PRIOR PRINTER'S NOS. 2007, 2170 PRINTER'S NO. 2227
No. 1468 Session of 1986
INTRODUCED BY SHAFFER, SINGEL, SALVATORE, JUBELIRER, FISHER, PETERSON, REIBMAN, PECORA, STOUT, HELFRICK, MOORE, CORMAN, KRATZER, LEMMOND, WILT, RHOADES, O'PAKE, STAUFFER, ROSS, SHUMAKER, MADIGAN, LOEPER, ZEMPRELLI, SCANLON, ROMANELLI, LINCOLN, BRIGHTBILL, HANKINS, BODACK, MUSTO AND ANDREZESKI, APRIL 10, 1986
AS AMENDED ON THIRD CONSIDERATION, JUNE 11, 1986
AN ACT 1 Establishing a program within the Department of Commerce to 2 provide assistance to communities experiencing economic 3 distress by providing grants for the development of long-term 4 economic recovery strategies. 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 Community 9 Economic Recovery Program Act. 10 Section 2. Legislative findings and declarations. 11 (a) Findings.--The General Assembly finds and declares that: 12 (1) There exist within this Commonwealth certain areas 13 where there is persistent unemployment and underemployment. 14 (2) Insufficient private investment in these areas 15 causes social and economic problems for the citizens of these 16 areas, including increased reliance on public assistance, and 17 a declining local tax base.
1 (3) In order to promote private investment in these 2 areas, local economic recovery strategies must be designed in 3 recognition of the many unique assets and resources available 4 in these communities. 5 (4) In order to best develop meaningful economic 6 strategies, a professional development staff must be 7 available to these communities. 8 (b) Intent.--It is the intent of the General Assembly to 9 assist economically disadvantaged communities to develop local 10 economic recovery strategies. 11 Section 3. Definitions. 12 The following words and phrases when used in this act shall 13 have the meanings given to them in this section unless the 14 context clearly indicates otherwise: 15 "Community." A municipality, including counties, cities, 16 boroughs, incorporated towns, townships, home rule 17 municipalities and councils of local government. 18 "Consortium." The grouping of two or more communities to 19 better provide for grant utilization. 20 "Department." The Department of Commerce of the 21 Commonwealth. 22 "Distressed communities." Communities which are designated 23 as distressed by the Federal Department of Housing and Urban 24 Development under the Housing and Community Development Act of 25 1974 (Public Law 93-383, 42 U.S.C. § 5301 et seq.) or which meet 26 criteria promulgated by the department. 27 "Local development agency." Any municipality or any 28 industrial and commercial authority organized pursuant to or 29 industrial development company as certified by the department 30 pursuant to the act of August 23, 1967 (P.L.251, No.102), known 19860S1468B2227 - 2 -
1 as the Industrial and Commercial Development Authority Law; any 2 council of government organization or any multimunicipal agency 3 organization created pursuant to the act of July 12, 1972 4 (P.L.762, No.180), referred to as the Intergovernmental 5 Cooperation Law; any municipal authority organization pursuant 6 to the act of May 2, 1945 (P.L.382, No.164), known as the 7 Municipality Authorities Act of 1945; any redevelopment 8 authority organized pursuant to the act of May 24, 1945 9 (P.L.991, No.385), known as the Urban Redevelopment Law; and any 10 local development district of the Appalachian Regional 11 Commission. 12 "Secretary." The Secretary of Commerce of the Commonwealth. 13 Section 4. Purpose. 14 It is the purpose of this act to provide financial assistance 15 to distressed communities in this Commonwealth to enable them to 16 develop local economic recovery strategies and area marketing 17 plans designed to retain existing jobs, to assist in business 18 expansions or startups and to attract new industry. 19 Section 5. Program establishment. 20 There is hereby established, under the direction of the 21 department, a program to be known as the Community Economic 22 Recovery Program. 23 Section 6. Eligibility. 24 (a) General rule.--Applicants eligible to receive grants are 25 local development agencies. Preference shall be given to 26 areawide and regional consortium applications. 27 (b) Applications.--Applicants must submit an application, in 28 a form and manner prescribed by the secretary, addressing the 29 following: 30 (1) Demonstrating the need for developing a local 19860S1468B2227 - 3 -
1 economic recovery strategy. 2 (2) Describing a plan for developing the strategy. 3 (3) Staffing needs required to develop and implement the 4 plan. 5 Section 7. Use of funds. 6 (a) General rule.--Grant funds shall be used to help develop 7 the local capacity to plan and to implement an economic recovery 8 strategy. Funding may be used for activities including, but not 9 limited to, the following: 10 (1) Identifying existing industries within the community 11 which may be in danger of leaving the area, and encouraging 12 the retention of these industries. 13 (2) Identifying growth industries, and developing plans 14 for encouraging the expansion of such industries within the 15 community. 16 (3) Analyzing the job skills of the unemployed labor 17 force and reviewing existing job training programs in order 18 to make recommendations on the upgrading of the skills of the 19 unemployed labor force. 20 (4) Itemizing infrastructure improvements necessary for 21 job creation. 22 (5) Cataloging the services of local economic 23 development agencies. 24 (6) Ensuring that these agencies have qualified 25 personnel with knowledge of Federal, State and local 26 programs. 27 (7) Listing those areas in which the community has a 28 particular advantage over other locations, both inside and 29 outside this Commonwealth. 30 (8) Listing those areas in which the community is at a 19860S1468B2227 - 4 -
