Enterprise group gets state grant

SHARON, Pa. --The Shenango Valley Enterprise Zone Corp. has been awarded a $25,000 state planning grant, a prelude to the nonprofit group's re-entry to the state's enterprise zone system.
Gary Gulla, chairman of the group's finance committee, said before the group rejoins the state program new maps must be prepared showing the zone's boundaries, a business survey must be conducted to show demand for the zone's services and a business strategy must be developed.
The zone was part of the state program for 16 years but was forced by the state to leave the state program four years ago to make way for new enterprise units across Pennsylvania.
The result was an independent, nonprofit local enterprise zone that still provided low-interest loans to industrial and manufacturing companies in designated areas.
The zone covers all of Farrell and parts of Sharon, Hermitage, Greenville, Wheatland, Sharpsville, West Middlesex, Shenango Township and Hempfield Township.
The state provides annual basic grants to enterprise zones but Gulla said Shenango Valley wouldn't be eligible for those funds if it gets back in the program.
However, getting the state designation would allow the zone to go after state challenge grants of up to $500,000 for specific industrial projects, he said.
Companies in the zone would also be eligible for preferred interest rates on Pennsylvania Industrial Development Authority loans and other state assistance programs.