Lancaster, PA – Today, Governor Josh Shapiro visited small businesses in downtown Lancaster to highlight his Administration’s historic investments in 81 Main Street Matters projects across the Commonwealth — including more than $1.2 million for Lancaster County — to revitalize downtowns, grow local economies, and create jobs. The Governor created the Main Street Matters program and secured $20 million for it in the 2024-25 bipartisan budget, fulfilling a key promise to support small businesses and strengthen communities in Pennsylvania.

Governor Shapiro’s visit underscores his Administration’s commitment to building vibrant communities and supporting small businesses, especially as new federal tariffs threaten to raise costs for Pennsylvania families and employers.

“Every community in our Commonwealth ― rural, urban, or suburban ― has a Main Street, and I’ve seen firsthand how critical they are to local economies. Our Main Streets are the beating hearts of towns and cities, and their success is directly tied to the small businesses that line them. That’s why my Administration has made investing in our Main Streets a priority, and we’re delivering a historic amount of support for projects across Pennsylvania,” said Governor Shapiro. “Every Main Street matters ― and I’ll continue bringing people together to invest in and improve our communities. While the federal government is raising taxes and costs through harmful tariffs, my Administration is cutting costs and investing in places like downtown Lancaster to ensure every business has the support it needs to thrive.”

During today’s visit, Governor Shapiro toured businesses along North Queen and King streets, including BellaBoo, a boutique selling children’s and baby items; Ric’s Bread, a popular bakery with additional locations at Lancaster Central Market and a Philadelphia farmer’s market; and Foxduck, a design and print shop specializing in Lancaster-branded apparel and goods.

The Governor also visited Place Marie Mall, a historic downtown property undergoing renovations that received a $100,000 façade improvement grant through the Main Street Matters initiative announced earlier this week. The building’s upper three floors — vacant for nearly 70 years — are slated to become short-term rentals and office space. The grant, awarded to the Lancaster City Alliance, will support upgrades like fresh paint and new lighting to enhance the building’s presence and draw more foot traffic to the area.

In addition to this project, four other community projects in Lancaster County were awarded funding in this most recent round of Main Street Matters initiatives, including:

• $823,917 to Community Basics for a district development grant to restore and preserve the historic Three Center Square Apartments in East Donegal Township, maintaining 23 two- and three-bedroom units.
• $200,000 to the Lancaster Downtown Investment District for the “Light Up Lancaster” project, which will install lighting enhancements to boost safety, visibility, and the visual appeal of the downtown.
• $100,000 to SACA Development Corporation for the Historic Howard Avenue Façade Improvement Program, aimed at revitalizing the city’s southeast neighborhood.
• $46,156 to the Borough of Ephrata for gateway signage improvements to promote access to local recreational areas.

Governor Shapiro toured downtown with Lancaster Mayor Danene Sorace, Representative Ismail Smith-Wade-El, Lancaster City Alliance President Marshall Snively, and local business owners, who shared how these investments are helping to drive economic growth and revitalize communities across the region.

“I’m pleased to welcome Governor Shapiro to Lancaster city’s ‘main street,’ known around here as Queen Street – where local businesses reign. We know that in every community – whatever its name – main street matters,” said Mayor Sorace. “They are the core of our local economies attracting residents, businesses, and visitors. When main street does well, there is a pretty good chance that a community is doing well. I’m grateful that Governor Shapiro continues to highlight their importance.”

“I want to thank the Governor and his staff for recognizing — time and again — just how special Lancaster is. Not just downtown, but across our entire city,” said Representative Smith-Wade-El. “As the Governor knows, Lancaster is a city of neighborhoods — and he has never shied away from coming to our community and investing in our neighbors and small businesses. We’re grateful for that. There’s a difference between leadership that talks and leadership that shows up and asks, ‘What do you need? What would make your life easier? How can we help you improve your home?’ That’s the kind of leadership the Governor has brought. These façade improvements let us put our best foot forward. Because in Lancaster, people take deep pride in their neighborhoods — and these investments help us show it.”

“I’m glad the governor is spending some quality time in the coolest downtown in the commonwealth and seeing the amazing partnership between our small, local businesses, our workers, and the entire Lancaster community,” said Representative Nikki Rivera. “Downtown Lancaster is vibrant proof of what happens when we invest in safe communities, infrastructure, and supporting jobs and entrepreneurs — and I’m ready to work with the Shapiro Administration to make a good thing even better.”

“Our small business and merchant community is the lifeblood of Lancaster and a major reason as to why this city is so special. This city has over 300 places to eat, shop, and enjoy — which rivals most shopping malls — and it continues to grow as the vibrancy of downtown expands in all directions,” said Snively. “We also know that it is not easy, especially these days, and to those who have set up shop here in Lancaster: we truly appreciate your investment in Lancaster. And we are grateful to Governor Shapiro for his commitment to and his support of small businesses everywhere.”

