Last week, I made more than a few of you gag when I called Ron Angle Northampton County's Great Dissenter. He was the sole legislator to vote against a $175 million bond financing plan that will enable St. Luke's Hospital to sell tax exempt bonds to purchase and "improve" 500 acres of Bethlehem Township's fertile farmland. Only 300 acres is needed for health care services expansion. The remaining land might become a village, or it might just be held and flipped at some later date when the real estate market heats up. Using tax exempt bonds for property speculation or to develop a "towne centre" gives nonprofits like St. Luke's an unfair advantage over the private sector.One of you huffed, "[T]he true shame of Bernie O'Hare and Lehigh Valley Ramblings is that it continues to give credence to demogogues while dissing the elected leaders who are truly making a difference -- or, at least, trying, to make [a] difference in their communities."
I guess you better add The Express Times to that list. Today, it agreed with Angle. "What St. Luke's does with that land should be St. Luke's business but county taxpayers shouldn't be asked to support development plans that are undefined and thus have no provable connection to public interest. Angle is correct in saying the council should have balked at public financing for the additional land -- particularly a parcel at one of the choicest locations in the Valley."
Considering all the advertising revenue that St. Luke's contributes to local papers, this was a gutsy editorial.
24 comments:
Gutsy is right, major kudos to The Express Times and its management.
Can anyone imagine the MC doing something like this?
I didn't think so.
The MC editorial board claims there is a firewall between its opinions and those who get the ads. How then does it explain an editorial calling the state legislature mischievous for proposing that legal ads be placed on a state web site created speciffically for that purpose?
"The MC editorial board claims there is a firewall between its opinions and those who get the ads."
The MC Editorial Board claims a lot of things. Few are true. Like this claim, for example, from TMC's website:
"... the [Morning Call Editorial] board intends to be as open with readers as possible. It meets regularly -- a few times every week -- with people and groups about topics of public interest. The Lehigh Valley area is blessed to have public-spirited citizens who recognize that the newspaper is a corporate citizen that strives to be engaged in the debate on such issues, and that tries to offer leadership. The welcome mat always is out for those who want to be heard." -www.mcall.com
Here's another MC Editorial Board claim:
"The Morning Call strives in its editorial voice to be the indispensable source of opinion leadership and intelligent analysis in the Lehigh Valley region."
But here's the sad truth, as evidenced on Saturday's front page, lead story:
Rape suspect says penis cast would acquit him
Too big? Lawyer calls Landsdale man 'freak,' says girl's injuries don't match.
PENIS, Page A10
At issue here, should one get sidetracked by TMC's sensationalizing an alleged criminal defendant's allegedly freakishly large penis (what, no video?!) is the likely rape of a 13 year old girl.
the thing getting lost here is the "tax payer support" of the bonds. as a 501c3, St Lukes is allowed to do tax exempt financing. it may suck, but it's the law. by doing it thru the GPA, the County gets an issuance fee (or one might argue, at least some money for local tax payers). If NorCo didn't do it, there's a couple state agencies St Luke's could've used for the same "service".
so long as tax payer monies aren't on the line re the underwriting of these bonds (and near as i can tell, they aren't), then the issue of the GPA/NorCo becomes moot.
That leaves us free to discuss the bigger picture: what the hell is a not-for-profit doing acting as a land speculator?
i have researched the bond; the "project" is much more than acquiring the 280 acres. among other things it includes the construction of the new Riverside Campus with cancer center, improvements to the existing allentown and fountain hill facilities and also acquisition of a wellness center(Union Station) The Hospital has almost 6000 employees. without getting too detailed, the hospital provides the area's only cutting edge treatment program for several cancers. i hope none of you ever require this expertise, but if so, you may find the bond less objectionable.
I have no objection to the sale of tax exmpt bonds to finance any of the things you mention. Neither does the ET or, for that matter, Ron Angle. What is objectionable is the purchase and development of an extra 300 acres for a "village" or to flip at some later date.
bernie, how much are they paying for that additional acreage? i would guess it's the minor part of "project". the bond is for 175million, even at 100k an acre(unheard of high price for undeveloped land) the land would cost 30 million. i suspect it's considerably less. btw, the parcel is 280 acres. i respect angle and the times for their due diligence on behalf of the taxpayers, and as judge young says about lehigh valley hospital, there must be some in-kind service or limits on being tax free, but, at the end of the day we're better off with "successful" hospitals
Michael, Your questions, especially from someone who has researched the issue, reveal exactly why this vote is premature. Not enough details are known. Until a few weeks ago, we were talking about a 200 acre tract that St. Luke's already owns and all those good things you mention. Now we are talking about an additional 300 acres, and the hospital is vague about its intentions. It might build a medical school w/ housing for staff, might build a village along the lines of the Summit proposal or could even hold the land until the market heats up. The only thing you won't see there is farmland.
