May 25, 2007 By Amy Zalar 3 min read

A Keystone Innovation Zone in Fayette and Washington counties could lead to the creation of jobs, according to two individuals from Fay-Penn Economic Development Council. Barry Seneri and Sue Quinn, speaking Thursday at the Fayette County commissioners meeting, were seeking a letter of support from the commissioners regarding the proposed Fayette Washington Keystone Innovation Zone partnership. Seneri explained that the KIZ is a designated “knowledge neighborhood” created in 2004 as part of Gov. Ed Rendell’s economic stimulus package. To date, 26 KIZs exist throughout the state.

KIZs are eligible for state grant funding that is used to promote and foster collaboration among institutions of higher education, their surrounding communities and local businesses.

Seneri said the KIZs “foster innovation, research and development” and are geared to have institutions better aligned with businesses in the community. Penn State Fayette, the Eberly Campus; Washington and Jefferson College; and California University of Pennsylvania are part of the proposed Fayette/Washington KIZ.

When established, the KIZ can receive up to $750,000 in grant funds.

Commissioner Vincent A. Vicites said although the name is similar to Keystone Opportunity Zone, which includes tax breaks, the KIZ has nothing to do with property taxes. He said the program would not include a funding commitment from the county.

After hearing an explanation of the KIZ, Commission Chairwoman Angela M. Zimmerlink asked what the money would be used for.

Quinn said the money would be used for defense, energy and information technology pursuits between the institutions of higher learning and companies in the two counties. She said as an example, if a sensory company wants to do research on a product, funding could be obtained until the product is moved to production.

Seneri said generally the KIZ is phased out over time. He said 1,500 jobs have been created in KIZs throughout the state.

Quinn said a board of 40 to 50 members would be established to decide where the money will be allocated. She said the board would be composed of members of companies participating in the KIZ, as well as individuals from the colleges. She said 12 Fayette County companies and about 17 Washington County companies are joining.

Zimmerlink said she doesn’t believe individuals should be picking and choosing whom the winners and losers are financially. She added that the program spends tax dollars that come from “either the right, left or back pocket.” Zimmerlink said similar programs have been known not to work.

Vicites said if the county doesn’t form the KIZ, the money would go elsewhere. “This is another opportunity to increase efforts to secure more high-tech jobs,” Vicites said. He added that he believes the county can only benefit from working with Washington County, which has established Southpointe. “It’s a win-win,” Vicites said.

Vicites and Joseph A. Hardy III voted in favor of sending a letter of support, while Zimmerlink voted against it.