WASHINGTON — The southwestern Pennsylvania area is one of just 21 U.S. regions that will split $1 billion to boost economic recovery following the COVID-19 pandemic, and Pittsburgh metro-area leaders plan to target the money toward building an advanced tech sector that they say will create “family-sustaining” jobs.
The Southwestern Pennsylvania New Economy Collaborative — made of 200 local partners — is poised to receive a $62.7 million chunk of the U.S. Economic Development Administration’s Build Back Better Regional Challenge, one of the agency’s large programs under the nearly $2 trillion American Rescue Plan.
“The Pittsburgh region is already recognized as a world leader in robotics, autonomous vehicles, artificial intelligence. The potential for growing our economy with a smart, targeted investment like this is very clear,” Rep. Mike Doyle, D-Forest Hills, said Thursday on a call with reporters.
“Strengthening and expanding this promising industry will not just bring economic growth [and] new jobs to our region, improving our quality of life. It’s going to benefit the entire nation by increasing America’s competitiveness globally,” he said.
The collaborative’s five-page concept proposal for the award details the region’s economic descent after the decline of the steel industry and changes in the energy market but also illustrates a rebound and envisions more growth through partnerships among the businesses, universities, labor unions and local governments in the 11-county area.
Carnegie Mellon University, a driver of robotics and automation technology, will oversee the implementation of the grant money. The university’s president Farnam Jahanian is co-chairing the coalition.
“This effort will catalyze new programs and partnerships that share our region’s distinctive strengths in robotics, AI and automation with new and small businesses in our key sectors, while elevating and training a more resilient workforce,” Mr. Jahanian said in a statement. “By expanding the geography of these innovations, Carnegie Mellon is thrilled to work with partners to broaden accessibility to our nation's technologically driven economy to all in our region.”
The plan will “directly launch” 14,000 workers and generate more than $550 million in regional gross domestic product, said Stefani Pashman, CEO of the Allegheny Conference on Community Development, which led the collaborative’s application along with the Southwestern Pennsylvania Commission.
Ms. Pashman joined the Thursday call with Biden administration leaders and U.S. lawmakers who represent the region.
The five individual projects outlined in the joint proposal include providing technical assistance for small, medium and family-owned businesses to adopt robotics and automation; “upskilling” workers, including those from underrepresented communities, toward advanced technology careers; and commercializing technology developed at the area’s universities.
“When you consider where the region is right now and where it can get to, to the next level by way of this collaborative, the sky is really the limit,” said Sen. Bob Casey, D-Pa.
Donald Smith Jr., president of the nonprofit Regional Industrial Development Corporation, said the funding “will enable us to knit [assets] together into a cohesive system and add some resources for activities that have been underfunded historically,” including building a more diverse talent pool of workers.
Mr. Smith was part of the steering committee for the proposal. RIDC operates roughly 7.5 million square feet of real estate in the region in 14 locations for clients that include robotics and manufacturing enterprises.
The development corporation, along with the Greater Pittsburgh Chamber of Commerce produced a 53-page report titled Forefront last September that argued the potential of the Pittsburgh region in the global automation technology market.
More than 500 regions applied for the award. The 21 regional winners are from 24 states, including a $62.8 million award for a West Virginia coalition that aims to boost economically distressed and coal-impacted communities by creating clean energy jobs.
The COVID-19 stimulus package known as the American Rescue Plan passed strictly along party lines, with no Republicans in favor.
Ashley Murray: amurray@post-gazette.com.
First Published: September 2, 2022, 9:00 a.m.
Updated: September 2, 2022, 12:41 p.m.
