BETHLEHEM CITY COUNCIL MEETING

Tuesday, December 21, 2004 – 7:30 PM – Town Hall

1. INVOCATION
2. PLEDGE TO THE FLAG
3. ROLL CALL

President J. Michael Schweder called the meeting to order. Pastor Robert Kramer, of First Baptist Church, offered the invocation which was followed by the pledge to the flag. Present were Ismael Arcelay, Jean Belinski, Robert J. Donchez, Joseph F. Leeson, Jr., Gordon B. Mowrer, Magdalena F. Szabo, and J. Michael Schweder, 7.

4. APPROVAL OF MINUTES

The minutes of December 7, 2004 were approved.

5. COURTESY OF THE FLOOR (for public comment on ordinances and resolutions to be voted on by Council this evening)

2005 Community Development Block Grant (CDBG) Program

Dana Grubb, 2420 Henderson Street, focusing on City Council's effort to redirect CDBG funding in the 2005 Budget, stated it can be accomplished, potentially in the manner originally outlined and approved by City Council. Mr. Grubb affirmed that the City can request an exemption to the Public Services requirements, cited at 24CFR Part 570.201(e). While observing that funding public services necessitates that the service is a new service or a quantifiable increase in an existing service, Mr. Grubb pointed out that the citation also provides for an exception to this requirement if HUD determines that events not within the control of the unit of general local government have an impact on the City's ability to deliver the services. Mr. Grubb enumerated that the Hirko trial settlement necessitated a .5 mill real estate tax increase, the City issued a $35 million taxable Pension Bond with a total borrowing of $66,000,000 to meet its underfunded obligations to three pension funds, and there are outstanding obligations to the Sewer and Water Funds of approximately $2-$3 million. Consequently, Mr. Grubb expressed the belief that an exemption is worth pursuing for short-term relief. Mr. Grubb continued on to say, in the event that HUD would not review this favorably, other options include reimbursement for overhead costs associated with Housing Rehabilitation, Code Enforcement and/or General Program Administration, and highlighted the fact that the CDBG program is currently funding the development of the City's Central Services Cost Allocation Plan.
Mr. Grubb expressed the opinion that the Mayor made eleventh hour revisions to the Proposed 2005 CDBG/HOME Action Plan by reducing the allocation for Saucon Park but now laments City Council taking a similar action to the general category for South Side Parks and Playgrounds for which he said no definitive locations and improvements have been identified at this point in time. Mr. Grubb continued on to point out that, in the meantime, the study initiative for the much more serious problem of Saucon Park flooding and erosion control moves forward. Mr. Grubb stressed that recreational facilities have not been short-changed throughout the low and moderate income areas on the south side.
Mr. Grubb, turning to the Elm Street Program for which $100,000 in CDBG funding was allocated, asserted this was another eleventh hour revision to the Proposed 2005 Action Plan. Mr. Grubb said that, depending on the current status of the consultant procurement process, there is no immediate need for this allocation, and these funds could be committed at a later date. Continuing on to note there are three distinct areas adjacent to the North Side Central Business District that will need to be considered for Elm Street designation based on the recommendations of the study, Mr. Grubb stated that the west side, north central, and north east neighborhoods bounding this area will each expect due consideration. He added that, once designation is received sometime in 2005, additional funding opportunities for implementation will need to be pursued through the Pennsylvania Department of Community and Economic Development's Residential Reinvestment Grants. Stating that the need to commit any CDBG funding to meet match requirements will be later rather than sooner, Mr. Grubb felt this could be handled through the reprogramming of existing funds later in 2005, or inclusion in the 2006 Action Plan submission to HUD.
Mr. Grubb, asserting that the urgency of budget issues is immediate and needs to be addressed now, stated the City does not have many options to help hold the line on local taxes. He added that CDBG funding provides a ready source, in contrast to cuts in City services or general tax increases.
Jose Rosado, 917 Dellwood Avenue, expressed his concern about diverting CDBG funds away from South Side parks and playgrounds. Mr. Rosado, stating his belief that the primary focus of the CDBG money is to serve low and moderate income neighborhoods, affirmed that South Side Bethlehem would qualify. Mr. Rosado said he is concerned with different recent trends in South Side neighborhoods, and the fact that consideration has been given to taking money away from parks and playgrounds for General Fund operating costs. Mr. Rosado, agreeing that a step in the right direction was taken by hiring a South Side Recreation Coordinator, felt that now it would be taking a couple of steps back by taking money that was supposedly earmarked for parks and playgrounds and using it in a different way. Mr. Rosado communicated that, living in the neighborhood and the City, and with the media coverage, it is known some of the things that are going on in South Bethlehem, both the good and the bad. Mr. Rosado stressed that “we need to invest more in our children, and by taking this money away from parks and playgrounds we are taking away from that.” Mr. Rosado noted that just recently reported in the press and investigated by the Police was the first gang related homicide in the City of Bethlehem, and last week there were three shootings in South Bethlehem. As an employee of the Bethlehem Area School District working with young people every day, Mr. Rosado said he is concerned with the fact that City Council is looking at taking money away from parks, recreation, and playgrounds. Mr. Rosado expressed his thought that more needs to be invested, not money taken away. Mr. Rosado, acknowledging that the person who spoke with him said it is permissible to do, stated that does not make it right. He continued on to say just because there is wording that allows for money to be diverted does not mean it is the right thing to do. Mr. Rosado said he would strongly suggest that City Council look at coming up with money for these operating costs elsewhere, and that the money be used for South Side parks and recreation. Mr. Rosado asserted that, with the millions of dollars being poured into South Side bricks and mortar projects, “we can’t lose sight of our most valuable resource which is our children.” To say that it is a one time or a temporary action, Mr. Rosado commented that in his mind he cannot justify it as something that should be considered. Mr. Rosado, restating his support for using the CDBG money for South Side parks and recreation, reiterated just because diverting funding is something that is permissible to do he does not believe it is the right thing to do.

6. OLD BUSINESS

None.

