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LEHIGH VALLEY WEATHER

LEHIGH COUNTY COMMISSIONERS Tax Increment Financing plan deferred again

The Lehigh County Board of Commissioners deferred a vote on whether to be part of a Tax Increment Financing plan on a proposed strip shopping center in Lower Macungie Township at its June 12 meeting.

The proposed Hamilton Crossings shopping center is located along Krocks Road in between Route 222 and Hamilton Boulevard in Lower Macungie. The shopping center would include a Target and a Costco. The developers, the Goldenberg Group and Tim Harrison of Staten Island, N.Y., have said the project would not happen without the TIF, which will be used to help pay for infrastructure upgrades such as road improvements, stormwater improve-ments and utility up-grades.

Under the TIF, Lehigh County would receive 50 percent of the annual property tax revenue on the site (about $135,000) for the first 20 years and would receive 100 percent starting in the 21st year.

Although the property currently generates little in tax revenue for the county, some commissioners, Michael Schware in particular, have voiced concern over giving up tax money to help finance the project. In previous meetings, Schware has asked why the county should give up tax revenue to help pay to fix road, drainage and utility problems that don't belong to the county.

Before the project can move forward, the East Penn School District, Lehigh County and Lower Macungie Township must approve the TIF. The East Penn School District has already approved the TIF, but the plan has stalled at the county level.

Cedar Realty Trust President Bruce Schanzer, who owns the Trexler Plaza and Trexler Center shopping centers called the TIF plan "grossly unfair.

"We spent tens of millions of dollars on our two projects in Trexlertown during the recession and we did it with our own money," Schanzer said. "If you were to give the developer this TIF, not only would I be competing against the developer, but suddenly I would be competing against all of you [the commissioners]."

Schanzer also said the TIF doesn't "make or break" the project.

"If [the commissioners] were to vote against this TIF and the developers were to walk away, Cedar Realty Trust would be happy to do this development without the TIF," