PRINTER'S NO. 4
No. 1 Session of 1987
INTRODUCED BY MANDERINO, IRVIS, PIEVSKY, KUKOVICH, STEIGHNER,
GEORGE, SALOOM, GRUITZA, HALUSKA, RYBAK, BROUJOS, BELARDI,
WAMBACH, MAIALE, CAPPABIANCA, VAN HORNE, STUBAN, COY,
LEVDANSKY, FEE, JOSEPHS, LaGROTTA, COWELL, DOMBROWSKI,
SEVENTY, KASUNIC, WOZNIAK, CALTAGIRONE, DeWEESE, DeLUCA,
RUDY, MRKONIC, OLASZ, D. R. WRIGHT, F. TAYLOR, BOYES,
BELFANTI, SHOWERS, STABACK, BALDWIN, DUFFY, TIGUE, BLAUM,
McHALE, LLOYD, MARKOSEK, SWEET, BORTNER, GAMBLE, LUCYK,
MAINE, GEIST, OLIVER, JAROLIN, KOSINSKI, COLE, MELIO, GRUPPO,
DALEY, O'DONNELL, ACOSTA, LINTON, ITKIN, CARN, MICHLOVIC,
MILLER, LIVENGOOD, McCALL, LAUGHLIN, LESCOVITZ, COLAFELLA,
YANDRISEVITS, VEON, RIEGER, CORRIGAN, BLACK AND EVANS,
APRIL 22, 1987
REFERRED TO COMMITTEE ON BUSINESS AND COMMERCE, APRIL 22, 1987
AN ACT
1 Creating the Pennsylvania Economic Development Partnership;
2 providing for powers and duties; abolishing the Department of
3 Commerce; and transferring functions to the Pennsylvania
4 Economic Development Partnership.
5 The General Assembly of the Commonwealth of Pennsylvania
6 hereby enacts as follows:
7 Section 1. Short title.
8 This act shall be known and may be cited as the Pennsylvania
9 Economic Development Partnership Act.
10 Section 2. Legislative findings and declaration of purpose.
11 (a) The General Assembly hereby finds that:
12 (1) The Commonwealth possesses abundant resources to
13 advance its economic development, including a skilled and
1 hardworking population, private entities accomplished in
2 economic expansion and investment, unmatched natural
3 resources, technological resources cultivated through
4 educational and research institutions and a broad array of
5 public business investment, capital and job training
6 programs.
7 (2) Due to the transformation of Pennsylvania's major
8 industries, increased competition in national and
9 international markets, changes in the composition and
10 training of its work force, deterioration of water and sewage
11 facilities and other factors, the Commonwealth faces a series
12 of unprecedented challenges in working toward economic
13 greatness and toward economic opportunity for all of the
14 people of this Commonwealth.
15 (3) In order to meet these challenges fully, the
16 Commonwealth must marshal its economic development resources
17 based on comprehensive strategies developed by region and by
18 industry.
19 (4) These resources must be targeted to particular
20 economic opportunities according to such strategies and then
21 coordinated to meet the specific demands of each situation.
22 (5) The Commonwealth must also coordinate all of its
23 actions and initiatives to maximize the economic
24 competitiveness of the Commonwealth for economic activity and
25 job creation.
26 (6) These vital activities must be undertaken by a
27 partnership capitalizing on a new spirit of cooperation
28 between the government and private citizens of this
29 Commonwealth, including individuals in the areas of business,
30 labor and education.
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1 (b) Declaration of purpose.--It is the purpose of this act
2 to meet economic challenges and accomplish the foregoing
3 objectives through creation of an economic development
4 partnership to coordinate and direct the economic development
5 programs and policies of the Commonwealth.
6 Section 3. Definitions.
7 The following words and phrases when used in this act shall
8 have the meanings given to them in this section unless the
9 context clearly indicates otherwise:
10 "Advisory board." A board established by the Governor to
11 advise the partnership board on economic development matters in
12 a particular geographic region of this Commonwealth.
