PRINTER'S NO. 2091
No. 1556 Session of 1990
INTRODUCED BY STAPLETON, PETERSON, JONES, SHAFFER, PUNT, CORMAN,
REIBMAN, SALVATORE, MADIGAN, STOUT, DAWIDA, O'PAKE, HELFRICK,
LEMMOND, SHUMAKER, STEWART AND PORTERFIELD, APRIL 4, 1990
REFERRED TO COMMUNITY AND ECONOMIC DEVELOPMENT, APRIL 4, 1990
AN ACT
1 Providing for programs which enhance the use of Commonwealth
2 economic development programs in rural areas; and making
3 appropriations.
4 The General Assembly hereby finds as follows:
5 (1) Commonwealth economic development programs are less
6 widely used in rural areas than in urban places.
7 (2) Many rural counties lack professionally staffed
8 economic development offices. Counties with professionally
9 staffed economic development offices are more able to utilize
10 programs and assistance available to them.
11 (3) Local development districts have in place a
12 substantial cadre of economic development professionals and
13 provide an important conduit for State programs. Expanded
14 State funding to local development districts would enable
15 these existing regional development organizations to reach
16 more extensively into rural regions of this Commonwealth.
17 The General Assembly of the Commonwealth of Pennsylvania
18 hereby enacts as follows:
1 Section 1. Short title.
2 This act shall be known and may be cited as the Rural
3 Economic Development Assistance Act.
4 Section 2. Definitions.
5 The following words and phrases when used in this act shall
6 have the meanings given to them in this section unless the
7 context clearly indicates otherwise:
8 "County Economic Development Office." An individual or group
9 of individuals who are responsible to county government
10 officials and provide services on a countywide basis to improve
11 the economic conditions of a county.
12 "Department." The Department of Commerce of the
13 Commonwealth.
14 "Local development district." A multicounty agency
15 established as part of the Appalachian Regional Commission and
16 authorized to administer the Appalachian Regional Development
17 Act of 1965 (Public Law 89-4, 40 U.S.C. App. § 1 et seq.) in its
18 respective service area and to enhance a State, regional and
19 local partnership for the economic betterment of this
20 Commonwealth.
21 "Rural county." A county in which, according to the latest
22 Federal Decennial Census, 50% or more of the population is
23 classified as rural.
24 "Secretary." The Secretary of Commerce of the Commonwealth.
25 "Small rural municipality." A municipality which has a
26 population of less than 5,000 and which is located in a rural
27 county.
28 Section 3. County economic development assistance program.
29 The department shall establish a county economic development
30 assistance program to increase rural counties' utilization of
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1 existing economic development programs.
2 Section 4. Financial assistance.
3 (a) Authorization to advance funds.--The department is
4 authorized to provide grants to rural counties for the purpose
5 of establishing or expanding an existing county economic
6 development office. The role of rural county economic
7 development offices established or expanded under this act shall
8 include identifying the economic needs of the rural county and
9 seeking resources and opportunities available through local
10 development districts and other regional and Statewide
11 organizations to meet those needs.
12 (b) Eligibility.--A rural county which agrees to provide
13 matching funds shall be eligible to submit an application to the
14 department for a grant to establish or expand a county economic
15 development office.
16 (c) Uses.--The grants provided to an eligible county shall
17 be used to hire professional staff and to pay operating and
18 maintenance expenses.
19 (d) Duration and amounts.--Matching grants shall be provided
20 for a three-year period. The maximum first-year grant is $50,000
21 per county. The maximum grant during the second and third years
22 shall not exceed 50% of the first-year grant for that county.
23 Grants provided under this act shall be matched dollar-for-
24 dollar by county funds.
25 Section 5. Evaluation criteria.
26 In evaluating applications for grants, the department shall
27 give priority to rural counties that demonstrate:
28 (1) A higher percentage of rural population.
29 (2) The greatest financial need.
30 (3) The least access to full-time professional economic
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1 development expertise.
2 (4) The lowest utilization of existing State programs
3 administered by the department.
4 (5) The greatest potential to improve the utilization of
5 State programs.
6 Section 6. Regional economic development services program.
7 (a) Program.--The department shall establish a program for
8 the development and implementation of plans providing for
9 expanded delivery of rural economic development services and for
10 improved utilization of existing economic development programs
11 in rural counties. Economic development services plans shall be
12 developed by local development districts and shall demonstrate
13 the potential to create new jobs within small rural
14 municipalities or to facilitate the employment of residents of
15 small rural municipalities by firms located in larger
16 municipalities in rural counties. The economic development
17 services plans shall include but not be limited to economic
18 development planning, export development counseling, human
19 resource development and planning, market analysis,
20 telecommunications development, manufacturing and
21 nonmanufacturing recruitment assistance, and main street
22 development.
23 (b) Administration.--The department shall administer the
24 program by providing grants to local development districts, not
25 to exceed $150,000 per district, for the implementation of
26 economic development services plans. Grants shall be provided on
27 a competitive basis, decisions concerning the priority of a
28 grant shall consider those areas with the most critical economic
29 problems and those economic development services plans which
30 offer the greatest potential to facilitate the employment of
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1 small rural municipalities.
2 Section 7. Report.
3 Each recipient of a grant under this act shall provide on an
4 annual and cumulative basis a report containing, at a minimum,
5 the following information:
6 (1) A description of economic development services
7 provided and projects initiated and completed.
8 (2) The amount of increased State funding obtained as a
9 result of the services or projects.
10 (3) The number of jobs created within small rural
11 municipalities as a result of the services or projects.
12 (4) The number of residents of small rural
13 municipalities employed as a result of the services or
14 projects.
15 Section 8. Appropriations.
16 (a) Counties.--The sum of $500,000 is hereby appropriated to
17 the Department of Commerce for the fiscal year July 1, 1990, to
18 June 30, 1991, for grants to counties.
19 (b) Local development districts.--The sum of $500,000 is
20 hereby appropriated to the Department of Commerce for the fiscal
21 year July 1, 1990, to June 30, 1991, for grants to the local
22 development districts for the purpose of expanded delivery of
23 economic development expertise within rural counties.
24 Section 9. Effective date.
25 This act shall take effect in 60 days.
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