00:05 - APARTMENT AND THE LADDER AND

00:09 - MY DAD.

00:10 - IT PROVIDES FOR OLDER

00:13 - PENNSYLVANIANS. ALL RIGHT.

00:14 - I FEEL LIKE THAT WAS BEATEN

00:15 - TO MY HEAD AS A KID IN EVERY

00:18 - EVERY COMMERCIAL EVER.

00:20 - COURTNEY, LIKE SKUS, SHE LOVES

00:21 - GUS. WE CALLED THE SECOND MOST

00:22 - POPULAR GROUND OUT IN FULL

00:25 - SWING.

00:27 - OKAY. ANYWAY, US BEFORE WE GET

00:29 - STARTED. CHAIRMAN SUSAN

00:31 - ANSWERED A GOOD MORNING

00:33 - CHAIRMAN. ERIC, THANK YOU.

00:34 - BENEFITS OR PENNSYLVANIA FITS

00:35 - OLDER, BUT THAT IS THAT IT IS A

00:35 - BIT OF IT. YES, I HEARD THE

00:37 - SAME THING.

00:39 - WELL, GOOD MORNING, SECRETARY.

00:39 - RON, GOOD MORNING TO EVERYONE

00:40 - FROM THE DEPARTMENT OF REVENUE.

00:42 - WE APPRECIATE YOU BEING HERE

00:43 - TODAY.

00:45 - AS AN OVERVIEW, THE GOVERNOR

00:46 - IS PROPOSING FOR YOUR BUDGET.

00:50 - 2320.1 MILLION FOR THE

00:51 - UPCOMING FISCAL YEAR. AN

00:52 - INCREASE OF 14.1 MILLION OR

00:56 - ABOUT 6.5%. AS WE NOTED, YOU

00:58 - GUYS OVERSEE THE LOTTERY FUND

00:59 - WHICH PROVIDES FUNDING FOR

01:00 - AGING HUMAN SERVICES REVENUE

01:04 - AND PENN DOT THAT'S EXPECTED

01:06 - TO EXPAND ABOUT 2.3 BILLION

01:07 - DOLLARS AND INCREASE OF

01:11 - 48 MILLION OR 2.2% OVER THE

01:13 - CURRENT FISCAL YEAR. IT'S

01:15 - IMPORTANT THAT WE KNOW WE HEAR

01:15 - FROM REVENUE BECAUSE WHAT YOU

01:16 - GUYS SHARE WITH US HELPS US

01:19 - DETERMINE WHAT ULTIMATELY THIS

01:20 - BUDGET LOOKS LIKE. AND I THINK

01:21 - IT'S IMPORTANT THAT WE NORMALLY

01:24 - LOOK AT THIS YEAR, BUT OUTLYING

01:25 - YEARS AS WELL BECAUSE WITH THE

01:26 - PROPOSAL THAT THE GOVERNOR PUT

01:29 - FORWARD TO BASICALLY SPEND

01:30 - ABOUT 4 AND A HALF BILLION

01:31 - DOLLARS FROM THE RAINY DAY FUND

01:32 - AND TRAIN OUR SURPLUS. REVENUES

01:33 - ARE GOING TO BE VITAL MOVING

01:36 - FORWARD OR FORWARD AND

01:38 - UNDERSTANDING WHAT WE CAN

01:38 - EXPECT WITHIN THIS CONE.

01:39 - WELL, I THINK IS ESSENTIAL.

01:40 - AS WE BEGIN NEGOTIATIONS AS

01:43 - THIS BUDGET CONTINUE. SO WITH

01:44 - THAT, LOOK FOR YOUR TESTIMONY

01:47 - AND THE GENTLEMAN ALSO DO WANT

01:48 - TO MAKE MENTION TO ONE OF OUR

01:49 - FORMER COLLEAGUES, FORMER

01:50 - MEMBERS WHO IS HERE.

01:51 - REPRESENTATIVE BRYAN BARBIN.

01:52 - IT'S GOOD TO SEE YOU, SIR, HERE

01:55 - AS WELL.

01:56 - BEFORE WE BEGIN, WE CAN GET

01:57 - ALL OF OUR TESTIFIERS TO STAND

01:58 - UP SO THAT WE CAN SWEAR YOU IN.

02:05 - DO YOU SOLEMNLY SWEAR THAT THE

02:06 - TESTIMONY YOU'RE ABOUT TO GIVE

02:06 - US THE TRUTH, THE WHOLE TRUTH

02:07 - SO HELP YOU GOD. YOU MAY BE

02:11 - SEATED.

02:12 - IN THE MIDDLE OF THE MIDDLE

02:13 - OF THE TABLE IS OUR TIME.

02:15 - KEEP AWAY. IT TURNS GREEN

02:15 - MEMBERS WILL HAVE 5 MINUTES.

02:18 - ACTUALLY QUESTIONS. BUT SERGIO,

02:19 - THAT NEWS THAT WE HAVE 30

02:20 - SECONDS LEFT AND WHEN IT TURNS

02:22 - RATE TIME HAS EXPIRED. WHO

02:25 - ACTUALLY TOO WRAPPED UP YOUR

02:26 - STATEMENT WHEN YOU SEE THE

02:29 - REAR, WHY?

02:31 - THE UNDERSTAND THAT WRITTEN

02:33 - TESTIMONY HAS BEEN SUBMITTED.

02:34 - WOULD YOU LIKE OPENING

02:35 - STATEMENT WOULD LIKE TO GO

02:37 - DIRECTLY TO QUESTIONS.

02:41 - THANK YOU, MR. CHAIRMAN JUST 2.

02:48 - RECOGNIZE MY TEAM HERE WILL BE

02:51 - ENGAGED THIS PROCESS TODAY.

02:53 - WORDS ACTIVE DEPUTY AMY, YOU

02:57 - KNOW, OF TAX POLICY.

02:59 - I ORGANIZAR EXECUTIVE DEPUTY

03:00 - SECRETARY STEPHANIE WIANT VIEWS

03:03 - ARE.

03:03 - DEPUTY SECRETARY OF THE

03:06 - LOTTERY.

03:07 - AND HERE IS A MAN WHO'S THE

03:10 - DEPUTY OF ADMINISTRATION.

03:13 - THANK YOU, MISTER. THANK YOU,

03:14 - SECRETARY AND WILL JUMP RIGHT

03:17 - IN REPRESENTATIVE YOUNG.

03:24 - GOOD MORNING, EVERYONE.

03:26 - THANK YOU FOR BEING HERE

03:26 - TODAY. AND IT JUST JUMP RIGHT

03:31 - THIS PART. SO REGARDING THE 4

03:32 - AREAS OF CONCERN RATE. SO WE

03:35 - HAVE CANNABIS SEE IN IT SKILLED

03:38 - GAMES AND MINIMUM WAGE. CAN YOU

03:40 - SHARE WITH US? HOW MUCH

03:41 - REVENUES THOSE PROPOSALS WOULD

03:44 - HAVE GENERATED. HAVE THEY BEEN

03:46 - ENACTED WHEN THE GOVERNOR FIRST

03:49 - INTRODUCED?

03:57 - MODIFICATIONS TO OUR ORIGINAL

03:58 - ESTIMATE, BUT TO USE THE

03:59 - ESTIMATES THAT WE ARE HEARING

04:03 - NOW. FOR THE CURRENT FISCAL

04:06 - LAND BUDGET CYCLE.

04:07 - DON'T USE CANNABIS FOODS, FEES

04:10 - AND TAXES. ABOUT 730 MILLION.

04:16 - THE AMOUNT HER.

04:18 - THE FULL YEAR MAY. WOULD BE.

04:24 - 287 MILLION. THAT'S MOSTLY

04:27 - TAXES.

04:27 - A VIDEO GAMING TERMINALS, THE

04:31 - SCHOOL GAMES PROPOSAL.

04:36 - A 766 MILLION. THAT IS.

04:37 - PRIMARILY TAXES. 22 MILLION IN.

04:42 - FEES.

04:45 - FULL YEAR OF THAT. 2728.

04:49 - IT'S PROJECTED TO BE NORTH OF

04:49 - 2 BILLION DOLLARS THAT ARE FULL

04:52 - CYCLE.

04:56 - COMBINE REPORTING AN INCOME

04:59 - TAX CHANGE. WE'RE ESTIMATING

05:02 - THIS AT THIS POINT TO BE

05:03 - 328 MILLION WITH A BUDGET

05:06 - CYCLE. 2627. THAT WILL BE

05:07 - ESTIMATED TO BE AROUND A

05:10 - BILLION DOLLARS.

05:10 - FISCAL CYCLE POSTERS WILL CYCLE

05:14 - 27.28.

05:15 - THOSE ARE THOSE A PRIMARY TAX

05:18 - PROPOSAL.

05:19 - SO AS I UNDERSTAND YOUR

05:21 - ANSWER, BASICALLY, YOU'RE

05:25 - SAYING THE 2627 FISCAL YEAR.

05:25 - WE THE COMMONWEALTH WILL BE

05:28 - LEAVING.

05:31 - 1 BILLION WITH A B DOLLARS ON

05:34 - THE TABLE ON TOUCHED.

05:35 - IT'S MORE IF YOU JUST GO

05:36 - THOSE NOT THE OFFSETS FOR OTHER

05:38 - THINGS. IT'S ABOUT 1.8, WE.

05:43 - TO 26 WIN.

05:46 - WELL, OKAY. THANK YOU

05:47 - FOR THAT. SHE SWITCHED GEARS A

05:48 - LITTLE BIT IN 2025. GOVERNOR

05:52 - SHAPIRO SIGNED INTO LAW THE

05:53 - PA STUDENT LOAN INTEREST

05:56 - DEDUCTION WHICH ALLOWS

05:57 - TAXPAYERS TO THE DEATH OF TO

05:58 - 2500 STUDENT LOAN INTEREST, ONE

06:02 - AND 2025. STAT STATE INCOME

06:03 - TAX RETURNS SIMILAR TO THAT OF

06:06 - THAT FEDERALES. CAN YOU TALK

06:07 - ABOUT THE IMPACT OF THIS

06:10 - PARTICULAR LEGISLATION?

06:14 - I THINK THE PARITY HAS WITH

06:15 - THE FEDERAL FEDERAL TAX CODE

06:18 - AND FEDERAL FILINGS IS IT IS

06:18 - IMPORTANT. SOME OF THE PARITY

06:22 - WE'RE TRYING TO BUILD WITH THE

06:23 - WORKING FAMILIES TAX CREDIT,

06:24 - ITC, THE DEPENDENT CARE CREDIT

06:28 - THIS CHAMBER. IT DESERVES A

06:31 - LOT OF CREDIT WITH THE THINGS

06:33 - HE'S BEEN DOING OVER THE PAST

06:34 - SEVERAL YEARS. THESE THESE LAST

06:38 - 2 TERMS IN TERMS OF POSITIVE

06:38 - SOCIAL POLICY AND OUR PERSON

06:42 - GET TAX SYSTEM HAS BEEN MORE

06:45 - SUCCESSFUL THAN THE FIRST 50

06:45 - COMBINED. AND THIS IS JUST ONE

06:50 - EXAMPLE OF OF THINGS THAT OUR

06:51 - WORTH DOING TO MAKE OUR PERSON

06:53 - CONTACT WITH THAT. SOME OF THE

06:57 - LIMITATION WE HAVE AND HAVE TO

06:58 - FACE CONSTITUTIONALLY TO MAKE

07:01 - OUR PERSONAL INCOME

07:01 - TAX SYSTEM. VERSAILLES WANT TO

07:02 - KNOW IS THIS CHAMBER WORK WITH

07:05 - THE GOVERNOR MAKE THAT?

07:06 - DO YOU HAVE ANY PRELIMINARY

07:08 - DATA TO SHARE? WE'LL GET BACK

07:11 - TO YOU ON THAT.

07:12 - WHEN WE SEE IN THE 2024 FILING

07:14 - SEASON BACK TO. OKAY. THANK YOU

07:17 - SO MUCH.

07:23 - THANKS. A GENTLE LADY

07:24 - REPRESENTATIVE PARDON. THANK

07:24 - YOU, MR. CHAIRMAN AND WELCOME

07:27 - SECRETARY BROWN AND TEAM

07:27 - REVENUE. SECRETARY BROWN, THE

07:31 - GOVERNOR'S PROPOSAL, BUDGET

07:33 - PROPOSAL INCLUDES EXPANSION OF

07:36 - VIDEO GAMING TERMINAL TAX TO

07:37 - INCLUDE GAMING MACHINES THAT

07:38 - INVOLVED THE ELEMENT OF SKILL.

07:41 - AND THUS SUBJECTING THOSE TYPES

07:43 - OF MACHINES TO THE CURRENT 52%

07:49 - TAX. THAT SKILL GAMES ARE

07:50 - BECOME VERY POPULAR TOPIC IN

07:51 - THIS BUDGET HEARINGS AND WE'LL

07:52 - PROBABLY HEAR A LOT OF THAT OUT

07:56 - THAT TODAY AND 10024TH

07:56 - LEGISLATIVE DISTRICT WHERE I

07:57 - SERVE SOUTHERN SCHUYLKILL IN

08:00 - NORTHERN BERKS COUNTIES.

08:02 - IT'S IT'S A VERY RURAL AREA

08:03 - WHERE STILL GAMES ARE A PART

08:05 - OF THE REVENUE OF A LOT OF

08:07 - BUSINESSES. SMALL FAMILY

08:08 - BUSINESSES, FIRE COMPANIES,

08:10 - VFW NEWS, RESTAURANTS, AMERICAN

08:13 - LEGION'S.

08:18 - SPECIFICALLY ON PAGE A 4 PART

08:19 - ME A 1, 4, OF THE PROPOSAL,

08:20 - GOVERNOR STATES AT THE

08:21 - PENNSYLVANIA GAMING CONTROL

08:24 - BOARD WOULD REGULATE BOTH

08:25 - EXISTING VIDEO GAMING TERMINALS

08:28 - AND SKILLS

08:29 - ALLOWING FOR 40,000 TOTAL

08:31 - COMBINED MACHINES IN

08:32 - ESTABLISHMENTS IN THE FISCAL

08:34 - YEAR 26.27 NOW AND THEN OUNCE

08:38 - IS PROVIDED BY YOUR DEPARTMENT

08:40 - NOTES THAT ONLY 20,000 MACHINES

08:43 - ARE SOON TO BE LICENSED IN THE

08:46 - FISCAL YEAR 26.27. SO CAN YOU

08:47 - JUST CLARIFY WHAT THE GOVERNOR

08:53 - MEANS WHEN HE SAYS 40,000

08:54 - COMBINED MACHINES WILL BE IN

08:55 - ESTABLISHMENTS NEXT FISCAL

08:56 - YEAR.

08:58 - HE'S SPEAKING OF THE YEAR.

09:02 - 2728.2627. ASSUMING 20,000

09:04 - MACHINES OR LICENSE.

09:07 - WITH A PREVIEW.

09:09 - OKAY. SO LET LET ME ASK YOU

09:12 - THIS. CAN YOU ALSO EXPLAIN WHAT

09:14 - ESTABLISHMENTS THE DEFINITION

09:15 - OF ESTABLISHMENTS AND HOW MANY

09:16 - ESTABLISHMENTS WOULD BE ALLOWED

09:17 - TO OPERATE SCHOOL GAMES UNDER

09:21 - THIS PROPOSAL. WE'RE ASSUMING

09:21 - FULL YEAR AND 9,000

09:24 - ESTABLISHMENTS.

09:25 - AND THE REVENUE ADJUSTMENTS IN

09:26 - THE 40,000 MACHINES FOR YEAR 9.

09:30 - 1000 ESTABLISHED. AND WHAT OUR

09:33 - STATUS MEANS.

09:36 - CURRENT OPERATORS THAT WE

09:37 - EXPECTED THAT THE CURRENT

09:38 - ESTABLISHMENTS THAT HAVE

09:38 - OFFERINGS OF SKILL GAMES TO THE

09:41 - PUBLIC. NOW.

09:43 - LET ME ASK YOU, THIS ARE ARE

09:46 - YOU AWARE SECRETARY BROWN OF

09:49 - ANY ANALYSIS WITH WHETHER

09:49 - CONDUCTED BY YOUR DEPARTMENT

09:51 - OR A STAKEHOLDERS IN THE

09:52 - INDUSTRY THAT WOULD SHOW THE

09:56 - ECONOMIC IMPACT OF OUR LOCAL

09:58 - COMMUNITIES AND SUBJECTING THIS

09:59 - TYPE OF MACHINE TO A 52% TAX

10:02 - RATE.

10:04 - UNDERSTANDING THAT ANY

10:05 - TAXATION WOULD HAVE FACTS AND

10:06 - ACTIVITIES. IT'S BEEN THE

10:10 - THOUGHT PROCESS.

10:13 - FROM THE BEGINNING. WE I GOT

10:14 - INTO THIS. IT WAS FREE COVERAGE

10:17 - GREW AS WELL.

10:21 - APPLYING AN EXCISE TAX, TOO.

10:22 - GAMING MACHINES, SOMETHING

10:25 - THAT'S BEEN.

10:26 - PART OF GAMING OFFERINGS SINCE

10:29 - 2000.

10:29 - 20032005 WITH THE FIRST

10:32 - FACILITIES.

10:36 - SO THIS IN ORDER TO

10:36 - ADVANCE. WHEN IS CONSISTENT.

10:43 - AND FAIR TAX

10:44 - TO HAVE ALL THE MACHINES THAT

10:45 - ARE BEING OFFERED TO THE PUBLIC

10:47 - BEING SUBJECT TO SIMILAR RATES.

10:51 - POTENTIAL EFFECTS. IT'S

10:53 - SOMETHING WE CAN SOME FURTHER

10:56 - RESEARCH ON. BUT AS OF RIGHT

10:59 - NOW, WE HAVE.

11:00 - TREMENDOUSLY GROWING ACTIVITIES

11:03 - FOR A LONG PERIOD OF TIME.

11:04 - MACHINES THAT HAVE BEEN

11:07 - AVAILABLE FOR THE THE PUBLIC

11:09 - SINCE 2003. I THINK THE RATES

11:13 - THAT WE ARE.

11:15 - OFFERING FOR THIS COMPONENT OF

11:16 - THE GAME. AND SO THERE'S NO NO

11:19 - STUDY THAT, YOU KNOW,

11:19 - OF THEM.

11:20 - YOU DON'T HAVE A CURRENT

11:20 - STUDY AVAILABLE TO US, BUT

11:21 - WE'RE COMFORTABLE IS. IS THAT?

11:23 - JUST LIKE THE OTHER MACHINES,

11:26 - THEIR OFFER TO THE PUBLIC?

11:27 - THE OFFERING OF THESE

11:30 - MACHINES.

11:31 - IT'S LIKE THE MACHINES THAT ARE

11:33 - IN THE FACILITIES CAN SUSTAIN

11:33 - TAX RATE. THAT'S CONSISTENT

11:35 - WITH THOSE. THEY'RE BEING

11:38 - OFFERED ANOTHER MAN.

11:39 - SO SECRETARY BROWN, I'VE BEEN

11:39 - IN BUSINESS FOR 37 YEARS.

11:40 - AND ONE OF THE THINGS THAT I

11:43 - WILL I'VE

11:44 - KNOWN AND IT'S BECOME PART OF

11:46 - WHO I AM IS A VERY SIMPLE

11:46 - TERMS. PIGS GET FAT. HOGS GO

11:50 - TO SLAUGHTER. AND SO WE WANT TO

11:53 - MAKE MONEY ON SOMETHING.

11:53 - IT'S IT'S FAIR TO TO TO MAKE

11:55 - MONEY. BUT IF WE IF WE CHARGE

11:56 - TOO MUCH, WE PUT OURSELVES OUT

11:59 - OF BUSINESS IN THIS SITUATION

11:59 - LIKE THIS, IT IS CONCERNING.

12:00 - AND THAT'S WHY I ASKED THAT

12:01 - QUESTION WHERE WE ARE. WE ARE

12:02 - CHARGING 52%.

12:05 - ON.

12:06 - SHEENS THAT ARE BEING OFFERED

12:09 - ALL AROUND THE

12:10 - COMMONWEALTH. NOW THEY DON'T

12:11 - SEE KNOWS AS A COMPLETELY

12:12 - SEPARATE AND OFFERING RIGHT

12:15 - THERE IS THAT ON WE AS A NATION

12:16 - CASINOS IN THE FACILITIES THAT.

12:19 - I KNEW THAT IT WAS SOMEBODY

12:22 - WALKED INTO A TRUCK, STOP.

12:23 - OFFERING A MACHINES, VIDEO

12:25 - GAMING TERMINALS. CURRENTLY

12:28 - IN THOSE.

12:31 - RATE THAT'S ASSESSED ON THEM

12:34 - RIGHT OUTSIDE THAT LAST IN

12:35 - FACILITY ARE MACHINES THAT ARE

12:38 - BEING TAXED AT NOTHING.

12:39 - THAT THIS IS PROBABLY THE ONE

12:39 - OF THE LEAST IN MY EXPERIENCE,

12:42 - ONE OF THE BEST EXAMPLES OF

12:44 - INEQUITIES AND TAXATION.

12:45 - WHEN YOU HAVE THE SAME ACTIVITY

12:48 - WITHIN THE SAME FOR SO. WE'RE

12:49 - OFF TO THE PUBLIC. ONE IS AT 0.

12:53 - ONE IS BEING ASSESSED THE NEXT.

12:53 - THAT'S WHAT THIS IS LOOKING

12:54 - TO CORRECT. I DON'T THINK WE

12:59 - CAN DEFEND HAVING.

13:02 - BUSINESS RESPECT OR DOES THE

13:03 - FINDINGS MACHINES DIFFERENT?

13:04 - WE DISAGREE WITH BUSINESS

13:05 - PERSPECTIVE. THESE MACHINES

13:08 - GENERATE MUCH. THAT'S WHY

13:09 - THERE. THAT'S WHY THEY'RE

13:10 - SIMILAR FROM A BUSINESS

13:11 - PERSPECTIVE. YOU SOME MACHINES

13:12 - IN THE TRUCK STOP TO REASSESS.

13:13 - NICE, EXCISE TAX AND ISSUES

13:18 - THAT ARE NOT. IN TERMS OF

13:18 - FAIRNESS AND EQUITY IN TAXATION

13:19 - THINK IT MAKES SENSE FOR ALL

13:22 - OF US TO CONSIDER WHY THAT WHY

13:22 - THAT MAKES SENSE. THE WHITE

13:25 - HOUSE.

13:27 - I DON'T I CAN'T OUR TIME IS

13:28 - UP. BUT THANK YOU VERY MUCH.

13:29 - SECRETARY BROWN, THANK THANK

13:30 - THE GENTLEMAN. REPRESENTATIVE

13:36 - CONDIT. THANK YOU. CHAIRMAN

13:36 - HARRIS, THANK YOU. SECRETARY

13:37 - BROWN, THANK YOU FOR YOUR STAFF

13:39 - FOR YOUR WORK.

13:40 - FOLKS IN MY DISTRICT. THEY

13:40 - DON'T LIKE PAYING HIGHER TAXES

13:43 - RIGHT?

13:45 - AND I CAN SAY ONE THING THAT

13:46 - WE'VE DONE HOUSE DEMOCRATS

13:47 - SINCE WE'VE HAD THE MAJORITY IS

13:49 - THAT WE'VE ACTUALLY RUN LOWER

13:52 - TAXES EVERY YEAR. IN FACT, YOU

13:53 - MENTION WE PASSED WORKING

13:55 - PENNSYLVANIA'S TAX CREDIT,

13:56 - WHICH IS GIVING FAMILIES UP

13:57 - TO $800 A YEAR BACK ON THEIR

14:01 - TAXES. I CAN SAY ONE THING THAT

14:04 - PEOPLE IN MY DISTRICT.

14:07 - ARE OKAY WITH DEMOCRAT,

14:07 - INDEPENDENT REPUBLICAN IS

14:10 - MAKING SURE THAT THE RICH.

14:10 - AND CORPORATIONS ARE PAYING

14:13 - THEIR FAIR SHARE.

14:15 - WE SAW IN MASSACHUSETTS THEY

14:16 - IMPLEMENTED SOMETHING CALLED

14:20 - A MILLIONAIRE'S TAX AND THEY

14:23 - BROUGHT IN BETWEEN 3, 2

14:24 - 3 MILLION DOLLAR SKEWS ME 2

14:24 - 3 BILLION DOLLARS FOR THE

14:27 - MILLIONAIRES TAX.

14:28 - A LOT OF THAT MONEY IS GOING

14:31 - TO SCHOOLS AND TRANSIT.

14:33 - REPRESENTATIVE FEE LEARN I WE

14:35 - HAVE DIFFERENT WAYS TO GO ABOUT

14:36 - IT. WE CAN IMPLEMENT THAT HERE

14:38 - IN PENNSYLVANIA. CAN YOU TALK

14:41 - ABOUT CURRENTLY AS THINGS ARE?

14:43 - WHAT ARE THE ROADBLOCKS TO

14:43 - IMPLEMENTING A MILLIONAIRE'S

14:44 - TAX HERE IN THE COMMONWEALTH?

14:48 - SINCE THE INCEPTION, THE PERSON

14:49 - COMPACT SYSTEM CLOSE TO THAT

14:51 - PERIOD OF TIME.

14:52 - BEFORE THAT, THE JURORS

14:56 - GROOMS REGARDING TAXATION.

14:57 - PRETTY CLEARLY DEFINED UNIFORM.

15:01 - ME. SAYING THE PERSON TAX

15:03 - SYSTEM. IF YOU HAVE THE SAME

15:06 - PERSON, ONE PERSON.

15:09 - THAT PERSON NEEDS TO BE.

15:12 - TAX CODE IF WAY THAT ANOTHER

15:13 - PERSON REGARDLESS OF THEIR

15:16 - INCOME

15:17 - YOU KNOW, FOR ME, CAUSE HAS

15:18 - BEEN APPLIED TO A RATE

15:20 - STRUCTURE AS WELL. I UNDERSTAND

15:22 - AND APPRECIATE THE ARGUMENTS

15:23 - WERE GOING THIS BECAUSE ACROSS

15:23 - THE COUNTRY, INCLUDING FEDERAL

15:24 - GOVERNMENT, YOU HAVE

15:27 - PROGRESSIVE TAX SYSTEMS.

15:28 - BUT AS OF NOW WITHOUT TESTING

15:31 - IT AGAIN AS

15:32 - NOT BEEN USING THE PERSONAL

15:33 - INCOME TAX SYSTEM OF

15:35 - JURISPRUDENCE IS 50 YEARS OLD.

15:39 - THAT THERE WILL BE LIMITATIONS

15:40 - CONSTITUTION AND APPLYING A

15:44 - DIFFERENT RATE STRUCTURE TO

15:44 - SOMEONE WHO'S MAKING A

15:46 - MILLIONAIRE, SOMEONE WHO'S MAKE

15:48 - MORE AND SOMEONE ELSE. SO

15:49 - THAT'S THAT'S THE PRIME.

15:51 - THAT'S THE PRIMARY ISSUE THAT

15:52 - WE WOULD FACE IN REGARDS TO

15:54 - THE POLLS.

15:55 - THANK YOU. YEAH, YEAH.

15:57 - AS YOU MENTIONED THAT THE

15:57 - TEACHERS PAYING THE SAME AS AS

15:58 - A BILLIONAIRE AND IN TERMS OF

15:59 - PERCENTAGE OF THE TAX RATE.

16:00 - AND THE RATE. THAT'S RIGHT.

16:04 - SPECIFICALLY ABOUT

16:07 - CORPORATIONS.

16:07 - WHAT ARE THE OBSTACLES RIGHT

16:10 - NOW IN PENNSYLVANIA THAT

16:11 - PREVENT US FROM MAKING SURE

16:13 - THAT CORPORATIONS ARE PAYING

16:13 - THEIR FAIR SHARE HERE IN THE

16:14 - COMMONWEALTH AND ARE NOT

16:16 - SHIFTING THEIR PROFITS PLAYING

16:18 - GAMES. THEY CAN AVOID PAYING

16:19 - TAXES HERE IN THE COMMONWEALTH.

16:24 - THE FIGHTING IF THE FAIR

16:28 - SHARE BEING COMPANIES NOT

16:28 - ABLE TO REDUCE ITS TAX WHEN

16:30 - COME BY INTERCOMPANY

16:33 - TRANSACTIONS, THEIRS. WAYS THAT

16:36 - CAN BE ADDRESSED AND SPEND SO

16:37 - FAR IT'S BEEN ADDRESSED THROUGH

16:41 - WHAT'S CALLED IN AND THAT BACK

16:42 - PROVISION AND SAYS THAT IF THE

16:46 - AND THE COMPANY TRANSACTION

16:47 - BETWEEN SEPARATE ENTITIES IS

16:47 - DOESN'T MEAN ECONOMIC

16:50 - SUBSTANCE.

16:51 - TAX BENEFIT ON THE PENNSYLVANIA

16:51 - SIDE NEEDS TO BE ADDED BACK.

16:54 - ARGIER WERE MEANS TO DO.

16:55 - THIS IS SOMETHING THAT MAJORITY

16:58 - STATES ARE CURRENTLY APPLYING

16:59 - IS COMBINE REPORTING STRUCTURE.

17:02 - WE HAVE THE ENTIRE CAN TROLL

17:05 - GROUP.

17:06 - REPORTING THEIR INCOME TO

17:07 - PENNSYLVANIA, WHICH WE REQUIRE

17:08 - ELIMINATION OF INTERCOMPANY

17:11 - TRANSACTIONS REDUCE INCOME ON A

17:14 - SEPARATE COMPANY BASIS.

17:15 - APPLY, OF COURSE, MEANT TO

17:16 - PENNSYLVANIA AND AND SUBJECT TO

17:18 - SOMETHING THAT TOO, TO THE RATE

17:21 - THAT EXIST IN THE TIME RIGHT

17:22 - NOW, A SEVEN-NIGHT 7.9, 9, 7,

17:25 - 4, 9, 2026.

17:26 - THAT IS SOMETHING WE'RE

17:28 - SUPPORTING AND WE LIKE TO SEE

17:29 - VANCE PRIMARILY BECAUSE IT

17:32 - REFLECTS. WHAT.

17:34 - HAS BEEN THE EVOLUTION OF

17:35 - CORPORATE TAXATION IN THE

17:37 - COMMONWEALTH. AND THAT IS.

17:38 - THE MATCH TAXATION TO THE

17:42 - OPERATION OF THE BUSINESS.

17:43 - BUSINESSES.

17:46 - HAVE SEPARATE ENTITIES,

17:47 - SEPARATE ENTITIES FAIRLY

17:47 - ALWAYS, YOU KNOW, OPERATE AND

17:48 - SCIENCE. WE HAVE A

17:49 - TRANSPORTATION SUBSIDIARY NEXT,

17:51 - AN OPERATING FACILITY OPERATING

17:52 - SUBSIDIARY. THEY SHARE REVENUE

17:54 - ITS. THAT'S HOW YOU REPORT

17:56 - REVENUE. THAT'S HOW THEY

17:58 - OPERATE A TAXATION SYSTEM

17:59 - DOESN'T MATCH THE OPERATIONS OF

18:01 - A LOT. HE'S OPERATE OUT.

18:02 - CASH FLOWS BETWEEN THE YOU KNOW

18:09 - NECESSARY

18:09 - STEP AND MODERNIZE THE SYSTEM

18:11 - THAT STARTED WITH GOING FROM A

18:14 - 3 FACTOR. APPORTIONMENT.

18:15 - SINGLE FACTOR APPORTIONMENT.

18:16 - WE'RE TAXING BASED ON HOW MUCH

18:18 - THE COMPANY BENEFITS FROM

18:18 - PENNSYLVANIA. HOW MUCH USE OUT?

18:21 - SO BE THE NEXT STEP TO

18:22 - MODERNIZE THE SYSTEM AND THAT

18:27 - WOULD. CONCERNS ABOUT.