13 "Board" or "partnership board." The board created by section
14 4.
15 "Partnership." The Pennsylvania Economic Development
16 Partnership.
17 "Secretary." The Secretary of the Pennsylvania Economic
18 Development Partnership.
19 Section 4. Pennsylvania Economic Development Partnership.
20 (a) Creation.--There is hereby created a public/private
21 partnership to be known as the Pennsylvania Economic Development
22 Partnership which shall have the status of a departmental agency
23 of State government and which shall be subject to the act of
24 April 9, 1929 (P.L.177, No.175), known as The Administrative
25 Code of 1929.
26 (b) Board.--The Pennsylvania Economic Development
27 Partnership Board is hereby created to preside over all
28 activities of the partnership. The board shall consist of the
29 Governor, who shall serve as its chairman, the Lieutenant
30 Governor and 42 other members to be appointed by the Governor
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1 from among representatives of government, business, labor and
2 education. Representatives of business, labor and education
3 shall comprise a majority of the membership.
4 (c) Secretary.--The Governor shall appoint an individual to
5 be secretary of the partnership, approved by and with the advice
6 and consent of a majority of the members elected to the Senate,
7 who shall be a member of the Governor's Cabinet and shall be the
8 chief administrative officer of the partnership. The secretary
9 shall also serve as an ex officio member of the board at the
10 pleasure of the Governor and may also serve as executive
11 director of the board when appointed to that position by the
12 Governor.
13 (d) Initial members.--Except for the secretary, initial
14 board members appointed by the Governor shall serve for terms of
15 one to five years from the date of appointment and until their
16 respective successors shall be duly appointed and qualified. The
17 term of each initially appointed member shall be designated at
18 the time of appointment. Nine members shall be appointed for one
19 year, nine members shall be appointed for two years, eight
20 members shall be appointed for three years, eight members shall
21 be appointed for four years and eight members shall be appointed
22 for five years.
23 (e) Successor members.--The successors of such initially
24 appointed members shall be appointed for terms of five years and
25 until their respective successors shall be duly appointed and
26 qualified, except that any person appointed to fill a vacancy
27 shall serve only for the unexpired term and any appointed member
28 of the board shall be eligible for reappointment.
29 (f) Reimbursement.--The members of the board shall be
30 reimbursed for all necessary expenses incurred in connection
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1 with the performance of their duties as members. Members shall
2 receive no other compensation for their service on the board.
3 (g) Procedures.--The board shall establish bylaws, set times
4 and places for meetings and require quorum and voting
5 procedures. Members shall not be permitted to vote by proxy. A
6 vote of a majority of the board shall be required to implement
7 all board decisions which shall take effect unless disapproved
8 by formal action of the Governor. The board shall hold public
9 hearings as deemed necessary to fulfill its functions.
10 (h) Regional boards.--The Governor shall establish regional
11 advisory boards to participate in the Commonwealth's economic
12 development efforts. The number and configuration of regions
13 shall be set by the Governor, who shall appoint the advisory
14 board members. Each advisory board shall have not less than 25
15 members who shall receive no compensation nor reimbursement. The
16 board shall enumerate the responsibilities of these advisory
17 boards, which shall include identification of business
18 opportunities and dislocations and other economic concerns
19 within the region.
20 (i) Powers and duties.--The board, with the assistance of
21 the partnership, shall have the power and its duty shall be to:
22 (1) Direct all programs, policies, initiatives, actions
23 and expenditures relating to the Commonwealth's economic
24 development, including the direction of the agencies and
25 programs placed under the partnership's administrative
26 authority.
27 (2) Direct programs located in Commonwealth agencies and
28 departments other than the partnership to the extent such
29 programs relate to economic development. Other departments
30 and agencies shall cooperate with the board and the
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1 partnership acting in this capacity. The partnership shall
2 establish and manage an interagency project development
3 schedule and organize assignments for responding to project
4 needs.
5 (3) Formulate strategies for the accomplishment of
6 economic development objectives in the various regions and
7 industries of this Commonwealth to ensure that the
8 Commonwealth's economic development resources are targeted
9 most effectively in response to different economic
10 opportunities.
