PRINTER'S NO. 1016
No. 877 Session of 2001
INTRODUCED BY DENT, PUNT, COSTA, ERICKSON, WAUGH, GERLACH,
CORMAN, BELL, ORIE, KUKOVICH AND LOGAN, MAY 17, 2001
REFERRED TO COMMUNITY AND ECONOMIC DEVELOPMENT, MAY 17, 2001
AN ACT
1 Establishing industrial resource centers within the Department
2 of Community and Economic Development.
3 The General Assembly of the Commonwealth of Pennsylvania
4 hereby enacts as follows:
5 Section 1. Short title.
6 This act shall be known and may be cited as the Industrial
7 Resources Center Partnership Act.
8 Section 2. Legislative findings and policies.
9 (a) Findings.--The General Assembly finds as follows:
10 (1) A growing base of companies which leverage advanced
11 technology and innovation to achieve leading positions in
12 their markets and industries is essential to the economic
13 strength and vitality of this Commonwealth in the global,
14 knowledge-based economy.
15 (2) A growing base of productive and profitable small-
16 to-medium-sized manufacturing companies is essential to the
17 economic strength and vitality of this Commonwealth.
18 (3) The competitive success of Commonwealth companies
1 depends on the ability of each company to:
2 (i) identify, understand and serve demanding
3 domestic and foreign markets;
4 (ii) employ modern management methods in all aspects
5 of the enterprise;
6 (iii) educate, empower, reward, recruit and retain a
7 skilled work force;
8 (iv) select, implement and optimize the most
9 advanced technologies appropriate to the enterprise;
10 (v) perform as a resourceful supplier and responsive
11 customer; and
12 (vi) master the dynamic requirements for robust
13 participation in electronic business as information
14 technologies transform commerce.
15 (4) There is a need to inform the body politic, the
16 press, the academic and business communities and the
17 population at large about the significance of a successful,
18 competitive United States manufacturing industry and the
19 importance of an entrepreneurial environment to the quality
20 of life, security and economic strength.
21 (5) The industrial resource centers were created to
22 support the modernization efforts of this Commonwealth's
23 manufacturing companies through collaborative initiatives and
24 individual projects which apply and deploy advanced
25 manufacturing management and production philosophies and
26 techniques in such areas as:
27 (i) market analysis and development;
28 (ii) selection, implementation and optimization of
29 available technologies;
30 (iii) production planning and inventory control;
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1 (iv) factory and office automation;
2 (v) quality assurance and improvement;
3 (vi) lean manufacturing;
4 (vii) supply chain development;
5 (viii) work force development;
6 (ix) enterprise management; and
7 (x) electronic business and information technology.
8 (b) Policy.--
9 (1) It is declared to be the policy of the Commonwealth
10 to promote the health, safety and general welfare of its
11 inhabitants through the department by the certification of
12 industrial resource centers, which shall exist for the
13 purpose of promoting the competitiveness of Commonwealth
14 manufacturing companies through interaction of technology
15 deployment, market analysis, management modernization, work
16 force development and training programs.
17 (2) These purposes are hereby declared to be public
18 purposes for which public money may be spent.
19 (3) It is also the policy of the Commonwealth not to
20 duplicate or to mandate the delivery of technical and
21 professional economic development services currently being
22 provided or those which may be provided in the future by
23 other economic development organizations throughout this
24 Commonwealth.
25 Section 3. Definitions.
26 The following words and phrases when used in this act shall
27 have the meanings given to them in this section unless the
28 context clearly indicates otherwise:
29 "Advisory board." The Industrial Resource Center Strategic
30 Advisory Board established in section 9.
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1 "Commonwealth manufacturing company." A Pennsylvania
2 manufacturing company.
3 "Department." The Department of Community and Economic
4 Development of the Commonwealth.
5 "Industrial resource center" or "center." A nonprofit
6 corporation, incorporated for the purposes of enhancing and
7 supporting the competitive ability of Commonwealth manufacturers
8 by helping them to identify, assess, select, implement and
9 optimize techniques and technologies.
10 "Manufacturing." The giving of new shapes, new qualities or
11 new combinations to matter by the application of skill and labor
12 thereto.
13 "Private sector funds." Monetary or in-kind support from
14 private businesses, corporations, individuals, trade
15 associations, foundations, federally and locally supported grant
16 programs and other non-Commonwealth sources.
17 "Secretary." The Secretary of Community and Economic
18 Development of the Commonwealth.
19 Section 4. Powers and duties of department.
20 The department shall have the following powers and duties:
21 (1) To take responsibility for overall funding
22 allocation, direct policy development and foster coordination
23 among the industrial resource centers.
24 (2) To monitor the development of State and regional
25 plans to advance the economy of this Commonwealth in relation
26 to manufacturing performance and to promote collaboration
27 between regional entities and Commonwealth agencies in the
28 preparation and execution of such plans.
29 (3) To encourage and assist efforts to identify and
30 pursue Federal and other funding opportunities, particularly
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1 those leading to or supporting Statewide strategic
2 initiatives.
3 (4) To establish guidelines and regulations dealing with
4 the program as it is deemed appropriate and consistent.
5 (5) To review the financial and disclosure information
6 submitted by the centers and insure that independent audits
7 and regional board oversight are in place which should
8 reasonably be able to detect and respond to any matters of
9 impropriety at the centers.
10 Section 5. Industrial resource centers.
11 An industrial resource center shall:
12 (1) Serve manufacturing industries in this Commonwealth.