18:29 - REDUCING INCOME USING

18:30 - INTERCOMPANY TRANSACTIONS OR

18:31 - HOLDING COMPANIES THAT WOULD

18:33 - ELIMINATE THE BENEFITS. THANK

18:34 - YOU, SECRETARY. THANK YOU.

18:37 - CHAIRMAN.

18:40 - THANK YOU. GENTLEMAN.

18:41 - REPRESENTATIVE GROUP.

18:41 - THANK YOU, MR. CHAIRMAN AND

18:42 - THANK YOU ALL THIS MORNING FOR

18:45 - BEING

18:46 - HERE. WELCOME, MR. SECRETARY

18:46 - GOVERNOR SHAPIRO IS AGAIN

18:47 - PROPOSING THE LEGALIZATION OF

18:50 - ADULT USE. CANNABIS. BEFORE I

18:51 - BEGIN MY QUESTIONS, I WANT TO

18:53 - BRIEFLY ADDRESS THE BROADER

18:55 - FISCAL PREMISE BEHIND THIS

18:57 - PROPOSAL. MUCH OF THE

18:57 - DISCUSSION AROUND RECREATIONAL

18:58 - MARIJUANA. LEGALIZATION FOCUSES

19:01 - ON THE TAX REVENUE THAT IT

19:03 - MIGHT GENERATE AND THOSE

19:04 - NUMBERS ARE OFTEN PRESENTED

19:06 - AS A SOLUTION TO BUDGET

19:08 - PRESSURES. BUT AS MEMBERS OF

19:09 - THE APPROPRIATIONS COMMITTEE,

19:11 - WE HAVE A RESPONSIBILITY TO

19:13 - LOOK BEYOND PROJECTED REVENUE

19:14 - AND EXAMINE THE FULL FINANCIAL

19:17 - IMPACT ON

19:18 - THE COMMONWEALTH. MARIJUANA IS

19:19 - NOT SIMPLY ANOTHER TAXABLE

19:22 - CONSUMER PRODUCT. IT'S

19:22 - INTOXICATING SUBSTANCE

19:23 - ASSOCIATED WITH INCREASED

19:26 - EMERGENCY ROOM VISITS,

19:26 - SUBSTANCE ABUSE, TREATMENT,

19:30 - IMPAIRED DRIVING INCIDENTS AND

19:31 - SERIOUS MENTAL HEALTH

19:31 - CONSEQUENCES SUCH AS CANNABIS

19:35 - INDUCE PSYCHOSIS, ALL OF THOSE

19:37 - OUTCOMES, KERRY, REAL COSTS

19:38 - COSTS THAT ULTIMATELY FALL ON

19:39 - TAXPAYERS THROUGH HEALTH CARE

19:40 - SYSTEMS, LAW ENFORCEMENT AND

19:44 - SOCIAL SERVICES. SO WITH THAT

19:47 - IN MIND AND THAT PREMISE, I

19:48 - HAVE SEVERAL QUESTIONS

19:49 - REGARDING THE ASSUMPTIONS

19:51 - BEHIND THOSE REVENUE

19:53 - PROJECTIONS AND THE

19:54 - DEPARTMENT'S ABILITY TO

19:55 - ADMINISTER AND ENFORCE THE

19:56 - PROPOSED TAX STRUCTURE. SO I

19:59 - SAY ALL THAT JUST HIGHLIGHT

19:59 - THAT I'M DEFINITELY A PRO

20:03 - OPPOSED TO LEGALIZATION OF

20:03 - MARIJUANA. EXCUSE ME. BUT I DO

20:04 - REALIZE THAT THEY'RE VERY

20:05 - SPECIFIC QUESTIONS THAT NEED TO

20:08 - BE ADDRESSED REGARDING THE

20:11 - IMPLEMENTATION IF IT WERE TO

20:12 - HAPPEN. SO GOVERNOR SHAPIRO'S

20:13 - PROPOSAL TO LEGALIZE ADULT USE

20:14 - CANNABIS BEGINNING IN JANUARY.

20:18 - FIRST 2027 WITH A 20% WHOLESALE

20:19 - TAX. IN ADDITION TO THE REGULAR

20:22 - SALES AND USE TAX.

20:24 - GIVEN THAT THE DEPARTMENT OF

20:26 - AGRICULTURE'S EXPECTED TO

20:27 - OVERSEE THE REGULATORY

20:28 - FRAMEWORK FOR PRODUCTION AND

20:30 - SALES. WHAT CONVERSATION HAS

20:31 - YOUR DEPARTMENT HAD WITH THE

20:34 - SECRETARY OF AG RECORDING?

20:35 - HOW YOUR 2 AGENCIES WOULD

20:38 - COORDINATE IMPLEMENTATION?

20:42 - WEEKS WE EXPECT IF THE AND

20:43 - HOPEFULLY THE PROPOSAL ADVANCES

20:46 - THAT AS WE DO NOW, WE HAVE A

20:47 - VERY COLLABORATIVE RELATIONSHIP

20:50 - WITH A PART OF AGRICULTURE AND

20:50 - WE WILL WORK IN COLLABORATION

20:54 - WITH THEM. MAKE SURE IT'S

20:55 - IMPLEMENTED PROPERLY.

20:56 - FROM A PRACTICAL STANDPOINT,

20:56 - DO YOU BELIEVE THERE'S

20:59 - SUFFICIENT TIME BETWEEN NOW AND

21:01 - JANUARY FIRST, 2027 TO FULLY

21:02 - ESTABLISH AN OPERATION ALLIES,

21:03 - THE REGULATORY LICENSING AND

21:07 - TAX COLLECTION SYSTEMS NEEDED

21:10 - TO SUPPORT THE PROGRAM WE DO.

21:11 - AND PART OF THE REASON IS WE

21:12 - HAVE AN EXISTING

21:12 - INFRASTRUCTURE. THEIR RED WERE

21:14 - SU MING.

21:18 - MAJORITY ACTIVITY THAT

21:19 - HAPPENS IN THE FIRST YEAR WILL

21:22 - BE OUT OF EXISTING DISPENSERS.

21:25 - 28 EXISTING DISPENSARIES THAT

21:26 - WE BELIEVE CONSULTATION WITH

21:29 - THEM AS WELL. THEY WOULD LIKE

21:30 - TO EXPAND THEIR OFFERINGS

21:32 - BEYOND THE MEDICAL.

21:34 - OFFERINGS HAVE TO GO USE

21:36 - CANNABIS TO RECREATIONAL OFF.

21:36 - SO IF WE DIDN'T HAVE AN

21:39 - INFRASTRUCTURE OUT THERE

21:39 - CONSISTENT WITH WHEN WE FIRST

21:42 - PUT IN THE MEDICAL MARIJUANA

21:47 - INFRASTRUCTURE THEN WOULD I'D

21:47 - BE A LOT MORE DIFFICULT TO MAKE

21:50 - THAT ARGUMENT. BUT WE WE TO

21:52 - HAVE AN INFRASTRUCTURE THAT

21:53 - EXISTS AND WE EXPECT THAT WILL

21:54 - ALLOW US TO IMPLEMENT THIS ROAD

21:57 - ROUTE TO THE QUICK.

21:58 - HAS A DEPARTMENT BEGUN TO

22:00 - DEVELOP DRAFT STATUTORY

22:01 - LANGUAGE OR REGULATORY GUIDANCE

22:03 - RELATED TO THE PROPOSED

22:04 - CANNABIS TAX STRUCTURE OR WHAT

22:06 - THAT PROCESS OR WOULD THAT

22:07 - PROCESS ONLY BEGIN ONCE THE

22:10 - LEGISLATION

22:11 - IS ENACTED.

22:11 - WELL, WE WOULD WORK IN

22:14 - COLLABORATION WITH THE GENERAL

22:16 - ASSEMBLY. WE'LL BE TRYING TO

22:18 - FORMULA AND VANCE, A STATUTORY

22:20 - STRUCTURE THAT THIS ASSEMBLY,

22:21 - WELL, A DOT REGULATORY

22:23 - STRUCTURE WOULD COME SUBSEQUENT

22:27 - TO THE STATUTORY.

22:28 - AND ASKED, HAVE YOU

22:29 - IDENTIFIED ANY MAJOR

22:30 - ADMINISTRATIVE OR LOGISTIC

22:30 - CHALLENGES THAT THE DEPARTMENT

22:33 - OF REVENUE ANTICIPATES AND

22:34 - COLLECTING ENFORCING A

22:35 - WHOLESALE CANNABIS TAX.

22:39 - SAID THE TARGET FOR THE

22:42 - INITIAL LAUNCH.

22:43 - I WOULD BE THROUGH THE EXIST

22:45 - THINGS, INFRASTRUCTURE THAT

22:48 - EXISTS. SO THE ONLY

22:49 - IMPEDIMENT THAT WE WOULD SEE

22:53 - THERE IS TRYING TO FORMULATE

22:54 - EXPANSION BEYOND THAT. AND AT

22:55 - THIS POINT TIME WE HAVE A VERY

22:58 - SOLID. AND RESTRUCTURING

23:02 - PROCESS TO OFFER MATTHEWS.

23:04 - CANNABIS IN THE COMMONWEALTH.

23:05 - AND WE EXPECT THAT WOULD BE

23:05 - SUFFICIENT TO ALLOW US TO

23:08 - EXPECT.

23:09 - HAS THE DEPARTMENT CONSIDERED

23:10 - WHETHER ANY ADDITIONAL GUIDANCE

23:12 - OR COORDINATION WITH OTHER

23:14 - AGENCIES IN ADDITION TO

23:16 - AGRICULTURE, STATE POLICE ARE

23:17 - DEPARTMENT OF HEALTH WOULD BE

23:18 - NECESSARY TO ENSURE THE TAX

23:18 - SYSTEM OPERATES IS INTENDED.

23:22 - WELL, AS WE DO WITH OTHER

23:26 - THINGS, WE HAVE A

23:27 - AFTER WORKING RELATIONSHIP WITH

23:28 - THE OTHER RACES. THAT WILL BE A

23:32 - PART OF THIS ENFORCEMENT IS NOT

23:33 - ONLY OUR RESPONSIBILITY BECAUSE

23:36 - WE'RE UP. WE'RE.

23:36 - TALKING ABOUT THE OFFERING OF A

23:39 - CONSUMER PRODUCT.

23:40 - WITHIN A STATUTORY REGULATORY

23:42 - FRAMEWORK. SO LAW ENFORCEMENT.

23:45 - ON INTERSTATE COM. WE'VE ALL BE

23:47 - INVOLVED AS WELL. BUT ON THE

23:50 - TAX ENFORCEMENT PIECE, WE ARE

23:53 - CONFIDENT THAT OUR OUR SYSTEMS

23:58 - THAT ARE IN PLACE AND OUR

23:58 - WORKFORCE WITH THE DEPARTMENT

24:00 - OF REVENUE CAN HANDLE THAT

24:00 - SUFFICIENTLY.

24:01 - MR. CHAIRMAN, I HAVE 30

24:03 - SECONDS FOR.

24:05 - MAY PERCEIVE. THANK YOU.

24:06 - SO I WANT TO FOLLOW-UP ON A

24:07 - QUESTION. I BELIEVE ONE OF MY

24:09 - COLLEAGUES ASKED ON A PREVIOUS

24:11 - SESSION JUST HOW MUCH DOES THE

24:14 - AVERAGE PENNSYLVANIA CITIZEN

24:15 - HAVE CONSUMER OR SMOKE OF THIS?

24:16 - WE DID TO MEET THE PROJECTED

24:19 - REVENUE.

24:22 - WERE BAIT LIKE WE TEND TO DO.

24:25 - AND THIS IS. THE MOST

24:26 - RESPONSIBLE WAY TO DO THIS IN

24:28 - TERMS OF.

24:31 - SPANNING OFFERING FOR CONSUMER

24:31 - PRODUCT THAT'S BEING OFFERED IN

24:33 - OTHER PLACES AROUND THE

24:36 - COUNTRY. BENCHMARKING OFF

24:37 - EXISTING INFORMATION THAT WE

24:38 - CAN GLEAN FROM OTHER STATES

24:42 - THAT ARE DOING THIS NOW,

24:43 - MARYLAND'S OFFERINGS. IT

24:45 - STARTED LAST SEVERAL YEARS

24:46 - SEEMED TO MATCH WHAT OUR POLICY

24:49 - OBJECTIVES OR SO.

24:51 - USING THEIR MODELING IN THE

24:51 - MODELING OF THE OTHER STATES,

24:54 - INCLUDING ME GROWTH RATE THAN

24:55 - IT HAS BEEN STAYING FOR A

24:56 - PERIOD OF TIME OUT OF COLORADO.

24:59 - HAS GIVEN US THE INFORMATION.

25:00 - WE NEED TO BE CONFIDENT THAT

25:01 - OUR PROJECTIONS. ALL RIGHT.

25:04 - THANK YOU. THANK YOU. MISTER

25:06 - CHAIR FOR THE 8 BILLION IN

25:06 - SICK. THANK THE GENTLE LADY

25:09 - REPRESENTATIVE BELMONT. THANK

25:09 - YOU, CHAIR AND THANK YOU ALL

25:13 - FOR BEING HERE. WE KNOW THAT

25:14 - THE LOTTERY FUND SUPPORTS

25:17 - SEVERAL PROGRAMS THAT HELP

25:18 - OLDER PENNSYLVANIANS.

25:19 - AND I SAID I WANTED TO KNOW

25:20 - WHAT IS THE PA LOTTERY DOING TO

25:21 - INCREASE ELVES THAT WILL

25:22 - CONTINUE TO SUPPORT THESE VITAL

25:24 - PROGRAMS?

25:25 - THE PASS THE MICROPHONE OVER

25:26 - TO OUR DEPUTY DIRECTOR OF THE

25:29 - LOTTERY.

25:31 - THANK YOU FOR THAT QUESTION.

25:33 - YET THE LOTTERY'S WORKING ON A

25:36 - FEW FRONTS TOO GROW THE REVENUE

25:40 - REVENUE RESPONSIBLY FOR A

25:40 - LOTTERY THAT GOES INTO THE

25:42 - LOTTERY FUND TO SUPPORT THOSE

25:43 - CRITICAL. A SENIOR PROGRAM SAYS

25:43 - SOME OF THE THINGS THAT WE'RE

25:46 - DOING IS OPTIMIZING OUR

25:49 - PORTFOLIO

25:50 - OF GAMES JUST THIS PAST YEAR

25:51 - WE'VE LAUNCHED FISCAL YEAR.

25:52 - WE LAUNCHED 2 NEW DRAW GAMES.

25:56 - SO WE'RE ALSO TAKING ADVANTAGE

25:57 - OF THE PROFIT MARGIN RELIEF

25:57 - THAT THE GENERAL ASSEMBLY

26:01 - PASSED LAST SUMMER. THAT'S

26:02 - ALLOWING US TO INCREASE

26:02 - PAYOUTS, HONOR, SCRATCH OFF

26:03 - GAMES. AND WE'RE ALREADY

26:07 - STARTING TO SEE SIGNS OF GROWTH

26:08 - IN OR SCRATCH OFF GAMES FROM

26:11 - THAT ACTION. WE'RE ALSO LOOKING

26:14 - TO EXPAND OUR POINTS OF

26:15 - DISTRIBUTION, SO GROW OUR OUR

26:18 - NETWORK OF RETAILERS.

26:21 - AND ALSO MODERNIZING

26:22 - MODERNIZING OUR SYSTEMS, OUR

26:25 - EQUIPMENT AT RETAIL AND ALSO

26:29 - OUR ONLINE SERVICES

26:30 - SO WE'RE ALL LOOKING TO TO DO

26:31 - ALL OF THOSE THINGS TO TO

26:32 - CONTINUE TO GROW THE LOTTERY.

26:34 - THANK YOU. TALK A LITTLE BIT

26:35 - MORE ABOUT THE ONLINE SERVICES.

26:38 - A LOT OF PEOPLE THAT.

26:41 - I'D LIKE TO PLAY THE PA

26:42 - LOTTERY, BUT, YOU KNOW,

26:43 - SOMETIMES IS AS THEY'RE NOT

26:44 - JUST GOING INTO A GAS STATION

26:45 - IN PERSONS AND THE TICKET.

26:47 - THEY ACTUALLY WANT TO DO IT ON.

26:48 - SURE. YEAH. THE LOTTERY'S

26:51 - BEEN SELLING ONLINE SINCE 2018.

26:52 - THAT'S WHEN WE GOT THE

26:53 - AUTHORITY TO LAUNCH ONLINE.

26:54 - SO WE HAVE A VARIETY OF DRAW

26:56 - GAMES THAT WE SAW ONLINE.

26:58 - AND THEN WE ALSO HAVE WHAT ARE

26:59 - CALLED INTERNET INSTANT GAMES.

27:01 - WE HAVE ABOUT 200 MORE THAN

27:05 - 200 OF THOSE GAMES THAT WE SELL

27:08 - ONLINE. WE ALSO OFFER DRAW GAME

27:11 - SUBSCRIPTIONS. SO THERE'S

27:15 - I LOTTERY HAS BEEN A GOOD AD TO

27:15 - THE LOTTERY. IT'S GENERALLY

27:16 - GENERATE INCREMENTAL REVENUE

27:18 - AND PROFIT. MAJORITY OF OUR

27:20 - SALES ARE STILL AT RETAIL.

27:23 - BUT THE LOTTERY COMPONENT IS AN

27:25 - IMPORTANT PIECE OF THAT.

27:26 - AND IS THERE ANYTHING THAT

27:27 - THE GENERAL ASSEMBLY CAN DO TO

27:29 - HELP IN THESE EFFORTS?

27:32 - YES, ACTUALLY ON THE EYE

27:34 - LOTTERY FRONT, THE LOTTERY IS

27:35 - FACING A CHALLENGE AND A RISK

27:36 - TO THE REVENUES THAT WE

27:38 - GENERATE FROM ONLINE, WHICH

27:39 - LAST YEAR WAS ABOUT 80 MILLION

27:42 - DOLLARS IN PROFIT.

27:45 - THERE'S BEEN A COURT CASE GOING

27:47 - THE CASINO SUED THE LOTTERY

27:48 - SOON AFTER WE LAUNCHED IN 2018.

27:53 - SO FOR NEARLY 8 YEARS NOW WE'VE

27:53 - BEEN IN COURT UNITS TYING UP

27:56 - OUR RESOURCES. ALSO, THE OFFICE

27:58 - OF ATTORNEY GENERAL THAT'S

28:00 - REPRESENTING US. THE LOTTERY

28:03 - NEEDS HELP IN

28:03 - PROVIDING CLARITY ENACT 42 OF

28:07 - 2017 AROUND. THERE'S SOME

28:09 - LANGUAGE AROUND THE WORD

28:14 - SIMULATE IN CASINO STYLE

28:14 - LOTTERY GAMES. SO RIGHT NOW

28:16 - THIS IS PUTTING AT RISK THE

28:18 - MONEY THAT WE GENERATE FROM

28:19 - ONLINE. THIS RECENTLY THERE

28:22 - WAS A COLD COURT DECISION IN

28:23 - JANUARY, WHICH LOTTERY HAD TO

28:26 - REMOVE 2 OF ITS LONGSTANDING

28:28 - GAMES. AND NOW THAT CASE OF

28:29 - THE CASINO'S APPEALED IT TO THE

28:32 - SUPREME

28:33 - COURT. AGAIN. SO WE WOULD

28:34 - WELCOME THE OPPORTUNITY TO WORK

28:37 - WITH THE LEGISLATURE TO CLARIFY

28:39 - THE COEXISTENCE I LOTTERY AND

28:42 - I GAMING IN THE COMMONWEALTH

28:45 - FOR PERSPECTIVE. YOU KNOW, WE

28:48 - CALCULATE MARKET SHARE.

28:49 - IF YOU LOOK AT THE ONLINE

28:50 - GAMBLING MARKET IN

28:54 - PENNSYLVANIA, YOU KNOW, ONLINE

28:55 - CASINOS OR SPENDING ONLINE

28:56 - LOTTERY. I LOTTERY ONLY MAKES

29:01 - UP ONE PERCENT. OF THE ONLINE

29:02 - MARKET. YOUR REGULATED GAMBLING

29:03 - IN PENNSYLVANIA. SO RIGHT NOW

29:04 - BECAUSE OF THIS CASE, IT IS

29:07 - AT RISK. AND LIKE I SAID, WE

29:08 - WOULD WELCOME THE OPPORTUNITY

29:10 - TO WORK WITH THE LEGISLATURE

29:13 - TO CLARIFY THAT LANGUAGE WHERE

29:15 - THE ONLY U.S. LOTTERY THAT

29:16 - SELLS ONLINE HAS THAT LANGUAGE

29:18 - IN OUR LAW. IT'S UNIQUE TO US.

29:21 - SO IF WE COULD STRIKE SOME OF

29:22 - THAT LANGUAGE, THAT WOULD BE

29:24 - VERY BENEFICIAL TO THE LOTTERY.

29:25 - AND, YOU KNOW, OF ANY STATES

29:26 - THAT LIKE IT'S THE LANGUAGE

29:29 - THAT'S ONLY CORRECT.

29:32 - NO OTHER U.S. LOTTERY THAT

29:33 - SELLS ONLINE HAS THAT LITTLE

29:34 - THAT LANGUAGE IN THE LAW.

29:34 - SO IT'S IT'S ONLY AN ISSUE IN

29:37 - PENNSYLVANIA.

29:38 - I THANK YOU. APPRECIATE IT.

29:41 - THANK YOU. CHAIR AND IT JUST

29:42 - WANTED TO MENTION AND THANK

29:43 - THIS CHAMBER FOR ITS ASSISTANCE

29:45 - ON THE PROFIT MARGIN RELIEF.

29:46 - HE'S ONE OF THE THINGS I

29:48 - THINK.

29:49 - I WE ARE DISCUSSING WITH HOPE

29:52 - TO GET COOPERATION ON IN

29:52 - PARTNERSHIP WITH THE ASSEMBLY

29:55 - BECAUSE

29:56 - IN A MATTER OF PRESSURE, THAT'S

29:58 - ON A LOTTERY TO MEET ITS

29:58 - OBLIGATIONS, OBLIGATIONS THAT

29:59 - ARE REALLY IMPORTANT TO

30:02 - EVERYONE TO STAY CALM. IT IS

30:02 - EXTRAORDINARY. IT WAS ONLY.

30:07 - A HORSE RACING IN 2000.

30:11 - A 2005 IS NOW

30:12 - IN TERMS OF GROSS GAMING

30:14 - ACTIVITY, THE LARGEST STATE IN

30:15 - THE COUNTRY AND THE LOTTERY HAS

30:16 - WITH HIS TRADITIONAL PRODUCTS

30:20 - AND EXPAND NOW WITH PREDICT THE

30:22 - MARKETS OUT THERE IS UNDER

30:23 - ENORMOUS PRESSURE. SO WORKING

30:23 - IN PARTNERSHIP WITH HIS

30:26 - ASSEMBLY AND THE GOVERNOR.

30:27 - I TRY TO GIVE THE LAW DURING

30:29 - WHAT IT MEANS IN ORDER TO

30:30 - SURVIVE IS REALLY IMPORTANT,

30:30 - MAINLY BECAUSE WITH THE ONLY

30:32 - LOTTERIES, THE ONLY GAME IN

30:35 - OFFERING THAT. IS PURELY

30:38 - DEDICATED TO.

30:41 - WHAT I BELIEVE IS A UNIVERSE OF

30:41 - ALL YEAR AND IS TO HELP OUR

30:44 - SENIOR CENTERS.

30:47 - THANK THE GENTLEMAN,

30:48 - REPRESENTATIVE RECORD.

30:48 - THANK YOU, CHAIRMAN

30:50 - SECRETARY. GOOD MORNING.

30:52 - SECRETARY. I LOOKING FOR A

30:53 - LITTLE CLARIFICATION. I THINK

30:54 - THERE'S FEW PEOPLE IN

30:54 - HARRISBURG THAT UNDERSTAND THE

30:58 - BUDGET BETTER THAN YOU. AND

30:58 - THIS CHAIRMAN STRUZZI WAS

31:00 - MENTIONING IN HIS OPENING

31:01 - REMARKS AND WE'RE GOING TO BE

31:03 - DIPPING INTO THE RAINY DAY FUND

31:06 - IN ORDER TO BALANCE

31:06 - THINGS. BUT LOOKING FORWARD FOR

31:07 - THE DEPARTMENT OF REVENUE'S

31:08 - BUDGET PROJECTIONS IN THE OUT

31:11 - YEARS. THE NEXT FOR FISCAL

31:12 - YEARS. I BELIEVE IT'S SHOWING 8

31:15 - TENTHS OF A PERCENT GROWTH

31:16 - RATE. BUT I GUESS EVERYONE IS

31:17 - THAT REALISTIC? AND NUMBER 2,

31:20 - HOW HOW ARE WE TO USE THAT?

31:22 - NUMBER ONE, WE'RE PROJECTING

31:22 - WHAT OUR NEEDS ARE GOING

31:27 - FORWARD. THERE'S SOME.

31:29 - SOME AREAS OF OUR BUDGET THAT

31:30 - SHOW SIGNIFICANT STRENGTH WOULD

31:32 - ACTUALLY THE MOST IMPORTANT

31:34 - AREAS WITH OTHER THINGS ARE

31:35 - PRETTY UNPREDICTABLE. THIS

31:39 - POINT AND WORKING OUR.

31:43 - ENCOUNTER DIRECTIONS. YES, THE

31:45 - PROJECTIONS OUT ON SALES AND

31:45 - PERSONAL INCOME, WHICH IS THE

31:48 - VAST MAJORITY OF OUR REVENUE

31:51 - CAPACITY SHOWS 3 OR 4% DURING

31:53 - THE FORECAST PERIOD, WHICH IS

31:57 - WHICH IS STRONG AND WILL ALLOW

31:58 - US TO MORE FLEXIBILITY IN TERMS

31:59 - OF ADVANCING OUR SPENDING

32:01 - PROPOSAL.

32:03 - THE INITIATIVE THAT THIS

32:05 - SOMEWAY, ALONG WITH THE

32:06 - GOVERNOR HAS SPORTED ON THE

32:07 - CORPORATE SIDE IS WORKING

32:07 - COUNTER TO THAT IN TERMS

32:10 - REVENUE CAPACITY.

32:11 - OTHER THAN INCREASING SALES IN

32:13 - THE COMMONWEALTH. THAT WILL

32:16 - NOT REVERSE ITSELF BECAUSE

32:19 - IT'S ATTRACTING BUSINESS TO THE

32:20 - TO THE COMMONWEALTH LIKE IT WAS

32:21 - IN THE PAST. DOESN'T INCREASE

32:22 - THAT LEVEL. IT'S ALL BASED ON

32:24 - SALES.

32:27 - SO THE WHAT WE'RE HOPING THE

32:28 - REASON WHY TO ADVANCE IS

32:28 - BOOSTING THE CORPORATE INCOME

32:31 - TAX.

32:34 - MAKES STATE MORE APPEALING JUST

32:35 - GENERALLY FOR INVESTMENT.

32:38 - AND BECAUSE OF THAT CAN SAYS

32:40 - CONSUMER ACTIVITY GOES OUT,

32:41 - PERSON COME TO GOES UP AND THE

32:43 - PROJECTIONS WERE SEEN ON THOSE

32:44 - 2 FUNDAMENTAL LEVEES. I WILL

32:48 - INCREASE MORE THAT IS SOMETHING

32:52 - WE CAN'T IN OUR MODELS YET

32:53 - BECAUSE IT'S RELATIVELY EARLY.

32:54 - STILL, WE'RE STILL SITTING AT

32:57 - 7.9, 9 GOING TO AROUND 4% WILL

32:58 - MAKE US ONE MORE COMPETITIVE

33:00 - STATES IN THE COUNTRY. WE'RE

33:04 - HOPING THAT JOB GROWTH.

33:05 - BOTH IN THE WORKING AGE

33:08 - POPULATION, WHICH IS OUR

33:11 - FUNDAMENTALLY OUR BIGGEST

33:12 - REVENUE CHALLENGE IS THE FACT

33:13 - THAT WORKING AGE POPULATION

33:14 - OVERALL POPULATION,

33:14 - PENNSYLVANIA IS NOT GROWING.

33:16 - EVEN OUR JOB GROWTH IS GOING

33:19 - UP.

33:20 - OUR POPULATION GROWTH IS NOT,

33:21 - WHICH IS, YOU KNOW, PRETTY

33:21 - EXTRAORDINARY, WHICH AGAIN.

33:24 - ONCE THE WORK OF ALONG WITH THE

33:25 - GOVERNOR TO TRY TO COUNTER THAT

33:30 - THE ONLY OTHER.

33:32 - ISSUE ON A MORE SHORT-TERM

33:33 - BASIS THAT WE'RE CONCERNED

33:33 - ABOUT AND THE PERSONAL INCOME

33:38 - TAX SIDE IS WE'RE FEARING.

33:40 - I THINK BOTH IN NON WITH

33:40 - HELPING IT YOU MOUNT. THAT'S

33:43 - THE.

33:44 - WHICH IS THE HIGHEST NUMBER IN

33:45 - THE PERSONAL INCOME TAX SYSTEM.

33:48 - NOW IT'S GOING ABOUT 50% IS

33:51 - EXPOSED BY ONE POTENTIALLY BE

33:53 - A BUBBLE IN THE CAPITAL MARKETS

33:55 - I BUBBLE IN THE CAPITAL

33:57 - MARKETS. CATTLE MARKETS HAVE

33:58 - BEEN GOING UP TREMENDOUSLY.

33:59 - EVERYTHING SEEMS TO BE GOING UP

33:59 - AT THE SAME TIME, PRECIOUS

34:02 - METALS THERE IS SOME CONCERN

34:05 - OVER A CORRECTION. THAT'S ONE

34:06 - OF THE BIGGEST DRIVING NUMBERS

34:08 - AND THE PA IT SO. THERE'S SOME

34:10 - GOOD TENNIS IS HERE OVERALL.

34:11 - I THINK WE'RE IN TERMS OF OUR.

34:16 - STRONGEST, SMARTEST BARS, CLOSE

34:16 - OUR BUDGET, MOVING IN THE RIGHT

34:19 - DIRECTION.

34:21 - BUT THE SECRETARY IN

34:22 - PARTICULAR, THE END OF THE

34:23 - DEPARTMENT OF REVENUE'S

34:23 - EXPENDITURE GROWTH PROJECTIONS

34:24 - FOR YOUR DEPARTMENT.

34:25 - IT IS FAR AS EXPENDITURES NOT

34:28 - ON THE REVENUE SIDE IS SHOWING

34:29 - 8 TENTHS OF A PERCENT OVER THE

34:31 - NEXT 4 FISCAL YEARS. IS THAT

34:31 - IS THAT A REALISTIC FIGURE?

34:33 - AS FAR AS EXPENDITURES ON IN

34:36 - YOUR

34:38 - DEPARTMENT SIDE?

34:38 - THE EXPENSE OF OUR DEPARTMENT

34:41 - ASSUME A LEVEL.

34:43 - LEVEL MOUNTAIN MOISTEN TO OUR

34:50 - 1806 PEOPLE AND THEY DON'T PAY

34:51 - INCREASES OR DOG. YES, IT'S

34:53 - WHAT THEY CALL COST THE KERRY

34:54 - BUDGET.

34:55 - IN OUR CONTRACTS WITH OUR

34:57 - UNIONS AND ACROSS THE

34:59 - COMMONWEALTH IS A 2% INCREASE

35:00 - THIS YEAR, 2 AND A HALF STEP

35:03 - INCREASE

35:04 - IN JULY AND HEALTH CARE COSTS

35:06 - ALL THE COSTS RELATING TO

35:07 - SUPPORTING PERSONNEL IS GOING

35:10 - UP SO WERE NOT.

