Only three members of Bethlehem City Council (Colleen Laird, Bryan Callahan and Hillary Kwiatek) bothered to show up for its June 16 meeting. This resulted in a lack of a quorum, and the result of this is that no business could be conducted.
Public comment was still received for nearly an hour.
On Friday, I told you that Zach Cole-Borghi, an elected Lehigh County Commissioner and Bethlehem City's Right to Know Officer, had been arrested at City Hall on Thursday on drug-related charges. Quite obviously, when a public official is accused of criminal activity, the public should know Solicitor. But Stephane Steward, Bethlehem's City Council Solicitor, would prefer to keep you in the dark. She has instructed Council members that if they receive any inquiries, they are to respond with "no comment."
I would like to know the basis for this "legal" advice. She does not represent Cole-Borghi. She does not even represent Bethlehem. She represents City Council. Individually, they have as much right as you or I do to slam or defend Cole-Borgi, who worked for the City and not for them.
What I suspect is that Council President Michael Colon, who is afraid of his own shadow and has the backbone of a jellyfish, wants to circle the wagons and Steward has dutifully attempted to muzzle them.
Here's her email.
Hello Council members,
I just read of the arrest of Zach Cole-Borghi on the WFMZ website, and I wanted to reach out to offer guidance and to answer any questions you may have regarding comments by Council members. Insofar as Bryan and Grace were contacted and offered the limited comments that they did in the article I read, brief and general comments like theirs, acknowledging the arrest or calling it unfortunate, are fine. That said, if any of you are contacted further, I recommend that if you respond, you do so with 'no comment'. This is the best course of action when faced with a pending criminal matter. My guidance is the same regardless of the forum and would extend to Council meetings and any other opportunities or requests for comment.
I hope you all have an enjoyable Labor Day weekend, and I look forward to seeing you Tuesday evening.
Thank you,
Stephanie
Bethlehem has two Mayoral candidates seeking the Democratic nomination - incumbent Mayor Willie Reynolds and Council member Grace Crampsie Smith. No Republican has declared, and it's unlikely that either candidate is seeking a write-in nomination from Republicans the way Ed Zucal is doing in Allentown. Both are staunch Democrats, and both made that clear during their debate. So who is backing these candidates? Both filed timely finance reports on Friday.
Willie reports a warchest of $123,379.80, including $29,905 raised between the beginning of the year and May 4. He started the year with $93,384.80 as he obviously was preparing for his re-election. Thus, to give you a better understanding of his supporters, it's necessary to also examine his annual report for 2024. (see report here).
The small donations. - Looking at both reports combined, you can see that his smaller donations ($250 or less) amount to $11,740, about 10% of the total he raised from 1/1/24 to 5/4/25. Of these 71 smaller donations, 63 come from Bethlehem residents, which demonstrates that he has grass roots support. These donations, incidentally, include a $200 donation from Amy Cozze, who is now running for NorCo Exec.
The PACs. - His donations from political action committees (PACs) amount to a whopping $26,300 over 2024 and the first four months of this year. The largest, by far, is the $15,500 Reynolds received from the Lehigh Valley Association of Realtors, which has also endorsed Reynolds with this reasoning:
As REALTORS®, it is important to recommend candidates who support private property rights and issues important to the real estate industry. There is a growing list of candidates in this election who are pushing for radical housing policies, like increasing the deed/real estate transfer tax, rent control, rent stabilization, and mandatory annual landlord training programs. Local elections have a huge impact on our industry, and we are excited to support candidates we believe will help infuse common sense into our local governments.
The reference to "common sense," incidentally, is a term that Trump administrators and acolytes regularly use.
Reynold also received donations from KTMC, a teacher's PAC ($5,000); the Eric Evans PAC (Evans is employed by Reynolds - $500); the Lisa Boscola PAC (Her husband is employed by Reynolds - $500); former Mayor Bob Donchez ($2,500); and Moving Pa Forward ($500).
The Big Spenders. - In 2024 and the first four months of this year, Willie accumulated $84,600 in donations from what I call the big spenders, i.e. those who give for than $250.
There's a tie for the biggest of these donations. Richard Masters, whose company manufactures picture frames and home decor, donated $5,000. He has been a reliable Democratic contributor. Matthew Bieber, a software consultant, also gave $5000. The remaining contributors of $1,000 or more are Randy Galliostto (owner of Alloy5 architectural firm - $4,500); Jack and Marian Spirk - $3,000 (Spirk is City Solicitor); Murat Guzal - $2,500 (Turkish businessman who is both a philanthropist and Democratic donor); Jim Broughal - $2,000 (Bethlehem lawyer specializing in municipal law); luxury apartment builder Plamenta Ayazou - $2,000 (Monocacy Builders); Diana Morganelli - $2,500 (Judge Morganelli's wife); King Spry - $1,500 (Bethlehem law firm); Borko Milosev - $1,000 (property manager); Kevin Kinross - $1,000 (Democratic strategist and business leader from Pittsburgh); Charles Marcon - $1,000 (construction); Placido Corpora - $1,000 (Bethlehem businessman); Steve Thompson - $1,000 (principal of minority owned Delane Consulting; and Ari Frazil - $1,000 (an engineer) .