Investing in Pennsylvania’s Main Streets and Small Businesses

Through Main Street Matters, the Shapiro Administration is investing $20 million to revitalize downtown areas, help businesses grow, and improve community infrastructure. These funds build on the success of the Keystone Communities Program, which has helped cities and towns across Pennsylvania repair historic buildings, improve pedestrian safety, and provide direct support to small businesses. A full list of Main Street Matters-funded projects is available online.

Administered by the Pennsylvania Department of Community and Economic Development (DCED), Main Street Matters received more than 200 applications requesting over $43 million, underscoring the demand for strategic investments in Main Streets across Pennsylvania. The Governor’s 2025-26 budget proposal includes another $20 million for this successful initiative.

Main Street Matters is a cornerstone of the Shapiro Administration’s 10-year Economic Development Strategy — the first statewide economic development plan in nearly two decades. From day one, Governor Shapiro and his Administration have been committed to making Pennsylvania a leader in economic development, job creation, and community revitalization. The Governor’s 2024-25 bipartisan budget made significant investments aligned with this strategy, and the Governor’s proposed 2025-26 budget will take further steps to implement the strategy and create real opportunity for the Commonwealth.

Federal Tariffs are Raising Prices on Pennsylvania Small Businesses and Industries

While in Lancaster, Governor Shapiro warned about the harmful economic impacts of new federal tariffs, which threaten Pennsylvania businesses reliant on global supply chains and will lead to increased costs to consumers. Many industries depend on affordable materials to stay competitive, and these tariffs put Pennsylvania jobs and economic growth at risk. For example, at BellaBoo, higher tariffs will raise the cost of imported strollers, car seats, and toys from countries like Canada and Europe, and even the boutique’s shopping bags customers get when they buy a product.

“Whether it’s a coffee shop meetup, a farmers’ market, or a community event, main streets offer a common ground where people connect and feel a sense of belonging,” said Laura Haiges, owner of BellaBoo. “They are where the soul of a town lives with everyday moments that shape community identity. I wanted to be a part of that. I created Bellaboo as a place where parents could find stylish and high-quality clothing as well as carefully crafted toys for children. I never imagined that my crazy idea would have led to almost 20 years of involvement in this wonderful city. A big thank you to Governor Shapiro and his team for taking the time to come to Lancaster and recognize our small business community.”

The Shapiro Administration remains committed to lowering costs, cutting red tape, and ensuring Pennsylvania businesses have the resources they need to compete and grow. Over the last two years, the Governor has prioritized strengthening the Commonwealth’s economy by streamlining regulations, reducing costs, and investing in workforce development.

Cutting Costs and Investing in Economic Development in Pennsylvania

Governor Shapiro is delivering real results for Pennsylvania’s workers, businesses, and families. Since taking office, his Administration has taken bold steps to strengthen the economy, attract new investment, and put more money back in Pennsylvanians’ pockets by:

• Securing $500 million in site development funding to attract businesses, create jobs, and drive long-term economic growth.
• Generating $3.7 billion in private sector investment, leading to the creation of over 5,000 new jobs across Pennsylvania.
• Cutting business filing wait times from eight weeks to just two days, making it easier for entrepreneurs to start and expand their businesses.
• Increasing the Net Operating Loss (NOL) Deduction Limit, allowing businesses to reduce taxable income by up to 80 percent by 2029 — keeping Pennsylvania competitive with other states. In this year’s budget proposal, the Governor proposed accelerating Corporate Net Income Tax (CNIT) cuts by two years, reducing the tax rate by 0.75 percent annually and lowering it to 4.99 percent by 2029.
• Expanding the Child and Dependent Care Enhancement Tax Credit, delivering $136 million in savings to over 218,000 families, while launching the Employer Child Care Contribution Tax Credit to help businesses support employees’ childcare costs.
• Delivering the largest tax cut for seniors in nearly 20 years, helping older Pennsylvanians stay in their homes.

Governor Shapiro’s leadership is driving Pennsylvania’s economic growth by supporting businesses, strengthening Main Streets, and creating jobs all across the Commonwealth. These strategic investments are vital to the future prosperity of Pennsylvania’s communities — rural, urban, or suburban alike — and the Governor is committed to ensuring that businesses have the support they need to thrive.

Learn more about the Shapiro Administration’s efforts to support Pennsylvania’s businesses and Main Streets in the Governor’s 2025-26 budget proposal at Governor Shapiro’s Budget website and discover how the Administration is creating economic opportunity to build a stronger, more competitive economy for all Pennsylvanians.

For more information about the Department of Community and Economic Development, visit DCED website, and be sure to stay up-to-date with all of our agency news on Facebook, X, and LinkedIn.

MEDIA CONTACT:
Governor’s Press Office, ra-gvgovpress@pa.gov

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