachers' Strike Limits -- Teachers' strikes would be less likely, and selective strikes would be outlawed, under legislation signed into law as Act 88 on July 9, 1992.

Senate Bill 727 establishes a series of deadlines during the negotiating process. It requires last best offer arbitration if a strike occurs and a school district is in danger of being forced to extend the school year past June 15 (or past the district's scheduled last day of school, whichever is later).

Mandatory arbitration will not be binding, although the parties could agree to binding arbitration as part of the negotiating process. They will be required to bargain about the type of last best offer arbitration used.

The new law:

-- Establishes a strict timetable for negotiations. Bargaining would have to start by Jan. 10. If an agreement is not reached by Feb. 25, a state mediator would be called in.

-- Allows either party to request fact finding.

-- Requires 48-hour advance written notice of strikes and bans selective strikes. Teachers' unions which have called a strike and returned to work may call only one more strike during a school year.

-- Prohibits the use of strikebreakers during a legal strike. However, strikebreakers may be used if either party rejects an arbitrator's decision and if the state-mandated 180-day school year is in jeopardy.

-- Requires that strikes and lockouts cease during fact-finding and when parties agree to arbitration.

Senate Bill 727 also increased the reimbursement school districts receive for non-public school transportation. Districts will receive $124 for each student transported in the 1990-91 and 1991-92 school years and $159 per student beginning in

1992-93.

The bill lets public and non-public school students refuse to participate in animal dissection.

*** School Subsidies Frozen -- School district basic education subsidies in fiscal year 1992-93 were frozen at

1991-92 levels under legislation (SB 6) signed into law as Act 85 on July 9, 1992.

The legislation also provided for special education payments at the fiscal 1991-92 level through December 31, 1992. Further action is still required on funding for special education between January 31, 1993 and June 30, 1993.

Senate Bill 6 also allowed the state to obtain and use some $20.5 million in federal funds to employ disadvantaged young people this past summer. The measure also altered a tax rebate requirement that was enacted as part of last year's record increase in funding for school districts.

Under the amended provision, districts that were required to rebate excess funds to taxpayers were allowed to implement the tax abatement requirement by providing tax credits against 1992-93 property or nuisance tax bills or use the increased funds to reduce school district debt.

*** 1991-92 School Funding -- State funding under the Equalized Subsidy for Basic Education (ESBE) increased by nearly $200 million for the 1991-92 school year. The 7.27 percent increase was the largest ever. School districts also reaped a windfall cost savings as a result of a change in their contribution rate to the Public School Employees Retirement System (see State Employee Early Retirement bill in Budget & Finance section).

*** College Savings Incentives -- Pennsylvanians will have two new ways to save for college as a result of legislation signed into law as Act 11 on April 3, 1992.

Senate Bill 2 created a Tuition Account Program and a College Savings Bond Program. Under the Tuition Account Program, tuition credits may be purchased today and used years later. College Savings Bonds provide a tax-free investment which may be used to pay for college expenses.

The Tuition Account Program (TAP) may be used at Pennsylvania community colleges, universities in the State System of Higher Education and state-related universities. Participants may purchase tuition credits at one of three standard tuition levels corresponding to the average tuition rates at the three participating classes of institutions. Credits may also be purchased at the actual tuition rate of a specific participating school.

If TAP fund earnings don't keep pace with tuition increases, the cost of tuition credits may be adjusted above the actual cost of tuition. Participants may also be asked to pay administrative fees.

The tuition credits will not be subject to state or local taxes. The Internal Revenue Service was expected to be asked to rule on federal tax liability.

College Savings Bonds will be similar to U.S. Savings Bonds. They will be purchased at a discount and be worth a fixed amount at maturity. Interest earnings on the bonds will be tax exempt.

*** Educational Access for Disabled -- People with physical disabilities would be guaranteed equal access to institutions of higher education under legislation signed into law as Act 187 on December 22, 1992.

Senate Bill 1794 amends the Pennsylvania Fair Educational Opportunities Act to ensure equal opportunities for people with physical disabilities. The act previously banned discrimination only on the basis of race, religion or national origin.

*** College Loan Forgiveness -- Legislation (HB 1313) which will forgive college loans of students who go to work on a Pennsylvania family farm or enter a Pennsylvania practice of veterinary medicine that includes large farm animals was signed into law as Act 64 on June 26, 1992.

Participants in the Agriculture Education Loan Forgiveness Program must hold a degree in an agriculture-related field or in veterinary medicine from a Pennsylvania institution. The program will forgive portions of Guaranteed Student Loans obtained through the Pennsylvania Higher Education Assistance Agency (PHEAA).

PHEAA will determine how much debt will be forgiven for each applicant. A total of $10,000 may be forgiven at a rate of up to $2,000 a year.

"V" Approved Private School Budgets -- Legislation which would change the budgeting and auditing procedures for approved private schools and for the four chartered schools for the education of the deaf and blind was vetoed by Governor Casey on July 9, 1992.

House Bill 1318 would require the schools to negotiate pre-approved budgets with the Department of Education. The schools previously received quarterly payments based on their costs in the previous year. The quarterly payments would continue under the new law, but they will be based on the pre-approved budgets.

Independent audits previously performed by the Department would be done by the schools and submitted to department for review. The governor cited the revised audit process in his veto message, saying it would be more expensive and reduce the Education Department's oversight ability.

*** Reduced Tuition for Military -- Military personnel stationed in Pennsylvania, and their children, may pay lower cost resident-status tuition at state schools under legislation (HB 1797) signed into law as Act 40 on May 21, 1992.

The reduced tuition rates would apply at community colleges and the state-related universities of Penn State, Pitt, Temple and Lincoln.

* Tuition Vouchers/Schools of Choice -- Legislation providing for the most sweeping "educational choice" program in America was approved (28-22) by the Senate on a vote which crossed party lines.

Proponents argued that Senate Bill 953 would upset the "status quo" in the educational establishment by giving parents the opportunity to select a "school of choice" -- public or private -- to teach their children, thereby fostering improvements in education through increased competitiveness and accountability.

Opponents argued that the program would violate the state's constitution, require a large state tax increase and make it more difficult for all students to obtain a quality education.

