HARRISBURG — The Domtar Paper Co. of Johnsonburg is one of four local projects that have been selected to receive state funding from the State Redevelopment Assistance Capital Program (RACP), according to Sen. Joe Scarnati, R-Brockway.
Scarnati explained that RACP is a Commonwealth grant program administered by the Office of the Budget for the acquisition and construction of regional economic, cultural, civic, recreational, and historical improvement projects.
“Today’s approval of grants for these local projects will have a tremendous impact upon our region,” Scarnati said. “State investments in rural Pennsylvania are crucial to the future stability and success of our communities.”
Scarnati explained that in the 25th Senatorial District, projects were approved for Clearfield, Clinton and Elk counties.
In Elk County, Domtar of Johnsonburg will be receiving a $2 million grant. The grant will be used to assist the Johnsonburg mill with the conversion of two existing pulverized coal fired boilers to natural gas.
Earlier in the year, Domtar Corp agreed to spend $12 million over three years to improve processes, machine controls and efficiency at the Johnsonburg plant. Another $9 million will improve a Domtar paper-converting facility in DuBois, about 50 miles from Johnsonburg.
The Pennsylvania Commonwealth Financing Authority also approved a $1 million grant for a $4 million project to install a three-mile natural gas pipeline to the paper plant. The project was an effort from the Domtar Corp. to convert boilers to natural gas from coal and modernize equipment at the paper plant.
