SB 1392

                                                 PRINTER'S NO.     1851
                THE GENERAL ASSEMBLY OF PENNSYLVANIA
                    SENATE BILL
                    No. 1392
                                           Session of
                                             2026
INTRODUCED BY FONTANA, JUNE 26, 2026
REFERRED TO COMMUNITY, ECONOMIC AND RECREATIONAL DEVELOPMENT,
   JUNE 26, 2026
                                AN ACT
1 Amending Title 16 (Counties) of the Pennsylvania Consolidated
2    Statutes, in hotel tax, further providing for hotel room
3    rental tax in second class and second class A counties;
4    providing for downtown Pittsburgh revitalization initiative;
5    and establishing the Downtown Development Authority and the
6    Downtown Revitalization Fund.
7    The General Assembly of the Commonwealth of Pennsylvania
8 hereby enacts as follows:
9    Section 1.     Section 17509(a)(1) of Title 16 of the
10 Pennsylvania Consolidated Statutes, added May 9, 2024 (P.L.50,
11 No.14), is amended to read:
12 § 17509.    Hotel room rental tax in second class and second class
13A counties.
14    (a)     Imposition of excise tax.--The following shall apply:
15(1)   [The] Except as provided under section 17741(a)
16    (relating to increase in rate of hotel tax), the county
17    commissioners in each county of the second class are
18    authorized to impose an excise tax at 5% on the consideration
19    received by each operator of a hotel within the county from
20    each transaction of renting a room or rooms to accommodate
1    transients.
2* * *
3    Section 2.     Title 16 is amended by adding a chapter to read:
4CHAPTER 177
5DOWNTOWN PITTSBURGH REVITALIZATION INITIATIVE
6 Subchapter
7    A.    Preliminary Provisions
8    B.    Downtown Development Authority
9    C.    Bonds and Funds of Authority
10    D.    Increase in Hotel Tax
11    E.    Downtown Revitalization Fund
12SUBCHAPTER A
13PRELIMINARY PROVISIONS
14 Sec.
15 17711.   Scope of chapter.
16 17712.   Findings and declaration of policy.
17 17713.   Definitions.
18 § 17711.    Scope of chapter.
19    This chapter relates to the downtown Pittsburgh
20 revitalization initiative.
21 § 17712.    Findings and declaration of policy.
22    (a)     Findings.--The General Assembly finds the following:
23(1)   The health, safety and general welfare of the
24    residents, visitors and employees of downtown Pittsburgh are
25    directly dependent upon the continual encouragement,
26    development, growth and expansion of business, industry,
27    commerce and tourism within that area.
28(2)   Blight in downtown Pittsburgh can be avoided by the
29    promotion, attraction, stimulation, development and expansion
30    of business, industry, commerce and tourism in that area.
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1(3)   Supplemental sources of revenue are needed by
2    municipalities within Allegheny County to invest in
3    facilities that will promote economic development and tourism
4    and improve the quality of life of their residents.
5(4)   Supplemental sources of public and private revenue
6    are required to improve and develop the area's existing
7    economy and to develop new civic, convention, cultural,
8    hospitality, tourism and recreational facilities.
9(5)   Local government in downtown Pittsburgh lacks
10    adequate resources to maintain, improve and modernize the
11    area's civic, convention, cultural, hospitality, tourism and
12    recreational facilities, the continued availability of which
13    is vital to the economic growth and development of downtown
14    Pittsburgh, to the ability of the area to compete globally
15    for visitors and to enhance the health, welfare, education
16    and quality of life of the residents, visitors and employees
17    of the area.
18(6)   Collaborative efforts are needed among leaders
19    within the City of Pittsburgh, Allegheny County, civic
20    organizations and corporate organizations to identify and
21    prioritize projects to improve and develop the area's
22    existing economy and to develop new civic, convention,
23    cultural, hospitality, tourism and recreational facilities.
