Yesterday and last week, I told you about Bethlehem's plan to use eminent domain to seize a parking lot owned by St. John's Windish Church after it had failed to acquire it through the bidding process. Mayor Williw Reynolds wants to use the parking lot on E 4th Street for affordable housing. Without question, the City has an affordable housing problem. But that is due almost entirely to the constant tax increases (five of the past six years) , which are passed on to tenants by landlords. Moreover, its most recent $79.8 million budget will only exacerbate the problem.
Thanks to the American Rescue Plan Act, no municipality should need to shackle its homeowners and small businesses with a property tax increase. Bethlehem received $34.4 million, and has spent $7.2 million going into 2023. It plans to spend another $18 million for fire engines and road repairs, which should lower the property tax burden. This Act specifically authorizes the use of federal funds for revenue replacement. But the City is instead flushing $7 million down the toilet. It has set aside $7 million for affordable housing and a homeless initiative in this year's budget (page 179). That's nearly 10% of the budget to just throw money at a problem with no real game plan.
So far, the City's approach has been to coax developers to set aside a small proportion of each development for affordable housing. This is a self-defeating plan that actually keeps housing unaffordable.
The City has numerous vacant properties, and could ask the state to authorize a vacancy tax on absentee landlords. Filling these properties with tenants would lower taxes.
The City has made no moves toward a zoning overlay that would permit the development of tiny houses or even a tiny house development like the one in Elizabethtown. Think about it! On a one acre tract (yes, the City does have a few that size and larger), A tiny home development could be built for rent or sale with densely packed homes connected by walking paths (not roads), solar roofs, raised gardens and a covered parking area. Some of them could actually be carbon negative and enable homeowners to collect money from utility companies instead of paying.
Bethlehem could also spend up to $10 million (perhaps more) for revenue replacement, It might even be able to reduce taxes the way Northampton County did last year. This would keep most rents stable.
Instead, the City is employing a Darth Vader tactic. According to Realtor Lucy Lennon, Mayor Reynolds scared off potential bidders with not-so-subtle reminders about city cooperation in other developments. Such a threat, if proven, is considered official oppression. Given what happened in Allentown, Willie Reynolds should drop the bully approach.
"Willie Reynolds should drop the bully approach."
ReplyDeleteWhy? You support the McClure bully approach. You think it makes him a strong leader. He makes Reynolds look like an amateur.
Left Bethlehem over 25 years ago. The mismanagement began with Cunningham. The bully tactics were initiated with Callahan and then dictator Donchez had his reign. All along, the part time teacher sat on the steps of the tax and spend, ignore the citizens alter awaiting his GOD given right to rule.
ReplyDeleteBut we can't totally blame the democratic demons. Part of the problem is the "D" button pushing sheep who keep reelecting the same masters. They occasionally complain but rarely take a real stand.
Then you have the lack of any or very little media coverage of these shenanigans.
Bethlehem used to be a beautiful place to live. It still can be if the citizens wake up. Or they can just continue to toe the line, pay their taxes and the "user fees" and await their next boogieman. While the second-floor laughs.
“Bethlehem used to be a beautiful place to live. It still can be if the citizens wake up.”
DeleteBut every time we try to wake up, you accuse us of being “woke”…
I’m confused.
" You support the McClure bully approach. You think it makes him a strong leader. He makes Reynolds look like an amateur."
ReplyDeleteI have never supported McClure when he acts like a bully, but can only think of one instance of it during his 1 1/2 terms as Exec. That is when he interrupted a council meeting and I was highly critical, although I'm unsure I'd call it bully behavior. Please provide me with specific examples of him being a bully. I hear him called that, but don't think being tough while negotiating a contract is what makes one a bully. I don't think l exercise of the veto power makes one a bully. If he pushed workers around and there was actually any proof that he engages in retaliatory tactics, I'd call him a bully. I do think he suffers at times from executivitis, but he is no bully. He is the boss, and employees never like the boss until he's gone. Then they suddenly like him.
In Willie's case, I do have accusations that he has engaged in official oppression. Threatening developers that there will be adverse consequences if they bid on a project is a crime. Perhaps he did not mean it that way, but it should be investigated. That is demonstrable bully behavior. He can say he wants the property. He can exercise eminent domain. He cannot warn off potential bidders or a Realtor who is ethically required to get the highest price for the property.