35:11 - OTHER THAN GETTING BACK TO

35:15 - WHERE WE WERE IN RELATION TO

35:15 - MODERNIZATION, A CONTRACTUAL.

35:18 - NOT THAT WE HAVE WITH.

35:21 - THE SOFTWARE VENDOR FOR SYSTEM

35:23 - WHICH IS AROUND 12 MILLION

35:26 - DOLLARS FOR ANNUAL

35:27 - MAINTENANCE ENHANCEMENTS.

35:28 - THE PROPOSAL AS IT RELATES TO

35:30 - OPERATIONS IS IT'S WHAT WE

35:33 - HAVE.

35:34 - SO BUT YOU DIVE IN FOR NOT EVEN

35:36 - FACTORING IN THE COST OF CARE,

35:37 - THAT 2% INCREASES. AND THAT

35:39 - SORT OF STARTS OFF AS A FACT.

35:40 - AND IT'S IT'S IT'S FACTORED

35:41 - INTO THE 8 TENTHS OF A PERCENT.

35:42 - OVER THE NEXT 4 FISCAL YEARS,

35:45 - I'M NOT SURE.

35:49 - 8 TENTHS OF A PERCENT. I'M

35:53 - OUR OPERATIONS BUDGET. I'M NOT

35:53 - SURE WHAT YOU'RE REFERRING TO.

35:54 - THE OPERATIONS BUDGET WE'RE

35:56 - PROPOSING.

35:58 - ONE THE OUT YEARS. ONE, 68, 9.

36:00 - AND WHAT'S AVAILABLE IS 1, 6,

36:02 - SURE. BUT IN THE OUT YEARS,

36:03 - SECRETARY AND IN THE FUTURE.

36:05 - BUT IN FUTURE FUTURE BUDGET

36:06 - PROJECTIONS FOR THE NEXT 4

36:10 - FISCAL YEARS WHERE?

36:11 - WE'RE OFFERING WHAT WE KNOW

36:15 - RIGHT NOW IN 262720'S.

36:19 - 1, 6, 7, 9, 9, 0, AND

36:20 - FORECASTING PERIOD. THIS IS

36:21 - BASED ON THE INFORMATION THAT

36:22 - WE KNOW AT THIS POINT TIME WE

36:23 - HAVE THE INFORMATION AVAILABLE

36:26 - TO US TO ALLOW US TO REQUEST A

36:31 - 2627 ONE. 67, 9, 9, 0,

36:32 - THANK YOU, SECRETARY ASH THE

36:33 - AMOUNT OF TIME AND I CERTAINLY

36:34 - APPRECIATE YOUR EXPERTISE HERE.

36:37 - THANK YOU, GENTLEMEN.

36:40 - REPRESENTATIVE AT ME.

36:41 - THANK YOU, MR. CHAIRMAN, THANK

36:42 - YOU, MR. SECRETARY AND YOUR

36:44 - STAFF FOR BEING HERE.

36:45 - SO WE HAVE ASPECTS OF OUR

36:50 - TAX CODE THAT ARE STILL

36:51 - RELATIVELY ANTIQUATED. MUCH OF

36:52 - IT WASN'T WRITTEN WAS WRITTEN

36:54 - PRIOR TO THE COMING OF THE

36:58 - DIGITAL AGE.

36:58 - HOWEVER, WE KNOW THAT WE HAVE

36:59 - MULTIMILLION DOLLAR BILLION

37:03 - DOLLAR CORPORATIONS THAT ARE

37:03 - BUYING SELLING COLLECTING OUR

37:07 - ALL OF OUR PERSONAL DATA AND

37:08 - INFORMATION AND THEN USING THAT

37:09 - DATA TO THEN TURN AROUND AND

37:11 - SELL US AT ITS RIGHT. EVERY

37:12 - TIME I GET ON SOCIAL MEDIA ARE

37:15 - GO ON THE INTERNET. I CAN BE IN

37:18 - LEE SEE AN AD FOR A PRODUCT

37:18 - THAT I DIDN'T REALIZE THAT I

37:19 - WANTED. BUT THEN I I FEEL LIKE

37:24 - I NEED IT. AND SO WE'RE NOT

37:25 - NECESSARILY CAPTURING THAT

37:26 - REVENUE OFF OF THOSE DIGITAL AS

37:28 - THE WAY THAT ANOTHER STATE LIKE

37:32 - MARYLAND IS WHO A DIGITAL AD

37:34 - TAX AND IT IS ESTIMATED THAT

37:36 - THEY BROUGHT IN 170 MILLION

37:38 - DOLLARS OVER ABOUT 3 YEARS FROM

37:41 - FROM THAT LEGISLATION, AS I

37:41 - JUST WANT TO KIND OF KNOW FROM

37:43 - YOU, ALL'S OPINION, IF WE WERE

37:46 - TO UPDATE OUR TAX SYSTEM.

37:48 - TO MEET THE DIGITAL AGE OF

37:49 - TODAY. HOW MIGHT THAT ACTUALLY

37:50 - IMPACT OUR REVENUE COMING INTO

37:55 - THE COMMONWEALTH? LET OUR

37:55 - SECOND EFFORT. MANY OF TAX

37:58 - POLICY ANSWER THIS.

38:10 - IT'S ALWAYS THAT MIKE.

38:14 - NOW

38:19 - THANK YOU. ALRIGHT, IS THAT

38:22 - BETTER THAN MOST?

38:26 - TO START WITH THE GOOD NEWS

38:28 - IS WE DO TAX A LOT OF DIGITAL

38:29 - COULD SOW. IT'S A GREAT POINT

38:31 - TO

38:32 - BRING UP ACT ANY FOR 2016 MADE

38:36 - SOME CHANGES. WE GET A

38:37 - SIGNIFICANT AMOUNT OF REVENUE

38:38 - CURRENTLY FROM SOFTWARE.

38:42 - AND DIGITAL GOODS. WE DO NOT,

38:43 - AS YOU KNOW, HAVE A SPECIFIC

38:44 - ADVERTISING TAX THE WAY

38:47 - MARYLAND DOES.

38:49 - CERTAINLY IF ONE WERE PROPOSE,

38:50 - WE COULD SCORE IT TO SEE WHAT

38:51 - ADDITIONAL REVENUE IT MIGHT

38:54 - BRING IN.

38:56 - IS THERE ANYTHING THAT THE

38:58 - DEPARTMENT IS CURRENTLY DOING

39:00 - UNDER THE CURRENT LAW? ALL TOO,

39:03 - TO REALIZE ANY OF THE DIGITAL

39:03 - TAX REVENUE. IS THERE ANYTHING

39:06 - THAT YOU ABLE TO DO?

39:08 - YES, WE HAVE PUT OUT

39:09 - EXTENSIVE GUIDANCE ON THE

39:11 - TAXATION OF CAM SOFTWARE.

39:14 - AND SOFTWARE IS TAXABLE

39:15 - THE

39:18 - ALTERING

39:19 - TAXABLE ALTERING TANGIBLE

39:20 - PERSONAL PROPERTY IS ALSO

39:21 - TAXABLE. SO THAT EXTENDS TO

39:23 - SOFTWARE.

39:24 - SO WE PUT OUT GUIDANCE A FEW

39:28 - YEARS AGO AFTER ACT.

39:30 - 842016 AND WE HAVE VERY ROBUST

39:32 - COLLECTIONS CONCERNING AND

39:33 - SOFTWARE AND THE CHANGES TO

39:35 - CAM SOFTWARE.

39:37 - AND ABOUT HOW MUCH REVENUE

39:39 - ESTIMATE BALLPARK DO ARE WE

39:39 - SEEING THAT BRINGING IN EVERY

39:42 - YEAR?

39:44 - ALL PARK LOOKING AT ALL OF

39:46 - E-COMMERCE. IT'S ABOUT IT WAS

39:47 - ABOUT 1.7 BILLION LAST FISCAL

39:49 - YEAR.

39:51 - AND THAT WOULD INCLUDE ONLINE

39:52 - PURCHASES AS WELL AS CAM

39:55 - SOFTWARE.

39:57 - AND DO YOU ALL DO ANY

40:00 - STATISTICS COMPARATIVE TO OTHER

40:02 - STATES WHO ALSO COLLECT THAT?

40:04 - ARE WE ON PAR WITH OTHER STATES

40:06 - OR WE BEHIND OR THERE? I'M

40:07 - TRYING TO FIGURE OUT OTHER

40:09 - MISSED OPPORTUNITIES FOR US

40:11 - WITH THE CURRENT LAW, BUT ALSO

40:15 - US NOT HAVING THE SPECIFIC

40:16 - DIGITAL AD TAX IN PENNSYLVANIA

40:17 - WILL CERTAINLY NOT HAVING A

40:20 - DIGITAL ADVERTISING TAX.

40:21 - WE WE CAN'T COMPARE IN A LETTER

40:23 - FROM THAT.

40:24 - AS FAR AS THE TAXATION OF

40:26 - SOFTWARE GOES, WE ATTEND A LOT

40:29 - OF CONFERENCES FTA IN TC.

40:30 - WE TO ME, WE ALWAYS SEEM TO BE

40:32 - AHEAD OF A LOT OF OTHER STATES.

40:33 - WE HAVE A LOT OF GUIDANCE.

40:36 - WE HAVE A LOT INFORMATION OUT

40:38 - THERE AND IT FEELS LIKE OTHER

40:39 - STATES. LOOK TO US SOMETIMES

40:41 - LIKE HOW DO YOU TAX SOFTWARE?

40:43 - SO I THINK WE'RE DOING A VERY

40:46 - GOOD JOB WITH THE LAW. WE HAVE.

40:49 - AWESOME. THANK YOU FOR YOUR

40:50 - SERVICE. THANK YOU, APPRECIATED

40:51 - THIS ISN'T ONE. AND I REALLY

40:54 - IMPORTANT TO RECOGNIZE THE

40:55 - APPLICATION OF LAWS HAVE BEEN

40:55 - PASSED HERE. WE'RE GOING IN THE

40:56 - MODERN ECONOMY AND THIS IS AN

40:59 - EXAMPLE OF THAT.

41:00 - KEEPING UP WITH CHANGES IS

41:01 - NOT EASY. WHEN YOU'RE MATCHING

41:04 - TECHNOLOGY, THE STATUTES.

41:05 - WITHOUT THE MOVEMENTS THAT

41:05 - THIS IS SOMEBODY ON WITH THE

41:07 - GOVERNOR MADE OVER THE COURSE

41:11 - OF LAST 10 YEARS.

41:11 - THE

41:11 - GENERAL FUND BUDGET. WE SHORT

41:13 - 11 BILLION DOLLARS. THAT'S A

41:16 - CROSS

41:17 - E-COMMERCE. IT STILL PAINS

41:18 - WHICH IS DEFINED AS TANGIBLE

41:19 - PERSONAL PROPERTY WITH DIGITAL

41:21 - ACTIVITY. STREAMING. THESE WERE

41:23 - CHANGES MADE LAW THE LAST 10

41:24 - YEARS. AND SO A LOT HAS TO

41:27 - REALIZE WHICH IS PART OF THE

41:28 - OBVIOUSLY ONE OF THE LARGEST

41:29 - PARTS OF OUR ECONOMY RIGHT NOW

41:31 - ESTIMATED 11 BILLION DOLLARS.

41:35 - THANK YOU, GENTLEMEN.

41:39 - REPRESENTATIVE ALL SUMMER.

41:41 - THANK YOU, MR. CHAIRMAN, MR.

41:42 - SECRETARY, GOOD MORNING TEAM.

41:44 - GOOD MORNING.

41:45 - GOOD TO HAVE YOU HERE TODAY.

41:49 - SOME OF MY CONSTITUENTS WHO

41:53 - ARE ELIGIBLE WRIST RECIPIENTS

41:54 - FOR THE EDUCATIONAL

41:54 - IMPROVEMENT. TAX CREDITS HAVE

41:57 - EXPRESSED.

41:58 - CONCERNS WITH THE LENGTH OF

42:00 - TIME IT TAKES TO PROCESS TAX

42:01 - RETURNS, CLAIMING THE CREDIT.

42:06 - LAST WEEK YOU TESTIFIED BEFORE

42:06 - THE SENATE APPROPRIATIONS

42:09 - COMMITTEE.

42:10 - THAT PROCESSING TIMES HAVE

42:13 - IMPROVED.

42:15 - WHAT STEPS IS YEAR DEPARTMENT

42:16 - TAKEN TO REDUCE PROCESSING

42:19 - TURNAROUNDS.

42:23 - EVEN KNOW THIS. THE ITC IS

42:25 - NOW OVER 600 MILLION DOLLAR

42:28 - PROGRAM.

42:29 - OVER THE PAST YEAR. WE'VE

42:30 - ACHIEVED WHAT IS OUR FASTEST

42:32 - PROCESSING TIME SINCE THE

42:36 - INCEPTION OF THIS CREDIT SOME

42:37 - OF THE THINGS THAT WERE DONE IN

42:39 - COLLABORATION WITH OFFICES HERE

42:43 - AND WHO DID BETTER INFORMATION

42:46 - SHARING ABOUT THE PROVE THE

42:46 - ICY CREDITS TO SEE CROWDS WITH

42:47 - THE CD ON A WEEKLY BASIS.

42:49 - WE WERE NOT. GORDON, ANY

42:53 - COMMUNICATION THAT QUICKLY THAT

42:54 - IS REALLY ESCALATED IN A SELL

42:55 - RATING TO THE POOL PROCESS FOR

42:57 - THE CREDITS THESE ESTABLISHED

43:00 - NOT ONLY BECAUSE OF S CREDITS

43:02 - ASSEMBLY HAS ADVANCED A SPECIAL

43:05 - CREDIT DIVISION WITHIN A PAIR

43:06 - OF INCOME TAXES. SPECIAL CRIME

43:10 - DIVISION, 12 PEOPLE THAT

43:11 - ARE SPECIFICALLY DESIGNATED

43:13 - TO WORK ON THIS CREDIT ALONG

43:14 - WITH THE OTHER CREDITS THAT

43:14 - WERE ADVANCED BY THE ASSEMBLY

43:19 - WE ARE CONTINUING TO.

43:20 - ORNATE WITH OUTSIDE GROUPS ARE

43:23 - ACTUALLY BE THE CASE THAT

43:24 - OUTSIDE GROUPS, THE COMMUNIQUE

43:25 - TIMELINES AND FILING PERIODS

43:27 - AND

43:29 - ON THE OTHER SIGNIFICANT CHANGE

43:30 - WAS THE ALLOCATION REPORT FORM

43:33 - 11.23 AND NOW WE FOLLOW

43:34 - ELECTRONICALLY. SO THE MANUAL.

43:37 - A TIMELINE IT TAKES TO ACTUALLY

43:39 - AND OF THESE FORMS AND PROCESS

43:42 - THEM HAS BEEN HIM CRUISING

43:43 - DIFFERENTLY. SO THOSE CHANGES,

43:46 - I BELIEVE, AND THEY'RE OUR

43:47 - EXPERIENCE SHOWS AN INTERACTION

43:49 - WITH THE ASSEMBLY THAT

43:50 - PROCESSING TIMES HAVE IMPROVED

43:52 - DRAMATICALLY HAVE IMPROVED HOW

43:55 - WE'RE MINISTERING THIS.

43:56 - WHAT FURTHER STEPS EITHER

43:59 - THROUGH THE GENERAL ASSEMBLY OR

44:00 - INTERNALLY THROUGH YOUR

44:02 - DEPARTMENT COULD BE TAKEN TO.

44:04 - FURTHER ENHANCE AND IMPROVE

44:05 - THOSE TIMES INEFFICIENCIES.

44:09 - THE

44:09 - THE BIGGEST ISSUE THAT WE'RE

44:10 - GOING, TIMING OF PRICE FOR

44:11 - PEOPLE WHO WANT THEM DURING

44:14 - THE YEAR. IS THE FILING FOR

44:19 - THE TAX RETURN THAT. THAT

44:22 - CLAIMS A LOT OF THESE ARE

44:23 - CLAIMED BY NOT POINT BY

44:26 - INDIVIDUALS BUT BY ENTITIES

44:27 - WITH A EXTENDED TIME FRAME FOR

44:31 - THAT FILING BEING IN THE FALL.

44:31 - WE CAN'T PROCESS THOSE CREDITS

44:32 - UNTIL THEY'RE ACTUALLY CLAIMED.

44:38 - THE MORE THAT.

44:40 - ARE YOU SICK WHEN NEWS CREDITS

44:41 - AND ACCELERATE THEIR COMPONENT

44:43 - OF IT IN TERMS OF MORE RAPID

44:46 - FALLING OF THE TAX RETURN.

44:47 - AND THERE WAS THERE'S BEEN

44:49 - CONVERSATIONS ABOUT.

44:50 - PROSPECT THAT IF YOU WANT TO

44:53 - HAVE.

44:54 - BE PART OF THIS CREDIT PROGRAM

44:57 - THAT IT SHOULD BE FILED IN THE

44:58 - ORIGINAL DUE DATE THAT SOME OF

44:59 - THESE OBVIOUSLY THE ASSEMBLY

45:00 - DECIDE THAT'S A SIX-MONTH

45:03 - WINDOW.

45:04 - SIX-MONTH WINDOW BETWEEN THE

45:05 - ORIGINAL FILING DATE AND

45:05 - EXTENDED. IF IT'S FILED, THE

45:08 - ORIGINAL DATE AT THAT JUST JUST

45:11 - WITHOUT EVEN DOING ANYTHING

45:12 - AND ALSO ACCELERATE THE

45:15 - MORNING. THE CREDIT BY 6

45:16 - MONTHS.

45:18 - YOU MENTIONED THE IMPROVED

45:19 - COMMUNICATION BETWEEN YOUR

45:22 - DEPARTMENT AND THE C D.

45:26 - MY.

45:31 - MY QUESTION IS. DO YOU TRACK?

45:34 - THE

45:36 - THE TIME.

45:36 - THEN AT THAT, DO YOU TRACK

45:40 - THE

45:40 - TIMELINE TODAY THAT IT TAKES

45:41 - FOR THAT APPROVAL FROM YOUR

45:44 - DEPARTMENT?

45:48 - IF YOU DO.

45:51 - CAN WE GET BACK ON THE EXACT

45:51 - TIME WHEN IT TAKES YOUR MIND?

45:54 - YEAH. THAT WOULD BE FINE.

45:57 - I APPRECIATE THAT.

46:01 - ONE LAST QUESTION ON ANOTHER

46:02 - TOPIC ON LEGALIZE MARIJUANA.

46:04 - I TALKED TO A LOT OF FOLKS IN

46:07 - IN MY DISTRICT, A LOT OF LAW

46:12 - ENFORCEMENT. I'M DA'S.

46:16 - AND MY QUESTION IS REGARDING

46:16 - WHETHER OR NOT YOUR DEPARTMENT

46:20 - HAS CALCULATED THE COSTS

46:21 - TO COUNTIES TO COURT, TO THE

46:24 - LOCAL COURTS, TO OUR.

46:26 - TO THE DA'S AND LOCAL POLICE

46:28 - DEPARTMENTS FOR ENFORCEMENT

46:31 - OF LEGALIZING MARIJUANA.

46:32 - WELL, WE'VE GOT TO THIS POINT

46:33 - IN TIME, WHICH IS OUR

46:35 - RESPONSIBILITY TO THIS THIS

46:36 - PROCESS BUDGETING IS IS TOO.

46:41 - OF FISCAL IMPACTS.

46:43 - I THINK THE REVENUE THAT WOULD

46:44 - COME IN AS A RESULT OF THE

46:47 - EXPANSION OF.

46:48 - CANNABIS TO RECREATIONAL USE.

46:48 - THAT'S WHAT WE'VE DONE AT THIS

46:52 - POINT IN TIME. BUT IF THERE IS

46:53 - AN INTEREST IN US GOING BEYOND

46:54 - THAT AND TRY TO COME UP WITH

46:59 - THE SCHOOL. IMPACTS ARE

47:00 - WAITING TOO OTHER DEPARTMENTS,

47:01 - OTHER AGENCIES. WE WOULD BE

47:03 - HAPPY TO TRY TO BE ABLE TO

47:04 - ACCOMMODATE THAT AT THIS POINT

47:06 - IN TIME ARE THE BUDGETING

47:09 - EXERCISE? I DON, I. WHICH IS

47:13 - ALWAYS ON A STATIC BASIS.

47:13 - HOW MUCH MONEY THE PROPOSAL

47:15 - WILL GENERATE IF THIS ASSEMBLY

47:15 - ADVANCED. THAT'S WHAT WE'VE

47:18 - DONE. THIS.

47:20 - JUST JUST FROM A STATE

47:22 - REVENUE BASE IS NOT ON A LOCAL

47:25 - COUNTY IMPACT BASIS CORRECTLY

47:28 - AND NOT THE NETWORK IS OKAY.

47:29 - THANK YOU, MR. SECRETARY, THANK

47:30 - YOU FOR THE ADDITIONAL TIME,

47:31 - MR. CHAIRMAN, THANK YOU,

47:34 - GENTLEMEN. REPRESENTATIVE

47:35 - GALLAGHER.

47:35 - THANK YOU, CHAIR. THANK YOU,

47:36 - MR. SECRETARY TO ANY TEAM FOR

47:37 - BEING HERE TODAY. CHAIR MISTER

47:39 - CHAIR. I WANT TO SAY ONE I AM

47:41 - NOT A NURSE FROM SCRANTON.

47:42 - I FIGURED I'D GET IT OUT EARLY

47:44 - TODAY.

47:50 - I MR. SECRETARY FIGHTING TAX

47:51 - RENT REBATE PROGRAM IS ONE OF

47:52 - MY FAVORITE PROGRAMS. MY OFFICE

47:56 - DOES HUNDREDS YEAR. AND IN

47:59 - 2023, WE EXPANDED IT CAN YOU

48:00 - HIGHLIGHT SOME OF THE DATA FROM

48:02 - 2020 FOR ANY INFORMATION YOU

48:04 - MIGHT HAVE ABOUT AVAILABLE FOR

48:05 - 2025? THAT PROVIDES INSIGHT

48:09 - TO THE SUCCESS OF

48:12 - THAT EXPANSION, ESPECIALLY I'M

48:13 - SORRY TO BUY THE PROPERTY TAX

48:13 - RENT REBATE INTO AN ESTUARY.

48:15 - SURE. THE

48:17 - EXPANSION. BUT THE PROGRAM

48:18 - BACK TO WHERE IT WAS ORIGINALLY

48:21 - INTENDED TO BE.

48:23 - WE WERE SEEING SIGNIFICANT

48:27 - REDUCTION OF CLAIMANTS OVER OUR

48:28 - EXTENDED PERIOD OF TIME BECAUSE

48:28 - INCOME LEVELS, OBVIOUSLY BASED

48:32 - ON YOUR WORK, I'M NOT BEEN

48:35 - INCREASED FOR MANY YEARS.

48:36 - IT WAS ALL RIGHT AROUND MID

48:40 - 300,000 RANGE.

48:42 - AS OF LAST YEAR, WE EXPANDED

48:45 - THAT THE EXPANSION.

48:47 - THE PROCESS SOME 550,000

48:49 - APPLICATIONS. SO WE'RE LOOKING

48:52 - AT.

48:53 - NOT 165,000 TOTAL CLAIMANTS

48:57 - THAT ARE BACK TO WHERE THEY

48:58 - OTHERWISE WOULD BE IF THE

48:59 - INCOMES WERE ADJUSTED FOR

49:00 - INFLATION OVER TIME, WHICH IS

49:03 - PROBABLY THE MOST SIGNIFICANT

49:04 - CHANGE HERE IS THAT THOSE WHO

49:05 - QUALIFY NOW WILL NOT DROP OFF

49:08 - JUST BECAUSE OF INFLATION.

49:09 - WE ARE. WE'RE LOOKING AT THIS

49:13 - POINT IN TIME.

49:14 - 316 MILLION DOLLARS TO BE

49:15 - ALLOCATED TO OVER 500,000

49:18 - CLAIMS, WHICH IS A LOT HIGHER

49:18 - THAN IT WAS BEFORE THE

49:21 - EXPANSION.

49:25 - SO IS THERE A CEILING OF A IN

49:26 - THE COMMONWEALTH THAT WILL BE

49:27 - ELIGIBLE THAT ARE APPLYING FOR

49:28 - IT? WE HAVE NUMBERS ON TO THAT.

49:34 - THE CEILING IS IS BASED ON

49:37 - INCOME OBVIOUSLY AND

49:38 - IS IT POSSIBLE THERE'S FOLKS

49:41 - OUT THERE THAT? WOULD QUALIFY

49:45 - AND HAVE AN ABSOLUTE WE THINK

49:45 - WE'RE HAD ITS RATING THROUGH

49:48 - OUR.

49:50 - OUR MEDIA WHO ARE EVENTS

49:51 - THROUGH YOUR COLLECTIVE

49:53 - ACTIVITY THE VAST MAJORITY OF

49:56 - FOLKS WHO WOULD QUALIFY BUT IN

49:59 - TERMS OF CONTINUE TO EXPAND OUR

50:00 - FOOTPRINT, CUSTOMER SERVICE

50:04 - WE'RE STARTING TO DO SOMETHING

50:05 - THAT HAS BEEN DONE IN THE PAST

50:05 - AND THAT IS NOT ASSUME THAT

50:08 - FOLKS WHO QUALIFY WILL LIE

50:10 - ACTUALLY REACHING OUT TO

50:11 - POPULATIONS THAT EVENTUALLY

50:13 - HAVE NOT QUITE YET. WE OKAY

50:15 - WITH THEM DIRECTLY AND TELLING

50:16 - THEM IT'S POSSIBLE THAT YOU

50:17 - MAY QUALIFY FOR THIS. YOU MIGHT

50:21 - WANT TO WATCH WARREN BUFFETT

50:22 - AND THERE ARE A TO Z

50:22 - COOPERATION WITH THE DEPARTMENT

50:25 - OF HUMAN SERVICES. THEY ARE

50:26 - SENDING OUR CORRESPONDENTS TO

50:29 - THEIR

50:30 - POPULATIONS. MEDICAID AND OTHER

50:31 - POPULATIONS THAT COULD POSSIBLY

50:32 - QUALIFY FOR THIS PROGRAM.

50:34 - SO

50:37 - I LIKE WHAT IS THE NORMAL

50:37 - COMMUNICATION FROM THE TAX

50:38 - COLLECTOR? AND THAT IS YOU

50:40 - ALWAYS SOME.

50:42 - WE'RE TRYING TO DO. EXPAND THAT

50:44 - TO. I'VE BEEN A CASE WITH FOLKS

50:44 - THAT ARE BENEFITS OUT THE TAX

50:47 - COLLECTOR'S ADMINISTERING IF

50:48 - YOU WILL NOT RECEIVE THE

50:49 - BENEFIT FOR ANY, YOU MAY WANT

50:49 - TO SORT TRYING TO SPEND.

50:52 - WE DO AS WELL.

50:53 - NOW THAT'S WONDERFULLY HERE

50:54 - BECAUSE WITH RISING HOUSING

50:56 - COSTS ARE RENTAL PRICES IS SUCH

50:57 - A GREAT PROGRAM IS BECOMING

50:59 - MORE AND MORE IMPORTANT TO OUR

51:00 - THANK YOU SO MUCH, MISTER

51:01 - SECRETARY. THANK YOU. CHAIR.

51:03 - THANK THE GENTLEMAN.

51:04 - REPRESENTATIVE FLOOD. GOOD

51:06 - MORNING, MR. SECRETARY, THANK

51:10 - YOU FOR BEING HERE. THE MINIMUM

51:12 - WAGE ADVISORY BOARD PUBLISHES

51:14 - AN ANNUAL REPORT. AN ANNUAL

51:15 - REPORT.

51:16 - ANALYZING THE MINIMUM WAGE IN

51:17 - PENNSYLVANIA EACH. ARE YOU

51:18 - FAMILIAR WITH THAT REPORT?

51:22 - I AM NOT NOW.

51:24 - IT IN THE ANALYSIS FOR 2025.

51:24 - THAT WAS RELEASED JUST DAYS

51:28 - AGO. IT FOUND THAT 81.4% OF

51:30 - ALL WAGE AND SALARY WORKERS

51:32 - WERE PAID AT OUR HOURLY RATE

51:35 - THAT EXCEEDED $15 PER HOUR IN

51:36 - THE COMMONWEALTH, WHICH IS AN

51:38 - INCREASE OF 3,000 EMPLOYEES

51:42 - OVER 2024. AND CONVERSELY, JUST

51:45 - 7.8% WERE PAID AT LESS THAN $12

51:49 - PER HOUR AND 2025. A DECREASE

51:50 - OF NEARLY 70,000 EMPLOYEES IN

51:53 - 2024.

51:56 - THE ANALYSIS FURTHER GOES ON TO

51:58 - STATE THAT PENNSYLVANIA'S

51:59 - MEDIAN WAGE ROSE TO $20 AND

52:02 - $0.95 AN HOUR WHICH A NOMINAL

52:06 - INCREASE OF $0.95 FROM 2024.

52:09 - WORKERS EARNING MINIMUM WAGE OR

52:12 - LESS REPRESENTED. 1.4% OF

52:15 - HOURLY WORKERS OR JUST 0.7%

52:18 - OF ALL WORKERS, BOTH SHARES

52:21 - DECLINED OVER THE YEAR, WHICH I

52:22 - THINK IS IN A FULL GYM POINT

52:25 - TO MAKE THESE INCREASES ARE

52:27 - A TRUE TESTAMENT TO

52:28 - PENNSYLVANIA BUSINESSES

52:28 - PROVIDING FOR THEIR HARD

52:30 - WORKING.

52:31 - EMPLOYEES WITHOUT THE

52:33 - INTERFERENCE OF GOVERNMENT,

52:35 - WHICH IS SOMETHING THAT THE

52:37 - SECRETARY OF DHS HAD JUST

52:38 - INDICATED LAST WEEK IN THE

52:40 - HEARINGS RIGHT BEFORE US.

52:44 - WITH THAT SAID, THE ANALYSIS

52:46 - PROVIDED BY YOUR DEPARTMENT FOR

52:47 - TODAY'S HEARING. ESTIMATES

52:49 - ESTIMATES THAT THE FISCAL

52:49 - IMPACT OF AN INCREASE OF THE

52:54 - STATE MINIMUM WAGE WOULD

52:54 - GENERATE 530.5 MILLION DOLLARS

52:56 - IN THE UPCOMING FISCAL YEAR

52:59 - LAST YEAR. YOUR DEPARTMENT

53:00 - ESTIMATED THAT THE GOVERNOR'S

53:01 - PROPOSED PROPOSAL, WHICH IS THE

53:04 - SAME FOR

53:06 - THIS YEAR, WOOD HAS GENERATE

53:09 - AND 51.5 MILLION DOLLARS.

53:10 - IT WOULD SEEM TO ME, MISTER

53:12 - SECRETARY, THAT IF LESS

53:14 - INDIVIDUALS, WE'RE LEARNING

53:15 - MINIMUM WAGES YEAR OVER YEAR.

53:21 - AND THE LABOR MARKET IS ALREADY

53:22 - PAYING WAGES CLOSER TO $20 AND

53:26 - $0.95 PER HOUR. THE NUMBER AND

53:27 - OVERALL IMPACT OF THE PROPOSED

53:29 - INCREASES WOULD BE LESS THIS

53:30 - YEAR THAN IT WAS LAST YEAR.

53:35 - IF NOT HIGHER. SO CAN YOU

53:38 - PLEASE HELP ME UNDERSTAND AND

53:41 - STUFF? I'M STILL LOOKING FOR

53:41 - CLARIFICATION ON THE CURRENT

53:42 - CYCLES NUMBER. BUT IF YOU LOOK

53:45 - OVER TIME.

53:46 - THE AMOUNTS THAT ARE BEING

53:49 - ESTIMATED 4.

53:52 - 27.282029 ARE LESS.