24    (b)   Declaration.--It is declared to be the public policy of
25 the Commonwealth to promote the health, welfare and quality of
26 life of the residents, visitors and employees of downtown
27 Pittsburgh and to enhance economic development and employment in
28 that region by supporting the construction of downtown
29 destination projects and other central city growth projects for
30 the public purpose of promoting, attracting, stimulating,
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1 developing and expanding business, industry, commerce and
2 tourism. That purpose is declared to be a public purpose
3 supporting the enactment of all of the provisions of this
4 chapter and for which public money may be spent, taxes may be
5 imposed and private property may be acquired by the exercise of
6 the power of eminent domain.
7 § 17713.    Definitions.
8    The following words and phrases when used in this chapter
9 shall have the meanings given to them in this section unless the
10 context clearly indicates otherwise:
11    "Auditorium authority."       The authority created to operate the
12 convention center under the act of July 29, 1953 (P.L.1034,
13 No.270), known as the Public Auditorium Authorities Law.
14    "Authority."    The Downtown Development Authority established
15 under section 17721 (relating to authority established).
16    "Board."    The governing body of the authority established
17 under section 17722 (relating to board of authority).
18    "Central city."    A city of the second class located in a
19 county of the second class.
20    "Central county."       A county of the second class.
21    "Conference."    The Allegheny County Conference on Community
22 Development, or any successor entity.
23    "Convention center."      The real property described as the
24 tract of land, with the structures, facilities, buildings,
25 fixtures and improvements erected on the tract, situate in the
26 central city of the central county, and known as the David L.
27 Lawrence Convention Center, together with the structures,
28 facilities, buildings, fixtures and improvements located on the
29 property.
30    "Downtown destination project."        A public infrastructure or
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1 economic development project of a significant nature related to
2 civic, convention, cultural, hospitality, tourism and
3 recreational facilities located within the primary investment
4 area.
5    "Fund."   The Downtown Revitalization Fund established under
6 section 17751 (relating to establishment of Downtown
7 Revitalization Fund).
8    "Primary investment area."    The area encompassing census
9 tract 201, also known as the central business district within
10 the central city, which shall include the entirety of the
11 convention center and realty appurtenant thereto, and the
12 portion of census tract 203, also known as the strip district
13 within the central city, between Penn Avenue and the Allegheny
14 River from 11th Street to 15th Street, and the portion of census
15 tract 305, also known as the lower hill district within the
16 central city, comprised of the intersection of Bigelow Boulevard
17 and Chatham Square continuing in a northeasterly direction along
18 Bigelow Boulevard to Washington Place where it becomes Bedford
19 Avenue; and continuing on a northeasterly direction along
20 Bedford Avenue until it reaches Crawford Street; proceeding
21 southeasterly along Crawford Street until it reaches Centre
22 Avenue; proceeding southwesterly along Centre Avenue until it
23 reaches Chatham Square; and continuing northwesterly along
24 Chatham Square until it reaches the point of origin at Bigelow
25 Boulevard, and shall include any successor identification
26 mechanisms for the census tracts and street names described
27 herein.
28SUBCHAPTER B
29DOWNTOWN DEVELOPMENT AUTHORITY
30 Sec.
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1 17721.   Authority established.
2 17722.   Board of authority.
3 17723.   Purposes and powers.
4 17724.   Fiscal matters.
5 17725.   Operating budget.
6 17726.   Restrictions upon activities of board members and
7employees.
8 17727.   Exemption from taxation.
9 § 17721.    Authority established.
10    (a)     Establishment.--A body corporate and politic to be known
11 as the Downtown Development Authority is established as a
12 special purpose areawide unit of local government under section
13 7 of Article IX of the Constitution of Pennsylvania exercising
14 powers as a unit of local government under this chapter and
15 having territorial limits that encompass the geographic areas of
16 the primary investment area. The exercise by the authority of
17 the powers conferred by this chapter is the performance of an
18 essential public function.
19    (b)     Time.--The authority shall be established as soon as
20 practicable after the effective date of this subsection. Once
21 established, the authority shall continue in existence
22 perpetually.
23    (c)     Sovereign immunity.--
24(1)   The authority and its board members, officers and
25    employees shall have sovereign immunity as provided in 1
26    Pa.C.S. § 2310 (relating to sovereign immunity reaffirmed;
27    specific waiver).