1 disadvantage when attracting private capital, along with 2 making recommendations for alleviating these problems. 3 (9) Working with businesses and other organizations to 4 encourage the retention of existing jobs, the expansion of 5 existing firms and the attraction of new businesses, with 6 emphasis on projects that will help diversify the community's 7 economic base. 8 (b) Report.--A final report shall be submitted to the 9 department within one year of the award of funds and shall 10 include, as a minimum, a summary of the analyses performed and 11 the businesses assisted and a detailed list of locally supported 12 programs or projects planned, designed or implemented as part of 13 the local economic recovery strategy. 14 Section 8. Grant conditions and procedures. 15 Grants (A) GENERAL RULE.--GRANTS OTHER THAN GRANTS FOR A <-- 16 PROFESSIONAL DEVELOPMENT STAFF shall meet the following 17 conditions: 18 (1) Individual grants shall not exceed $50,000. 19 (2) No more than one grant per municipality LOCAL <-- 20 DEVELOPMENT AGENCY shall be awarded in any one State fiscal 21 year. 22 (3) (B) PROFESSIONAL DEVELOPMENT STAFF GRANTS.--Grants <-- 23 for a professional development staff may be awarded according <-- 24 to the following conditions, in addition to paragraphs (1) 25 and (2) as follows: SHALL MEET THE FOLLOWING CONDITIONS: <-- 26 (i) (1) Evidence SHALL BE PRESENTED that there will <-- 27 be a local funding match of at least $1 for every $1 of 28 State grant. 29 (ii) Identification of the local development <-- 30 agencies to be the grant recipient. 19860S1468B2227 - 5 -
1 (iii) Maximum grants shall be permitted according to 2 the following: 3 (2) THE LOCAL DEVELOPMENT AGENCIES TO BE THE GRANT <-- 4 RECIPIENT SHALL BE IDENTIFIED. 5 (3) GRANTS SHALL NOT EXCEED THE FOLLOWING SCHEDULE: 6 (A) First class counties $150,000 7 (B) Second class counties 100,000 8 (C) Second class A counties 50,000 9 (D) Third class through eighth class 10 counties 25,000 11 Section 9. Application procedures. 12 (a) Form.--Applications for the Community Economic Recovery 13 Program funds shall be made to the department, in a form and 14 manner prescribed by the secretary. 15 (b) Coordination.--The department may require that local 16 development districts or counties coordinate the efforts of the 17 various municipalities LOCAL DEVELOPMENT AGENCIES within their <-- 18 region to insure that communities are not duplicating grant 19 proposals, including encouraging adjacent jurisdictions that are 20 individually applying for a grant to pool resources and submit a 21 joint proposal, and encouraging those eligible jurisdictions not 22 applying for a grant to cooperate with adjacent jurisdictions 23 and apply for funding, if applicable. 24 (c) Contents of application.--The application shall contain 25 the following: 26 (1) Documentation that the community or communities meet 27 the eligibility criteria specified in this act. 28 (2) Justification of the need for State assistance in 29 developing a local community economic recovery strategy. 30 (3) A description of the organization that will 19860S1468B2227 - 6 -
1 administer the funds and the reason why it can represent the 2 area in its revitalization effort, including statements from 3 other community groups in support of the application. 4 (4) A detailed description of the activities to be 5 carried out using the funds. 6 (5) A letter from the elected officials in each 7 municipality and county of the distressed area specifying 8 their support. 9 (6) Other information as specified by the department. 10 Section 10. Grant evaluation criteria. 11 (a) Analysis of application.--The department shall determine 12 from the application whether the community is eligible for 13 assistance and the proposed plan is likely to promote economic 14 growth. If the department determines that the applicant is not 15 qualified to develop a community economic recovery strategy, the 16 department may attempt to aid the applicant to establish a group 17 which is qualified, or to develop a revised plan which will best 18 carry out the purpose of revitalizing the particular community. 19 (b) Criteria.--In addition, in evaluating applications for 20 grants, the department shall consider the following specific 21 criteria: 22 (1) Community support and cooperation, including the 23 degree of public and private matching commitments. 24 (2) The degree of areawide or multicommunity 25 involvement, including the total population to be served by 26 the grant. 27 (3) Identification of critical economic needs or 28 opportunities. 29 (4) Consistency of the proposal with State economic 30 development strategies, goals or objectives. 19860S1468B2227 - 7 -
1 (5) Other criteria as established by the department as 2 necessary to achieve the purposes of this act. 3 Section 11. Additional powers and duties of department. 4 The department may prescribe such application forms, 5 promulgate and publish rules, regulations, procedures and 6 application manuals, and request such information as may be 7 necessary to carry out the provisions of this act. 8 Section 12. Effective date. 9 This act shall take effect immediately. C10L71CHF/19860S1468B2227 - 8 -