Rejected by the House as unconstitutional, the bill would have entitled parents who decided to send their children to a private or religious school, or to a public school outside their home school district, to receive a state-funded "tuition voucher" of up to $900 a year.

Although such tuition vouchers would cost the state more than $300 million annually, Senate Bill 953 contained an appropriation of only $300,000 to the Department of Education to establish an Office of Educational Opportunity.

The bill was in the House Education Committee when the session ended.

* Mandatory School Breakfast -- School breakfast programs would be mandatory in all Pennsylvania school districts under legislation (SB 1443) approved (41-6) by the Senate on May 5, 1992.

Only about 1,000 out of Pennsylvania's 4,200 schools currently offer breakfast programs. All school districts would have to offer breakfast under Senate Bill 1443, but individual schools could receive a one-time waiver from the state Education Department.

School districts which offer breakfast programs are reimbursed by both the federal and state governments. The estimated state cost of a mandatory school breakfast program is $2.6 million to $5 million based on current student participation rates. Mandatory breakfast programs under Senate Bill 1443 would be contingent on continued federal funding.

The bill was in the House Rules Committee when the session ended.

* School Latchkey Programs -- Legislation which would encourage school districts to offer before-school and after-school child care services for children between the ages of five and 13 was unanimously approved by the Senate on June 23, 1992.

Senate Bill 569 would designate $1.5 million from the Department of Public Welfare's day care services appropriation to pay for latchkey program demonstration grants.

The bill was in the House Education Committee when the session ended.

* Campus Crime Information -- Legislation (SB 1378) that would expand the state's campus crime information law was unanimously passed by the Senate on June 3, 1992.

The bill would require Pennsylvania colleges and universities to maintain daily logs -- open to public inspection at no charge -- of reported campus crimes. The log would include responses to valid complaints as well as the names and addresses of persons arrested and the charges filed.

The bill was in the House Education Committee when the session ended.

* Philadelphia School Board Selection -- Philadelphia school board members would be elected, rather than appointed, under legislation approved (28-20) by the Senate on June 2, 1992.

Senate Bill 1597 would mandate a change in Philadelphia's Home Rule Charter, which currently calls for the appointment of school board members by City Council. One school board member would be elected from each city council district.

The bill was in the House Education Committee when the session ended.

* Interstate Teacher Certification -- The Senate approved legislation (SB 532) which would direct the state Department of Education to establish reciprocity with other states for teacher certification. Teacher certifications from other states could be recognized if the states participate in national or regional agreements which spell out criteria for reciprocity.

The bill was in the House Rules Committee when the session ended.

*** Emission Program Expanded -- The governor's signature on House Bill 2751 (Act 166/1992) sets the stage for implementing an enhanced, federally-mandated vehicle emission inspection program in Pennsylvania.

The bill expands the state's emission inspection program from 11 counties to 33 counties. The new law, which goes into effect in 1995, permits either centralized or decentralized emission testing systems.

It also prohibits the renewal of vehicle registrations without evidence of a passed emission inspection and allows emission inspection through remote sensing devices, roadside checks with tailpipe tests and emission control device checks.

Vehicle owners will not be required to spend more than $450 to bring a vehicle into compliance with emission standards.

Another provision of Act 166 creates a Low Emission Vehicle Commission to study whether the adoption of low emission vehicle standards will bring about significant net air quality improvements. Also created is a Vehicle Emission System Inspection Program Advisory Committee to advise PennDOT. The panel must recommend whether the program will be run by PennDOT under a contracted, centrally-operated system of statewide inspection stations or whether auto service stations may administer the emission test.

If a centralized system is chosen, tests will be required every two years; testing would be on an annual basis under the decentralized setup.

The 33 counties that are included in the inspection program are Adams, Allegheny, Beaver, Berks, Blair, Bucks, Cambria, Carbon, Centre, Chester, Columbia, Cumberland, Dauphin, Delaware, Erie, Fayette, Lackawanna, Lancaster, Lebanon, Lehigh, Luzerne, Lycoming, Mercer, Monroe, Montgomery, Northampton, Perry, Philadelphia, Somerset, Washington, Westmoreland, Wyoming and York.

However, the state plans to petition the federal EPA to exempt eight of these counties from the program: Adams, Carbon, Columbia, Fayette, Monroe, Perry, Somerset and Wyoming. Federal regulations allow exemptions under certain circumstances for counties with fewer that 200 people per square mile.

Another provision of Act 166 provides for incentive grants for retrofitting vehicles to use alternative fuels.

Also included in the bill is authorization for PennDOT to establish three pilot programs to decentralize the provision of registration plates, cards and stickers, and drivers' licenses.

*** Alternative Fuel Vehicle Registration Exemption -- The legislature passed and sent to the governor a bill (HB 184) which exempts any electric-powered vehicle, hybrid electric vehicle or zero-emission vehicle from the annual registration fee. The exemption provision expires at the end of 1996. In addition, the bill authorizes the owner of an inspection station where one of these vehicles is inspected to claim a credit for the cost of the certificate of inspection. Another provision of the bill allows PennDOT to issue an annual permit for construction trucks which exceed the registered gross weight allowed by law. With the governor's signature, the bill became Act 139 of 1992.

*** Drunk Driving/Underage Drinking; Etc. -- Legislation (HB 355) that originally was aimed at "identifying" handicapped parking spaces became the vehicle for a wide variety of Vehicle Code amendments that the governor signed into law as Act 174 of 1992.

In response to a court decision that weakened Pennsylvania's laws against underage drinking, the new legislation says that a chemical analysis is not required to prove that a substance found in the possession of a minor is an alcoholic beverage. For example, a "can of beer" would be presumed an alcoholic beverage unless the underage defendant can prove that it was not alcoholic. The burden of proof would be on the minor.

The measure also gives law enforcement authorities three hours from the time a person was driving to obtain a blood alcohol test on a suspected drunken driver. Under previous law, a person was considered incapable of safe driving if their blood alcohol level was .10 percent at the time they were driving. In some cases, however, the chemical test of a person's breath, blood or urine cannot be conducted for several hours.

