(The Center Square) – On the heels of new state investment announcements in Erie, the Department of Revenue announced how much it would be returning through the City Revitalization and Improvement Zone program this year.
Three established CRIZ designees – Lancaster, Bethlehem and Tamaqua – will receive $16.2 million back in taxes to support development aimed at bringing new life to their cities.
Lancaster will see the lion’s share of the funding with over $12 million. Tamaqua and Bethlehem will each receive over $2 million dollars. Erie and Reading, new CRIZ designees, will use this year’s tax revenue as a baseline for the program with returns beginning in 2026.
“Since its inception, the CRIZ program has delivered a total of nearly $102 million to participating communities, helping them to attract development, revitalize their downtowns, and bring new jobs to their regions,” said Secretary of Revenue Pat Browne.
In the state Senate, Browne advocated for improvement zones after seeing success with similar approaches used in the Neighborhood Improvement Zone program in his home city of Allentown. He says the model is proving itself through CRIZ.
“This program is a proven model that has been a critical tool for growth in Bethlehem, Lancaster, and Tamaqua,” said Browne. “Recognizing this success, Governor Shapiro worked to reopen the program and open the door for more communities to apply. That historic step was a gamechanger for both Erie and Reading, and we’re excited to see the program support economic development in both cities.”
Past opponents of the program have questioned the wisdom of returning tax revenue in the face of a larger state fiscal imbalance. Others have argued for statewide revitalization efforts.
Erie has projected additional funding of up to $15 million annually through the program.