28(2)   The authority and its board members, officers and
29    employees shall remain immune from suit except as provided by
30    and subject to 42 Pa.C.S. Ch. 85 Subchs. A (relating to
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1    general provisions) and B (relating to actions against
2    Commonwealth parties).
3(3)   Notwithstanding 42 Pa.C.S. § 8525 (relating to legal
4    assistance), the authority, through the authority's legal
5    counsel, shall defend actions brought against the authority
6    or its board members, officers and employees when acting
7    within the scope of their official duties.
8    (d)     Liability.--Members of the board may not be held
9 personally liable for the bonds or other obligations of the
10 authority. Any rights of creditors shall be solely against the
11 authority.
12 § 17722.    Board of authority.
13    (a)     Power of board.--The powers of the authority shall be
14 exercised by a board having full authority to manage the
15 properties and business of the authority and to prescribe, amend
16 and repeal bylaws, rules and regulations governing the manner in
17 which the business of the authority may be conducted and the
18 powers given to the authority may be exercised. All bylaws,
19 rules and regulations and amendments of the bylaws, rules and
20 regulations shall be filed with the secretary of the authority.
21    (b)     Membership.--The board shall consist of the following
22 members:
23(1)   One member appointed by the county executive of the
24    central county.
25(2)   One member appointed by the mayor of the central
26    city.
27(3)   One member appointed by the governing body of the
28    auditorium authority to represent that authority.
29(4)   One member appointed by the county executive of the
30    central county from a list of names presented by the
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1    conference. The appointee must be a member of the conference.
2(5)   One member appointed by the mayor of the central
3    city from a list of names presented by the conference. The
4    appointee must be a member of the conference.
5    (c)   Member terms.--
6(1)   The term of office of a member of the board
7    appointed:
8(i)    under subsection (b)(1), (2) and (3) shall be
9five years; and
10(ii)    under subsection (b)(4) and (5) shall be four
11years.
12(2)   The term of office of a member shall begin on the
13    date of appointment. A member may hold office until a
14    successor has been appointed and qualified or until death or
15    resignation.
16(3)   An individual may not serve more than two
17    consecutive full terms on the board.
18(4)   An individual appointed to the board when a vacancy
19    occurs during the term of office of a member of the board
20    shall serve for the remainder of the term. Vacancies shall be
21    filled within 90 days.
22    (d)   Officers.--The initial members of the board shall select
23 one of the board's initial members as the interim chairperson of
24 the authority and shall, within 10 days of the establishment of
25 the authority, set a date, time and place for the initial
26 organizational meeting of the board. The members shall elect a
27 chairperson, vice chairperson, secretary, treasurer and another
28 officer as deemed necessary by majority vote of the board. A
29 member may not hold more than one office of the board at any
30 time. Members may serve successive terms as officers of the
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1 board.
2    (e)     Meetings.--
3(1)   The board shall meet as frequently as the board
4    deems appropriate, but at least once per month during the
5    first year that the authority is in existence and thereafter
6    at least once during each quarter of the authority's fiscal
7    year.
8(2)   In addition to the required meetings under paragraph
9    (1), a meeting of the board shall be called by the
10    chairperson if a request for a meeting is submitted to the
11    chairperson by at least two members of the board. A majority
12    of the members of the board in office shall constitute a
13    quorum for the purpose of conducting the business of the
14    board and for all other purposes. The acts of a majority of
15    the members of the board taken at a meeting of the board at
16    which a quorum is present shall be the acts of the board.
17 § 17723.    Purposes and powers.
18    (a)     Purposes.--The purpose of the authority includes, but is
19 not limited to, the following:
20(1)   Supporting and financing the construction of
21    downtown destination projects.
22(2)   Ensuring the efficient and effective development of
23    downtown destination projects.
24(3)   Supporting and financing the construction of other
25    economic development projects.
26    (b)     Powers.--Subject to the limitations under subsection
27 (d), the authority is granted all powers necessary or convenient
28 to carry out the authority's purposes, including to:
29(1)   Have continuing succession.