Reynolds also lent $45,000 to his campaign in 2024 but has since paid back $40,000.
The small donations. - Looking at both reports combined, you can see that $11,480 of 80 donations of $250 or less amount to about 17% of the total of $66,530 raised. Of these small donations, 50 come from Bethlehem residents. So like Willie, she has grass roots support. Just not as much. These small donations, incidentally, include $75 from Kelly Keegan and $150 from Greg Zebrowski, the Polish Prince. Both are Zrinski supporters.
The PACs. - Grace relied heavily on PAC contributions. They make up $37,850 (56%) of the $67,160 she raised in 2024 and the first four months of this year. These are mostly from trade unions, with IUOE (Jim Reilly) donating a whopping $20,000 to her Mayoral quest. Other trade union contributions include IBEW ($11,000), Plumbers ($2,500), IUPAT ($2,500) and Laborers' Local ($1,000).
That's a lot of trade union support. This could be because she championed a responsible contractor ordinance for city-owned projects. This ultimately failed because city administrators argued it would increase costs for the city. My brother, an evil Republican who picks his nose and eats it, was highly critical of Grace's "silly argument" in a letter to the editor:
Just because the proposed ordinance doesn’t have the word “union” does not mean that it is not biased toward unions, which it clearly is. At a recent Bethlehem council hearing, over 30, mostly out-of-town union workers attended to support the ordinance.
The Big Spenders. - Her biggest contributor is Rocco Damato, who gave her $5,000. A NYC transplant, he roasts nuts here in the Lehigh Valley, but not the human nuts. Other $1000-plus donors include commercial lawyer Donald Kaas ($2,000); former congressional candidate Ed O'Brien ($1,500); Frank Boyer, senior VP at Dugan and Marcom construction ($1,000); Kelly Ronalds of Hotel Bethlehem ($1,000); and consultant John Blankstein ($1,500).
Blogger's Note: I spent most of the day yesterday preparing this story. But as I said in my post concerning the NorCo Exec candidates, I welcome your own analysis. You may see things I have totally missed and that the public needs to know. But I'd appreciate it if you could avoid just making the usual attacks and actually point out what you like or dislike in a campaign finance report.
Previously, I told you about negative mailers aimed at Bethlehem City Council candidate Hillary Kwiatek Bethlehem Mayor Willie Reynolds. They were paid for by Pa. Local Leaders Fund. My friend Jeff Ward, publisher of Lehigh Valley News Briefs, did a little digging and learned that this PAC was formed on April 22 by immigration lawyer Ray Lahoud. OK, but who paid for the mailers?
Thanks to the pre-primary report filed by Pa Local Leaders Fund with the Department of State, we know. Between April 1 and May 4, this PAC received $35,400 from the following:
Ray Lahoud - $25,000
City Councilman Bryan Callahan - $7,000 (both personally and from his campaign fund)
John McGeehan - $400 (a former Green Beret)
Bruce Haines - $3,000 (principal of Hotel Bethlehem).
This PAC spent $12,575.00 for one mailer against Reynolds and another against Kwiatek. It still has $22,825 for more.
On Facebook, Kwiatek addressed the mailer and Callahan: "Look. I don’t know why he’s obsessed with me. I don’t know what he’s trying to accomplish by combing through my Instagram account and sharing with Democratic voters that I'm grateful for everything I have in this world, including the occasional delicious latte. (The half dozen coffee houses I can walk to in Bethlehem suggest this is not exactly an out of touch activity, btw).
Callahan responded. "For all of you that know me well ... i speak up when I see something wrong. I got this in the mail today from a PAC that supports good moderate Democratic candidates. I checked the council voting records and It's factual ....in only her first term on council, she did vote to raise your taxes , she voted to raise her own city councils salary, she voted to sell Historic Bethlehem land to a developer to build high end rental units, she voted to sell retired police officers handguns to a gun dealer rather than to the retired police officer for the same price, she first recused herself from a vote to give her employer grant money because she felt she had a conflict of interest ... then get this .... when she realized there weren't enough votes to pass the grant money to her employer.... she then reversed her recusal and was the deciding vote to give her employer the money. To top it all off , she then voted against the City of Bethlehem's July 4th fireworks which is a long standing tradition that our families and kids love to attend!!! Wrong for Bethlehem !!! If you feel like sharing SHARING to others .... please do ! Voters need to know !"
During political campaigns, politicians love to brag about endorsements from ... other politicians. Frankly, endorsements from former Senator Bob Casey or Exec Lamont McClure mean next to nothing to me. But there are two kinds of endorsements that mean a lot to me in urban races. These are the ones made by local FOPs and firefighters. These men and women put their lives on the line every day for people they don't know. They keep our cities safe.
With that in mind, you should know that Bethlehem's FOP, its rank-and-file police officers, has voted to endorse Willie Reynolds for re-election as Bethlehem's Mayor.