MM, $100k for undeveloped land isn't high at all. In fact, I'm aware of many transactions across the Lehigh Valley for far more. Of course, the key is what the land is zoned - that drives the price. If it's zoned commercial, $100k is way low for that location.
the price for the land is public information, (which i do not know how to access in northampton and i do not know the parcel info), but my point is; take the cost of the land, and compare it to the total bond of 175 million. i'm suggesting it's somewhat unfair to imply the bond is for land speculation when in fact only part of the bond is for land acquisition and the land may not be sold for profit, but used in some hospital related fashion. typically such land is continued to be farmed until developed, to keep saplings etc. from growing.
Bernie, was Angle entirely truthful before the DJ in Scissorhands case ?
anon 5:00, if your talking about 2 acres on a commercial strip it's not high, but if your talking about 280 acres on rt. 33 it would to very high. i know of no land transaction in the lehigh valley that cost 30 million dollars, do you?
Dispite the Homily to St. Angle, I think the paper used his comments more for effect. For years both papers have routinely used Angle when they needed him to go after a County Executive or other Council member they didn't agree with. He is either the folk hero or the fool, depending on the topic.
Angle is like the kid who after six guesses, gets the number between 1 and 10 you were thinking of right. He is so negative and always gripping eventually someone agrees with him. He is still the most disruptive force in government, a disingenuous, untrustworthy crook.
i know of no land transaction in the lehigh valley that cost 30 million dollars, do you?
Yes. this one. I've heard that the acquisition coist for this 300 acres is between $25MM and $28MM, and I've heard it from several sources.
I have no problems with selling tax exempt bonds for the medical campus on the 200 acres already owned. But we're talking another 300 acres and God knows what the hospital plans to do.
Angle's disruptions are vital in thwarting the totalitarian rule of the Central Committee.
He's a clown. But so are the irresponsible boobs who propose we pay $180,000 per parking space for the convenience of county employees. And so is the former council president who just loved the new, lavish chambers and really didn't care that they were delivered with breathtaking cost overruns - because he said they were, "nice."
I think the paper used his comments more for effect
If you're going to make an argument, you should at least try to be honest. For the past two years, both newspaper have seen things Angle's way nearly every time. Let's review. (1) Both papers lauded Angle for his role in pushing Stoffa's open space plan thru council over the objections of "faithless politicians" like Dertinger. (2) Angle's plan to keep two months of expenses in reserve was adopted by Stoffa and hailed as fiscally respopnsible. (3) When Council attempted to force Stoffa to spend $2MM more for an IT contract than was necessary, Angle's comments were featured prominently in both papers. The papers have disagreed with Angle over the health bureau, but as time passes, it appears he may be right about that, too.
Bernie, was Angle entirely truthful before the DJ in Scissorhands case ?
Much more so than you. His testimony was corroborated by four witnesses, including a police officers who merely read Scissorhand's blatant admissions right into the record.
MM, Anon 5:00 here - Bernie answered it, but I'd be curious about some of the land deals out in the Fogelsville area. It's a smaller deal, but I know the WaWa in Fogelsville was $250k / acre and that had to be 10+ years ago.
what the hell is a not-for-profit doing acting as a land speculator?
Good question.
SLHN has a history of putting its own financial well being ahead of that of the community. This is not a surprise to me at all.
To paraphrase Animal Farm, "Some non-profits are more equal than others."
anon, assuming bernie is correct about the price, only 1/7 of the bond is going for the land acquisition. how much land does a WaWa take, 2 acres? bernie was proven wrong today, the morning call took the same position!
MM, if the Morning Call says it, it is so - I humbly accept defeat!
Anyone who would put Tastykakes in my mailbox, I would call a friend and give my vote.
MM, Not enough detasil is knmown and that's why it was a mistake to let the hospital float tax exempt bonds.
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