The original provision of the bill remains intact and requires that handicapped parking spaces not only be designated by the special symbol but also include a sign specifying the penalties for violations. The bill also:

-- Directs PennDOT to design a Wild Resource Conservation motor vehicle plate which would be available for a fee of $35, with $15 of the fee earmarked for the Wild Resource Conservation Fund;

-- Changes the definition of a school bus to exclude vehicles which transport 11 to 15 passengers, including the driver;

-- Permits the use of fleet owner transporter registration plates in lieu of individual plates;

-- Prohibits an individual from driving on public property, including school parking lots, without a valid operator's license;

-- Makes it unlawful for any agreement to contain a provision that would require the owner of a retail service station from having to be open during hours that the owner would consider to be unprofitable; and

-- Sets the annual fee for registering a vehicle used to spread fertilizer at $51, or one-half of the regular fee, whichever is greater.

*** Mass Transit/Highway Aid -- A new stream of dedicated funding was made available for the state's mass transit systems and highway construction projects with the passage of House Bill 840.

Signed into law as Act 26 of 1991, the legislation was expected to provide an additional $440 million annually ($200 million for mass transit; $240 for highways) to supplement the state's highway Motor License Fund and ongoing mass transit assistance program. The new revenue was generated by a $1 excise tax on new tire purchases, an extension of the state's sales tax to magazines, a $2 per day tax on car rentals, a 12 mill increase in the Public Utility Realty Tax, a 3 percent tax on automobile leases and an increase in the Oil Company Franchise tax from 6 percent to 11.5 percent.

*** Maglev Funding -- The House did not act on Senate Bill 1793 which authorized $2 million in state capital budget funds to support the continued planning and design of a magnetic levitation railroad demonstration project in Allegheny County. However, as the two-year session moved to a close, legislators approved the $2 million grant and included it as part of a capital budget measure (SB 1642, Act 188/1992).

*** Vehicle Code Additions -- Senate Bill 559 traveled a long road through the legislature, finally becoming law (Act 47/1992) after the House concurred in Senate amendments to House amendments.

Originally a one-page bill that would require police officers to file an accident report with PennDOT within 15 days (rather than "promptly"), the measure grew to nearly 40 pages as other Vehicle Code changes were added.

The legislation:

-- Requires operators of all motor vehicles to turn on headlights not only between sunset and sunrise but at all other times when rain, snow or other unfavorable conditions make it impossible to have a clear view for a distance of 1,000 feet;

-- Prohibits a person from riding a bicycle on a freeway;

-- Strengthens the ability of the Department of Revenue to enforce the collection of liquid fuels taxes and hikes penalties for violations of the liquid fuels tax law;

-- Requires buses to pay the fuel tax on actual highway mileage traveled in Pennsylvania even if the fuel was purchased out-of-state;

-- Permits manufacturers to test a vehicle within a radius of 50 miles of their place of business;

-- Provides for waiving title and registration fees when vehicles loaned or transferred by the U. S. Department of Defense or the General Services Administration are leased to political subdivisions, state agencies or the federal government;

-- Authorizes PennDOT to issue a limousine registration plate only to vehicles used as limousines for the transportation of persons for compensation.

*** Driver Supervision -- Clearing the Senate and House and signed into law as Act 38 of 1992 was House Bill 1263 which requires that new drivers with a learner's permit be accompanied and supervised by a licensed operator at least 18 years old. Previously, a 16-year-old who may have just received an operator's license could accompany a person learning to drive.

*** Exemption Okayed -- Signed by the governor as Act 39 of 1992 was House Bill 1484. The bill adds drivers of emergency vehicles to those exempted from requirements of the commercial driver's license law. Federal CDL guidelines identified firefighters on the exemption list but not other emergency vehicle drivers.

*** Fines Increase/Surcharge Exemption -- A number of areas are covered in a series of amendments to the state Vehicle Code in a bill (HB 1549) signed into law as Act 31 of 1992.

The bill increases fines levied against motorists and truckers who attempt to avoid paying fares on the Pennsylvania Turnpike. Previously, fines ranged from a low of $25 to a maximum of $300; the new law increases the range of fines from a minimum of $100 to a maximum of $1,000.

The bill also exempts motorcyclists from surcharges that are levied to support the Catastrophic Loss Benefits Continuation Fund. The fund was created in 1989 to pay off an unfunded debt of more than $300 million that had been run up by the ill-fated Catastrophic Loss Trust Fund. The law provided for surcharges on fines levied for a variety of moving traffic violations. HB 1549 exempts motorcyclists from paying into the continuation fund because they never directly benefited from the defunct CAT fund.

Other provisions of the bill:

-- Allow third parties to administer the skills part of the Commercial Driver's License test;

-- Exempt operators of motorcycles equipped with sidecars or trailers from having to secure a CDL;

-- Clarify language dealing with commercial drivers who are charged with driving under the influence. Previously, the Vehicle Code provided for a commercial driver to lose his license if blood alcohol level was at .04. The new law provides for disqualification if the blood alcohol level is higher than .04 percent.

"V" More Code Amendments -- Another bill that "grew" during a succession of amendments found its way to the governor's desk at the end of the legislative session, only to be vetoed by the governor on Dec. 18, 1992.

The measure -- House Bill 555 -- called for amending various sections of the Vehicle Code.

In his veto message, the governor cited one of the bill's provisions that would have permitted a police officer to arrest without a warrant the driver of a vehicle that was involved in an accident in which someone was seriously injured or killed. The provision, the governor said, contains no requirement that the officer have "reasonable grounds" to make the arrest. He went on to say that he could not sign the legislation because he was convinced that the provision would be found by the courts to violate both the state and federal constitutions.

Gov. Casey also said he had been urged to veto the bill because another provision would require PennDOT to license motorcycles for off-highway recreation. This, he added, could cause excessive soil compaction and erosion, create conflict with other state forest users and exacerbate existing law enforcement problems on public lands.

* Theft Prevention Bill -- Legislation (SB 7) which would provide for the creation of a motor vehicle theft prevention program was passed by the Senate but was not acted on by the House. Under the proposed program, motorists who do not normally drive between the hours of 1 a.m. and 5 a.m. could have obtained a special decal to place on their cars. Police would be authorized to stop cars bearing the decals if they were seen operating during the 1 a.m. to 5 a.m. period.

