1Amending the act of August 26, 1971 (P.L.351, No.91), entitled
2"An act providing for a State Lottery and administration
3thereof; authorizing the creation of a State Lottery
4Commission; prescribing its powers and duties; disposition of
5funds; violations and penalties therefor; exemption of prizes
6from State and local taxation and making an appropriation,"
7in Pharmaceutical Assistance for the Elderly, further
8defining "income"; and further providing for determination of
9eligibility.

10The General Assembly of the Commonwealth of Pennsylvania
11hereby enacts as follows:

12Section 1. The definition of "income" in section 502 of the
13act of August 26, 1971 (P.L.351, No.91), known as the State
14Lottery Law, amended November 26, 2003 (P.L.212, No.37), is
15reenacted and amended to read:

16Section 502. Definitions.

17The following words and phrases when used in this chapter
18shall have the meanings given to them in this section unless the
19context clearly indicates otherwise:

20* * *

1"Income." All income from whatever source derived,
2including, but not limited to, salaries, wages, bonuses,
3commissions, income from self-employment, alimony, support
4money, cash public assistance and relief, the gross amount of
5any pensions or annuities, including railroad retirement
6benefits, all benefits received under the Social Security Act
7(49 Stat. 620, 42 U.S.C. § 301 et. seq.) [(except Medicare
8benefits)] net of amounts withheld for Medicare Part B premium 
9payment, all benefits received under State unemployment
10insurance laws and veterans' disability payments, all interest
11received from the Federal Government or any state government or
12any instrumentality or political subdivision thereof, realized
13capital gains, rentals, workmen's compensation and the gross
14amount of loss of time insurance benefits, life insurance
15benefits and proceeds, except the first $10,000 of the total of
16death benefits payments, and gifts of cash or property, other
17than transfers by gift between members of a household, in excess
18of a total value of $300, but shall not include surplus food or
19other relief in kind supplied by a government agency or property
20tax rebate.

21* * *

22Section 2. Section 503(b) of the act, amended June 30, 2011
23(P.L.88, No.21), is reenacted and amended to read:

24Section 503. Determination of eligibility.

25* * *

26(b) Social Security cost-of-living adjustment.--

27(1) Notwithstanding any other provision of this act to
28the contrary, persons who, as of December 31, [2010] 2012,
29are enrolled in the PACENET program shall remain eligible for
30the PACENET program if the maximum income limit is exceeded

1due solely to a Social Security cost-of-living adjustment.

2(2) Notwithstanding any other provision of this act to
3the contrary, persons who, as of December 31, [2010] 2012,
4are enrolled in the PACE program shall remain eligible for
5the PACE program if the maximum income limit is exceeded due
6solely to a Social Security cost-of-living adjustment.

7(3) Eligibility in the PACE or PACENET program pursuant
8to this subsection shall expire on December 31, [2013] 2016.

9Section 3. This act shall take effect immediately.