When Easton Mayor Sal Panto first ran for office, his mantra was "clean and safe." To this day, that is still his mantra. If a city is clean and safe, people will want to live, work and play there.
You can talk about affordable housing. You can preach about economic development and offer all kinds of public candy (tax breaks) to developers. But the one thing that works is keeping a city clean and safe.
I am running for re-election because we have made incredible progress as a city but there is more work to do. I am proud that we have kept our promises over the past four years. I encourage you to check out our city’s work at https://www.jwilliamreynolds.org/accomplishments. Over the next four years, we are looking to focus on
Working to increase housing attainability and affordability within Bethlehem and the Lehigh Valley
Completing our city’s first equity plan
Implementing Bethlehem’s Parks and Recreation Master Plan
Building a South Bethlehem Community Center
Making streets safer by executing major roadway improvements and implementing a Complete Streets and bike infrastructure strategy
Continuing to implement and execute Bethlehem’s climate action plan
Continuing to build cooperative strategies with the Bethlehem Area School District
Thank you for consideration of my re‐election candidacy. Please feel free to ask any additional questions that may arise at jwilliam@jwilliamreynolds.org. Thank you, J. William Reynolds
Blogger's Note: This is what Grace Crampsie Smith, a member of Bethlehem City Council, told Lehigh Valley For All:
I am running for Mayor of Bethlehem because I believe service to others and our community is truly what life is all about! My parents instilled in my 6 siblings and I the vital importance of civic duty and responsibility to others. Resultantly, all my siblings and I have been politically and civically active, and I devoted the last 40 plus years of my life to serving others.
Having grown up in poverty, and as a free lunch student, I know first hand the challenges many in our community face, and feel more than qualified and prepared to assure government funds are earmarked appropriately to help those in need!
Having worked in county government, I have the experience in supervising staff, budget management, and operations efficiency.
I am also running for mayor because several individuals and entities have asked me to run because they believe that based upon my performance as a council member, I will be a mayor that is needed in Bethlehem.
Finally, I am running for mayor because I want the community I’ve called home and where I raised my children to be the best it can be, and I have concerns about the imbalance in growth and disregard for preserving our rich history and neighborhoods in our great city.
My priorities as mayor are accessibility, transparency, accountability, collaboration, and efficiency.
I will be an accessible mayor, a mayor for all! For without input from those you serve, how can you ever know what the priorities truly need to be? I will have set times for community members to come and meet with me in city hall, and always welcome community interaction. I will assure residents can access the proper department/person within city hall as needed.
I will be transparent as a mayor in that I will be forthright and clear on projects and intentions.
Accountability to my community and fiscal accountability will be prioritized.
When issues are brought forth at council meetings by community members, I will assure someone from the city responds to them that night or the next day.
I will ensure no tax dollars are wasted at City Hall and institute essential policies and procedures, and ensure they are followed. I will restructure City Hall’s organizational structure to ensure efficiency, collaboration, and communication.
Rather than spend excessive tax dollars on outside consultants, I will collaborate and tap into the expertise of those within the community as appropriate.
Finally, I will ensure we prioritize and preserve that which makes Bethlehem special, while balancing progress with smart, socially responsible development.
BETHLEHEM, PA – J. William Reynolds has announced that he will be seeking re-election to another term as Mayor of Bethlehem. “Four years ago, I laid out a vision for our city’s future as I announced I was kicking off a campaign to earn your support to be our next Mayor. You placed your faith in that vision, and I am so grateful and proud of all that we have accomplished as a city since that day. I am humbly asking the people of Bethlehem for their support for a second term to continue the important progress we have made in creating an even more thriving, vibrant city – where neighborhoods are safe and filled with activity and possibility, where residents have economic opportunity and a sense of belonging, and where City Hall plans for the future and promotes sustainability, from its finances to its climate action initiatives. ”
Reynolds stated that he is proud of everything that his administration has accomplished over the past three years including
Consistently being named as one of the best places to live in America
Ranking as the safest city in Pennsylvania
Receiving international recognition as the 26th World Heritage Site in America
Holding the strongest overall financial position in City history
Making record levels of public investment in parks, trails, and streets
Implementation of Bethlehem’s award-winning Climate Action Plan
Maintaining a commitment to increasing opportunities for all residents
If re-elected, Reynolds stated that his priorities would include continuing to invest in Bethlehem’s public safety departments and building financial stability within City Hall as well as
Working to increase housing attainability and affordability within Bethlehem and the Lehigh Valley
Implementing Bethlehem’s Parks and Recreation Master Plan
Building a South Bethlehem Community Center
Making streets safer by executing major roadway improvements and implementing a Complete Streets and bike infrastructure strategy