7. COMMUNICATIONS

A. Director of Planning and Zoning – Proposed Miscellaneous Zoning Text Amendment

The Clerk read a memorandum dated December 14, 2004 from Darlene L. Heller, Director of Planning and Zoning, to which was attached proposed miscellaneous zoning text amendments concerning: (1) Section 1302.29(f)(3) - Definition of Condominiums; (2) Section 1322.04(f)(5)(1) - Parking in Multiple Family Developments; (3) Section 1312.02(a) - Additional permitted uses in CL Limited Commercial; (4) Section 1302 - Definitions to include Visitor Center; (5) Section 1316.02(a) - Adding Visitor Center to uses permitted by right in LI Light Industrial District; (6) Section 1319.01(13) - Parking for a Visitor Center; (7) Appendix A - Elimination of Limitation for Number of Stories in Some Commercial Zones; and (8) Modification of lot width requirements on the bulb of a cul-de-sac in the RM zone. The Planning Commission recommended approval of the text amendments at their November and December meetings.

President Schweder referred the matter to the Lehigh Valley Planning Commission.

Mr. Donchez and Mrs. Belinski moved to schedule a Public Hearing on Tuesday, February 15, 2005 at 7:30 PM in Town Hall.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. The motion passed.

B. Director of Planning and Zoning – Amending Subdivision and Development Ordinance – Traffic Studies and Recreation Fees

The Clerk read a memorandum dated December 16, 2004 from Darlene L. Heller, Director of Planning and Zoning, to which was attached amendments to the Subdivision and Development Ordinance addressing traffic studies and recreation fees. The amendments create provisions for traffic studies and outline when they shall be required and also provides for the creation of an escrow account to cover the City’s costs for review of the traffic study by a qualified traffic engineer. The amendments also revise the provisions for recreation fees so that the recreation fee can be updated by Resolution in the future. The Planning Commission recommended approval of the amendments at their December meeting.

President Schweder referred the matter to the Lehigh Valley Planning Commission.

Mr. Donchez and Mrs. Belinski moved to schedule a Public Hearing on Tuesday, February 1, 2005 at 7:30 PM in Town Hall.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. The motion passed.

C. City Solicitor – Amendment No. 1 to Lease Agreement – Mali’s Café – Golf Course Clubhouse

The Clerk read a memorandum dated December 17, 2004 from John F. Spirk, Jr., City Solicitor, to which was attached proposed Amendment No. 1 to the Lease Agreement between the City and Mali’s Café, LLC, for lease of the Golf Course Clubhouse Restaurant for operation of the restaurant with liquor license for a renewal term of two years, beginning on March 1, 2005 and ending on February 28, 2007, according to the terms of the agreement.

President Schweder referred the matter to the Parks and Public Property Committee.

D. Assistant City Solicitor – Amending Article 347 – Collection of Delinquent Municipal Claims and Real Estate Taxes

The Clerk read a memorandum dated December 17, 2004 from William Alexander Karras, Assistant City Solicitor, to which was attached a proposed Ordinance to amend Article 347, Municipal Claims for Delinquent Accounts – Schedule of Attorney’s Fees to be Added. The Amendment contained revised third party charges as well as interest rates, and updated the fee schedule, that had not been changed since implementation in 1999, charged by the Portnoff agency.

President Schweder referred the matter to the Finance Committee.

The President directed the Clerk to read additional Communication 7 E into the record.

E. Tax Administrator – Emergency Municipal Services Tax – Employer’s Collection Fee

The Clerk read a memorandum dated December 17, 2004 from Al Timko, Tax Administrator, recommending elimination of the 2% employer’s collection fee that had been included in Article 339, the Ordinance pertaining to the Occupational Privilege Tax that is being replaced with the Emergency Municipal Services Tax (EMST).

President Schweder affirmed that revised Bill No. 63 – 2004 incorporating the recommendation has been distributed to the Members of Council for First Reading.

8 . REPORTS

A. President of Council

None.

B. Mayor

1. Administrative Order – Judith M. Havas – Fine Arts Commission

Mayor John B. Callahan appointed Judith M. Havas to the Fine Arts Commission effective until December 2007. Mr. Arcelay and Mr. Donchez sponsored Resolution 14,538 to confirm the appointment.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. The Resolution passed.

2. Administrative Order – Seth A. Cornish – South Bethlehem Conservation District Commission

Mayor John B. Callahan appointed Seth A. Cornish to the South Bethlehem Conservation District Commission effective until April 2007. Mr. Arcelay and Mr. Donchez sponsored Resolution 14,539 to confirm the appointment.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. The Resolution passed.

9. ORDINANCES FOR FINAL PASSAGE

A. Bill No. 51 – 2004 – Adopting the 2005 General Fund Budget

The Clerk read Bill No. 51 – 2004, Adopting the 2005 General Fund Budget, on Final Reading.

Amendment to Bill No. 51 - 2004

Mr. Arcelay and Mr. Donchez sponsored the following Amendment:

That Section 2. which reads as follows:
SECTION 2. Appropriations in the sum of Fifty-Three Million, Three Hundred Seventy-Nine Thousand ($53,379,000) Dollars are hereby made from the General Fund as follows:

To the Council:
Personal Services $ 153,942
Purchase of Services 84,770
Materials and Supplies 0
Equipment 0

TOTAL $ 238,712

To the Mayor:
Personal Services $ 147,067
Purchase of Services 5,535
Materials and Supplies 1,000
Equipment 0

TOTAL $ 153,602

To the Controller:
Personal Services $ 174,640
Purchase of Services 4,130
Materials and Supplies 0
Equipment 0

TOTAL $ 178,770

To the Treasurer:
Personal Services $ 1,000
Purchase of Services 0
Materials and Supplies 0
Equipment 0

TOTAL $ 1,000

To the Bureau of Law:
Personal Services $ 205,447
Purchase of Services 5,250
Materials and Supplies 0
Equipment 250

TOTAL $ 210,947

To the Department of Administration:
Personal Services $ 1,465,469
Purchase of Services 171,939
Materials and Supplies 93,100
Equipment 29,000

TOTAL $ 1,759,508

To the Department of Community and Economic Development:
Personal Services $ 2,795,450
Purchase of Services 1,849,320
Materials and Supplies 85,757
Equipment 81,210

TOTAL $ 4,811,737

To the Department of Parks and Public Property:
Personal Services $ 2,586,386
Purchase of Services 1,121,530
Materials and Supplies 135,800
Equipment 10,700

