Dixie Cup TIF - Developer Nat Hyman Sez Dixie Can Be Developed With NO Government Assistance

I've told you why NorCo Exec Tara Zrinski supports a tax break to convert Wilson Borough's vacant Dixie Cup factory into 405 luxury apartments. I've shared arguments of three Council members who voted for the tax break (called a TIF) when it failed last year. Now I'll share the views of someone who actually knows what he's talking about.  Allentown developer Nat Hyman has done 40 projects similar to Dixie, and here's what he shared with NorCo Council.

I write you regarding the TIF you are considering giving to the developer of the Dixie Building in Wilson Township. Please keep in mind that a TIF is the MOST generous form of tax incentive, far more so than a LERTA ! There are a few fundamental facts I believe you should consider before giving this money to Skyline Investment Group:

1. This will do absolutely NOTHING to address the affordable housing crisis. This developer has repeatedly said that they will be spending $185,000,000 for 400 apartments. That is a staggering $462,500 per apartment !!!! Basic math tells you that the interest costs alone will be $2,500 per apartment / per month (without including any amortization and all of the other operating expenses). These numbers will require rents north of $6,000 per month just to break even…..hardly affordable ! And the fee in lieu of $1.2 million that they propose paying toward affordable housing is nothing. This would build 8 affordable apartments and, more importantly, they are paying you out of the $29 million you are giving to them ! They are paying you with your money !!

2. Some have tried to claim that this project will create many jobs.  The reality is that Dixie will create some construction jobs on a very short term basis. It seems to me that some people are pushing this TIF to curry favor with those construction unions. After that, there will be virtually no jobs created. Two or three full time people will be needed to run this apartment complex once it is built. This is not a project like Eli Lily which will create 1,000 good paying and long term jobs.

3. This “developer” has actually NEVER DEVELOPED ONE BUILDING. While they did list one project on their website called “The Louis” that they said they had developed, that was a lie.  When confronted with this lie, they removed the project from their website. In addition, they had listed 5 offices around the country all with the same phone number which is the principal’s cell phone number. Those offices have likewise now been removed from the website. Finally, their supposed office in NYC is simply a shared executive office where they use a community receptionist. Do you really want to give $29,000,000 in taxpayer dollars to someone who has never built anything and is clearly a scam?

4. Skyline is presently in DEFAULT of its purchase agreement of the Dixie property with Wilsonpark. To date, they have paid ZERO principal or interest on the $11.5 million purchase price. So you are considering giving money to a borrower who has shown their inability and/or unwillingness to honor its obligations. There is not a lender in the world who would loan money to a borrower with a history of not paying its debts.

5. As I said, Skyline has said that this Dixie project will cost $185,000,000. ANY lender loaning or granting money to a borrower would want to be 100% assured that the project will be fully funded. There is NO WAY you should consider giving Skyline the $29,000,000 unless and until they can prove they have a firm commitment for the other $156,000,000 to complete this project.

6. Having done 40 developments similar to the Dixie building, I can tell you , unequivocally, that this project can be done beautifully with absolutely no government assistance. It would seem to me that the $29,000,000 is better spent on Gracedale, budget deficits or a reduction in your constituents’ taxes.

Finally, a disclaimer …..despite what some have said, I have ABSOLUTELY NO vested interest in this project and nothing to gain or lose by your choosing to give or not give them this money. This building has been sold and the title transferred to Skyline Investment Group and nothing you do will change that. I will not own this building regardless of your decision. I am simply a taxpayer upset by seeing my tax dollars wasted and I do have a philosophical disagreement with the concept of giving taxpayers’ money to a private developer to build luxury apartments. That said, I come at this from a unique perspective as the Lehigh Valley’s largest developer of adaptive reuse projects ….I have done 40 projects virtually identical to Dixie and have never taken one dime of government money or any incentive. As an example, I am converting the former Crayola headquarters in Palmer Township (only 3 miles from Dixie) into 94 affordable apartments with absolutely no taxpayer money. This developer could do the same with Dixie and he has told Council that he can indeed build Dixie without this TIF!!! So why would you give it to him??!  

Ask yourselves, if I am correct and you give this untested “developer” $29,000,000 in tax payer dollars and, as I predict, the project is never completed, what legacy you will have created for this Council?

