PENNSYLVANIA INCENTIVES 

Pennsylvania shows an average deal value of $6.32 million with 112 new jobs created per deal

PENNSYLVANIA FIRST

The Pennsylvania First Program was established as a competitive funding tool to facilitate increased investment and job creation in Pennsylvania and to enable the state to compete more effectively in the global economy.  The Pennsylvania First Program may provide grants, loans, and loan guarantees. Determination of the type of assistance shall be at the discretion of the Department based upon the financial needs of the individual projects.  All costs financed through the Pennsylvania First Program must be necessary for the operation of an eligible business or businesses at a project site(s) in the commonwealth. 

The maximum assistance amount shall not exceed $5,000 for each job projected to be created or retained.  The Department has discretion to modify this amount for special circumstances.  Applicants may not receive Pennsylvania First Program assistance for more than two consecutive fiscal years for the same business expansion or location project.

Except for businesses receiving assistance through the Guaranteed Free Training (GFT) Program, all businesses benefiting from Pennsylvania First Program assistance must meet the following requirements:

  • Each annual Pennsylvania First Program appropriation must leverage at least $10 in private investment for every $1 of program assistance awarded.
  • Businesses must achieve one of the following standards within three years of receiving Pennsylvania First Program funding: (1) create or retain a minimum of 100 full-time jobs at the project site; (2) increase their full-time employment within the commonwealth by at least 20%; (3) provide a substantial number of new, full-time employment opportunities within a high-growth industry; or (4) create or retain fewer than 100 full-time jobs at project sites that are located in counties or communities suffering from high unemployment.
  • The base pay of an employee hired or retained by the business must be at least 150% of federal minimum wage in order for the employee to be counted toward meeting the employment requirement.
  • Businesses receiving Pennsylvania First Program assistance must commit to operating at the approved project site for a minimum period of seven (7) years.

JOB CREATION TAX CREDIT (JCTC)

The Job Creation Tax Credit Program (JCTC) is meant to secure job-creating economic development opportunities through the expansion of existing businesses and the attraction of economic development prospects to the Commonwealth of Pennsylvania.  The amount of the award varies based on number of jobs created, amount of private investment, financial stability of the business, average hourly wage to employees, the extent to which the business develops or deploys leading technologies, the extent to which the project addresses Pennsylvania Keystone Principles, and additional factors that may pertain to an application, such as synergies with other DCED initiatives.  A maximum credit of up to $1,000 per every new full-time job is available.

Eligibility in the Job Creation Tax Credit Program includes:

  • Business must agree to create at least 25 new full-time jobs, or increase its number of full-time employees at the project sites(s) by at least 20% within three years of start date.
  • Each new employee must earn an hourly wage rate of at least 150% of the federal minimum wage, excluding benefits, at the time the certificate is issued.
  • The business must agree to maintain its operation in Pennsylvania for a period of five years from the start date.

The business may claim these credits only after the jobs are created.  The credit must be claimed within five years of receiving the tax credit certificate, but in no case can it be longer than six years from the start date.  Credits not claimed within this period will be forfeited.  Additionally, a minimum of 25% all tax credits available to be awarded each fiscal year will be allocated to businesses that employ 100 or fewer employees.

GUARANTEED FREE TRAINING PROGRAM

The Guaranteed Free Training (GFT) program provides grants to businesses to provide incumbent workers with basic skills and information technology training. It is administered by the Workforce and Economic Development Network of Pennsylvania (WEDnet) comprised of 20+ partners located across Pennsylvania that serve as the point of contact for businesses.

Eligible companies are limited to participation in the Guaranteed Free Training program to two consecutive years and three out of any five consecutive years.  Companies are eligible to receive grant funds up to $450 per eligible employee ($75,000 maximum) for Basic Skills Training and up to $850 per eligible employee ($50,000 maximum) for Information Technology Training in one fiscal year.

OTHER PENNSYLVANIA INCENTIVE PROGRAMS

  • Abandoned Mine Drainage Abatement and Treatment Program
  • Alternative and Clean Energy Program (ACE)
  • Baseline Water Quality Data Program
  • Building PA
  • Business in Our Sites (BOS) Loans
  • Business Opportunities Fund
  • Community Based Services Tax Credit
  • Community Economic Development Loan Program
  • Discovered and Developed in PA Program
  • Educational Improvement Tax Credit Program
  • Export Financing Program
  • Film Tax Credit Program
  • First Industries Fund
  • Flood Mitigation Program
  • Global Access Program
  • Greenways, Trails, and Recreation Program
  • High Performance Building Program
  • Industrial Sites Reuse Program
  • Joint Opportunity Business Partnership Fund
  • Keystone Opportunity Zone
  • Keystone Innovation Network
  • Machinery and Equipment Loan Fund
  • Market Access Grant
  • Multimodal Transportation Fund
  • Neighborhood Assistance Program
  • Neighborhood Assistance, Enterprise Zone Tax Credit
  • New PA Venture Capital Investment Program
  • Opportunity Scholarship Tax Credit Program
  • Orphan or Abandoned Well Plugging Program
  • Partnerships for Regional Economic Performance
  • Pennsylvania Capital Access Program
  • Pennsylvania Community Development Bank Loan Program
  • Pennsylvania Economic Development Financing Authority
  • Pennsylvania Industrial Development Authority
  • Pennsylvania Infrastructure Bank
  • Pennsylvania Infrastructure Technology Alliance
  • Pennsylvania Minority Business Development Authority
  • Pennsylvania Small Business Credit Initiative
  • Pollution Prevention Assistance Account Program
  • Powdered Metals
  • Rail Freight Assistance
  • Regional Investment Marketing
  • Renewable Energy Program
  • Research and Development Tax Credit
  • Second Stage Loan Program
  • Sewage Facilities Program
  • Small Business First
  • Solar Energy Program
  • The Next Generation Farmer Loan Program
  • The Pennsylvania Regional Center
  • Water Supply and Wastewater Infrastructure Program
  • WEDnetPA