30(2)   Sue and be sued, implead and be impleaded, complain
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1  and defend in all courts.
2      (3)    Adopt, use and alter at will a corporate seal.
3      (4)    Acquire by gift or otherwise, purchase, hold,
4  receive, lease, sublease and use any license, franchise or
5  property, real, personal or mixed, tangible or intangible, or
6  any interest therein, including a downtown destination
7  project or parts of the downtown destination project.
8      (5)    Sell, transfer or dispose of any property or
9  interest therein for adequate and fair consideration.
10      (6)    Acquire, hold, develop, construct, maintain, manage,
11  operate, repair, own, lease or sublease a downtown
12  destination project or parts of the downtown destination
13  project funded from the fund.
14      (7)    Make, enter into and award contracts with any person
15  for the development, financing, construction, maintenance,
16  operation and repair of downtown destination projects or
17  parts of the downtown destination projects funded from the
18  fund.
19      (8)    Conduct financial and performance reviews and audits
20  of downtown destination projects funded from the fund.
21      (9)    Conduct long-term planning necessary for the
22  efficient and effective operation and development of downtown
23  destination projects funded from the fund.
24      (10)    Make bylaws for the regulation of the authority's
25  affairs and promulgate rules, regulations and policies in
26  connection with the performance of the authority's functions
27  and duties.
28      (11)    (i)   Borrow money for the purpose of paying the
29      costs of any project and to evidence such borrowing in
30      any customary and appropriate fashion.
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1(ii)    Make and issue taxable or tax-exempt negotiable
2      bonds of the authority and secure the payment of the
3      bonds or any part of the bonds by pledge or deed of trust
4      of all or any of its revenues, rentals, receipts and
5      contract rights.
6(iii)    Make agreements with the purchasers or holders
7      of the bonds or with other obligees of the authority in
8      connection with any bonds, whether issued or to be
9      issued, as the authority shall deem advisable, which
10      agreements shall constitute contracts with the holders or
11      purchasers.
12(iv)    Obtain credit enhancement or liquidity
13      facilities in connection with any bonds as the authority
14      shall determine to be advantageous.
15(v)    Provide, in general, for the security for the
16      bonds and for the rights of the holders of the bonds.
17      (12)    Make, enter into and award contracts and execute
18  all instruments necessary or convenient for the carrying out
19  of its business.
20      (13)    Borrow money and accept grants and enter into
21  contracts, leases, subleases, licenses or other transactions
22  with any Federal agency, State public body, political
23  subdivision, association, partnership, corporation or private
24  person.
25      (14)    Mortgage, pledge, hypothecate or otherwise encumber
26  any of the authority's property, real, personal or mixed,
27  tangible or intangible, and its revenues or receipts,
28  including any tax revenues or interest the authority may have
29  in any lease or sublease of downtown destination projects or
30  parts of downtown destination projects.
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1(15)   Procure insurance containing coverage, including,
2  without limitation, insurance covering the timely payment in
3  full of principal and interest on bonds of the authority, in
4  the amounts and from the insurers the authority may determine
5  to be necessary or desirable for its purposes.
6(16)   Invest authority money.
7(17)   Cooperate with any Federal agency, State public
8  body or political subdivision.
9(18)   Invest money not required for immediate
10  disbursement in reserve or sinking funds.
11(19)   Appoint all officers, agents and employees required
12  for the performance of the authority's duties and fix and
13  determine their qualifications, duties and compensation and
14  to retain or employ other agents or consultants.
15(20)   Enter into contracts of group insurance for the
16  benefit of the authority's employees and to set up a
17  retirement or pension fund for employees.
18(21)   Appoint and fix the compensation of chief counsel
19  and assistant counsel, who may not be required to be
20  employees of the authority, to provide it with legal
21  assistance. Notwithstanding 42 Pa.C.S. § 8525 (relating to
22  legal assistance), the authority through its counsel shall
23  defend actions brought against the authority and its officers
24  and employees when acting within the scope of their official
25  duties.
26(22)   Do all acts and things necessary or convenient for
27  the promotion of the authority's purposes and the general
28  welfare of the authority and to carry out the powers granted
29  to the authority under this chapter or any other law.
