HB 1232 — An Act amending the act of April 9, 1929 (P.L.343, No.176), known as The Fiscal Code, providing for emergency finance and tax provisions; in additional special funds, providing for COVID-19 response transfers and for the Enhanced Revenue Collection Account; in 2018-2019 budget implementation, further providing for Department of Revenue; and making an editorial change.

SENATE AMENDED PRIOR PRINTER'S NO.

1444 PRINTER'STHE NO.GENERAL ASSEMBLY OF PENNSYLVANIA HOUSE BILL Session of No.

35001232 THE2019 GENERALINTRODUCED ASSEMBLYBY OFDUNBAR, PENNSYLVANIARYAN, HOUSEMILLARD, BILLWHEELAND, SessionGROVE, PICKETT, GAYDOS, LAWRENCE AND MENTZER, APRIL 16, 2019 REFERRED TO COMMITTEE ON FINANCE, APRIL 16, 2019 AN ACT Amending the act of No.April 9, 1929 (P.L.343, No.176), entitled, as amended, "An act relating to the finances of the State government;

1232 2019 INTRODUCED BY DUNBAR, MILLARD, WHEELAND, GROVE, PICKETT, GAYDOS, LAWRENCE AND MENTZER, APRIL 16, 2019 SENATOR BROWNE, APPROPRIATIONS, IN SENATE, RE-REPORTED AS AMENDED, MARCH 25, 2020 AN ACT Amending the act of April 9, 1929 (P.L.343, No.176), entitled, <-- as amended, "An act relating to the finances of the State government;

providing for the settlement, assessment, collection, and lien of taxes, bonus, and all other accounts due the Commonwealth, the collection and recovery of fees and other money or property due or belonging to the Commonwealth, or proceedsany ofagency itsthereof, sale,including theescheated custodyproperty and disbursementthe orproceeds other disposition of fundsits andsale, securitiesthe belongingcustody toand disbursement or inother the possession of the Commonwealth, and the settlement of claims against the Commonwealth, the resettlement of accounts and appeals to the courts, refunds of moneys erroneously paid to the Commonwealth, auditing the accounts of the Commonwealth and all agencies thereof, of all public officers collecting moneys payable to the Commonwealth, or any agency thereof, and all receipts of appropriations from the Commonwealth, authorizing the Commonwealth to issue tax anticipation notes to defray current expenses, implementing the provisions of section 7(a) of Article VIII of the Constitution of Pennsylvania authorizing and restricting the incurring of certain debt and imposing penalties;

affecting every department, board, commission, and officer of the State government, every political subdivision of the State, and certain officers of such subdivisions, every person, association, and corporation required to pay, assess, or collect taxes, or to make returns or reports under the laws imposing taxes for State purposes, or to pay license fees or other moneys to the Commonwealth, or any agency thereof, every State depository and every debtor or creditor of the Commonwealth," PROVIDINGin FORadditional EMERGENCYspecial FINANCEfunds, ANDproviding TAXfor <--the PROVISIONS;Enhanced Revenue Collection Account;

in additional special funds, providing for COVID- <-- 19 RESPONSE TRANSFERS AND FOR the Enhanced Revenue Collection Account;

The heading of Article XVII-A.1 of the act of <-- April 9, 1929 (P.L.343, No.176), known as The Fiscal Code, is amended to read:

SECTIONARTICLE 1.XVII-A.1 ADDITIONAL SPECIAL FUNDS AND RESTRICTED ACCOUNTS Section 2.

THE ACT OF APRIL 9, 1929 (P.L.343, NO.176), KNOWN <-- AS THE FISCAL CODE, IS AMENDED BY ADDING AN ARTICLE TO READ:

ARTICLE I-A EMERGENCY FINANCE AND TAX PROVISIONS SECTION 101-A.

DECLARATION OF POLICY.

THE GENERAL ASSEMBLY FINDS AND DECLARES AS FOLLOWS:

(1) THERE ARE CIRCUMSTANCES UNDER WHICH IT IS IMPOSSIBLE TO EFFECTIVELY COMPLY WITH LAW RELATING TO STATE FINANCE OR STATE TAX.

(2) WHEN CIRCUMSTANCES UNDER PARAGRAPH (1) ARISE, IT IS NECESSARY FOR COMMONWEALTH AGENCIES TO EXERCISE TEMPORARY POWERS AND DUTIES SET FORTH IN THIS ARTICLE.

SECTION 102-A.

DEPARTMENT OF REVENUE.

(A) SCOPE.--THIS SECTION PROVIDES TEMPORARY AUTHORITY TO THE DEPARTMENT OF REVENUE TO DEAL WITH STATE TAXATION DURING THE STATE OF DISASTER EMERGENCY ANNOUNCED BY THE GOVERNOR'S MARCH 6, 2020, PROCLAMATION OF DISASTER EMERGENCY.

