Federal Accomplishments * In the Philadelphia region, Harrisburg and Washington, DC, the
Greater Philadelphia Chamber of Commerce strives to promote public
policy that will bolster regional economic growth and improve our
competitiveness nationally and globally. We urge cooperation and
partnership among governments and the business and civic communities to
achieve these goals.
In Washington, DC
The Chamber works diligently with our elected leaders in Congress to
provide for a competitive business climate in the Greater Philadelphia
region. Efforts that contribute to the region's economic development -
including improvements to transportation infrastructure, the Delaware
River Deepening Project, medical malpractice reform, energy legislation,
and a competitive corporate tax structure - will remain at the top of
the GPCC federal agenda.
* Advocated for federal approval of important projects such as
the establishment of tolls along the Interstate 80 corridor and
improvements to Philadelphia International Airport.
* Successfully urged Congress to create dedicated, stable
federal funding for long-term improvements and passenger rail service
expansion to Amtrak's Northeast Corridor. It is the first time Congress
passed an Amtrak reauthorization bill since 1997.
* Monitored Small Business Administration procurement
initiatives to ensure that small businesses receive a fair allocation of
government contracting.
* Continued to back efforts aimed at preserving federally
supervised private ballots in union elections rather than instilling a
card check process.
Pennsylvania Accomplishments In the Philadelphia region, Harrisburg and Washington, DC, the
Greater Philadelphia Chamber of Commerce strives to promote public
policy that will bolster regional economic growth and improve our
competitiveness nationally and globally. We urge cooperation and
partnership among governments and the business and civic communities to
achieve these goals.
In Pennsylvania
Throughout the Legislative Session, GPCC advocated for action in three
areas critical to Pennsylvania's competitiveness and future prosperity:
economic stimulus, workforce development and infrastructure investment.
On July 5, 2008, Pennsylvania lawmakers enacted a $28.3 billion general
fund budget that reflects modest elements of these priorities.
Key provisions of Pennsylvania's 2008-09 spending and tax agreement
include:
* No new taxes on Pennsylvania businesses or residents.
* The mandated phase-out of the state's onerous Capitol Stock
and Franchise Tax.
* A new funding formula and a record $274 million funding
increase for Pennsylvania's public school districts. The compulsory
school age in the Philadelphia School District will drop from 8 to 6
under the legislation, and many hope that law will be expanded
throughout the state.
* $2.9 billion in new borrowing to address infrastructure needs
and spur the state's economy:
* $800 million increase to the debt ceiling on the Redevelopment
Assistance Capital Program, which funds construction and other
redevelopment projects, from $2.65 billion to $3.45 billion.
* $800 million in bonds for water and sewer maintenance that would
be paid back from slots funds and another measure instituting a voter
referendum to borrow an additional $400 million for water and sewer
repairs.
* $665 million package to spur development of alternate forms of
energy such as wind and solar power and provide a first-time state
subsidy to biofuel producers.
* $350 million, repaid from motorist fees and taxes, to fix about
400 of the state's most dangerous bridges; and $15 million, repaid from
motorist fees and taxes, to improve airports and railways.
The GPCC also worked to win legislative approval of the
following measures designed to promote economic development and business
growth throughout the region:
* Legislation to expand and continue the state's Keystone
Opportunity Zone [KOZ] program. KOZs are under-used sites, such as old
industrial parcels, where discounts or breaks on certain taxes are
offered if the land is developed.
* Legislation enabling the City of Philadelphia to enact a
Hospitality Promotion tax not to exceed 1.5% which will be applied to
hotel room rentals and used to further support tourism and convention
promotion efforts in Philadelphia.
* A new law to reform Earned Income Tax collection in the
Commonwealth that will ease the withholding burdens on employers by
reducing the number of tax collectors from 560 to 69, streamlining the
system and creating uniform rules.
The GPCC was disappointed, however, that lawmakers did not act more
decisively to improve the state's competitiveness by addressing modest
structural changes to the Corporate Net Income Tax through an increase
in the cap on Net Operating Losses and shift toward a Single Sales
Factor. The Chamber will continue to advocate for passage of these
important tax changes.
Philadelphia Accomplishments * In the Philadelphia region, Harrisburg and Washington, DC, the
Greater Philadelphia Chamber of Commerce strives to promote public
policy that will bolster regional economic growth and improve our
competitiveness nationally and globally. We urge cooperation and
partnership among governments and the business and civic communities to
achieve these goals.
In Philadelphia
On February 14, 2008, Mayor Nutter delivered his first budget addresses
to City Council. The $4 billion budget included reductions in the wage
tax that would drop the tax below four percent for the first time in 30
years. Nutter proposed the elimination of the gross receipts portion of
the business privilege tax over the next ten years, and the reduction of
the net income portion of the BPT down from 6.5% for the first time
ever. The proposed reduction to the net income portion of the BPT is a
measure the Chamber has long lobbied for, and is viewed by the business
community as a major step in tax reform. There were no planned changes
to residents' property taxes, but the parking tax will be raised from 15
to 20 percent to promote sustainable activities including street
improvements.
City Council
* Lobbied for continued Business Privilege Tax reductions. City
Council passed, and the Mayor signed, bills to reduce the BPT on May 22,
2008.
* On March 6, 2008, City Council approved plans for a one
billion dollar, 20-year expansion plan for the Fox Chase Cancer Center
in Philadelphia. The Chamber supported this measure for four years, and
testified on FCCC's behalf several times before Council stating its
economic importance to the city and region by bringing 4,000 new jobs
and more than $40 million in additional tax revenue to the city and
Pennsylvania.
* The Chamber was pleased to support the Philadelphia Re-Entry
Employment Program (PREP) at a public hearing on October 18, 2007. This
plan would grant employers a $10,000 tax credit per year for up to three
years for hiring an ex-offender. This program is very important to the
mayor and represents a concerted effort to stem the high rate of
recidivism and increasing prison and population costs.
* City Council approved the expansion of the Pennsylvania
Convention Center, and Mayor Nutter created an Advisory Commission on
Construction Industry Diversity to address the lack of minority
participation in the building trades.
* The Chamber was successful in holding off several bills that
were particularly burdensome on small businesses last year - namely a
food labeling bill and bills mandating paid sick leave for employees and
several weeks of unpaid leave for victims of sexual or domestic
violence.
* The Chamber supported measures for transportation enhancements
at Philadelphia International Airport, SEPTA and Amtrak.
* Although the Chamber strongly supports gaming coming to
Philadelphia for the economic benefits it brings in both jobs and
revenues, the Nutter Administration is still working to finalize sites
in Philadelphia.
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