PRIOR PRINTER'S NO. 984 PRINTER'S NO. 2630
No. 866 Session of 1989
INTRODUCED BY FOSTER, CALTAGIRONE, DORR, ROBBINS, MAINE,
JAROLIN, JACKSON, COY, ANGSTADT, KASUNIC, CAWLEY, STABACK,
DIETTERICK, TIGUE, STISH, GRUITZA AND F. TAYLOR,
APRIL 3, 1989
AS REPORTED FROM COMMITTEE ON LOCAL GOVERNMENT, HOUSE OF
REPRESENTATIVES, AS AMENDED, OCTOBER 17, 1989
AN ACT
1 Amending the act of December 18, 1984 (P.L.1005, No.205),
2 entitled "An act mandating actuarial funding standards for
3 all municipal pension systems; establishing a recovery
4 program for municipal pension systems determined to be
5 financially distressed; providing for the distribution of the
6 tax on the premiums of foreign fire insurance companies; and
7 making repeals," further providing for ALLOCATION OF GENERAL <--
8 MUNICIPAL PENSION SYSTEM STATE AID AND FOR distribution of
9 the foreign fire insurance premium tax.
10 The General Assembly of the Commonwealth of Pennsylvania
11 hereby enacts as follows:
12 Section 1. Section SECTIONS 402(E)(5) AND 706(b) of the act <--
13 of December 18, 1984 (P.L.1005, No.205), known as the Municipal
14 Pension Plan Funding Standard and Recovery Act, is ARE amended <--
15 to read:
16 SECTION 402. REVISION OF FINANCING FROM STATE REVENUE SOURCES; <--
17 GENERAL MUNICIPAL PENSION SYSTEM STATE AID
18 PROGRAM.
19 * * *
20 (E) ALLOCATION OF GENERAL MUNICIPAL PENSION SYSTEM STATE
1 AID.--
2 * * *
3 (5) FOR THE PERIOD COMMENCING WITH THE DISTRIBUTION MADE
4 DURING CALENDAR YEAR 1996, EACH ELIGIBLE MUNICIPALITY SHALL
5 BE ENTITLED TO RECEIVE AS GENERAL MUNICIPAL PENSION SYSTEM
6 STATE AID THE [LESSER] GREATER OF THE FOLLOWING AMOUNTS:
7 (I) THE ADJUSTED AMOUNT OF GENERAL MUNICIPAL PENSION
8 SYSTEM STATE AID PER UNIT MULTIPLIED BY THE NUMBER OF
9 UNITS CERTIFIED BY THAT MUNICIPALITY LESS ANY AMOUNT BY
10 WHICH THE ADJUSTED AMOUNT EXCEEDS THE MAXIMUM AID AMOUNT
11 APPLICABLE TO THE MUNICIPALITY PURSUANT TO SUBSECTION
12 (F)(2); OR
13 (II) THE REVISED AMOUNT OF GENERAL MUNICIPAL PENSION
14 SYSTEM STATE AID PER UNIT MULTIPLIED BY THE NUMBER OF
15 UNITS CERTIFIED BY THAT MUNICIPALITY, WHICH REVISED
16 AMOUNT SHALL BE DETERMINED PURSUANT TO PARAGRAPH (6).
17 * * *
18 Section 706. Use of foreign fire insurance tax moneys.
19 * * *
20 (b) Distribution of foreign fire insurance tax moneys.--
21 (1) The foreign fire insurance premium tax amount
22 applicable to a municipality served solely by paid
23 firefighters shall be allocated no later than September 30 to
24 the General Municipal Pension System State Aid Program
25 established pursuant to Chapter 4 for ultimate distribution
26 pursuant to section 402.
27 (2) The foreign fire insurance premium tax amount
28 applicable to a municipality served solely by volunteer
29 firefighters shall be paid to the municipality, which shall
30 within 60 days of the date of the receipt of the moneys from
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1 the State Treasurer pay the amount received to the relief
2 association fund of the fire department or departments, or
3 fire company or companies, now existing or hereafter
4 organized, inside or outside of the municipality, which is or
5 are actively engaged in the service of the municipality and
6 duly recognized by the governing body of the municipality.
7 (3) The foreign fire insurance premium tax amount
8 applicable to a municipality served by both paid firefighters
9 and volunteer firefighters shall be divided into the portion
10 applicable to paid firefighters and the portion applicable to
11 volunteer firefighters. The division of the amount shall be
12 based on the proportion of the actual fire protection service
13 in the municipality provided by each type of firefighter as
14 certified by the municipality, except that in no event shall
15 the portion applicable to paid firefighters be less than the
16 smaller of the amount of foreign fire insurance premium tax
17 applicable to the municipality or [the revised amount of
18 general municipal pension system State aid per unit for the
19 previous year determined pursuant to section 402, per paid
20 firefighter, which for 1985 shall be deemed to be] $1,100 per
21 paid firefighter. The ultimate distribution of the portion
22 applicable to paid firefighters shall be governed by
23 paragraph (1). The distribution of the portion applicable to
24 volunteer firefighters shall be governed by paragraph (2).
25 Section 2. This act THE PROVISIONS OF SECTION 1 AMENDING <--
26 SECTION 706(B) OF THE MUNICIPAL PENSION PLAN FUNDING STANDARD
27 AND RECOVERY ACT shall apply to distributions of the foreign
28 fire insurance premium tax made after January 1, 1989.
29 Section 3. This act shall take effect immediately.
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