TOTAL $ 3,854,416

To the Department of Public Works:
Personal Services $ 2,279,508
Purchase of Services 1,395,882
Materials and Supplies 160,615
Equipment 31,200

TOTAL $ 3,867,205

To the Department of Police:
Personal Services $ 8,503,933
Purchase of Services 353,306
Materials and Supplies 328,687
Equipment 11,000

TOTAL $ 9,196,926

To the Department of Fire:
Personal Services $ 6,781,184
Purchase of Services 148,431
Materials and Supplies 195,808
Equipment 0

TOTAL $ 7,125,423

To General and Civic Expenses:
Office Supplies, Postage, Equipment
Maintenance, and Communications $ 332,000

Taxes, Insurance, Social Security,
Unemployment Comp., Workers Comp.,
Pensions, Accumulated Sick Leave,
Heart and Lung Act, Trust Payments,
Defined Contribution Plan Match $ 13,661,437
Landfill Transfer $ 882,498
Refunds and Prior Year's Encumbrances $ 80,104

Unforeseen Contingencies,
Professional Services Expenses $ 130,200

Occupational Education Program $ 2,360

Memorial Day Decorations, Fourth of
July Celebration, Halloween Parade,
Music Fund $ 47,900

Tourism, Senior Citizens, PA League
of Cities Dues, Fine Arts
Commission $ 102,721

Sister City $ 4,000

Library $ 1,051,000
Bicycle Fund $ 800
Coalition for Alternative Transportation $ 4,500
Community Public Radio (WDIY) $ 2,700
Debt Service $ 5,678,534
TOTAL $ 21,980,754

shall be amended to read as follows:
SECTION 2. Appropriations in the sum of Fifty-Three Million, Three Hundred Forty-Four Thousand, One Hundred Eighteen ($53,344,118) Dollars are hereby made from the General Fund as follows:

To the Council:
Personal Services $ 153,942
Purchase of Services 84,770
Materials and Supplies 0
Equipment 0

TOTAL $ 238,712

To the Mayor:
Personal Services $ 147,067
Purchase of Services 5,535
Materials and Supplies 1,000
Equipment 0

TOTAL $ 153,602

To the Controller:
Personal Services $ 172,497
Purchase of Services 4,130
Materials and Supplies 0
Equipment 0

TOTAL $ 176,627

To the Treasurer:
Personal Services $ 1,000
Purchase of Services 0
Materials and Supplies 0
Equipment 0
TOTAL $ 1,000

To the Bureau of Law:
Personal Services $ 205,447
Purchase of Services 5,250
Materials and Supplies 0
Equipment 250

TOTAL $ 210,947

To the Department of Administration:
Personal Services $ 1,465,469
Purchase of Services 189,798
Materials and Supplies 93,100
Equipment 29,000

TOTAL $ 1,777,367

To the Department of Community and Economic Development:
Personal Services $ 2,738,219
Purchase of Services 1,824,670
Materials and Supplies 85,757
Equipment 81,210

TOTAL $ 4,729,856

To the Department of Parks and Public Property:
Personal Services $ 2,586,386
Purchase of Services 1,119,330
Materials and Supplies 135,800
Equipment 10,700

TOTAL $ 3,852,216

To the Department of Public Works:
Personal Services $ 2,279,508
Purchase of Services 1,389,922
Materials and Supplies 160,615
Equipment 31,200

TOTAL $ 3,861,245

To the Department of Police:
Personal Services $ 8,512,971
Purchase of Services 346,306
Materials and Supplies 328,687
Equipment 11,000

TOTAL $ 9,198,964

To the Department of Fire:
Personal Services $ 6,754,878
Purchase of Services 143,731
Materials and Supplies 195,808
Equipment 0

TOTAL $ 7,094,417

To General and Civic Expenses:
Office Supplies, Postage, Equipment
Maintenance, and Communications $ 328,000

Taxes, Insurance, Social Security,
Unemployment Comp., Workers Comp.,
Pensions, Accumulated Sick Leave,
Heart and Lung Act, Trust Payments,
Defined Contribution Plan Match $13,345,437
Landfill Transfer $ 882,498
Refunds and Prior Year's Encumbrances $ 80,104

Unforeseen Contingencies,
Professional Services Expenses $ 502,611

Occupational Education Program $ 2,360

Memorial Day Decorations, Fourth of
July Celebration, Halloween Parade,
Music Fund $ 47,900

Tourism, Senior Citizens, PA League
of Cities Dues, Fine Arts
Commission $ 122,721

Sister City $ 0

Library $ 1,051,000
Bicycle Fund $ 800
Coalition for Alternative Transportation $ 4,500
Community Public Radio (WDIY) $ 2,700
Debt Service $ 5,678,534
TOTAL $ 22,049,165

Second Amendment to Bill No. 51 - 2004

Mr. Arcelay, turning to the reclassification of the Sanitarian position in the Health Bureau, explained he would like to make an amendment in the Community and Economic Development Department, Heath Bureau, to delete the Sanitarian II position which is vacant and to add the position of Sanitarian, Class 27 T, at the salary of $39,792. Mr. Arcelay noted the motion will reduce Personal Services from $2,738,219 (as noted in the above Amendment) to $2,731,797.

Mr. Arcelay and Mr. Mowrer moved the following amendment:

That Section 2. which reads as follows:
SECTION 2. Appropriations in the sum of Fifty-Three Million, Three Hundred [Forty-Four Thousand, One Hundred Eighteen] ($53,344,118) Dollars are hereby made from the General Fund as follows:

To the Department of Community and Economic Development:
Personal Services $[2,738,219]
Purchase of Services 1,824,670
Materials and Supplies 85,757
Equipment 81,210

TOTAL $[4,729,856]

shall be amended to read as follows:
SECTION 2. Appropriations in the sum of Fifty-Three Million, Three Hundred Thirty Seven Thousand, Six Hundred Ninety-Six ($53,337,696) Dollars are hereby made from the General Fund as follows:

To the Department of Community and Economic Development
Personal Services $ 2,731,797
Purchase of Services 1,824,670
Materials and Supplies 85,757
Equipment 81,210

TOTAL $ 4,723,434

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. The motion passed.