53:55 - AND COMMITTED TO PRETTY

53:55 - CONSISTENT FOR 2627. IT'S

53:56 - PRETTY MUCH PRETTY MUCH THE

53:59 - SAME NUMBER.

54:02 - A 27.28.28 TO 29. WHEN FULLY

54:04 - IMPLEMENTED NUMBER IS LOWER

54:05 - BECAUSE THE NUMBER OF MINIMUM

54:08 - WAGE WORKERS

54:09 - AS WELL. IT'S IMPORTANT ONE AND

54:11 - THAT WAS IT. THE FACT THAT EVEN

54:13 - KNOW WE'VE SEEN IN LEON VALLEY

54:13 - MARKET ACROSS THE STATE.

54:16 - THOSE ARE.

54:18 - EVEN IN THE FRONTLINE RETAIL

54:23 - SERVICE WORK THAT WAGES WITH

54:23 - THE MARKET IS OFFERING ARE IN

54:26 - EXCESS OF 7 TO 5.

54:28 - DATA STILL SHOWS THERE'S OVER

54:29 - 5,000 FOLKS THAT ARE BEING PAID

54:31 - OR WORKING IN A JOB. WHAT IS

54:34 - IT? 7 TO 5 AND THIS ASSEMBLY

54:39 - HAS NOT ADDRESS.

54:42 - AND THE WAVES SINCE 2009, I

54:45 - BELIEVE AS A NUT. JUST A TIP

54:48 - WAY SINCE 1997.

54:53 - IF WE JUST JUST THE THE 7 TO 5

54:55 - INFLATION WOULD BE AT THIS

55:00 - POINT TIME CLOSE TO 50 I ALWAYS

55:01 - BELIEVE THAT THAT WAS THE

55:02 - ASSUMPTION IN THIS THAT WAS

55:03 - SUPPOSED TO PROVIDE A MINIMUM,

55:05 - A STANDARD OF LIVING FOR FOLKS.

55:09 - IT'S POSTED, COMMUNICATE TO THE

55:10 - PUBLIC WHAT THE MINIMUM AMOUNT

55:13 - SOMEONE'S LABOR IS WORTH.

55:14 - SO IT DOESN'T MAKE SENSE.

55:14 - NEVER MADE SENSE TO ME THAT

55:17 - WE JUST.

55:18 - I DID NOT ADDRESS THIS ISSUE

55:19 - FOR A LONG PERIOD OF TIME.

55:20 - AND NOW'S THE TIME. AGAIN A

55:24 - YEAR THAT WE COULD.

55:25 - JUSTICE SYSTEM TO WHERE I THINK

55:27 - IT WAS ORIGINALLY AND BUT THE

55:31 - EVEN THOUGH THE VAST MAJORITY

55:33 - ARE MAKING ABOVE 7 TO 5, JUST

55:36 - WANT TO RE. WE EMPHASIZE THAT

55:37 - THERE IS STILL 500,000 WE

55:38 - BELIEVE WERE ARE BEING PAID

55:40 - THAT WAY. THANK YOU VERY MUCH.

55:46 - THANKS, JENNA LADY.

55:47 - REPRESENTATIVE MULLINS.

55:48 - THANK YOU, MR. CHAIRMAN AND

55:49 - SECRETARY. IT'S GOOD TO SEE YOU

55:49 - AND YOUR TEAM AGAIN. THANKS FOR

55:52 - BEING HERE. I'M NOT MUCH OF A

55:56 - GAMBLER. I RUNNING FOR OFFICE

55:57 - IS IS A IS A WAGER, THE BIG

56:00 - ENOUGH. BUT A LOT OF PEOPLE

56:03 - DO AND THE PREDICTION MARKET

56:06 - KALSHI SAYS IT RAIDED ALMOST

56:07 - 23 BILLION AND CONTRACTS LAST

56:09 - YEAR AND MADE ALMOST

56:11 - 265 MILLION DOLLARS IN REVENUE

56:13 - WITH 89% OF THAT COMING FROM

56:16 - SPORTS. PURSUANT TO

56:19 - PENNSYLVANIA, SPORTS

56:20 - WAGERING LAWS, EVEN AN

56:23 - UNLICENSED SPORTS WAGER IN THE

56:23 - COMMONWEALTH STILL OWES THE

56:27 - 34% TAX ASSOCIATED WITH THAT

56:29 - ACTIVITY. CAN YOU EXPAND UPON

56:30 - IF THE DEPARTMENT IS IMPOSING

56:32 - THIS TAX?

56:36 - WE ARE NOT. AND IN A POSITION

56:37 - WHERE OPPOSING IT, THIS IS A

56:40 - VERY FUN.

56:44 - RELATIVELY NEW PART OF THE

56:45 - GAMING MARKET. IT'S VERY FLUID

56:46 - RIGHT NOW. A LOT OF

56:48 - CONVERSATIONS IN THE THE OTHER

56:50 - DIVISION OF GOVERNMENT.

56:53 - SOMETHING THAT WE.

56:55 - WELL, WE'LL NEED TO WORKING

56:57 - WITH THE ASSEMBLY TO TAKE OVER

57:00 - TIME A PROACTIVE APPROACH ON

57:02 - JUST BECAUSE

57:05 - WE HAVE A GAMING PRODUCT THAT

57:06 - WE WE HAVE AN INPUT ACT THAT

57:08 - AGAIN IS GOING TO BE PRESSURED

57:09 - BY ANOTHER GAMING ACTIVITY IN

57:12 - THE COMMONWEALTH. THAT, AS YOU

57:14 - SAID, THE VAST MAJORITY IS SOME

57:16 - MORE TO WHAT'S BEING OFFERED

57:17 - AND WHAT IS NOW ILLEGAL

57:17 - ACTIVITY. AND THAT IS SPORTS

57:21 - WORDS BETTER

57:21 - THE FACT THAT WE'VE GOTTEN TO

57:23 - A POINT.

57:26 - WHERE?

57:28 - JAMIE ACTIVITY AND THE PRICE

57:29 - OF GAME INTO. WE'RE CONSIDERED

57:32 - SECURITIES.

57:33 - AND ARE NOT REGULATED BY STATE

57:34 - GOVERNMENT AND ARE REGULATED

57:38 - BY THE SEC.

57:39 - TATE SAYS BEYOND WHAT WE'VE

57:40 - NEVER EVER WOULD HAVE EXPECTED

57:44 - WHEN FIRST KIND OF US SO.

57:46 - WE'RE GOING TO TAKE A PROACTIVE

57:48 - APPROACH. MAKE SURE WE DO THIS

57:49 - RIGHT BECAUSE IT'S A RELATIVELY

57:50 - NEW MARKET. YOU SAY HOW MUCH

57:52 - YOU MENTIONED MUCH IS

57:54 - EXPANDING. BUT WE WE INTEND TO

57:57 - MAKE SURE THAT THAT IN REGARDS

57:59 - TO THIS NEW FORM OF GAMING THAT

58:01 - WE SEE WHAT THE BEST

58:01 - LEGISLATIVE REGULATORY

58:04 - STRUCTURE.

58:04 - THANK YOU. AND IF WE CAN, IF

58:05 - WE CAN BE BETTER PARTNERS IN

58:09 - THAT WAY, THE SHY TO. IT WAS

58:09 - OUR HOMEWORK. THANK YOU VERY

58:12 - MUCH.

58:15 - THANK THE GENTLEMAN.

58:18 - REPRESENTATIVE BROWN

58:20 - SECRETARY BROWN IN NOVEMBER OF

58:22 - 2025 THE GOVERNOR SIGNED INTO

58:26 - LAW ACT. 45 WHICH AMONG OTHER

58:28 - THINGS INCLUDED SIGNIFICANT

58:31 - PERMITTING REFORMS.

58:32 - AND LONG BEFORE THE ENACTMENT

58:36 - OF THIS, THERE WAS A LOT OF

58:38 - STRONG ADVOCACY FOR PERMITTING

58:39 - REFORM IS A KEY TO IMPROVING.

58:39 - NOT ONLY BUSINESS OPERATIONS

58:44 - AND ECONOMY, BUT A FISSION SEE

58:45 - AND TRANSPARENCY FOR

58:50 - PENNSYLVANIANS. SO

58:51 - NOW WITH THAT, 45 IT INTENDS

58:53 - TO FURTHER CUT MORE RED TAPE

58:56 - OUT.

58:56 - AND HOPEFULLY GET GOVERNMENT

58:57 - OUT OF THE WAY OF BUSINESS.

59:01 - AS I'M SURE, YOU KNOW, STATE

59:03 - AGENCIES ARE NOW REQUIRED TO

59:04 - DISCLOSE FOR THE PUBLIC ALL

59:08 - PERMITS THAT THEY ISSUE

59:10 - INSTITUTE A PERMIT REVIEW

59:11 - PROCESS TRACKING SYSTEM AND

59:11 - COMPLY WITH CLEAR PERMIT

59:14 - DECISION. TIMELINES.

59:16 - FURTHER STATE AGENCIES HAVE

59:18 - SPECIFIC COMPLIANCE DEADLINES

59:21 - DEPENDING ON THEIR EXISTING

59:22 - PROGRAMS. SO CAN YOU PROVIDE

59:23 - FOR ME? A SHORT SUMMARY OF WHAT

59:27 - YOUR DEPARTMENT IS DOING.

59:27 - TO WORK TOWARD COMPLIANCE OF

59:30 - ACT. 45?

59:30 - EXECUTIVE DEPUTY WEST OF

59:34 - AND GOOD MORNING. YEAH, WE

59:38 - THE MAJORITY OF OUR LICENSES,

59:39 - WHICH IS REALLY WHAT WE WE HAVE

59:42 - MEANT THE

59:43 - MOST OF THROUGH OUR MY POP

59:45 - SOLUTION, OUR ONLINE PORTAL

59:46 - AND TAXPAYERS CAN SEE THE

59:48 - STATUS OF THEIR APPLICATIONS

59:51 - FOR THOSE LICENSES ON THAT

59:54 - PORTAL. THE MAJORITY OF OUR

59:55 - LICENSES ARE TURNED OR LIKE

59:55 - THE LICENSE APPLICATIONS ARE

59:58 - 340 TURNED AROUND WITHIN 5 DAYS.

01:00 - 03.042 SO WE ARE WELL AHEAD OF THE

01:00 - 04.910 GAME AND COMPLIANCE WITH THAT

01:00 - 05.778 ACT AND THE ONES THAT ARE

01:00 - 06.479 OUTSIDE OF THAT, WE'RE WORKING

01:00 - 09.214 TO ENSURE THOSE THINGS ARE

01:00 - 11.216 INCLUDED AS WELL. WE WE ARE IN

01:00 - 14.286 COMPLIANCE OF THE MAJORITY OF

01:00 - 14.753 IT ARE AT HOME.

01:00 - 15.355 SO WHAT WOULD YOU SAY?

01:00 - 20.359 YOUR AFFECTIVE MISS RATE IS?

01:00 - 21.061 AND TERMS OF A REA, I'M NOT

01:00 - 25.130 SURE. BUT AGAIN, THE MAJORITY

01:00 - 27.066 OF OURS ARE TURNED AROUND

01:00 - 28.100 WITHIN 2 BUSINESS DAYS. AS MANY

01:00 - 29.201 AS 5 BUSINESS DAYS. BUT THE

01:00 - 30.136 MAJORITY ARE 2 BUSINESS DAYS.

01:00 - 33.305 SO I THINK OUR TURNAROUND TIME

01:00 - 35.407 IS PRETTY SATISFACTORY.

01:00 - 37.476 IN PARTICULAR, WE KNOW THAT

01:00 - 39.311 THE GOVERNOR'S OFFICE A

01:00 - 41.347 TRANSFER TRANSFORMATION AND

01:00 - 42.048 OPPORTUNITY RECENTLY MADE LIVE

01:00 - 44.550 ON THEIR WEB SITE. THE LIST

01:00 - 48.487 OF PERMITS AVAILABLE.

01:00 - 49.155 AND SO NOW THE NEXT STEP FOR

01:00 - 53.225 AGENCIES IS THE TRACKING

01:00 - 55.661 SYSTEM. SO CAN YOU.

01:00 - 56.395 THESE DETAIL FOR US

01:00 - 57.063 SPECIFICALLY THAT THE STEPS

01:00 - 00.132 THAT YOUR AGENCY TOOK TO

01:01 - 01.734 COMPILE A LIST.

01:01 - 03.402 I MEAN, WE'VE BEEN GATHERING

01:01 - 04.070 THE DATA FOR A COUPLE YEARS

01:01 - 08.040 NOW AND CONJUNCTION WITH THE

01:01 - 10.542 OFFICE OF TRANSFORMATION.

01:01 - 12.378 AND IT'S BEEN A MANUAL PROCESS.

01:01 - 13.046 NOW WE WE HAVE IT SET UP TO

01:01 - 15.581 PROVIDE THAT THEY DON'T WANT A

01:01 - 17.650 MORE

01:01 - 20.586 REGULAR BASIS. WE TRACK AGAIN

01:01 - 21.987 WITHIN OUR OUR TAX SYSTEM AS

01:01 - 22.622 WELL AS OUR ONLINE PORTAL.

01:01 - 27.326 SO TODAY IS READILY AVAILABLE

01:01 - 28.927 FOR US. OKAY, GOOD.

01:01 - 31.030 I WANT TO SWITCH GEARS A

01:01 - 32.831 LITTLE BIT. MISTER SECRETARY ON

01:01 - 33.866 PAGE H 107, OF THE GOVERNOR'S

01:01 - 37.036 BUDGET RELATING TO PROPERTY

01:01 - 37.871 TAX RELIEF FUND.

01:01 - 43.809 HE'S PROPOSING TO PROVIDE ONE.

01:01 - 44.477 0, 5, 7 BILLION IN RELIEF TO

01:01 - 46.945 PENNSYLVANIA, HOMEOWNERS NEXT

01:01 - 48.347 FISCAL YEAR.

01:01 - 50.382 WELL, I CERTAINLY WELCOME THIS

01:01 - 51.483 RELIEF. IT APPEARS AS THOUGH

01:01 - 52.318 THE FUND WILL STILL END WITH

01:01 - 55.387 THE BALANCE OF OVER 2 BILLION

01:01 - 57.189 DOLLARS.

01:01 - 57.857 EVEN AFTER THE FUN DISPERSED

01:01 - 02.728 DISBURSEMENTS. IS THAT CORRECT?

01:02 - 05.764 CONFIRM THAT NUMBER. FRANCE WAS

01:02 - 06.166 THE BALANCE.

01:02 - 10.536 OKAY? WELL, IF SO, IF THERE

01:02 - 11.271 IS A BALANCE COULD MORE

01:02 - 14.373 PROPERTY TAX RELIEF BE AFFORDED

01:02 - 18.343 TO?

01:02 - 20.446 HOMEOWNERS WITH SUCH A HEALTHY

01:02 - 21.114 ENDING BALANCE DOING IT FOR

01:02 - 24.683 FURTHER ANALYSIS FORECASTS A

01:02 - 25.652 PACE IS THE OUT YEARS

01:02 - 27.319 WE'VE ONLY BEEN AT A BILLION

01:02 - 28.021 DOLLARS OVER THE LAST SEVERAL

01:02 - 33.792 YEARS IS THE HIGHEST IT'S EVER

01:02 - 34.093 THE

01:02 - 34.928 ABILITY THROUGH ABOUT THAT.

01:02 - 37.329 WE DEPEND ON THIS

01:02 - 40.299 SUSTAINABILITY OF THAT. THE

01:02 - 40.934 FUND ONE THING THE FUND IS

01:02 - 42.868 DOING ALSO AND IT IS PAYING

01:02 - 45.070 FOR THE PROPERTY TAX RELIEF

01:02 - 45.772 AND THEY PROBABLY TAX AND RENT

01:02 - 48.273 REBATE SYSTEM, TOO. SO IT'S

01:02 - 50.342 NOT ONLY PROVIDING FOR THE

01:02 - 52.177 HOMEOWNERS REALLY PUT THAT AS

01:02 - 52.845 WELL. WE HAVE TO BE CAREFUL

01:02 - 53.580 THAT WE DON'T OVER STRIPPED THE

01:02 - 58.083 CAPACITY THIS FUND. SO WITHOUT.

01:02 - 58.852 DOING A

01:02 - 01.987 FORECASTING IN THE OUT YEARS.

01:03 - 04.022 I THINK THAT WE ARE.

01:03 - 04.991 WITH A BILLION IN IOUS THAT

01:03 - 06.925 WERE ON THE HOMER SIDE,

01:03 - 13.465 316 MILLION ON THE CUT TAX RENT

01:03 - 14.367 REBATE SIDE. I IT IS. AT A

01:03 - 16.802 POINT WHERE THE IT'S ALLOWING

01:03 - 17.470 FOR MOST RELIEF AND ALLOWING

01:03 - 20.739 FOR THE SUSTAINABLE IN THE FUN.

01:03 - 21.407 BUT IF THERE IS A SURPLUS,

01:03 - 25.144 IT'S SOMETHING YOU WOULD LOOK

01:03 - 28.747 INTO. YES. THANK YOU.

01:03 - 30.749 THANK THE GENTLE LADY,

01:03 - 31.350 REPRESENTATIVE MALAGARI.

01:03 - 32.017 THANK YOU, MR. CHAIRMAN AND

01:03 - 32.719 THANK YOU. SECRETARY BROWN,

01:03 - 34.086 YOUR ENTIRE TEAM FOR BEING HERE

01:03 - 36.655 TODAY AND FOR YOUR WORK AND

01:03 - 37.756 GETTING PREPARED FOR TODAY.

01:03 - 39.625 I HAVE A COUPLE QUESTIONS.

01:03 - 40.260 I WANT TO START OFF WITH A

01:03 - 42.561 QUESTION OF THE OFFICE OF THE

01:03 - 43.196 TAXPAYER RIGHTS ADVOCATE.

01:03 - 46.498 THAT'S AN IMPORTANT RESOURCE

01:03 - 47.133 WITHIN THE DEPARTMENT FOR

01:03 - 48.934 TAXPAYERS. CAN YOU TALK A

01:03 - 49.569 LITTLE BIT ABOUT WHAT THE

01:03 - 52.104 OFFICE DOES AND HOW IT SERVES

01:03 - 55.073 TAXPAYERS?

01:03 - 57.776 THIS OFFICE, IT DATES BACK TO

01:03 - 58.444 1998. IT WAS ESTABLISHED BY

01:03 - 00.846 WORKING THIS ASSEMBLY WAS NOT

01:04 - 01.547 SOMETHING THAT THE DEPARTMENT

01:04 - 02.248 REVENUE AND ON ITS OWN. IT WAS

01:04 - 06.185 DONE BY STATUTE AS A MEANS TO.

01:04 - 06.853 SUPPORT FOR THOSE FOLKS THAT

01:04 - 09.521 MIGHT NOT FIT WITHIN JUST THE

01:04 - 11.957 NORMAL PROCESS OF COMPLIANCE

01:04 - 16.061 AND ENFORCEMENT GIVING SOMEONE

01:04 - 19.131 ANOTHER AVENUE TO ADDRESS THEIR

01:04 - 20.365 CONCERNS. AND

01:04 - 21.333 THIS IS WE'RE IN THIS OFFICE

01:04 - 22.035 HAS BEEN THIS IS AN

01:04 - 25.103 UNDERSTATEMENT, HAS BEEN

01:04 - 26.038 TREMENDOUSLY SUCCESSFUL

01:04 - 26.739 META CASES THAT HAS BEEN DOING

01:04 - 31.276 EVERY MONTH CONTINUES TO EXCEED

01:04 - 33.412 100 FOR THE LAST 16 MONTHS.

01:04 - 34.246 THEY'VE HAD 2000 CASES THAT

01:04 - 34.948 WERE CLOSED IN THE PAST YEAR,

01:04 - 39.051 30,000 CASES OVER THE PERIOD

01:04 - 43.755 OF TIME OF THE THE WORK OF THE

01:04 - 44.423 OF THE OFFICE AND ALSO ALSO

01:04 - 45.158 SUPPORTS WHAT'S VERY IMPORTANT,

01:04 - 46.758 THE FIELD. AND THAT'S OUR LOW

01:04 - 48.927 INCOME TAX CUTS. WE'VE BEEN

01:04 - 51.096 VERY SUCCESSFUL IN WORKING WITH

01:04 - 51.798 3 LAW SCHOOLS IN THE STATE, MS

01:04 - 54.266 ACCORDING UNIVERSITY AND 5

01:04 - 55.267 OTHER.

01:04 - 58.370 COMMUNITY-BASED ORGANIZATIONS

01:04 - 00.272 TO HELP FOLKS IN ON THE FRONT

01:05 - 01.074 LINES WITH TAX CONTROVERSIES,

01:05 - 07.279 A PAYMENT PLAN ISSUES, THINGS

01:05 - 07.913 LIKE THAT. SO IT IS DOZEN

01:05 - 08.614 ADDITIONAL FAST, AN IMPORTANT

01:05 - 09.249 FACET OF THE DEPARTMENT OF

01:05 - 11.750 REVENUE'S INFRASTRUCTURE TO

01:05 - 14.119 HELP.

01:05 - 14.786 FOLKS NAVIGATE A SYSTEM THAT

01:05 - 15.454 OFTENTIMES SOMETIMES CAN BE

01:05 - 16.022 DIFFICULT THAN EVER. I

01:05 - 17.689 APPRECIATE THAT. AND THANK YOU

01:05 - 18.790 FOR THAT.

01:05 - 20.626 MY NEXT QUESTION IS, WHAT

01:05 - 21.860 STEPS HAS THE DEPARTMENT TAKEN

01:05 - 22.562 IN ORDER TO REDUCE THE NUMBER

01:05 - 25.530 OF VACANCIES WITHIN THE

01:05 - 26.265 DEPARTMENT? WOULD HAVE YOU BEEN

01:05 - 26.566 DOING?

01:05 - 29.134 IF WE PASS ON TO OUR DEPUTY

01:05 - 30.068 ADMINISTRATION, THANK YOU.

01:05 - 30.803 I GOOD MORNING AND THANK YOU.

01:05 - 32.137 THIS IS SOMETHING I'VE BEEN

01:05 - 33.839 VERY PROUD OF THE WORK OF OUR

01:05 - 36.775 AGENCY OVER THE PAST COUPLE

01:05 - 38.844 YEARS. SO AS OF LAST WEEK, WE

01:05 - 41.813 ARE DOWN 256 VACANCIES AS OF

01:05 - 43.849 8.6% OF OUR COMPLIMENT. AND TO

01:05 - 45.851 PUT THAT INTO PERSPECTIVE, OUR

01:05 - 49.554 ALL-TIME HIGH WAS BACK IN

01:05 - 51.390 JANUARY OF 23 WITH 261. THAT

01:05 - 52.025 WAS 14 AND A HALF PERCENT.

01:05 - 55.394 SO ARE UNDER 10% IN TERMS OF

01:05 - 57.095 VACANCY RATE AND OF THOSE

01:05 - 59.131 VACANCIES. WE ONLY HAVE ABOUT

01:05 - 01.533 55. THERE ARE NOT IN THE HIRING

01:06 - 03.969 PROCESS OR ON HOLD FOR

01:06 - 04.570 REALLOCATIONS. SO WE ARE

01:06 - 07.105 TURNING AROUND WHAT WE HAVE

01:06 - 10.008 VERY QUICKLY. WE'VE BEEN ABLE

01:06 - 10.710 TO REDUCE OUR TIME TO FILL BY

01:06 - 12.744 AGAIN, JUST PUTTING FOCUS ON

01:06 - 14.646 EACH STEP OF THE HIRING

01:06 - 16.415 PROCESS. AND WE REDUCE THAT

01:06 - 18.750 TIME TO FILL FROM 73 DAYS.

01:06 - 20.519 AND 22 TO JUST 46 DAYS AT THE

01:06 - 22.688 END OF LAST CALENDAR YEAR.

01:06 - 23.489 SO THAT'S LIKE 27 DAYS THAT

01:06 - 25.524 WE'VE SHORTENED BETWEEN BEING

01:06 - 26.225 ABLE TO GET SOMETHING POSTED.

01:06 - 29.361 AN EMPLOYEE IN THE DOOR AND

01:06 - 29.862 STARTING TO WORK.

01:06 - 33.465 SO TURNER IS STILL A CHALLENGE

01:06 - 34.099 FOR US. WELL, WE HAVE BEEN

01:06 - 34.901 HIRING AND BRINGING IN

01:06 - 38.704 EMPLOYEES. WE ARE STILL SEEING

01:06 - 39.539 QUITE A BIT. A LARGE NUMBER OF

01:06 - 41.873 PEOPLE LEAVING. AND MOST OF

01:06 - 43.842 THAT IS RETIREMENTS. 521% OF

01:06 - 45.644 SEPARATIONS LAST YEAR WERE

01:06 - 46.245 RETIREMENTS AND ONE IN 5

01:06 - 47.346 EMPLOYEES IN THE DEPARTMENT OF

01:06 - 51.149 REVENUE CURRENTLY ARE ELIGIBLE

01:06 - 51.850 TO RETIRE. SO WE'VE BEEN

01:06 - 52.452 FOCUSING OUR EFFORTS ON

01:06 - 55.454 RETENTION, WHICH, AGAIN, IS

01:06 - 56.521 A LONG-TERM STRATEGY HERE

01:06 - 59.391 THROUGH EMPLOYEE ENGAGEMENT

01:06 - 00.125 SURVEYS. WE HAVE A FORMAL

01:07 - 00.793 MENTORING PROGRAM WITH 2 NEW

01:07 - 03.462 MENTORING PROGRAMS COMING

01:07 - 04.130 ONLINE LATER THIS YEAR. AND

01:07 - 06.932 ALSO LOOKING AT SUCCESSION

01:07 - 08.734 PLANNING TOOLS. SO AGAIN, WE

01:07 - 09.335 CONTINUE TO LOOK TO THE

01:07 - 11.103 LEGISLATURE TO HELP US FUND OUR

01:07 - 12.971 AGENCY AND OUR PEOPLE SO THAT

01:07 - 13.672 WE CAN CONTINUE TO DO OUR GOOD

01:07 - 14.406 WORK.

01:07 - 15.074 WHAT ARE SOME OF THE TOOLS

01:07 - 16.108 THAT YOU'RE DOING TO RECRUIT

01:07 - 19.144 NEW EMPLOYEES? ANY OF THE

01:07 - 20.212 TACTICS?

01:07 - 22.514 SO OUR BUREAU OF AUDITS IS

01:07 - 25.150 PROBABLY THE ONE THAT'S MOST

01:07 - 28.954 ACTIVE AND THE RECRUITING SPACE

01:07 - 29.688 DO GET OUT THERE IN FRONT OF

01:07 - 30.289 SCHOOLS AND A DIFFERENT

01:07 - 33.759 RECRUITING EVENTS TO TO BRING

01:07 - 34.627 PEOPLE IN. WE HAVE BEEN

01:07 - 36.561 PARTNERING WITH THE OFFICE OF

01:07 - 38.697 ADMINISTRATION. THEY'VE BEEN

01:07 - 39.232 DOING LIKE AN ANNUAL

01:07 - 40.565 RECRUITMENT DAY AT THE FARM

01:07 - 42.034 SHOW. WE PARTICIPATED IN THAT

01:07 - 42.702 AND THE PAST SEVERAL YEARS.

01:07 - 46.671 AND WE DO HAVE ONE COMING UP

01:07 - 47.806 AGAIN IN MAY. SO WE DO TRY TO

01:07 - 48.508 GET THE WORD OUT. WE DO OFTEN

01:07 - 50.108 TIMES PARTNER WITH OFFICE OF

01:07 - 52.577 ADMINISTRATION. THEY DO HAVE

01:07 - 55.514 A RECRUITMENT SECTION THAT

01:07 - 56.715 HELPS US TAKE OUR POSITION AND

01:07 - 58.583 GET IT IN FRONT OF THE PEOPLE

01:07 - 59.385 WHO WOULD BE LOOKS LIKE LIKELY

01:07 - 03.255 L'S ELIGIBLE FOR THOSE JOBS,

01:08 - 05.490 WHETHER IT'S THROUGH THEIR

01:08 - 06.125 TOLLS, UNLIKE LINKED IN OR

01:08 - 07.492 DIFFERENT COLLEGES LIKE ALUMNI

01:08 - 08.994 GROUPS, THINGS LIKE THAT.

01:08 - 11.029 SO WE DO LOOK AT THE JOB THAT

01:08 - 13.565 THEY CAN AND THEN TRY TO

01:08 - 14.267 DETERMINE IF WE NEED THAT U.S.

01:08 - 16.268 SPECIAL ASSISTANCE IN TRYING TO

01:08 - 17.602 GET THE WORD OUT MORE BROADLY.

01:08 - 19.204 APPRECIATE THAT. THANK YOU

01:08 - 19.905 FOR YOUR RESPONSES. THANK YOU

01:08 - 20.606 TO YOUR TEAM THINKS SECRETARY

01:08 - 22.507 AND ALSO THANK YOU, MR.

01:08 - 30.531 CHAIRMAN.

01:08 - 31.417 THANK THE GENTLEMEN.

01:08 - 33.752 REPRESENTATIVE NELSON, THANK

01:08 - 34.687 YOU, MR. CHAIR. WELCOME

01:08 - 39.224 SECRETARY EXECUTIVE SECRETARIES

01:08 - 40.725 LIKE THE

01:08 - 41.394 PICK UP IN THE AREA OF THE

01:08 - 42.894 PROPERTY TAX RELIEF FROM AN

01:08 - 45.764 EARLIER QUESTION OR A LITTLE

01:08 - 49.167 BIT CONFUSED. IN THE

01:08 - 49.836 LEGISLATURE CREATED THAT

01:08 - 51.336 PROPERTY TAX RELIEF AND WITH

01:08 - 54.072 THE INTENTION TO PROVIDE

01:08 - 55.640 PROPERTY TAX RELIEF. BUT AT THE

01:08 - 59.478 END OF YOUR LAST ANSWER, IT

01:08 - 00.113 ALMOST SEEMED LIKE YOU ARE

01:09 - 01.146 FEELING THERE'S ENOUGH PROPERTY

01:09 - 02.514 TAX RELIEF GOING ON. AND SO

01:09 - 06.518 WE'RE GOING TO START TO SHIFT

01:09 - 07.219 IN SPEND THAT MONEY MAY BE IN

01:09 - 07.854 DIFFERENT DIRECTIONS. AND

01:09 - 10.088 SPECIFICALLY THE GOVERNOR IS

01:09 - 13.391 IT? AND I DIDN'T SAY THAT

01:09 - 15.527 WHENEVER THAT REFUND IS.

01:09 - 16.028 AND WE TALK ABOUT

01:09 - 17.496 SUSTAINABILITY, YOU KNOW, THAT

01:09 - 18.497 I WOULD THINK WAS INFERRED AND

01:09 - 21.133 THE GOVERNOR WANTS TO TAKE YET

01:09 - 22.001 AGAIN, 30 MILLION DOLLARS FROM

01:09 - 25.370 THE PROPERTY TAX RELIEF FUND

01:09 - 27.072 AND GIVE IT TO FIRE COMPANIES.

01:09 - 29.341 I MEAN, WE ALL SUPPORT OUR FIRE

01:09 - 32.410 COMPANIES, BUT WHY IS THE

01:09 - 35.847 GOVERNOR PITTING?

01:09 - 36.582 FIRE COMPANIES AGAINST PROPERTY

01:09 - 40.218 OWNERS AND A LONGSTANDING SINCE

01:09 - 42.621 THE BEGINNING 2005.

01:09 - 46.591 RELATIVELY MODEST. I WASN'T

01:09 - 46.992 TOLD HOURS.

01:09 - 47.692 ALLOCATE THOSE THOSE DOLLARS

01:09 - 48.227 TO A VERY IMPORTANT

01:09 - 52.497 COMMUNITY-BASED ORGANIZATIONS.

