One of the state’s most vital incentives for redevelopment projects is at risk. The Brownfield Cleanup Program is set to expire in 2027, unless lawmakers approve a 10-year extension. Erie County Executive Mark Poloncarz and others are pushing to include the extension in this year’s state budget.
New York’s industrial past has left many sites contaminated, and cleaning them up isn’t cheap. That’s where brownfield tax credits come in—helping developers offset remediation costs. Depending on the project and the level of cleanup required, the credits can cover up to 40 percent of those costs.
With the program set to expire in 2027, officials are calling for an extension to 2037. Erie County Executive Mark Poloncarz wants it done this year, to curb any uncertainty about the program’s future.
"The tax credit program was instrumental for a number of entities that you see now actually willing to invest their own money," he said. "$130 million of total private investment has occurred in the most recent period. But that is all at risk with regards to future development of the site."
One of the best local examples of the program’s impact is Renaissance Commerce Park in Lackawanna. The site—once part of the Bethlehem Steel campus—has seen more than $130 million in private-sector development, creating 800,000 square feet of new manufacturing space and more than 400 jobs.
Lackawanna Mayor Annette Iafallo said extending the program is critical.
"It's essential for continuing to attract large private investments to Renaissance Commerce Park. And let me be very clear that continued growth of Renaissance is absolutely vital to Lackawanna's economic future," the mayor said.
Brownfield tax credits apply to projects of all sizes—from abandoned gas stations to large-scale manufacturing hubs.
Bills to extend the program have been introduced in both the State Senate and Assembly, led by State Sen. Sean Ryan and Assemblyman Jon Rivera.
Both lawmakers are optimistic the extension will be included in the new state budget.