Dixie Cup TIF - Three Council Members Reiterate Support

A TIF tax break to convert Wilson Borough's vacant Dixie Cup factory into 405 luxury apartments was defeated in November in a close, 5-4 vote. Yesterday, I told you about Executive Tara Zrinski's fallacious ceteris paribus argument for the TIF.  Today, I'll shre the views of three of the Council members who voted Yes in November. - Ken Kraft, Kelly Keegan and Jeff Warren, All three reiterated their support at the April 16 public hearing.

Kraft, in his own inimical style, argued that we should take the $2 million up-front (legal) bribe being offered by the developer.  Here's what he said: "What kind of skin do we have in the game? Which is really minimal. But now we got a number on it. $2 million. They're giving it to us. So, our saying no to this project would be the most bonehead thing you could possibly do, because you're not losing anything. ... We're not even impacted anymore. I mean, we have no impact at all. You've given us the money up front, that, you know, I don't know, not a financial person, but supposedly we can leverage to loan more money at no percentage, you know, to do affordable housing somewhere. ... So we're not losing a dime."

He's right, too. It's not a dime.  It's a lot more. According to the TIF ordinance, which he really should read, the county is giving up $5.6 million in real estate tax revenue over the next 20 years. 

That seems pretty boneheaded.

Keegan played a math game. "All right, so Wilson Borough Council approved the TIF in 2024 and then again in 2025, and 9 members sit on the council. It was unanimous. Wilson Area School District approved the TIF. All 9 supported it. It was unanimous. They lived there in Wilson. They were elected officials for Wilson. My district is, uh, Wilson is part of my district as a district 2 commissioner. If 5 out of 9 of us on this board votes no, then out of 27 elected people, 81.4% support it, and if 5 of us vote no, 18.6 will not."

Although Keegan's math is correct, she misses the point. The TIF is authorized by the state Urban Redevelopment Law, which requires the approval of a majority of all three separate taxing districts impacted by the handout. These taxing bodies all serve different taxpayers. The representatives of taxpayers in Upper Mount Bethel Tp and Lower Saucon should have a say in decisions that give their money away. 

Finally, Warren had something to say, too. He said he "wasn't planning on speaking," which is code for "Get the NoDoz out." This time he did spare us from his argument that we should grant a TIF because his grandfather worked at Dixie.  Now he's likening government to mechanics, saying that a TIF is just a "tool in the toolbox." I'm a terrible mechanic myself, but even I know that you do not use an allen wrench to put air in a bicycle tire. And you don't kiss away $26 million in tax revenue to an inexperienced out-of-town developer who has admitted a few times that he doesn't really need the county's participation. 

Warren commended developer Brian Bartee, who he said has "truly given so much to the community by what he has done with that building already."

Say what? There are still gaping holes instead of windows. And what has government already done for Skyline's Bartee? Skyline has already been awarded $1,000,000 from an RACP application in 2024 and this year. It has received $163,257 from a DCED Multimodal Transportation Funding Grant and a $175,000 Greenways, Trails and Recreational Program grant. It is seeking even more grant money from PennDOT, DCED Mixed Use Housing Development, another DCED Greenways grant, another DCED multimodal transportation grant, and Pa Historic tax credits

It also wants $28.5 million in federal tax equity credits.

WaPo Picks Up on Inconvenient Truths About Congressional Wannabe Bob Brooks

Journalist Dan Merica, a co-anchor of the Early Brief at The Washington Post, has picked up on some of the more outrageous and Trumpesque social media posts that Pa. 07 Congressional candidate Bob Brooks  posted before he announced his candidacy for the Democratic nomination. Of course, before Brooks announced, he gave his Facebook page a good scrubbing. 

Although WaPo is kind enough to credit this blog for at least some of what I found, I got a lot of my material from Rich Wilkins' Apocalypse Vibes. He has a pretty good summary of his and my previous stories, which are now being picked up by more mainstream outlets after months of hesitation.

They didn't want to piss off Governor Josh Shapiro, who handpicked Brooks so he could get his hands on firefighter union campaign donations. 

I don't know about you, but I tend to resent it when a Governor or the DCCC powerbrokers attempt to inject themselves in a primary.

Let us make our own mistakes. 

Dixie Cup TIF - The Illogic of Zrinski's Logic

I have written numerous times about a special tax break known as a TIF for the redevelopment of the long vacant Dixie Cup factory, located in Wilson Borough, into 405 luxury apartments. At a time when many families are facing increased housing costs here in the Lehigh Valley, it seems like a sick joke. Northampton County rejected this boondoggle in November in a narrow, 5-4 vote. But three of those no votes are no longer on Council, so like the Terminator, pitchman Brian Bartee was back again before a new County Council on Thursday night to sweeten the deal with a little more sugar to make the medicine (or should I say poison?) go down. Instead of a scant $1.2 million in county coffers, he's now willing to offer $2 million up front if the county would agree to a tax break that allows him to float bonds for $26.4 million in construction costs for the nesting perches of our well-too-do betters. We'll get the money back in 20 years. What could possibly go wrong?