01:09 - 56.101 BUT SINCE THAT POINT TO BE

01:09 - 58.236 CLEAR HERE, BESIDES THAT 34% OF

01:09 - 00.172 THE 52% TAX ON SLOT MACHINES

01:10 - 01.606 OVER A PERIOD OF TIME HAS BEEN

01:10 - 02.308 DESIGNATE SPECIFICALLY FOR ITS

01:10 - 03.942 ORIGINAL PURPOSE. AND THAT IS

01:10 - 07.212 PROPERTY TAXES. AND GIVEN A

01:10 - 10.282 SUCCESS. OF THAT, THOSE

01:10 - 12.851 OPERATIONS.

01:10 - 13.452 THE FIRST TIME SINCE THE

01:10 - 14.886 BEGINNING FOR THE LAST SEVERAL

01:10 - 15.588 YEARS AGO, THE CITY TO BILLION

01:10 - 18.557 DOLLARS. I DON'T WANT TO GIVE

01:10 - 19.258 ANY IMPRESSIONS AT THE THERE'S

01:10 - 22.093 AN OBJECTIVE TO DIVERT THAT

01:10 - 24.930 FUNDING TO ANYTHING

01:10 - 25.597 ELSE. THE AND THEN THE FIRE

01:10 - 26.199 COMPANY VISION THAT YOU

01:10 - 27.465 MENTIONED, WHICH HAS BEEN IN

01:10 - 28.334 SINCE THE BEGINNING. ITS

01:10 - 30.468 SECURE. I'M STILL CONFUSED IF

01:10 - 33.471 THE GOVERNOR IS TRYING TO

01:10 - 35.607 SUPPORT FIRE COMPANIES. I MEAN,

01:10 - 36.474 WE'RE SPENDING 3 BILLION NEW

01:10 - 37.143 DOLLARS ABOUT 3 BILLION NEW

01:10 - 39.511 DOLLARS IN THIS BUDGET. WHY

01:10 - 40.712 NOT JUST TO HELP FIRE

01:10 - 44.316 COMPANIES?

01:10 - 44.983 WHY TAKE FROM THE PROPERTY

01:10 - 45.651 RELIEF AND GENERAL ASSEMBLY

01:10 - 49.721 GENERAL ASSEMBLY, REPUBLICAN

01:10 - 50.456 AND DEMOCRAT FOR OVER 20 YEARS.

01:10 - 52.290 NOW.

01:10 - 54.826 ALONG WITH GOVERNOR SHAPIRO,

01:10 - 55.560 GOVERNOR WEALTH, GOVERNOR ENDOW

01:10 - 55.928 GOVERNOR.

01:10 - 59.431 GOVERNOR AND ALWYN GAINING

01:10 - 01.933 PAST HAS SUPPORTED

01:11 - 02.735 A MODEST AMOUNT COMING FROM

01:11 - 05.003 THE PROPERTY TAX RELIEF AND

01:11 - 05.705 FOR PURPOSES OF SUPPORTING OUR

01:11 - 08.807 FAR, I WOULD SAY 30 MILLION

01:11 - 09.274 DOLLARS IS NOT A

01:11 - 09.942 MODEST AMOUNT THAT RELATIVE

01:11 - 12.410 BILLION DOLLARS. I'D LIKE TO

01:11 - 15.447 SHIFT SIR, OVER TO ANOTHER AREA

01:11 - 17.048 OF EQUAL IMPORTANCE. I MEAN.

01:11 - 20.418 AND THAT IS INHERITANCE TAX.

01:11 - 23.488 YOU KNOW, USED ED MENTIONED

01:11 - 24.422 AGAIN AT

01:11 - 24.990 THE BEGINNING OF YOUR

01:11 - 25.791 TESTIMONY, YOU KNOW, WHICH

01:11 - 27.459 WHICH I AGREE WITH POSITIVE

01:11 - 28.560 SOCIAL OR TAX POLICIES.

01:11 - 31.696 THAT ARE WORTH DOING THINGS

01:11 - 33.632 THAT ARE FAIR. BUT PENNSYLVANIA

01:11 - 36.201 IS ONE OF 5 STATES LEFT WITHIN

01:11 - 38.203 INHERITANCE TAX. YOU KNOW, WE

01:11 - 40.171 WERE TAKING ABOUT 2 BILLION

01:11 - 40.873 DOLLARS FROM GRIEVING FAMILIES

01:11 - 43.441 AND THEN REDIRECTING THAT FOR

01:11 - 45.243 OTHER PURPOSES. YOU KNOW, WE'RE

01:11 - 45.911 WE'RE TRYING TO WORK IN A

01:11 - 49.147 BIPARTISAN MANNER TO BEGIN TO

01:11 - 49.815 STEP DOWN THAT PROPERTY TAX.

01:11 - 51.650 I MEAN, I HEAR IT FROM I WAS

01:11 - 54.119 JUST THIS WEEK TALKING WITH THE

01:11 - 56.354 FAMILY IN GREENSBURG WITH THAT

01:11 - 01.192 $7,000 BILL AGAINST THEIR HOME.

01:12 - 04.129 A FAMILY VETERAN IN ADAMSBURG,

01:12 - 06.231 A VETERAN IN WIND OVER, YOU

01:12 - 07.399 KNOW, THESE FAMILIES, THEY

01:12 - 08.199 EXPERIENCE GRIEF AND THEN THEY

01:12 - 08.868 GET A BILL FROM YOUR OFFICE

01:12 - 14.773 LIKE RIGHT OUT OF THE GATE.

01:12 - 17.309 TREASURY.

01:12 - 21.379 WHAT CAN WE DO TO BEGIN TO STEP

01:12 - 24.382 THAT BACK? LIKE EVEN EXEMPT

01:12 - 25.051 HOMESTEADS SIMILAR TO HOW WE

01:12 - 26.951 DO FARMS THAT AND START TO STEP

01:12 - 29.988 BACK. THIS INHERITANCE TAX

01:12 - 32.057 PROBLEM.

01:12 - 35.193 AND HAVING SERVICES AND WE'VE

01:12 - 36.162 28 YEARS. THE ANSWER THAT

01:12 - 39.097 QUESTION IS A PROPOSAL ON THE

01:12 - 40.432 TABLE TO CONSIDER TO AND THEN

01:12 - 44.803 PARENTS ACCESS. IT EXISTS NOW.

01:12 - 45.438 SO THAT'S HOW WE START. IF

01:12 - 48.173 REPRESENTATIVE IS LOOKING TO

01:12 - 51.242 ADVANCE THAT POLICY OUR TEAM

01:12 - 52.744 WOULD BE VERY HAPPY TO INTERACT

01:12 - 55.347 WITH YOU FOR A REVIEW TO TRY TO

01:12 - 56.015 DETERMINE HOW MUCH IT WOULD

01:12 - 58.950 COST AND WORK WITH YOU TO SEE

01:12 - 59.452 IF WE CAN ADVANCE.

01:12 - 02.087 THANK YOU, MISTER SECRETARY.

01:13 - 05.990 APPRECIATE IT.

01:13 - 07.492 CHAIR THANKS. THE GENTLEMAN

01:13 - 11.529 AND RECOGNIZES REPRESENTATIVE

01:13 - 12.230 MACE. THANK YOU, CHAIR. HAPPY

01:13 - 12.965 WOMEN'S HISTORY MONTH. WELCOME.

01:13 - 15.500 SECRETARY BROWN, THANK YOU FOR

01:13 - 16.168 BEING HERE THIS MORNING.

01:13 - 20.038 PENNSYLVANIA HAS ONE OF THE

01:13 - 21.072 LOWEST CAPITAL GAINS TAXES IN

01:13 - 22.874 THE REGION LOWER THAN NEW

01:13 - 23.442 JERSEY. WEST VIRGINIA,

01:13 - 26.144 DELAWARE, MARYLAND AND NEW

01:13 - 27.612 YORK.

01:13 - 28.314 THE RICHEST MESS OF MAINE'S

01:13 - 31.416 MAKE BILLIONS OFF OF STOCKS AND

01:13 - 33.151 TRUST FUNDS. THAT'S MONEY ON

01:13 - 35.353 TOP OF MONEY AND PAY THE SAME

01:13 - 36.921 INCOME TAXES AS NURSES,

01:13 - 37.623 TEACHERS LIKE EARLY CHILDHOOD

01:13 - 39.858 EDUCATORS, AMBER EAST, U.S..

01:13 - 42.861 WE HAVE A PROPOSAL HERE IN THE

01:13 - 46.531 HOUSE AND THE SENATE TO RAISE

01:13 - 48.600 TAXES ON PASSIVE INCOME.

01:13 - 51.469 HOW CAN WE HOW CAN PASSIVE

01:13 - 53.505 INCOME TAX I FIT INTO THE

01:13 - 55.273 COMMONWEALTH'S BROADER TAX PLAN

01:13 - 55.975 AND HOW ELSE CAN WE RAISE MORE

01:13 - 58.443 REVENUE FROM THE WEALTHY AS

01:13 - 03.081 PENNSYLVANIANS?

01:14 - 06.117 JUST LIKE ANY INITIATIVE.

01:14 - 06.952 I.

01:14 - 08.286 NOW TO BE SOMETHING THAT WILL

01:14 - 08.921 BE DISCUSSED AS PART OF AN

01:14 - 12.390 OVERALL I WAS A STORM AND OUR

01:14 - 16.261 TAX POLICY

01:14 - 18.596 THERE IS LONGSTANDING.

01:14 - 19.597 ISSUES THAT NEED TO BE

01:14 - 20.698 CONSIDERED A MOVE IN RELATION

01:14 - 21.333 TO HAVING A SEPARATE RAID,

01:14 - 22.967 APPLY TO PASS HAVE IN COMMON.

01:14 - 26.771 THAT IS WHETHER IT'S

01:14 - 28.773 CONSTITUTIONAL OR NOT. A COURT

01:14 - 32.076 CASE, THE 70 REALLY FOCUS ON

01:14 - 35.613 THE SUBJECT TO TAXATION.

01:14 - 36.348 NOT THE CLASSES INCOME CLASSES.

01:14 - 40.485 SO THIS IS WHEN NOT DIRECTLY ON

01:14 - 43.555 THAT POINT. WORTH.

01:14 - 44.255 TESTING TO SEE THAT ONE.

01:14 - 44.924 THE SOMETHING I BELIEVE THE

01:14 - 47.892 COURT WOULD HAVE TO APPLY ON

01:14 - 49.093 BASED ON

01:14 - 49.795 CURRENT PRECEDENT. BUT THE

01:14 - 53.097 EXPECTATION IS NOW, IF YOU HAVE

01:14 - 56.167 ONE PERSON, IT'S WORKING MAKING

01:14 - 57.335 $100,000

01:14 - 59.838 TO SOURS. WE HAVE ANOTHER

01:14 - 00.506 PERSON THAT'S MAKING 100,000

01:15 - 02.373 HOURS, 50,000 FROM SOURS,

01:15 - 02.975 50,000 FROM INTEREST AND

01:15 - 06.478 DIVIDENDS. IF THE RATE ON THAT.

01:15 - 07.112 WE'LL HAVE TO BE THE SAME.

01:15 - 09.814 THAT'S THE CURRENT PRESIDENT.

01:15 - 12.450 IF THAT PERSON THAT PERSON

01:15 - 13.152 COULD BE PUT IN DIFFERENT TAX

01:15 - 15.553 SITUATION JUST BECAUSE OF WHAT

01:15 - 19.290 THEY DO.

01:15 - 20.225 THAT POSITION, LONGSTANDING

01:15 - 20.893 SINCE 1971, WOULD HAVE TO BE

01:15 - 25.296 CHALLENGE. THAT'S THE PRIMARY.

01:15 - 26.598 THE REASON WHY JERSEY, NEW YORK

01:15 - 27.299 OTHER STATES HAVE PROGRESSIVE

01:15 - 28.533 SYSTEMS AND WE DON'T BECAUSE

01:15 - 29.134 THEY DON'T HAVE THE SAME

01:15 - 31.369 PROHIBITION OF UNIFORM ANY

01:15 - 34.472 WITHIN THE CONSTITUTION THAT'S

01:15 - 35.407 BEEN APPLIED BY THE COURT.

01:15 - 38.510 A CREATIVE CHALLENGE FOR THE

01:15 - 40.144 CONVERSATION.

01:15 - 40.980 GREAT. THANK YOU FOR THAT

01:15 - 44.716 CONTEXT. I THINK THAT'S HELPFUL

01:15 - 45.651 FOR THE CONVERSATION. BUT

01:15 - 47.385 THERE'S A DIFFERENCE AND TAXING

01:15 - 49.521 WORK VERSUS TAXING WEALTH.

01:15 - 52.490 AND I THINK WE CERTAINLY NEED

01:15 - 53.057 TO EXPLORE THAT IN OUR

01:15 - 53.726 COMMONWEALTH TO AUGMENT AND

01:15 - 56.194 INVEST AND EXPAND THE CRITICAL

01:15 - 59.097 PROGRAMS THAT AT A CRITICAL

01:15 - 59.797 SERVICES THAT ARE PACKED

01:15 - 00.599 IMPACTING PENNSYLVANIANS,

01:16 - 02.433 ESPECIALLY WORKING IN POOR

01:16 - 03.668 PENNSYLVANIANS ALL ACROSS THE

01:16 - 07.739 COMMONWEALTH. MY NEXT QUESTION

01:16 - 09.107 IS 2 YEARS AGO THAT HAS A

01:16 - 09.842 GENERAL ASSEMBLY SIGNIFICANTLY.

01:16 - 11.643 EXPAND IS ONE OF MY FAVORITE

01:16 - 13.578 TOPICS TO TALK ABOUT THE CHILD

01:16 - 17.415 AND DEPENDENT CARE ENHANCEMENT

01:16 - 18.816 TAX CREDIT. THIS CREDIT

01:16 - 22.687 PROVIDES SIGNIFICANT SUPPORT

01:16 - 24.722 TO WORKING FAMILIES ACROSS THE

01:16 - 25.624 COMMONWEALTH. WE KNOW THAT THE

01:16 - 27.392 COST OF CHILDCARE IS CRUSHING

01:16 - 27.927 FAMILIES ACROSS THIS

01:16 - 30.495 COMMONWEALTH. CAN YOU SHARE

01:16 - 32.564 ANY DATA TO INDICATE THE

01:16 - 33.231 SUCCESS OF THE TAX CREDIT SO

01:16 - 33.866 FAR SEEN SOME PRELIMINARY

01:16 - 36.334 NUMBERS, BUT I WOULD LOVE FOR

01:16 - 38.236 YOU TO SHARE HOW THIS CHILD AND

01:16 - 40.371 DEPENDENT CARE TAX CREDIT IS

01:16 - 43.508 IMPACTING WORKING FAMILIES,

01:16 - 45.677 SPECIALLY THOSE WITH SMALL

01:16 - 46.478 CHILDREN JUST PROVIDE THAT

01:16 - 48.279 MEANT. AND SO THAT JUST ADD ON

01:16 - 48.913 TO WHAT YOU'RE WHAT YOU'RE

01:16 - 49.615 DISCUSSING BEFORE. ONE WAY YOU

01:16 - 52.951 CAN HAVE DIFFERENTIALS AND

01:16 - 56.154 ATTACKS POSITION IS THROUGH

01:16 - 56.755 THINGS LIKE THIS THROUGH

01:16 - 59.891 WORKING FAMILIES, TAX CREDIT

01:16 - 04.095 PENDING CARE CREDIT THE ACTION

01:17 - 05.930 WAS TO LOAN INTEREST. THAT

01:17 - 06.632 RESULTS IN MORE MODEST WORKING

01:17 - 10.468 FAMILIES PAYING PERCENTAGE OF

01:17 - 11.169 THEIR OVERALL INCOME. THE TAX

01:17 - 11.804 THEM OFF. YOUR FAMILY SAYS

01:17 - 13.504 THAT'S ONE WAY THAT CAN BE

01:17 - 15.473 DONE. AND THE ASSEMBLY HAS

01:17 - 16.941 ACTED TO DO THAT RIGHT NOW.

01:17 - 17.676 I JUST WAS KIND OF THE ULTIMATE

01:17 - 20.778 TEST FOR NEW COMPLIANCE SYSTEM

01:17 - 21.413 BECAUSE OF THE SIZE OF IT.

01:17 - 26.517 EXPECTING 40,000 BENEFICIARIES.

01:17 - 28.620 TO DISTRIBUTE 193 MILLION

01:17 - 30.388 DOLLARS FOR THIS FISCAL CYCLE.

01:17 - 34.459 AS OF RIGHT NOW, YOU KNOW,

01:17 - 35.260 MARCH, IT'S BEEN OVER

01:17 - 36.894 350,000 RETURNS FILED HONORED

01:17 - 37.996 IN 9 MILLION DOLLARS TOY

01:17 - 39.097 DISTRIBUTOR. IT. SO AS OF RIGHT

01:17 - 42.734 NOW, THIS HAS BEEN A PROGRAM

01:17 - 44.435 THAT'S BEEN A TREMENDOUS, WHICH

01:17 - 46.337 WAS THE BALL. I KNOW THIS

01:17 - 47.472 SUMMER YOURSELF. TREMENDOUS

01:17 - 50.575 BENEFIT WORKING FAMILIES AND

01:17 - 51.243 REALLY THE FIRST ONE.

01:17 - 53.077 TARGETING BENEFIT HARD-WORKING

01:17 - 53.746 FAMILIES AS PART OF OUR TAX

01:17 - 57.682 SYSTEM SINCE ITS INCEPTION.

01:17 - 58.617 BACK IN 1971, DO YOU THINK

01:17 - 00.718 THERE'S OPPORTUNITY TO GROW

01:18 - 02.553 THIS TAX? AND IF SO, HOW COULD

01:18 - 04.589 WE EXPAND IT TO FALL OUT OF

01:18 - 05.156 FUNCTION OF BUDGETARY

01:18 - 05.891 PRIORITIES OF THIS ASSEMBLY AND

01:18 - 08.559 THE GOVERNOR RIGHT NOW IT'S UP

01:18 - 12.597 10% OFFSET AGAINST WITH THE

01:18 - 14.399 FEDERAL CREDIT ALLOWS. I USE

01:18 - 15.134 THE CREDIT FOR DEPENDENT CARE

01:18 - 18.936 STARTED 30% OF THE FEDERAL

01:18 - 20.271 CREDITS NOW 100. SO YOU EXPAND

01:18 - 22.006 CHUN IS SOMEWHERE BETWEEN 10%

01:18 - 23.975 100%. IF YOU'RE BUILD OFF OF

01:18 - 27.045 THE FEDERAL EARNED INCOME TAX

01:18 - 29.013 CREDIT, WHICH IS.

01:18 - 29.714 REALLY THE BEST WAY TO GO

01:18 - 30.382 BECAUSE OF THOSE OFFICES AND

01:18 - 33.751 PEOPLE ALREADY KNOW THAT'S VERY

01:18 - 34.786 POPULAR. THAT WORKS WELL, THAT

01:18 - 35.486 WILL BE SOMETHING THAT THIS IS

01:18 - 36.455 SOMETHING ALL THE GOVERNOR

01:18 - 38.756 ASKED THE SIDE IN TERMS WAR

01:18 - 39.624 OVERALL BUDGETING PRIORITIES.

01:18 - 40.292 MY TIME IS UP. THANK YOU SO

01:18 - 42.994 MUCH. SECRETARY BROWN. THANK

01:18 - 43.661 YOU. CHAIR.

01:18 - 44.229 THANKS, JENNA. LEADING

01:18 - 46.431 RECOGNIZES REPRESENTATIVE

01:18 - 52.804 RUGBY. THANK YOU, CHAIRMAN.

01:18 - 53.439 MORNING SECRETARY THROUGH

01:18 - 54.706 DECEMBER 31ST. A LOTTERY

01:18 - 56.574 COMPARED A STATEMENT SHOWS

01:18 - 01.045 TOTAL LOTTERY GAME CELLS ARE UP

01:19 - 02.980 113.4 MILLION OR 4.2%

01:19 - 05.516 COMPARISON TO 2024. IN

01:19 - 08.119 DECEMBER, TRADITIONAL GAME

01:19 - 08.754 TICKET SALES ARE UP 106.1

01:19 - 09.954 MILLION.

01:19 - 11.889 WE'RE 4.7% THROUGH DECEMBER.

01:19 - 12.591 THAT'S WHERE I LOTTERY CELLS,

01:19 - 15.760 WHICH WERE UP 7.3 MILLION OR

01:19 - 17.462 1.6. LOOKING DEEPER INTO THE

01:19 - 19.697 TRADITIONAL GAME SELLS DATA

01:19 - 22.767 SCRATCH OFF CELLS DOWN.

01:19 - 24.836 NEGATIVE 2.1 MONITOR GAMES DOWN

01:19 - 30.575 A NEGATIVE 2.4 AND THE SMART TO

01:19 - 31.276 PLAY DOWN NEGATIVE 92%. THESE

01:19 - 34.579 ARE ALL DOWN WHILE FAST PLAY

01:19 - 36.147 WAS UP 9.6%. AND THE DRAW

01:19 - 39.751 GRAIN, STRONG GAMES. I'M SORRY.

01:19 - 41.185 GREW 20.6%.

01:19 - 42.054 SCRATCH OFF GAMES OF THE

01:19 - 44.088 LARGEST SELLER AND HISTORICALLY

01:19 - 45.957 REPRESENT MORE THAN 70% OF ALL

01:19 - 48.726 TRADITIONAL GAME TICKET SALES

01:19 - 50.695 THROUGH DECEMBER. SCRATCH OFF

01:19 - 51.963 CELLS ARE DOWN. 31.2 MILLION

01:19 - 55.199 REPRESENTING ONLY 62.6% OF THE

01:19 - 56.135 TRADITIONAL GAME CELLS. CAN YOU

01:19 - 58.503 EXPLAIN THE DOWNWARD TREND OF

01:19 - 59.271 THE SCRATCH OFF TICKETS?

01:19 - 03.341 OR YOU CAN TAKE THAT QUESTION

01:20 - 08.412 SO I HAVE SOME GOOD NEWS TO

01:20 - 09.647 REPORT. SO IN JULY, THE GENERAL

01:20 - 10.249 ASSEMBLY PASSED AND THE

01:20 - 12.717 GOVERNOR SIGNED PROFIT MARGIN

01:20 - 13.751 REALLY FOR THE LOTTERY. AND AT

01:20 - 14.720 THAT TIME WE WERE JUST STARTING

01:20 - 18.723 TO WORK ON THE HOLIDAY, SCRATCH

01:20 - 19.424 OFF GAMES. SO WE WERE ABLE TO

01:20 - 21.459 PUT THAT TO USE BY INCREASING

01:20 - 24.595 PAY OUT ON THOSE GAMES AND

01:20 - 26.631 SCRATCH OFF GAMES GOING

01:20 - 27.965 FORWARD. SO WHAT WE'VE SEEN

01:20 - 31.068 FROM THAT ARE NOW SIGNS OF

01:20 - 31.770 GROWTH. WE WENT FROM

01:20 - 33.771 4 YEARS PRECEDENT IN DECLINE

01:20 - 36.774 AND SCRATCH OFF SALES TO NOW

01:20 - 38.709 SEEING GROWTH COMPARED TO LAST

01:20 - 39.411 YEAR. SO ACTUALLY, THROUGH THE

01:20 - 40.812 MOST RECENT WEEK, YOU'RE

01:20 - 43.047 SETTING NUMBERS THROUGH THE

01:20 - 47.318 SUMMER. SOME OF THE MORE RECENT

01:20 - 48.120 NUMBERS REPORTED WHERE NOW WHEN

01:20 - 49.787 5% AHEAD OF LAST YEAR AT THIS

01:20 - 50.455 TIME. SO SOME OF THE DECREE

01:20 - 53.958 CELLS WAS BECAUSE OF THE

01:20 - 54.525 INCREASE, PAY OUT.

01:20 - 55.194 NO, THE DECREASE IN SALES

01:20 - 57.728 IN SCRATCH OFF. ACTUALLY, YOU

01:20 - 58.697 KNOW.

01:20 - 01.432 BECAUSE THE GAMING MARKET IN

01:21 - 02.066 PENNSYLVANIA IS INCREDIBLY

01:21 - 02.935 COMPETITIVE, RIGHT? SO WE'RE

01:21 - 07.905 SEEING DECLINES MORE THAN OTHER

01:21 - 08.539 U.S. LOTTERIES BY PASSING

01:21 - 09.241 PROFIT MARGIN RELIEF. WE WERE

01:21 - 11.142 ABLE TO INCREASE PAYOUTS ON

01:21 - 14.545 OUR GAME, WHICH, YOU KNOW, IT'S

01:21 - 15.280 STILL EARLY. LIKE I SAID, IT

01:21 - 17.882 JUST STARTED WITH THE HOLIDAY

01:21 - 19.984 GAMES THAT WE LAUNCHED AND

01:21 - 21.719 NOVEMBER IN GAMES GOING

01:21 - 22.421 FORWARD. BUT WE ARE NOW SEEING

01:21 - 24.622 SIGNS OF GROWTH IN OUR SCRATCH

01:21 - 29.293 OFF CATEGORY FOR THE FIRST TIME

01:21 - 30.361 AND MORE THAN 4 YEARS SOUTH.

01:21 - 31.263 WE ALSO HAD SOME JACKPOT LOOK

01:21 - 34.031 EARLIER ON IN THE FISCAL YEAR

01:21 - 35.199 SEAL SEE DRAW GAME SALES.

01:21 - 37.368 WE'RE UP THROUGH THE 1ST HALF

01:21 - 39.203 YEARS. THE RIGHT NOW WE'RE

01:21 - 41.205 RUNNING SLIGHTLY AHEAD OF

01:21 - 43.441 ESTIMATES AND SLIGHTLY AHEAD OF

01:21 - 44.442 LAST IN OVERALL LOTTERY SALES.

01:21 - 47.144 WE EXPECT BY THE END OF THE

01:21 - 50.381 FISCAL YEAR THAT WE WILL MEET

01:21 - 51.582 THE ORIGINAL PROJECTIONS.

01:21 - 52.217 CAN YOU TELL ME HOW MANY

01:21 - 54.719 LOTTERY RETAILERS THERE ARE

01:21 - 56.420 TODAY?

01:21 - 01.859 WE CURRENTLY HAVE JUST UNDER

01:22 - 02.593 10,000 LOTTERY RETAIL LOCATIONS

01:22 - 03.228 IN HUNTING HAS THAT NUMBER

01:22 - 05.563 INCREASED OR DECREASED OR ABOUT

01:22 - 06.564 THE SAME OVER THE LAST

01:22 - 08.566 FEW YEARS?

01:22 - 10.134 IT'S ABOUT THE SAME. IT IS A

01:22 - 11.535 CHALLENGE. WE REGAIN RETAILERS.

01:22 - 15.172 BUT THEN WE ALSO LOSE

01:22 - 16.641 RETAILERS. WE ARE IN A POSITION

01:22 - 20.378 NOW WHERE WE ARE EXPANDING IN

01:22 - 22.079 CBS LOCATIONS AND WE ARE ALSO

01:22 - 25.549 GOING TO BE ADDING WALGREENS.

01:22 - 29.120 WE WILL BE ONE OF THE FIRST, IF

01:22 - 29.821 NOT THE FIRST U.S. LOTTERY TO

01:22 - 33.457 SELL AND WALGREENS. SO WE DO

01:22 - 36.427 HAVE SOME A CORPORATE RETAIL

01:22 - 40.298 EXPANSION LINED UP. SO WE ARE

01:22 - 42.233 TRYING TO GET RETAILERS

01:22 - 42.934 RETAIL RECRUITMENT HAS BEEN A

01:22 - 43.535 CHALLENGE BECAUSE OF THE

01:22 - 45.369 COMPETITIVE MARKET IN

01:22 - 46.871 PENNSYLVANIA.

01:22 - 47.472 ESPECIALLY WITH TEAMS OF

01:22 - 49.874 SKILLED URBAN LOCATIONS.

01:22 - 50.609 WE'VE GONE INTO FOR RECRUITMENT

01:22 - 52.043 AND BECAUSE THEY HAVE GAMES OF

01:22 - 56.314 SKILL, THEY'VE SAID WE DON'T WE

01:22 - 58.316 DON'T WANT WATERY. THE

01:22 - 59.417 GOVERNOR'S PROPOSAL TO TAX AND

01:22 - 00.085 REGULATE GAMES GO LIKE THE 2

01:23 - 02.186 TEAMS WOULD ACTUALLY HELP THE

01:23 - 05.756 LOTTERY WITH RETAIL RECRUITMENT

01:23 - 07.925 BECAUSE VGTS ARE ALREADY

01:23 - 11.996 REQUIRED BY LAW TO BE LOTTERY

01:23 - 13.464 RETAILERS. SO IF WE WERE

01:23 - 16.233 ABLE TO REQUIRE THE GAMES OF

01:23 - 16.835 SKILL LOCATIONS, ALSO BE

01:23 - 19.804 LOTTERY RETAILERS THAT WOULD

01:23 - 22.707 HELP THE LOTTERY TREMENDOUSLY.

01:23 - 24.108 EXPAND OUR RETAIL NETWORK TO

01:23 - 24.743 MY LIGHTS GOING YELLOW TO

01:23 - 26.143 SIMPLY READ. THANK YOU VERY

01:23 - 26.845 MUCH FOR YOUR TIME. THANK YOU.

01:23 - 29.647 CHAIRMAN. THANK YOU, GENTLEMEN.

01:23 - 31.015 REPRESENTATIVE CURRY.

01:23 - 32.917 THANK YOU. CHAIR AND HIGH

01:23 - 35.052 SECRETARY BROWN. HOW ARE YOU

01:23 - 36.988 TODAY? I OKAY. GOOD TO SEE YOU

01:23 - 40.091 TOO. IT TO SEE CHAIRMAN, CAN

01:23 - 43.427 YOU RESET MY TIME?

01:23 - 47.131 SHAPE THAT?

01:23 - 51.002 WE ARE GOING TO GO.

01:23 - 51.737 THANK YOU FOR YOUR TEAM BEING

01:23 - 53.571 HERE THE DEPARTMENT'S ESTIMATE

01:23 - 56.540 FOR THE CURRENT YEAR REFLECTS A

01:23 - 59.610 DIFFERENCE OF ONE POINT

01:23 - 00.045 4 BILLION WHEN

01:24 - 05.082 COMPARED TO THE INDEPENDENT

01:24 - 07.718 FISCAL OFFICE AND FOR 2026,

01:24 - 08.420 2027, THE DIFFERENCES OVER 2.2

01:24 - 12.423 BILLION AND CONTINUES TO GROW

01:24 - 13.057 IN THE PLANNING YEARS. YOU

01:24 - 13.859 EXPLAIN THE DIFFERENCES BETWEEN

01:24 - 16.894 THE 2 ESTIMATES IN A MEANINGFUL

01:24 - 19.797 WAY.

01:24 - 20.831 HE'S SPEAKING TO THE REVENUE

01:24 - 21.566 ESTIMATES AND REVENUE ESTIMATES

01:24 - 27.471 CYCLE BETWEEN US AND THE IFO.

01:24 - 30.875 WE'RE OFF BY. 46 $1000. ONE,

01:24 - 32.243 46 MILLION DOLLARS.

01:24 - 32.978 IT'S IT'S HARD WITHIN A REVENUE

01:24 - 38.949 CAPACITY OF 50 BILLION DOLLARS.

