Bill Text: PA HB276 | 2009-2010 | Regular Session | Introduced

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Bill Title: In Treasury Department, providing for limitations on investment relationships and campaign contributions.

Spectrum: Moderate Partisan Bill (Republican 15-4)

Status: (Introduced - Dead) 2009-10-09 - Re-committed to APPROPRIATIONS [HB276 Detail]

Download: Pennsylvania-2009-HB276-Introduced.html

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PRINTER'S NO. 298
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 276 Session of2009
INTRODUCED BY COX, BEAR, BEYER, CLYMER, CREIGHTON, CUTLER, GIBBONS, GROVE, MANN, MELIO, MOUL, MUSTIO, RAPP, ROAE, ROCK, ROHRER, SIPTROTH AND VULAKOVICH, FEBRUARY 6, 2009
REFERRED TO COMMITTEE ON STATE GOVERNMENT, FEBRUARY 6, 2009
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 any agency thereof, including escheated property and the
proceeds of its sale, the custody and disbursement or other
disposition of funds and securities belonging to or in 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," in Treasury Department, providing for
limitations on investment relationships and campaign
contributions.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The act of April 9, 1929 (P.L.343, No.176), known
as The Fiscal Code, is amended by adding a section to read:
Section 311. Limitations on Investment Relationships and
Campaign Contributions.--(a) (1) The Treasury Department shall
not enter into an investment relationship with a person who has
solicited any contribution on behalf of or made any contribution
to a candidate committee or election fund of the State Treasurer
or any candidate for State Treasurer.
(2) This subsection shall apply to solicitations and
contributions made by the person, by an individual representing
the person or by a political action committee controlled by the
person.
(b) (1) No person who has agreed to or entered into an
investment relationship with the Treasury Department shall
knowingly solicit or make any contribution to a candidate
committee or election fund of the State Treasurer or any
candidate for State Treasurer.
(2) This subsection shall apply to solicitations and
contributions made by the person, by an individual representing
the person or by a political action committee controlled by the
person.
(c) Subsections (a) and (b) shall apply to the time period
which begins two years prior to the following dates and ends
upon the termination of the investment relationship:
(1) the date upon which the Treasury Department first
announces a procurement or search process that could lead to an
investment relationship which can reasonably be expected to
generate at least twenty-five thousand dollars ($25,000)
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annually in income, fees or other revenue to the person; or
(2) the date upon which a person approaches the Treasury
Department with a proposal to enter into an investment
relationship with the Treasury Department by discussing the
specific facts and financial terms of a particular investment
transaction or strategy.
(d) (1) The State Ethics Commission shall cause an
independent investigation to be performed for any reported
violation of this section and shall report any documented
violation to the State Treasurer for action within ten business
days of the conclusion of the independent investigation. Copies
of this report shall also be submitted to the chairman of the
Appropriations Committee of the Senate and the chairman of the
Appropriations Committee of the House of Representatives within
ten business days of the conclusion of the independent
investigation.
(2) The State Ethics Commission shall submit the report to
the Legislative Reference Bureau for publication in the next
succeeding publication of the Pennsylvania Bulletin.
(e) (1) If a person seeking an investment relationship with
the Treasury Department is found to be in violation of this
section, the person shall be prohibited from engaging in an
investment relationship with the Treasury Department for a
period of two years.
(2) A person who has an existing investment relationship
with the Treasury Department and who is found to be in violation
of the provisions of this section shall be prohibited from
providing any additional investment services for the Treasury
Department for a period of two years.
(f) If a person voluntarily reports a violation of this
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section to the State Ethics Commission within ninety days of the
contribution's being made and it is established pursuant to an
independent investigation that the violation was inadvertently,
unintentionally or unknowingly made and the contribution was
returned, the provisions of subsection (e) shall not apply.
(g) As used in this section, the following words and phrases
shall have the meaning given to them in this subsection:
"Contribution." A contribution reportedly by the recipient
under Article XVI of the act of June 3, 1937 (P.L.1333, No.320),
known as the "Pennsylvania Election Code."
"Investment relationship." A relationship between a person
and the Treasury Department for the purpose of providing
investment services such as legal services, investment banking
services, investment advisory services, underwriting services,
financial advisory services or brokerage firm services for
brokerage, underwriting and financial advisory activities.
"Person." An individual, organization or partnership
currently engaged in or seeking to engage in an investment
relationship with the Treasury Department where the relationship
can reasonably be expected to generate at least twenty-five
thousand dollars ($25,000) annually in income, fees or other
revenue to the individual, organization or partnership and shall
specifically include:
(1) Authorized or key personnel as defined or identified by
a contracting party by being attached to the contract.
(2) Persons who expect to or do experience a material
financial effect on their economic interests, including salary,
bonuses, options or other financial incentives directly deriving
from an investment relationship.
Section 2. The addition of section 311 of the act shall
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apply to contributions and investment relationships made or
entered into after November 30, 2010.
Section 3. This act shall take effect in 60 days.
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