Economic development in Kline Township got a boost Wednesday after Schuylkill County Commissioners approved a LERTA designation for a deteriorated area off the Mc­Adoo exit on Interstate 81.

The Hazleton Area School District and the Kline Township Board of Supervisors previously approved the Local Economic Revitalization Tax Assistance Program.

The act provides for a tax exemption for new construction and improvements on the property established in the district for 10 years.

Frank Zukas, president of the Schuylkill Economic Development Corporation, said existing taxes are still owed.

The reduction in assessment for each building and exemption of taxes upon occupancy for each building and continuing for 10 years is 100%.

Payment in lieu of taxes for all buildings shall be $888,500 paid to the county upon the issuance of a building permit.

“It’s an incentive for someone to make a major investment,” he said.

The area is 450 acres. A Texas-based company is the developer.

Four buildings totaling about 3.5 million square feet are possible.

The project would be built on speculation, he said.

“It’s still in the permitting process,” Zukas said.

If all buildings are constructed, it could amount to $350 million in construction, he said.

Commissioner George Halcovage Jr. asked about the success of LERTA at the Highridge Business Park, which lies in Foster, Cass and Butler townships.

Zukas said it generates $4.5 million in property taxes yearly.

“The program definitely has an advantage to it,” he said.