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After 30 years of scarce resources, the City of Clairton and its partners—Pennsylvania Department of Community and Economic Development (DCED), Allegheny County, and Economic Development South (EDS) — recently unveiled $3.3 million of new investment in the community that will occur over the next six years.

Sources of the investment include the Pennsylvania Neighborhood Partnership Program (NPP) tax credits, Allegheny County Community Infrastructure and Tourism Fund (CITF) grant, corporate donations, and new business development.

“Clairton and its citizens and stakeholders have worked very hard over 30 years to re-build our community. Our first step was emerging from Act 47 in 2015. Today’s announcement is a second step and a giant advance in building a healthy, safe, and vibrant Clairton,” said Clairton Mayor Rich Lattanzi (D).

In 2014, in anticipation of Clairton’s recovery from Act 47, Jefferson Regional Foundation approached Economic Development South (EDS) to convene conversations among community stakeholders. Since 2013, the Jefferson Regional Foundation has made grants totaling over $1 million to invest in Clairton’s future. In addition to supporting the work of EDS, grant awards are supporting an innovative group of youth programs with a joint focus on supporting positive decision-making, improvements to the LifeSpan senior center, expanding food resources and equipping local residents to take leadership in revitalizing vacant land.

“We are pleased to support committed local leaders in partnership with key organizations; these are important opportunities to strengthen the Jefferson area through investing in Clairton’s growth. Clairton has an exciting story to tell which has already attracted many new commitments, and we see this as just the beginning,” said Executive Director Mary Phan-Gruber.

NPP Tax Credits

The two-year community-driven process engaged residents, churches, schools, social service organizations, municipal leaders, nonprofit organizations, DCED, and Allegheny County. Based on input received from Clairton stakeholders and at their request, EDS submitted an NPP tax credit application on behalf of Clairton. The result was an approved six-year $2.85 million NPP Tax Credit from DCED for comprehensive economic development investments to improve food access, expand social and human services, create beautification and workforce development initiatives, and promote housing development.

“Strong communities will attract business development and spur even more revitalization,” said Department of Community and Economic Development Secretary Dennis Davin. “The Neighborhood Assistance Program promotes this belief by encouraging businesses to invest in the communities around them, as is the case with Clairton. On behalf of the Wolf Administration, I extend my congratulations to those who have contributed to the initiation of this long-term project.”

NPP Tax Credits are one of only a few funding tools available to communities for use in long-term development, and require commitments from funding partners. The partners on the Clairton NPP Tax Credit program are BNY Mellon at $375,000 and Highmark Inc. at $100,000 annually for six years. Each partner will receive 80% of its commitment in tax credit, with the balance being made as a charitable donation. Over six years, BNY Mellon will invest $2.25 million, with $1.8 million in tax credits and $450,000 in charitable donations. HM Insurance Group, a Highmark Inc. company, will invest $600,000, with $480,000 in tax credits and $120,000 in charitable donations. Clairton will receive $475,000 annually.

“We look forward to seeing EDS’s work pay off through its economic growth initiatives as well as support for youth and young adult workforce development,” said Don Heberle, CEO of BNY Mellon Wealth Management. “This Neighborhood Assistance Program credit builds on the nearly $25 million BNY Mellon made available for affordable housing loans and investment in western Pennsylvania in 2016.”

CITF Grant
Allegheny County awarded Clairton a $125,000 CITF grant, which leverages $300,000 in investment, for the city’s Lincoln Way project. Clairton hasn’t had any new housing development in about 15 years. Pennsylvania State Senator Jim Brewster (D) advocated for the CITF award to redevelop an area that had been an abandoned community in Clairton.

The City of Clairton spent five years getting site control of the Lincoln Way property. The county will assist Clairton in demolition to prepare for a 52-lot development. Site preparation will include asbestos abatement studies and removal, if necessary, and removal of vegetation, telephone poles, and power lines to make the area development-ready.

“We are proud to have partnered with Clairton officials and Senator Brewster to make this funding available for the Lincoln Way redevelopment,” said Fitzgerald. “Our success comes when we all work together. We are fortunate to have leaders like Congressman Doyle, Governor Wolf and Secretary Davin who not only listen to what we have to say, but welcome our input and vision that enables us to continue to move our county forward, as this project reflects.”

Additional New Development
Mayor Lattanzi reached-out to Speedway to propose a Clairton location after the company opened a full-service gas station in McKeesport 2-1/2 years ago. The City helped find an industrial site on State Street and weathered challenges of subdivisions of the property and brownfield issues. Sen. Brewster helped resolve issues related to PennDot and traffic flow concerns. Speedway made site corrections, purchased the property, and will begin demolition this month with construction to begin by late March. Clairton’s Speedway will open by late summer and will offer diesel fuel for surrounding businesses and industry. The project is a $4-million investment by Speedway that will bring up to 35 new jobs to the community. The City of Clairton owns land adjacent to the Speedway location, which could result in additional development.

“This is a new era for Clairton. The Lincoln Way housing development, a new Speedway, and a private development underway this month that will house a new City Magistrate’s office are bricks-and-mortar demonstrations of our commitment to revitalize our community and improve the quality of life for our residents,” said Mayor Lattanzi. “That includes a new Hardship Fund established with Sen. Brewster’s assistance by the Clairton Municipal Authority in partnership with the City of Clairton to help lessen the burden of higher sewage bills caused by the 2009 Department of Environmental Protection unfunded mandated repairs and corrections to our sewage lines. We are all working together to make a long-term difference in Clairton.”

EDS will continue its role as community convener and technical assistance provider in support of Clairton’s reinvestment.

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