Pennsylvania Economic Security, Jobs and Community Mobility Act

AN ACT
Providing for the Pennsylvania Economic Security, Jobs and Community Mobility Program; establishing the Community Mobility and Opportunity Fund; providing for affordable housing, workforce development, small-business growth, energy affordability, broadband access, community investment, transparency and performance reporting; and making an appropriation.

The General Assembly finds and declares as follows:

1. Inflation harms Pennsylvania households when the cost of housing, food, energy, transportation, health care and other necessities rises faster than wages.
2. While monetary policy is primarily a federal responsibility, the Commonwealth can reduce long-term cost pressures by increasing the supply of housing, energy, skilled workers, transportation access, broadband, childcare and productive small businesses.
3. Communities that have experienced persistent poverty, disinvestment, underemployment, vacant properties, inadequate infrastructure, limited credit access or unequal educational opportunity require targeted and locally directed investment.
4. Economic development must create measurable benefits for residents, including good jobs, wage growth, affordable homes, lower utility burdens, business ownership and pathways into high-demand careers.
5. Public funds should prioritize projects that create durable assets, increase local ownership, reduce recurring household costs and preserve affordability rather than merely providing short-term assistance.
6. The Commonwealth has an interest in ensuring that every Pennsylvanian, regardless of ZIP code, race, income, disability status or rural or urban location, has a meaningful opportunity to build wealth, obtain quality employment and participate in the modern economy.
   Section 3. Definitions
   As used in this act:
   “Department” means the Department of Community and Economic Development.
   “Economically underserved community” means a census tract, municipality, neighborhood or rural area designated by the department based on one or more of the following:
   • A poverty rate above the statewide average.
   • A median household income below 80 percent of the statewide median.
   • Unemployment above the statewide average.
   • A high rate of vacant or blighted properties.
   • Limited access to broadband, public transportation, health care, grocery stores, banking services or quality employment.
   • Persistent population loss, industrial disinvestment or fiscal distress.
   • Historical exclusion from public or private investment.
   “Good job” means employment that:
   • Pays not less than the higher of 150 percent of the applicable minimum wage or the prevailing entry wage for the occupation in the region.
   • Provides predictable scheduling and workplace safety protections.
   • Offers employer-sponsored health coverage, retirement benefits, paid leave or an equivalent employee benefit contribution where practical.
   • Includes a documented training, credentialing or advancement pathway.
   “Local ownership” means ownership by Pennsylvania residents, workers, cooperatives, community development corporations, local nonprofits, municipalities, tribes, small businesses or employee-owned enterprises.
   “Qualified project” means a project approved under this act that demonstrates measurable household-cost reduction, job creation, wage growth, business formation, neighborhood revitalization or community wealth-building.
   Section 4. Pennsylvania Cost of Living Reduction Strategy
   (a) Establishment.—The department, in consultation with the Department of Labor and Industry, the Pennsylvania Housing Finance Agency, the Public Utility Commission, the Department of Transportation, the Department of Agriculture and the Department of Human Services, shall develop and annually update a Pennsylvania Cost of Living Reduction Strategy.
   (b) Required focus areas.—The strategy shall identify and address the principal state-level drivers of household expenses, including:
   • Housing costs and housing shortages.
   • Utility and energy burdens.
   • Transportation and commuting costs.
   • Childcare barriers to workforce participation.
   • Food access and local food distribution.
   • Occupational licensing and unnecessary barriers to work.
   • Broadband affordability and digital access.
   • Costs imposed on small businesses that reduce job creation or raise consumer prices.
   (c) Regulatory review.—Each executive agency shall identify regulations, fees, permitting delays or administrative practices that unnecessarily increase the cost of housing construction, small-business formation, energy upgrades, food distribution or workforce entry. The department shall publish recommended reforms while preserving public health, worker safety, consumer protection and environmental standards.
   (d) Public dashboard.—The department shall maintain a public online dashboard showing statewide and regional trends in rent, housing production, utility burden, job growth, labor-force participation, wage growth, business creation and the outcomes of funded projects.
   Section 5. Community Mobility and Opportunity Fund
   (a) Establishment.—The Community Mobility and Opportunity Fund is established as a special fund in the State Treasury.
   (b) Use of money.—Money in the fund may be used for grants, loans, loan guarantees, technical assistance and performance-based incentives for qualified projects that:
   • Reduce recurring household costs.
   • Create or retain good jobs.
   • Increase local business ownership.
   • Improve access to education, training, transportation, broadband or childcare.
   • Rehabilitate vacant, blighted or underused property.
