[CPEO-MEF] County approves tax-exempt zone at Letterkenny

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Pennsylvania
County approves tax-exempt zone at Letterkenny
Greene Township must still give KOIZ its blessing
by TERRY TALBERT
TheGazetteNews.com Staff Writer

April 17 – Franklin County this morning became the second local taxing
body to approve a Keystone Opportunity Improvement Zone (KOIZ) at the
Cumberland Valley Business Park at Letterkenny.

Their action to support the zone will become official at next Tuesday’s
board meeting, when the commissioners sign the necessary paperwork.

The 41-acre tract of land, 35 or more of which are covered with
deteriorating World War II-vintage steel storage buildings, is expected
to be transferred from the Army to the Letterkenny Industrial
Development Authority (LIDA) in 2005.

The state has designated 11 areas of “deteriorated property” in the
state as potential KOIZs. They become active on Jan. 1, 2004, upon
approval by local taxing bodies.

Firms that locate in the KOIZs get 15 years of property tax exemption.

LIDA Executive Director John Van Horn this morning asked the
commissioners for their support. The Chambersburg Area School District
last week voted to okay the KOIZ designation. Greene Township tabled the
issue. Greene supervisors are expected to vote on the zone next Tuesday.

Greene has no property tax, but supervisors were concerned about whether
they would be able to collect income tax from workers at firms that
locate in the KOIZ.

Greene Solicitor Welton Fischer, who is also the county’s solicitor, was
at the commissioners’ meeting this morning and said he had checked into
the matter and found that income tax would indeed be levied on workers.

That should satisfy concerns of Greene supervisors, he said.

LIDA is slowly acquiring acreage on former Letterkenny Army Depot land,
and adding it to the business park. Acquisition is coming in phases, as
the Army cleans up soil and water on the land – much of which was
contaminated.

This article can be viewed at:
http://www.thegazettenews.com/newspub/story.cfm?ID=8560

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