Bethlehem Mayor Bob Donchez recently called Bethlehem the "jewel" of the Lehigh Valley. I agree, but what is the jewel of Bethlehem. Is it the Main Street shopping district? Its historic district? Its golf course and parks? I'd argue that it's none of these. What sets Bethlehem apart like no other community is the SteelStacks, made possible by the Sands Casino and visionary leaders like Jeff Parks, Mayors Don Cunningham and John Callahan and a man who is more content working behind the scenes, Tony Hanna. He is Bethlehem's former DCED Director and is currently the Executive Director of the City's redevelopment Authority. Take any one of these persons out of the equation, and all you'd have is a rusting hulk.
The Urban Land Institute recently published a case study on the SteelStacks success.
How was it funded?
There are three main sources.
The $93.5 million cost (it's not done) comes from PBS39 ($14 million), ArtsQuest ($26 million plus $8.5 million proposed for the Turn and Grind shop) and Bethlehem's Redevelopment Authority ($45 million). Tanks to revenue from the TIF at the Sands Casino, the Redevelopment Authority has made the following improvements: streets and related infrastructure ($8 million); Open Space like the amphitheater lawn and plazas ($7 million); Visitor Center ($6.5 million); Levitt pavilion ($7.5 million) and Hoover-Mason Trestle ($16 million).
Northampton County contributed $1 million in hotel taxes to PBS and ArtsQuest.
28 comments:
Great article Bernie. From what I have been told the RDA of Bethlehem has been very instrumental of the entire Southside project, even before Tony took over as Director. It is typical for the Musakfest Empire to claim credit for everything but in this case they are a part of the project but not the driving force. The city also played a part.
Having said that insiders have claimed that for years the RDA Board has worked hard to partner with the Sands and develop the area into what it is today. I don't know who serves on the Board but when we are generally angry with these governmental groups this group appears to be doing a very good job. Do you know what the RDA Board is payed? Who are they?
So its basically taxpayer funded. Might have been cheaper to bail out the steel.
How is this different from giving taxpayer money to the American Legion in Nazareth?
A lot. The Americasn Legion is a private club with a restricted membership, and for years, its main activity has been booze and gambling. ArtsQuest is a public nonprofit with the very public mission of promoting the arts. It allows anyone, including people from Nazareth. It has not been raided seven times for illegal gambling, and no members of its board oare members of any public body that appropriated money for it. It is a lot different.
This redevelopment of the Steel is great thing to behold. But let's not give the City of Bethlehem the credit. Look at the figures. The Steel spend money for the redevelopment plan, which was the right thing to do. The Sands coming in set all the actions in motion. Without the Sands Art'Quest would not come into the Plant. The museum was just sucking money to pay the salaries of the administrators who were doing nothing until the truth was finally revealed. The City of Bethlehem itself would put very little money into the redevelopment. The City of Bethlehem always has and always will beg for what they need and spend money on what they want. They backed out of 911, but now must bite the bullet and join the county.
Without all the outside money, the Steel redevelopment would have failed.
I did not give the Cty credit, but should have.I should have given Mayor Ken Smith some credit as well. ULI missed this, but the City borrowed $8 million and did the initial round if infrastucture improvements.
Increased business failures on Main St a concern, Empty storefronts abound.
You can send J.B. Reilly and Senator Browne a Thank You card.
It all happened due to the incompetent Bethlehem steel executives who drove the company into bankruptcy which made the land available!
Whatever happened to do-nothing Steve Donches? No lawsuit, no retribution, nothing? The youngest/still living old line Steel execs still have immunity in Bethlehem apparently.
This was one of the best decisions made in Bethlehem in my lifetime. The Steel Stacks campus will only continue to grow and flourish as we move forward. Mayor Callahan, Tony Hanna, and Jeff Parks were instrumental to this project. However, when you note it's funded by 3 main sources you fail to mention them. Bethlehem Area School District (over $4M per year)and the City and County at much smaller levels. This whole TIF arrangement almost completely blew up in 2010 when I was first on the board but thankfully cooler heads prevailed and we allowed the funding to continue to make this possible. The board has taken some flack over diverting tax dollars to the TIF while raising taxes, but it really has been money well spent.
Do you really need clarification on that?
I'have to say that I've tried to go to the "arena district" and stroll around . But it just doesn't do it for me. It feels forced and artificial. They are trying too hard IMO. Main Street in Bethlehem has an "organic" feel to it . There is nothing like having a walk on Main Street in late fall leading into the Christmas season. It's magical. I look forward to it every year
Keep "spending" money there Mike Faccinetto and soon you will have an entire generation of senior citizens taxed out of their homes of 40+ years...
I'm still trying to understand how a casino and expensive concerts benefit my 88-year old mother who struggles to live at home and keep her house. She's never been a burden to anyone. Yet, she's being forced to sell because her retirement income can't keep pace with taxes. We'll take her in, of course. But she neither wants nor should require to give up her independence and happiness because of taxes. All those "it's just a cup of coffee a day" taxes and fees add up to a lot over 88 years.
Never thought I'd say I'd rather have Johnnie Boy here rather than Donchez. But I'm saying it.
If Northampton County funded 1 mill then why is the city of Easton under distress and allowed to take peoples local taxes???
1:34, That's because the government does a terrible job of explaining where the casino revenue goes. Where does your mother live? I will try to do a story explaining the difference between life with and without a casino. Let me be clear that I am completely neutral on the topic of gambling. I have no strong opinion, but it's very clear to me that the casino has been beneficial.
Callahan was just smart enough to stay out of the way.
10:27 (Mike), No question that BASD has given up tax revenue, which went to Bethlehem Redevelopment to fund the Steelstacks. I should have been more clear.
"I'have to say that I've tried to go to the "arena district" and stroll around . But it just doesn't do it for me. It feels forced and artificial. They are trying too hard IMO. Main Street in Bethlehem has an "organic" feel to it . There is nothing like having a walk on Main Street in late fall leading into the Christmas season. It's magical. I look forward to it every year."
Very well said. My sentiments exactly.
"Where does your mother live? I will try to do a story explaining the difference between life with and without a casino."
Fair enough. Easton.
Ok. Give me about a week.
Artsquest doesn't need that TIFF money anymore so can the cord be cut so the district can begin to capture some of their rightful dollars to invest back into education?
2:02,
a lot of people would like to have JC back instead of donchez
Bernie, I believe that the RDA members serve as non-paid appointments and do not receive any pay. An earlier poster asked about that.
The American Legion is a private club with a restricted membership. Yes veterans!! they support many civic activities including but not limited to Legion Baseball, Explorer scouts, orator competitions, VA Hospitals, and the many veterans in need. A rotten apple in the barrel does not make the entire barrel bad. I do agree that they should not have applied for the gambling grant (the rotten apple in the barrel did the deed). Steel Stacks can serve booze to anyone of legal age who enters their building. they even serve in the movie theater. Music Fest income comes from sale of booze. Does that make anyone who frequents Steel Stacks a BOOZER? Steel Stacks is great for the resurgence of the south side of Bethlehem. Let's not try to compare Veteran Organization with government funded organizations.
Sorry, but public money should not be used to fund a private organization with a restricted membership that has been cited seven times in recent years for illegal gaming, and who has a bartender like Council member Larry Stoudt, who was charged with interfering with a PSP investigation. That grant application is a disgrace.
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