Reading has taken a key step toward accessing millions in future state funding through Pennsylvania’s City Revitalization and Improvement Zone (CRIZ) program.
The Pennsylvania Department of Revenue announced this week that it has officially established a tax baseline for Reading’s CRIZ zone, setting the stage for funding to begin flowing in 2026. The baseline for Reading was calculated at $3,550,874.75, representing the total state tax revenue generated within the designated CRIZ area between January 1 and December 31, 2024.
That figure will now serve as the benchmark for determining how much state funding will be redirected back into Reading for redevelopment projects in the years ahead. Growth in tax revenue generated by businesses and construction inside the CRIZ will be measured against the baseline, with the excess being returned to Reading’s CRIZ authority to support economic development.
“Since its inception, the CRIZ program has delivered a total of nearly $102 million to participating communities, helping them to attract development, revitalize their downtowns, and bring new jobs to their regions,” said Revenue Secretary Pat Browne. “Recognizing this success, Governor Shapiro worked to reopen the program and open the door for more communities to apply. That historic step was a gamechanger for both Erie and Reading, and we’re excited to see the program support economic development in both cities.”
The CRIZ program, modeled after a similar initiative in Allentown, was created in 2013 to help struggling cities attract new businesses, rehabilitate vacant properties, and stimulate job growth. A CRIZ can cover up to 130 acres within a city, with tax dollars generated inside the zone reinvested into local projects. Funds may be used for property acquisition, debt service, new construction, or other development costs.
Until now, only Bethlehem, Lancaster, and Tamaqua had participated in the program. In the latest funding round, those communities received a combined $16.2 million in returned tax revenue. With baselines now established for both Erie and Reading, the two cities are positioned to begin receiving similar support starting in 2026.
State officials said reopening the CRIZ program was made possible when Governor Josh Shapiro signed the 2024–25 bipartisan budget, expanding access to new communities for the first time since the program’s launch.