30  (c)   Eminent domain.--The authority, upon making a finding
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1 that it is necessary or convenient to acquire any real or
2 personal property in the central city for immediate or future
3 use for purposes related to the construction of downtown
4 destination projects or related developments, may acquire
5 property by the exercise of the power of eminent domain under 26
6 Pa.C.S. (relating to eminent domain), and for those purposes
7 shall have the power of eminent domain. The authority may use
8 the authority's eminent domain power to acquire property already
9 devoted to a public use, except that the power may not be used
10 to acquire property owned or used by the Commonwealth.
11    (d)   Operations.--Notwithstanding any purpose of the
12 authority or a general or specific power granted by this chapter
13 or any other law, whether express or implied, the following
14 limitations and conditions shall apply to the operations of the
15 authority:
16(1)   The authority shall have no power to pledge the
17    credit or taxing powers of the Commonwealth or any other
18    government agency, except the credit of the authority, nor
19    shall any of the bonds of the authority be deemed a debt or
20    liability of the Commonwealth or of any other government
21    agency, except as otherwise agreed by the Commonwealth or a
22    government agency.
23(2)   Neither the Commonwealth nor any government agency,
24    except the authority, shall be liable for payment of the
25    principal or maturity value of or interest or premium on any
26    of the bonds of the authority, except as otherwise agreed by
27    the Commonwealth or a government agency.
28(3)   Notwithstanding any provision of this chapter or any
29    other act to the contrary or of any implication that may be
30    drawn from this chapter or any other law, the Commonwealth
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1    and all other government agencies, except the authority,
2    shall have no legal or moral obligation for the payment of
3    any expenses or obligations of the authority, including, but
4    not limited to, bond principal and interest, the funding or
5    refunding of any reserve and any administrative or operating
6    expenses whatsoever, except as otherwise agreed to by the
7    Commonwealth or another government agency.
8(4)   Bonds of the authority shall contain a prominent
9    statement of the limitations provided in this subsection and
10    a further statement to the effect that obligees of the
11    authority shall have no recourse, either legal or moral, to
12    the Commonwealth or to any other government agency for
13    payment of the bonds, except as otherwise agreed to by the
14    Commonwealth or another government agency.
15(5)   The authority may not assume the responsibility of
16    employing personnel directly engaged in the operation of
17    downtown destination projects but may enter into contracts
18    for the operation, maintenance and ongoing improvement of
19    those facilities with public and private organizations that
20    have expertise in operating the type of facility involved.
21 § 17724.    Fiscal matters.
22    (a)     Payment of money.--All money of the authority, from
23 whatever source derived, shall be paid to the treasurer of the
24 board, which shall be:
25(1)   deposited in the first instance by the treasurer in
26    one or more banks or trust companies, in one or more special
27    accounts; and
28(2)   paid out on the warrant or other order of the
29    chairperson of the board or of another person or persons as
30    the board may authorize to execute warrants or orders, except
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1    for the money in the fund, which shall be disbursed in
2    accordance with section 17751 (relating to establishment of
3    Downtown Revitalization Fund).
4    (b)     Fiscal year.--The fiscal year of the authority shall
5 commence on January 1 of each year and end on December 31 of the
6 year, except as otherwise provided by the board.
7    (c)     Audit.--The board shall provide for an annual audit of
8 the authority by an independent certified public accounting
9 firm. A copy of the annual audit shall be provided to the
10 central city and the central county.
11 § 17725.    Operating budget.
12    (a)     Preparation, submission and adoption.--At least 90 days
13 before commencement of the ensuing fiscal year of the authority,
14 a recommended operating budget shall be prepared and submitted
15 to the board. The operating budget shall include the estimated
16 receipts and revenues of the authority during the next fiscal
17 year. The operating budget for the next fiscal year shall be
18 adopted by the board at least 30 days before the end of the
19 current fiscal year.
20    (b)     Expenses.--The money necessary to pay the administrative
21 expenses of the authority during each fiscal year may be drawn
22 from the fund.
