Pennsylvania HB 1461: An Act amending the act of March 10, 1949 (P.L.30, No.14), known as the Public School Code of 1949, providing for the Career and Technical Education Investment Incentive Program.

Bill Text

PRINTER'S NO. 1721
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 1461
Session of
2025
INTRODUCED BY ANDERSON, HAMM, RAPP, ROWE, PUGH, STAATS,
SCHEUREN, COOPER AND M. MACKENZIE, MAY 14, 2025
REFERRED TO COMMITTEE ON FINANCE, MAY 14, 2025
AN ACT
Amending the act of March 10, 1949 (P.L.30, No.14), entitled "An
act relating to the public school system, including certain
provisions applicable as well to private and parochial
schools; amending, revising, consolidating and changing the
laws relating thereto," providing for the Career and
Technical Education Investment Incentive Program.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The act of March 10, 1949 (P.L.30, No.14), known
as the Public School Code of 1949, is amended by adding an
article to read:
ARTICLE XX-N
CAREER AND TECHNICAL EDUCATION
INVESTMENT INCENTIVE PROGRAM
Section 2001-N. Scope of article.
This article relates to the Career and Technical Education
Investment Incentive Program.
Section 2002-N. Definitions.
The following words and phrases when used in this article
shall have the meanings given to them in this section unless the
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context clearly indicates otherwise:
"Applicable tax." The liability for taxes imposed under
Articles III, IV, VI, VII, VIII, IX, XV or XX of the Tax Reform
Code of 1971 or a tax under Article XVI of the act of May 17,
1921 (P.L.682, No.284), known as The Insurance Company Law of
1921. The term shall not include a tax withheld by an employer
from an employee under Article III of the Tax Reform Code of
1971.
"Area career and technical education school." A specialized
public secondary school established under subdivision (c) of
Article XVIII which is used exclusively or principally for the
provision of career and technical education programs to
individuals preparing to enter the labor market or pursue
postsecondary education.
"Business firm." An entity authorized to do business in this
Commonwealth and subject to taxes imposed under Article III, IV,
VI, VII, VIII, IX, XV or XX of the Tax Reform Code of 1971 or a
tax under Article XVI of The Insurance Company Law of 1921. The
term includes a pass-through entity, including a pass-through
entity whose purpose is the making of contributions under this
article and whose shareholders, partners or members are composed
of owners or employees of other business firms.
"Career and technical education partnership organization." A
nonprofit entity which meets all of the following:
(1) Is exempt from Federal taxation under 26 U.S.C. §
501(c)(3) (relating to exemption from tax on corporations,
certain trusts, etc.).
(2) Provides support or expands access to career and
technical education programs.
(3) Contributes based on one of the following:
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(i) At least 80% of its annual cash receipts as
contributions to a participating school for program-
related costs. For purposes of this subparagraph, a
nonprofit entity "contributes" its annual cash receipts
when it expends or otherwise irrevocably encumbers those
funds for expenditure during the then-current fiscal year
of the nonprofit entity or during the next succeeding
fiscal year of the nonprofit entity. A nonprofit entity
shall also include a school district foundation, public
school foundation, charter school foundation or area
career and technical education school foundation.
(ii) At least 80% of its annual cash receipts to an
enrollment expansion program. For purposes of this
subparagraph, a nonprofit entity "contributes" its annual
cash receipts to an enrollment expansion program when it
expends or otherwise irrevocably encumbers those funds
for distribution during the then-current fiscal year of
the nonprofit entity or during the next succeeding fiscal
year of the nonprofit entity.
(iii) At least 80% of its annual cash receipts to a
combination of expenditures under subparagraphs (i) and
(ii).
"Career and technical education program." Any of the
following:
(1) A vocational education program approved by the
Department of Education under 22 Pa. Code Ch. 339 (relating
to vocational education).
(2) A program that provides educational activities which
meet all of the following:
(i) Offer a sequence of courses that:
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(A) Provide individuals with content aligned
with academic standards and technical knowledge and
skills needed to prepare for further education and
careers in a high-priority occupation.
(B) Provide technical skill proficiency, an
industry-recognized credential or a certificate.
(ii) Include competency-based applied learning that
contributes to the academic knowledge, higher-order
reasoning and problem-solving skills, work attitudes,
general employability skills, technical skills,
occupation-specific skills and knowledg