PHFA and CCG Unveil $65 Million Tax Credits for Community Development in Pennsylvania

PHFA and CCG Announce $65 Million in New Markets Tax Credits to Enhance Pennsylvania Communities

In an exciting development for communities across Pennsylvania, the Commonwealth Cornerstone Group (CCG), a nonprofit community development organization, has secured $65 million in New Markets Tax Credits (NMTC) from the Pennsylvania Housing Finance Agency (PHFA). This announcement was made public on January 21, 2026, marking a crucial step for local economic revitalization efforts.

The New Markets Tax Credit program, established by Congress in December 2000, allows taxpayers to receive a non-refundable tax credit against federal income taxes when they make equity investments in designated community development entities (CDEs). These entities, like CCG, play a vital role in driving economic growth in low-income urban and rural areas by providing essential loans and investment opportunities.

The U.S. Department of the Treasury, through its Community Development Financial Institutions Fund, awarded CCG as one of just 142 entities across the nation to receive part of a total allocation of $10 billion in NMTCs for the fiscal years 2024 and 2025. This competitive funding opportunity saw 216 CDEs apply, underscoring the significance of CCG's achievement.

"This funding is a tremendous win for us as we usher in the new year," stated Robin Wiessmann, Executive Director and CEO of PHFA. "The highly competitive nature of this application process means that these tax credits will be instrumental in fueling economic growth and strengthening communities all throughout the Commonwealth of Pennsylvania."

CCG's mission will utilize these tax credits strategically to finance diverse projects within key community areas statewide. The intent is to generate business opportunities, enhance healthcare access, and develop multi-service facilities. By doing so, they aim to deliver essential goods, services, and quality job opportunities to underserved communities, ultimately lifting them from economic hardships.

Several notable developments previously funded by CCG include the Erie Center for Arts and Technology in Erie, Scranton Counseling Center in Scranton, and the Mill 19 - Almono industrial complex in Pittsburgh. These projects not only demonstrate the impact of CCG’s work but also showcase the potential for future endeavors funded by these newly awarded tax credits.

The New Markets Tax Credit Program benefits from a permanent extension granted in recent reconciliation legislation, providing much-needed stability and predictability for long-term community investments. Such a commitment allows organizations like CCG to plan and execute their projects without the uncertainty that often accompanies funding continuity.

As a statewide agency, PHFA is focused on providing affordable housing options across Pennsylvania, specifically targeting older adults, low and moderate-income families, and individuals with unique housing needs. Since its inception in 1972, PHFA has successfully generated over $20.1 billion in funding for more than 206,750 mortgage loans for single-family homes and has significantly contributed to the construction of rental units and local housing initiatives.

With an experienced governing board of 14 members managing its operations, PHFA aims to address the pressing housing needs while promoting economic development across the state. Their commitment to innovative solutions and community-focused strategies places them at the forefront of enhancing livability within Pennsylvania.

In summary, the $65 million awarded in New Markets Tax Credits is set to lay the groundwork for transformative projects across Pennsylvania, addressing the essential needs of communities and fostering sustainable economic growth. As organizations like CCG leverage these credits, the impact on local economies may be significant, paving the way for a brighter future in Pennsylvania's most underserved areas.