Continuing to implement and execute Bethlehem’s climate action plan
Continuing to build cooperative strategies with the Bethlehem Area School District
Reynolds Administration Accomplishments 2022-2024
City Finances:
City of Bethlehem focuses on economic sustainability
Source: The Morning Call
City of Bethlehem cuts debt by almost 50 percent since 2015
Source: City of Bethlehem Budget Address 2025
City of Bethlehem’s bond rating ranked #1 in Pennsylvania among most populated cities
Source: City of Bethlehem Budget Address 2025
City of Bethlehem maintains lowest Earned Income Tax percentage in Pennsylvania among most populated cities
Source: City of Bethlehem Budget Address 2025
City of Bethlehem saves millions by avoiding capital borrowings
Source: City of Bethlehem Budget Address 2024
City passes one billion in private investment since 2021
Source: WFMZ
Parks, Trails, and Street Infrastructure:
City of Bethlehem rebuilds Fairview Park
Source: Lehigh Valley News
Source: Youtube Video Summary
City of Bethlehem to rebuild Friendship Park in $1.5 million overhaul
Source: Lehigh Valley News
Source: Project Website
City of Bethlehem acquires last section of South Bethlehem Greenway to close critical regional trail gap
Source: WFMZ
City of Bethlehem awarded nearly $10 million to make major safety and pedestrian improvements to Broad Street
Source: WFMZ
City of Bethlehem increases street paving by nearly 50 percent in two years
Source: City of Bethlehem Budget Address 2025
City of Bethlehem opens Monocacy Way Trail connection
Source: Lehigh Valley Live
City of Bethlehem improves Saucon Park in south Bethlehem
Source: WFMZ
Public Safety:
City of Bethlehem Fire Department works with International Association of Fire Fighters (IAFF) Local 735 to fill vacancies quicker
Source: Lehigh Valley News
City of Bethlehem purchases new fire engines to update fleet
Source: City of Bethlehem Budget Address 2024
City of Bethlehem spends millions to update Bethlehem Police Department vehicle fleet
Source: City of Bethlehem Budget Address 2025
City of Bethlehem adds new paramedics for the first time since 2007
Source: WFMZ
City of Bethlehem expands Community Connections initiative that partners Bethlehem Police with Health Bureau employees
Source: Lehigh Valley News
City of Bethlehem partners with State of Pennsylvania to offer recruiting bonuses to new police officers
Source: Lehigh Valley News
Housing:
City of Bethlehem partners with Lehigh Valley Industrial Park to launch Gateway on 4th mixed-income housing development
Source: Lehigh Valley News
City of Bethlehem and Bethlehem Housing Authority partner on planned transformation of Pembroke neighborhood
Source: Pembroke Choice Website
Source: Lehigh Valley News
City of Bethlehem releases Opening Doors - a comprehensive housing attainability and affordability strategy
Source: City of Bethlehem Website
City of Bethlehem partners with Lehigh Conference of Churches to create new housing
Source: City of Bethlehem City Council Memo
Community Development:
Patillas, Puerto Rico announced as City of Bethlehem’s sixth sister city
Source: WFMZ
Source: City of Bethlehem Video
City of Bethlehem becomes 26th American World Heritage Site
Source: Lehigh Valley News
Bethlehem named top 100 place to live in America three years in a row
Source: Livability.com
Bethlehem named one of the top 15 Christmas destinations in the world
Source: CNN
Sustainability:
City of Bethlehem launches Bethlehem Climate Challenge
Source: WFMZ
Source: City of Bethlehem Video
City of Bethlehem hires first Sustainability Manager
Source: Lehigh Valley News
City of Bethlehem implements Climate Action Plan
Source: Lehigh Valley News
Source: Event Video
City of Bethlehem and Bethlehem Parking Authority partner to bring bike culture downtown with new Coalition for Appropriate Transportation retail space in Walnut Street Garage
Source: WFMZ
Source: City of Bethlehem Video
City of Bethlehem announces 2025 Bike Master Plan and Complete Streets Plan to make roads safer for pedestrians and bicyclists
Source: City of Bethlehem Budget Address 2025
Neighborhood Investment:
Northside Alive neighborhood revitalization initiative
Source: Project Website
SouthSide Tomorrow - a neighborhood investment partnership between Community Action Development Bethlehem and the City of Bethlehem
Source: Project Website
City completes South Bethlehem Community Center feasibility study
Source: Lehigh Valley News
City of Bethlehem launches We Build Bethlehem, a community investment strategy
Source: Project Website
City of Bethlehem establishes Community Recovery Fund to assist non-profits following Covid
Source: The Morning Call
City of Bethlehem launches Live in the Garden concert series
Source: Lehigh Valley Live
City of Bethlehem reopens Westside Pool
Source: The Morning Call
City of Bethlehem eyes Linden Street two way conversion to improve safety and cohesion of neighborhood
Source: WFMZ
Other Accomplishments:
City of Bethlehem hires first Director of Equity and Inclusion
Source: Lehigh Valley Live
Bethlehem joins Allentown and Easton to partner with Lehigh Valley Health Network on Blue Zones initiative
Source: Lehigh Valley Business
City of Bethlehem joins Three City Coalition with Allentown and Easton to tackle regional issues
Source: The Morning Call
City of Bethlehem modernizes special event permit process, shortens approval time
Source: City of Bethlehem Website
City of Bethlehem launches citywide equity plan
Source: Lehigh Valley News
City of Bethlehem brings back St. Patrick’s Day Parade in conjunction with Celtic Cultural Alliance
Source: The Morning Call
City of Bethlehem works with Artsquest to bring Musikfest back to Payrow Plaza in City Hall Complex
Source: Lehigh Valley Live
City of Bethlehem launches The Bethlehem Corner to tell community leaders’ stories
Source: City Of Bethlehem YouTube Channel
City of Bethlehem debuts new health van to provide neighborhood services
Source: The Morning Call
City of Bethlehem launches “Better Blocks for Bethlehem," a cross-departmental program to promote violence and injury prevention at the neighborhood level.
