The company started from scratch just 17 months ago. Jones’ 24th employee will start Monday and he projects hiring his 50th worker before year’s end. The success of Jones’ company, the Internet marketing and consulting firm pepperjamSEARCH, isn’t just a nice story, federal, state and local officials say. It’s a sign of the times and something northeastern Pennsylvania needs to embrace.

That’s why the investment of $22 million in federal and state funding to help the region push a Wall Street West initiative is being looked at by local economic development officials as a landmark opportunity for a region trying to evolve from its coal mining, steel producing and manufacturing heritage.

The federal government announced this week northeastern Pennsylvania was one of 13 regions nationwide selected to receive a $15 million grant aimed at helping them attain specific economic development goals. Ninety-seven regions in the country applied for the funding and all had different goals.

In northeastern Pennsylvania’s case, the region wants to become a back-up data site for Wall Street firms and financial services institutions, serving as a hedge against market interruptions such as the terrorist attack on New York City in September 2001. Such facilities here would mean good-paying and highly skilled jobs, as well as the need to provide well-trained workers.

Much of the $15 million grant, which will be doled out over three years, will be spent training the region’s workforce and preparing the next generation of workers for the needs of such companies. A proposed budget shows about $2.8 million a year would be funneled directly into training and education programs, while a total of $1.25 million would be earmarked for business development, attraction and retention programs.

Pennsylvania is contributing about $7 million toward the Wall Street West effort, including $6 million for the installation of fiber optic cables and creation of the infrastructure needed to turn northeastern Pennsylvania into an electronic data center. About $1 million in additional state funding will be earmarked for retraining programs, regional educational partnerships and dual-enrollment programs for high school students to gain college credits.

“This is not a case where the federal government will give money and walk away,” assured Emily Stover DeRocco, assistant secretary of employment and training at the U.S. Department of Labor.
DeRocco was in Wilkes-Barre on Friday to meet with backers of the initiative as well as to look at new technology companies such as pepperjamSEARCH.

The U.S. Department of Labor assembled a panel of experts to monitor and advise participants in the 13 regional projects. The projects also will be measured on how they affect job creation, unemployment rates and earnings, DeRocco said.
It won’t work, however, unless all of the participants work together. Educational institutions, from “K to gray” must be involved in transforming the region, she said.

“There is a broad consensus our young people must have a stronger foundation in math and science to compete in the 21st century economy,” DeRocco said. Additionally, older workers transitioning out of traditional jobs need opportunities to learn skills for the new jobs taking their place, she said.

Higher education also will play a major role because 63 percent of all new jobs require post-secondary education, she said. Yet only 30 percent of the U.S. population has college degrees.

“The truth is the region has very qualified, very talented and well-educated young people,” said Jones, from PepperjamSearch. “The truth also is they have moved out of the area in the past to find jobs.”
His company isn’t the only one providing reasons for young people to stay. Other high-tech companies such as Solid Cactus in Wilkes-Barre, Babyage in Hanover Township and iGourmet in West Pittston are growing here, too.  “This (federal) money hopefully will encourage (other) companies to move here and also will be a catalyst for more investment in technology,” Jones said.

The Citizens’ Voice and the Standard-Speaker are partners in the Northeast Pennsylvania News Alliance.