Development organization to hire director
Money from a state tax credit program will allow Washington Citywide Development Corp. to build staff and expand programs to tackle blight.
“This will take (the CDC) to another level,” said Lynn Galluze, city computer systems coordinator.
The CDC received a contribution of $125,000 from Washington Financial Bank and UPMC Health Plan through the state Department of Community and Economic Development Neighborhood Partnership program. The program provides an 80 percent tax credit to companies that make contributions to a qualifying community development organization.
The CDC, formed in December 2011, is responsible for the city’s land bank, which allows local governments to take control of blighted properties and cancel tax liens and bank foreclosures so the properties can be sold. Until now, the CDC operated with a small budget from the sale of donated property.
“Now there’s a serious budget,” said Galluze, who acts as a liaison for the city.
Funds will be used to hire a full-time executive director for the nonprofit, which thus far operated with only a volunteer board. Four candidates from the 16 who applied for the position were interviewed. The board will soon announce its pick.
Pittsburgh Community Reinvestment Group worked with the CDC on the application and will fund a portion of insurance benefits for the executive director. While it will not pay the $55,000 to $60,000 annual salary, PCRG will administer it through its payroll system.
An office for the executive director initially will be established in City Hall, but the board is looking for a space more centrally located in the city.
The tax credit program is a one-year commitment. The CDC is in the process of applying for next year’s program, also a one-year commitment, and will apply for a multiyear program after that.
Galluze said the corporation also is considering hiring a part-time office worker to assist with special projects, such as taking inventory of blighted structures in the West End neighborhood.
“Eventually, (the CDC) will tackle not just the business district but the entire city,” she said.
Washington was one of two municipalities outside of Allegheny County to be selected for the Allegheny Conference Strengthening Communities Partnership, which is based on the needs of the community, the CDC’s capacity to create change and community support for revitalization.
The CDC also received $25,000 from Federal Home Loan Bank of Pittsburgh.