Pennsylvania SB 817: An Act amending the act of March 4, 1971 (P.L.6, No.2), known as the Tax Reform Code of 1971, providing for prevailing wage and apprenticeship requirements.

Bill Text

PRINTER'S NO. 886
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No. 817
Session of
2025
INTRODUCED BY SANTARSIERO, TARTAGLIONE, KANE, STREET, COMITTA,
SAVAL, COLLETT, HUGHES, SCHWANK AND L. WILLIAMS, JUNE 3, 2025
REFERRED TO FINANCE, JUNE 3, 2025
AN ACT
Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
act relating to tax reform and State taxation by codifying
and enumerating certain subjects of taxation and imposing
taxes thereon; providing procedures for the payment,
collection, administration and enforcement thereof; providing
for tax credits in certain cases; conferring powers and
imposing duties upon the Department of Revenue, certain
employers, fiduciaries, individuals, persons, corporations
and other entities; prescribing crimes, offenses and
penalties," providing for prevailing wage and apprenticeship
requirements.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The act of March 4, 1971 (P.L.6, No.2), known as
the Tax Reform Code of 1971, is amended by adding an article to
read:
ARTICLE XVII-A.2
PREVAILING WAGE AND APPRENTICESHIP REQUIREMENTS
Section 1701-A.2. Definitions.
The following words and phrases when used in this article
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
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"Apprenticeship program." An apprenticeship training program
that is approved by and registered with the Department of Labor
and Industry under the act of July 14, 1961 (P.L.604, No.304),
known as The Apprenticeship and Training Act, and that provides
for on-the-job training, classroom training and the graduation
of apprentice trainees to journeyperson status. The term
includes an apprenticeship program subject to ERISA or a non-
ERISA program.
"Business entity." An association, partnership, corporation,
sole proprietorship, limit ed liability company or employer.
"Capital investment." Work conducted under a contract
in volving the construction, reconstruction, demolition,
alteration or repair of a facility on the parcel through which a
business seeks a tax exemption, deduction, abatement or credit
through a tax incentive.
"Department." The Department of Revenue of the Commonwealth.
"ERISA Program." A program under 29 U.S.C. Ch. 18 (relating
to Employee Retirement Income Security Program).
"Skilled craft laborer." A member of a trade who meets any
of the following criteria:
(1) The individual is a worker who has work experience
equivalent to the total number of on-the-job training hours
required by the applicable apprenticeship program.
(2) The individual g raduated from, or is currently
enrolled in, an apprenticeship program.
"Tax incentive." A tax exemption, deduction, abatement or
credit under any of the following:
(1) Article XIX-C.
(2) Article XIX-D.
(3) Article XIX-H.
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(4) The act of October 6, 1998 (P.L.705, No.92), known
as the Keystone Opportunity Zone, Keystone Opportunity
Expansion Zone and Keystone Opportunity Improvement Zone Act.
Section 1702-A.2. Prevailing wage requirements for business
entities making capital investments.
A business entity that makes a capital investment of more
than $25,000 for the construction, reconstruction, demolition,
alteration or repair of a facility on the parcel through which
the business entity seeks a tax exemption, deduction, abatement
or credit through a tax incentive shall verify with the
department, in the following calendar or fiscal year, all of the
following:
(1) Seventy percent of the individuals employed by the
business entity in construction, reconstruction, demolition,
alteration or repair of the facility are skilled craft
laborers.
(2) I ndividuals employed by the business entity or a
contractor or subcontractor of the business entity for the
construction, reconstruction, demolition, alteration or
repair of the facility have been paid the prevailing minimum
wage rate for each craft or classification as determined by
the Department of Labor and Industry under the act of August
15, 1961 (P.L.987, No.442), known as the Pennsylvania
Prevailing Wage Act.
Section 1703-A.2. Enforcement.
The Department of Labor and Industry shall enforce this
article. The act of August 15, 1961 (P.L.987, No.442), known as
the Pennsylvania Prevailing Wage Act, 34 Pa. Code Ch. 9 Subch. E
(relating to prevailing regulations) and 34 Pa. Code §§ 211.1
(relating to applicability of general rules) and 213.1 (relating
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to applicability of general rules) shall apply to any
construction, reconstruction, demolition, alteration or repair
of a facility, other than maintenance work, that occurs due to a
business entity making a capital investment of more than $25,000
for the construction, reconstruction, demolition, alteration or
re