23 § 17726.    Restrictions upon activities of board members and
24employees.
25    The provisions of 65 Pa.C.S. Ch. 11 (relating to ethics
26 standards and financial disclosure) shall apply to board
27 members, officers and employees of the authority. For the
28 purposes of 65 Pa.C.S. Ch. 11, employees of the authority shall
29 be regarded as public employees of the Commonwealth and officers
30 or board members of the authority shall be regarded as public
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1 officials of the Commonwealth, regardless of whether the
2 employees receive compensation. The authority shall also be
3 subject to 65 Pa.C.S. (relating to public officers) and the act
4 of February 14, 2008 (P.L.6, No.3), known as the Right-to-Know
5 Law, relating to the inspection and copying of public records.
6 § 17727.   Exemption from taxation.
7    The effectuation of the authorized purpose of the authority
8 shall be exclusively for the benefit of the residents of this
9 Commonwealth, the increase of commerce and prosperity and the
10 improvement of health and living conditions. The authority may
11 not be required to pay taxes or assessments upon any property
12 acquired or used by the authority for the purposes under this
13 chapter, and the bonds issued by the authority and the interest
14 and income related to the bonds shall be free from State and
15 local taxation.
16SUBCHAPTER C
17BONDS AND FUNDS OF AUTHORITY
18 Sec.
19 17731.   Bonds.
20 17732.   Governmental immunity.
21 17733.   Transfer of money.
22 § 17731.   Bonds.
23    The authority may issue bonds, sell bonds, use net proceeds
24 of bond sales, refund bonds, adopt pledges, mortgages,
25 covenants, indentures and trusts, exercise remedies and confer
26 additional remedies upon persons holding bonds in the same
27 manner as provided under the act of July 29, 1953 (P.L.1034,
28 No.270), known as the Public Auditorium Authorities Law.
29 § 17732.   Governmental immunity.
30    Except as provided by and subject to 42 Pa.C.S. Ch. 85
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1 Subchs. A (relating to general provisions) and C (relating to
2 actions against local parties), the authority and the
3 authority's officers, officials and employees shall have
4 governmental immunity.
5 § 17733.    Transfer of money.
6    (a)     Transfer.--The Commonwealth, the central city or the
7 central county may:
8(1)   make grants from current and future revenues to the
9    authority and to assist in defraying the costs of managing,
10    operating, maintaining, financing and servicing the debt of
11    downtown destination projects or parts of downtown
12    destination projects, to enter into certain credit
13    enhancements or liquidity facilities relating to the debt of
14    downtown destination projects or parts of downtown
15    destination projects, to enter into long-term agreements
16    providing for payment of the costs and to enter into long-
17    term leases or subleases as lessee or sublessee of all or
18    part of a downtown destination project; and
19(2)   issue bonds for the purpose of obtaining money for
20    the acquisition or improvement of downtown destination
21    projects or parts of downtown destination projects.
22    (b)     Contributions.--The Commonwealth may contribute to the
23 capital costs of constructing downtown destination projects by
24 the issuance of Commonwealth bonds and notes under Article XIX-B
25 of the act of March 4, 1971 (P.L.6, No.2), known as the Tax
26 Reform Code of 1971. A project undertaken by the authority is
27 deemed to be a redevelopment assistance project under which
28 capital money of the Commonwealth may be expended under the act
29 of May 20, 1949 (P.L.1633, No.493), known as the Housing and
30 Redevelopment Assistance Law, and, notwithstanding the
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1 provisions of the Housing and Redevelopment Assistance Law, the
2 Department of Community and Economic Development may make
3 capital grants directly to the authority.
4SUBCHAPTER D
5INCREASE IN HOTEL TAX
6 Sec.
7 17741.   Increase in rate of hotel tax.
8 § 17741.    Increase in rate of hotel tax.
9    (a)     Increase.--The rate of the tax imposed under section
10 17509(a) (relating to hotel room rental tax in second class and
11 second class A counties) in the central county shall be
12 increased as follows on rentals of a room or rooms to
13 accommodate transients:
14(1)   to 2% from the effective date of this paragraph
15    through August 31, 2027; and
16(2)   to 4% beginning September 1, 2027.
