Raising the Stakes: Pennsylvania’s Historic Preservation Tax Credit Set to Boost Job Creation and Stimulate Economy with New Legislation
Pennsylvania is set to boost job creation and stimulate its economy with new legislation that focuses on increasing the Historic Preservation Tax Credit. The bill, sponsored by Rep. Jim Prokopiak, D-Bucks, aims to raise the annual limit of the tax credit from $5 million to $20 million starting in 2025.
According to Prokopiak, Pennsylvania’s Historic Preservation Tax Credit Program plays a crucial role in preserving the state’s historical structures while generating economic growth. Every $1 million invested in an historic rehabilitation project creates 6.4 direct jobs and 5.6 indirect jobs, outpacing other industries in terms of job creation.
Currently, Pennsylvania has the fourth-lowest cap on its tax credit compared to other states with similar programs. Prokopiak emphasizes the need for increased investment in the program due to overwhelming demand that exceeds the current $5 million cap. During the 2022-23 fiscal year, the Pennsylvania Historical and Museum Commission received requests for $12.7 million in tax credits for 31 projects but was only able to award credits to 22 projects due to limited funding available.
If approved by the state Senate, increasing the tax credit cap will allow more deserving projects to benefit from the program, leading to the preservation of Pennsylvania’s architecture and history while generating more jobs and economic investment. The bill could have a significant impact on job creation and economic growth in Pennsylvania if passed by both chambers of Congress.
The bill is a testament to Prokopiak’s dedication towards preserving Pennsylvania’s rich history while promoting economic development. With this legislation set for approval by both houses of Congress, it’s exciting to see how this change could benefit not just our state but also our country as a whole.
