SCRANTON, Oct. 8, 2013 – Venture capitalists, public policy experts and economic development analysts today debated the strategic elements of the Senate Democratic plan to grow jobs and foster business creation and expansion in Pennsylvania.
Called “PA Works,” the Senate Democratic strategy is a multi-faceted approach that includes dozens of proposals and incorporates Sen. John Blake’s (D-Lackawanna) groundbreaking “Innovate in PA” program.
If enacted, “PA Works” would create an estimated 80,000 jobs and generate $2 billion in new private investment.
“We’re talking to local, state and private experts on the economy because we believe Pennsylvania can do more to drive economic activity and encourage investment and job growth. We’re excited about ‘PA Works’ and its prospects for both short- and long-term benefits to our state’s economy,” Blake said.
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The Senate Democratic Policy Committee, chaired by Northampton County Sen. Lisa Boscola, engaged three panels of experts at the University of Scranton’s Loyola Science Center.
“Stoking our economy, getting people back to work and helping businesses succeed should be government’s top priority,” Boscola said. “This is why we are presenting ‘PA Works’ and Sen. Blake’s ‘Innovate in PA’ to get this state moving again.”
Blake’s “Innovate in PA,” which was enacted when the governor signed the state’s tax code into law, is designed to improve Pennsylvania’s capacity to support the job creators of the future with new investments of nearly $100 million in the life sciences, advanced manufacturing, information technology and energy business sectors.
Mike Gausling, the managing director of Originate Ventures, praised “Innovate in PA” for being there for new businesses.
“Investors who don’t take as much risk aren’t going to show up (with investment dollars), so it is critical for the state to step up and provide early stage risk capital,” Gausling said.
For each dollar the state invests, said Ben Franklin Technology Partners of Northeast PA CEO Chad Paul, there will be a $3.60 return.
The five critical elements of “PA Works” that were spotlighted at the hearing will invest in the state’s small businesses (SB 200, SB 205, SB 216), develop and rebuild infrastructure (SB 201, SB 236, SB 224, SB 1033, the expansion of H2O PA, and new PENNVEST funding), better prepare workers for in-demand jobs (SB 223, SB 230, SB 208, and industry certification), train veterans for fulfilling civilian careers (SB 203, SB 215, SB 231, SB 452, and increased opportunities for veteran contracting), and ease the burden on minority women and families (SB 228, SB 219, and SB 858).
“Pennsylvania is at a crossroads,” Blake said. “We need to choose the right path forward to create long-lasting and positive opportunities for business, job creation and economic development.”
Pennsylvania’s unemployment rate increased in August to 7.7 percent while the national jobless rate hovered at 7.3 percent. The U.S. Department of Labor’s Bureau of Labor Statistics said PA is 45th in the country in 2013 for year-to-date employment growth.
“Whether it’s struggling with a budget crisis, maintaining city services, or fighting crime and blight, we need a comprehensive strategy that will enable our urban cores to revitalize themselves, attract new investment, and emerge as destination points for new residents and businesses,” Boscola said.
“The creation of a single job ripples through the economy and benefits us all,” said Institute for Public Policy & Economic Development Executive Director Teri Ooms. “We all win.”
Others testifying before the committee on the “PA Works” plan and “Innovate in PA” were Richard Stein, CEO, Klios Inc.; Amy Luyster, assistant vice president, The Scranton Plan; Dr. Mel Billingsley, CEO, Life Sciences Greenhouse of Central PA; William J. Schoen, administrator, Skills in Scranton; Ronald Vogel, regional representative, PA Department of Labor & Industry; and David Jadick, acting public affairs officer, Tobyhanna Army Depot.
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Harrisburg, September 16, 2013 – Senate Democrats issued the following joint statement in response to Gov. Tom Corbett’s announcement of his plan to reform the state’s Medicaid program.