   • Build wealth and assets for residents of economically underserved communities.
   (c) Priority allocation.—At least 60 percent of annual funds appropriated under this act shall be awarded to qualified projects located in economically underserved communities.
   (d) Leveraging requirement.—Except for projects led by municipalities, public schools, community development corporations, worker cooperatives, or nonprofits serving low-income residents, a recipient shall provide matching private, local, philanthropic or federal funds equal to at least 25 percent of the award amount.
   (e) Anti-displacement protections.—A project receiving funds for neighborhood redevelopment shall include a plan to prevent displacement of existing low-income residents, which may include affordable-housing set-asides, property-tax relief for long-term homeowners, right-to-return policies, community land trusts, tenant protections or home-repair assistance.
   Section 6. Affordable housing and neighborhood rebuilding
   (a) Housing production incentives.—The department shall establish incentives for municipalities that adopt or expand policies encouraging:
   • Mixed-income and workforce housing.
   • Adaptive reuse of vacant commercial, industrial and institutional buildings.
   • Faster permitting for code-compliant housing.
   • Accessory dwelling units and infill development where appropriate.
   • Transit-oriented development.
   • Rehabilitation of blighted properties.
   • Conversion of vacant lots into housing, green space, community facilities or locally owned business sites.
   (b) Missing-middle housing.—The department shall provide grants and low-interest financing for duplexes, triplexes, townhomes, small apartment buildings and other attainable forms of housing for working households.
   (c) Community land trusts.—The department shall provide technical assistance and capitalization grants for community land trusts, limited-equity cooperatives and shared-equity homeownership programs that preserve long-term affordability.
   (d) Home repair and weatherization.—Priority grants shall support repairs, accessibility upgrades, lead remediation, energy efficiency and weatherization for low-income homeowners, seniors, veterans and residents in underserved communities.
   Section 7. Pennsylvania Jobs and Skills Partnership
   (a) Program.—The Department of Labor and Industry shall establish the Pennsylvania Jobs and Skills Partnership to align education and training with regional employer demand.
   (b) Eligible sectors.—Priority shall be given to training and apprenticeships in:
   • Construction and skilled trades.
   • Advanced manufacturing.
   • Health care and behavioral health.
   • Information technology and cybersecurity.
   • Energy efficiency, grid modernization and clean-energy trades.
   • Logistics and supply chain operations.
   • Agriculture, food processing and food distribution.
   • Entrepreneurship and small-business management.
   (c) Earn-and-learn programs.—Grants may be awarded to employers, unions, community colleges, career and technical centers, workforce development boards and nonprofit organizations for paid apprenticeships, pre-apprenticeships, internships and work-based learning.
   (d) Participant support.—Funding may include transportation assistance, childcare assistance, tools, licensing fees, work clothing, testing fees and other necessary supports that enable individuals to complete training and maintain employment.
   (e) Local hiring targets.—Recipients of major grants under this act shall make good-faith efforts to hire residents of the community in which the funded project is located.
   Section 8. Small business, entrepreneurship and local ownership
   (a) Small Business Growth Capital Program.—The department shall establish a program offering low-interest loans, credit enhancements and grants to qualified Pennsylvania small businesses, with priority for businesses located in underserved communities.
   (b) Eligible uses.—Funds may be used for equipment, inventory, storefront improvements, digital systems, employee training, working capital, expansion into new markets and acquisition of commercial property.
   (c) Priority businesses.—Priority shall be given to:
   • Businesses owned by residents of economically underserved communities.
   • Minority-owned, women-owned, veteran-owned and disabled-owned businesses.
   • Worker-owned cooperatives and employee-owned businesses.
   • Businesses that hire and train local residents.
   • Grocery stores, pharmacies, childcare providers, manufacturers, contractors, technology businesses and other essential neighborhood enterprises.
   • Businesses converting vacant or blighted properties into productive use.
   (d) Procurement opportunity.—State agencies shall develop a coordinated strategy to increase the participation of qualified Pennsylvania small businesses in Commonwealth procurement, including simplified bidding, technical assistance and prompt-payment standards.
   (e) Business ownership education.—The department shall partner with schools, libraries, community colleges, workforce boards and community organizations to provide free education on credit building, bookkeeping, taxes, procurement, e-commerce, business formation and access to capital.
   Section 9. Energy, transportation and broadband affordability
   (a) Energy burden reduction.—The department, in coordination with the Public Utility Commission and relevant agencies, shall support projects that lower energy bills through weatherization, efficient heating and cooling, building retrofits, community solar where authorized by law, energy storage, grid upgrades and energy-efficiency workforce training.
