Preservationists and developers in Pennsylvania are hoping for new state funding to revitalize historic buildings. Two recently introduced bills propose a significant increase in the annual cap on the state's Historic Preservation Tax Credit program, a key subsidy for developers who renovate vacant historic buildings on the National Register of Historic Places.

Currently, Pennsylvania's program is capped at $5 million, which advocates say is not enough to meet demand. This low cap discourages developers and puts irreplaceable properties at risk. Pennsylvania is among the lowest-funding states in the country; only three states allocate less funding annually to historic preservation.

A bipartisan bill in the Senate seeks to raise the program's cap to $50 million, bringing Pennsylvania level with New Jersey and overtaking Maryland and Delaware. A companion bill in the House of Representatives proposes raising the cap to $20 million. Both bills have passed their respective legislative processes without significant opposition.

Supporters of the increased funding, such as Paul Steinke of the Preservation Alliance for Greater Philadelphia, highlight the economic benefits of the program. The tax credit program encourages job creation and generates tax revenue by returning vacant properties to productive use, benefiting cities and towns across the state.

The program also offers low financial risk for project developers, as the tax credits are only awarded after the project is completed, securing additional financing for construction. Successful projects such as the conversion of a historic brewery in Philadelphia into a mixed-use building show how well these credits can be used to revitalize run-down areas and preserve the state's historic buildings.