While running for office and after taking the helm as county exec, Tara Zrinski has stated she'd be no Lamont McClure 2.0. That may be true, but she certainly seems like at least a Lamont McClure 1.5. Instead of proposing to tax the rich, the owners and renters of luxury apartments, she wants to give them a tax break

She started off by warning everyone, "I'm going to say some pretty unpopular things." But it was sweet music to the ears of private equity and developers whose bottom line is and always has been, "What's in it for me?" It was honey on the lips of trade unions who want the temporary construction jobs. And those trade unions, by the way, have bankrolled Zrinski's political ambition. 

She acknowledged that she went on a tour of the site, and as she was perched on the roof or perhaps even the Dixie Cup with the raptors and vultures, she could see the state of disrepair of Wilson Borough homes. Some are in need of new roofs. Others need siding. That alone should have told her all she needed to know. This project will do nothing but create more disparity between the haves and the have nots. 

She argued that the developer is willing to make public improvements to the property that will spare the county the expense of doing so. That's a flat-out canard. She knows that the county has nothing to do with roads, power lines or sewer. Moreover, the developer has proposed these changes for his own benefit, to make the luxury apartments more attractive. In reality, his apartment is going to create an even bigger traffic nightmare along 25th Street. 

Her biggest and most illogical argument is that building 405 luxury apartments will ease the Lehigh Valley's housing shortage of 9,000 units. It will in fact exacerbate the problem.

Let me give you her argument, as she states it herself. "The Lehigh Valley Planning Commission says that we need 9000 units. That's not all affordable housing. There's a downward pressure that exists that is pushing people who can afford higher level into lower level. So while it doesn't intuitively make sense that if we put this higher priced apartment in, it makes sense if somebody who is occupying a $2,000 or $1,800 apartment or a $1,600 apartment, who could move into a $2,400 apartment, would be able to move because there's a place to go. Thus freeing up the other spaces. That is the logic here."

And that logic, as she puts it, is completely illogical. It assumes, and you know what happens when you assume, that the population remains constant. And that is belied by the very same Lehigh Valley Planning Commission, who notes we are adding 4,300 people every year, most from other states. So these luxury apartments will not be attracting affluent Lehigh Valley residents who will ditch a $1.600 a month apartment for one that rents at much higher rates for that cathedral ceiling. It will instead attract NY and NJ residents fleeing a higher cost of living there. It will make housing less affordable.

Take a look at nearby Easton, beautiful river town that is beginning to rival Frenchtown, Lambertville and New Hope. There are now several luxury apartments in what was once called Fishtown. Has that eased affordable housing there? The opposite has happened. It has attracted NY and NJ tenants who can commute or work from home. This in turn has made rentals there ridiculous. That problem is just made worse by giving a tax break for more luxury apartments even when a developer is willing to give you a pittance to ease your conscience at what you must know is wrong. 

And what about nearby landlords like the Wilson Borough landlord who gobbles up properties at tax and sheriff's sales and then rents them out? They are delighted and one of them actually appeared at the TIF hearing in November. They can now demand even higher rents. 

The only real way to ease the housing crisis is by encouraging more smart development that includes tiny homes, a reduction in minimum lot sizes and setbacks, an ease in tariffs on construction materials, accessory dwellings and more mixed-use development. County government has no say in any of these things.

As government screw-ups go, this would be the biggest one since the swaption debacle. And to make things worse, I have serious doubts that this great developer that Zrinski touted, will ever complete the project. More about that tomorrow, 

PoliticsPa Posts, Deletes, Then Reposts Negative Story About Pa. 7 Congressional Candidate Bob Brooks

PoliticsPa yesterday posted, then deleted, then reposted a negative story about Pa. 7 Congressional candidate Bob Brooks yesterday.  The story, entitled "Questions Beginning to Arise Around Brooks Campaign in PA-07," was deleted shortly after publication. Then it reappeared, with the explanation that it had been deleted to give both Brooks and the DCCC time to respond. 