17    (b)     Distribution of revenues.--The incremental additional
18 revenues received from the tax increase under this section shall
19 be distributed as follows:
20(1)   Thirty-three percent of the additional tax revenues
21    collected by hotels located within a municipality other than
22    the central city that at the time receives revenues under
23    section 17509(b) shall be returned to that municipality and
24    otherwise handled in the same fashion as if the incremental
25    additional revenues returned to the municipality under this
26    paragraph were part of the base revenues disbursed to it
27    under that section.
28(2)   To the trustee for any bonds issued by the
29    authority, in accordance with the provisions of the indenture
30    or indentures pursuant to which the bonds are issued, to be
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1  used for the payment of debt service on the bonds and other
2  amounts payable in connection with the bonds.
3(3)   (i)     To the extent funds are available, 15% of the
4revenue received by the county from the excise tax shall
5be distributed to a tourist promotion agency pursuant to
6section 2199.14 of the act of July 28, 1953 (P.L.723,
7No.230), known as the Second Class County Code.
8(ii)    To the payment of all amounts set forth in
9paragraph (4):
10(A)   in full; or
11(B)   if the revenues are insufficient to make the
12payment in full, on a pro rata basis.
13(4)   To the extent funds are available, 15% of the
14  revenue received by the county from the excise tax shall be
15  deposited by the treasurer of the central county with the
16  treasurer of the auditorium authority for:
17(i)    expanding and improving the convention center or
18exhibition hall and realty appurtenant to the premises;
19and
20(ii)    operational and maintenance expenditures of the
21convention center or exhibition hall, each as provided in
22section 17509(d).
23(5)   To the extent funds are available, 15% of the
24  revenue from the tax received by the county shall be used
25  for:
26(i)    operational and maintenance expenditures of the
27convention center or exhibition hall as provided in
28section 17509(d);
29(ii)    regional tourist promotion activities; or
30(iii)    an administrative fee for collecting the tax.
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1(6)   To the extent funds are available, all remaining
2    revenue from the tax received by the county shall be
3    deposited by the treasurer of the central county into the
4    fund.
5    (c)     Definitions.--Terms used in this section that are not
6 otherwise defined in this chapter but are defined in section
7 17509 shall have the meanings ascribed to them in that section.
8SUBCHAPTER E
9DOWNTOWN REVITALIZATION FUND
10 Sec.
11 17751.   Establishment of Downtown Revitalization Fund.
12 17752.   Use of money in the fund.
13 § 17751.    Establishment of Downtown Revitalization Fund.
14    (a)     Establishment.--The Downtown Revitalization Fund is
15 established by the authority. The treasurer of the board shall
16 be custodian of the fund, which shall be subject to the
17 provisions of law applicable to funds listed in section 302 of
18 the act of April 9, 1929 (P.L.343, No.176), known as The Fiscal
19 Code.
20    (b)     Appropriation.--Money in the fund is appropriated to the
21 authority on a continuing basis and shall be used exclusively as
22 provided in this chapter.
23    (c)     Collection and deposit.--The treasurer of each central
24 county is directed to collect the tax imposed under Subchapter D
25 (relating to increase in hotel tax) and to deposit the revenue
26 received from the tax into the fund.
27    (d)     Interest earnings.--Pending disbursement, money received
28 on behalf of or deposited into the fund may be invested or
29 reinvested. All earnings received from the investment or
30 reinvestment of the money shall be credited to the fund.
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1 § 17752.    Use of money in the fund.
2    (a)     Use.--Money in the fund shall be used by the authority
3 to fund the capital costs of downtown destination projects.
4    (b)     Limitations.--Expenditures from the fund for an eligible
5 downtown destination project shall be subject to the following
6 limitations:
7(1)   The funding provided from the fund for an eligible
8    downtown destination project may not exceed 75% of the total
9    cost of the downtown destination project.
10(2)   No money may be expended from the fund for operating
11    costs of any downtown destination project or facility.
12    Section 3.    This act shall take effect immediately.
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