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Message 2022-24 IMPACT REPORTSAVING JOBSREBUILDING COMMUNITIES

TOM CROFTExecutive DirectorBorn in Pittsburgh and eleven small, historic mill towns in the Mon Valley, the SteelValley Authority (SVA) was formed forty years ago by a band of persistent mayors, unionand church leaders, and other hometown heroes who fought to maintain the steel andmanufacturing factories of the region. They formed a twelve municipality “jobsauthority” whose sole purpose was to save and create jobs, rebuild our manufacturingbase, and create a sustainable future for our children.The “steel valley” had been pumping out steel since 1875, and our workers and industryhelped win the world wars and build the great cities of America. By the 1980s, tens ofthousands of industrial workers in the valley and nearby depended on those jobs to buya home, raise a family, send their children to school. Then, the region suffered thegreatest industrial collapse in the nation, and we all witnessed the outcome: workersand the families fled the region, those that stayed endured greater poverty, andcommunities went bankrupt.Despite these hardships and innumerable national recessions and economic shocks, thehard-working staff and board members of the SVA were dedicated and persistent publicservants. They have accomplished what no other authority in the Commonwealth (or theU.S.) has accomplished:The SVA grew our plant closing prevention work to five offices across theCommonwealth, and created the boldest, most successful state layoff aversion andindustrial turnaround program in the nation, one that has helped many other statesand communities replicate our best practices.The SVA co-founded the Heartland Capital Network (HCS) with the Steelworkers andAFL-CIO, marshaling the financing — through workers’ pensions — for the first pro-worker private equity firms, which have saved critical industries and tens ofthousands of jobs

The SVA and our Heartland Network launched a five-state Appalachian Sustainable FinanceHub (ASF Hub), with the support of the Appalachian Regional Commission (ARC). The Hub isnow completing a one-year planning project to accelerate sustainable economicdevelopment in mid- and upper Appalachia and is focused on helping communitiesgenerate and retain quality jobs.The SVA’s Heartland Network co-founded one of the coolest summer fellowships ever,placing business, labor, and public affairs students in institutions that are teaching them toinvest in factories, build windmills, and pursue accountability from corporations.There’s more to the story—much more—such as the SVA-managed state auto supply chainresponse project in 2007-08, winning the first state brownfields clean-up and worker-ownershipsupport legislation, spurring the first business succession and circular economy programs in thestate, successfully guiding an early re-shoring project (for Bollman Hats). But, as they say, that’sold news. Here are some highlights from 2023-24:Saving Jobs:The Strategic Early Warning Network continued to help companies and their workers bringhome the bacon! Engaging with almost 200 companies, the small but mighty team saved 1333jobs across the Commonwealth. This also contributed to the state economy by saving $8 milliondollars in unemployment compensation costs for those saved jobs. SEWN also launched the PA Business Resource website. The site lists more than 240 publicsector organizations who provide low or no-cost services to all businesses throughoutPennsylvania. The site is searchable by region and type of service provided. Responsibly Investing in Jobs:The Heartland Network is a “community of practice” focused on reinvesting in America. Since1995, we’ve brought together a unique table of responsible real estate, private equity andinfrastructure funds, pension consultants, labor-side law and accounting firms, unions, and otherstakeholders.In 2024, the Heartland Network had one of our most productive years, co-hosting a WhiteHouse convening on pension and sustainable investment with the National EconomicCouncil (NEC).Our Labor-Capital Strategies (LCS) Fellowship, co-founded with Georgetown University’sKalmanovitz Initiative, has now graduated over 77 alumni and paid our Fellows over$450,000 in stipends ($20 per hr.). The mission of the LCS Fellowship is to educate a newgeneration of capital stewards and construct a diverse talent pipeline (that pipeline hasincluded 2 Pitt students, and 3 fellows placed in Pittsburgh at the Steelworkers).The SVA and our Heartland Network has received commitments of $65,000 from “Invest inour Future,” a national consortium of foundations, to raise funds to decarbonize local housingprojects, and help efficiently rebuild our downtown. Thanks to the national Jobs with Justicecoalition!Our Heartland Network will receive $121,200 to fill financial, regulatory and legislative gaps inthe national multi-agency programs to assist former coal, oil, gas, and steel communities,Appalachia being the largest example.