* Drivers' License Fraud -- The House failed to act on Senate Bill 1645, legislation that would have boosted fines for driver's license fraud. The measure would have doubled from $100 to $200 the summary offense fine for showing a suspended, revoked or altered driver's license; for failing to surrender a revoked or suspended license, and for taking a driver's test for another person or allowing another to take an exam for you.

Using a false or fictitious name on a driver's license application or possessing, selling or attempting to sell a counterfeit license would be a misdemeanor of the third degree which carries a fine of not less than $500. Repeat offenders could face a jail term of up to six months and/or a fine of up to $1,000.

* High Speed Chases -- Concern over the number of accidents occurring during high-speed chases prompted legislation (SB 1434) which stiffens penalties for drivers trying to elude police. The bill cleared the Senate just prior to the 1992 summer recess but the House took no action on the measure.

Persons who willfully fail or refuse to stop their car for a pursuing police officer would be guilty of a misdemeanor of the second degree, punishable by a jail term of up to two years and/or a fine of up to $5,000. The current penalty is a summary offense which carries a fine of $200.

The bill also required local police to implement a written policy on police pursuits and stipulated that the state's driver's manual include a section on the risks of fleeing a police officer.

*** Helmets for Kids/Unattended Children -- Protection for children riding as passengers on bicycles or who are left unattended in automobiles is provided in legislation that, after several tries, finally became law. House Bill 161 was signed into law (Act 20/1991) July 19, 1991, and prohibits bicycle riders from allowing a child five years old or younger to ride as a passenger unless the child is wearing a helmet.

A rising number of head injuries to youthful passengers prompted the legislation. Violators can be charged with a summary offense and can be fined up to $25. However, a first violation can be dismissed if proof is offered to show that a helmet has been obtained for the child passenger. A study by one medical journal revealed that head injuries are the primary or contributing cause of death in 70 to 80 percent of all bicycling fatalities.

The law also makes it a summary offense to leave a child under six years of age in an unattended vehicle under circumstances that endanger the health, safety and welfare of the child. In recent years, at least three Pennsylvania children have succumbed after being left in unattended automobiles during extremely hot weather.

Another provision of House Bill 161 makes more people eligible for handicapped license plates and placards. It extends parking privileges to people who are unable to walk 200 feet without stopping to rest, cannot walk without the use of a device or artificial leg, have a serious heart condition, are limited in their ability to walk because of an arthritic, neurological or orthopedic condition, or are acting on behalf of an eligible handicapped person's parent.

* Speed Limit Increase -- The threat of a gubernatorial veto failed to deter the Senate from passing (26-21) Senate Bill 53, legislation that would increase the speed limit on so-called non-urban stretches of the state's interstate highway system from 55 to 60 miles per hour.

The bill would limit the higher speed to operators of cars and trucks weighing less than 9,000 pounds. The speed limit for large trucks and tractor-trailers would remain at 55 mph. Gov. Casey, PennDOT and the insurance industry all have opposed a speed limit increase and the governor has said on numerous occasions that he'd veto legislation boosting the limit to above 55. The House did not consider the bill.

* Traffic Control Devices -- Legislation (SB 879) providing for a $50 fine and payment of restitution by persons convicted of destroying or removing traffic control devices was passed by the Senate but died in the House.

* Continuing Emergency Runs -- The House took no action on Senate Bill 386, legislation that passed the Senate in June of 1991. The bill addressed a problem encountered by operators of fire or police department vehicles or those operating ambulance, rescue or emergency medical service vehicles and who are involved in accidents while on emergency runs. This bill authorized them to continue their journey if the driver determined it was "reasonable and appropriate", if someone acting on his behalf remained at the scene or if the driver summoned other emergency personnel to the scene of the accident.

* Motorized Wheelchairs -- The House took no action on Senate Bill 881 which would have excluded motorized wheelchairs from the Vehicle Code definition of "motor vehicle" to permit their legal operation on sidewalks. The bill identified a motorized wheelchair as a self-propelled vehicle used by a handicapped person that is not capable of speeds greater than 8 miles per hour.

* Identifying Leased Car Drivers -- Owners of leased vehicles would have been required to identify the person who leased the vehicle to facilitate civil or criminal investigations if Senate Bill 93 had become law. Failure or refusal to give this information to authorities would be a third degree misdemeanor which could result in a one-year jail term and/or a fine of up to $1,000. The measure died in the House Transportation Committee.

* Special Plates for Bikers -- The House did not act on Senate Bill 877, legislation authorizing handicapped and disabled veterans plates for owners of motorcycles.

* More Vehicle Code Changes -- Two other bills which failed House action (SB 206 and SB 870) proposed amendments to the Vehicle Code.

Senate Bill 206 would have exempted from registration any vehicle used exclusively for the transportation and application of chemicals and fertilizer. Owners of such vehicles could obtain a permit to operate for 45 consecutive days.

Senate Bill 870 would have exempted line painting vehicles and vehicles used in municipal recycling programs from width requirements. Current exemptions apply only to street sweepers and snow removal equipment. The same bill contained a provision identical to that in Senate Bill 206.

* School Bus Safety -- No action was taken by the House Education Committee on Senate Bill 873 which would have required school districts to provide school bus safety instruction in conjunction with fire and emergency evacuation drills.

* 'Confidential' Registrations -- The House did not act on Senate-passed legislation (SB 773) that would have permitted federal district court and Third Circuit Appeals Court judges in Pennsylvania, and state Supreme Court justices and judges of the Superior, Commonwealth and Common Pleas courts to obtain "confidential" motor vehicle registrations.

*** Ornamental Lamps -- House concurrence in Senate amendments set the stage for Senate Bill 1324 to be signed into law by the governor (Act 109/1992). The bill amends the Motor Vehicle Code to permit vehicles to be equipped with ornamental lamps, but only for off-road use. The lamps can be installed on a vehicle's roof or rollbar but can not be illuminated when the vehicle is being operated on a highway. A violator is subject to a $100 fine. SB 1324 also includes a technical amendment providing for Pennsylvania Turnpike extensions and improvements.