Senate Democratic Leader Jay Costa (D-Allegheny), Sen. Vincent J. Hughes (D-Philadelphia) Democratic Appropriations Committee chair, Democratic Health and Welfare Committee Chair Sen. Shirley Kitchen (D-Philadelphia,) and Sen. Mike Stack (D-Philadelphia) Democratic chair of the Banking and Insurance Committee comments on the Corbett proposal. The statement is as follows:
“Senate Democrats welcome the discussion about health-care access and affordability now that Governor Corbett has outlined his plan and vision for providing health insurance to 600,000 working Pennsylvanians.
“For more than a year, Senate Democrats have been focused on expanding options and providing help for those in need of affordable health care as soon as possible. We remain convinced that the best and most effective option is to enroll newly eligible individuals into Pennsylvania’s existing Medicaid program.
“Our plan, expanding the current Medicaid program, would allow 600,000 Pennsylvanians to have access to health insurance on January 1, save taxpayers $400 million annually and create more than 35,000 jobs. This is the cost-and-effectiveness standard by which the Corbett initiative will be measured.
“The process has to move quickly. The administration needs to put the final details of its proposal together and submit that plan to the federal government. Many states will have expansion in place by January 1, 2014, including the surrounding states of Maryland, New York and New Jersey.”
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HARRISBURG, Aug. 20, 2013 – As more Pennsylvania children continue to drop from the rolls of the state’s landmark Children’s Health Insurance Program, a unified Senate Democratic Caucus urged the governor today to take immediate action to correct the problem.
The caucus – led by Senate Democratic Leader Jay Costa, Democratic Appropriations Chairman Vince Hughes and Sens. Mike Stack and Shirley Kitchen – said the state should streamline CHIP’s renewal process by: starting “presumptive eligibility,” requiring the state’s CHIP program to interface with the free- and reduced-school lunch databases, and better promoting the program, among other recommendations.
“According to the monthly enrollment data produced by the Insurance Department, there was a decrease in CHIP enrollment of 7,726 children from July 2011 to July 2013,” the caucus’ letter to the governor said. “The largest loss of enrollment is in the free CHIP program.”
Additionally, as CHIP enrollment has dropped, the caucus said more than 98,000 children lost coverage through the Medical Assistance program between August 2011 and this past November.
The caucus said it believes CHIP enrollment is dropping due to administrative changes and the failure by the Insurance Department to employ best practices in its operation.
“What’s happening with CHIP in Pennsylvania means more working moms and dads are being forced to make tough choices with their budgets,” said Sen. Jay Costa (D-Allegheny). “No one should have to decide whether their paycheck will buy food, prescription medicine or the mortgage. But that seems to be what is happening more and more under this administration.”
“The drop in numbers should be a warning siren all by itself that changes are not working and corrective steps need to happen because our children are losing the care they need,” said Sen. Vince Hughes (D-Philadelphia). “I urge Gov. Corbett to make the changes we are suggesting. They should be quick and easy to do. Our working families should not have to wait any longer.”
In addition to starting “presumptive eligibility” and the other suggestions mentioned, the caucus said the Corbett administration should:
- Make health insurance screening/referral processes a part of school registration.
- Include a check-off box for insurance on the CHIP Really flyer that is sent to parents at beginning of each school year. Parents would sign and return the form each year.
- Change renewal notices to 90 and 45 days (currently, 90 and 60 days).
- Use a joint application and renewal form for Medicaid and CHIP.
“Doing these simple things will ensure that working families who can’t afford to pay for health insurance themselves will be able to provide health insurance to their children,” said Sen. Mike Stack (D-Philadelphia). “Other states have adopted many of these best practices. It’s time for Pennsylvania to make these improvements and ensure that each eligible child gets CHIP coverage.”
The caucus said it hopes the governor will accept the proposed changes in the spirit of bipartisanship and added it is ready to work with the administration to improve CHIP, which was started in 1992 by Gov. Robert P. Casey and quickly became a model that other states and the federal government followed.