Heartland co-authored a new book chapter in Empowering Smart Cities, published in 2024,focused on the work of nine mayors across four states of Industrial Appalachia who formed in2020 to revive the region. We have now published four responsible investing books and ahalf-dozen book chapters for capital stewards. Revitalizing CommunitiesIn 2024, the Appalachian Regional Commission (ARC) awarded a $500,000 one-year planninggrant to the SVA/Heartland Network for the Appalachian Sustainable Financial Hub, after alaborious process and a four year campaign to stand up the Hub in a 5-state region. Our three-person Hub Team designed a partnership with communities (including the Mon Valley),universities, investment funds, developers, and labor-management groups to establish capitalpipelines in our region to reinvest in clean energy and infrastructure, manufacturing, andhousing.The Finance Hub was conceived as part of the City of Pittsburgh’s Marshall Plan for MiddleAmerica (MP4MA) by SVA/Heartland. The Hub Team organized four convenings in the past year,and altogether, we’ve reached 1,500 stakeholders over the years. The Team is also buildingnetworks of project owners and industry and investment experts to provide information andadvice about project opportunities, gaps and barriers, with a goal of matching up investors withproject owners. One of our goals is to implement, with the ARC’s help, a pre-development fundto assist communities and businesses in paying for hard-to-raise feasibility and permitting costs.The SVA and our initiatives are well-positioned to continue this important mission-driven work,as our fight for a new industrial and sustainable finance policy has paid off dividends for so manypeople in the Pittsburgh region, across the state, and across the country. Our fight for a re-shored sustainable economy that helps workers, businesses, and communities will continue. It'sour long-term view of a stakeholder economy that positions us on this playing field. Thanks to invaluable contributions from our dedicated staff and board members across theCommonwealth, our regional and national staff and advisory teams, and our multiple sponsorsand partners, the SVA has provided greater economic opportunities for working families, jobcreators, and local hometowns for four decades. Back in 1989 or so, a newspaper quoted one of our founders and longtime board leader (andformer State Rep) Tom Michlovic as saying: “The SVA is like the Rodney Dangerfield of economicdevelopment. It gets no respect.” It’s true much of our work is unglamorous, and we have mademistakes.Nonetheless, SVA’s champions have -- these past four decades -- made presentations all over theU.S. and world; we’ve received recognition from the White House, Congress, the Department ofLabor, the National Governor’s Association (NGA), and global financial institutions. Our effortshave received attention in an array of books, newspapers, magazines and other media sources,both nationally and internationally. We hope we’ve earned your respect, and we hope you’ll join us. We look forward to working with you!

1333Direct Jobs Saved1074IndirectJobsSaved1080InducedJobs Saved0 1 2 3 41114 Greenhouses2383 Bldg Finishing Contractor3111 Food/Beverage3312 Steel Product3323 Fabricated Metal Products3327 Machine Shops3328 Coating/Engraving3329 Other Metal3332 Industrial Machinery3334 HVAC Equipment3344 Semiconductors3365 Railroad Stock3372 Office Furniture3399 Medical/MiscSTATEWIDE IMPACT STATSEach year the Department of Labor and Industry’s Center for WorkforceInformation and Analysis provides SEWN with the greater economicimpact of the manufacturing jobs saved. During the 2023-24 programyear, SEWN saved over 3400 jobs (including indirect and induced jobs),contributed over a billion dollars to Pennsylvania’s total economicoutput, resulting in over $100 million in state and local tax revenue.ECONOMIC IMPACTOUTPUTVALUE ADDED$283,170,000$1,203,620,000$486,590,000LABOR INCOMEIMPACTMETRICS2023 - 2024 STATSPOSITIVE TAX IMPACTState & Local $38,170,000Federal $67,560,000WWW.SAVINGPAJOBS.ORGSEWN CLIENT INDUSTRIES$1,140SEWN COST TO SAVE A JOB INPENNSYLVANIA194COMPANIES SEWNENGAGED DURINGTHE 23-24 YEAR1333PENNSYLVANIAJOBS SAVED BYSEWNSEWN STATS

YEARJOBS RETAINEDSEWN COST TO SAVE JOBSUNEMPLOYMENTCOSTS SAVED2019 - 20201023$1,437,315$5,499,6482020 - 20211497$1,439,695$8,523,9182021 - 20221087$1,500,000$8,632,9542022 - 20231044$1,497,254$6,706,6562023 - 20241333$1,520,085$8,770,848IMPACTMETRICSSEWN CLIENT SERVICES: 2018-2024TESTIMONIALOperations &Cost ManagementRichard Tornetta Sparked Innovations[SEWN]was great with helping us see the pitfalls within ourorganization and understand where we fit. They helped us realizewe weren't asking ourselves the right questions such as "should weor shouldn't we?" We look forward to the valuable information tocome as we grow! 2019 - 2024 STATS32%New MarketOpportunities23%FinancialRestructuring22%High PerformanceWorkplace15%OwnershipTransition7%Over the last five (5) program years, SEWN has saved jobs at an average of $1,250 per jobsaved. Over 5900 manufacturing jobs were retained during this time, saving theCommonwealth more than $38.1 million in Pennsylvania Unemployment Compensationbenefits, and nearly $1 billion if jobs/payroll multipliers are included.

