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        PRIOR PRINTER'S NOS. 676, 1719, 1897          PRINTER'S NO. 1961

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 17 Session of 1999


        INTRODUCED BY STEVENSON, WILLIAMS, GEIST, FAIRCHILD, GORDNER,
           CALTAGIRONE, ORIE, LAUGHLIN, CORNELL, FEESE, ROBINSON,
           KAISER, FARGO, READSHAW, WALKO, BATTISTO, MARKOSEK, HERMAN,
           PETRONE, FICHTER, GEORGE, MANDERINO, ROSS, RUBLEY, VANCE,
           NAILOR, HENNESSEY, PLATTS, DRUCE, SEYFERT, BELARDI, MUNDY,
           SEMMEL, STERN, SCRIMENTI, ARMSTRONG, TRAVAGLIO, B. SMITH,
           McCALL, PETRARCA, ARGALL, BENNINGHOFF, SCHRODER, HERSHEY,
           E. Z. TAYLOR, DeLUCA, DAILEY, STAIRS, BAKER, SURRA, RAYMOND,
           MICOZZIE, HESS, MASLAND, KENNEY, SAYLOR, ZUG, COLAFELLA,
           MANN, DALEY, KREBS, JAMES, SNYDER, S. MILLER, BUNT, WILT,
           SOLOBAY, CLYMER, HARHAI, RAMOS, MARSICO, PISTELLA, STABACK,
           DALLY, SANTONI, TULLI, MAHER, STETLER, DERMODY, ROEBUCK,
           MICHLOVIC, SERAFINI, L. I. COHEN, BROWNE AND FLICK,
           MARCH 2, 1999

        AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES,
           JUNE 8, 1999

                                     AN ACT

     1  Amending the act of June 14, 1961 (P.L.324, No.188), entitled
     2     "An act relating to the establishment, operation and
     3     maintenance of the State Library and public libraries in the
     4     Commonwealth; amending, revising, consolidating and changing
     5     the laws relating thereto; imposing duties upon public
     6     officers; providing for State and local cooperation and
     7     assistance in the establishment and maintenance of libraries;
     8     prescribing penalties; and repealing existing laws," further
     9     providing for State-aid to local libraries and library
    10     systems.

    11     The General Assembly of the Commonwealth of Pennsylvania
    12  hereby enacts as follows:
    13     Section 1.  Section 302 of the act of June 14, 1961 (P.L.324,
    14  No.188), known as The Library Code, amended December 9, 1980
    15  (P.L.1125, No.200), is amended to read:


     1     Section 302.  Definitions.--As used in this article--
     2     (1)  "Basic Standards."  The basic standards are standards
     3  promulgated by the State Librarian and approved by the Advisory
     4  Council on Library Development, in compliance with sections
     5  201(15) and 303, which must be achieved by a local library to
     6  qualify for the State-aid authorized by section 303(1) and (7)
     7  and by a branch library or a bookmobile to qualify for the
     8  State-aid authorized by section 303(7). The standards shall be
     9  those deemed essential to a library, branch or bookmobile for it
    10  to fulfill the definition of local library stated in section
    11  102(1).
    12     (2)  "Direct Service Area."  The municipality or
    13  municipalities to which the governing body of a library is
    14  responsible for extending all its library services without
    15  charge.
    16     (3)  "Financial Effort."  The sum expended annually by a
    17  local library for the establishment, operation and maintenance
    18  of library services which derives from local taxes, gifts,
    19  endowments and other local sources, as may be provided under
    20  rules and regulations adopted by the Advisory Council on Library
    21  Development, and which is used to determine eligibility for
    22  State-aid.
    23     (4)  "Financial Effort Equal to One-half Mill."  The
    24  financial effort equal to one-half mill times the market value
    25  of taxable property, as determined by the State Tax Equalization
    26  Board, in the municipalities for which aid is claimed or in the
    27  direct service area of a local library, whichever is applicable.
    28     (5)  "Financial Effort Equal to One-quarter Mill."  The
    29  financial effort equal to one-quarter mill times the market
    30  value of taxable property, as determined by the State Tax
    19990H0017B1961                  - 2 -