“Children are our most valuable resources,” Sen. Shirley Kitchen (D-Philadelphia) said. “They are not a way to balance a budget or ever be used to gain an advantage or prove a point. Our children – and their working parents – need help. Let’s help them now.”
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Harrisburg, August 13, 2013 – Senate Democratic Leader Sen. Jay Costa (D-Allegheny) today issued a statement disputing the Corbett administration contention that state funding earmarked for the Philadelphia School District was contingent on additional concessions from the city or organized labor.
Costa and other Senate Democrats participated in discussions in June with the governor’s senior aides — prior to the adoption of the state budget or Fiscal Code – concerning the $45 million state grant for the city. Philadelphia school officials have maintained that without the additional state funds the school district will not be able to open for the upcoming year.
“In the context of our discussions with the governor’s top aides there were no additional labor concessions discussed regarding the state grant.
“The fact is the district has already started implementing a wide array of significant fiscal, operational and education reforms pursuant to Act 71. These include labor contributions, transportation efficiencies and other important changes that will help address the district’s funding crisis.
“Act 71 refers to the type of systemic reform that the district has now put in motion not the imposition of contractual changes that have not been agreed to during the collective bargaining process.
“The Corbett administration needs to honor the commitment that it made and release the grant funding.”
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Harrisburg – July 29, 2013 – Senate Democratic Leader Jay Costa (D-Allegheny) released the following statement concerning the death of former Pennsylvania Gov. William Scranton. Gov. Scranton died Sunday in California.
Scranton, who was elected as Governor of Pennsylvania in 1962, also served in the U.S. House of Representatives, as United States ambassador to the United Nations, and various high level national boards, commissions and missions during his public life.
“Pennsylvania has been blessed with many governors of outstanding ability and skill and, although his government service ended many years ago, I believe Governor Scranton was one of our most effective executives. His record of public service as governor and in various capacities on the national level is impressive. He serves as a role model for others who aspire to a life of public service.
“Pennsylvania – and our nation – is a better place because of Governor Scranton and his good works. Our thoughts and prayers are with the Scranton family today as they mourn the loss of the former governor.”
Record Lottery Sales and Revenues Prompt Request
Harrisburg – July 19, 2013 – Citing yesterday’s announcement by the Pennsylvania Lottery of record sales and revenues for the 2012-13 Fiscal Year, Senate Democrats released a letter that was sent to Gov. Tom Corbett today asking that he immediately end plans to privatize the Lottery.
The Lottery announced yesterday that it finished the 2012-13 fiscal year with $3.69 billion in sales and an excess of $1 billion in net revenues, which are well above the previous year and prior all-time sales record of $3.48 billion.
Corbett has aggressively pursued a plan to privatize the management of the Lottery. He contracted with a foreign-based British company to run the operation. Corbett’s plan was halted earlier this year when Attorney General Kathleen Kane rejected the contract on constitutional and statutory grounds. The governor has since sought one extension after another with the company to keep the possibility of privatization alive.
Sen. Jay Costa, the Democratic leader said that given the recent sales record and revenue increase, the reduction in administrative costs and the benefits that the lottery provides to seniors and the economy it would be foolish to pursue privatization. Costa said Senate Democrats believe it is important to restate their objections to the privatization scheme and to send those sentiments to the governor.
In the letter to Corbett, Senate Democrats wrote that given the Lottery’s success as a commonwealth agency, “it is difficult to fathom why your administration — or any public official for that matter — would still be pursuing the privatization of the Lottery.
“It is time to publicly announce that you are ending the plan to privatize the Lottery so that we can move on to other important public policy issues that result in job creation, more investment in education and repairs to the social safety net,” Costa said in the letter.
“The continued pursuit of privatization by the governor is a waste of energy and money,” Costa said.
Editor’s note: View Senate Democrats letter to Gov. Corbett.
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