Third Amendment to Bill No. 51 – 2004

Ms. Szabo, referring back to the action taken at the Final Budget meeting, turned to the position of Economic Development Coordinator, page 71, and the upgrading of the position from 29 T to 30 T, at the salary difference of $2,790, affirmed that the vote to upgrade the position failed. Ms. Szabo pointed out that the individual in the position has been doing the work of the upgraded position for most of the year and is doing an excellent job, and has been receiving the pay for the upgraded position. Ms. Szabo highlighted the fact that, if Council rejects the upgrade, now the individual’s pay will be reduced $2,790 for the year. She continued on to say it is unfair to a person who has devoted a lot of time and effort in doing an excellent job. Ms. Szabo asked that the Members of Council reconsider their vote on the upgrading of the position of Economic Development Coordinator from 29 T to 30 T. This motion would add $2,790 to Personal Services in the Community and Economic Development Department Budget.

Ms. Szabo and Mrs. Belinski moved the following Amendment:

That Section 2. which reads as follows:
SECTION 2. Appropriations in the sum of Fifty-Three Million, Three Hundred Thirty Seven Thousand, Six Hundred Ninety-Six ($53,337,696) Dollars are hereby made from the General Fund as follows:

To the Department of Community and Economic Development
Personal Services $ 2,731,797
Purchase of Services 1,824,670
Materials and Supplies 85,757
Equipment 81,210

TOTAL $ 4,723,434

shall be amended to read as follows:
SECTION 2. Appropriations in the sum of Fifty-Three Million, Three Hundred Forty Thousand, Four Hundred Eighty-Six ($53,340,486) Dollars are hereby made from the General Fund as follows:

To the Department of Community and Economic Development
Personal Services $ 2,734,587
Purchase of Services 1,824,670
Materials and Supplies 85,757
Equipment 81,210

TOTAL $ 4,726,224

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. The motion passed.

Fourth Amendment to Bill No. 51 – 2004

Mr. Donchez stated he would like to revisit the issue of the action taken at the Final Budget meeting to amend the Community Development Block Grant Budget and place $223,511 into the General Fund Budget under a Revenue category titled Grants and Gifts/Community Development Reimbursement. Mr. Donchez advised that he would propose to move $223,511 from the Community Development Block Grant Budget, that had originally been placed in Unprogrammed Funds, and place $100,000 back into the Elm Street Program and to move $90,000 back into South Side Parks and Playgrounds, totaling $190,000.

President Schweder, observing that the funding no longer exists in Unprogrammed Funds in the Community Development Block Grant Budget, highlighted the fact that the $223,511 currently exists as a Revenue Source in the General Fund Budget, in the line item titled Grants and Gifts/Community Development Reimbursement, as a result of the vote taken at the Final Budget meeting on December 14, 2004. Consequently, President Schweder stated the motion would be to strike $223,511 or whatever figure Mr. Donchez wishes to strike from the Revenue line titled, Grants and Gifts/Community Development Reimbursement, in the General Fund Budget. If that passes, then Mr. Donchez would make another motion when Bill No. 59 – 2004 is considered to put the money back into the Community Development Block Grant Budget. The Amendment in the General Fund Budget would require four votes, and the Amendment in Bill No. 59 – 2004, the Community Development Block Grant Budget, would require five votes.

Mr. Donchez moved to restore the funding for South Side Parks and Playgrounds to the original amount, and to restore the funding for the Elm Street Program back to the original amount. President Schweder affirmed that, rather than coming from Cash Balance, the funding would come from the Grants and Gifts/Community Development Reimbursement revenue source in the General Fund, as a result of the vote taken at the Final Budget meeting on December 14, 2004, and the motion would remove $223,511 of revenue from the General Fund Budget.

Mrs. Belinski seconded the motion.

If a revenue item is being removed, Mr. Leeson questioned whether an expense item would have to be removed as well.

Mr. Reichard explained that the $223,511 of revenue in the General Fund could help to reduce General Fund costs. By moving the $223,511 back into the Community Development Block Grant Budget, that is $223,511 less of reimbursement from Community Development Block Grant money that would have to be picked up with General Fund money.

President Schweder, stating he is going to oppose the Amendment, noted the purpose in taking the action at the December 14, 2004 Final Budget meeting was in looking at the increase in Real Estate Taxes, and the proposal was put forth in order to reduce the property tax millage further by .16 mills. President Schweder pointed out that the effect of Mr. Donchez’s Amendment would be to remove $223,511 in revenue from the General Fund and the property tax rate would remain at the 12.50 mills rate proposed due to the proposal to institute an Emergency and Municipal Services Tax of $52, replacing the current Occupational Privilege Tax of $10, contained in Bill No. 63 – 2004.

Mr. Donchez asked what was the final Cash Balance number at the conclusion of the Final Budget meeting on December 14, 2004.

Linnea Lazarchak, Financial Services Manager, responded it was $517,392 and that included the $223,511.

Voting AYE: Mr. Arcelay, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 4. Voting NAY: Mrs. Belinski, Mr. Leeson, and Mr. Schweder, 3. The motion passed.

Voting AYE on the initial Amendment to Bill 51, as further Amended in accordance with the preceding Amendments: Mr. Arcelay, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 4. Voting NAY: Mrs. Belinski, Mr. Leeson, and Mr. Schweder, 3.

Voting AYE on Bill 51 – 2004, as Amended: Mr. Arcelay, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 4. Voting NAY: Mrs. Belinski, Mr. Leeson, and Mr. Schweder, 3. Bill No. 51 – 2004, hereafter to be known as Ordinance 4289, was declared adopted.

B. Bill No. 52 – 2004 – Adopting the 2005 Water Fund Budget

The Clerk read Bill No. 52 – 2004, Adopting the 2005 Water Fund Budget, on Final Reading.

