We’re thrilled! Mayor Kenney will be celebrating recent local economic accomplishments and opportunities at his last Mayoral Luncheon with the Chamber of Commerce for Greater Philadelphia. With close to 1,000 executives, elected officials, business owners, and civic leaders attending this annual luncheon, it is the largest forum for the Mayor of Philadelphia to address the region’s business community. 

As laid out in the newly released report, Equity and Opportunity for All: Moving Philadelphia Forward, the core priorities for the Kenney Administration in 2023 to move our city forward are:

  1. enhancing public safety;
  2. increasing quality of life and building thriving neighborhoods, everywhere; and
  3. supporting a strong foundation for Philadelphia youth through historic investments
  4. driving inclusive growth and economic opportunity to build a vibrant economy that benefits everyone.

Why it matters

Fostering inclusive economic growth is essential to ensure increased economic opportunities for all Philadelphians. For the past seven years, the Kenney Administration’s Department of Commerce worked diligently with our economic development partners including the Inclusive Growth Coalition to build a stronger, more inclusive and equitable economy with opportunities for all of our residents and businesses. We are proud of our strengthened alliances to power the economy.  Each initiative, program, and investment with lenses on equity, diversity and inclusion can help us remain economically competitive now and into the future. 

At the Chamber’s Mayoral Luncheon, Gregory E. Deavens, President and CEO of Independence Health Group will draw on the Administration’s core priorities in 2023 for a conversational style interview with Mayor Kenney. We know that not everyone can join us in-person, so we are bringing a detailed version of the opportunities that the Mayor intends to share below. 

Looking back

Access to capital and contract opportunities

  • Launched the innovative Philadelphia Business Lending Network Incentive Grant Program to increase access to capital for microenterprises with historically disadvantaged ownership. The Department of Commerce business inquiries to the Lending Network jumped to 205 over a 3-month period since its launch in October 2022, compared to an average of 7 inquiries per quarter in 2021. Apply today!

 

  • Established the Boost Your Business fund to build the capacity of minority-owned businesses. In 2022, the Department of Commerce provided $50,000 forgivable loans to 22 businesses ready to scale by obtaining new contracts, increasing revenue, and creating jobs. This program was launched by Commerce, in partnership with Community Development Financial Institutions. 

 

  • Through Rebuild Philadelphia — also made possible because of the Beverage Tax — we’ve committed hundreds of millions of dollars to improve our parks, recreation centers, playgrounds, and libraries. More than 62 percent of Rebuild’s committed contract dollars are going to minority or women-owned businesses.

 

  • The Office of Economic Opportunity (OEO) is offering a series of monthly educational workshops. The goal is to share pathways toward generational wealth for minority-, women-, and disabled-owned businesses.  That includes exploring opportunities with City contracts, developing a strategy to pursue business proposals, and learning about available resources. 

 

  • Local assistance providers through the Business Technical Assistance Program (BTAP) provide professional services to businesses such as bookkeeping, accounting, marketing and business coaching (one-on-one, classes, groups). The goals are to increase access to capital for low-income businesses, help homemade businesses move into commercial space in neighborhood corridors, grow neighborhood businesses and help businesses be formalized. Commerce currently funds 11 community-based organizations. Find a local business assistance provider via the City’s Business Resource Finder.

 

Tax Policy

Since the 2022 Chamber’s Mayoral luncheon, the Kenney Administration, the Inclusive Growth Coalition, Chamber of Commerce for Greater Philadelphia and City Council all worked together towards the goal of implementing meaningful tax reductions.

  • Resident Wage Tax from 3.8398 percent to 3.79 percent
  • Non-resident Wage Tax from 3.4481 percent to 3.44 percent
  • Net Income portion of the BIRT from 6.20 percent to 5.99 percent
  • School Income Tax from 3.8398 percent to 3.79 percent 

 

Retaining and attracting talent

  • Navy Yard Skills Initiative is a partnership launched in 2020 with University City District’s West Philadelphia Skills Initiative (WPSI), PIDC’s Navy Yard Skills Initiative (NYSI) that recruits for a collaborative professional development program to train Philadelphia residents for permanent, full-time, quality-wage careers. More than 100 Philadelphians have been served through the program. 98 percent of graduates connected to employment at the Navy Yard.

 

  • The Fair Chance Hiring Initiative (FCHI) placed 60 returning citizens into employment in the last fiscal year and distributed over $200,000, including $30,000, to the employees with 180 days of employment. In the fiscal year, the Department of Commerce helped reduce turnover by 29 percent by honing our partnerships with referral and recruitment partners.  Apply today!

 

  • Workforce Solutions Grants. The Department of Commerce awarded $750,000 to three organizations with the goal of providing workforce training and employment initiatives with employer partners. As a result of the grants, more than 280 individuals were recruited for employment, 111 enrolled, 81 completed training, and at least 70 Philadelphia residents were placed in employment as of December 2022.