(B) FILING AND PAYMENT DEADLINES.--DURING THE STATE OF DISASTER EMERGENCY UNDER SUBSECTION (A), ALL OF THE FOLLOWING APPLY:

(1) THE DEPARTMENT SHALL EXTEND FILING AND PAYMENT 20190HB1232PN3500 - 2 - DEADLINES UNDER SECTIONS 325(D), (E), (F) AND (H), 326, 330.1(B) AND 335(C)(1), (D), (E) AND (F)(1) OF THE ACT OF MARCH 4, 1971 (P.L.6, NO.2), KNOWN AS THE TAX REFORM CODE OF 1971, AND RELATED STATUTORY AND REGULATORY PROVISIONS SO THAT THE DEADLINES COINCIDE WITH THE FILING DEADLINE FOR A TAX RETURN AND PAYMENT UNDER SECTION 330 OF THE TAX REFORM CODE OF 1971.

(2) THE DEPARTMENT SHALL DISREGARD THE PERIOD AFTER APRIL 14, 2020, AND BEFORE JULY 16, 2020, IN THE CALCULATION OF INTEREST, A PENALTY OR AN ADDITION TO TAX FOR FAILURE TO MEET THE EXTENDED DEADLINE UNDER PARAGRAPH (1).

(C) EXPIRATION.--THIS SECTION SHALL EXPIRE JULY 31, 2020.

SECTION 103-A.

DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT.

(A) SCOPE.--THIS SECTION PROVIDES TEMPORARY AUTHORITY TO THE DEPARTMENT OF COMMUNITY AND ECONOMIC DEVELOPMENT TO DEAL WITH LOCAL TAXATION DURING THE STATE OF DISASTER EMERGENCY ANNOUNCED BY THE GOVERNOR'S MARCH 6, 2020, PROCLAMATION OF DISASTER EMERGENCY.

(B) LOCAL TAXATION.--DURING THE STATE OF DISASTER EMERGENCY UNDER SUBSECTION (A), THE DEPARTMENT SHALL COORDINATE WITH THE GOVERNING BODIES AND LOCAL AGENCIES OF POLITICAL SUBDIVISIONS TO DO ALL OF THE FOLLOWING:

(1) EXTEND FILING AND PAYMENT DEADLINES FOR LOCAL TAXES UNDER CHAPTER 5 OF THE ACT OF DECEMBER 31, 1965 (P.L.1257, NO.511), KNOWN AS THE LOCAL TAX ENABLING ACT, AND RELATED STATUTORY PROVISIONS, ORDINANCES AND RESOLUTIONS SO THAT THE DEADLINES COINCIDE WITH THE FILING DEADLINE FOR A TAX RETURN AND PAYMENT UNDER SECTION 330 OF THE ACT OF MARCH 4, 1971 (P.L.6, NO.2), KNOWN AS THE TAX REFORM CODE OF 1971.

20190HB1232PN3500 - 3 - (2) DISREGARD THE PERIOD AFTER APRIL 14, 2020, AND BEFORE JULY 16, 2020, IN THE CALCULATION OF INTEREST, A PENALTY OR AN ADDITION TO TAX FOR FAILURE TO MEET THE EXTENDED DEADLINE UNDER PARAGRAPH (1).

(C) EXPIRATION.--THIS SECTION SHALL EXPIRE JULY 31, 2020.

SECTION 1.1.

THE HEADING OF ARTICLE XVII-A.1 OF THE ACT IS AMENDED TO READ:

ARTICLE XVII-A.1 ADDITIONAL SPECIAL FUNDS AND RESTRICTED ACCOUNTS SECTION 1.2.

SUBARTICLE D OF ARTICLE XVII-A.1 IS AMENDED BY <-- ADDING SECTIONS TO READ:

SECTION 1735-A.1.

COVID-19 RESPONSE TRANSFERS FOR ASSISTANCE TO THE COMMONWEALTH'S HEALTH CARE SYSTEM.

(A) TRANSFERS.--NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, THE SECRETARY OF THE BUDGET MAY TRANSFER THE SUM OF $50,000,000 FROM SPECIAL FUNDS UNDER THE GOVERNOR'S JURISDICTION TO A RESTRICTED ACCOUNT AS PROVIDED UNDER SUBSECTION (B).

THESE FUNDS SHALL BE USED TO ACQUIRE MEDICAL EQUIPMENT AND SUPPLIES FOR HEALTH CARE ENTITIES TO MEET URGENT PATIENT AND STAFF NEEDS TO ADDRESS SURGE DEMAND.

HEALTH CARE ENTITIES SHALL INCLUDE, BUT NOT BE LIMITED TO, HOSPITALS, NURSING FACILITIES AND EMERGENCY MEDICAL SERVICES.

(B) DEPOSIT.--THE FUNDS TRANSFERRED UNDER SUBSECTION (A) SHALL BE DEPOSITED BY THE SECRETARY OF THE BUDGET INTO A RESTRICTED ACCOUNT WITHIN THE GENERAL FUND OF THE STATE TREASURY AS NECESSARY TO MAKE PAYMENTS UNDER THIS SECTION AND, WHEN TRANSFERRED, ARE HEREBY APPROPRIATED TO CARRY OUT THE PROVISIONS OF THIS SECTION RELATED TO THE COMMONWEALTH'S COVID-19 RESPONSE.

(C) DEFICIT.--THE SECRETARY OF THE BUDGET MAY NOT MAKE A TRANSFER OF FUNDS IF THE TRANSFER WOULD RESULT IN A DEFICIT IN 20190HB1232PN3500 - 4 - ANY OF THE FUNDS.