13 (2) Work with companies, such as engineering design,
14 software engineering, accounting, educational corporations
15 and institutions and distribution centers, to help specific
16 manufacturing firms serviced by those companies that
17 modernize their manufacturing techniques and technologies.
18 (3) Offer manufacturers comprehensive assistance which
19 may include, but is not limited to:
20 (i) The capacity to help manufacturing firms
21 evaluate those elements which are critical to their
22 competitive ability, such as implementation of
23 commercially available process technologies, continuous
24 improvement in quality, development of work force skills
25 and understanding the nature of global markets.
26 (ii) The ability to assist companies in identifying
27 and applying appropriate technologies.
28 (iii) The ability to transmit products and
29 techniques to improve manufacturing processes.
30 (iv) Information services which provide
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1 manufacturers with practical data on business issues and
2 the availability and capability of commercially available
3 processes and technologies and assistance with
4 implementation.
5 (v) The development of demonstration sites which
6 manufacturers can visit to learn about and evaluate
7 technologies.
8 (vi) Providing manufacturers with services designed
9 to help them better understand and apply modern
10 manufacturing techniques and concepts.
11 (vii) Working with the department and other State
12 agencies and local or regional organizations in the
13 implementation of economic development plans.
14 (viii) Providing manufacturers with marketing
15 strategies and assistance in training and work force
16 development.
17 (4) Represent a consortium of interest designed to meet
18 the needs of manufacturers in their particular regions.
19 (5) Partner with private sector firms in the development
20 of joint initiatives and ventures that address the needs of
21 and benefit manufacturers.
22 (6) Be an independent nonprofit institution overseen by
23 a regional board of directors comprising private industry,
24 economic development organization and university and
25 educational institution representatives, with at least 50%
26 representation from privacy industry.
27 (7) Complement and cooperate with every other center and
28 make every effort to share expertise and clientele to develop
29 a strong Statewide network.
30 Section 6. Requirement of matching funds.
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1 Funds in the form of a grant to an industrial resource center
2 or to regional partners by the partnership pursuant to this act
3 shall be matched by private sector funds on a minimum basis to
4 be established by the department. Private matching funds shall
5 include, but not be limited to, monetary on in-kind support from
6 private businesses, corporations, individuals, trade
7 associations, foundations, federally and locally subsidized
8 grants and other forms of non-Commonwealth support. For partners
9 only, private matching funds shall also include machinery and
10 equipment.
11 Section 7. Reporting requirements.
12 Centers shall be required to annually submit the following to
13 the department:
14 (1) The center's current mailing address and telephone
15 number.
16 (2) A copy of the center's current articles of
17 incorporation and bylaws if they are amended during the
18 previous year.
19 (3) A list of the center's current officers and
20 directors.
21 (4) Financial information as the department may request.
22 However, at a minimum, centers shall submit an independent
23 audit which covers all funds received directly from the
24 Commonwealth and funds derived from Commonwealth support,
25 such as paybacks, reimbursements, investment returns, fees
26 for services and any other similar forms of income which
27 result at lease partially from initial expenditure of
28 Commonwealth funds. Upon request, centers shall also furnish
29 general financial and program information about activities at
30 the center supported entirely by non-Commonwealth sources,
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1 such as Federal or foundation grants arranged directly by the
2 center.
3 (5) Disclosure information of the center's officers and
4 directors as the department may require to ensure the
5 integrity of this act.
6 Section 8. Repeal.
7 The act of July 2, 1993 (P.L.439, No.64), known as the Ben
8 Franklin/IRC Partnership Act, is repealed insofar as it relates
9 to industrial resource centers.
10 Section 9. Industrial Resource Center Strategic Advisory Board.
11 (a) Establishment.--There is hereby established within the
12 department the IRC Strategic Advisory Board.
13 (b) Members.--The advisory board shall be composed of the
14 following members:
15 (1) The secretary.
16 (2) Four members of the General Assembly appointed as
17 follows:
18 (i) One member appointed by the President pro
19 tempore of the Senate.
20 (ii) One member appointed by the Minority Leader of
21 the Senate.
22 (iii) One member appointed by the Speaker of the
23 House of Representatives.
24 (iv) One member appointed by the Minority Leader of
25 the House of Representatives.
26 (3) Seven representatives from the private manufacturing
27 industry to be appointed by the Governor from nominees
28 submitted by the Industrial Resource Centers.
29 (c) Chair.--The advisory board shall be chaired by the
30 secretary.
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1 (d) Compensation.--The advisory board members shall receive
2 no compensation for their services but shall be reimbursed for
3 the expenses actually incurred by them in the performance of
4 their duties under this act.
5 (e) Purpose.--The advisory board shall provide perspective
6 to the department and the Industrial Resource Centers on the
7 needs and issues of Pennsylvania manufacturers.
8 Section 10. Duties of advisory board.
9 (a) Duties.--The advisory board shall:
10 (1) Make recommendations to the department and IRCs.
11 (2) Develop strategies designed to enhance the
12 Commonwealthwide impact of the IRCs.
13 (3) Develop strategies designed to facilitate
14 communication among Pennsylvania manufacturers.
15 (b) Exclusions.--The duties of the advisory board shall not
16 include the review and approval of annual funding proposals and
17 allocations for each of the IRCs.
18 Section 11. Effective date.
19 This act shall take effect immediately.
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