Source: WFMZ
Grace Crampsie Smith, a member of Bethlehem City Council, announced last week that she is running for Mayor. I expected a similar announcement from incumbent Willie Reynolds, but he and many other local government officials were dealing with the confusion caused by an OMB freeze on federal spending, which was later rescinded. Though he's made no announcement, I expect him to run. I'm unsure whether any Republicans are up for it, but I expect to see a Democratic primary. Campaign finance reports for last year are in, and they can certainly shed some light on who is backing them and why.
Reynolds report (you can read it here) reveals that he pulled in $94,400 in campaign contributions last year, although $40,000 of that is a loan to himself. He starts the election year with a $96.951.30 treasury.
Contributions of $1,000 or more came from the following sources: KTMC PAC - $5000 (I believe this is a law firm that specializes in class action lawsuits; Matthew Bieber - $5,000 (software consultant); Richard Master -$5,000 (a business owner who has produced two documentaries about healthcare; Randy Galliotto (owner of Alloy5 architectural firm); Jack and Marian Spirk - $3,000 (Spirk is City Solicitor); Murat Guzal - $2,500 (Turkish businessman who is both a philanthropist and Democratic donor); Bob Donchez - $2,500 (Reynolds' predecessor as Mayor); Jim Broughal - $2,000 (Bethlehem lawyer specializing in municipal law); Plamenta Ayazou - $2,000 (Monocacy Builders); Diana Morganelli - $2,000 (Judge Morganelli's wife); King Spry - $1,500 (Bethlehem law firm); Borko Milosev - $1,000 (property manager); Kevin Kinross - $1,000 (Democratic strategist and business leader from Pittsburgh); Charles Marcon - $1,000 (construction); IBEW - $1,000; and Placido Corpora - $1,000 (Bethlehem businessman).
Crampsie Smith's report (you can read it here) tells us she has $30,415.29 available and that she raised $23,630 in 2024. Most of this - $16,000 - comes from trade unions IUPAT, IUOE, IBEW: Plumbers; and Laborers Local 1174. She also received $1,000 from Donald Kaas (commercial lawyer).
Please feel free to review the links to these reports and make any observations you think relevant about these contributors or their interest. This is what I call participatory journalism.
Although she neglected to send me her announcement, Grace Crampsie Smith has announced today that she is running for the Bethlehem Mayoral seat currently held by Willie Reynolds. As I mentioned earlier this week, she is a Bloomsburg and Lehigh U graduate who was first elected to City Council in 2019. She was a school counselor but may have retired.
Bethlehem Mayor Willie Reynolds will be announcing his plan to seek re-election this week. He had planned on announcing sooner but spent the past week determining the financial ramifications of an initial deluge of executive orders issued by President Donald Trump after his inauguration.
Reynolds is a life-long resident of Bethlehem, a magna cum laude graduate of Moravian (where he played hoops and taught in Allentown before he was elected Mayor in 2021. Prior to that, he served as a member of City Council since 2007. He was the youngest person ever elected to city council.
During his tenure as Mayor, the City's long-term debt has continued to drop from a high of $171 million in 2015 to $88.5 million today.
Reynolds faces a possible primary challenge from Grace Cramsie Smith, a Bloomsburg and Lehigh U graduate who was first elected to City Council in 2019. She was a school counselor but may have retired.
I'll have more once candidates file nomination petitions. I am told there will be numerous Council candidates, and from both parties.
I've been critical of Bethlehem Mayor Willie Reynolds over the years. When he ran against Bob Donchez for Mayor, I supported Bob. When he ran against the late John Kachmar, I supported John. I am the person who pointed out his former heavy reliance on contributions from developers, a practice he subsequently stopped. I blasted his policy on access as nontransparent. And I was highly critical of his 2024 budget, which included a tax hike. But fair is fair, and I commend his 2025 budget. It continues the trend of reducing city debt, which was started by former Mayor John Callahan and continued by Donchez.
Over the past 10 years, Bethlehem's long-term debt has gone from $171 million in 2015 to $88.5 million today. Mayor Reynolds plans to knock it down even more, to $56 million by 2028.