Amendment to Bill No. 52 – 2004

Mr. Donchez and Mr. Arcelay and sponsored the following amendment:

That Section 1. which reads as follows:

SECTION 1. Appropriations in the sum of Eighteen Million, Seven Hundred Forty-Three Thousand ($ 18,743,000) Dollars are hereby made from the Water Fund as follows:

To the Department of Water/Sewer Resources:
Water Fund:
Personal Services $ 3,404,508
Purchase of Services 14,963,132
Materials and Supplies 375,360
Equipment 0

TOTAL $18,743,000

shall be amended to read as follows:

SECTION 1. Appropriations in the sum of Eighteen Million, Seven Hundred Thirty-Nine Thousand, Nine Hundred Ninety-Eight ($18,739,998) Dollars are hereby made from the Water Fund as follows:

To the Department of Water/Sewer Resources:
Water Fund:
Personal Services $ 3,401,506
Purchase of Services 14,963,132
Materials and Supplies 375,360
Equipment 0

TOTAL $18,739,998

Voting AYE on the Amendment: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. The Amendment passed.

Voting AYE on Bill No. 52 – 2004, as amended: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. Bill No. 52 – 2004, hereafter to be known as Ordinance 4290, was declared adopted.

C. Bill No. 53 – 2004 – Adopting the 2005 Sewer Fund Budget

The Clerk read Bill No. 53 – 2004, Adopting the 2005 Sewer Fund Budget, on Final Reading.

Amendment to Bill No. 53 – 2004

Mr. Donchez and Mr. Arcelay sponsored the following Amendment:

That Section 1. which reads as follows:

SECTION 1. Appropriations in the sum of Eight Million, Eight Hundred Fifty-Two Thousand ($8,852,000) Dollars are hereby made from the Sewer Fund as follows:

To the Department of Water/Sewer Resources:
Wastewater Treatment Plant,
Sewer Maintenance, and
General Sewer Expenses:
Personal Services $ 2,398,423
Purchase of Services 5,896,607
Materials and Supplies 451,200
Equipment 105,770

TOTAL $ 8,852,000

shall be amended to read as follows:

SECTION 1. Appropriations in the sum of Eight Million, Eight Hundred Seven Thousand ($8,807,000) Dollars are hereby made from the Sewer Fund as follows:

To the Department of Water/Sewer Resources:
Wastewater Treatment Plant,
Sewer Maintenance, and
General Sewer Expenses:
Personal Services $ 2,359,880
Purchase of Services 5,890,150
Materials and Supplies 451,200
Equipment 105,770

TOTAL $ 8,807,000

Voting AYE on the Amendment: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. The Amendment passed.

Voting AYE on Bill No. 53 - 2004, as Amended: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. Bill No. 53 – 2004, hereafter to be known as Ordinance 4291, was declared adopted.

D. Bill No. 54 – 2004 – Adopting the 2005 Golf Course Enterprise Fund Budget

The Clerk read Bill No. 54 – 2004, Adopting the 2005 Golf Course Enterprise Fund Budget, on Final Reading.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. Bill No. 54 – 2004, hereafter to be known as Ordinance 4292, was declared adopted.

E. Bill No. 55 – 2004 – Adopting the 2005 Liquid Fuels Fund Budget

The Clerk read Bill No. 55 – 2004, Adopting the 2005 Liquid Fuels Fund Budget, on Final Reading.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. Bill No. 55 – 2004, hereafter to be known as Ordinance 4293, was declared adopted.

F. Bill No. 56 – 2004 – Adopting the 2005 Capital Budget for Non-Utilities

The Clerk read Bill No. 56 – 2004, Adopting the 2005 Capital Budget for Non-Utilities, on Final Reading.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. Bill No. 56 – 2004, hereafter to be known as Ordinance 4294, was declared adopted.

G. Bill No. 57 – 2004 – Adopting the 2005 Capital Budget for Water Utilities

The Clerk read Bill No. 57 – 2004, Adopting the 2005 Capital Budget for Water Utilities, on Final Reading.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. Bill No. 57 – 2004, hereafter to be known as Ordinance 4295, was declared adopted.

H. Bill No. 58 – 2004 – Adopting the 2005 Capital Budget for Sewer Utilities

The Clerk read Bill No. 58 – 2004, Adopting the 2005 Capital Budget for Sewer Utilities, on Final Reading.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. Bill No. 58 – 2004, hereafter to be known as Ordinance 4296, was declared adopted.

I. Bill No. 59 – 2004 – Adopting the 2005 Community Development Budget

The Clerk read Bill No. 59 – 2004, Adopting the 2005 Community Development Budget, on Final Reading.

Amendment to Bill No. 59 – 2004

Mr. Donchez moved to restore funding for the Elm Street Program from $0 to $100,000 and to restore the original amount requested for South Side Parks and Playgrounds of $117,712.

President Schweder inquired, if the Amendment fails, where would the funding appear since it has been removed as a revenue source in the General Fund Budget.

Mr. Reichard, recalling discussions during the Final Budget meeting last week, observed that President Schweder added $223,511 to the General Fund Budget revenues under Grants and Gifts/Community Development Reimbursement, that could reduce the current .75 mill Real Estate Tax increase by .16 mill. However, since the $223,511 has been removed from the General Fund Budget, as a result of the Amendment to Bill No. 51 – 2004 that was adopted earlier, the $223,511 is in limbo.

Mr. Donchez asked the status of the Elm Street Program and South Side Parks and Playgrounds if funding for the two projects were restored.

Tony Hanna, Director of Community and Economic Development, explained that the money was allocated to the Elm Street Program to be used for implementation upon conclusion of the planning study. Mr. Hanna continued on to confirm that the City received funding from the Pennsylvania Department of Community and Economic Development to do planning in three neighborhoods potentially targeted to become Elm Street areas. Mr. Hanna, stating that planning activity would be commencing shortly, said the Department would be looking at hiring a planner to assist the Planning Bureau in conducting the planning study. Ultimately, Mr. Hanna advised that the Department wanted to allocate $100,000 so that upon conclusion of the planning study one, two, or all three neighborhoods could potentially avail themselves of some of the dollars to implement certain activities that could be tied to the planning study. Mr. Hanna commented that the money was being set aside on a contingency basis to allow the City to do implementation.

Mr. Donchez inquired, if the $100,000 is not reinstated, what will not be done in the Elm Street Program.

Mr. Hanna responded the money would not be available at the end of the planning study to do implementation for this current year. In further response to Mr. Donchez, Mr. Hanna affirmed the plan is to implement and have a study this year.