     1  Equalization Board, in the municipalities for which aid is
     2  claimed or in the direct service area of a local library,
     3  whichever is applicable.
     4     (5.1) "INTERNET."  THE INTERNATIONAL NONPROPRIETARY COMPUTER   <--
     5  NETWORK OF BOTH FEDERAL AND NON-FEDERAL INTEROPERABLE PACKET-
     6  SWITCHED DATA NETWORKS.
     7     (5.1) (5.2)  "Local Government Support."  Support from a       <--
     8  municipality within a direct service area for the normal
     9  recurring operating costs of a library or a library system
    10  serving that direct service area from appropriations, general
    11  purpose taxes, special library taxes or direct payment of any
    12  library expense. The term shall not include costs of shared
    13  services, in-kind costs or employment program costs.
    14     (6)  "Minimum Standards."  Standards promulgated by the State
    15  Librarian and approved by the Advisory Council on Library
    16  Development, in compliance with sections 201(15) and 303, which
    17  must be achieved by a local library or a library system to
    18  qualify for aid [authorized by section 303(2)] under section
    19  303.
    20     (7)  "Per Capita."  Amounts determined on the basis of either
    21  the latest official United States Census report or the
    22  population upon which the 1979-1980 State-aid payment was based,
    23  whichever is greater. Beginning with the 1999-2000 fiscal year,
    24  the term shall mean the most recent official United States
    25  Census report for purposes of calculating payment under section
    26  303(b)(1.1) and (2.1).
    27     (8)  "Surplus Financial Effort."  The financial effort which
    28  is in excess of a financial effort equal to one-half mill on
    29  market value in the direct service area or two dollars ($2) per
    30  capita for each person residing in the direct service area of
    19990H0017B1961                  - 3 -

     1  the local library, whichever is less.
     2     Section 2.  Section 303 of the act, amended July 10, 1985
     3  (P.L.195, No.50) and June 30, 1989 (P.L.71, No.18), is amended
     4  to read:
     5     Section 303.  State-aid.--(a)  Beginning in the 1985-1986
     6  fiscal year and through the 1998-1999 fiscal year, in each year
     7  that the Commonwealth's total annual appropriation for the
     8  system of State-aid established by section 301 equals or exceeds
     9  seventeen million five hundred thousand dollars ($17,500,000),
    10  two and three-quarters percent (2.75%) of said appropriation
    11  shall first be allocated as equalization aid, as provided for in
    12  clause (6) of subsection (b) and the remainder of said
    13  appropriation shall then be allocated according to the
    14  percentages established in clauses (1), (2), (3), (4), (5) and
    15  (7) of subsection (b).
    16     (b)  [Subject to the limitations in subsection (a),] State-
    17  aid shall be paid when a library achieves the applicable
    18  standards determined by counseling with the State Librarian
    19  pursuant to the advice and recommendations of the Advisory
    20  Council on Library Development, or submits plans as set forth in
    21  section 304 of this act leading to the achievement of such
    22  standards, and makes a minimum financial effort as follows,
    23  except that no library receiving State-aid prior to and at time
    24  of the approval of this act shall receive less State-aid as a
    25  result of the provisions hereof notwithstanding that such
    26  library has not accepted the provisions of this act:
    27     (1)  Basic Aid to Local Libraries.  [Twenty-five] For
    28  eligible fiscal years up to and through the 1998-1999 fiscal
    29  year, twenty-five percent (25%) of the Commonwealth's total
    30  annual appropriation for the system of State-aid established by
    19990H0017B1961                  - 4 -

     1  section 301, or a minimum of twenty-five cents (25¢) per capita
     2  for each person residing in the municipalities of the libraries
     3  which qualify for basic aid, shall be allocated as basic aid.
     4     Any local library which makes a minimum financial effort
     5  equal to one-half mill, for the municipalities on behalf of
     6  which it applies for aid, or two dollars ($2) per capita for
     7  each person residing in those municipalities, whichever is less
     8  and achieves the basic standards, shall qualify for basic State-
     9  aid. Such aid shall not be less than twenty-five cents (25¢) for
    10  each person residing in the municipalities. However, when the
    11  allocation for basic aid exceeds the amount necessary to pay the
    12  minimum rate, the entire allocation shall be distributed at a
    13  per capita rate which shall be determined by dividing the
    14  allocation by the number of persons in the Commonwealth on
    15  behalf of which local libraries and library systems apply and
    16  qualify for basic aid: Provided, That in the first year in which
    17  a library applies for State-aid it shall qualify by making a
    18  minimum financial effort equal to one-quarter mill, or one
    19  dollar ($1) per capita for each person residing in the
    20  municipalities whichever is less.
    21     In each of the succeeding five years, such library shall
    22  qualify for maximum State-aid only when it increases its
    23  financial effort by the following scale of percentages of the
    24  difference between the financial effort with which such library
    25  initially qualified for State-aid and a financial effort equal
    26  to one-half mill, or two dollars ($2) per capita for each person
    27  residing in the municipalities for which it applies for aid,
    28  whichever is less:
    29     1st succeeding year--20 percent,
    30     2nd succeeding year--40 percent,
    19990H0017B1961                  - 5 -

