WAYNESBORO, Pa. — Local Rotarians heard from Madra Clay, regional director of the Pennsylvania Department of Community and Economic Development’s Neighborhood Assistance Program.
Clay said the main objective of the program is to promote cooperation between nonprofit organizations and businesses to improve economic development and community well-being in low-income areas.
NAP operates as a tax credit program. Nonprofits propose projects such as affordable housing and educational programs and hook up with businesses to provide cash or in-kind aid to help complete the projects. Once the project is approved and contributions are received, the participating business is eligible for a tax credit, which the business can subtract from taxes owed to the state.
Depending on the type and size of the projects, credits can range anywhere from 65% to 95%. Clay said the program helps get projects done more quickly because no direct state dollars are involved and there is less red tape.
There are $72 million in credits available for the current fiscal year. Clay, who oversees a 17-county area, said she urges nonprofits and businesses to use the program as a way to improve their areas and get something back as well.
