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HB 2625

An Act amending Title 3 (Agriculture) of the Pennsylvania Consolidated Statutes, in race horse industry reform, further providing for definitions and for additional powers of commission.

2025-2026 Regular Session Introduced by Sean Dougherty and 9 co-sponsors

The bill directs 6.15% of Tax Reform Code receipts to the Public Transportation Trust Fund monthly and allows five years of hold-harmless funding increases for local transportation

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Bill Summary · HB 2625

Summary of HB 2625 (Session 2025-2026) – Pennsylvania

Purpose and intent

  • This bill, titled the Public Transportation Trust Fund Transfer and Increase Act, amends existing provisions related to public transportation funding in Pennsylvania. It seeks to modify how funds are transferred into the Public Transportation Trust Fund and to provide for increased financial support to local transportation organizations (LTOs) beyond current annual limits, with adjustments to the way increases are treated for several years.

Key provisions and changes

  • Transfers to the Public Transportation Trust Fund (Section 3):

    • Establishes that 6.15% of the amount collected under Article II of the Tax Reform Code shall be deposited into the Public Transportation Trust Fund each month, by the 20th day of the month for the preceding month.
    • This transfer is permitted “notwithstanding” existing fund-transfer language in 74 Pa.C.S. § 1506(c)(1).

  • Annual increase in local transportation funding (Section 4):

    • Allows total financial assistance to each local transportation organization (LTO) to exceed the current cap of 20% of the prior year allocation.
    • Authorizes the Secretary to adjust and “hold harmless” the amount of the annual increase in the local match under 74 Pa.C.S. § 1513(d)(2) for a period of five fiscal years beginning with fiscal year 2024-2025.
    • This effectively provides a five-year cushion period during which larger increases to funding and local match requirements can be absorbed or offset by adjustments made by the Secretary.

  • Effective date (Section 5):

    • The act takes effect immediately upon enactment.

Who is affected

  • Local transportation organizations (LTOs):

    • Potentially receive increased financial assistance beyond the existing 20% cap.
    • Subject to adjustments and protections (hold-harmless) during the five-year window for increases in local match requirements.

  • Pennsylvania Department of Transportation (Secretary of Transportation):

    • Given authority to adjust and hold harmless increases in local match for five years.
    • Responsible for overseeing the transfer timing and ensuring compliance with the new transfer rules.

  • General public and riders:

    • Indirect effects through potentially enhanced funding for public transportation projects and services within local jurisdictions, assuming funds are allocated and spent consistent with the statute’s changes.

Procedural and timeline aspects

  • Effective date: Immediate upon enactment.
  • Five-year adjustment window: Section 4 envisions a five-fiscal-year period (beginning in 2024-2025) during which the Secretary can adjust and hold harmless increases to local match requirements.
  • Monthly transfer requirement: Commits 6.15% of Tax Reform Code Article II collections to the Public Transportation Trust Fund, deposited by the 20th of each month for the preceding month.

Context and considerations

  • The bill reallocates and increases the pace of funding directed to public transportation through the Public Transportation Trust Fund.
  • It provides a mechanism to ease the transition for local transportation funding by ensuring a protected five-year period for higher increases in local match requirements.
  • As a relatively technical funding and flexibility measure, its impact depends on how the Tax Reform Code revenues perform and how the Secretary exercises the hold-harmless provisions for LTO funding.

Sponsors include multiple representatives, with a noted co-sponsor group listed in the record. The bill was introduced in October 2024 and subsequently referred to the Transportation Committee (and later to Agriculture & Rural Affairs in 2026 action history).

Compiled from official sources — confirm details with the bill’s official record.

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