* Reduced Museum Fee -- The House did not act on Senate Bill 876 which would have added "non-profit mobile aviation museum" to the list of organizations qualifying for a reduced vehicle registration fee. Only one organization presently falls within this category. It is the Piper Aircraft Mobile Museum of Lock Haven which travels to air shows to promote Clinton County's aviation history. Had the bill become law, the museum could have registered its tractor trailer for a fee of $10.

*** Special License Plates -- House concurrence in Senate amendments set the stage for House Bill 211 to become law. This legislation provides for issuing special license plates to veterans of the Korean conflict and the Persian Gulf War. The plates will cost $20 plus the annual registration fee. Gov. Casey signed the bill on Nov. 24, 1992 (Act 105/1992).

*** Funds Transferred -- The governor signed into law (Act 84 of 1992) legislation (HB 2521) transferring Capital Facilities Fund monies to other PennDOT highway projects. The transfer is intended to reduce the need for bond sales for highway projects.

* Tax Exemption Proposed -- The House took no action on Senate Bill 1362, legislation that would have exempted four area agencies on aging from having to pay the liquid fuels tax. Currently, all agencies directly affiliated with a county are exempt. The agencies affected by this bill are Blair, Bedford-Fulton-Huntingdon, Mifflin-Juniata, and Mercer.

** HOV Rules -- The two-year legislative session ended before the Senate could take final action on House Bill 2195. The bill would have statutorily relaxed passenger requirements for vehicles using the HOV (high occupancy vehicle) lane on I-279 in Allegheny County. Highway regulations require vehicles to be occupied by at least three persons to gain access to the lane. House Bill 2195 would have reduced the requirement to two persons.

The bill also revised PennDOT guidelines for weighing vehicles with portable scales and provided for permits for construction trucks that exceed registered maximum gross weight and axle weights. In addition, the bill eliminated a requirement that PennDOT issue permits for the operation of oversize or overweight vehicles in each county. Locations of issuing authorities would be left to the discretion of PennDOT.

*** Land Purchase Okayed -- The governor has signed legislation (HB 1314, Act 51/1992) that authorizes PennDOT to purchase one and a half acres of land in Fairview Township, York County, for a safety clearance zone at the end of a runway at Capital City Airport. The purchase was recommended by the FAA which has agreed to pay 80 percent of the $200,000 purchase cost.

* Identifying Drivers -- The House tabled and took no action on Senate Bill 37, legislation that would have required owners of vehicles to identify the driver of a vehicle to a law enforcement officer if the vehicle is involved in an accident or cited for a traffic violation. The owner also would be responsible for paying parking fines even if the vehicle was operated by another person at the time the tag is issued. The bill exempted rental cars, leasing agents and persons whose vehicles have been stolen and who have reported the theft to police. Refusal by an owner to identify a driver to police would result in suspension of registration and operating licenses for six months.

*** Clean Air Regulations -- Tough new federal air pollution controls became the law in Pennsylvania under legislation which became Act 95 on July 9, 1992.

Senate Bill 1650 implements 1990 amendments to the federal Clean Air Act. It does not require state regulations which are more stringent than the federal standards. The new federal standards will force industries to drastically reduce toxic chemical emissions and cut sulfur dioxide emissions which cause acid rain.

The new law:

-- Imposes an interim fee of $14 for each ton of pollutants generated by the state's major polluters. A permanent fee structure will be developed by the Environmental Quality Board.

-- Creates a Small Business Compliance Assistance Program and an Office of Small Business Ombudsman to help small businesses comply with the new air pollution standards.

-- Establishes stiff new penalties for air polluters.

-- Restricts DER's authority to impose health-based risk standards on steel industry coke ovens.

-- Adopts DER regulations which require Stage II vapor recovery systems at service stations in some parts of the state. The regulations could be waived in moderate ozone nonattainment areas if the federal Environmental Protection Agency develops an alternative control measure by Nov. 15, 1993. The Stage II regulations will become effective on Nov. 15, 1992.

-- Creates an Air Quality Improvement Fund to help small businesses meet the new air pollution standards.

Also enacted before the session ended was legislation (HB 2751, Act 166/1992) providing for an enhanced auto emissions inspection and maintenance program (See Transportation, Emission Program Expanded).

*** Pennvest Bond Issue -- Legislation authorizing a $350 million bond issue for the Pennvest water and sewer system infrastructure improvement program was signed into law as Act 5 on March 16, 1992. The bond issue was subsequently approved in a statewide referendum on April 28.

House Bill 1403 also provided for Pennvest financing of storm water control projects and creates a grant program to help small water companies pay for feasibility studies aimed at establishing regional water systems. Separate legislation dealing with storm water projects was passed as Senate Bill 275, Act 149/1992.

*** Pennvest Storm Water Projects -- Storm water control projects will be included in the state Pennvest program under enabling legislation (SB 275) signed into law as Act 149 on Dec. 16, 1992. The measure also increased Pennvest's revolving loan fund ceiling from $325 million to $725 million. The increase in the fund's capacity is expected to permit Pennvest to finance projects in future years through loan repayments without the need for additional bond authorization.

*** Mine Reclamation -- Legislation to encourage the reclamation and remining of abandoned coal mines was signed into law as Act 173 on Dec. 18, 1992.

House Bill 78 establishes incentives for reclamation and remining, strengthens water supply replacement regulations and creates alternative financing to help ensure that active mine sites are reclaimed and pollution discharges are treated.

The law authorizes the Department of Environmental Resources to issue bond credits in lieu of required bonds to operators for voluntarily reclaiming abandoned mine lands.

The measure also creates a Remining Environmental Enhancement Fund to encourage remining and reclamation. The fund will be financed by license and permit fees and penalties for surface mining law violations.

The law also creates a presumption that mine operators are responsible for water pollution or the loss of water supplies located within 1,000 feet of a surface mine.

** Water Supplies Affected by Mining -- The Senate and House approved legislation which would have provided for the replacement of water supplies affected by underground mining, and for the restoration or replacement of, or compensation for, some structures damaged by mine subsidence.

House Bill 828 would have required mine operators to replace affected public or private water supplies with an alternate source. Mine operators would be "presumed" responsible for water problems which occur within a specified area surrounding their operations.

Although the bill was approved in both houses of the General Assembly, it was signed only in the House. It therefore died when the session ended.