   (b) Transportation access.—Grants may support reliable transportation to jobs, training centers, health services and childcare, including public transit improvements, vanpool programs, safe walking and cycling connections, electric-vehicle workforce training and repair programs.
   (c) Broadband access.—The department shall prioritize affordable high-speed broadband infrastructure, public Wi-Fi, digital literacy programs and devices for households and small businesses in unserved and underserved areas. The Commonwealth already administers grants for unserved high-speed broadband infrastructure; this act directs targeted expansion and affordability efforts to communities with the greatest need.[dced.pa]
   Section 10. Community wealth-building pilots
   (a) Pilot designation.—The department shall designate not fewer than 10 Community Wealth-Building Pilot Zones, reflecting geographic diversity among urban, suburban, rural and post-industrial communities.
   (b) Eligible projects.—Pilot zones may receive coordinated investment for:
   • Community land trusts and affordable homeownership.
   • Worker cooperatives and employee ownership transitions.
   • Neighborhood commercial corridors.
   • Youth entrepreneurship and financial literacy.
   • Local food markets and urban or rural agriculture.
   • Community-owned broadband or digital-access initiatives where permitted by law.
   • Reentry employment and business-startup programs.
   • Arts, culture and creative-economy enterprises.
   • Financial counseling, credit-building and first-time homebuyer support.
   (c) Local governance.—Each pilot zone shall establish a local advisory board that includes residents, small-business owners, workforce representatives, youth, community-based organizations and local government representatives. At least 50 percent of voting members shall reside in the pilot zone or in the community primarily served by the project.
   Section 11. Accountability and clawback provisions
   (a) Written agreements.—Each award of $100,000 or more shall be governed by a written agreement specifying:
   • The number of jobs to be created or retained.
   • Expected wage levels and benefits.
   • Required private or local matching funds.
   • Project completion milestones.
   • Community benefits and affordability commitments.
   • Reporting requirements.
   • Remedies for nonperformance.
   (b) Clawback.—The department may recover all or part of an award if a recipient knowingly provides false information, materially fails to meet agreed performance requirements without good cause, relocates funded jobs outside the Commonwealth or uses funds for an unauthorized purpose.
   (c) Public disclosure.—The department shall publish recipient names, award amounts, project locations, jobs created or retained, wages, community benefits and compliance status.
   (d) Independent evaluation.—At least once every two years, an independent evaluator selected through a competitive process shall assess program performance, including cost per job, wage outcomes, cost-of-living reductions, minority and local-business participation, housing affordability and displacement outcomes.
   Section 12. Annual report
   No later than December 31 of each year, the department shall submit a report to the Governor, the President pro tempore of the Senate, the Speaker of the House of Representatives and the chairs of the appropriate committees. The report shall include:
   • Total money awarded and leveraged.
   • Number and quality of jobs created and retained.
   • Wage and benefit outcomes.
   • Number of residents completing training or apprenticeships.
   • Number of small businesses started, expanded or assisted.
   • Housing units built, rehabilitated or preserved as affordable.
   • Estimated household energy and transportation savings.
   • Broadband connections and digital-access outcomes.
   • Demographic and geographic distribution of investments.
   • Recommendations for statutory, regulatory or budgetary improvements.
   Section 13. Appropriation
   The sum of $250,000,000, or as much thereof as may be necessary, is appropriated from the General Fund to the Community Mobility and Opportunity Fund for the fiscal year beginning July 1 following enactment. The department shall seek and maximize federal, philanthropic, local and private matching funds.
   Section 14. Effective date
   This act shall take effect in 180 days.
   Why this approach works
   This proposal avoids claiming that Pennsylvania can control Federal Reserve policy or guarantee zero inflation. Instead, it attacks costs that the Commonwealth can influence:

"Problem","Bill response"
"High rents and home prices","Build and preserve more affordable, workforce and “missing-middle” housing"
"Low wages and limited job access","Paid training, apprenticeships, local hiring and job-quality standards"
"Weak business ownership in neglected areas","Low-cost capital, procurement access and entrepreneurship education"
"High utility and transportation bills","Weatherization, efficiency, transit and access-to-work investments"
"Displacement from redevelopment","Community land trusts, affordability commitments and right-to-return protections"
"Public money with little accountability","Measurable goals, public reporting, independent evaluations and clawbacks".

Pennsylvania already operates economic-development tools through DCED, including grants, loans, tax credits, incentives and programs for distressed communities and broadband deployment. This bill would make those efforts more coordinated, accountable and explicitly focused on household-cost reduction and community wealth-building. The General Assembly has legislative authority under the Pennsylvania Constitution, while the Legislative Reference Bureau is the body that formally drafts bills from a legislator’s request.