Throwing herself into courses on brewing and chemistry, she became certified in the wineand cider making processes. Purchasing an abandoned manufacturing building, she woveher new skills along with the old into creating Mad McIntosh.But alas, the wicked witch Covid appeared placing a hiatus on her opening. Not allowingthat evil to set her back, she put all of her energy into creating the amazing venue she nowruns. A couple years after her grand opening, she realized the business needed help to grow.A call to her local economic development organization brought her to SEWN.Working with our staff, she was able to acquire grant funding for upgrades, learn how tobetter structure her financials, and expand her market to include bottling. She plans to takeher magic a bit further down the yellow brick road to possibly begin doing her own applepressing and helping other cider houses in the region.CLIENT SUCCESSSTORYAngela Eliasz has an absolute touch for thedramatic. Stepping foot into Mad McIntosh Cidery inBellefonte, PA is equal to walking onto a film set forthe latest Harry Potter movie. And that’s not just due to fandom. Angela workedfor many years as a set designer in Hollywood onproductions such as Harry Potter. But as time woreon, technology became more apparent leadingAngela to leave that magical world behind to createher own type of magic.From Hollywood to Home BrewingIf you are ever in the Bellefonte area, take anevening to enjoy a glass of Joe’s Rose, grab abite from the Alloy Kitchen, and listen to thesounds of local entertainment at MadMcIntosh Cidery.Mad McIntosh Ciderywww.titanhollow.com2042 Axelman RoadBellefonte PA 16823Listen to Angela’s story on our YouTube page.One of the “sitting rooms” at Mad McIntoshOwner Angela Eliasz with Donita Rudy of SEWN

TESTIMONIALSWatch the testimonialfrom ByHeartFormula’s HR Manager,Julie McKechnieWatch HereHear from GilsonSnowboard Owner,Nick GilsonWatch Here

On April 22, 2024, the White House National Economic Council(NEC) and Heartland Capital Strategies hosted a convening onleveraging private-sector investment to advance the clean energytransition, support high-road labor practices, and promoteeconomic development. Attendees included senior Biden-HarrisAdministration officials, Heartland members, pension consultants,union leaders, and experts.Discussions highlighted the impact of the Inflation Reduction Act (IRA) and BipartisanInfrastructure Law, emphasizing their role in advancing U.S. clean energy goals withexpected investments of $370 billion in energy initiatives. Participants explored howlabor aligned pension funds—holding over $8 trillion in assets—could play a moresignificant role in clean energy projects, learning from countries like Australia andCanada, where pension funds allocate higher percentages to infrastructure. Attendees also addressed challenges, including theneed for trustee education, the scarcity of responsibleinfrastructure funds, and capital gaps for projectpipelines, and discussed ways to improve tax creditliquidity, streamline permitting, and boost capacity ineconomically distressed areas. The conveningconcluded with a networking session, encouragingcollaboration to accelerate clean energy projects andenhance union involvement in this sector.Discussion and panels at the White House NECHCS Director Tom CroftThought LeadershipTo become a Heartland Partner:https://www.heartlandnetwork.org

77Fellowship AlumniThe mission of the LCS Fellowship has always been toeducate a new generation of capital stewards andconstruct a diverse talent pipeline. Since 2017, with thegenerous support of the Heartland Network Family,Heartland and the Kalmanovitz Initiative of GeorgetownUniversity have done just that. Our numbers thus far:37Universities Represented24Fellowship Hosts+++$445,500 PAID IN WAGES TO FELLOWSLCS FELLOWSHIP

In addition to their host placement,the Fellows are provided a 2-dayorientation and unique opportunitiesover the summer for brown baglunches, visits to other hostorganizations, a trip to the WhiteHouse, and a year-end reception tonetwork with hosts & alumni.