Mr. Donchez asked about the South Side Parks and Playgrounds activity.

Mr. Hanna replied that $90,000 was allocated for miscellaneous parks and playground activity on which Charles Brown, Director of Parks and Public Property, was working with several of the neighborhoods to identify certain activities, and was somewhat of a contingent item.

Mr. Donchez, recounting that the original allocation amount was $117,712 and the amended amount was $27,712, questioned if it stays at $27,712 what will not be done.

Mr. Brown explained that the money was set aside to begin formulating erosion planning in the next four to five months, and was allocated to Saucon Park because upgrading is needed in that area.

Mr. Donchez queried if it is being said that if the $117,712 is not in the budget then the Saucon Park plan will not move forward this year.

Mr. Brown, affirming that the plan can be done because there is $50,000 set aside for it, informed the Members, however, implementation of the plan will not be able to be started.

Mr. Donchez asked when in 2005 would the work start.

Mr. Brown, responding that the study needs to be done, noted that work will be done by Urban Research and Development Corporation (URDC) which company did work previously on Saucon Park. Mr. Brown explained that a floodplain determination is needed so it is known how much of Saucon Park can and cannot be used. After that is done, Saucon Park needs to be upgraded for youth programs.

Mr. Donchez inquired whether Mr. Brown feels the entire $117,712 is necessary.

Mr. Brown, while remarking “we need twice that”, affirmed that the $117,712 is needed.

President Schweder, recounting he has listened to the arguments with Saucon Park as an example during the Budget review process, said he would like to obtain the minutes from prior discussions to compare what the Administration said at the beginning of the process with the end of the process. President Schweder, remarking it is known that nothing will be done at Saucon Park until the flood study is to be completed, observed it would be fool hearty to do anything there before the study is completed. President Schweder, affirming that the funds have to go somewhere, said he would vote to support putting the funds back into the proposals.

Mr. Leeson, confirming he has already expressed his opposition to anything that increases the deficit spending, stated that in order to implement the will of the majority of Council, he will vote in favor of the amendment so that the budgetary process might follow through to a logical conclusion.

Voting AYE on the Amendment: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. The Amendment passed.

Voting AYE on Bill No. 59 – 2004, as Amended: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. Bill No. 59 – 2004, hereafter to be known as Ordinance 4297, was declared adopted.

J. Bill No. 60 – 2004 – Adopting the 2005 9-1-1 Fund Budget

The Clerk read Bill No. 60 – 2004, Adopting the 2005 9-1-1 Fund Budget, on Final Reading.

Amendment to Bill No. 60 - 2004

Mr. Donchez and Mr. Arcelay sponsored the following Amendment:

That Section 1. which reads as follows:

SECTION 1. Appropriations in the sum of One Million, One Hundred Twelve Thousand, Four Hundred Fifty-Three ($1,112,453) Dollars are hereby made from the 9-1-1 Fund as follows:

To the 9-1-1 Fund:
Personal Services $ 778,754
Purchase of Services 314,699
Materials and Supplies 10,000
Equipment 9,000
TOTAL $1,112,453

shall be amended to read as follows:

SECTION 1. Appropriations in the sum of One Million, One Hundred Thirty-Three Thousand, Eight Hundred Seventy-Seven ($1,133,877) Dollars are hereby made from the 9-1-1 Fund as follows:

To the 9-1-1 Fund:
Personal Services $ 773,754
Purchase of Services 341,123
Materials and Supplies 10,000
Equipment 9,000
TOTAL $1,133,877

Voting AYE on the Amendment: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. The Amendment passed.

Voting AYE on Bill No. 60 – 2004, as Amended: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 5. Voting NAY: Mr. Leeson and Mr. Schweder, 2. Bill No. 60 – 2004, hereafter to be known as Ordinance 4298, was declared adopted.

K. Bill No. 61 – 2004 – Fixing the 2005 Tax Rate for All City Purposes

The Clerk read Bill No. 61 – 2004, Fixing the 2005 Tax Rate for All City Purposes, on Final Reading.

Amendment to Bill No. 61 - 2004

Mr. Donchez and Mr. Mowrer sponsored the following Amendment:

That Section 1. which reads as follows:

SECTION 1. That a tax be paid and the same is hereby levied on all persons and real property within the said City subject to taxation for City purposes for the fiscal year, as follows:

Tax for the year 2005 for General City purposes, the sum of six and ninety-eight hundredths (6.98) mills on each dollar of assessed valuation [or the sum of sixty-nine and eight tenths (69.80) cents on each one hundred dollars of assessed valuation];

For Recreation purposes, the sum of sixty-nine hundredths (.69) mills on each dollar of assessed valuation [or the sum of six and nine tenths (6.90) cents on each one hundred dollars of assessed valuation];

For Debt purposes, the sum of four and twenty-eight hundredths (4.28) mills on each dollar of assessed valuation [or the sum of forty-two and eight tenths (42.80) cents on each one hundred dollars of assessed valuation];

For Landfill Debt purposes, the sum of four tenths mills (.40) mills on each dollar of assessed valuation [or the sum of four cents (4.0) cents on each one hundred dollars of assessed valuation];

For Hirko Settlement Debt purposes, the sum of five tenths mills (.50) mills on each dollar of assessed valuation [or the sum of five cents (5.0) cents on each one hundred dollars of assessed valuation];

For Library purposes, the sum of seventy-nine hundredths (.79) mills on each dollar of assessed valuation [or the sum of seven and nine tenths (7.90) cents on each one hundred dollars of assessed valuation] to wit:

Mills on Each Cents on Each One
Dollar of Hundred Dollars of
Purpose Assessed Valuation Assessed Valuation

General 6.98 69.80

Recreation Levy .69 6.90

Debt 4.28 42.80

Landfill Debt .40 4.00

Hirko Settlement Debt .50 5.00

Library .79 7.90

Total - All Purposes 13.64 136.40

shall be amended to read as follows:

SECTION 1. That a tax be paid and the same is hereby levied on all persons and real property within the said City subject to taxation for City purposes for the fiscal year, as follows:

