The proposed bill amends the Tax Reform Code of 1971 by adding a new article, ARTICLE XVII-A.2, which establishes prevailing wage and apprenticeship requirements for business entities making significant capital investments. Specifically, any business entity that invests over $25,000 in construction-related activities on a parcel seeking tax incentives must ensure that at least 70% of its construction workforce consists of skilled craft laborers. Additionally, these workers must be compensated at the prevailing wage rates as determined by the Department of Labor and Industry, in accordance with the Pennsylvania Prevailing Wage Act.

The bill also outlines enforcement mechanisms, stating that the Department of Labor and Industry will oversee compliance with these requirements. If a business entity is found to have intentionally failed to pay the required wages, it will be required to refund the full amount of any tax incentives received during the fiscal year of the violation. The bill includes provisions for appeals regarding violations, allowing businesses to contest findings through established administrative procedures. This legislation aims to ensure fair labor practices and promote the use of apprenticeship programs in construction projects benefiting from tax incentives.

Statutes/Laws affected:
Printer's No. 886 (Jun 03, 2025): P.L.6, No.2