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https://www.legis.state.pa.us/cfdocs/Legis/CSM/showMemoPublic.cfm?chamber=H&SPick=20170&cosponId=22798
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House of Representatives
Session of 2017 - 2018 Regular Session

MEMORANDUM

Posted: February 7, 2017 01:19 PM
From: Representative Robert F. Matzie
To: All House members
Subject: Request for Co-Sponsorship-- The Economic Development Responsibility Act (former H.B. 1381 of 2013-14)
 
Pennsylvania has dozens of programs that provide some level of assistance to businesses wanting to locate or grow in our state. Redevelopment Capitol Assistance Grants, tax credits, Opportunity Grants, Machinery and Equipment Loans and many other programs are all tools that the Commonwealth uses to attract jobs. Sadly, what we often find is that those who accept public subsidies do not always do their part to ensure that the jobs they create pay above the poverty level.

As members of the General Assembly, we should do all we can to ensure good-paying jobs are created when taxpayer dollars are put at risk. That is why in the near future, I will be re-introducing The Economic Development Responsibility Act (former H.B. 1381 of 2013-2014). My legislation would:

1. Require that recipients of economic development subsidies from the state pay their building service and food workers the highest of either 150% of the minimum wage, the standard industry wage as established by the Service Contract Act, or applicable wage requirements mandated by local wage laws.

2. Apply to any project that receives state subsidies in the form of grants, discounted or forgiven loans, bond financing, infrastructure improvements, below market sale or lease of property, tax increment financing, tax credits, tax incentives, or other types of financial assistance with a total value of at least $25,000.

3. Apply to projects occupying spaces of at least 100,000 square feet.

With economic development resources as scarce as they have been in a generation, more and more companies and developers are turning to government for financial help. We have an obligation to hold these companies to a higher standard and ensure that the use public dollars to spur private development never results in poverty-level jobs. Please join me in co-sponsoring this legislation.

Former House Bill 1381 of 2013-2014 Previous Co-Sponsors: YOUNGBLOOD, THOMAS, KOTIK, COHEN, MUNDY, SAINATO, D. COSTA, GIBBONS, MOLCHANY, CALTAGIRONE, DeLUCA and V. BROWN