11 (4) Identify new economic opportunities for the
12 Commonwealth. Such opportunities shall include:
13 (i) Expansion of the Commonwealth's existing
14 business.
15 (ii) Attraction of new business enterprises to this
16 Commonwealth.
17 (iii) Encouragement of firms now operating outside
18 of this Commonwealth to establish in-State operations.
19 (iv) Recruitment of special facilities to this
20 Commonwealth.
21 (5) Create new economic activity in this Commonwealth
22 through the coordination of economic development programs in
23 response to particular opportunities for growth. The board
24 and the partnership shall direct resources to economic
25 opportunities in different areas of economic activity,
26 including:
27 (i) Development in particular industries.
28 (ii) Small business development.
29 (iii) Expansion of Pennsylvania firms' exports and
30 participation in international trade.
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1 (iv) Labor-management relations.
2 (v) Special economic needs.
3 (6) Develop initiatives intended to improve the economic
4 environment in this Commonwealth. The board shall have the
5 authority to call on other agencies and departments in the
6 Commonwealth as well as on the partnership in developing new
7 initiatives.
8 (7) Develop and implement guidelines for the commitment
9 of the Commonwealth's economic development funds.
10 (8) Promote public/private partnership efforts in
11 economic development throughout this Commonwealth. The board
12 and the partnership shall work with representatives of
13 business, labor and education, as well as of government, in
14 the performance of its duties.
15 (9) Work with local and regional economic development
16 groups. The board shall enlist the cooperation of regional
17 advisory boards in this endeavor.
18 (10) Promote cooperation between management and labor in
19 solving specific economic development problems and work with
20 other agencies on initiatives to increase labor management
21 cooperation as a basis for economic growth.
22 (11) Coordinate all of the Commonwealth's job training
23 programs and develop initiatives which will better prepare
24 the citizens of this Commonwealth for developing employment
25 opportunities through job identification and training
26 services.
27 (12) Annually evaluate existing economic development
28 programs within this Commonwealth and review legislation
29 intended to integrate and restructure these programs. The
30 partnership will recommend new programs to the Governor as it
19870H0001B0004 - 7 -
1 deems them to be needed.
2 (13) Conduct economic policy, research, analysis and
3 economic development planning within the partnership. The
4 partnership shall identify a set of meaningful baseline
5 indicators to permit accurate and reliable evaluation of
6 program performance.
7 (14) Encourage and oversee the development of special
8 facilities which will serve as magnets for employment and
9 investment in this Commonwealth, such as research parks,
10 federally funded laboratory facilities, private sector
11 research/industry clusters and specialized installations.
12 (15) Develop and maintain a highly professional response
13 team within the partnership to react to expansion,
14 relocation, shutdown, location and other actions.
15 (16) Provide services required by employees and
16 businesses as a result of plant closings, layoffs and other
17 dislocations.
18 (17) Organize a series of initiatives to support and
19 extend the Ben Franklin Partnership Fund and related
20 programs, in order to promote the use of advanced technology
21 and processes in Pennsylvania firms.
22 (18) Establish an assistance and advocacy function
23 within the partnership to:
24 (i) provide basic information;
25 (ii) route or respond to complaints;
26 (iii) evaluate and propose improvements in the
27 partnership's capability to respond to business needs;
28 and
29 (iv) maintain a complete case log for followup.
30 (19) Develop initiatives for the identification,
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1 planning and financing of critical improvements in this
2 Commonwealth's physical infrastructure, including water,
3 sewer, bridges, highways, dams, airports, rail and other
4 systems, in coordination with other agencies and departments.
5 Initiatives relating to environmental infrastructure shall be
6 developed through the Pennsylvania Investment Trust Board
7 created by the act of (P.L. ,No. ), known as the
8 Pennsylvania Investment Trust Act.
9 (20) Develop measures to coordinate Commonwealth
10 educational programs with economic development activity, in
11 conjunction with the Department of Education.
