|Posted:||December 4, 2014 03:14 PM|
|From:||Senator Rob Teplitz|
|To:||All Senate members|
|Subject:||Legislation - Economic Development and Fiscal Accountability Act|
|In the near future, I plan on introducing legislation that would create the Economic Development and Fiscal Accountability Act.
As you know, the Commonwealth often grants tax incentives to businesses in exchange for job creation or capital improvements. When employers fail to deliver on these promises, not only do local workers and economies face adverse consequences, but Pennsylvania gains nothing in exchange for its lost revenue. This legislation seeks to rectify this situation by making these tax incentives contingent upon businesses fulfilling their obligations in a timely manner.
Under this measure, DCED would be required to submit an annual economic development budget report to the General Assembly providing details regarding uncollected tax revenues resulting from tax credits, abatements, exemptions and reductions, as well as all state-related expenditures for economic development. This legislation would enact further limitations on and procedures for allocation of grant funding, provide for penalties for noncompliance and impose requirements for public disclosure.
Please join me in promoting fiscal accountability. Thank you for your consideration. This was Senate Bill 394 from last session, introduced by Senator Solobay and co-sponsored by Senators Farnese, Boscola, Brewster, Browne, Fontana, Rafferty, Tartaglione, Baker, Schwank, Costa and Hughes.
Introduced as SB154