Local communities may have the chance to decide if they want to expand their Keystone Opportunity Expansion Zones if Gov. Mark Schweiker signs a measure that cleared the state Legislature last week.

The measure allows for the expansion of existing KOEZs to include up to 6,500 acres. The bill also gives local governments the opportunity to again extend the life of the KOEZ benefits by three years, until 2013. Furthermore, counties and municipalities will have the opportunity to move currently designated KOEZ acreage to other areas within a sub-zone.

Counties and municipalities will be able to submit proposals for the KOEZ expansions and the adjustment of existing zones until June 1, 2003, with the new areas becoming effective on Jan. 1, 2004.

In all, the original Keystone Opportunity Zone and the KOEZ in Sharon, Hermitage, Farrell and Wheatland has about 1,200 acres. It stretches along the Broadway corridor and includes the former Westinghouse Electric Corp. plant on Sharpsville Avenue in Sharon. The defunct plant is being developed as a multi-tennant industrial park by Winner Development LLC.

It's too early to say if any of the local communities would be interested in expanding their KOEZ should Schweiker sign the bill, said Larry Reichard, executive director of Penn-Northwest Development Corp.

The measure could allow Grove City to reconsider creating a KOEZ at the 550,000 square-foot abandoned Cooper-Bessemer plant on Lincoln Avenue. While Grove City Area School District approved the KOEZ, Grove City Borough Council rejected the idea in a 5-to-4 vote more than two years ago.

"The opportunity is there for them to reconsider if they would like should Schweiker sign the bill,'' Reichard said

Companies setting up operations in a KOZ or KOEZ may receive various forms of regulatory relief as well as local and state tax abatements, credits, deductions and exemptions. Areas included in a KOZ or KOEZ receive other benefits, including lower interest rates and priority consideration for state assistance under state and community economic development and community building initiatives.