     1     3rd succeeding year--60 percent,
     2     4th succeeding year--80 percent,
     3     5th succeeding year--100 percent.
     4  But where the increase in any year is less than the percentage
     5  specified above, the amount of State-aid shall be reduced by a
     6  percentage equal to one-fifth of the percentage which the
     7  difference between the required increase and the actual increase
     8  bears to the required increase multiplied by the number of years
     9  of participation in State-aid beyond the first year.
    10     After the fifth succeeding year, a local library shall not be
    11  eligible for further State-aid unless it makes a financial
    12  effort equal to one-half mill for the municipalities on behalf
    13  of which it applies for aid, or two dollars ($2) per capita for
    14  each person residing in those municipalities, whichever is less.
    15     (1.1)  Quality Libraries Aid.
    16     (i)  Beginning with fiscal year 1999-2000 and each fiscal
    17  year thereafter, qualifying local libraries and library systems
    18  shall receive Quality Libraries Aid to be allocated from the sum
    19  total of a hold harmless amount plus an annual supplement, both
    20  amounts to be derived from the Commonwealth's annual
    21  appropriation for grants to local libraries and library systems.
    22  The hold harmless amount for Quality Libraries Aid shall be the
    23  amount allocated under clause (1) above for Basic Aid to Local
    24  Libraries for fiscal year 1998-1999 from the amount allocated
    25  from the Commonwealth's annual appropriation for grants to local
    26  libraries and library systems. For fiscal year 1999-2000, the
    27  annual supplement shall be forty-seven percent (47%) of any
    28  increase in the Commonwealth's annual appropriation for grants
    29  to local libraries and library systems above the amount
    30  appropriated for fiscal year 1998-1999. For subsequent fiscal
    19990H0017B1961                  - 6 -

     1  years, the annual supplement for Quality Libraries Aid shall be
     2  specified in the Commonwealth's annual appropriation for grants
     3  to local libraries and library systems within the General
     4  Appropriations Act for that fiscal year.
     5     (ii)  Quality Libraries Aid shall be allocated to qualifying
     6  local libraries and library systems on a per capita basis in the
     7  following manner: The annual allocation of funds available for
     8  Quality Libraries Aid shall be divided by the total population
     9  on which all libraries and library systems qualify for State-aid
    10  to yield a per capita amount of Quality Libraries Aid. The per
    11  capita amount of Quality Libraries Aid shall then be multiplied
    12  by the total population residing within the municipalities
    13  served by a library or library system which qualifies for aid.
    14     (iii)  To qualify, a local library or library system must
    15  make a minimum financial effort of five dollars ($5) per capita
    16  for each person residing in the municipalities based on which it
    17  qualifies for aid.
    18     (iv)  Any local library or library system that received
    19  State-aid under clause (1) above for fiscal year 1998-1999 shall
    20  have up to three years to make the minimum financial effort of
    21  five dollars ($5) per capita but must annually for each of those
    22  three years increase its minimum financial effort over that made
    23  in the preceding fiscal year in order to qualify for Quality
    24  Libraries Aid.
    25     (v)  Any local library or library system that did not receive
    26  State-aid under clause (1) above for fiscal year 1998-1999 must
    27  make the minimum financial effort of five dollars ($5) per
    28  capita in order to qualify for Quality Libraries Aid.
    29     (vi)  Any local library or library system which applies for
    30  State-aid on behalf of an economically distressed municipality
    19990H0017B1961                  - 7 -

