Nearly $17 Million Distributed Through CRIZ Program
Bethlehem, Lancaster, & Tamaqua to Receive Funding From Program that Captures State & Local Taxes to Spur Economic Development
Harrisburg, PA – Secretary of Revenue Pat Browne today announced that nearly $17 million will be returned to three communities participating in the City Revitalization and Improvement Zone (CRIZ) program. This funding will go to:
- Bethlehem — $2,721,809.71
- Lancaster — $12,678,686.88
- Tamaqua, Schuylkill County — $1,596,307.50
“This program is generating critical economic growth right in Pennsylvanians’ backyards,” Secretary Browne said. “In the decade that this program has existed, we are seeing encouraging results from the investments that have been made in the participating communities.”
The funding being returned is based off the period from January 1, 2022 to December 31, 2022. The CRIZ program functions by capturing state and local taxes that are returned to a designated zone up to 130 acres for the purpose of improvement and development. Overall, the CRIZ program has delivered a total of more than $70.2 million since its inception in 2013, spurring new growth in cities and reviving struggling areas while creating jobs.
Below is a full breakdown of the CRIZ funding certified by the Department of Revenue for the period running from January 1, 2022 to December 31, 2022.
City of Bethlehem: The 2022 revenue that will be paid to the CRIZ in Bethlehem is $2,721,809.71.
- The payment is attributable to $1,130,830.56 in state taxes remitted by 14 new businesses within the program, as well as $97,803.31 in incremental growth from 16 existing businesses, and $1,493,175.84 from 72 construction contractors.
- Of the 124 businesses in the zone, 103 required reports were filed.
City of Lancaster: The 2022 revenue that will be paid to the CRIZ in Lancaster is $12,678,686.88.
- The payment is attributable to $2,010,213.11 in state taxes remitted by 130 new businesses within the program, as well as $10,523,960.57 from 271 existing businesses, and $144,513.20 from 35 construction contractors.
- Of the 551 businesses in the zone, 467 required reports were filed.
Borough of Tamaqua: The 2022 revenue that will be paid to the CRIZ in Tamaqua, Schuylkill County is $1,596,307.50.
- The payment is attributable to $835,904.17 in state taxes remitted by 39 new businesses within the program, as well as $748,715.46 in incremental growth from 129 existing businesses, and $11,687.87 from eight construction contractors.
- Of the 235 businesses in the zone, 187 required reports were filed.
About the CRIZ Program
The City Revitalization and Improvement Zone (CRIZ) program was established by Act 52 of 2013 and amended under Act 84 of 2016 to spur new growth in cities that have struggled to attract development, helping to revive downtowns and create jobs for the residents in the regions. A CRIZ is 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.
The program is similar to a tax incremental financing program. It is structured to protect the existing state and local tax base, while providing incremental funding for tax revenues based on new growth generated over and above an established baseline per business and new tax.
The funds are paid to the local development authority for the zone, and can be used for debt service, property acquisition, new construction, and other costs related to development projects in the zone.
The CRIZ program is administered by the Department of Revenue, the Department of Community and Economic Development (DCED), and the Governor’s Budget Office.
For more information about the Department of Community and Economic Development, visit DCED website, and be sure to stay up-to-date with all of our agency news on Facebook, X, and LinkedIn.
MEDIA CONTACT:
Jeffrey Johnson, ra-press@pa.gov
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