*** Orphan Wells -- Legislation (HB 866) that creates a surcharge on new permits for oil and gas wells for the purpose of financing a program to plug so-called "orphan" or abandoned wells was signed into law as Act 78 on July 2, 1992.

The bill also requires the identification and reporting of previously unregistered and unpermitted wells.

*** Increase for Storage Tank Loans -- The maximum amount of low-interest state loans to assist businesses in the clean up and removal of old storage tanks is increased from $15,000 to $50,000 under legislation (HB 2456) signed by the governor as Act 184 on Dec. 18, 1992.

The new law also exempts volunteer fire companies and emergency medical services organizations from the requirement to pay DER's $50 annual tank registration fee. It also revises the Underground Storage Tank Indemnification Fund fee structure to establish a different storage tank pollution insurance fee for tanks used to store heating oil and diesel fuel.

** Environmental Education -- A statewide environmental education program would be created under legislation unanimously approved by the Senate on June 16, 1992.

Senate Bill 1444 would involve the state Departments of Education and Environmental Resources in developing and implementing environmental education programs.

The legislation would require the Education Department to assess school-based environmental education programs; support teachers and education agencies and organizations; recognize exemplary environmental education curricula and ensure that schools have procedures for assessing environmental education learning outcomes. It would create an environmental education grant program funded by 5 percent of the fines and penalties collected annually by DER.

The bill was approved by the House, with amendments, and was in the Senate Rules Committee when the session ended.

* Water Conservation -- Legislation (SB 1674) establishing statewide requirements for the use of water-saving plumbing fixtures passed the Senate unanimously on June 15, 1992. The bill would require new or replacement faucets, shower heads, toilets and other plumbing items to meet interim water conservation standards established by the American National Standards Institute. Permanent standards would be established by the state's Environmental Quality Board.

The bill was in the House Conservation Committee when the session ended.

* Household Hazardous Waste -- The Senate has approved legislation which would create a funding mechanism for household hazardous waste collection programs.

Under Senate Bill 208 -- passed (50-0) on February 11, 1992

-- money for household hazardous waste programs could be transferred from the Solid Waste/Resource Recovery Development Fund into a restricted revenue account in the state Recycling Fund. The new account would provide matching grants to municipalities to help establish and operate household hazardous waste collection programs.

The bill was in the House Conservation Committee when the session ended.

* Toxic Packaging Ban -- The Senate unanimously approved legislation which would ban the use of lead, cadmium, mercury and hexavalent chromium in packaging materials. The ban would become effective in two years.

Senate Bill 1733 was approved by the Senate on July 1, 1992. It was in the House Conservation Committee when the session ended.

*** No Bidding for Recyclables -- Political subdivisions will not have to go through advertising and bidding procedures when they sell recyclable materials under legislation (HB 222) signed into law as Act 21 on April 9, 1992.

Bidding will not be required for the sale of "personal property" which is recyclable material or material separated, collected, recovered or created by recycling. The exemption applies to political subdivisions -- including school districts.

*** Alternative Fuels -- A grant program would help finance the retrofitting of vehicles to use alternative fuels under legislation that was incorporated into House Bill 2751, which became Act 166 of 1992 (Also see Transportation, Emission Program Expanded).

The measure, which previously passed the Senate in the form of Senate Bill 1470, authorizes grants to school districts, municipal authorities, nonprofit groups, corporations, partnerships and individual citizens.

*** Sewage Enforcement -- Publicly owned sewage treatment plants will have additional authority to enforce industrial pretreatment standards under legislation signed into law as Act 9 on March 26, 1992.

Under House Bill 795, municipalities and municipal authorities could impose civil penalties of up to $25,000 a day for industrial pretreatment violations.

*** Cave Exploration -- Legislation (SB 1051) which designates "cave exploration" as a recreational activity under a 1986 law which encourages landowners to make land and water areas available to the public for recreational purposes was signed into law as Act 10 on March 26, 1992. Landowner liability will be limited to personal damages in connection with opening a cave to the public.

*** Sewage System Cleaners -- Legislation which will prohibit the sale, distribution and use of some sewage system cleaners was signed into law as Act 41 on May 28, 1992.

The ban will initially apply to cleaners which contain halogenated or aromatic hydrocarbons, but other materials could be prohibited by the state Environmental Quality Board.

The restrictions created under Senate Bill 14 will be enforced by the state Department of Environmental Resources.

*** Water Wells in State Forests -- Municipalities and municipal authorities could drill water wells on State Forest land under a bill (SB 1224) unanimously approved by the Senate. Provisions of this measure were later included in House Bill 804, which became Act 35/1991 (See Budget & Finance section, Budget Oversight).

* Subsidence Insurance -- Legislation which would expand coverage available through the Coal and Clay Mine Subsidence Insurance Fund was unanimously approved by the Senate on March 18, 1992.

Senate Bill 1063 would set new maximum coverage limits of $250,000 for residential property and $500,000 for commercial and industrial property. The bill would also let the fund cover damage caused by landslides.

The bill was in the House Conservation Committee when the session ended.

* Sinkhole Damage Assistance -- A sinkhole damage assistance program would be created under legislation (SB 335) approved by the Senate on April 16, 1991.

The vote was along party lines (26-22), with Democrats objecting to program's cost.

The program would provide grants or loans to the owners of property damaged by sinkholes. Grants would be given to homeowners whose dwellings are unsafe for occupancy.

The sinkhole damage assistance program would help repair sinkhole damage to dwellings, commercial property and public school buildings. Loans would be made on a priority basis with preference given to dwellings.

Senate Bill 335 was in the House Conservation Committee when the session ended.

* Allegheny County Hydroelectric Project -- The Senate unanimously approved legislation which would set new standards for a Second Class (Allegheny) County to follow when evaluating a hydroelectric project proposal.

Senate Bill 1463 was passed by the Senate on May 19, 1992, It was in the House Conservation Committee when the session ended.

*** Scenic River Additions -- Four bills which make additions to Pennsylvania's Scenic Rivers System were signed into law on Dec. 4, 1992, as Acts 116, 118, 124 and 125.

