Calling the Lehigh Valley “a place that knows how to band together and win,” Gov. Josh Shapiro announced May 8 that the Lehigh Valley will be the first to receive money from a new program aimed at getting sites shovel ready – a key piece of his strategy to make Pennsylvania more competitive in economic development.
The $1.1 million will go toward infrastructure improvements aimed at getting 6.5 acres along Allentown’s section of the Lehigh River ready to support a 50,000-square-foot industrial building suitable for manufacturing. The improvements include the extension of water, sewer, and natural gas service.
“They’re turning this pile of dirt into jobs,” Shapiro said. “This is a big win for Allentown. This is a big win for the Lehigh Valley. And it is a big win for the Commonwealth, because we’re betting heavy on this region to drive economic growth in the future.”
The money comes from the PA SITES program, created last year by Shapiro to expedite construction. Other states already are investing in making sites shovel ready, and Pennsylvania must do the same to be able to compete, Shapiro said.
“We need to develop more sites all across Pennsylvania, to sell our Commonwealth to big companies and others who are going to create jobs and grow our economy,” he said.
Shapiro budgeted $13 million for a pilot program of PA SITES in 2023-24. The demand was overwhelming, with 102 applicants seeking more than $236 million for site development.
Shapiro is asking the state Legislature to budget $500 million for PA SITES in 2024-25.
The grant for the Allentown project was awarded to the Allentown Commercial and Industrial Development Authority. The building, an investment of about $6 million, will be constructed by the Allentown Economic Development Corp. (AEDC). The site has the potential to create 30 to 50 jobs, said R. Scott Unger, Executive Director of AEDC.
“By accelerating the development project, we’ll help create those good-paying jobs sooner,” said Unger, who is on the Board of Directors of Lehigh Valley Economic Development Corp. (LVEDC).
LVEDC President & CEO Don Cunningham thanked Shapiro and other state, regional, and local officials for recognizing the importance of getting sites shovel ready.
“We can’t capture a prospect if the site’s not ready to go,” he said. “We have prospects in manufacturing that want to be in Pennsylvania, want to be in the Lehigh Valley, but they’re not going to wait three or four years. They’re going to move on.”
Six other PA SITES projects have also been announced elsewhere in Pennsylvania, totaling $10.6 million.
PA SITES is a key part of Pennsylvania’s 10-year statewide economic development strategy that Shapiro unveiled in the Lehigh Valley in January, at OraSure Technologies.
He announced that plan in the Lehigh Valley because he was inspired by the region’s record of success and building partnerships to get things done. He said he is using the Lehigh Valley as a model for Pennsylvania to be a national leader in economic development and job creation.
The Governor offered similar thoughts for why he returned to the Lehigh Valley to announce the first PA SITES location.
Rick Siger, Pennsylvania Secretary of Community and Economic Development, said PA SITES plays a critical role.
“It essentially serves as gap financing for sites that need financial assistance to reduce development risks for business,” he said. “It reduces that risk by funding things like land acquisition, environmental assessment or remediation, demolition, clearing land, or like in this case, construction of utility infrastructure and much more. And when a site is pad ready, a business can move with the speed and certainty they need to grow and succeed. And we as a Commonwealth are moving at the speed of business, too. That is our goal.”
Officials who attended the announcement and offered support for the Allentown project and the PA SITES program included state Sen. Nick Miller, state Rep. Josh Siegel, and Allentown Mayor Matt Tuerk.