Dana Grubb, who opposed Willie in the primary and then supported Kachmar, was a little less enthusiastic in a comment. "Why did the debt exist/what was it incurred for? How many city positions have remained open and what is the impact on city services? Borrowing for capital improvements and paying debt off over the anticipated lifespan of those improvements makes sense, and given the deplorable condition of parks like Saucon and Monocacy at Illick's Mill, many city streets, the Payrow Plaza paver surface, etc. not making needed improvements is just kicking the can down the road. And yes, how much of the federal money has been used to pay the debt down instead of maintaining city facilities and streets?
The person in the best position to answer these questions is Reynolds himself, so I asked him. Here's his response:
City debt grew after the closing of Bethlehem Steel in the 80s and 90s. Less revenue coming in meant it was tougher to pay salaries, pensions, medical, etc. The City back in those days also had less money to pay for capital needs like street repavings. Debt grew as the city necessarily had to finance needs both on the pension obligation side and on the capital side.
When I got on Council in 2008, we routinely borrowed every few years to work on the city's capital needs. But the good news is that by this time we were already paying more down in debt than we were taking on. For example, our annual debt payments may have been $8 million but we were borrowing $5 million (every other year) during those 2000s years. Paying down more than we were borrowing was good, but we obviously wanted a future that was even better, and we have accomplished that. The last time the City borrowed for our capital needs was 2019. The every-other-year borrowings would pay for new fire trucks, new public works equipment, paving funds, etc. They would generally be approximately $5 million dollars. But when we borrowed the $5 million the city obviously had to pay it back with interest, so the long term cost to the taxpayer is $6-$7 million depending on interest rates. We were able to avoid this equation from 2019 to today with the ARPA dollars.
Out of $34 million we received in ARPA, we used $6 million for street overlays (2022-2025) and $12 million for other capital needs (2022-2025). By spending that $18 million on capital needs WITHOUT borrowing (as most cities do), we were able to avoid any NEW debt and interest payments for at least six years (2020-2025 but we probably won't borrow till 2028) while also making significant progress in our capital needs. Our progress on street overlays can be seen here. In 2024 and 2025, we will have 50 lane miles of roads, which is up from 29 lane miles in 2020 and 2021. I also attached two slides laying out how we used the ARPA dollars to increase our street repavings. I also attached a full picture from 2022-2025 of our capital needs projects/purchases that we completed (two firetrucks, two ambulances, etc.). Those are the same documents in our official budgets. I also included a slide that shows the approximately $25 million the taxpayers in Bethlehem are saving by not having to borrow thanks to ARPA. We essentially took $18 million and turned it into $25 million (by avoiding new debt). We didn't take the ARPA dollars and "pay off" any debt. We used the money to pay for capital needs and paving roads RATHER than borrowing new money to pay for these expenses and add to our debt (which is what we did up until 2019). So we have kept making debt payments while not adding any new debt. This is reflective in our bond rating of AA- which is the best of any of the top ten population cities in the state.
We are excited about all of this and what it means for our parks and trails in particular. We have completed several truly fantastic recreational projects over the last several years. The Greenway, our new Memorial Pool, new Fairview Park in West Bethlehem, $200k in improvements in Saucon Park, Monocacy Way Trail Phase I connecting Illick's Mill to Union Blvd (Phase II coming in 2025 that will connect to Sand Island and the D and L Trail), and a brand new Friendship Park in 2025 just to name a few. These projects, however, have primarily relied on grant funding rather than substantial city general fund dollars. Now, with our rapidly decreasing debt, the City should be able to make even more progress on even more of our parks. We are launching a Parks Master Plan in 2025 that will look to improve the programming and facilities systemically. Many of our 25 neighborhood parks were built in the 40s and 50s, and the Mayors and Councils for the last 70 years were not in a financial position to make year-over-year line item general fund improvements in the park system because of revenue pressures associated with the decline of the Steel. Now, that we have taken our debt from $170 million in 2015 to $88 million in 2025 and $55 million by 2028, we will see substantially lower debt payments (which can be seen in attached slide on our debt schedule) and the capacity for future Mayors and Councils to fund our park system systematically in a way that will not solely rely on grant funding (even though we are still having great success in securing those grants).
Reynolds subsequently added that "[w]e have a few vacancies in our Streets Bureau (strong job market will do that) but they are not intentional if that was the implication in [Dana's comment]. We are not leaving jobs open to take those savings to pay off debt. We hite those candidates as soon as they apply and pass backgrounds, etc. That vacancy factor just gets returned to the cash balance at the end of the year. And we don't use our cash balance (savings account equivalent) as a source of sustainable revenue for things like debt service."
I have no doubt that this response will lead to more questions, but it's clear to me that Bethlehem is on the right track with what essentially amounts to a fiscally conservative approach to finance.
From what I've been told, a teacher has been either suspended or placed on leave as well. It's unclear whether those matters are related.
Officer Alestas had been a Big Brother. The Bethlehem Police Department, on its Facebook page stated in 2017 that he was "mentoring" students at Broughal Middle School. "The officers meet with their little brothers/sisters once a week and play sports, help with schoolwork, read or just chat about things going on in their lives."