Added to the system were:

-- portions of Pine Creek and its tributaries in Tioga County (HB 416, Act 124);

-- two portions of the Schuylkill River which are not already a part of the Scenic Rivers System (HB 782, Act 125);

-- three segments of the Yellow Breeches Creek in Cumberland and York counties (SB 1408, Act 116); and

-- four segments of the Tuplehocken Creek in Lebanon and Berks counties (SB 1537, Act 118).

*** Child Health Care -- Landmark legislation (HB 20) to provide free and/or low-cost health insurance to thousands of uninsured children in Pennsylvania has been signed into law as Act 113 of 1992.

The new program, to be funded by two cents of the state's per-pack tax on cigarettes (estimated to generate approximately $20 million annually), is intended to cover youngsters whose families earn too much to qualify for Medicaid but too little to afford private insurance.

The legislation provides for the following:

-- free coverage for children under age six if their families have incomes below 185 percent of the federal poverty level (currently $25,807 or less for a family of four);

-- payment of 50 percent of the cost of coverage for children under age six if their families have incomes between 185 percent and 235 percent of the federal poverty level (currently between $25,807 and $32,782 for a family of four);

-- free coverage for children 12 years of age or younger who aren't already covered by Medicaid even though their families' incomes are below the federal poverty level.

The federal Medicaid program only covers below-poverty-level children through the age of nine. The state program will supplement the federal program, expanding coverage to older children. Further, the age limit of the state program (now 12 years old) will increase by one year during each year of the program.

Services to be provided under the child health care program include doctor visits, preventive care, immunizations, up to 90 days of hospitalization, dental, vision and hearing care, and prescription assistance.

An estimated 32,000 of more than 90,000 eligible children are expected to participate in the program.

The legislation also includes a $1.25 million appropriation for a college loan forgiveness program for doctors and nurses who agree to practice in medically under-served areas of the state, as well as for incentives to local communities for the establishment of primary health care clinics.

*** "Living Wills" -- Signed into law was legislation (SB 3, Act 24/1992) that gives Pennsylvanians a right to reject extraordinary life-sustaining treatment when there is no chance for recovery.

Final enactment of the so-called "living will" measure ended a 15-year battle surrounding the issue of a comatose and/or terminally ill person's right to die. The measure also changes state provisions governing the guardianship of persons who are unable to care for themselves.

Under the law, persons 18 years of age or older can execute, in advance, a written declaration expressing his or her wishes for the initiation, continuation, withholding or withdrawal of life-sustaining treatment once the person become incapacitated, comatose or terminally ill.

The law, however, does contain an exception to the so-called right to die for pregnant women. Comatose or terminally ill pregnant women are required to receive life-sustaining treatment, nutrition and hydration unless the treatment would not permit the continuing development and live birth of the unborn child, would be physically harmful to the woman, or would cause pain to the pregnant woman which could not be alleviated by medication.

If the pregnant woman lacks medical insurance, the state is required to pay the life support costs.

Guardianship provisions of the legislation, designed to protect the civil rights of elderly citizens, substitutes the word "incapacitated" for "incompetent" and outlines levels of capacity. In addition, it establishes the concept of "limited guardianship" whereby "incapacitated" persons -- depending on their ability to do so -- will be able to make some decisions for themselves.

Under the previous law, a person declared to be incompetent could have lost all rights to all personal decisions and become a ward of the state without any legal representation and without ever being seen by the judge who issues the ruling. The new law mandates that, unless it can be proven that it would be harmful to the individual, the individual being considered for guardianship must appear before the judge.

A petition and hearing notice for guardianship must be in simple and plain language and must clearly explain the rights that the individual will lose.

When determined appropriate by the courts, individuals will have the right to be represented by a lawyer. Guardians will be responsible for filing regular reports to the courts on the progress of the individual under their care.

*** Mammography Standards -- The governor has signed into law (SB 1393, Act 93/1992) legislation that establishes quality assurance standards for mammography services in Pennsylvania.

The bill requires mammography service providers to be licensed and related facilities and equipment to be inspected. In addition, mammography providers who are Medicare-certified are exempt from the state licensure requirements.

The legislation provides for the revocation or non-renewal of licenses of facilities that do not meet quality standards and fines of up to $500 per day -- per machine -- for mammography deficiencies.

*** Infant Testing for Diseases -- Doctors and hospitals statewide are required to test newborn infants for sickle cell, maple syrup urine and other metabolic diseases under legislation signed into law as Act 86 of 1992.

The legislation (SB 9) requires the Department of Health, with the approval of the State Advisory Health Board, to establish a program for screening tests and follow-up services for infants. It requires health care providers to take blood samples of newborns and forward the samples to laboratories -- designated by the Department of Health -- for testing. If the initial sample is unacceptable, the provider is required to collect another specimen.

The measure contains a provision which allows parents or guardians to refuse the test on the grounds that it conflicts with religious beliefs or practices.

*** Certificate of Need -- Legislation (HB 1982) reenacting and expanding "certificate of need" requirements for health care facilities was enacted (Act 179/1992).

The law, marking a renewed attempt to hold down health care costs, requires all health service providers to obtain a certificate of need from the state Health Department before constructing or expanding facilities or purchasing new equipment.

Prior to the new law, only institutional health care providers (such as hospitals) and health maintenance organizations were required to comply with the certificate of need program.

The legislation also creates a 15-member Health Policy Board within the Department of Health.

*** Council's Life Extended -- The governor has signed legislation (SB 1975, Act 123/1992) that extends the life of Pennsylvania's Health Care Cost Containment Council until June 30, 1993.

The measure also appropriates $1 million for the council's operation for the remainder of the fiscal year.

* Prison Treatment Costs -- Legislation (SB 278) which would absolve counties from paying the costs for treatment of prisoners sentenced to state mental health facilities passed the Senate (47-0). The measure died in the House Appropriations Committee.

Under current law, the county where the individual is convicted and sentenced is required to pay such costs.

*** Trauma Center Accreditation -- Certificates of accreditation for hospitals meeting the guidelines as a trauma center would be increased from two to three years under legislation (HB 2293) signed into law as Act 146 of 1992.

*** Drug Wholesalers -- The House concurred (194-0) in Senate amendments to legislation (HB 2602, Act 145/1992) which establishes minimum standards and requirements for persons who engage in the wholesale distribution of prescription drugs.

