Bartolotta Applauds New Law Establishing Job-Creating Energy Tax Credit Program

HARRISBURG – Senator Camera Bartolotta (R-46) voiced her support for a bill signed into law today that could help create thousands of family-sustaining jobs and provide a boost to Pennsylvania’s energy economy.

Act 66 of 2020 creates the Local Resource Manufacturing Tax Credit Program to add an incentive for manufacturers to invest in Pennsylvania communities. The program is available to facilities that use dry natural gas to produce fertilizer and other petrochemical products.

Under the program, businesses will be required to invest more than $400 million in a Pennsylvania facility and create at least 800 jobs in order to qualify for a tax credit.

The law requires companies to make a good faith effort to recruit and employ local workers in Pennsylvania, and a company will not be eligible for the tax credit until the jobs have already been created.

“This new law will help the state leverage our state’s considerable natural resources to create new jobs and opportunities throughout the commonwealth,” said Bartolotta, who serves as Chair of the Senate Labor and Industry Committee. “We have seen considerable success with similar approaches in the past, and I look forward to seeing the economic benefits of this new program for Pennsylvania in the future.”

The approach of the bill mirrors the Pennsylvania Resource Manufacturing tax credit, which was established during the 2012-13 budget and led to the location of the Shell Pennsylvania Petrochemicals Complex in Beaver County. Construction of that plant has already created thousands of jobs and is projected to have a long-term economic impact of $6 billion.

The new tax credit program is capped at $6.6 million per facility, and the number of facilities that can receive tax credits is limited to four projects for a maximum total fiscal impact of $26.7 million per year.

CONTACT: Colleen Greer (717) 787-1463

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