     1  as defined in clause (6) of this subsection must expend a
     2  minimum of two dollars ($2) per capita for the residents of the
     3  municipality.
     4     (vii)  Except for the population of municipalities considered
     5  economically distressed, beginning with fiscal year 2002-2003,
     6  all libraries and library systems which received State-aid in
     7  fiscal year 1998-1999 must make a minimum financial effort of
     8  five dollars ($5) per capita to qualify for Quality Libraries
     9  Aid.
    10     (1.2)  To receive aid under clause (1.1) above, the local
    11  library or library system must meet the following minimum
    12  standards:
    13     (i)  Participate in the Access Pennsylvania Statewide Library
    14  Card Program.
    15     (ii)  Lend materials free of charge on a reciprocal basis to
    16  all types of libraries in this Commonwealth.
    17     (iii)  Provide interlibrary loans to residents of the
    18  library's direct service area free of charge.
    19     (iv)  Be open for service at least twenty-six hours per week
    20  during hours best-suited to the needs of residents of its
    21  service area, to include at least six hours during the weekend
    22  period beginning on Saturday and ending on Sunday. Weekend hours
    23  may be reduced to four hours during time periods as community-
    24  use patterns warrant for ten weeks per year.
    25     (v)  The library director shall annually attend at least
    26  eight hours of continuing education programs approved by the
    27  Office of Commonwealth Libraries.
    28     (2)  Incentive Aid to Local Libraries.  [Twenty-five] For
    29  eligible fiscal years up to and through the 1998-1999 fiscal
    30  year, twenty-five percent (25%) of the Commonwealth's total
    19990H0017B1961                  - 8 -

     1  annual appropriation for the system of State-aid established by
     2  section 301, or a minimum of twenty-five cents (25¢) per capita
     3  for each person residing in the direct service areas of the
     4  libraries which qualify for incentive aid, shall be allocated as
     5  incentive aid.
     6     Any local library or library system which makes a minimum
     7  financial effort equal to one-half mill, or two dollars ($2) per
     8  capita for each person residing in its direct service area,
     9  whichever is less and fulfills the minimum standards for local
    10  libraries or the minimum standards for library systems,
    11  whichever is applicable, shall qualify for incentive aid, which
    12  shall be in addition to all other amounts of aid provided in
    13  this section. Each qualifying library or library system shall
    14  receive incentive aid up to fifty cents (50¢) for each one
    15  dollar ($1) of surplus financial effort but when fifty cents
    16  (50¢) per dollar of surplus financial effort is more than
    17  twenty-five cents (25¢) per capita the minimum incentive aid
    18  shall be twenty-five cents (25¢) per capita for each person
    19  residing in the direct service area. However, if after paying
    20  the minimum amount set forth in this clause there is a balance
    21  in the allocation, the balance shall be prorated among the
    22  libraries and library systems which qualify for a larger amount
    23  of aid at the rate of fifty cents (50¢) for each one dollar ($1)
    24  of surplus financial effort rather than at the rate of twenty-
    25  five cents (25¢) per capita.
    26     (2.1)  Incentive For Excellence Aid.
    27     (i)  Beginning with fiscal year 1999-2000 and each fiscal
    28  year thereafter, qualifying local libraries and library systems
    29  shall receive an Incentive For Excellence Aid to be allocated
    30  from the sum total of a hold harmless amount plus an annual
    19990H0017B1961                  - 9 -

     1  supplement, both amounts to be derived from the Commonwealth's
     2  annual appropriation for grants to local libraries and library
     3  systems. The hold harmless amount for Incentive For Excellence
     4  Aid shall be the amount allocated under clause (2) above for
     5  Incentive Aid to Local Libraries for fiscal year 1998-1999 from
     6  the amount allocated from the Commonwealth's annual
     7  appropriation for grants to local libraries and library systems.
     8  For fiscal year 1999-2000, the annual supplement shall be fifty-
     9  three percent (53%) of any increase in the Commonwealth's annual
    10  appropriation for grants to local libraries and library systems
    11  above the amount appropriated for fiscal year 1998-1999. For
    12  subsequent fiscal years, the annual supplement for Incentive For
    13  Excellence Aid shall be specified in the Commonwealth's annual
    14  appropriation for grants to local libraries and library systems
    15  within the General Appropriations Act for that fiscal year.
    16     (ii)  To qualify, a local library or library system must make
    17  a financial effort greater than five dollars ($5) per capita for
    18  each person residing in the municipalities on behalf of which it
    19  applies for aid and meet the minimum standards for local
    20  libraries or library systems standards.
    21     (iii)  Incentive For Excellence Aid shall be allocated to
    22  local libraries and library systems in the following manner: The
    23  annual allocation of funds available for Incentive For
    24  Excellence Aid shall be allocated proportionately to qualifying
    25  local libraries or library systems for each one dollar ($1) per
    26  capita or portion thereof a local library or library system
    27  shows in financial effort between five dollars ($5) and seven
    28  dollars and fifty cents ($7.50) per capita.
    29     (iv)  A local library or library system shall not use
    30  Incentive For Excellence funds to reduce its financial effort.
    19990H0017B1961                 - 10 -