I suspect power brokers in Harrisburg and DC were applying pressure because this happened at another new outlet yesterday

The story suggests that Brooks had a "difficult evening" during a recent debate at Cedar Crest. It was apparently so bad that the DCCC told debate organizers that they did not want the public to see a video of his performance. The account also cites several MAGA social media memes that Brooks posted on his Facebook page. It cites the $130,000 judgment his mother-in-law obtained as well as a new lawsuit claiming shenanigans in the transfer of real estate from his name to make him judgment proof. Finally, it notes his recent refusal to sit down with Lehigh Valley News for a one-on-one interview after agreeing to do so.  

Interestingly, another news outlet, WFMZ-TV69, posted and then quickly deleted a negative story about Brooks yesterday as well. This one, entitled "Congressional candidate Bob Brooks faces lawsuit over property dispute and unpaid loan debt," can still be found on a google search engine. But when you click on the link, the story went Poof! 

It's pretty clear to me that our fearless news sources are unwilling to serve the public interest when pressured by the powerful. 

This is all very shady ... just like Brooks. 

Zrinski Proposes "Continuum of Care" Director at Gracedale

At a Council committee hearing on Wednesday, Exec Tara Zrinski began the process of outlining her vision for the transformation of Gracedale into a nursing home that includes more county employees, fewer agency nurses and is fiscally more healthy. Strangely, she's starting at the top. 

She emphasized that Gracedale is one of the county’s largest and most significant assets, consisting of 688 certified beds. Its budget requires a census of 525 residents to break even, But curerently, and despite claims made several times by Administrator Michelle Mortin that this would improve, current occupancy is only 484–492. It has actually decreased.  Despite this impending financial loss, she describes the home as an essential safety-net facility. 

She told Council that Gracedale is currently operating under a fragmented leadership model. The Director of Human Services is responsible not only for Gracedale but also for multiple other departments, limiting the ability to provide focused, strategic oversight. According to Zrinski, this results in slower decision-making, reduced accountability, and insufficient long-term planning for a facility of this size and complexity.

To address this gap, she proposes the creation of a new leadership structure consisting of a Director of Continuum of Care and a Deputy Director. The Director would operate at a strategic level, overseeing long-term planning, financial sustainability, capital needs, and coordination with county leadership and external partners. The Deputy Director would focus more directly on financial oversight, reimbursement optimization, relationship-building, and implementation of strategic initiatives.

Zrinski stressed that these roles would not replace or duplicate the responsibilities of the nursing home administrator or existing staff. Instead, the administrator and assistant administrator would remain focused on daily operations, staffing, compliance, and resident care, while the new leadership positions would address higher-level strategic and financial challenges. She argued that this separation is necessary to improve both operational effectiveness and long-term outcomes.

She also outlined several anticipated benefits of the proposal. These include reducing reliance on agency staffing by an estimated 10 to 20 percent, improving financial performance through better Medicaid reimbursement capture and advocacy, increasing access to grants and partnerships, and enabling long-term modernization of the facility. She described this restructuring as the first step in a broader vision to transform Gracedale into a more comprehensive continuum of care, potentially expanding services to better meet the needs of a changing and more medically complex population.

In response to Councilman Dave Holland’s questions, Zrinski confirmed that the new leadership roles would play a direct role in reducing agency staffing costs by focusing on recruitment strategies, building partnerships with other facilities, and dedicating time to workforce development efforts that current leadership cannot fully pursue. She emphasized that these efforts require sustained attention and relationship-building, which is not feasible under the current structure.

Holland noted that this might be nothing more than a duplication of what already exists, but Zrinski insists that the proposed positions are fundamentally different in scope, focusing on strategic planning, financial oversight, and system-wide coordination rather than day-to-day operations. She further explained that nursing home finance is highly specialized, particularly given the county’s heavy reliance on Medicaid and the long delays in reimbursement, and that current staffing does not provide sufficient capacity to manage these complexities effectively.

Zrinski reiterated that the proposed structure is just the beginning of a larger transformation. She emphasized the need for leadership capacity to pursue external partnerships, advocate at the state level, improve reimbursement processes, and even rebuild philanthropic support, which she noted has declined over time. She argued that without this level of focused leadership, the county risks continued financial losses and the potential erosion of a critical public asset.

According to Zrinski, Cedarbrook has a similar Director. 

Whistlin' Dixie in Wilson Borough: "I'll Give You $2 Million for $20 Million"

At last night's NorCo Council meeting, a TIF for the Dixie Cup factory building in Wilson Borough was once again on the agenda. A state-required public hearing was conducted on the proposal to provide a tax break to a non-local developer with no experience to convert a vacant factory into 405 luxury apartments. A vote is scheduled for May 7.  