Tax for the year 2005 for General City purposes, the sum of five and eighty-four hundredths (5.84) mills on each dollar of assessed valuation [or the sum of fifty-eight and four tenths (58.40) cents on each one hundred dollars of assessed valuation];

For Recreation purposes, the sum of sixty-nine hundredths (.69) mills on each dollar of assessed valuation [or the sum of six and nine tenths (6.90) cents on each one hundred dollars of assessed valuation];

For Debt purposes, the sum of four and twenty-eight hundredths (4.28) mills on each dollar of assessed valuation [or the sum of forty-two and eight tenths (42.80) cents on each one hundred dollars of assessed valuation];

For Landfill Debt purposes, the sum of four tenths mills (.40) mills on each dollar of assessed valuation [or the sum of four cents (4.0) cents on each one hundred dollars of assessed valuation];

For Hirko Settlement Debt purposes, the sum of five tenths mills (.50) mills on each dollar of assessed valuation [or the sum of five cents (5.0) cents on each one hundred dollars of assessed valuation];

For Library purposes, the sum of seventy-nine hundredths (.79) mills on each dollar of assessed valuation [or the sum of seven and nine tenths (7.90) cents on each one hundred dollars of assessed valuation] to wit:

Mills on Each Cents on Each One
Dollar of Hundred Dollars of
Purpose Assessed Valuation Assessed Valuation

General 5.84 58.40

Recreation Levy .69 6.90

Debt 4.28 42.80

Landfill Debt .40 4.00

Hirko Settlement Debt .50 5.00

Library .79 7.90

Total - All Purposes 12.50 125.00

Voting AYE on the Amendment: Mr. Arcelay, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 4. Voting NAY: Mrs. Belinski, Mr. Leeson, and Mr. Schweder, 3. The Amendment passed.

President Schweder, stating this is the last step in a process that he thinks is fiscally irresponsible, said it is a budget that will come back to haunt those who supported it and the people of the City in the months to come, and he will be voting against it.

Voting AYE on Bill No. 61 – 2004, as Amended: Mr. Arcelay, Mr. Donchez, Mr. Mowrer, and Ms. Szabo, 4. Voting NAY: Mrs. Belinski, Mr. Leeson, and Mr. Schweder, 3. Bill No. 61 – 2004, hereafter to be known as Ordinance 4299, was declared adopted.

L. Bill No. 62 – 2004 Establishing New Article 1113 – Food Code Regulation

The Clerk read Bill No. 62 – 2004, Establishing New Article 1113 – Food Code Regulation, on Final Reading.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. Bill No. 62 – 2004, hereafter to be known as Ordinance 4300, was declared adopted.

10. NEW ORDINANCES

A. Bill No. 63 – 2004 – Amending Article 339 – Instituting Emergency and Municipal Services Tax (EMST)

The Clerk read Bill No. 63 – 2004, Amending Article 339 – Instituting Emergency and Municipal Services Tax, sponsored by Mr. Leeson and Mr. Mowrer, and titled:

AN ORDINANCE OF THE CITY OF BETHLEHEM,
COUNTIES OF LEHIGH AND NORTHAMPTON,
COMMONWEALTH OF PENNSYLVANIA, AMENDING
ARTICLE 339 OF THE CODIFIED ORDINANCES
ENTITLED OCCUPATION PRIVILEGE TAX.

Mr. Donchez expressed he is very disappointed that the exemption is being kept at $1,000 rather than $12,000 because of the fact that the Bethlehem Area School District has retained the $1,000 exemption amount. Mr. Donchez further expressed his disappointment that the deduction for the Emergency and Municipal Services Tax cannot be made quarterly which he thinks is very unfair while confirming that is the way the State law is written. Mr. Donchez, continuing on to point out it was reported that Bethlehem Township has set the exemption amount at $12,000, acknowledged the Township has its own collection agency. Mr. Donchez restated that he would like to see an exemption higher than $1,000 for the City of Bethlehem.

Mr. Leeson, commenting he is going to vote in favor of the Bill, notwithstanding the fact that he voted against almost all of the other Budget Bills, stated he will explain the apparent inconsistency. Mr. Leeson, expressing his opinion that the City is facing very challenging times next year with the Budget, advised that he has already reviewed how the expenditures exceed the revenues, and the fact that the Bethlehem Authority can no longer be relied upon as a ready source of cash. He said he thinks it will come to the City’s having to borrow from the Bethlehem Authority in order to pay the bills next year. Mr. Leeson commented that, having had some familiarity with the trust indentures and agreements with the Bethlehem Authority as the former City Solicitor, he has some perspective on the issue. Mr. Leeson, stating he feels he has to support the Bill because it is something that helps plug up gaps in the Budget, said he does so reluctantly because Harrisburg has really not given the City much in the way of options in terms of trying to deal with increasing sources of revenue. Asserting this is a nuisance tax, Mr. Leeson remarked when the Occupational Privilege Tax was $10 it was a nuisance, and at $52 for the Emergency Municipal Services Tax it is still a nuisance, and it is regressive for the reasons stated by Mr. Donchez. Expressing it is only with the greatest reluctance that he supports it because the City desperately needs the money, Mr. Leeson said if it does not obtain the revenue things will be even worse than he is projecting. As a result, Mr. Leeson commented he is going to support the Bill.

Ms. Szabo commented she would make one last effort to save the youth from paying the EMST now because 30 years from now they are going to be paying the enormous pension bond issue. Ms. Szabo asked that the $1,000 exemption be raised higher to prevent the children and older adults from paying it in view of their lower incomes and part-time employment. Ms. Szabo asked “if the Bethlehem Area School District wants to play scrooge and make it $1,000 then why can’t we go ahead and collect our $47 and let the scrooges collect their $5.”

Mr. Reichard, confirming that the Bethlehem Area School District is responsible for collecting the EMST, affirmed it is the way the current OPT is collected whereby $5 goes to the Bethlehem Area School District and the City retains $5.

President Schweder observed this is another Bill where there could be a debate between what the Administration presented and what was learned through the process. He continued on to point out that reports in the newspapers show that most other communities that are part of the Bethlehem Area School District are not doing the same thing that the City is doing. President Schweder, focusing on the Amendment to the Bill forwarded by the Tax Administrator (Communication 7 D read earlier), affirmed that for 40 years employers who collected the OPT tax for the City got 2% and that 2% will now be eliminated.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, and Ms. Szabo, 6. Voting NAY: Mr. Schweder, 1. Bill No. 63 – 2004 was declared passed on First Reading.