I realize Alestas is presumed innocent, but this is a bad look for Bethlehem's Police Department, especially during law enforcement week.
Nazareth is one of very few LV municipalities who muzzle people when it does not like what they're saying. I've experienced it myself. At one meeting, one borough Council member suggested that I have no right to speak because I own no real estate. He would prefer to hear only from the landed gentry. That Council has also barred Plainfield Tp residents from voicing their displeasure over the spreading of Nazareth sludge at one of their farms. Nazareth's practice is completely contrary to most area municipalities, which allow residents and nonresidents alike to weigh in on matters of public concern. Under Pennsylvania's Sunshine Act, "residents" or "taxpayers" of municipalities have a statutory right to "comment on matters of concern ... ." I've argue that any nonresident who buys a cup of coffee in an outlying municipality is a taxpayer. Since the Sunshine Act fails to explain exactly what constitutes a taxpayer, the term has to be interpreted broadly.
Historically, Bethlehem has been very inclusive about allowing nonresidents to address city council during meetings. But much as it likes to present itself as a beacon of light, it might be getting a lot more like Nazareth. That's because Council member Grace Crampsie Smith is proposing changes to the public comment policy that shut out the vox populi.
What prompted this move on her part were a few recent meetings in which mostly college students wanted Bethlehem to join other cities in calling for a cease fire. After being promised that they would see a resolution at the next meeting, City Council reneged. In my view, it's a promise that never should have been made. The pro-Palestinian crowd should have been told that what they were seeking was beyond the purview of a city government. So when City Council went back on its promise, people were outraged and there was, as Crampsie Smith put it, a "mini riot." Council had to adjourn at midnight without even having scratched the surface of city business.
As a result, she proposed this change to the City Council's public comment policy at last night's meeting.
"Public Comment is extended to the citizens and taxpayers of the City of Bethlehem for comment on matters of concern, official action or deliberation which are or may be before the board or council prior to taking official action. In no event shall one individual address Council during Public Comment for a period in excess of five (5) minutes."
What constitutes a citizen? Beats me. Who is a taxpayer? Is it someone who pays EIT? Property taxes? Sales tax on a cup of coffee? The terms are undefined.
Stephanie Steward, City Council Solicitor, explained that the terms are purposely kept broad because she envisioned an unenforceable "honor system" under which speakers themselves could decide whether they are citizens or taxpayers. "You want to tread lightly," she explained.
That made no difference to Crampsie Smith. "We will try to enforce it," she said, completely contradicting advice just given by City Council's solicitor. She was outraged by the antics at the March 5 meeting, in which the real problem might have been Council President Michael Colon's absolute failure to keep control of the meeting and allow numerous personal attacks. She noted that she had to move to adjourn. ... At midnight.
Crampsie Smith had a strange ally in Council member Bryan Callahan. He ran on a complaint that City Council does too much behind closed doors but was more than willing to shut down public comment. He said nonresidents should email the city clerk or go to their own townships.
From the floor, Ruby Khaluf (sp?) stated the amendment may be unconstitutionally vague and overbroad because it fails to define what constitutes a citizen, resident or taxpayer.
Other Council members opposed Crampsie-Smith's proposed limitation on public comment.
Council member Kiera Wilhelm called the proposed limitation "reactionary.". She pointed to numerous prior ,meetings in which nonresidents have weighed in topics like the Bethlehem landfill and the spreading of Bethlehem sludge in Carbon County. She stated she learns from these nonresidents. "It is going to be our loss if we negate that option." She condemned Crampsie-Smith's proposal as one that "cuts off our nose to spite our face."
Council member Hillary Kwiatek echoed Wilhelm. "I continue to want to hear from people both inside and outside of the City," she said.
For the first time, Council member Rachel Leone actually said something. She observed that the City considers regional issues and regional voices should be heard. She would support a three-minute time limit or moving public comment on nonagenda items to the end of a meeting but was unwilling to go along with one that limits comments to citizens without even explaining who they are. She agreed meetings can be long, but "Democracy is messy."
Council member Colleen Laird agreed that there have been several "extremely long meetings," but "I signed up to represent the community and that did not have a time limit on meetings." She noted that the city library and water and sewer authority serve nonresidents who should be able to address Council. She viewed college campuses, which supplied most of the Pro-Palestinian speakers, as a plus for the city. She added that Bethlehem just joined the "three city coalition" and asked if Bethlehem should ban a Mayor from another City. "I want people to be able to voice their thoughts on our city." She does support reducing allotted time to three minutes for items not on agenda and moving them to the end of the meeting.
After discussion, Bryan Callahan proposed tabling the resolution and his motion passed 4-3. He was supported by Leone, Michael Colon, and Laird. He was opposed by Crampsie-Smith, Kwiatek and Wilhelm.
