Pennsylvania House Bill HB1064

Pennsylvania 2023-2024 Regular Session

• Introduced: 4/28/23
• Refer: 4/28/23
• Refer: 5/23/23
• Refer: 6/4/24
• Report Pass: 6/10/24
• Engrossed: 6/10/24
• Refer: 6/12/24

Caption

Further providing for definitions, for creation of tax increment districts and approval of project plans and for financing of project costs.

Impact

With this legislative adjustment, the bill aims to foster more strategic planning and execution of redevelopment projects within tax increment districts. By broadening the scope of eligible project costs to include various anti-displacement activities, the legislation is set to facilitate the preservation of affordable housing and commercial spaces. This approach is expected to mitigate the negative impacts of gentrification often experienced in urban centers, leading to a fairer distribution of benefits arising from local economic growth.

Summary

House Bill 1064 amends the existing Tax Increment Financing Act in Pennsylvania, aimed at enhancing the creation and management of tax increment districts. One of the central components of the bill is the introduction of additional definitions and clarifications surrounding 'project' and 'project costs', including the incorporation of anti-displacement activities, intended to prevent or compensate for the involuntary relocation of residents or businesses. The bill envisions that these anti-displacement measures will protect vulnerable populations from the socioeconomic pressures that often accompany urban redevelopment projects.

Sentiment

The sentiment around HB 1064 appears to be largely positive among proponents who view it as a progressive step towards ensuring that redevelopment does not come at the expense of the current residents. Advocates argue that the inclusion of anti-displacement activities signals a commitment to equity and fairness in urban planning. However, there may be concerns among some stakeholders regarding the potential for additional regulatory burdens or costs associated with implementing these new requirements, which could stir some resistance from groups focused on business development.

Contention

Notably, the discussions surrounding the implementation of anti-displacement activities present points of contention, particularly regarding the definition and extent of such measures. Opponents fear that the bill's requirements might complicate the process of carrying out redevelopment projects, thereby slowing down economic progress. Furthermore, the amendment extending the existence of tax increment districts from 20 to 25 years could also draw debate, focusing on the long-term implications for both development initiatives and local governance.