|Posted:||September 16, 2021 04:28 PM|
|From:||Senator Marty Flynn|
|To:||All Senate members|
|Subject:||Reviving the CRIZ Program in PA|
|In the near future, I intend to introduce legislation that will require the Department of Community and Economic Development (DCED) to approve one additional applicant under the City Revitalization and Improvement Zone (CRIZ) program per calendar year, beginning in 2022.
Under current law, DCED is authorized to approve two additional CRIZ applications each calendar year; however, the Department has not approved any additional CRIZ since 2015. At present, the Department has only approved three CRIZ applications.
The CRIZ program was established to spur new growth in cities that have struggled to attract development, helping to revive downtowns and create jobs for Pennsylvanians living in the surrounding region. A CRIZ may include an area of up to 130 acres, comprised of parcels designated by an authority to capture state and local taxes for the purpose of improvement and development in the designated CRIZ zone. Funding for a CRIZ, similar to a tax incremental financing program, is structured to protect the existing state and local tax base, while providing incremental funding for tax revenues based on new growth generated above an established baseline per business and new tax revenue generated in the zone by new business.
CRIZs have proven to be a powerful tool for the communities that have been fortunate enough to participate – not to mention the Neighborhood Improvement Zone (NIZ) program established in Allentown. Unfortunately, the majority of our cities and communities are not able to experience these clear benefits. With an eye to Pennsylvania’s future, I would like to reawaken this dormant program to create opportunities for other deserving communities.
Please join me in co-sponsoring this important legislation.
Introduced as SB941