Colon told several audience members that Council would violate the Sunshine Act by adopting a ceasefire resolution that it failed to include in its published agenda. That's certainly true. But guess what? Council already violated the Sunshine Act when it decided, behind closed doors, to send a letter to federal elected officials. That should have been voted on in public and after deliberation, just as Easton City Council did when it recently adopted a resolution calling for peace. Bethlehem City Council did more than violate the Sunshine Act. It demonstrated that it is pretty much gutless and unwilling to discuss its decisions publicly. I expect this kind of cowardice from Colon, but am disappointed to see it in other members of City Council.
Most of the people I heard speak wanted a cease-fire resolution, but the person who impressed me most was Robert Wax, President of the Lehigh Valley Jewish Federation. He represents 8,000 Jews in the Lehigh Valley. What he said was instructive, and I thought I'd share his remarks.
"The brutal atrocities on October 7 awakened many to the depravity of Hamas, the ruthless terrorist organization controlling Gaza with the stated goal of destroying Israel and murdering all Jews who live there. Over 1200 Israelis were savagely murdered. babies, yes, were burned and decapitated. Women, yes, were raped and subjected to sexual torture. And 240 Israelis, Americans and others were taken hostage. This was the most brutal attack on Jews since the Holocaust. And 140 hostages remain in captivity tonight. It's worth noting that this Council did not pass a resolution or take a position condemning those actions.
"While the issues are complex, the following facts, yes, facts, are intended to provide you with a deeper understanding of the conflict.
"First, what does Hamas want from Israel? Hamas wants to take the land "from the river to the sea." For those unfamiliar with this phrase, it means Hamas seeks all the land between the Jordan River and the Mediterranean Sea, In other words, all of Israel. This is not a compromise position. Unfortunately, over the past few months, protesters have continually repeated this threat from Hamas across the United States and even in Bethlehem and on our local college campuses. Some knowingly, and others unknowingly, calling for an entire country and its people to be wiped off the face of the earth.
"Has Israel offered land in exchange for peace? Yes, many times. The Palestinian Authority, formerly known as the PLO international terrorist organization and neighboring Arab countries, rejected nine peace plans between 1947 and 2019. Each of these peace plans would have created a state for the Palestinian people.
"Does Israel occupy Gaza? No, Israel does not occupy Gaza. In 2005, Israel unilaterally evacuated the Gaza strip. Regrettably, the Palestinians elected Hamas into power, and Hamas began diverting humanitarian aid to support its military operations and began its reign of terror, including the October 7 massacre.
"So what is the role of the United Nations and the United States? The UN, through its refugee agency, has allowed humanitarian aid to be diverted to Hamas and other terrorist organizations, and employees of the UN participated in the attacks on Israeli citizens on October 7. The Palestinian Authority and Hamas pay families of terrorists who murder innocent Israelis a success bonus and a monthly stipend in perpetuity. In 2018, Congress passed the Taylor Force Act, which reduces economic aid to the Palestinian Authority until it ends this policy, which continues today.
"Who else funds Hamas? Iran. Iran has sent hundreds of millions of dollars to Hamas and provides military training to the terrorists. How would residents of Bethlehem feel if a terrorist organization funded by Iran launched thousands of missiles at our families from UN sponsored schools and hospitals just a few miles away? Would we be calling for a cease fire or would we be asking our government to protect us from the terrorists targeting our homes?
"And how does the Israeli Defense Force respond? The IDF is more cautious about mitigating civilian casualties than any other military in modern times. The IDF uses efforts, where possible, to warn civilians before bombing in populated areas. Hamas, unfortunately, hides weapons and terrorist command centers in schools and hospitals, using human civilian shields to protect its terrorist activities. It takes civilians as hostages. It launches thousands of rockets on civilian populations in Israel.
"Is Israel engaged in ethnic cleansing or committing genocide against the Palestinians? Absolutely not. Between 1948 and 2023, the combined Jewish population in Arab countries surrounding Israel dropped from 985,000 Jews to 12,000 Jews, representing a decrease of 99% and leaving Israel - a country the size of New Jersey - as the sole safe haven for Jews in the entire Middle East. During the same period, the number of Arabs in Israel increased from 156,000 to 2.1 million, and the number of Arabs living in Gaza increased from 80,000 to 2 million. So claims of ethnic cleansing or genocide are patently untrue.
"Have other municipalities passed ceasefire resolutions? 99.7% of municipalities in America have not done so, and neither should Bethlehem City Council.
"With all due respect, while everyone wants peace in the Middle East, these issues are clearly beyond the scope and jurisdiction of this body. Council has a lengthy agenda tonight, and it should remain focused on those items. If members of the crowd are unhappy with our federal government's position on the conflict in Gaza, they should contact our federal legislators and stop creating distractions at municipal meetings so that you can complete the work you were elected to perform."
10:15 AM UPDATE: After five hours, the meeting ended in chaos. The City Council Solicitor began to discuss policy instead of the law. People continued speaking and then began chanting, "Cease Fire Now! Cease Fire Now!" Colon, who has spent most of his political career looking for a spine, failed to find one last night. The police chief approached the dais and said the meeting had to end. Eventually, the meeting adjourned without conducting any City business as audience members shouted "Stay!"