01:24 - 39.651 TO DEFINE EXACTLY WHAT CAUSED

01:24 - 44.889 THE DEATH OF 46 MILLION HITS

01:24 - 48.859 AND ONE PERCENT. BUT THE

01:24 - 49.527 TRACKING OF THE IPHONE, THE

01:24 - 50.128 DEPARTMENT REVENUE IS AN

01:24 - 52.830 IMPORTANT EXERCISE BECAUSE IT

01:24 - 53.931 BUILDS CREDIBILITY IN BOTH

01:24 - 55.966 SIDES. THE STANDARD FOR

01:24 - 58.803 AVIATION REVENUE ESTIMATES IN

01:24 - 00.371 TERMS OF PERFORMANCE AND AS YOU

01:25 - 04.608 ABOUT PLUS OR -2 PERCENT AND

01:25 - 05.243 TERMS OF THE ACCURACY OF A

01:25 - 08.646 PERFORMANCE OF EXCEEDS PLUS OR

01:25 - 10.114 2 PERCENT. THE ACCURACY OF

01:25 - 13.751 THAT SPACE PROBE IS WITHIN IN

01:25 - 14.419 THE LAST 2 YEARS, WE'VE BEEN

01:25 - 16.587 WITHIN 200 MILLION DOLLARS OF

01:25 - 19.590 THE FOR THE CURRENT FISCAL

01:25 - 21.358 CYCLE. BUDGETING CYCLE. WE'RE

01:25 - 24.462 LOOKING AT 46 MILLION, ALL LESS

01:25 - 27.064 THAN ONE PERCENT.

01:25 - 30.301 OVER THE PLANNING PERIOD.

01:25 - 33.704 5 YEARS. 2 BILLION. IS IT?

01:25 - 34.371 NO ONE WOULD SAY THAT A LOW

01:25 - 35.073 NUMBER NOMINAL DOLLARS BUYS A

01:25 - 37.141 LOT OF MONEY. BUT YOU HAVE TO

01:25 - 39.643 CONSIDER THAT AND LISTEN TO THE

01:25 - 40.378 TOTAL BASIN REVENUE THEIRS OVER

01:25 - 43.214 THE PERIOD OF TIME TO BE SOME

01:25 - 45.483 REVENUES. 250 BILLION. I SAW

01:25 - 48.452 2 MILLION DOLLAR BILLION DOLLAR

01:25 - 49.153 DIFFERENCE BETWEEN 2 ESTIMATES

01:25 - 49.855 AND A BASE REVENUE OR 5 YEARS.

01:25 - 54.892 THE 250 BILLION IS LESS THAN

01:25 - 57.027 ONE PERCENT. IT'S REALLY.

01:25 - 57.662 EVEN THE VARIATIONS IN OUR

01:25 - 00.164 ECONOMY, WHICH DRIVES OUR

01:26 - 02.166 REVENUE CAPACITY.

01:26 - 03.868 A 2 BILLION DOLLAR SWING OVER A

01:26 - 04.536 PERIOD OF 5 YEARS. AND I'VE

01:26 - 07.037 150 BILLION. OUR REVENUE BASE

01:26 - 07.771 IS

01:26 - 08.440 ABSOLUTELY POSSIBLE FOR YOU.

01:26 - 11.509 IT'S REALLY IMPORTANT WHEN YOU

01:26 - 13.944 COMPARE THESE NUMBERS AND WE

01:26 - 15.746 TRIED TO DO AS BEST WE CAN TO

01:26 - 16.314 KEEP THINGS IN CONTEXT

01:26 - 18.549 REGARDING SCALE AND PERCENTAGE

01:26 - 23.954 DIFFERENCES AND I WILL LISTEN

01:26 - 25.089 TO THE IFO. ELISE, WHAT

01:26 - 25.823 WE'RE FORECASTING. WE'LL RETURN

01:26 - 26.525 TO TURNING NOW FORECASTING FOR

01:26 - 29.627 THE BUDGET PERIOD AND

01:26 - 30.761 FORECASTING OF 5 YEARS. IT'S

01:26 - 31.329 WITHIN THE STANDARD OF

01:26 - 33.898 ACCURACY. DIFFERENCES BETWEEN

01:26 - 35.032 OUR 2 ESTIMATES.

01:26 - 35.766 THANK YOU VERY MUCH. I KNOW

01:26 - 36.501 YOU. YOU KNOW, IT SOUNDS LIKE

01:26 - 39.637 YOU FEEL CONFIDENT ABOUT IT

01:26 - 40.771 BEING POSSIBLE.

01:26 - 43.140 CAN YOU GIVE US A LITTLE BIT OF

01:26 - 43.842 CLARIFICATION ON IT? YOU KNOW,

01:26 - 47.077 SOMETHING WERE TO GO AND IT

01:26 - 50.047 WASN'T POSSIBLE.

01:26 - 50.715 JUST I MEAN, I KNOW YOU SAID

01:26 - 52.349 YOU YOU FEEL LIKE IT'S

01:26 - 53.084 POSSIBLE, BUT IT'S SET TO SERVE

01:26 - 56.420 I THINK BASED ON THINGS AS

01:26 - 57.021 THEY ARE NOW, THEY THINK

01:26 - 57.722 FORECASTING OUT 5 YEARS THERE

01:26 - 59.290 YOU HAVE TO DISCOUNT ANYTHING

01:26 - 03.727 THE COST OF 5 YEARS. WE'RE

01:27 - 04.461 GOING TO GROW UP. NO, I A DART.

01:27 - 05.162 IT'S SOMETHING THAT'S GONNA BE

01:27 - 05.830 5 YEARS NOW AND KNOW WHAT'S

01:27 - 07.398 GOING TO HAPPEN. THAT IS NOT

01:27 - 08.999 ALWAYS EASY. IF YOU LIKE.

01:27 - 09.701 I SAID, IF YOU'RE WITH A RANGE

01:27 - 12.770 OF 2% VARIANCES OVER THAT

01:27 - 13.871 PERIOD OF TIME.

01:27 - 16.941 THAT IS CONSIDER A PRETTY

01:27 - 18.075 ACCURATE PREDICTION.

01:27 - 18.843 WHERE WE HAVE PREDICTED WHAT

01:27 - 20.711 THE REVENUE CAPACITY WOULD BE

01:27 - 23.581 IN 2020. AND 21, NO CHANCE

01:27 - 26.150 BECAUSE OF THE PANDEMIC ENTERED

01:27 - 26.885 HIS WAY. UNPREDICTABLE EVENT.

01:27 - 29.954 WE CAME IN A LOT HIGHER THAN

01:27 - 31.055 ANYONE EXPECTED.

01:27 - 31.957 IS THE FEDERAL GOVERNMENT PUT

01:27 - 33.290 SO MUCH MONEY IN THE

01:27 - 33.958 MARKETPLACE AND DROVE UP OUR

01:27 - 34.626 REVENUE CAPACITY. THAT'S NOT

01:27 - 36.660 SOMETHING THAT COULD HAVE BEEN

01:27 - 38.896 PREDICTED. NO ONE EVERYTHING

01:27 - 40.931 STAYS THE SAME AS IT IS NOW.

01:27 - 42.199 SO WHEN THERE MIGHT BE A SLIGHT

01:27 - 42.867 DOWNTURN IN THE ECONOMY, THE

01:27 - 46.036 STOCK MARKET MAY FLUCTUATE A

01:27 - 46.605 LITTLE BIT. I WORK IN

01:27 - 48.572 GENTLEMEN. FOX WENT A LITTLE

01:27 - 50.641 BIT. ALL THAT FACTORED IN.

01:27 - 54.478 I THINK WORD YOU COULD SHAPE IF

01:27 - 56.146 THOSE ESTIMATES AND HAVE BEEN

01:27 - 00.384 OVER THE LAST 4 YEARS ARE

01:28 - 01.018 ESTIMATES HAVE FALLEN WITH

01:28 - 01.686 INACCURATE RANGES. AND WE'VE

01:28 - 04.421 BEEN RUNNING SURPLUSES AGAINST

01:28 - 05.489 OUR ESTIMATES OVER THOSE.

01:28 - 06.157 FIRST 3 YEARS. WE'VE RUMMEL

01:28 - 08.659 HOPE. I'M HOPEFUL THAT

01:28 - 10.227 CONTINUED.

01:28 - 10.894 THANK YOU, SECRETARY BROWN

01:28 - 11.630 FOR THOSE PROJECTIONS AND THANK

01:28 - 14.398 YOU TO THE TEAM. THANK YOU,

01:28 - 19.169 CHAIRMAN.

01:28 - 19.737 THANK YOU, GENERAL. A

01:28 - 20.437 REPRESENTATIVE THANK YOU, MR.

01:28 - 21.106 CHAIRMAN AND MR. SECRETARY,

01:28 - 25.876 ALWAYS GOOD TO SEE YOU, SIR.

01:28 - 26.578 I'M NOT AN ATTORNEY. SO I'M

01:28 - 27.911 NOT GOING TO ASK QUESTIONS.

01:28 - 29.980 I ALREADY KNOW THE ANSWERS TO.

01:28 - 32.716 I HAVE A QUESTION ABOUT THE

01:28 - 33.385 RE MAP PROGRAM. THE RESOURCE

01:28 - 37.321 EVALUATION MISSION ALIGNMENT.

01:28 - 40.557 PROJECT. IT SEEMS LIKE A FULL

01:28 - 41.192 GENT PROJECT. BUT FROM MY

01:28 - 43.861 UNDERSTANDING FROM THE

01:28 - 45.996 EXECUTIVE BUDGET.

01:28 - 47.831 IT'S TALKING ABOUT EVALUATING

01:28 - 48.466 PROGRAMS AND I GUESS YOUR

01:28 - 49.900 DEPARTMENT AND THE LOTTERY JUST

01:28 - 50.602 WENT THROUGH THAT ONLY ONE OF

01:28 - 52.336 THEM WAS SECOND ROUND. YES,

01:28 - 53.904 YEP. SECOND ROUND. CORRECT.

01:28 - 57.274 CAN YOU SPEAK TO THAT? IS IT'S

01:28 - 00.711 STILL GOING ON AND WHAT DID

01:29 - 01.345 THE REVIEW FIND CURRENT A

01:29 - 02.047 CORONATION WITH THE GOVERNOR'S

01:29 - 04.114 OFFICE REGARDING THIS PROGRAM?

01:29 - 05.516 IT'S A PERFORMANCE.

01:29 - 07.518 PROGRAM REGARDING OPERATIONS

01:29 - 10.120 LOOKING FOR ADJUSTMENTS,

01:29 - 10.855 OPERATIONS TO PROMOTE INCREASED

01:29 - 13.324 PERFORMANCE.

01:29 - 15.259 WE ENGAGED WITH THE

01:29 - 15.893 OFFICE OF THE GOVERNOR'S

01:29 - 16.695 OFFICE BUDGET OFFICE. WHO'S THE

01:29 - 20.197 ONE WHO'S WHO'S ADMINISTERING

01:29 - 23.067 THIS LAST SPRING? AND THE

01:29 - 25.169 THINGS THAT WE'VE BEEN ABLE TO

01:29 - 25.804 RECOMMEND THIS POINT. I'M

01:29 - 29.006 INCLUDING A LEGISLATIVE CHANGE

01:29 - 32.076 IS POSSIBLE THE REDUCED

01:29 - 32.911 ELECTRONIC

01:29 - 35.646 PAYMENTS THRESHOLD TO $5,000

01:29 - 37.815 PAYMENTS RATHER THAN 15 GIVEN

01:29 - 39.850 THE ADVANCEMENT ELECTRONIC.

01:29 - 41.385 IT MEANS IS THAT MEANS THE TAX

01:29 - 42.220 COMPLIANCE. AND THIS I BELIEVE

01:29 - 43.954 IS ONLY A MATTER OF TIME, A

01:29 - 46.156 MATTER OF WHEN RATHER THAN IF

01:29 - 46.758 ALL FOOD FOR LEGISLATIVE

01:29 - 49.760 CHANGE. THERE THERE'S BEEN COME

01:29 - 52.296 SOME CONCERNS. WE'RE GOING THE

01:29 - 53.764 PLAIN LANGUAGE NATURE OF OUR

01:29 - 58.635 NOTICES ON OUR NEW SYSTEM IS

01:29 - 01.505 COMMUNIQUES A LOT BETTER THAN

01:30 - 02.207 THE OLD LEGACY SYSTEMS SYSTEMS

01:30 - 03.273 DO MORE COMMUNICATIONS TO

01:30 - 06.844 TAXPAYERS REGARDING BENEFITS.

01:30 - 08.212 THEY ON THEIR ACCOUNTS.

01:30 - 08.879 OUTSTANDING LIABILITIES.

01:30 - 09.547 WE WANT TO MAKE SURE THOSE

01:30 - 11.048 NURSES ARE IN PLAIN LANGUAGE.

01:30 - 13.150 SOME PEOPLE WILL UNDERSTAND

01:30 - 14.318 THEM. DON'T HAVE TO WORRY

01:30 - 14.986 ABOUT. FOLLOWING UP WITH THE

01:30 - 17.020 DEPARTMENT OF REVENUE IN ORDER

01:30 - 17.722 TO UNDERSTAND THEM. SO THAT'S

01:30 - 21.225 PART OF AN ONGOING INITIATIVE

01:30 - 24.995 THAT WILL DO AND THEN SOMETHING

01:30 - 25.730 I MENTIONED BEFORE THE CUSTOMER

01:30 - 30.534 SERVICES. WE'RE A TAX AGENCY

01:30 - 31.702 IS GOING TO BE ON

01:30 - 32.404 WHAT IS IF THE ADMINISTRATION

01:30 - 34.872 OF A PROGRAM FOR THOSE WHO TRY

01:30 - 36.273 TO BENEFIT.

01:30 - 36.975 ALSO INCLUDES TRY TO IDENTIFY

01:30 - 41.211 THOSE POPULATIONS THAT ARE NOT

01:30 - 43.747 BEEN. AND REACHING OUT TO

01:30 - 44.448 THEM. AND MANY OF THEM THAT'S

01:30 - 45.116 LIKELY OR POSSIBLE THAT YOU

01:30 - 46.250 WILL RECEIVE A BENEFIT FROM

01:30 - 48.485 THIS. YOU MIGHT WANT TO APPLY

01:30 - 49.987 NOT SOMETHING THAT WE TEND TO

01:30 - 53.023 SEE FROM A TAX ADMINISTRATION

01:30 - 54.224 AGENCY. BUT IN TERMS OF

01:30 - 54.859 ADVANCING OUR POSITION AND

01:30 - 57.027 CUSTOMER SERVICE THAT SOMEONE

01:30 - 57.761 WORKING ON NOW, THAT'S

01:30 - 58.463 SOMETHING THAT CAME OUT OF THE

01:30 - 01.231 REMAINING OUT OF THE REMATCH AS

01:31 - 01.933 MORE LIKE AN ENDORSEMENT AND A

01:31 - 03.267 RECOMMENDATION BECAUSE IT'S

01:31 - 04.035 SOMETHING WE WERE WORKING ON

01:31 - 07.771 BEFORE. BUT IT'S SOMETHING THAT

01:31 - 08.439 WE WILL BECAUSE THE REMATCH

01:31 - 09.140 PROCESS REINFORCE THE NEED FOR

01:31 - 12.543 THIS. WE'RE GONNA CONTINUE.

01:31 - 13.478 AND THEN THE LOTTERY PA

01:31 - 16.580 LOTTERY. HAVE YOU GUYS YOUR

01:31 - 17.681 REVIEW COMPLETE AS

01:31 - 18.715 WELL OR

01:31 - 19.617 YOU STILL WANT GOING IN THAT

01:31 - 21.718 WE'RE TALKING ABOUT THE

01:31 - 22.886 REMEMBER. REEMA ALSO

01:31 - 25.255 RECOMMENDED ADDITIONAL.

01:31 - 26.690 AND STAFF LOTTERY, TOO.

01:31 - 29.626 SO IT ATE THEIR OPERATION AND

01:31 - 30.627 FIELD.

01:31 - 30.995 A CHORE.

01:31 - 32.663 IF IT DOES IN THE GOVERNOR'S

01:31 - 33.797 BUDGET PROPOSAL, THERE'S AN

01:31 - 35.432 ADDITIONAL 10 POSITIONS FOR THE

01:31 - 37.701 LOTTERY TO HELP WITH OUR RETAIL

01:31 - 40.037 SALES EXPANSION THAT I BRIEFLY

01:31 - 43.006 SPOKE ABOUT EARLIER.

01:31 - 43.707 NO, YOU DID. AND I DIDN'T

01:31 - 44.409 KNOW THAT THAT CAME OUT OF THE

01:31 - 48.445 RE MAP PROGRAM. LIKE I SAID

01:31 - 50.347 TO HIM, KERRY SAYS TO THIS

01:31 - 51.381 REVAMPING IN RE TAKING A LOOK

01:31 - 52.116 AT DEPARTMENTS AND THIS IS ONLY

01:31 - 55.752 AROUND 2 OF I DON'T KNOW HOW

01:31 - 56.554 MANY BUT

01:31 - 59.656 AND THE SIDE OF THE GOVERNOR'S

01:31 - 07.097 BUDGET OFFICE.

01:32 - 09.600 AND I HAVE NO FURTHER

01:32 - 10.268 QUESTIONS. THANK YOU. THANK

01:32 - 12.769 YOU, GENTLEMEN. REPRESENTATIVE

01:32 - 14.771 KING CAKE.

01:32 - 15.506 THANK YOU, MR. CHAIRMAN, I AM

01:32 - 16.241 A LAWYER SO I CAN ASK QUESTIONS

01:32 - 17.941 THAT GETS THE HEART OF THE

01:32 - 20.944 MATTER.

01:32 - 24.147 LET'S TALK ABOUT THE WORKING

01:32 - 26.984 PENNSYLVANIANS TAX CREDIT.

01:32 - 29.253 SO THIS YEAR BECAUSE OF HOW

01:32 - 30.988 LATE WE PASSED LAST YEAR'S

01:32 - 35.025 BUDGET AND AUTHOR ISN'T WORKING

01:32 - 35.660 PENNSYLVANIANS TAX CREDIT.

01:32 - 38.929 THE THE PTC IS NOT GOING TO

01:32 - 41.965 APPEAR AS AN OPTION ON. AT TAX

01:32 - 43.667 FORMS. SO MY UNDERSTANDING IS

01:32 - 46.737 THAT YOUR DEPARTMENT ON THE

01:32 - 50.073 BACK

01:32 - 50.708 END IS GOING TO GIVE FOLKS

01:32 - 52.976 THERE THAT TAX CREDIT IF THEY

01:32 - 57.047 QUALIFY FOR THE ATC, ARE YOU?

01:32 - 59.983 ARE YOU PLANNING TO CONTINUE

01:33 - 03.220 THAT AUTOMATIC PROCESS MOVING

01:33 - 04.088 FORWARD OR WILL FOLKS

01:33 - 09.426 HAVE TO FILL OUT THE PAPERWORK?

01:33 - 10.295 WITH LIKE A CHECKOUT BOX IN

01:33 - 12.896 THE FUTURE. WE'RE DEPENDENT

01:33 - 16.767 NOW ON THE FEDERAL FILING

01:33 - 17.468 THINK RECEIVE INFORMATION OFF

01:33 - 19.002 THE FEDERAL RETURN THAT IT WAS

01:33 - 19.637 APPLIED FOR AND RECEIVED.

01:33 - 22.172 IT'S NOT LIKE TRYING TO FLEE.

01:33 - 23.840 THERE'S INTERACTION,

01:33 - 24.475 COORDINATION WITH SOFTWARE

01:33 - 27.377 COMPANIES AND THEN WE WILL

01:33 - 30.447 RECEIVE A COPY FEDERAL ASKED

01:33 - 31.848 RUNNING AND PLAYING 10% CREDIT.

01:33 - 35.886 JUST ON PAPER. SOMEONE HAS TO

01:33 - 36.354 TASK FEDERAL COP

01:33 - 39.289 THAT'S A LIMITATION THAT NOT

01:33 - 42.459 HAVING HIM FORM.

01:33 - 43.961 PROCESS. SO

01:33 - 46.997 AND THEN FIRST FALL TAX PERIOD

01:33 - 48.599 THAT

01:33 - 49.300 THAT WE CAN ADMINISTER THIS

01:33 - 50.834 PART AND WE PLAN TO HAVE THAT

01:33 - 54.771 SEPARATELY ON THE 4 THAT WE'RE

01:33 - 55.439 GOING TO BE SO DEPENDENT AND

01:33 - 56.140 WHAT'S IMPLIED FOR ONE SPOT IN

01:33 - 59.109 WASHINGTON TO MAKE SURE THAT

01:33 - 00.143 AND PEOPLE

01:34 - 02.112 GET THAT.

01:34 - 03.747 SO HAT, OKAY. SO SO HAVING IT

01:34 - 04.449 ON THE TAX FORM MOVING FORWARD

01:34 - 05.515 WILL ACTUALLY CAUSE SPEED THE

01:34 - 08.585 PROCESS UP FOR SOME FOLKS.

01:34 - 13.390 OKAY, GREAT. THANK YOU.

01:34 - 14.025 IF FAMILIES DON'T PROVIDE

01:34 - 16.593 DOCUMENTATION WHEN THEY SUBMIT

01:34 - 20.797 IT.

01:34 - 21.499 THEY WILL. THEY HAVE TO COMMIT

01:34 - 23.900 TO SUBMIT AN AMENDED FORM OR OR

01:34 - 24.869 ANY DO ANY OTHER ADDITIONAL

01:34 - 25.969 PAPERWORK THIS YEAR ON ON THE

01:34 - 26.937 BACK. AND WE DON'T GET THE

01:34 - 27.605 FEDERAL FORM. WE WON'T KNOW

01:34 - 30.140 THEY RECEIVE THE CREDIT.

01:34 - 31.074 OKAY. SO THE PAPER.

01:34 - 31.909 THIS IS A REALLY IMPORTANT

01:34 - 33.010 TIME TO EMPHASIZE THE

01:34 - 36.913 IMPORTANCE OF ELECTRONIC FILING

01:34 - 40.784 ITS 1993% OF OUR FILINGS NOW.

01:34 - 42.552 BUT IF WE NOT RECEIVE A COPY

01:34 - 43.221 OF THE FEDERAL FORM, SOMEONE

01:34 - 45.355 FALLS ON PAPER. WE WILL WE WILL

01:34 - 50.794 NOT KNOW SOME RECEIVED TO SEE

01:34 - 51.496 THE USE THIS TIME. REPUBLICAN

01:34 - 54.431 HOUSE FILE ON PAPER AT YOUR

01:34 - 54.799 FRONT OF.

01:34 - 57.634 FILE ONLINE IF AT ALL

01:34 - 00.771 POSSIBLE. THANK YOU.

01:35 - 03.006 IN THE PAST, THE DEPARTMENT

01:35 - 05.542 HAS HOSTED PROPERTY TAX RENT

01:35 - 07.511 REBATE OF CLINICS IN ALLEGHENY

01:35 - 09.613 COUNTY. I WAS WONDERING IF

01:35 - 10.714 YOU'RE PLANNING ON DOING THAT

01:35 - 13.150 AGAIN BECAUSE MY OFFICE HASN'T

01:35 - 13.818 HEARD ANYTHING ABOUT ANY ANY

01:35 - 15.919 PLANS AND OBVIOUSLY WANT TO

01:35 - 17.688 MAKE SURE THAT WE ARE

01:35 - 20.791 COORDINATING TO MAKE SURE THAT

01:35 - 21.492 WE'RE NOT DUPLICATING EFFORTS.

01:35 - 23.894 ABSOLUTELY. WE'RE DOING, YOU

01:35 - 25.762 KNOW, HUNDREDS AROUND THE

01:35 - 27.164 STATE. SO I RIGHT HERE. THE

01:35 - 27.899 ONES YOU HAVE AN ALLEGHENY, BUT

01:35 - 30.300 WE CIRCLE BACK WITH YOU TO MAKE

01:35 - 31.334 SURE

01:35 - 32.135 THAT WE.

01:35 - 32.737 AND GETTING THE RIGHT

01:35 - 34.337 INFORMATION. WHAT WE'RE PLEASE,

01:35 - 37.207 I WOULD. I WOULD APPRECIATE

01:35 - 37.874 THAT MEANT THE GOVERNOR HAS

01:35 - 38.576 ONCE AGAIN PROPOSE LEGALIZING

01:35 - 41.144 RECREATIONAL CANNABIS IN HIS

01:35 - 44.214 BUDGET.

01:35 - 44.882 WHAT WOULD YOU FORESEE THE

01:35 - 48.485 REVENUE THAT WOULD BE BROUGHT

01:35 - 56.509 IN BY THAT AD SUPPORTING?

01:35 - 00.397 THE TRUST THAT I WOULD.

01:36 - 03.133 REMEMBER THIS ON TOP OF MY

01:36 - 05.569 THE

01:36 - 07.604 MOUNTS FOR THE BUDGETING

01:36 - 11.108 CYCLE. 36, WHOLESALE MILLION.

01:36 - 14.377 SO AS THESE TAX 32 MILLION TOLL

01:36 - 17.247 FOR THE TAX SIDE, 7, 113 FOR

01:36 - 17.915 THE QUESTION CYCLE. AS WE'RE

01:36 - 22.953 GOING TO BE IMPLEMENTING IT ON

01:36 - 26.490 A HALF YEAR BASIS. TOTAL.

01:36 - 27.190 FOR THE FULL YEAR BECAUSE THE

01:36 - 27.925 MAJORITY OF IN AMOUNTS THAT ARE

01:36 - 30.794 COMING IN FOR SEVERAL LICENSES

01:36 - 33.930 SUMMER AND 13, IT'S 208 MILLION

01:36 - 34.598 DOLLARS.

01:36 - 35.266 THAT'S PRIMARILY ONE 50 AND

01:36 - 39.069 ALSO TAX 87 ON THE SIDE SALES

01:36 - 39.470 AND USE TAX.

01:36 - 42.305 THANK YOU, SIR. ARE YOU AWARE

01:36 - 43.007 OF OF THE GOVERNOR'S IDEAS OF

01:36 - 45.342 WHERE WHERE THAT REVENUE WOULD

01:36 - 48.211 BE TARGETED?

01:36 - 48.780 IT'S THEY HAVE THERE

01:36 - 51.515 RECOMMENDATIONS FOR ALLOCATION

01:36 - 52.716 OF THE DOLLARS. YES, OKAY.

01:36 - 53.451 I WOULD FOR THOSE, YOU KNOW, IN

01:36 - 55.152 TERMS OF THE DISTRIBUTION OF

01:36 - 57.187 DOLLARS AND USE THEM FOR THOSE

01:36 - 57.755 QUESTIONS, THE BUDGET

01:36 - 59.222 SECRETARY. THAT'S AN ALLOCATION

01:36 - 01.558 OF OF MOTION TO SPENDING NOT

01:37 - 01.893 REVENUE.

01:37 - 04.795 ALL RIGHT. THANK YOU. THANK

01:37 - 06.530 YOU, MR. CHAIRMAN.

01:37 - 08.732 THANKS, JENNA LADY STELLA,

01:37 - 11.835 THANK YOU, MR. CHAIRMAN.

01:37 - 14.237 SECRETARY BROWN.

01:37 - 17.040 AT 45 OF 2025. CONTAIN

01:37 - 18.408 PROVISIONS THAT AMONG OTHER

01:37 - 20.343 CHANGES TO COUPLED FROM FEDERAL

01:37 - 21.578 TAX PROVISIONS ARE FEDERAL

01:37 - 25.348 PROVISIONS RELATING TO CERTAIN

01:37 - 26.049 RESEARCH AND EXPERIMENTAL

01:37 - 26.651 EXPENDITURES, QUALIFIED

01:37 - 27.684 PRODUCTION, PROPERTY AND

01:37 - 30.220 BUSINESS INTEREST CALCULATIONS

01:37 - 31.488 AND FOR THE REQUIRED YOUR

01:37 - 32.323 DEPARTMENT TO SUBMIT A REPORT

01:37 - 35.592 TO THE GENERAL ASSEMBLY IN THE

01:37 - 36.294 CLIP IN THE CANING, THE IMPACT

01:37 - 38.995 OF THE DECOUPLING BY THE END OF

01:37 - 39.664 THIS YEAR. I BELIEVE AT THE

01:37 - 42.232 TIME I DID HAVE CONCERNS THAT

01:37 - 44.568 THIS PROPOSAL BY THE GOVERNOR

01:37 - 46.203 WOULD ADVERSELY IMPACT THE

01:37 - 46.804 COMMONWEALTH IN TERMS OF

01:37 - 49.773 INVESTMENTS MADE ESPECIALLY AT

01:37 - 50.374 A TIME WHEN THE FEDERAL

01:37 - 52.042 GOVERNMENT CLEARLY SOUGHT TO

01:37 - 54.644 ATTRACT THESE INVESTMENTS BACK

01:37 - 55.445 INTO THE UNITED STATES. WHAT DO

01:37 - 56.080 YOU ANTICIPATE YOUR REPORT

01:37 - 03.153 SHOWING AT THE END OF THE YEAR?

01:38 - 03.888 YES, THE REPORT WILL BE FIRST

01:38 - 06.356 PUBLISHED DECEMBER OF THIS

01:38 - 09.993 YEAR.

01:38 - 10.694 THE PRIMARY IMPACT IS TO 2025

01:38 - 11.362 RETURNS AND I WILL START BY

01:38 - 14.531 SAYING WE WILL NOT HAVE ALL

01:38 - 16.733 OF THEM. SO THERE WILL PROBABLY

01:38 - 17.401 WHAT WE'RE ANTICIPATING IS A

01:38 - 19.803 PRELIMINARY REPORT AND THEN

01:38 - 20.338 A FULL REPORT LATER.

01:38 - 23.039 THE BY THE END OF THE YEAR,

01:38 - 27.677 THOUGH, AT LEAST.

01:38 - 28.312 NO. IF IF THEY'RE 2025,

01:38 - 30.380 RETURNS FALLEN EXTENSION, THEY

01:38 - 31.115 WON'T BE FILED TO NOVEMBER 15TH

01:38 - 33.550 OF 2026 AND WILL NEED A COUPLE

01:38 - 34.485 MONTHS

01:38 - 36.253 AFTER THAT. AND TY, WE TALKING

01:38 - 38.288 ABOUT WOMEN AIR REPORT DECEMBER

01:38 - 38.956 AND THERE WOULD BE SOME, YOU

01:38 - 40.991 KNOW, GUIDANCE AND THERE WHEN

01:38 - 44.127 THE NEXT ONE WOULD COME.

01:38 - 46.663 THE ESTIMATES

01:38 - 47.298 WERE DON USING FOR R D IN

01:38 - 51.301 PARTICULAR. THEY WERE DONE

01:38 - 52.036 USING FEDERAL RETURNS. SO WE'RE

01:38 - 54.604 ANTICIPATING THAT THE ESTIMATE

01:38 - 55.939 WILL BE

01:38 - 58.909 FAIRLY CLOSE 2, BUT THE ACTUAL

01:38 - 01.344 IMPACT WILL BE FAIRLY CLOSE TO

01:39 - 03.113 WHAT WE ESTIMATED THE QUALIFIED

01:39 - 05.815 PRODUCTION PROPERTY IN THE NET

01:39 - 06.517 INTEREST WE'VE DONE BY SHARING

01:39 - 09.152 DOWN JOINT COMMITTEE ON

01:39 - 09.720 TAXATION. ESTIMATES.

01:39 - 11.254 I THINK THEY'LL BE BALLPARK BUT

01:39 - 14.658 MAYBE NOT QUITE AS CLOSE AND IT

01:39 - 17.160 WILL TAKE A FEW YEARS TO SEE

01:39 - 19.229 ALL THE AND THAT'S WHAT A FEW

01:39 - 22.132 CAN TURNS TO REALLY GET A FEEL

01:39 - 22.633 FOR THE TREND. IS.

01:39 - 25.468 DO YOU SHARE ANY CONCERNS?

01:39 - 27.203 SECRETARY BROWN OF WHAT THIS

01:39 - 28.405 ACTION WILL HAPPEN AND IF IT

01:39 - 31.341 WILL RESULT IN LESS INVESTMENTS

01:39 - 33.276 BEING MADE IN PENNSYLVANIA.