12 (21) Develop proposals and program initiatives relating
13 to agriculture, agribusiness, rural economic development,
14 biotechnology and related industries, in conjunction with the
15 Department of Agriculture.
16 (22) Develop an international trade initiative to pursue
17 increased export sales and new market opportunities for
18 Commonwealth businesses.
19 (23) Develop, in conjunction with appropriate
20 Commonwealth agencies, departments and commissions, proposals
21 to revise the Commonwealth's securities, banking,
22 incorporation and finance-related statutes in order to
23 enhance the Commonwealth's regional and national
24 competitiveness.
25 (24) Promote the Commonwealth's travel and tourism
26 industry.
27 (25) Develop initiatives to assist small business
28 development.
29 (26) Develop initiatives to assist businesses owned by
30 women and minorities.
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1 (27) Direct the marketing and promotion of the
2 Commonwealth in connection with economic development.
3 (28) Establish working councils assigned to special
4 projects. The membership shall not be restricted to the
5 membership of the board or of regional advisory boards.
6 (29) Assume other responsibilities, either individually
7 or collectively, at the request of the Governor.
8 (30) Undertake any additional objectives necessary for
9 the accomplishment of the objectives of this legislation.
10 Section 5. Partnership programs and agencies.
11 (a) Partnership supervision.--Agencies and programs under
12 the direction, supervision and control of the board and the
13 partnership include, but shall not be limited to, the following:
14 Appalachian Regional Commission, Beaver Valley Revitalization,
15 Ben Franklin Partnership Fund, Bureau of Statistics and
16 Information, Business Infrastructure Development, Community
17 Economic Recovery, Employee Ownership Assistance Program,
18 Engineering School Equipment Grants, Higher Education Industrial
19 Resource Centers, Industrial Development Assistance, Local
20 Development Assistance Grants, Minority Business Technical
21 Assistance, Monongahela Valley Revitalization, Nursing Home Loan
22 Agency, Pennsylvania Capital Loan Fund, Pennsylvania Industrial
23 Development Authority, Port Development, Tourist Promotion
24 Assistance, Shenango Valley Revitalization, Site Development,
25 Small Business Incubator Loans/Grants, Supercomputer Center, and
26 other bureaus, agencies and offices currently under the
27 direction, supervision and control of the Department of Commerce
28 and not transferred to any agency other than the partnership by
29 statute or executive order.
30 (b) Departmental cooperation.--All Commonwealth departments
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1 and agencies are hereby directed to assist and support the board
2 and the partnership in the performance of their duties. Cabinet
3 officials shall cooperate with the board's actions to coordinate
4 interdepartmental activity relating to economic development.
5 Section 6. Coordination of job training efforts.
6 The board shall develop a strategy, pursuant to section
7 4(i)(11), to coordinate all job training programs, including,
8 but not limited to:
9 (1) Customized Job Training.
10 (2) Community Conservation Youth Employment.
11 (3) Job Creation Tax Credit.
12 (4) Job Training Partnership.
13 (5) Vocational Education.
14 (6) Vocational Rehabilitation.