This break is supported by Council members Ken Kraft, Kelly Keegan and Jeff Warren. Executive Tara Zrinski also offered her support.  To sweeten the pot, developer Brian Bartee has suggested he's willing to give the county $2 million in exchange for $20-29 million.

Makes perfect sense, doesn't it?

I'll have a complete summary of the lengthy public hearing available early next week.  

NorCo Council Member Discloses Possible Conflict With Wife's Appointment as Deputy Controller

At last night's meeting of NorCo Council, member Jason Boulette disclosed that his wife Vanessa has taken on a new role as NorCo's Deputy Controller.  A Villanova graduate (and member of the Big Easy Easton Jazz Band), she had been employed for 16 years by BNY, a financial services firm. Boulette said he'd recuse himself from all matters involving the Controller's office, which is an independent arm of county government. I appreciate his transparency and disclosure. 

Former Congress Member Susan Wild Blasts Brooks Over His Refusal to Have a Sit Down With Lehigh Valley News

Recently, Lehigh Valley News conducted a series of one-on-one interviews with three of the four candidates seeking the Democratic nomination to Pa.'s 7th Congressional District. Ryan Crossell, Lamont McClure and Carol Obando-Derstine all participated. A fourth candidate, Bob Brooks, declined. I believe this is likely because he's ill-informed and is unwilling to answer uncomfortable questions about his fleecing of a family member, his refusal to pay an outstanding $130,000 judgment (first reported here) as well as his possible involvement in an alleged fraudulent scheme to convey real estate to his current wife to avoid paying off that judgment (first reported here).

This has the Lehigh Valley's former member of Congress, Susan Wild, who now is calling herself Suzy Ellis for some strange reason, really ticked off. Here's what she said on Facebook: "Bob Brooks decided to just not show up, and I have it on good authority that he ghosted Tom at the last minute. This is disqualifying, IMHO. One, the voters deserve every bit of information that they can get on these candidates. Two, who does Bob Brooks think he is? This smacks of ENTITLEMENT. Third, and just as important in my view, DON’T DISS JOURNALISTS. We in the Lehigh Valley are fortunate that LVNews stepped up and filled a void in news for us. I’m appalled by this behavior."

While I'd hardly rely on Wild or her identity politics, even a broken clock is right twice a day. Brooks would have to answer questions, not only about that judgment and his attempts to dodge it, but would need to explain his questionable financial disclosure. He'd need to explain some of his bizarre social media posts claiming that Obama "sucks" and supporting positions normally associated with MAGAs. He'd also have to explain why he was raising money for Lamont McClure before stabbing him in the back and running himself. 

As I've noted before, he's shady. 

Taiba Sultana Will Run For Easton Mayor

In November, NorCo President Judge Craig Dally tossed a defamation lawsuit brought by Taiba Sultana against PA CITIZENS PAC, a political action committee formed by immigration attorney Ray Lahoud. The lawsuit was filed in response to campaign signs that called her "CRAZY CHAOTIC CRIMINAL." The court also rejected defamation claims based on Facebooks statements that called her antisemitic and a "complete nutcase," among other things. She appealed but has apparently been too busy shooting Facebook videos to file a brief. In a one-sentence ruling, the Pennsylvania Superior Court rejected her appeal on April 10. 

On April Fool's Day, Commonwealth Court Judge Anne Covey rejected Taiba Sultana's nomination petition for the Pa. State Senate because, though she claimed to be self-employed, she never bothered to state precisely how she was self-employed. As Judge Covey reasoned, allowing her to get away with such a bald assertion would mean that other candidates could simply claim they are employed, without saying where or how. She appealed, but shooting all those Facebook videos must have really taken its toll. The Supreme Court, on April 9, rejected her appeal. They did give her three sentences. 

So what does this mean? Next year, her political vanity and self-importance will induce her to run for Easton Mayor ... again. This time she'll propose opening an embassy in Iran. 

Politics PA: Independents Are on the Rise

PoliticsPA reports that independent voters are on the rise. Of the 67,000 residents who registered to vote since September, 70% of them chose no political affiliation. This is in no doubt due to disenchantment with both political parties. I'd be registered independent myself if I could vote in primaries. 

In the Pa. 7th Congressional district, 3,300 new voters are independents. Democrats have picked up 1,431, while Republicans only attracted 849. Independents currently make up 16.91% of the district's total voters. 

This increase in the number of independent voters is precisely why they should be included in local election boards, as Lehigh County has proposed.