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During visits, Rendell discusses development

By Laure Cioffi

Monday, May 19, 2003


The governor also has positive words for local political leaders.
By LAURE CIOFFI
and HAROLD GWIN
VINDICATOR PENNSYLVANIA STAFF
Pa. Gov. Ed Rendell is taking his plan for a new Pennsylvania to the people.
Rendell spoke to a crowd of about 300 people in the Mary Mother of Hope Parish Center in New Castle on Thursday afternoon. He talked about his proposal to increase funding for economic development and education by allowing slot machines at the states seven horse racing tracks.
He asked those attending to encourage state legislators to support his proposal. State officials are expected to consider the plan sometime late summer.
Rendell said an estimated $750 million in revenue could be realized if slot machines were legalized.
The money would be used to create projects similar to Millennium Park in Neshannock Township.
Praise for leaders
The governor praised local political leaders for working together to bring about the 1,200-acre industrial park planned between Kings Chapel Road and Mitchell Road along Pa. Route 60. The $30 million project includes $15 million pledged by Rendell.
Municipalities will pitch in $7.2 million, with $3.5 million from the county, economic development and industrial sources.
A semiconductor company is considering moving into the industrial park, the governor said. Sites should be ready by the end of the year.
Rendell also wants to increase the state's share of education funding to local school districts by $1.3 billion over three years.
He proposes include early-childhood education, pre-kindergarten programs and smaller classes.
"It's going to cost money. There are some in the Legislature who say the cost of our plan is too great. I believe that the cost to Pennsylvania, if we do nothing, is far, far greater," Rendell said.
Visit to Mercer
In a stop in Mercer, Rendell said he wants to be sure Mercer County development projects on the list for state grant money have economic development benefit and will create jobs before he releases funding for them.
Rendell, on his first visit to Mercer County since his election in November, met privately with county officials and economic development leaders at the Mercer County Career Center.
Among the items of discussion were four Mercer County projects approved for state capital budget grants.
Rendell has frozen the funds for such projects, saying he is reviewing them because some are more about community development than economic development and that's not what the capital budget is for.
One of the Mercer County projects might slip into the community development category.
The city of Sharon has been approved for a $625,000 grant to rebuild a parking deck at the Shenango Valley Community Library. That project isn't expected to create any jobs.
The other Mercer projects under review are all job creation efforts: $2 million for the expansion of a pickle line at Duferco Farrell Corp. in Farrell, $500,000 for the redevelopment of a light-industrial area and improve a commercial district in Farrell and a $7 million grant for the redevelopment of the former Westinghouse Electric Corp. plant in Sharon.
Looking to create jobs
Rendell said the state money will go out if the projects are good economic development projects that will create jobs.
Rendell said the state has $2 billion in economic development funds in a stimulus package he has presented to the state Legislature which should leverage between $6 billion and $7 billion in private development in just six or seven months. He has also asked the Legislature to come up with an additional $500 million.
He said he hopes to be able to help the county with another industrial site development project in the works.
Larry Reichard, executive director of Penn-Northwest Development Corp., the county's lead economic development agency, said that's a plan to prepare 1,000 acres of industrial land for development along the Interstate 80 corridor through the county.
Just how much state money will be requested hasn't been determined, but Reichard put the total project cost at between $20 million and $25 million.
One local businessman seeking $1 million in capital budget money to consolidate and expand his operations in Farrell said his funding has been approved in a legislative bill and isn't being held for review by Rendell.
Kyle Klaric, owner of Premier Hydraulics Inc., said Rendell has promised to sign the release of a $1 million grant for his project by the second week of July.
If the money doesn't come through, Klaric said he will move his company into Ohio, where officials have offered him an attractive development package.