01:39 - 33.877 WE MADE SOME DRAMATIC

01:39 - 34.612 IMPROVEMENT STORE, ALL BUSINESS

01:39 - 37.948 CLIMATE. THIS IS ONE OF THE

01:39 - 39.482 DECISIONS THAT NICE NICE TEAM.

01:39 - 40.183 AND IN ORDER FOR THE ASSEMBLY

01:39 - 40.851 TO PRIORITIZE ITS SPENDING,

01:39 - 44.087 IT'S A BILLION DOLLAR NUMBER.

01:39 - 45.021 AND WE GO IN THE FACE BY THE

01:39 - 45.723 WASHINGTON HAS BECAUSE WE HAVE

01:39 - 50.827 TO BALANCE OUR SPENDING PLAN.

01:39 - 51.495 BUT THE THIS HAS HAPPENED IN

01:39 - 55.899 PAST BUDGETS WHEN FEDERAL

01:39 - 56.500 GOVERNMENT HAS MOVED 2.

01:39 - 59.402 VIPER TAX BENEFITS IN THEIR

01:39 - 02.906 SYSTEM.

01:40 - 03.640 APD BACKING WITH OUR

01:40 - 04.341 SYSTEM WOULD WOULD RESULT IN A

01:40 - 05.042 SIGNIFICANT REVENUE LOSS THAT

01:40 - 07.844 WE HAVE TO MAKE A DECISION.

01:40 - 10.847 AND THE DECISION WAS MADE BY

01:40 - 11.548 THIS ASSEMBLY AND THE GOVERNOR

01:40 - 12.216 BECAUSE OTHER VERY IMPORTANT

01:40 - 14.651 ITEMS ON THE TABLE THAN A

01:40 - 16.219 BILLION DOLLAR LOSS. A SYSTEM

01:40 - 17.754 THAT'S GOTTEN A LOT BETTER OVER

01:40 - 19.456 A PERIOD OF TIME. IT'S

01:40 - 21.624 SOMETHING THAT WE WOULD DECIDE

01:40 - 24.694 TO DO. THOSE DECISIONS CAN BE

01:40 - 25.829 MADE.

01:40 - 28.498 AND THAT NOT I'M CONSISTENTLY

01:40 - 32.736 ALL THE TIME, BUT THIS TIME

01:40 - 34.170 THE COMPANY RD. THE BONUS

01:40 - 36.973 DEPRECIATION. THE SECTION ONE

01:40 - 37.775 63 J INTEREST WAS DONE

01:40 - 40.810 PRIMARILY BECAUSE IT'S A

01:40 - 42.045 TREMENDOUS

01:40 - 45.315 REVENUE HIT TO A VERY ALREADY

01:40 - 45.915 VERY CHALLENGE BUTTONS.

01:40 - 46.450 SO AS THE GOVERNOR

01:40 - 49.386 RECONSIDERING ANY OF THIS RIGHT

01:40 - 50.287 NOW OR Z JUST STAYING AS IS,

01:40 - 53.123 IS THERE ANY DISCUSSION ABOUT

01:40 - 53.758 MAY BE RECONSIDERING THIS?

01:40 - 56.192 WELL, THIS THIS WAS A

01:40 - 57.494 POSITION OF THE ASSEMBLY.

01:40 - 00.296 AND THE GOVERNOR NOT JUST

01:41 - 01.798 GOVERNOR AND AT THIS POINT IN

01:41 - 06.302 TIME, THE PROVISIONS OF ACT.

01:41 - 07.003 45 IS A POSITION THAT THAT HE

01:41 - 07.671 HAD AGREED WITH THE ASSEMBLY

01:41 - 10.106 ON AND THERE AT THIS POINT IN

01:41 - 10.740 TIME WE'RE NOT CONSIDERING

01:41 - 11.174 CHANGE. OKAY.

01:41 - 12.043 AND MOVING ON TO SOMETHING

01:41 - 13.076 ELSE BEFORE MY TIME RUNS OUT.

01:41 - 16.146 THE GOVERNOR ALSO IN HIS BUDGET

01:41 - 17.380 PROPOSAL.

01:41 - 18.515 PREFERS THE IMPLEMENTATION OF

01:41 - 20.683 THE UNIFORM FILING REQUIREMENTS

01:41 - 24.521 FOR TAXPAYERS THAT ARE SUBJECT

01:41 - 25.221 TO THE SCENE. IT CAN YOU

01:41 - 25.856 BRIEFLY DESCRIBE WHAT THAT

01:41 - 28.358 UNIFORM FILING REQUIREMENTS

01:41 - 30.627 ARE?

01:41 - 31.261 SO IT'S A FALLING METHOD

01:41 - 31.996 THAT'S BEING USED BY A MAJORITY

01:41 - 34.497 OF STATES. NOW, INSTEAD OF

01:41 - 35.065 HAVING COMPANIES FALL.

01:41 - 35.433 IF YOU.

01:41 - 37.801 I WAS PART OF CONSOLIDATE

01:41 - 38.402 GROUP.

01:41 - 40.603 SEPARATE ENTITIES FILE IN A

01:41 - 42.238 SEPARATE BASED IN PENNSYLVANIA.

01:41 - 42.907 YOU COMBINE THEM SIMILAR TO

01:41 - 44.207 WHAT YOU DO FOR THE CONSOLIDATE

01:41 - 47.343 FALLING FROM WASHINGTON INTO

01:41 - 49.979 ONE GROUP.

01:41 - 50.648 ONE CONSOLIDATED NET INCOME

01:41 - 52.649 NUMBER. THAT'S A PORTION OF THE

01:41 - 54.818 PENNSYLVANIA BASED ON SALES

01:41 - 56.519 HERE. AND THEN YOU APPLY THE

01:41 - 58.555 THE CURRENT TAX RATE, WHICH

01:41 - 59.823 IS 7.9. HAVE YOU HAD ANY

01:41 - 00.557 DISCUSSIONS RECENTLY WITH OTHER

01:42 - 01.425 STATES OR ANY OF THE

01:42 - 07.163 STAKEHOLDERS INVOLVED IN THIS

01:42 - 07.832 UNIFORM FILING REQUIREMENTS,

01:42 - 09.199 THE HAD ANYTHING IN THE PERIOD

01:42 - 10.733 OF TIME THAT I'VE BEEN HERE.

01:42 - 11.435 THE MOVEMENT OF OVER TAXATION

01:42 - 13.937 HAS BEEN MOVING PRIMARILY IN

01:42 - 14.405 THIS DIRECTION.

01:42 - 16.139 THERE'S A MAJORITY STATES ARE

01:42 - 18.608 NOW TAXING THIS WAY. AND IT'S

01:42 - 19.310 BECAUSE THIS IS REALLY THE TAX

01:42 - 23.580 SYSTEM THAT MODELS HAVE HIS OP.

01:42 - 24.280 IF WHAT YOU SAY COMES AS A TAX

01:42 - 24.882 SYSTEM THAT MODELS HAVE

01:42 - 27.250 BUSINESS OPERATE, THAT DO

01:42 - 28.185 OPERATE IN SILOS THAT THE

01:42 - 30.019 SAUDIS ARE DONE FOR LEGAL

01:42 - 32.021 REASONS FOR OPERATIONAL

01:42 - 33.056 REASONS. THE REASON WHY WE GOT

01:42 - 33.657 RID OF THE DOUBLE SOCCER

01:42 - 35.825 FRANCHISE TAX IS IT DIDN'T

01:42 - 36.494 FALL. THE CASH. WE'RE TAXING

01:42 - 39.462 COMPANIES WHEN THEY DIDN'T HAVE

01:42 - 40.164 POSITIVE CASH. SAME THING HERE

01:42 - 44.234 FOLLOWING THE FLOW. ASHLEY, CAN

01:42 - 44.868 SONY GROUP IT MATCHES THAT

01:42 - 45.569 PROCESS. OKAY. THANK YOU, MR.

01:42 - 47.437 SECRETARY, THANK YOU. AS

01:42 - 50.240 CHAIRMAN.

01:42 - 51.142 THANK YOU, JENNA LADY,

01:42 - 52.175 REPRESENTATIVE AND SO THANK

01:42 - 52.877 YOU, CHAIRMAN HARRISON, THANK

01:42 - 56.045 YOU, SECRETARY FOR BROWN FOR

01:42 - 56.547 BEING HERE TODAY.

01:42 - 59.883 SECRETARY PREVIOUSLY THE

01:42 - 00.517 GOVERNOR HAS INDICATED THE

01:43 - 01.218 ACCELERATED RATE TAX REDUCTION

01:43 - 04.354 AS PART OF HIS PROPOSAL TO SEE

01:43 - 05.089 AND IT TAX. AND FRANKLY, THAT'S

01:43 - 07.624 SOMETHING THAT HE HAS CALLED

01:43 - 08.292 FOR MULTIPLE OCCASIONS. DOES

01:43 - 10.226 THIS PROPOSAL INCLUDE

01:43 - 11.294 ACCELERATED RATE REDUCTION OR

01:43 - 11.896 MERELY ADDING ADDITIONAL

01:43 - 13.396 REPORTING REQUIREMENTS FOR

01:43 - 16.466 TAXPAYERS?

01:43 - 20.136 THE

01:43 - 20.838 PHASED OUT OF THE SEEING EYE

01:43 - 22.639 IS ON HIS PROPOSAL IS WHERE

01:43 - 24.908 IT WAS ORIGINALLY PASSED.

01:43 - 27.944 ONLY, YOU KNOW, BE DONE.

01:43 - 30.346 7.4, 9.

01:43 - 33.416 2026. BUT THE ORIGINAL SCHEDULE

01:43 - 33.983 IS WHAT'S INCLUDED IN

01:43 - 34.651 THIS BUDGET.

01:43 - 35.619 I DIDN'T HEAR YOU. IT WAS

01:43 - 37.620 INCLUDED IN IT OR WASN'T THE

01:43 - 38.755 ORIGINAL SCHEDULE THAT WAS

01:43 - 39.722 PASSED BY THE ASSEMBLY SIGNED

01:43 - 40.424 BY THE GOVERNOR GOVERNOR WOLF,

01:43 - 42.725 RIGID SCHEDULE PHASED OUT AS

01:43 - 43.360 WELL AS PART OF THIS PLAN.

01:43 - 46.329 OKAY. OKAY. THANK YOU FOR

01:43 - 48.398 THAT ENDED SECRETARY. I'M NOT

01:43 - 49.666 MISTAKEN. THIS BUDGET ALSO ADDS

01:43 - 51.467 ADDITIONAL COMBINED WITH

01:43 - 52.468 REPORTING REQUIREMENTS, RIGHT?

01:43 - 53.037 MANDATORY. SO IF THIS

01:43 - 54.070 ADMINISTRATION ON ONE SIDE SAYS

01:43 - 58.208 THEY WERE FOR CUTTING TAXES

01:43 - 59.075 ON BUSINESSES ISN'T A MANDATORY

01:43 - 59.743 REPORTING. ISN'T THAT ON THE

01:43 - 02.412 OTHER SIDE, THE COMPANY HAS

01:44 - 03.746 TO SHARE. MORE OF THE AMOUNT

01:44 - 06.716 OF THE INCOME SUBJECT TO TAXES.

01:44 - 08.117 WITNESS ON ONE HIM RAISED TAXES

01:44 - 08.752 ON SOME OF THESE BUSINESS

01:44 - 12.689 DEPENDS ON THE BENCH ON THE

01:44 - 15.225 COMPANY. IT'S SO.

01:44 - 17.327 WELL THE COMPANY'S TAX WILL GO

01:44 - 18.028 UP OR DOWN DUCKS IN THE RACE.

01:44 - 19.996 STRUCTURE WOULD DEPEND ON THE

01:44 - 21.397 MAKEUP OF THE COMPANY. NOTHING

01:44 - 22.066 TO DO WITH RAISING TAXES ON

01:44 - 26.169 BUSINESSES ARE RAISING MORE

01:44 - 26.804 MONEY. REASON TO DO THIS.

01:44 - 29.806 AND IT'S BEEN ON THE TABLE

01:44 - 32.842 SINCE 2003. THE REASON TO DO

01:44 - 33.510 THIS IS TO PUT OUR SYSTEM IN

01:44 - 36.913 THE 21ST CENTURY AS WHERE IT

01:44 - 37.747 SHOULD BE, IT MIGHT BE. SOME

01:44 - 38.449 COMPANIES IS TAXABLE OUT MIGHT

01:44 - 40.316 BE SOMETHING. THEY'LL GO DOWN

01:44 - 42.385 ANY TAXES. THE PURPOSE IS NOT

01:44 - 45.722 THE RAISE MONEY REPRESENTS THEM

01:44 - 46.357 OUR SYSTEM. 2 MAKE IT MORE

01:44 - 50.627 REFLECTIVE OF MODERN ECONOMY.

01:44 - 51.295 I JUST RAISE CAUTION IN, YOU

01:44 - 55.064 KNOW, WE SEE THIS EVERYWHERE.

01:44 - 55.698 TODAY'S BUSINESS CLIMATE,

01:44 - 56.333 WHENEVER WE RAISE TAXES ON

01:44 - 57.900 SHORE, PARKWAY AND AUNTS,

01:44 - 59.702 CERTAIN BUSINESSES,

01:44 - 01.671 CORPORATIONS, THOSE TAXES JUST

01:45 - 02.305 GET ROLLED BACK INTO THEIR

01:45 - 02.972 PRODUCT TO THEIR SERVANT AND

01:45 - 03.806 A FALL BACK ON THE BACKS OF

01:45 - 04.375 HARD-WORKING FOLKS IN

01:45 - 07.343 PENNSYLVANIA. THANK YOU FOR

01:45 - 08.045 YOUR TIME. THANK YOU, MR.

01:45 - 10.713 CHAIRMAN, THANK YOU, GENTLEMEN.

01:45 - 11.781 REPRESENTATIVE MARCEL. THANK

01:45 - 12.483 YOU, MR. CHAIRMAN, THANK YOU,

01:45 - 14.651 MR. SECRETARY FOR JOINING US

01:45 - 16.719 THIS MORNING.

01:45 - 17.354 A FEW DAYS AGO THE

01:45 - 19.422 PATRIOT-NEWS REPORTED ON A

01:45 - 21.491 STUDY CONDUCTED BY WALLET HUB

01:45 - 22.192 THAT PENNSYLVANIA HAS THE 4TH

01:45 - 24.560 HIGHEST TAX RATE IN THE

01:45 - 26.529 COUNTRY.

01:45 - 27.163 CONNECTICUT, NEW YORK AND

01:45 - 27.865 ILLINOIS JOIN PENNSYLVANIA AND

01:45 - 30.233 THE HIGHEST END OF THE

01:45 - 32.168 SPECTRUM.

01:45 - 32.736 WALLET HUB RESEARCHERS

01:45 - 34.871 BASICALLY COMPARED ALL STATES

01:45 - 37.307 ACROSS 4 TYPES OF TAXATION,

01:45 - 37.908 REAL ESTATE TAX VEHICLE,

01:45 - 42.211 PROPERTY, TAX INCOME, TAX SALES

01:45 - 43.013 AND EXCISE TAX. EFFECTIVE,

01:45 - 45.481 TOTAL STATE AND LOCAL TAX RATES

01:45 - 47.350 ON THE AVERAGE HOUSEHOLD IN

01:45 - 50.987 PENNSYLVANIA WERE FOUND TO BE

01:45 - 51.722 14 POINT O 9%. I RECOGNIZE THAT

01:45 - 55.158 SOME OF THESE TAXES, ESPECIALLY

01:45 - 55.826 PROPERTY TAXES VARY BETWEEN

01:45 - 58.795 REGIONS, COUNTIES AND SOMETIMES

01:45 - 00.396 EVEN SCHOOL DISTRICTS. BUT THE

01:46 - 01.031 STATE IS RESPONSIBLE FOR A

01:46 - 04.000 LARGE PORTION OF THE OVERALL

01:46 - 06.669 TAXES THAT OUR CITIZENS PAY.

01:46 - 08.571 AND ALSO NOTE THAT THE ALSO

01:46 - 09.273 ATTEND TO HAVE A VERY HIGH GAS

01:46 - 12.141 TAX RATE AS EVERYONE HERE IS

01:46 - 13.910 AWARE.

01:46 - 15.611 YOU MENTIONED THAT ARE

01:46 - 16.180 DECLINING YOUNGER AGE

01:46 - 20.683 POPULATION. EARLIER ON. YOU

01:46 - 21.617 MENTIONED THAT THESE YOUNGER

01:46 - 22.353 FOLKS, YOU KNOW, ART, MAYBE GET

01:46 - 24.087 COMING TO PENN STATE WHERE THEY

01:46 - 24.955 MIGHT BE LEAVING PENNSYLVANIA.

01:46 - 29.025 AND SO FOR TRYING TO ATTRACT

01:46 - 30.026 A YOUNGER WORKER DEMOGRAPHIC.

01:46 - 31.427 AND WE'RE TRYING TO ATTRACT

01:46 - 34.564 FAMILIES TO USE TO STAY IN OUR

01:46 - 35.165 STATE OR TO MOVE TO

01:46 - 39.168 OUR STATE. HOW CAN WE EXPECT

01:46 - 42.038 TO ATTRACT THEM WHEN WE'RE

01:46 - 42.740 RANKING 4TH IN THE NATION FOR

01:46 - 44.640 OUR TAXES, I HAVE TO TAKE AN

01:46 - 46.776 OPPORTUNITY TO STUDY A NUMBER.

01:46 - 47.411 IT WOULDN'T BE SOMETHING I

01:46 - 48.611 WOULD.

01:46 - 49.480 ALL THE WOULD AGREE WITH.

01:46 - 53.416 I DON'T KNOW HOW WE CAN BE 4TH

01:46 - 54.650 IN THE COUNTRY IN TAXATION WHEN

01:46 - 55.351 THE PRIMARY LEVEL WE HAVE THE

01:46 - 56.120 PRESIDENT COME TAXES SITTING

01:46 - 00.123 AT ONE OF THE LOWEST STATES WHO

01:47 - 00.924 HAVE WON. YES, I MIGHT BE

01:47 - 04.093 TALKING ABOUT A CONSOLIDATED

01:47 - 04.695 TAX ACROSS ALL DIFFERENT

01:47 - 06.596 LEVEES. AGAIN, AS YOU SAID,

01:47 - 09.932 DEPENDS ON THE REGION. BUT I

01:47 - 14.570 DO. I GO.

01:47 - 15.339 NOT FAMILIAR WITH AN ASSESSMENT

01:47 - 18.541 OF 14% AND TOTAL INCOME BECAUSE

01:47 - 20.977 OF ALL THE TAX IN SPREAD.

01:47 - 21.678 I LAST TIME THIS WAS EVALUATED

01:47 - 26.115 BY THE IPHONE WAS SIGNIFICANTLY

01:47 - 27.250 LOWER THAN THAT. BUT

01:47 - 27.951 WHAT I I BELIEVE IS IMPORTANT

01:47 - 30.019 REGARDING ITS ATTRACTING AND

01:47 - 33.156 KEEPING PEOPLE HERE. IS THE

01:47 - 35.525 LEVEES THAT.

01:47 - 36.659 WORKING FAMILIES, PEOPLE.

01:47 - 37.227 WE WANT TO ATTRACT THE

01:47 - 40.430 PENNSYLVANIA BUILD AN ECONOMY

01:47 - 42.365 PAY. AND THAT IS 307, ON INCOME

01:47 - 43.033 WAS ONE OF THE LOWEST IN THE

01:47 - 47.036 COUNTRY. SALES TAX RATE, WHICH

01:47 - 50.106 IS THE MIDDLE

01:47 - 50.908 CORPORATE INCOME TAX STRUCTURE

01:47 - 53.209 THAT ATTRACTS THE BUSINESSES

01:47 - 54.343 THEY WOULD WORK TO RIGHT NOW.

01:47 - 57.780 THIS GOVERNMENT IS DOING WHAT

01:47 - 59.081 IT NEEDS TO DO TO ACCOMMODATE

01:47 - 02.151 THAT PART OF OUR TAX STRUCTURE.

01:48 - 03.152 THAT WAS THE MOST UNCOMPETITIVE

01:48 - 04.787 FOR 30 YEARS IN PHASE DOWN TO

01:48 - 09.725 A PLACE WHERE B IN THE TOP 15.

01:48 - 10.394 AND I WOULD THINK THAT THAT

01:48 - 15.064 STUDY, IF IT WAS GOING TO

01:48 - 15.732 APPLY. AND SOME OF THESE TAX

01:48 - 19.702 BURDEN IN RELATION TO ITS

01:48 - 21.237 ECONOMY. I WOULD HAVE TO

01:48 - 21.905 COMMENT. I DON'T SEE HOW IT

01:48 - 23.906 ACCOMMODATES NOT AT 14%.

01:48 - 24.875 AND JUST I HAVE TO LOOK AT

01:48 - 27.076 STUNNING.

01:48 - 27.878 SO I I'M MORE THAN HAPPY TO

01:48 - 29.879 TO SHARE THE ARTICLE WITH YOUR

01:48 - 30.980 TEAM. I BELIEVE THAT PART OF

01:48 - 33.749 THE THE RESEARCH THAT WAS DONE

01:48 - 35.985 WAS BASED ON INFORMATION FROM

01:48 - 36.686 THE BUREAU OF LABOR STATISTICS

01:48 - 37.354 AND SOME OTHER AREAS. SO I'M

01:48 - 39.422 HAPPY TO TO PROVIDE THAT AND

01:48 - 41.624 MAYBE YOU COULD GET BACK TO US

01:48 - 42.658 LOOKING AT THAT TO SEE IF MAYBE

01:48 - 44.393 THERE'S SOMETHING THAT WE'RE

01:48 - 45.261 MISSING. BUT HAS A LOOK AT THAT

01:48 - 45.963 AND HAVE TO LOOK AT THE STUDY

01:48 - 48.164 INTO THIS, SOMETHING THAT

01:48 - 48.665 REMAIN 14% ACROSS.

01:48 - 52.201 JUST FOR INDIVIDUAL TAXATION.

01:48 - 53.469 AND THEN BEING AND MAYBE THE

01:48 - 56.639 HIGHEST PROPERTY TAX PART OF

01:48 - 00.576 THE STATE.

01:49 - 02.778 WHEN POSSIBLY WE WEST OF THE

01:49 - 03.480 SUSQUEHANNA RIVER IN RELATION

01:49 - 04.981 TO PROFIT. THEY WILL PROBABLY

01:49 - 07.016 TAKE. SO WE'D HAVE TO LOOK AT

01:49 - 09.051 ABSOLUTELY WELL. AND I KNOW I

01:49 - 10.086 GET A LOT OF FEEDBACK FROM

01:49 - 10.787 PEOPLE, MY COMMUNITY ABOUT THE

01:49 - 13.389 GAS TAX INHERITANCE HAT IN

01:49 - 14.091 TERRE TONS TAX PROPERTY TAXES.

01:49 - 16.526 OF COURSE WHAT? YOU GUYS DON'T

01:49 - 17.261 HAVE ANY CONTROL OVER. BUT WHAT

01:49 - 19.562 I WOULD SAY IS THAT AS WE'RE

01:49 - 22.732 THINKING ABOUT PEOPLE HAVING

01:49 - 23.367 AFFORDABILITY CONCERNS AND

01:49 - 27.036 EVERY, YOU KNOW, THEIR UTILITY

01:49 - 27.704 BILLS COMING IN SOON, WE'RE

01:49 - 29.705 GOING TO HAVE TAX PAYMENTS THAT

01:49 - 31.674 ARE GOING TO BE MADE. AND SO I

01:49 - 33.209 WOULD JUST SAY THAT IF WE CAN

01:49 - 35.611 LOOK AT SOME OF THESE AREAS

01:49 - 38.281 WHERE WE CAN HELP PEOPLE, EVEN

01:49 - 40.216 IF IT SEEMS LIKE IT'S A SMALLER

01:49 - 42.218 AMOUNT, EVERY BIT IS GOING TO

01:49 - 43.185 HELP THE FAMILIES WITHIN

01:49 - 43.886 PENNSYLVANIA. SO I APPRECIATE

01:49 - 44.588 YOU TAKING A LOOK AT THE STUDY

01:49 - 46.656 GETTING BACK TO US. IF YOU HAVE

01:49 - 49.625 ANY THOUGHTS ON IT AND THEN

01:49 - 50.594 FINALLY, I KNOW MY YELLOW

01:49 - 52.194 LATEST ON. BUT HOW IS IT THAT

01:49 - 52.896 THE GOVERNOR'S BUDGET IS GOING

01:49 - 55.431 TO HELP IN THE AREAS I JUST

01:49 - 57.967 NAMED?

01:49 - 04.840 IN TERMS OF TAX BIRD, THE

01:50 - 05.508 CONTINUED IMPLEMENTATION OF

01:50 - 06.209 THE ASSEMBLY IN THE GOVERNOR'S

01:50 - 08.578 PROPOSALS TO DROP THE CORPORATE

01:50 - 09.146 INCOME TAX.

01:50 - 14.150 I STILL BELIEVE THAT SOME OF

01:50 - 15.117 THE ASSESSMENTS OTHER.

01:50 - 15.919 ACTIVITIES, INCLUDING THIS GO

01:50 - 20.056 GAMES IS A MATTER OF FAIRNESS.

01:50 - 21.524 CROSS THE ENTIRE GAMING MARKET.

01:50 - 23.526 SO THAT I THINK CREWS ARE ALL

01:50 - 25.661 SITUATION DOESN'T MAKE IT WORSE

01:50 - 26.597 SO THAT OTHER FORMS OF GAMING

01:50 - 29.699 WILL BE TREATED FAIRLY AND

01:50 - 33.035 EQUITABLY

01:50 - 33.670 REFORMS AND THE GOVERNORS.

01:50 - 35.237 ALSO, WE'RE GOING TO STING TAX

01:50 - 37.139 CREDITS THAT IS VERY IMPORTANT.

01:50 - 37.907 THE EDGE TAX CREDIT WAS

01:50 - 38.474 DEVELOPED ON THE WOLF

01:50 - 39.076 ADMINISTRATION REALLY TO

01:50 - 41.444 ACCOMMODATE SINGLE

01:50 - 42.645 OPPORTUNITIES.

01:50 - 43.279 THE GOVERNOR IS PROPOSING

01:50 - 43.946 SIGNIFICANT REFORMS AND ALL

01:50 - 44.615 THOSE DIFFERENT COMPONENTS.

01:50 - 47.950 WE'RE GOING TO MAKE IT BACK.

01:50 - 49.118 THANK YOU, MR. SECRETARY,

01:50 - 49.820 THANK YOU, MR. CHAIRMAN, THANK

01:50 - 52.154 THE GENERAL. A REPRESENTATIVE

01:50 - 58.027 KALE.

01:50 - 01.030 THANK YOU, MR. CHAIRMAN.

01:51 - 01.732 I APPRECIATE THE ANGELIC MUSIC

01:51 - 05.267 AS THEY APPROACH. YOU KNOW,

01:51 - 07.303 THIS. FEELS GOOD. SOUNDS GOOD,

01:51 - 10.272 MR. SECRETARY, THANK YOU FOR

01:51 - 11.407 BEING HERE TODAY. I WANT TO

01:51 - 13.142 FOLLOW UP A LITTLE BIT WITH

01:51 - 15.544 OURSELVES QUESTION. I HAVE A

01:51 - 20.483 COUPLE QUESTIONS MYSELF.

01:51 - 21.184 WE'VE HEARD A LOT TODAY ABOUT

01:51 - 23.052 PENNSYLVANIA'S POPULATION AND

01:51 - 23.954 PEOPLE LEAVING THE

01:51 - 26.088 COMMONWEALTH. AND THERE SEEMS

01:51 - 29.291 TO BE A CONSENSUS THAT THERE'S

01:51 - 29.993 A CORRELATION BETWEEN THAT AND

01:51 - 32.628 THE TAX BURDEN THAT

01:51 - 35.698 PENNSYLVANIANS FEEL. IN YOUR

01:51 - 40.036 ESTIMATION.

01:51 - 40.670 COULD WE DO AS THE GENERAL

01:51 - 41.371 ASSEMBLY IN HARRISBURG ACROSS

01:51 - 44.240 THE BOARD, THE GOVERNOR GENERAL

01:51 - 45.741 ASSEMBLY.

01:51 - 49.812 WHICH TAX WOULD BE MOST

01:51 - 51.881 IMPACTFUL TO CUT TO KEEP PEOPLE

01:51 - 52.449 IN THE COMMONWEALTH OF

01:51 - 53.749 PENNSYLVANIA. WHERE CAN WE GET

01:51 - 55.818 THE MOST BANG FOR OUR BUCK?

01:51 - 56.919 I THINK THAT THE ONES THAT ARE

01:51 - 58.120 LEAST COMPETITIVE RIGHT NOW,

01:51 - 58.755 YOU DON'T HAVE TO TAKE ANY

01:51 - 00.823 PROACTIVE ACTION TO DO IT.

01:52 - 01.557 AND THAT IS.

01:52 - 02.292 AND WE WERE TALKING ABOUT FOR

01:52 - 04.694 MANY YEARS. AND THAT IS KEEPING

01:52 - 06.028 THE SCHEDULE ON TIME FOR THE

01:52 - 08.364 REDUCTION OF THE CORPORATE

01:52 - 09.332 INCOME TAX BECAUSE THAT WILL

01:52 - 10.599 THERE'S NOTHING IN THAT THAT

01:52 - 12.168 WILL ENCOURAGE ADDITIONAL

01:52 - 15.237 INVESTMENT OTHER THAN THE FACT

01:52 - 17.773 THAT.

01:52 - 18.407 RESUMES COMMUNICATE TO THE

01:52 - 19.142 WORLD THAT IT NOW WANTS TO BE A

01:52 - 21.043 COMPETITIVE PLACE TO DO

01:52 - 24.747 BUSINESS. THE PAST. WE NEED

01:52 - 25.382 TO GROW REVENUE CAPACITY.

01:52 - 28.184 WE NEED TO GROW IN ORDER TO

01:52 - 28.752 ACCOMMODATE OUR BUDGET

01:52 - 30.619 CHALLENGES. IT'S THE PERSONAL

01:52 - 31.321 INCOME TAX AND THE SALES MAKES

01:52 - 33.756 UP THE VAST MAJORITY OF OUR

01:52 - 36.025 REVENUE CAPACITY.

01:52 - 38.327 THE REDUCTION OF THAT TAX CUT

01:52 - 38.929 INCOME TAX SHOULD DRIVE

01:52 - 42.098 INCREASES, KNOWS BECAUSE WE'LL

01:52 - 42.799 GET MORE PEOPLE WORKING IN THE

01:52 - 47.336 COMMONWEALTH AND TO PAY THE

01:52 - 48.604 TAX. I'VE NEVER BEEN.

01:52 - 49.739 NOW WE HAVE ALI IN A

01:52 - 50.707 COMPETITION FOR THE INVEST.

01:52 - 53.109 WE GOT FROM ELI LILLY COUPLE

01:52 - 53.810 ABOUT A MONTH AGO. THAT IS FAR

01:52 - 57.780 BEYOND WHAT WE'VE BEEN THROUGH.

01:52 - 59.849 IN THE COMPETITIVE DOING.

01:52 - 00.549 THAT'S CROSS THE ENTIRE STATE

01:53 - 01.184 BIGGEST INVESTMENT WE HAD

01:53 - 05.855 BEFORE. THAT WAS 800 MILLION.

01:53 - 06.956 THIS 3.5 BILLION. THOSE THE

01:53 - 08.124 OPPORTUNITY AND I'M STRONGER

01:53 - 09.859 CORPORATE INCOME TAX STRUCTURE

01:53 - 11.427 WILL PUT US IN THE GAME.

01:53 - 14.497 AND IF WE DO THAT. I MEAN

01:53 - 18.200 LEVELS.

01:53 - 20.169 I APPRECIATE THAT. BUT MOST

01:53 - 21.270 BUSINESSES, THOUGH, IN THE

01:53 - 22.638 COMMONWEALTH PAY THEIR TAXES

01:53 - 23.306 THROUGH THE PERSONAL INCOME

01:53 - 27.910 TAX ELSIE'S, THE PASS THROUGHS.

