Schreiber replacing building in industrial park
ARNOLD: The city is seeing the first fruits of its involvement in a state tax abatement program adopted about a year ago that entices businesses to move into blighted areas.
Councilman John Mandak said Friday that Schreiber Industrial Development will replace the building it's tearing down at Schreiber Industrial Park — which the city designated as a tax-free area — and is confident it can find businesses to move in.
Mandak would not say, however, if the company has businesses lined up to fill the building.
Mandak also could not share details about the scope of the development, such as the size of the new building and how soon it would be built. City officials could not confirm that Schreiber has submitted building plans for the project.
Schreiber executive Carolyn Schreiber could not comment about the development Friday. Planners with the Westmoreland County Industrial Development Corp. did not return phone calls for comment.
Mandak said the county has been working closely with the company to bolster developments at the park.
Under the state's Keystone Opportunity Expansion Zone program, businesses that build or expand in the industrial park get a break on local, county and state taxes for about 12 years.
Schreiber Industrial Development, however, is not getting tax breaks because of an agreement with the city. The company agreed to pay its full share of taxes, leaving the benefits only for the businesses that move into the park. The deal makes the park a better sell for the company while benefiting the city.
New Kensington also has designated tax-free zones although city officials said developments on those properties are moving slowly. The city plans to clear the land behind the post office at Fifth Avenue and 11th Street, and create a site that can accommodate a handful of small industrial buildings.
In Arnold, city officials want to expand Kennedy Riverside Park using about 20,000 square feet of land Schreiber Development donated to the city. Mandak said the property is worth about $30,000 although it could sell for more.
The city plans to extend a walking trail from the city park to the industrial park and possibly add small amenities on the added parcel such as picnic tables. The project is meant to make the industrial park more attractive by giving workers there a daytime recreational outlet.
"We have to compete," Mandak said. "You can't expect companies to come here unless you give them some reason to come here."
Further developments are planned for the city's park that include an observation deck looking over the Allegheny River. The city recently installed a fishing pier downstream from where the observation deck would sit.
In all, the city plans to spend about $300,000 during the next two years at the park. Proposed lighting improvements alone will cost about $60,000.
Mandak said the city is applying for a matching grant from the state Department of Conservation and Natural Resources that should cover about half the cost of park improvements.
Arnold this year joined New Kensington in becoming one of the state's Weed and Seed sites, where state money helps drive low-level criminals from the streets and encourages economic growth. One of the benefits of the program is priority status in getting state grants. Mandak said it's possible that Arnold's involvement in Weed and Seed could improve the city's chances of getting the DCNR grant.
"I'd like to believe it would help," he said. "Although I think this project has tremendous merit on its own."