     1     (2.2)  Beginning with fiscal year 1999-2000, and each fiscal
     2  year thereafter, to qualify for aid under clause (2.1) above,
     3  the local library or member library within a library system must
     4  meet the following minimum standards:
     5     (i)  Expend no less than twelve percent (12%) of the total
     6  operating budget of the library on materials. A local library or
     7  member library within a library system that expends more than
     8  twelve percent (12%) in the year in which it qualified for
     9  Incentive for Excellence Aid shall increase the total amount
    10  expended on collection each succeeding year by no less than five
    11  percent (5%) or the percentage increase in the appropriation for
    12  Improvement of Library Services, whichever is less.
    13     (ii)  Be open for full services at least forty-five hours per
    14  week with at least seven of these hours during the weekend
    15  period beginning on Saturday and ending on Sunday. A local
    16  library or member library within a library system serving a
    17  population below seven thousand (7,000) shall be open at least
    18  thirty-five hours per week with at least seven of these hours
    19  during the weekend period beginning on Saturday and ending on
    20  Sunday. Libraries may reduce weekend hours to four hours for ten
    21  weeks per year during periods when community use patterns
    22  warrant. A local library or member library within a library
    23  system may reduce total weekly hours by three hours per week
    24  during the ten-week period of reduced Saturday and Sunday hours
    25  if approved by the State Librarian.
    26     (iii)  Require at least six hours of continuing education
    27  every two years for paid staff working at least twenty hours per
    28  week, in direct support of the library service.
    29     (3)  County Libraries.  [Ten] For eligible fiscal years up to
    30  and through the 1998-1999 fiscal year, ten percent (10%) of the
    19990H0017B1961                 - 11 -

     1  Commonwealth's total annual appropriation for the system of
     2  State-aid established by section 301 shall be allocated as aid
     3  to county libraries. For fiscal year 1999-2000 and each fiscal
     4  year thereafter, aid to county libraries shall be allocated from
     5  a hold harmless amount to equal that amount allocated for aid to
     6  county libraries for fiscal year 1998-1999 from the
     7  Commonwealth's annual appropriation for grants to local
     8  libraries and library systems. For fiscal years subsequent to
     9  1999-2000, any increase over the hold harmless amount for county
    10  libraries shall be specified as an annual supplement in the
    11  Commonwealth's annual appropriation for grants to local
    12  libraries and library systems within the General Appropriations
    13  Act for that fiscal year. Funds allocated for county libraries
    14  shall be distributed according to the provisions of this clause.
    15     In the case of a county library of a second, second A, third,
    16  fourth, fifth, sixth, seventh or eighth class county, State-aid
    17  shall be given in an amount measured by the amount appropriated
    18  by the county government from county moneys, either from the
    19  General Fund or a special library tax or other sources, for the
    20  support and maintenance of the county library, and shall be
    21  determined as follows:
    22                                      Percentage of Aid Calculated
    23         Class of County                on County Appropriation
    24               2                                 15%
    25        2A and 3                                 20%
    26               4                                 25%
    27               5                                 33%
    28               6                                 50%
    29               7                                 75%
    30               8                                125%
    19990H0017B1961                 - 12 -

     1     The amount to be paid by the Commonwealth for the maintenance
     2  of any county library that qualifies under this clause shall, in
     3  any year, be not less than eight thousand dollars ($8,000)
     4  whenever the applicable percentage of aid calculated on the
     5  county government's appropriation amounts to more than eight
     6  thousand dollars ($8,000). If the applicable percentage of aid
     7  calculated on the county government's appropriation amounts to
     8  less than eight thousand dollars ($8,000), then the county
     9  library shall receive such lesser amount. If the allocation for
    10  this category of aid is less than the total amount for which all
    11  county libraries qualify, the libraries shall be paid the
    12  minimum amount of eight thousand dollars ($8,000) or such lesser
    13  amount as may be necessary. If the allocation is greater than
    14  the total amount of aid for which county libraries qualify, the
    15  balance shall be added to the amount of aid to be distributed
    16  under clause (7) of this subsection. A report of the expenditure
    17  of such State moneys shall be made annually to the county
    18  government and the State Librarian in such form as may be
    19  required. County libraries may also apply for additional amounts
    20  of State-aid under clauses [(1) and (2)] (1.1) and (1.2) above,
    21  and clause (7) following.
    22     Payment of aid to county libraries shall be made to the board
    23  of library directors in charge of each qualifying library.
    24     (4)  District Library Centers.  [Thirty] For eligible fiscal
    25  years up to and through the 1998-1999 fiscal year, thirty
    26  percent (30%) of the Commonwealth's total annual appropriation
    27  for the system of State-aid established by section 301, or a
    28  minimum of twenty-five cents (25¢) per capita, shall be
    29  allocated as aid for district library centers. For fiscal year
    30  1999-2000 and each fiscal year thereafter, aid to District
    19990H0017B1961                 - 13 -

