Bill > SB384

This bill establishes the Keystone Opportunity Dairy Zone Act, which aims to support and revitalize Pennsylvania's dairy industry by creating special economic zones with significant tax incentives. The legislation allows the Department of Community and Economic Development to designate up to 30 zones (15 Class A and 20 Class B) that provide comprehensive tax exemptions, deductions, and credits for qualifying dairy-related businesses and residents. For Class A zones, businesses must invest at least $10 million in a dairy processing facility and create 25 or more new jobs, while Class B zones are designed for smaller-scale dairy processing facilities with a minimum investment of $100,000. Qualified businesses and residents in these zones can receive tax benefits for up to 10 years, including exemptions from state and local sales, income, property, and other taxes, provided they meet specific residency and business activity requirements. The bill emphasizes supporting local dairy farmers by encouraging dairy processing facilities that use Pennsylvania milk and creating economic opportunities in the agricultural sector. To ensure accountability, businesses must undergo annual certification, and those relocating out of the zone within nine years may be required to repay a portion of the tax benefits received. The legislation also includes provisions for monitoring job creation, investment, and economic development impacts, with the goal of preserving and enhancing Pennsylvania's dairy industry.

Business and Industry

https://www.legis.state.pa.us/cfdocs/billinfo/bill_history.cfm?syear=2025&sind=0&body=S&type=B&bn=384