The law, which provides for the licensure of wholesale distributors, regulates the storage, handling and record keeping of prescription drugs. Licenses would be required to be renewed at least every two years.

* Welfare Reform -- Welfare benefits would have been restricted under legislation (SB 1233) which passed (39-9) the Senate but died in the House.

Among its provisions, the measure would have instituted a so-called "learnfare" program requiring regular school attendance by children in exchange for public assistance. The bill also would have restricted year-round benefits for "transitionally needy" individuals between the ages of 45 and 55, prohibited cash assistance to persons who have quit their jobs within the past 30 days, and barred welfare benefits to persons who haven't lived in the state for at least 90 days.

*** Expiration Date Extended -- The expiration date for the Cancer Control, Prevention and Research Act is extended to June 30, 1996 under legislation (HB 2482) that has been signed into law as Act 37 of 1992.

* Drug Treatment and Prevention -- A 13-member state Board of Drug and Alcohol Abuse would have been created to direct and coordinate Pennsylvania's drug and alcohol abuse prevention and treatment programs over the next 10 years under legislation which passed the Senate (49-0). The bill died in the House.

*** Death Certificates; Fees -- A physician, dentist or coroner is prohibited from issuing a death certificate for an immediate family member under legislation (HB 344) signed into law as Act 46 of 1991. The law also allows professional nurses to pronounce death. Further, the legislation allows local registrars to receive $2.00 for each copy of a death certificate and increases from $20,000 to $35,000 the amount of fees a registrar may receive in a year.

* Drug-Baby Births -- Legislation (SB 1197) intended to target meaningful services to prevent substance abuse pregnancies and so-called "drug baby" births passed the Senate (50-0) but was not considered by the House. The measure contained a $10 million appropriation and called for the establishment of an outreach services program to link pregnant women in targeted areas with prenatal care.

* Tracking Domestic Abuse -- Legislation (SB 517) which would have required health care providers to file a confidential medical data collection report on the treatment of domestic violence victims was in the House Health and Welfare Committee when the two-year session ended.

The measure would have required doctors, nurses, dentists, hospitals and clinics to submit the reports to the Department of Health. The victims would not have been identified in the reports.

*** Bed, Breakfast Inns Exempt -- The governor has signed legislation (HB 1970, Act 62/1992) which exempts bed and breakfast inns from the Public Eating and Drinking Law.

A bed and breakfast homestead or inn is defined as a private residence containing 10 or fewer bedrooms where the public may seek overnight accommodations and where breakfast is the only meal served and is included in the room charge.

* Autopsy Requirement -- An autopsy would been required if a child under the age of three dies from an unknown cause under Senate Bill 196. The bill did not receive final action by the House.

AGING AND YOUTH 

*** PACE Rescue Plan -- The governor has signed legislation (HB 2442, Act 128/1992) designed to maintain prescription drug assistance for senior citizens by shoring up the financial solvency of the state Lottery Fund.

The measure, expected to save $36 million annually, requires drug manufacturers to give a higher rebate to the state for prescriptions purchased under the PACE prescription assistance program for elderly citizens.

Pennsylvania, with its PACE program, is the largest single purchaser of prescription drugs in the United States.

Retroactive to October 1, 1992, the legislation requires a drug manufacturer price rebate of 15 percent for brand name drugs and 11 percent for generic drugs. The previous legislatively- required rebates, enacted in 1991, were 12.5 percent for brand name drugs and 10 percent for generic equivalents.

House Bill 2442 also provided for an additional discount to the state if and when a drug manufacturer exceeds the average producer price index cost.

Another provision of the new law requires pharmacists to fill PACE prescriptions with A-rated generic drugs unless a cardholder's doctor stipulates that a brand-name must be used. If a PACE cardholder insists on a brand-name drug, the cardholder must pay 70 percent of the average wholesale cost plus the required $6 co-payment.

Earlier in the session, the Legislature had approved a measure (HB 1470, Act 36/1991) providing for the first drug manufacturer rebate for prescriptions purchased under the PACE program.

Among its provisions, Act 36 of 1991 also raised the income limits for PACE eligibility from $12,000 to $13,000 for a single person 65 years of age or older, and from $15,000 to $16,200 for elderly married couples.

* Adoption Requirement -- A visit to the home of adopting parents would be required as part of the investigation to determine the suitability of placement of a child under Senate Bill 1243.

The bill, which was in the House Aging and Youth Committee when the session ended, would also have required the investigation to include founded reports of child abuse and a criminal history record check of adopting parents.

* Child Abuse Reports -- Legislation (SB 900) that would have allowed court access to child abuse reports and files relevant to any matter involving custody of a child passed the Senate but died in the House.

*** Missing Children -- Enacted was a bill (HB 1515, Act 59/1992) requiring law enforcement agencies to make an entry into the Commonwealth Law Enforcement Assistance Network (CLEAN) upon taking custody of an unidentified living child or discovering an unidentified deceased child.

*** Fire and Panic Act Changes -- Legislation which establishes fire and safety requirements in the Fire and Panic Act to specifically cover family child day care homes and group child day care homes has been signed into law as Act 75 of 1992.

The legislation adds a new class of buildings to specifically cover family and group day care homes.

Under the measure, group child day care homes are required to develop a fire-evacuation plan, maintain a direct grade exit and provide smoke detectors in each sleeping area.

The Department of Labor and Industry will charge a fee of $25 for inspection and issuance of an occupancy permit.

*** Mammogram Coverage Mandate/Long Term Care Insurance -- Passed in the closing hours of the two-year session was legislation (SB 1087, Act 148/1992) requiring health insurance policies to cover the costs of mammograms for women 40 years of age and older. The law also establishes consumer protection measures for long-term care insurance policies.

Intended to help combat breast cancer, which claims the lives of nearly 3,000 women in Pennsylvania each year, the new mammogram coverage requirement for women over 40 also stipulates that insurance companies pay for mammograms of younger women if a doctor recommends such screening.

The new law also protects senior citizens from long-term care insurance ripoffs by regulating the sale and marketing of such policies.

Key features include:

-- the establishment of standard policy language so that consumers will be able to better compare one long-term care insurance plan to another;

-- a prohibition against the practice of requiring long-term care policyholders to have a prior hospital admission before going