     1  Library Centers shall be allocated from a hold harmless amount
     2  to equal that amount allocated for aid to District Library
     3  Centers for fiscal year 1998-1999 from the amount allocated from
     4  the Commonwealth's annual appropriation for grants to local
     5  libraries and library systems. For fiscal years subsequent to
     6  1999-2000, any increase over the hold harmless amount for
     7  District Library Centers shall be specified as an annual
     8  supplement in the Commonwealth's annual appropriation for grants
     9  to local libraries and library systems within the General
    10  Appropriations Act for that fiscal year. Funds allocated for
    11  District Library Centers shall be distributed according to the
    12  provisions of this clause.
    13     Any library designated by the State Librarian to serve as a
    14  district library center shall qualify for an additional amount
    15  of State-aid. The rate of aid shall be determined by dividing
    16  the total amount allocated for district library centers by the
    17  total population of the State, but in no year shall that rate be
    18  less than twenty-five cents (25c) per capita. The amount of aid
    19  to be paid each district library center shall be determined by
    20  multiplying the per capita rate by the number of persons
    21  residing in the district.
    22     (5)  Regional Library Resource Centers.  [Five] For eligible
    23  fiscal years up to and through the 1998-1999 fiscal year, five
    24  percent (5%) of the Commonwealth's annual appropriation for the
    25  system of State-aid established by section 301 shall be
    26  allocated for aid to regional library resource centers.
    27     Any library designated by the State Librarian to serve as a
    28  regional library resource center, shall qualify for additional
    29  State-aid. The allocation shall be divided equally among the
    30  libraries so designated, but in no year shall the amount be less
    19990H0017B1961                 - 14 -

     1  than one hundred thousand dollars ($100,000) per designated
     2  library. For fiscal year 1999-2000 and each fiscal year
     3  thereafter, aid to Regional Library Resource Centers shall be
     4  allocated from a hold harmless amount to equal that amount
     5  allocated for aid to Regional Library Resource Centers for
     6  fiscal year 1998-1999 from the amount allocated from the
     7  Commonwealth's annual appropriation for grants to local
     8  libraries and library systems. For fiscal years subsequent to
     9  1999-2000, any increase over the hold harmless amount for
    10  Regional Library Resource Centers shall be specified as an
    11  annual supplement in the Commonwealth's annual appropriation for
    12  grants to local libraries and library systems within the General
    13  Appropriations Act for that fiscal year. Funds allocated for
    14  Regional Library Resource Centers shall be distributed according
    15  to the provisions of this clause.
    16     (6)  Equalization Aid.  Beginning in the 1985-1986 fiscal
    17  year and through the 1998-1999 fiscal year, in each year that
    18  the Commonwealth's total annual appropriation for the system of
    19  State-aid established by section 301 equals or exceeds seventeen
    20  million five hundred thousand dollars ($17,500,000), two and
    21  three-quarters percent (2.75%) of said appropriation shall first
    22  be allocated as equalization aid.
    23     Any local library or library system which achieves or exceeds
    24  applicable basic standards, maintains or exceeds its financial
    25  effort of the preceding year and is supported by a municipality
    26  that is economically distressed by any one or more of the
    27  following criteria shall qualify for equalization aid. For
    28  purposes of determining eligibility for equalization aid, an
    29  economically distressed municipality shall be: (i) a city,
    30  borough, town or township having a market value per capita below
    19990H0017B1961                 - 15 -