15 Section 7. Statutory duties.
16 The board and the partnership shall have the power, and their
17 duty shall be to carry out the duties, powers and functions of
18 the Department of Commerce pursuant to the act of April 20, 1921
19 (P.L.193, No.108) referred to as the Bureau of Statistics and
20 Information Act; the act of April 9, 1929 (P.L.177, No.175),
21 known as The Administrative Code of 1929; the act of May 18,
22 1937 (P.L.704, No.181), known as the Limited Dividend Housing
23 Company Law; the act of May 10, 1939 (P.L.111, No.51), known as
24 the Commerce Law; the act of May 20, 1949 (P.L.1608, No.485),
25 known as the State Planning Code; the act of May 20, 1949
26 (P.L.1633, No.493), known as the Housing and Redevelopment
27 Assistance Law; the act of May 17, 1956 (1955 P.L.1609, No.537),
28 known as the Pennsylvania Industrial Development Authority Act;
29 the act of May 31, 1956 (1955 P.L.1911, No.635), known as the
30 Industrial Development Assistance Law; the act of December 1,
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1 1959 (P.L.1647, No.606), known as the Business Development
2 Credit Corporation Law; the act of April 28, 1961 (P.L.111,
3 No.50), known as the Tourist Promotion Law; the act of July 6,
4 1961 (P.L.509, No.262), known as the Pennsylvania Redevelopment
5 Area Economic Cooperation and Implementation Act; the act of
6 July 14, 1961 (P.L.604, No.304), known as The Apprenticeship and
7 Training Act; the act of January 24, 1966 (1965 P.L.1535,
8 No.537), known as the Pennsylvania Sewage Facilities Act; the
9 act of August 23, 1967 (P.L.251, No.102), known as the
10 Industrial and Commercial Development Authority Law; the act of
11 May 6, 1968 (P.L.117, No.61), known as the Site Development Act;
12 the act of July 22, 1974 (P.L.598, No.206), known as the
13 Pennsylvania Minority Business Development Authority Act; the
14 act of July 22, 1974 (P.L.610, No.207), known as the Nursing
15 Home Loan Agency Law; the act of July 1, 1978 (P.L.584, No.109),
16 known as the Milrite Act; the act of July 7, 1980 (P.L.380,
17 No.97), known as the Solid Waste Management Act; the act of July
18 2, 1984 (P.L.520, No.105), known as the Business Infrastructure
19 Development Act; the act of July 2, 1984 (P.L.545, No.109),
20 known as the Capital Loan Fund Act; the act of July 2, 1984
21 (P.L.553, No.110), known as the Engineering School Equipment
22 Act; the act of July 2, 1984 (P.L.568, No.113), known as the
23 Employee-Ownership Assistance Program Act; the act of July 5,
24 1984 (P.L.587, No.119), known as the Rail Freight Preservation
25 and Improvement Act; the act of July 1, 1985 (P.L.120, No.32),
26 entitled "An act creating a special fund in the Treasury
27 Department for use in attracting major industry into this
28 Commonwealth; establishing a procedure for the appropriation and
29 use of moneys in the fund; establishing the Tax Stabilization
30 Reserve Fund; and providing for expenditures from such account";
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1 the act of June 27, 1986 (P.L.267, No.70), known as the
2 Pennsylvania Convention Center Authority Act; and the act of
3 July 9, 1986 (P.L.1232, No.112), known as the Community Economic
4 Recovery Program Act.
5 Section 8. Compensation of the secretary.
6 The annual salary of the secretary shall be $65,000.
7 Section 9. References.
8 (a) Department of Commerce to Pennsylvania Economic
9 Development Partnership.--Whenever, in any law, references are
10 made to the Department of Commerce, such reference shall be
11 deemed to refer to and include the partnership.
12 (b) Secretary of Commerce to Secretary of Pennsylvania
13 Economic Development Partnership.--Whenever, in any law,
14 reference is made to the Secretary of Commerce, such reference
15 shall be deemed to refer to the secretary of the partnership.
16 Section 10. Transfer of powers and duties.
17 There are hereby transferred to the partnership all of the
18 functions, powers and duties of the Department of Commerce, and
19 the Department of Commerce is hereby abolished. All personnel,
20 allocations, appropriations, equipment, files, records,
21 contracts, agreements, obligations and other materials which are
22 used, employed or expended in connection with the powers, duties
23 or functions transferred by this act to the Pennsylvania
24 Economic Development Partnership are hereby transferred to the
25 partnership with the same force and effect as if the allocations
26 and appropriations had been made to and these items had been the
27 personnel and property of the partnership in the first instance
28 and as if the contracts, agreements and obligations had been
29 incurred or entered into by the partnership.
30 Section 11. Repeals.
19870H0001B0004 - 13 -
1 All acts and parts of acts are repealed insofar as they are
2 inconsistent with this act.
3 Section 12. Effective date.
4 This act shall take effect immediately.
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