B. Bill No. 64 – 2004 – Zoning Ordinance Text Amendment – Establishing Article 1304.08 – RR Overlay – Township Line Road

The Clerk read Bill No. 64 – 2004, Zoning Ordinance Text Amendment – Establishing Article 1304.08 – RR Overlay – Township Line Road, sponsored by Mr. Arcelay and Mr. Donchez, and titled:

AN ORDINANCE AMENDING ARTICLE 1304
OF THE ZONING ORDINANCE OF THE CITY OF
BETHLEHEM, PENNSYLVANIA, AS AMENDED,
ENTITLED R-R RESIDENTIAL DISTRICT.

Ms. Szabo, recalling the RR Overlay that was adopted for Creek Road and Friedensville Road, noted the developer modified the plan so that it would be acceptable to the area residents and City Council. Ms. Szabo asked if the developer took 100% of the RR zoned land or just a portion.

Darlene Heller, Director of Planning and Zoning, confirmed that the developer utilized the RR Overlay for 100% of that one parcel of land for which the RR Overlay was created. In further response to Ms. Szabo as to any interference with other buildings, Ms. Heller explained that the Overlay zone was done for one parcel and it is a fee simple subdivision which will create about 26 units. Ms. Heller continued on to confirm to Ms. Szabo that the RR Overlay for Creek Road and Friedensville Road was for one lot that will be subdivided into 26 lots and it encompassed all of the RR parcel that was approximately 9 acres in size.

Ms. Szabo asked how much acreage remains that is not included in the present proposal to establish an RR Overlay on Township Line Road.

Ms. Heller, replying that the proposal pertains to 10 acres, explained she does not know how many acres are in the RR zone in the North end of the City. Ms. Heller, in further response to Ms. Szabo, acknowledged there could be more Overlays proposed but each would come before the Planning Commission and City Council for consideration.

Ms. Szabo said that the destruction of the RR zone bothers her very much.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. Bill No. 64 – 2004 was declared passed on First Reading.

11. RESOLUTIONS

A. Approving Intermunicipal Liquor License Transfer Request – Tatamy Hotel to 102 West Fourth Street

Mr. Mowrer and Mr. Leeson sponsored Resolution 14,540 which approved the application from LAJJ Restaurant Group, LLC, for the transfer of Restaurant Liquor License No. R-19528 from the Borough of Tatamy to 102 West Fourth Street, Second Floor, Bethlehem.

Voting AYE: Mr. Arcelay, Mrs. Belinski, Mr. Donchez, Mr. Leeson, Mr. Mowrer, Ms. Szabo, and Mr. Schweder, 7. The Resolution passed.

12. NEW BUSINESS

Public Works Committee

Mr. Mowrer, Chairman of the Public Works Committee, announced a meeting for February 1, 2005 to receive an update on the strategic plan.

Communication

Ms. Szabo, asserting there has to be communication before ten minutes before a meeting, expressed she will hound everyone until there is a reasonable time to look into things and vote intelligently instead of by a gut feeling.

Slot Machines – South Bethlehem

Mr. Leeson, turning to coverage about the issue of slot machines in South Bethlehem at the site of the former Bethlehem Steel Corporation property, and affirming he is not enamored of the concept, confirmed that local government does not have much say as to whether or not slot machines are instituted. Mr. Leeson, noting there have been some exciting news stories about the potential spillover effect from slot machines if they come to Bethlehem, observed the way the law is written the City has practically no control over the situation. Mr. Leeson continued on to note that each of the developers seem to be making almost competing statements about what they are going to do and how the community will benefit. Mr. Leeson commented it must be kept in mind there is nothing the City can do to make the developers live up to their public representations and assurances, except one thing. Mr. Leeson stated that is, if slot machines come to Bethlehem, the applicant will have to come to the City for permits and a developer’s agreement. Mr. Leeson continued on to say that will be the City’s one and only chance to make sure that the developer puts in writing the public representations and assurances they propose for the community. Mr. Leeson stressed that the City needs to be vigilant and aggressive in making sure the developer puts in writing whatever good things they propose to do for the community. Otherwise, he pointed out, they are unenforceable. Mr. Leeson commented that the City needs to start thinking about such matters to ensure that what the City wants to see happen does happen.

Mayor Callahan said rest assured that the Administration will hold any developer to any and all representations they make in regard to the matter.

Mr. Mowrer, commenting that he wants to reinforce what Mr. Leeson and Ms. Szabo just said, stated his recommendation on information for Council meetings is that everything the Members of Council receive in their informational packets on Friday is complete and that the Members should not be presented with anything else on the Tuesday evening of the meeting unless it is an emergency.

13. COURTESY OF THE FLOOR

Committee on Investigations

William Scheirer, 1890 Eaton Avenue, noting he has heard rumors about allegations of waste, fraud, and abuse, commented they are simply what one can expect with any city government. He continued on to say this is not the best of situations, and observed that, by definition, rumors are not solid enough to bring to the District Attorney or the State Police. Mr. Scheirer expressed his opinion that what is needed is a way to clear the air by investigating such allegations to either dismiss them or to proceed to a more serious level. While commenting that a model might be the General Accounting Office, which reports to the Congress on much more than accounting matters, Mr. Scheirer thought perhaps the simplest and the best model would be the investigating committees of the Congress. Mr. Scheirer proposed that City Council for this coming year establish a committee on investigations, and combine two other committees, so that the number of chairs will remain the same. He said such a committee could hold public hearings on allegations that had sufficient credibility and that were capable of resolution. Mr. Scheirer expressed his hope that it would be possible for such a committee to conduct itself in such a scrupulous way that all would agree that it was to the benefit of all.

Grading of Speakers

Stephen Antalics, 737 Ridge Street, graded the Business Administrator, the Mayor, each individual Member of Council, and the City Clerk, on public speaking.

14. ADJOURNMENT
The meeting was adjourned at 8:59 p.m.