01:53 - 30.112 I'M CURIOUS.

01:53 - 33.482 IF LOWERING THE PERSONAL INCOME

01:53 - 34.116 TAX, ALBEIT IT'S A MASSIVE

01:53 - 34.918 REVENUE GENERATOR. WOULD IT BE

01:53 - 37.987 POSSIBLE THAT IF WE LOWERED IT

01:53 - 38.988 A CERTAIN EXTENT AND THAT WE

01:53 - 41.123 WOULD ACTUALLY END UP

01:53 - 41.825 ATTRACTING MORE PEOPLE TO THE

01:53 - 44.026 COMMONWEALTH OVERTIME AND

01:53 - 45.394 GROWING OUR TAX BASE AND THEN

01:53 - 47.363 BASICALLY HAVING A WIN-WIN

01:53 - 52.501 BECAUSE YOU HAVE MORE PEOPLE

01:53 - 53.135 GENERATING REVENUE FOR THE

01:53 - 53.804 COMMONWEALTH. WHILE THE SAME

01:53 - 56.172 TIME OUR CONSTITUENTS ARE

01:53 - 56.706 PAYING LOWER DOLLAR.

01:53 - 58.507 I WOULD I WOULD AGREE WITH

01:53 - 01.644 THAT AS A POSSIBILITY FOR BOTH

01:54 - 02.212 INVESTMENT. IF IT WAS.

01:54 - 03.646 IF IT WAS NOW CONSIDERED

01:54 - 06.982 SOMETHING TO KEEP PEOPLE OUT,

01:54 - 11.253 GIVEN THE FACT THAT

01:54 - 11.887 307, SITS IN A COMPETITIVE

01:54 - 12.556 CATEGORY. IT'S NOT SOMETHING

01:54 - 13.889 THAT DISCOURAGES PEOPLE INVEST

01:54 - 18.627 HERE. I WOULD QUESTION WHETHER

01:54 - 19.496 REDUCING TAXES ALWAYS BUT THING

01:54 - 22.531 I IT'S SOMETHING WE ALL WANT TO

01:54 - 23.666 CONSIDER. BUT I I WOULD

01:54 - 25.968 QUESTION WHETHER REDUCING THAT

01:54 - 27.636 LEVEE FROM 3, 0, 7, AND 2.5.

01:54 - 28.370 AND GIVEN THE FACT IT'S ALREADY

01:54 - 28.972 COMPETITIVE, LEVY WOULD

01:54 - 30.506 ENCOURAGE ADDITIONAL INVEST.

01:54 - 32.875 BECAUSE IT'S ALREADY IN PLACE.

01:54 - 35.911 NO ONE IS CONSIDERING NOT BEING

01:54 - 36.580 IN PENNSYLVANIA. BECAUSE THE

01:54 - 42.918 TAX PERSON IN TAXES TO WHY.

01:54 - 43.753 NOW ONE AREA WHERE WE ARE

01:54 - 46.789 COMPETITIVE, ALTHOUGH WE ARE

01:54 - 47.457 GETTING BETTER INCREMENTALLY

01:54 - 50.826 OVER TIME IS OUR NET OPERATING

01:54 - 51.628 LOSS PROVISIONS. AND BASICALLY

01:54 - 52.828 WHEN WHEN SOMEBODY INVESTS HOW

01:54 - 55.497 FAR THEY CAN CARRY THIS

01:54 - 56.732 FORWARD, THAT WHAT WHAT

01:54 - 59.702 PERCENTAGE WOULD YOU RECOMMEND

01:54 - 01.470 THAT WE GET AT LEAST TO THE

01:55 - 02.172 FEDERAL LEVEL OF NET OPERATING

01:55 - 03.906 LOSS PROVISIONS WITH THAT

01:55 - 04.708 HEALTH INVESTMENT IN THE

01:55 - 07.610 COMMONWEALTH. O UR FORMS HAVE

01:55 - 08.445 DONE THAT OVER TIME. IF THE

01:55 - 12.548 80% SENT OFF SAYING AGAINST

01:55 - 13.616 INCOME. SO YOU. IT'S

01:55 - 14.750 SOMETHING THAT IT SHOULD BE

01:55 - 15.484 MENTIONED ALONG WITH THE SEEING

01:55 - 16.118 EYE REDUCTION, SEEN A RATE

01:55 - 16.853 REDUCTION IS THAT THIS ASSEMBLY

01:55 - 20.656 IS PASS ALONG WITH THE GOVERNOR

01:55 - 21.690 SO I HAVE TO REMEMBER TO DO

01:55 - 22.958 THAT BECAUSE IT'S ALSO VERY

01:55 - 24.894 IMPORTANT TO TO ACCOMMODATE

01:55 - 25.595 CYCLES AND BUSINESS ACTIVITY.

01:55 - 28.430 BUT THE ASSEMBLY HAS ALREADY

01:55 - 29.132 ACTED TO DO THAT LONG. AS YOU

01:55 - 32.401 SAY, THIS GOVERNMENT STAYS ON.

01:55 - 33.236 THAT'S GOOD.

01:55 - 35.070 AND I VERY BRIEFLY HAVE A

01:55 - 35.739 QUICK QUESTION OR ABOUT THE

01:55 - 38.641 REFUND RESERVES. IT USED TO BE

01:55 - 42.778 PRETTY CONSISTENT EACH FISCAL

01:55 - 44.680 YEAR ABOUT 1.2 BILLION DOLLARS

01:55 - 46.815 IN THIS YEAR'S PROPOSAL.

01:55 - 47.449 THE REFUND RESERVE IS JUST

01:55 - 48.084 UNDER 2.5 BILLION DOLLARS.

01:55 - 51.487 THAT'S MORE THAN DOUBLE THAN

01:55 - 52.322 WHAT IT HAD BEEN. WHY ARE WE

01:55 - 53.322 CONTINUE TO SEE SUCH

01:55 - 54.057 EXPONENTIAL GROWTH IN RESERVES?

01:55 - 56.492 AND CAN WE EXPECT THAT GOING

01:55 - 58.627 FORWARD?

01:55 - 59.262 TALKING ABOUT THE REFUND

01:55 - 01.497 AMOUNTS REFUNDS. THE BIGGEST

01:56 - 02.831 DRIVER OF THAT INCREASE OF THIS

01:56 - 06.502 RECENTLY WAS OUR SYSTEM.

01:56 - 08.971 MY PATH SYSTEM IS ABLE TO

01:56 - 09.606 PROCESS PAYMENTS. REFUNDS.

01:56 - 11.040 FASTENAL LEGACY. SIMPSON'S

01:56 - 12.207 SYSTEMS WERE. SO THERE'S A

01:56 - 12.842 TIMING DIFFERENCE AND WHAT

01:56 - 14.109 OTHERWISE BE IN THE FOLLOWING

01:56 - 17.313 YEAR IS IN THE CURRENT YEAR.

01:56 - 19.515 AND COMPANIES.

01:56 - 20.216 SEEING I RENT WHILE THE HOUSE

01:56 - 22.551 HAVE NOT ADJUSTED GOING TO OUR

01:56 - 24.520 RATE REDUCTIONS. THIS STILL

01:56 - 25.220 PAYING ESTIMATES BASED ON

01:56 - 25.922 HIGHER RATES. SO WE'RE SEEING

01:56 - 27.389 HIGHER REFUNDS IN THE CORPORATE

01:56 - 31.727 INCOME TAX KIND OF ONCE THAT

01:56 - 32.361 A-LEVELS OUT. IN TERMS OF

01:56 - 33.263 COMPANIES CATCHING UP TO THE

01:56 - 36.432 RATE REDUCTIONS, THOSE NUMBERS

01:56 - 37.333 TO COME NOW.

01:56 - 38.033 THANK YOU. THANK YOU, MISTER

01:56 - 38.668 SECRETARY. THANK YOU, MR.

01:56 - 42.905 CHAIRMAN, THANK THE GENTLEMAN.

01:56 - 43.373 CHAIR SAMUELSON.

01:56 - 46.475 THANK YOU. I'M HERE ON BEHALF

01:56 - 47.210 OF THE HOUSE FINANCE COMMITTEE.

01:56 - 50.412 AND I JUST WANT TO THANK YOU.

01:56 - 52.214 SECRETARY BROWN AND THANK THE

01:56 - 55.184 SHAPIRO ADMINISTRATION FOR

01:56 - 55.885 COOPERATING WITH THIS GENERAL

01:56 - 57.786 ASSEMBLY ON SOME SIGNIFICANT

01:56 - 02.424 TAX CHANGES WE HAVE MADE.

01:57 - 04.626 TO BENEFIT. INDIVIDUALS TO

01:57 - 05.661 BENEFIT BUSINESSES. WE'VE CUT

01:57 - 06.862 TAXES SO MANY TIMES I MIGHT USE

01:57 - 10.032 UP MY WHOLE 5 MINUTES TALKING

01:57 - 11.133 ABOUT THE TAX CUTS.

01:57 - 14.737 WE'VE EXPANDED THE PROPERTY TAX

01:57 - 16.338 RENT REBATE PROGRAM IN A

01:57 - 17.073 DRAMATIC WAY. WE'VE TRIPLED THE

01:57 - 20.009 CHILDCARE AND DEPENDENT CARE

01:57 - 21.643 TAX CREDIT.

01:57 - 22.311 WE HAVE A BRAND NEW STUDENT

01:57 - 22.979 LOAN INTEREST DEDUCTION THAT

01:57 - 28.317 PEOPLE ARE TAKING RIGHT NOW.

01:57 - 31.253 ON THEIR TAX FORMS.

01:57 - 33.155 HAVE A BRAND-NEW WORKING

01:57 - 33.790 PENNSYLVANIANS TAX CREDIT

01:57 - 36.859 THAT'S GOING TO BENEFIT MAYBE

01:57 - 37.494 AS MANY AS 940,000 PEOPLE.

01:57 - 40.262 WE'VE EXPANDED THE NET

01:57 - 40.930 OPERATING LOSS PROVISION FOR

01:57 - 43.165 BUSINESSES INCREASING THE

01:57 - 44.900 PERCENTAGE OF TAXABLE INCOME.

01:57 - 48.037 THEY THEY CAN BE OFFSET BY NET

01:57 - 50.139 OPERATING LOSSES.

01:57 - 54.376 WE'VE INCREASED THE AMOUNT OF

01:57 - 54.943 FUNDS BUDGETED FOR THE

01:57 - 55.612 NEIGHBORHOOD ASSISTANCE TAX

01:57 - 59.848 CREDIT, DOUBLE THAT PROGRAM.

01:57 - 00.517 WEVE QUADRUPLED THAT PROGRAM

01:58 - 03.152 FOR HISTORIC PRESERVATION.

01:58 - 05.254 TAX CREDITS. WE HAVE A NEW TAX

01:58 - 07.056 CREDIT ALLOWING EMPLOYERS TO

01:58 - 07.657 DEDUCT A PORTION OF 5.29

01:58 - 10.759 CONTRIBUTIONS THEY MAKE FOR

01:58 - 11.827 THEIR EMPLOYEES. WE HAVE A NEW

01:58 - 15.364 TAX CREDIT ALLOWING EMPLOYERS

01:58 - 17.699 TO BE DOCKED.

01:58 - 20.502 CHILDCARE COSTS THAT THEY COVER

01:58 - 23.405 FOR THEIR EMPLOYEES. WE'VE

01:58 - 24.007 EXPANDED THE QUALIFIED.

01:58 - 26.809 INNOVATION AND REINVESTMENT.

01:58 - 29.878 DEDUCTION THAT BENEFITS LIFE

01:58 - 32.915 SCIENCES COMPANIES.

01:58 - 33.516 WE'VE RE-ESTABLISHED AND

01:58 - 34.917 ENHANCE THE RURAL JOBS AND

01:58 - 37.586 INVESTMENT TAX CREDIT. WE'VE

01:58 - 39.354 MADE SURE THAT FOLKS, HOLOCAUST

01:58 - 42.324 VICTIMS WHO RECEIVE PAYMENTS,

01:58 - 44.393 THAT THOSE PAYMENTS ARE NOT

01:58 - 45.928 TAXABLE. AND WE'VE CONTINUED

01:58 - 46.596 THE CORPORATE NET INCOME TAX

01:58 - 49.832 REDUCTION THAT WAS ENACTED A

01:58 - 50.399 FEW YEARS AGO WITH THE

01:58 - 51.067 CORPORATE NET INCOME TAX IS

01:58 - 54.269 BEING REDUCED OVER 9 YEARS.

01:58 - 55.004 I HAVE QUESTIONS ON A COUPLE OF

01:58 - 56.738 THESE AND I KNOW MY COLLEAGUES

01:58 - 00.209 HAVE COVERAGE OF SEVERAL OF

01:59 - 00.876 THE PROGRAMS, INCLUDING THE

01:59 - 01.611 TRIPLING OF THE CHILDCARE CHILD

01:59 - 05.114 AND DEPENDENT CARE TAX CREDIT.

01:59 - 05.815 ON THE BRAND NEW STUDENT LOAN

01:59 - 08.650 INTEREST DEDUCTION. I WANT TO

01:59 - 09.284 CREDIT REPRESENTATIVE MARY

01:59 - 10.253 ISAACSON FROM PHILADELPHIA WHO

01:59 - 15.891 CAME UP WITH THAT IDEA. BUT NOW

01:59 - 16.959 IT'S IN LAW. THERE IS NO INCOME

01:59 - 17.660 LIMIT FOR FOLKS WHO CAN CLAIM

01:59 - 19.895 THAT CHILD, THAT STUDENT LOAN

01:59 - 23.966 INTEREST DEDUCTION. I CORRECT

01:59 - 27.870 IN THAT THAT REGARD.

01:59 - 28.471 IF IT IF IT MODELS THE

01:59 - 31.173 FEDERAL ADOPTION, THERE IS AN

01:59 - 32.875 INCOME.

01:59 - 33.575 A LOOK AT THE STATUTE RELATING

01:59 - 34.377 TO WHETHER THEY ARE STIFF.

01:59 - 37.379 AND I THOUGHT OF MODEL THE

01:59 - 37.846 FEDERAL STATUTE.

01:59 - 38.515 OKAY. I BELIEVE OUR INTENT

01:59 - 43.485 WAS TO HAVE IT AVAILABLE TO

01:59 - 44.653 ANY TAXPAYER

01:59 - 45.355 IN PENNSYLVANIA. ALSO, I WANT

01:59 - 47.789 TO NOTE THAT IT LOOKS LIKE THE

01:59 - 49.458 BUDGET HAS ABOUT 36 MILLION

01:59 - 50.126 DOLLARS SET ASIDE FOR THAT,

01:59 - 53.862 WHICH WOULD BE ENOUGH FOR ABOUT

01:59 - 54.564 4701000 PEOPLE, ALMOST HALF A

01:59 - 56.665 MILLION PEOPLE TO CLAIM THAT

01:59 - 57.733 STUDENT LOAN INTEREST DEDUCTION

01:59 - 00.736 WHERE YOU CAN DEDUCT $2500 OFF

02:00 - 03.071 YOUR TAXABLE INCOME IF THERE

02:00 - 06.675 WOULD BE MORE THAN $475,000.

02:00 - 07.276 A FORMER 75,000 PEOPLE,

02:00 - 07.911 OBVIOUSLY THAT THOSE FOLKS

02:00 - 08.977 WOULD ALSO BE ABLE TO CLAIM.

02:00 - 14.650 TO CLAIM THIS TAX DEDUCTION.

02:00 - 15.250 ON THE PROPERTY TAX RENT

02:00 - 15.952 REBATE. I KNOW REPRESENTATIVE

02:00 - 17.920 GALLAGHER ASKED ABOUT THIS

02:00 - 19.154 EARLIER.

02:00 - 22.357 WHEN WE PASSED THIS LAW.

02:00 - 23.659 THE ESTIMATE WAS ABOUT

02:00 - 25.093 570,000 PEOPLE A QUALIFIED BY

02:00 - 26.929 THE EXPANSION. I APPRECIATE WE

02:00 - 27.864 HAVE 93 CO-SPONSORS AND HOUSE

02:00 - 32.868 REPRESENTATIVES WHEN THAT BILL

02:00 - 33.770 PASSED LAST YEAR.

02:00 - 35.704 I BELIEVE A YEAR AGO, I BELIEVE

02:00 - 39.074 I READ THAT ABOUT 520,000

02:00 - 39.776 PEOPLE CALL QUALIFIED FOR THE

02:00 - 40.777 REBATE IN THE FIRST YEAR OF

02:00 - 42.611 EXPANSION IS AN ACCURATE

02:00 - 45.614 NUMBER. APPROXIMATELY, RIGHT?

02:00 - 46.949 YES, OKAY. AND THE SECOND HERE

02:00 - 47.550 FOR 2025, WHAT WAS THAT?

02:00 - 50.085 NUMBER 500,000 SORRY WERE

02:00 - 51.820 500,000.

02:00 - 54.957 500,000 NUMBER PEOPLE QUALIFY?

02:00 - 56.792 YEAH. OKAY.

02:00 - 00.762 I REALIZED FOLKS MIGHT STILL BE

02:01 - 02.164 HEARING HEARING THAT WE IX

02:01 - 06.902 EXPANDED THAT SIGNIFICANTLY

02:01 - 08.270 IN JUST 2 YEARS AGO. BUT I KNOW

02:01 - 09.338 WE WERE ALL TALKING ABOUT THE

02:01 - 12.641 INITIAL PROJECTION OF 570,000

02:01 - 14.276 1000 PEOPLE.

02:01 - 15.011 WANT TO TALK A LITTLE BIT ABOUT

02:01 - 16.278 THE OUTREACH. I KNOW ALL OF

02:01 - 19.448 OUR OFFICES. I DO REBATES.

02:01 - 23.352 I DID THIS. MY OFFICE DID 1053

02:01 - 23.853 REBATES LAST YEAR.

02:01 - 26.955 HOW CAN WE CONTINUE TO GET THE

02:01 - 28.824 WORD OUT TO MAKE SURE FOLKS

02:01 - 29.425 REALIZE THAT WE HAVE NOW

02:01 - 31.293 EXPANDED DRAMATICALLY IN.

02:01 - 33.362 WE PUT A COLA COLIN THERE.

02:01 - 34.930 I KNOW YOU SAID AT THE

02:01 - 38.000 BEGINNING, IT'S $48,110, NET

02:01 - 38.334 INCOME.

02:01 - 43.171 AFTER YOU. THE DUCKS HALF-YEAR.

02:01 - 45.907 SO SECURITY, THE INCOME IT IS

02:01 - 46.609 NOW 48,110. IF YOU COULD TALK

02:01 - 49.878 FURTHER ABOUT THE DEPARTMENT'S

02:01 - 52.714 EFFORTS, EXPAND TOOK TO GET THE

02:01 - 53.382 WORD OUT ITS AND FUNCTION OF

02:01 - 54.050 JUST MAKING CONNECTION WITH

02:01 - 57.986 THE SENIOR COMMUNITY. THAT ONE.

02:01 - 59.821 MAJORITY, THE SUNNI COMMUNITY

02:01 - 00.490 THAT WOULD OTHERWISE BENEFIT

02:02 - 02.491 AND THINGS THAT WE'VE DONE

02:02 - 05.594 COLLECTIVELY MR. CHAIRMAN, THE

02:02 - 06.528 OUTREACH

02:02 - 07.162 EVENTS, THE COLLABORATION

02:02 - 07.764 EVENTS WITH YOUR OFFICE,

02:02 - 13.535 ANOTHER WEDGE THAT OFFICES.

02:02 - 14.203 WHY CASTING AND OTHER SOCIAL

02:02 - 17.105 MEDIA MEANS TO GET INFORMATION

02:02 - 19.975 OUT.

02:02 - 20.576 DIRECT OUTREACH TO OTHER

02:02 - 23.845 AGENCIES WHICH WE STARTED THIS

02:02 - 24.880 YEAR. WE WORK WITH THE GS DHS

02:02 - 29.184 TO COMMUNICATE DIRECTLY TO

02:02 - 30.285 THEIR POPULATIONS THAT FIT

02:02 - 31.920 THOSE CATEGORIES OF INCOME THAT

02:02 - 34.990 ARE IN THIS TAX REBATE TAX RENT

02:02 - 36.458 REBATE PROGRAM.

02:02 - 38.160 WITH THEM TO JUST BE AWARE OF

02:02 - 38.795 THE PROGRAMMING. CONSIDER

02:02 - 42.964 APPLY. SO IT'S SO FUN TO USING

02:02 - 45.267 ALL AVAILABLE MEANS AMY IN ON

02:02 - 45.902 PAID MEDIA DIRECT OUTREACH

02:02 - 49.705 EVENTS. WE CONTINUE TO EXPAND

02:02 - 51.239 OUR FOOTPRINT SO EVERYONE.

02:02 - 52.874 WHILE PFIZER, YOU GET THE

02:02 - 53.543 BENEFIT. YOU KNOW WHAT IT'S

02:02 - 55.877 LIKE. YOU HAVE SOMEONE COMING

02:02 - 58.947 INTO YOUR OFFICE. WHAT A

02:02 - 59.449 QUALIFIED 3 YEARS.

02:02 - 03.652 IN APPLYING FOR THOSE FIRST

02:03 - 04.353 2 YEARS IN IM. NOT CLAIM THOSE

02:03 - 05.021 BENEFITS ANYMORE. THAT'S THE

02:03 - 06.221 KIND OF THING WE DON'T WANT

02:03 - 07.522 TO HAVE.

02:03 - 10.459 APPRECIATE YOUR PARTNERSHIP

02:03 - 12.961 ON ALL OF THESE TAX POLICY

02:03 - 13.663 CHANGES ALL OF THESE TAX CUTS.

02:03 - 14.963 WEVE GOT OTHER IDEAS WILL

02:03 - 17.032 CONTINUE TO WORK WITH YOU.

02:03 - 19.067 THE HOUSE PASSED A UNANIMOUS

02:03 - 19.702 BILL TO SAY THAT WE SHOULD

02:03 - 22.671 ALLOW REBATES TO BE SENT OUT A

02:03 - 24.506 LOT BEFORE JULY. 1ST AND WE'RE

02:03 - 26.675 HOPING TO GET THE SENATE TO

02:03 - 27.343 TO SIGN ON TO THAT PROPOSAL.

02:03 - 29.978 SO THANK YOU ONCE AGAIN FOR ALL

02:03 - 30.646 OF YOUR PARTNERSHIP WITH THE

02:03 - 32.614 HOUSE REPRESENTATIVES, SAME MR.

02:03 - 34.649 CHAIRMAN, THANK YOU FOR WORK.

02:03 - 35.751 THANK YOU. GENTLEMAN. CHAIRMAN

02:03 - 37.853 STIRS AND THANK YOU, CHAIRMAN

02:03 - 38.854 HARRIS. A COUPLE OF QUICK

02:03 - 39.888 FOLLOW-UP. SO.

02:03 - 41.823 SOME OF THE KEY COMPONENTS

02:03 - 42.558 IN THE IN THE GOVERNOR'S BUDGET

02:03 - 45.861 PROPOSAL TO RAISE REVENUE OR

02:03 - 46.529 SKILL GAMES LEGALIZING

02:03 - 48.397 RECREATIONAL MARIJUANA AND THE

02:03 - 50.399 UNIFORM FILING REQUIREMENTS.

02:03 - 51.100 DO YOU KNOW WHEN WE CAN EXPECT

02:03 - 54.336 TO SEE SOME LANGUAGE RELATED TO

02:03 - 56.271 THOSE INITIATIVES?

02:03 - 56.973 LET ME GET BACK. MISTER

02:03 - 00.742 CHAIRMAN, AS FAR AS EXACTLY

02:04 - 01.143 WHEN AND AND

02:04 - 01.778 DURING THE BUDGET CYCLE,

02:04 - 02.978 THERE'S A LOT OF ACTIVITY GOING

02:04 - 05.647 ON. YES, SURE THAT YOU ARE.

02:04 - 07.115 WE RECEIVE EVERY INFORMATION

02:04 - 10.051 WE HAVE IS AS WE GET. I

02:04 - 11.086 APPRECIATE THAT BECAUSE.

02:04 - 11.921 I MEAN, THOSE ARE KEY

02:04 - 13.121 COMPONENTS AND WE WOULD NEED,

02:04 - 13.756 YOU KNOW, AS MUCH TIME AS

02:04 - 18.193 POSSIBLE TO TRY TO ANALYZE THAT

02:04 - 19.828 MOVING IN AS WE GET CLOSER

02:04 - 21.763 TO JUNE. SO YOUR YOUR REQUEST

02:04 - 23.632 IN THE CURRENT BUDGET IS AN

02:04 - 25.600 INCREASE ARE GOING TO TRY THIS.

02:04 - 27.302 THE GOVERNOR IS PROPOSING AT

02:04 - 29.538 14.1 MILLION DOLLAR INCREASE

02:04 - 33.642 FOR YOUR GENERAL FUND BUDGET.

02:04 - 34.310 IS THAT THE REQUEST THAT YOU

02:04 - 36.812 PUT FORWARD? IS THAT WHAT THE

02:04 - 44.836 GOVERNOR HAS PROPOSED?

02:04 - 49.758 YOU WANT TO CONFIRM THE NUMBER?

02:04 - 52.127 ONE, 67, 9.

02:04 - 53.195 IT WAS A WHAT WE HAD PUT

02:04 - 56.164 FORWARD TO THE GOVERNOR IN

02:04 - 58.233 TERMS REQUEST AND WHAT HE PUT

02:04 - 59.202 IN IS BUT OKAY, 7, 4, 7,

02:04 - 00.769 9 MILLION DOLLAR INCREASE.

02:05 - 01.471 THAT TOTAL REQUEST OPERATIONS.

02:05 - 03.805 ONE, 67, NOT I MEAN, AND WHAT

02:05 - 04.473 THAT INCREASE BE USED FOR.

02:05 - 05.408 WE'RE JUST LOOKING TO

02:05 - 08.777 ACCOMMODATE WHEN OUR CAPACITIES

02:05 - 12.614 ARE. WE LOOKING TO FULLY FUND

02:05 - 16.485 OUR A MOMENT OF 1800 AND 6,

02:05 - 18.887 NOT A LOT OF REPORTING, WHICH

02:05 - 21.923 IS THE ONE 67. FOR A FUN NIGHT

02:05 - 22.492 COMPLIMENT.

02:05 - 25.594 OVER THE LAST SEVERAL YEARS.

02:05 - 26.528 WE'VE HAD SOME

02:05 - 27.230 ABILITY TO HARRIS AND BALANCES

02:05 - 28.663 BECAUSE OF OUR MAKING IN OUR

02:05 - 31.766 EFFORTS ARE TO TRY. WE FUND

02:05 - 38.306 A COMPLIMENT AND ALL THE

02:05 - 38.941 COMMENT. THE BILL AND THAT

02:05 - 42.077 INCLUDES COSTA KERRY SORRY

02:05 - 44.846 INCREASES 2% JUNE 30TH, 2.5%

02:05 - 45.481 STEP JANUARY 1ST AND THEN

02:05 - 49.451 INCREASES THAT ARE PROJECTED

02:05 - 53.121 FOR OTHER OTHER BENEFITS TO

02:05 - 53.823 ACCOMMODATE THE THE BENEFIT OF

02:05 - 56.258 FACTORS WHICH ARE IN THE RANGE

02:05 - 58.059 AROUND 75% ACROSS OUR COUNTY.

02:05 - 58.861 OKAY. SO IF YOU DO RECEIVE

02:05 - 00.662 THAT INCREASE, YOU DO NOT

02:06 - 01.364 FORESEE THE NEED THEN FOR ANY

02:06 - 05.100 SIGNIFICANT INCREASES IN THE

02:06 - 05.668 OUTLYING YEARS.

02:06 - 07.702 WE THIS WILL BE WHAT'S

02:06 - 09.671 NECESSARY. WE'RE TALKING ABOUT

02:06 - 10.306 THIS AND NEGOTIATING THIS

02:06 - 13.842 BUDGET RIGHT NOW. KNOWING WHAT

02:06 - 14.809 WE KNOW NOW FOR PURPOSES OF

02:06 - 15.444 OPERATIONS FOR PURPOSES OF

02:06 - 17.946 TECHNOLOGY. WHAT WILL NEED FOR

02:06 - 18.447 THIS POINT? OKAY.

02:06 - 21.483 AND THEN A QUESTION RELATED

02:06 - 23.051 TO THE LOTTERY.

02:06 - 24.986 IS THAT ACCURATE THAT THE

02:06 - 26.855 LOTTERY SPENDS ABOUT 55 MILLION

02:06 - 30.458 ANNUALLY FOR ADVERTISING.

02:06 - 31.127 YES, THAT'S CORRECT. AND YOU

02:06 - 35.063 HAD SAID THAT A LOTTERY SALES

02:06 - 37.966 WERE DOWN, BUT THEY'RE STARTING

02:06 - 39.367 TO INCREASE CURRENTLY. LOTTERY

02:06 - 40.102 SALES OVERALL ARE RUNNING AHEAD

02:06 - 42.370 OF ESTIMATE AND AHEAD OF LAST

02:06 - 43.405 FISCAL YEAR.

02:06 - 44.073 SO RELATED TO ADVERTISING.

02:06 - 46.508 MY QUESTION IS, IS GUST STILL

02:06 - 52.213 WORKING?

02:06 - 53.582 AND YES, A GUST, THE HE IS

02:06 - 57.652 STILL WORKING. HE IS 22 YEARS

02:06 - 58.254 OLD AS THE FEBRUARY. HE

02:06 - 03.258 PRIMARILY SUPPORTS OUR SCRATCH

02:07 - 05.460 OFF SALES. YES, HE'S WE MONITOR

02:07 - 10.231 HIS POPULARITY IS IS DOING WELL

02:07 - 11.266 FOR US ACTUALLY IN APRIL WILL

02:07 - 14.169 BE LAUNCHING ANOTHER U.S. EVEN

02:07 - 15.370 SCRATCH OFF TICKET. AND THE

02:07 - 18.273 INTERNET INSTANT GAME. OKAY.

02:07 - 18.941 ALL RIGHT. THANK YOU ALL FOR

02:07 - 21.576 BEING HERE. APPRECIATE THE

02:07 - 23.712 TIME.

02:07 - 26.881 THANK THE GENTLEMAN FOR HIS

02:07 - 31.853 CONCERN OF US.

02:07 - 34.623 I JUST ONE QUESTION.

02:07 - 37.258 ANYBODY GOT A MEGA MILLION

02:07 - 41.796 NUMBERS FOR ME.

02:07 - 42.431 OKAY. NEVER MIND. THANK.

02:07 - 43.465 THANK THE LOTTERY AND WE THINK

02:07 - 46.234 THE DEPARTMENT OF REVENUE FOR

02:07 - 46.901 BEING HERE WITH US TODAY AND

02:07 - 47.603 ANSWERING ALL OF OUR QUESTIONS

02:07 - 50.338 AND ALSO FOR THE GREAT WORK

02:07 - 51.073 THAT YOU DO EVERY DAY ON BEHALF

02:07 - 54.309 OF THE 13 MILLION FOLKS WHO

02:07 - 56.011 LIVE IN THIS COMMONWEALTH.

02:07 - 56.679 AND WITH THAT, I WILL CLOSE

02:07 - 59.648 THIS HEARING OUT WILL BE BACK.

02:07 - 02.150 LET'S SAY ONE 15 WILL BE BACK

02:08 - 02.818 AT ONE 15 AND THIS AFTERNOON

02:08 - 04.986 WILL BE JOINED BY THE

02:08 - 05.755 DEPARTMENT OF AGING. THANKS.

02:08 - 08.857 AND WITH THAT, THIS BUDGET

02:08 - 16.881 HEARING IS ADJOURNED.