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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Senate Hearing in Erie Focuses on Faltering Human Services Safety Net
Erie December 13, 2012 — Erie area human services providers today told a state Senate panel that the availability, quality and reliability of crucial services to disabled people are diminishing in the face of dwindling state financial support and questionable bureaucratic decisions in Harrisburg.
Bureaucratic decisions arbitrarily issued by the Department of Public Welfare (DPW) in Harrisburg have needlessly made disabled peoples lives more difficult, Wiley said. Rectifying these cuts in state support to Erie County cannot wait until next year. This needs to be addressed immediately.
The informal Senate committee roundtable discussion was held in Erie at the request of Senator-elect Sean Wiley (D-Erie).
Several panelists were critical of the Corbett Administration and DPW for shortchanging regional human services providers and implementing controversial new policies that will curtail county services that disabled and vulnerable people rely on.
Specifically, providers charged that DPWs new reimbursement rate formula will cut support for Eries regional providers by up to 17 percent. Pointing to how the departments formula now bundles Erie County wage data in with numerous rural counties across the state, Wiley noted that those who provide the very same services in other parts of Pennsylvania now receive a 13 percent higher reimbursement rate than their Erie counterparts.
The Erie lawmaker said he will work to obtain additional state financial support; require DPW to publicly disclose its new formula and data it used to determine the new rates; and press the department to include providers in talks on how the formula can be rectified.
Panelists also discussed the devastating impact of the states 10 percent budget cuts to county human service programs that serve disabled people and vulnerable children.
Bill Grove, who serves as chief executive officer for the Mental Health Association of Northwestern Pennsylvania, said DPWs policies have been fiscally irresponsible and will have dire consequences on disabled people. He noted how the Corbett Administration has cut support to programs that help disabled people live independent lives, even though hospitalization and institutionalization is three times more costly.
In northwestern Pennsylvania, If youre poor, youre going to get poorer, Grove said. If youre sick, youre going to get sicker.
Sen. Lisa Boscola (D-Northampton/Lehigh/Monroe), who chairs the Policy Committee, said many counties have struggled to maintain human service programs such as mental health, intellectual disabilities, child welfare, behavioral health, and home assistance following the 10 percent funding cut this year. Gov. Tom Corbett originally proposed a 20 percent cut.
The discussion also touched on DPWs controversial decision to replace the states 37 financial management service vendors with one firm, Public Consulting Groups Public Partnerships, LLC (PPL), based in Massachusetts. Boscola said she was concerned with how dedicated this out-of-state firm would be to the states disabled community.
I have never received a complaint from a human services provider about one of these 37 vendors, Boscola said. At a time when we are struggling to keep jobs in Pennsylvania and help our businesses survive, why is DPW ousting in-state businesses in favor of this cookie cutter approach?
Welfare Secretary Gary D. Alexander was invited to take part in the discussion, but refused.
Boscola, who also serves on the Senate Appropriations Committee, said it is imperative that this years budget discussions focus on protecting limited resources for disabled people, their families and the community.
Senators in attendance included Wiley, Boscola, Senate Democratic Leader Jay Costa (D-Allegheny), and LeAnna Washington (D-Phila.). Others who took part in the informal roundtable discussion included:
- Shari Gross, Erie County Director of Human Services;
- Attorney Charles R. Barber, chief administrative officer, Erie County Care Management;
- John Barber, CEO, Barber National Institute;
- Bill Harriger, CFO, Erie Homes for Children & Adults;
- Bill Grove, Mental Health Association of Northwestern Pennsylvania;
- Tim Finegan, executive director, Community Resources for Independence;
- Jeanne Bender, guardian for disabled individual; and
- Tanya Teglo, who has cerebral palsy.
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