Proclaiming that he is "bullish" on the Lehigh Valley, Gov. Josh Shapiro chose the growing eastern Pennsylvania region to announce the first statewide economic development strategy in nearly two decades.
Shapiro, who has made multiple economic development visits to the Lehigh Valley in the past year, rolled out the strategy on Jan. 30 at OraSure Technologies in Bethlehem Township where the thriving Lehigh Valley startup expanded to make COVID-19 and other diagnostic tests. He said he was inspired by the work and partnerships in the Lehigh Valley and is using the Lehigh Valley as a model for Pennsylvania to be a national leader in economic development and job creation.
"This is a region on the rise, and it is all because you have all put together a plan in the Lehigh Valley and you have consistently executed it every step of the way," Shapiro said as he announced the strategy to more than 50 business leaders, elected officials, and other dignitaries, including several members of his Cabinet. 
The statewide economic development strategy, which can be downloaded here, focuses on five key industry sectors: life sciences, robotics and technology, manufacturing, agriculture, and energy. They were selected because Pennsylvania already has a strong foundation in each of them, and they hold opportunities for growth and family-sustaining jobs. The core goals of the plan include getting sites shovel ready for development, moving at the "speed of business" for permit processing and other approvals, and investing in workforce training, entrepreneurs, and communities. Shapiro is expected to highlight the strategy in his budget address on Feb. 6 when he will propose additional investments in economic development.
“This is the kind of work we need to do if we’re going to be national leader. We're going to be a leader in industry, in job growth, in innovation. And most importantly, we are going to be a leader in opportunity," Shapiro said. "I believe here in Pennsylvania, everyone should have the freedom to chart their own course and the opportunity to succeed.”
Don Cunningham, President & CEO of Lehigh Valley Economic Development Corp. (LVEDC) was invited by the Governor to offer remarks at the event.
"It’s long overdue for the state to have a comprehensive and strategic approach to economic growth – backed up by strong and committed leadership and resources," Cunningham said. "You don’t win in the world of business or sports or anything without a good strategic focus, dogged leadership, and resources. This is a smart plan – a practical approach to economic growth that capitalizes on the state’s assets and its people while bringing us into the real world of 21st Century competition for jobs, new businesses, new sectors, and the skills development of our people – our most important asset."
The Lehigh Valley set a record for Gross Domestic Product in 2022, the most-recent data available, at $50.2 billion. Advanced manufacturing at companies such as OraSure Technologies continues to be a leading driver, with manufacturing contributing $8.1 billion, or 16%, of the region’s GDP. Nationally, manufacturing makes up 12% of GDP.
As the GDP has risen, median household income has risen and poverty rates have decreased in the region. Median household income exceeds the state and national average, and poverty rates are lower than the rates for the state and nation.
"We’re proud of what’s happened here," Cunningham said. "Proud of our role in the country as a Top 50 manufacturing center with an annual GDP that tops $50 billion. We're proud of our recovery and renaissance from the days of loss. Most importantly, what matters, is the opportunity it creates for our people. In the end, that’s what economic development is: the chance to have a job to match your skills, to make a living and to carve out your piece of the American Dream."
OraSure is a home-grown developer and manufacturer of point-of-care diagnostic tests and specimen collection devices. It undertook a major expansion during the COVID-19 pandemic, adding 139,000 square feet of space to its manufacturing facility to produce more than 100 million rapid tests a year. The expansion created or retained more than 400 jobs in the Lehigh Valley.
“In this space, we can manufacture 2 million diagnostic tests per week, tests for conditions like COVID-19, HIV, Hepatitis C, and Ebola, tests that provide better insights and increase the access, quality, and affordability of care for more people,” OraSure President and CEO Carrie Eglinton Manner said.
“At OraSure, we are proud of our legacy and energized about what lies ahead. We wholeheartedly acknowledge that the flourishing future we envision is in part made possible through a healthy regional economy and our robust relationships and collaboration with government partners, including the Commonwealth of Pennsylvania,” she said.
OraSure is an example of how a small business can blossom. Its founders got their start in one of the region’s business incubators, the predecessor to the current Ben Franklin TechVentures on the campus of Lehigh University. TechVentures is run by Ben Franklin Technology Partners of Northeastern Pennsylvania, a state-funded nonprofit that invests in and supports companies to create and retain highly paid sustainable jobs, accelerate technology-based economic growth in northeastern Pennsylvania, and advance technologies that improve the human condition.
“What started as three Lehigh University graduates and a dream, transformed into an international corporation with four locations around the globe, and a global impact in healthcare,” Manner said.
The new Pennsylvania strategic economic development strategy was developed with assistance from Team Pennsylvania Foundation, and based on feedback from businesses, community leaders, and others received during listening sessions held across the state, including a session in the Lehigh Valley. The plan includes an assessment of strengths and barriers to economic growth. It sets goals to guide policymaking decisions.
Among the investments Shapiro will introduce in his budget proposal to support the new economic development strategy are:
- Investment in site development to prepare properties for companies that want to expand or move into Pennsylvania.
- A $25 million new "Main Street Matters" program to support small businesses and commercial corridors, building upon and modernizing the Keystone Communities program.
- A new innovation fund to support startups and entrepreneurs, $10 million for the Agriculture Innovation Program.
- A new Regional Economic Competitive Challenge program that will include $3.5 million for planning grants, encouraging communities to lean in on their strengths.
- A $2 million Career Connect program, which would link employers with talented workers, helping to create thousands of internships in the next decade and keep young people in the stat
“This is going to be our roadmap to progress, with concrete goals to inform our investment decisions for years to come," Shapiro said. "It is my hope that this sends a clear message to all Pennsylvanians … Pennsylvania is a place of economic opportunity.”
The economic development strategy identifies as goals:
- Invest in economic growth to compete, and prioritize economic development investments that capitalize on Pennsylvania’s strengths and result in real opportunities for our businesses, communities, and residents.
- Continue to make government work at the speed of business, and ensure all companies find an attractive business environment where they can innovate, thrive, and get responses from government on a reasonable timeline.
- Open doors of opportunity for all Pennsylvanians, and increase pathways to the workforce that enable every Pennsylvanian to secure a family-sustaining job and have a meaningful career.
- Innovate to win, because innovators become entrepreneurs and new discoveries enable our people and companies to succeed.
- Build vibrant and resilient regions, where every community flourishes, focusing on each region’s diverse strengths, and for localities to provide for the needs of all residents and businesses.
The Lehigh Valley has been a frequent location for Shapiro to tout his administration’s economic development initiatives. Last March, he delivered one of his first major economic policy addresses at LVEDC’s 2023 Annual Meeting, saying the Lehigh Valley should be a model for the rest of the state to follow.
In August, he visited the Allentown campus of the Eastern Atlantic States Carpenters Technical College to highlight the state’s commitment to developing the workforce of the future in the building and construction trades.
In December, he visited the offices of LVEDC in downtown Bethlehem to meet with the leadership of the Lehigh Valley Partnership and Cunningham. Pennsylvania Secretary of Community & Economic Development Rick Siger joined the Governor in a one-hour meeting about community and economic development issues in the Lehigh Valley and the administration’s work on a new statewide economic development plan.
Also delivering remarks at the event were Siger, state Sen. Lisa Boscola, and Luke Bernstein, President and CEO of the Pennsylvania Chamber of Business and Industry.