D mayors who reject gentrification and the cleansing it accomplishes, do so at the risk of deepening established ghettos. It's a pesky conflict for progressives. Knowing that a rising tide might not lift all boats, those boats should be corralled into manageable spaces (e.g Easton's dangerous West Ward) in an effort to protect new, higher property values and assessments. Affordable housing may be provided, but only under the city's terms. No freelancers allowed. Just ask Nat Hyman.
ReplyDelete"In Willie's case, I do have accusations that he has engaged in official oppression. Threatening developers that there will be adverse consequences if they bid on a project is a crime."
ReplyDeleteIt was not only Willie threatening developers, but his DCED staff was too, including Collins and Karner.
Seems like they're in competition with the SQUAD.
DeleteDo we know who this purchaser is? This seems like a Lehigh University thing and Lucy is upset that she may lose out on a large commission. I don’t believe her when I hear “she cares about the Churches,” I believe this is monetarily driven. It’s well known that Lehigh has been bullying around the South Side for awhile.
ReplyDeleteThat said, the Major should absolutely not be scaring off potential buyers with threats of cooperation (or lack there of) in the future. I feel like details are still coming out about this.
"Do we know who this purchaser is? This seems like a Lehigh University thing and Lucy is upset that she may lose out on a large commission. I don’t believe her when I hear “she cares about the Churches,” I believe this is monetarily driven."
ReplyDeleteOf course this is monetarily driven. Lucy certainly cares about her commission. This is still a capitalist country. If Bethlehem wanted the property, it could have bid more for it. If Bethlehem were the high bidder, no one would have any reason to complain. Bethlehem was made aware that the churches are in a financial crisis. What this is really about is the (1) abuse of power by te government (I don't care what Lehigh does bc it is not the government); and (2) throwing money at a legitimate problem (affordable housing) with no real plan to address it.
Read some of the summaries of the meetings from the Church on their website.
ReplyDeletehttps://www.upgbethlehem.org/general-8
Reynolds was rebuffed by the churches before the properties went on the market. He made a presentation to them. I've heard the Churches turned it down because Reynolds only wanted one church and the land. The churches believed packaging the churches together for sale would be the best way to sell them all. The one church is on Easton Ave, and it was believed would not have interest from buyers by itself.
And yes, Lehigh made a higher offer than the City.
The problem with affordable housing it's not affordable for a developer to build discount housing. Sticks and bricks aren't any cheaper because the housing is going to affordable housing. Taxes don't go down. Sitework costs don't go down. The only way for a developer to make money is to have grants come in to offset the development costs. To do that, you have to partner with the government and adhere to a bureaucratic nightmare of rules and regulations.
ReplyDelete11:44 - too bad the voters are not as smart as the churches
ReplyDeleteThe Lehigh should get it. Seems simple to me. Build affordable housing in the empty industrial parks
ReplyDeleteMr. Grubb would have had this nailed down. I voted for him.
ReplyDeleteAffordable housing & housing shelter should be built on the east side of 412 across from the Industrial park & new hotel.
ReplyDeleteWhy have they not looking at using the old Boys & Girls Club or Bethlehem Catholic buildings for their homeless shelter.
Not pretty enough for him
DeleteThe boys and girls club and Bethlehem Catholic are both already owned by developers. They submitted plans over a year ago on both site.
DeleteI’m telling you , you have to have rules . The N.J. And N.Y. People will take advantage of our local tax dollars in a N.Y. Second. These appropriated properties should ONLY GO to families that have been here for 30 years or MORE. .
ReplyDeleteAgree with Peter as Bethlehem shelter should be for Bethlehem longtime residents only.
ReplyDeleteAgree that only Bethlehem longtime residents qualify for subsidy.
ReplyDeleteUpdate here Bernie, the city is offering to match Lehigh. Lucy Lennon is for Lucy Lennon period. Always has been. https://www.lehighvalleylive.com/bethlehem/2023/01/bethlehem-neighbors-plead-for-affordable-housing-not-dorms-at-to-be-sold-churches.html?outputType=amp
ReplyDeleteThe members of all three churches are are truly saddened by the approach the city of Bethlehem has taken five days before Christmas. They have tarnished the meaning of Bethlehem Pa. Being the USA Christmas City. St John's Lutheran Windish Church has been a pillar in Bethlehem for over a hundred years and now to be deceived by the city during this holiday season. Henceforth, please fellow citizens of Bethlehem rally together to support the members of all three churches to settle this unjust, unfair situation
ReplyDeleteCity is heavy handed in their approach & then gets some citizens to champion their cause at Council.
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