 

  • Quality education is one of the Administration’s top priorities. As companies continue to grow, we need to prepare the next generation of our workforce for the jobs of the future. So far, more than 13,000 three-to-four-year-olds have benefited and continue to from free, quality pre-K thanks to PHLpreK and the Beverage Tax since we launched in 2017.

 

Business and job growth

  • Neighborhood Commercial development: In 2022, Commerce’s Office of Neighborhood Economic Development funded 15 commercial development projects, $4.8 million total awarded which is projected to create approximately more than 600 local jobs.  The House-Senator Agreement is also welcoming a bipartisan budget agreement that includes more than $16 million in federal funding to support Philadelphia community projects.

 

  • Cargo expansion and air travel improvements at PHL Airport continues: In 2022, saw a return of many transatlantic routes. Last year, PHL’s airline partners offered transatlantic service to 11 destinations, like Barcelona and Madrid, for the first time since early 2020. PHL’s airline partners also offer more Caribbean service now than they did pre-pandemic. According to Cirium, PHL was 5th in the world for on-time flights in terms of on-time percentage. In 2022, Aviation Facilities Company Management (AFCO) announced its plans for an air cargo and airport support facility near Terminal E and Runway 17/35. This resurgence supports thousands of jobs in the region and produces billions of dollars of economic impact.

 

  • Life Sciences Industry: The Greater Philadelphia region is second in cell and gene therapy hubs in the U.S. (Econsult 2022). We are seeing life sciences companies selecting Philadelphia and the region for our talent, our location and proximity to so many world-class life sciences assets. Our success in this industry is working toward ensuring that as our companies and real estate portfolio mature into the manufacturing phase, the barriers to entry are greatly reduced for jobseekers. Alongside our workforce partners, we are continuing to provide companies with a dynamic local workforce and enabling our residents to access these quality careers.

 

  • Expanded sea connections: In 2022, Philadelphia announced its first direct shipping route connecting Philadelphia and Asia started operation in August by Wai Han Lines, along with a new route to the West Coast of South America. The Philadelphia Port offers good paying jobs and has been the fastest growing container port on the East Coast with more than $540 million in upgrades.

 

  • World-class companies are choosing Philadelphia: Our great city continues to attract and retain companies within world-class industries.  For example, in December 2022, the City and Pennsylvania Governor’s Office announced plans for a new office building where Chubb will open their largest North American Office of the world’s largest publicly traded property and casualty insurance company. 

 

Public safety

  • Business Security Camera Program. Philadelphia business owners installing external surveillance cameras on commercial properties are now eligible for a grant covering 75 percent of the cost of their project. This is an increase from 50 percent with support from City Council and the Neighborhood Preservation Initiative.  

 

 

Enhancing equitable neighborhood revitalization 

  • Established the Corridor Safety Enhancement Grant for community-based organizations to implement creative and innovative projects on business corridors by awarding $900,000 to 40 organizations in 2022.

 

 

  • Continued revitalization investments including through the Targeted Corridor Management Program, partnerships with Business Improvement Districts, Storefront Improvements, and streetscape beautification projects. Corridor managers help neighborhood businesses take advantage of programs and resources, attract new businesses to vacant properties, work with partners to make areas clean and welcoming for all.

 

Looking ahead

Many economic opportunities and initiatives are launching in 2023! The Administration alongside all economic development partners including PIDC and the Inclusive Growth Coalition will continue to:

  1. Enhance prosperity, inclusive growth and creating family-sustaining jobs.
  2. Advocate for meaningful tax policies that support entrepreneurial activity.
  3. Connect employers with our workforce partners, resources and funding.
  4. Attract international and domestic businesses across all sectors.
  5. Foster and strengthen relationships with existing businesses.
  6. Address historical inequities for entrepreneurs of color.
  7. Advance educational, job training to prepare our city and its residents.
  8. Partner with the civic and private sector to supercharge our ongoing efforts to grow wealth in Black and brown communities through diverse business opportunities through the Bipartisan Infrastructure Law and more.

Some of our recent great news to start off 2023 is:

  • The City launched a Permit Navigator. This pilot digital tool is designed to help improve access to information about residential and commercial permits needed to operate in Philadelphia. At this time, the Permit Navigator walks users through a series of questions about their projects and brings them to a summary page containing approximate costs and links to the information they need on phila.gov to continue with the permitting process.  
  • Launching the Quality Jobs Program in March 2022: The City is encouraging inclusive economic growth by offering grants to businesses that commit to creating new jobs paying at least $15 per hour and filling those jobs with Philadelphia residents. Under this Department of Commerce’s program, participating businesses will be incentivized to provide a living wage and include health insurance benefits for their employees. The Quality Jobs Program is focused on increasing economic mobility and wealth generation for Philadelphia residents. 

The Department will continue working closely with community-based organizations across the city to reach businesses, where they are. Our multilingual business service managers are on the ground providing businesses with one-on-one support and customer service. Contact the Office of Business Services business@phila.gov or 215-683-2100.

Learn more about Commerce initiatives and partnerships.