     1  the fifth percentile of all such cities, boroughs, towns and
     2  townships, as certified annually by the State Tax Equalization
     3  Board; (ii) located in a county having a personal income per
     4  capita below the fifteenth percentile of all counties, as
     5  certified annually by the Department of Revenue; or (iii)
     6  located in a county having an annual average unemployment rate
     7  above the seventieth percentile of all counties, as determined
     8  annually by the Department of Labor and Industry. Population
     9  data to be used for determining market value per capita and
    10  personal income per capita, as provided for in this clause,
    11  shall be the latest available data from the Federal Bureau of
    12  Census for the direct service area of the local library or
    13  library system.
    14     In the case of a library or library system that is supported
    15  by an economically distressed municipality but that fails to
    16  maintain or exceed its financial effort of the preceding year,
    17  the library may still qualify for equalization aid if the State
    18  Librarian accepts evidence that the library or municipality did
    19  not attempt to substitute State funds for local effort.
    20     Beginning in the 1985-1986 fiscal year, twenty percent (20%)
    21  of the annual allocation for equalization aid shall first be
    22  distributed in equal amounts to all local libraries and members
    23  of library systems which qualify for such aid, as determined in
    24  accordance with the provisions of this clause. The remainder of
    25  the annual allocation shall be distributed on a per capita basis
    26  to each local library and library system which qualifies for
    27  such aid, as determined in accordance with the provisions of
    28  this clause, by dividing the number of persons residing in the
    29  direct service area of each such local library or library system
    30  by the total number of such persons residing in the direct
    19990H0017B1961                 - 16 -

     1  service areas of all qualifying local libraries or library
     2  systems, and multiplying the result by the amount of the
     3  allocation to be distributed on a per capita basis.
     4     No local library or library system shall, as a result of the
     5  provisions of this clause, receive in any year more than one-
     6  third of the total annual appropriation for equalization aid.
     7  During the 1985-1986 fiscal year and each fiscal year thereafter
     8  that the Commonwealth's total annual appropriation for the
     9  system of State-aid established by section 301 exceeds seventeen
    10  million five hundred thousand dollars ($17,500,000), no local
    11  library or library system shall receive less equalization aid as
    12  a result of the provisions of this clause than such local
    13  library or library system received for equalization aid during
    14  the 1984-1985 fiscal year. For fiscal year 1999-2000 and each
    15  fiscal year thereafter, Equalization Aid shall be allocated from
    16  a hold harmless amount to equal that amount allocated for
    17  Equalization Aid for fiscal year 1998-1999 from the amount
    18  allocated from the Commonwealth's annual appropriation for
    19  grants to local libraries and library systems. For fiscal years
    20  subsequent to 1999-2000, any increase over the hold harmless
    21  amount for Equalization Aid shall be specified as an annual
    22  supplement in the Commonwealth's annual appropriation for grants
    23  to local libraries and library systems within the General
    24  Appropriations Act for that fiscal year. Funds allocated for
    25  Equalization Aid shall be distributed according to the
    26  provisions of this clause.
    27     (7)  Equal Distribution Grants to Local Libraries and Library
    28  Systems and Certain District Library Centers.  [Five] For
    29  eligible fiscal years up to and through the 1998-1999 fiscal
    30  year, five percent (5%) of the Commonwealth's annual
    19990H0017B1961                 - 17 -

     1  appropriation for the system of State-aid established by section
     2  301, and all funds transferred from the county library
     3  allocation after the county libraries have been paid the total
     4  amounts for which they qualify, shall be allocated as
     5  hereinafter provided: (i) five cents (5¢) per capita for each
     6  person residing in the entire district for each district library
     7  center which has a population in its direct service area as a
     8  local or county library which is twelve percent (12%) or less of
     9  the population of the entire designated direct service area;
    10  (ii) the balance as equal grants to local libraries and library
    11  systems which qualify for aid under clause (1) above. These
    12  grants shall be determined by dividing the total amount of money
    13  allocated by the number of local libraries, branch libraries and
    14  bookmobiles in the Commonwealth which achieve or exceed the
    15  applicable basic standards. Each library system shall receive an
    16  equal grant for each qualifying member local library, branch
    17  library and bookmobile. Each local library shall receive an
    18  equal grant for the central library and each qualifying branch
    19  library and bookmobile. For fiscal year 1999-2000 and each
    20  fiscal year thereafter, Equal Distribution Grants to Local
    21  Libraries and Library Systems and Certain District Library
    22  Centers shall be allocated from a hold harmless amount to equal
    23  that amount allocated for Equal Distribution Grants to Local
    24  Libraries and Library Systems and Certain District Library
    25  Centers for fiscal year 1998-1999 from the amount allocated from
    26  the Commonwealth's annual appropriation for grants to local
    27  libraries and library systems. For fiscal years subsequent to
    28  1999-2000, any increase over the hold harmless amount for Equal
    29  Distribution Grants to Local Libraries and Library Systems and
    30  Certain District Library Centers shall be specified as an annual
    19990H0017B1961                 - 18 -