Jorge Mendoza CastroDiego Valdez ColinJun ChoiAndy FengMia FriedmanRishi GorrepatiHannah GrossmanKhuan-Yu HallZan HaqCade HaskinsQuincy JohnstonGregory LevesqueConor McKeeEmett MudgeBrynne PaivaRobert Allen RigorsoAlex SturzaSahana VivekSegal Marco & UllicoMeketaGCM GrosvenorUSWLiUNAKPSAFL-CIO HITGCM GrosvenorMeketaIUPATAlan Biller & AssociatesAlan Biller & AssociatesUllico & KPSAFL-CIO HITLiUNAUSWHealthy MarketsSegal Marco2023 & 2024 Fellows & HostsTo learn more about the program & see video testimonials from alumni and hosts, visit:https://www.heartlandnetwork.org/fellowshipprogram

Rapidly growing investment in sustainable civic infrastructure projects is a criticalopportunity for communities across the U.S. With support from the AppalachianRegional Commission, Heartland Capital Strategies is conducting a one-yearplanning project to accelerate sustainable economic development in mid andupper Appalachia. Through strategic partnerships, financial innovation, and capacitybuilding, a Sustainable Finance Hub will help communities generate and retainquality jobs, and build a diversified, resilient and clean economy.Since receiving funding, The Hub has hosted three virtual collaboration sessionsdesigned to ignite discussions and foster connections among stakeholders insustainable finance. These interactive sessions brought together experts from varioussectors to share insights, explore challenges, and identify opportunities forimpactful investments.The most recent Hub event was held in Athens, Ohio along with Resilient CitiesCatalyst and CONNECT. This Sustainable Infrastructure Development Workshopgathered public and private stakeholders to explore the city’s solar energy projectsthrough a tour of Athens’ solar installations, including rooftops, ground mounts, andcarports. CONNECT’s Get Solar program and regional collaboration werehighlighted, with keynote speaker Dr. Patty Demarco emphasizing regionalinnovation.SUSTAINABLE FINANCE HUBAthens Mayor Steve Patterson addresses workshop attendees.To learn more about The Hub & you can get involved:https://www.heartlandfinancehub.org

Tom Croft, MPASVA/HeartlandExecutive DirectorBob Value, CTPSEWNDeputy DirectorCarrie Mihalko, MPRSEWN/HeartlandDevelopment DirectorDeb Lutz, MBA, CTASEWNNW Regional DirectorPatrick MeeseSEWNCentral Region DirectorMichael Perfetti, CTASEWNSW Regional DirectorJeff PapachSEWNNE Regional DirectorNancy SweeneySVAStaff AccountantAnita PrizioSEWNOutreach SpecialistAma GermainHeartland Outreach SpecialistSEWN CONSULTANTSDonita Rudy, CTPJoel Steiker, MBAGreg Olson, MBASoutheast Regional DirectorWill BernsteinFinance HubProject DirectorAlaa MohamedFinance HubHub AdvisorOUR STAFF

THANK YOU!We sincerely thank and wish to acknowledge anumber of important people and organizationsthat contribute to our success:Special appreciation to Governor Josh Shapiro,Lt. Governor Austin Davis, and the PADepartment of Labor & Industry for theirsponsorship of the SEWN program, especiallySecretary Nancy Walker; Special Advisor to theSecretary Carol Momjian; Deputy Secretary DanKuba; BWPO Director Crystal Houser; DivisionChief Steve Wolf; and Rapid ResponseSupervisors Ruben Pachay and Bev Rapp andtheir RR field staff.Special thanks to our many PA partnersincluding: DCED and the Governor’s ActionTeam; local workforce development boards;statewide IRCS; and numerous other economicdevelopment partners.Allegheny County Executive Sara Innamoratoand the Allegheny County Council; and theMayors and Council Members of our twelvemunicipal towns.David Mayernik from Eckert Seamans for hisoutstanding public relations work. ProfessorJoe Mistick and the remarkable students fromthe Duquesne University Urban Law Clinic. Theteam at FiveStar, Inc for their website anddashboard support.Thanks also to Bob Vernick, Senior VicePresident and Krystal Sullivan, Sr TreasuryManagement Support Specialist at FarmersNational Bank for their continued service andsupport. Special acknowledgement to ourauditing team at Holsinger. Sincere thanks to our Heartland CapitalStrategies Governing Board Officers: DeborahNisson, Co-Chair; Thalia Lankin, Co-Chair; MaryMargaret Prange, Treasurer; and David Keto,Policy Director. Special thanks to DavidBlitzstein, Blitzstein Consulting LLC, and theHCS Governing and Fellowship Advisory Boardmembers.Thank you to our LCS Fellowship colleagues atthe Georgetown University-KalmanovitzInitiative for Labor and the Working Poor.Thanks to our partners on the SustainableFinance Hub including the AppalachianRegional Commission; Rebecca Kiernan withCONNECT; Steve Herzenberg, KeystoneResearch Center; Milken Institute; Ohio RiverValley Institute; Penn State Sustainability;Project Development Platform; ReimagineAppalachia; and Resilient Cities Catalyst.