     1  supplement in the Commonwealth's annual appropriation for grants
     2  to local libraries and library systems within the General
     3  Appropriations Act for that fiscal year. Funds allocated for
     4  Equal Distribution Grants to Local Libraries and Library Systems
     5  and Certain District Library Centers shall be distributed
     6  according to the provisions of this clause.
     7     (c)  In any fiscal year in which the Commonwealth's annual
     8  appropriation for grants to public libraries and library systems
     9  is less than the amount appropriated for fiscal year 1998-1999,
    10  then the amount allocated for clauses (1.1), (2.1), (3), (4),
    11  (5), (6) and (7) of subsection (b) shall be reduced
    12  proportionately.
    13     (d)  If necessary, the Department of Education may transfer
    14  funds among the allocations listed in clauses (1.1), (2.1), (3),
    15  (4), (5), (6) and (7) of subsection (b), provided that the
    16  aggregate amount transferred into or out of each allocation
    17  during a fiscal year shall not exceed five percent (5%) of the
    18  amount specifically allocated for that clause.
    19     Section 3.  Section 304 of the act is amended SECTION 304(B)   <--
    20  OF THE ACT, AMENDED DECEMBER 1, 1971 (P.L.578, NO.150), IS
    21  AMENDED AND THE SECTION IS AMENDED by adding a subsection to
    22  read:
    23     Section 304.  State Librarian to Approve Plans; District
    24  Library Center Cooperative Program; Referendum.--* * *
    25     (B)  NO STATE-AID SHALL BE GIVEN TO ANY LIBRARY UNLESS [THE]:  <--
    26     (1)  THE LOCAL LIBRARY BOARD COMMITS THE LIBRARY TO
    27  PARTICIPATION IN THE DISTRICT LIBRARY CENTER COOPERATIVE PROGRAM
    28  INCLUDING ATTENDANCE AT DISTRICT MEETINGS AND THE USE OF
    29  INTERLIBRARY LOANS AND INTERLIBRARY REFERENCES.
    30     (2)  IF THE LIBRARY PROVIDES ACCESS TO THE INTERNET OR AN ON-
    19990H0017B1961                 - 19 -

     1  LINE SERVICE, IT HAS ADOPTED A POLICY REGARDING ACCESS BY MINORS
     2  TO INTERNET AND ON-LINE SITES THAT CONTAIN OR MAKE REFERENCE TO
     3  EXPLICIT SEXUAL MATERIALS AS DEFINED IN 18 PA.C.S. § 5903
     4  (RELATING TO OBSCENE AND OTHER SEXUAL MATERIALS AND
     5  PERFORMANCES).
     6     * * *
     7     (d)  No local library or library system plan for the use of
     8  Incentive for Excellence funds shall be approved if it projects
     9  a decrease in local government support for normal, recurring,
    10  operating costs from a previous level unless the State Librarian
    11  determines that the decrease is directly attributable to a gift
    12  or endowment to a library or that there is a substantial
    13  decrease in the financial ability of the municipality on behalf
    14  of which the library or library system applied for aid.
    15     Section 4.  The act is amended by adding a section to read:
    16     Section 305.  Implementation Schedule.--(a)  If a library or
    17  library system applying for State-aid in 1999-2000 fails to
    18  comply with the standards under section 303, the library or
    19  library system shall not be eligible for funds under that
    20  section.
    21     (b)  The State Librarian may grant an extension of time to
    22  meet the standards under section 303 (b)(1.2) and (2.2) if:
    23     (1)  the library or library system is financially unable to
    24  comply at the time of payment; or
    25     (2)  a plan is accepted by the State Librarian indicating how
    26  the library or library system will comply, to include specifics
    27  regarding budget, timeline and how the library is working in
    28  good faith to achieve the standards.
    29     (c)  An extension by the State Librarian shall continue until
    30  the time of the submission of the 2000-2001 plan for use of
    19990H0017B1961                 - 20 -

     1  State funds under this act.
     2     Section 5.  This act shall take effect July 1, 1999, or
     3  immediately, whichever is later.


















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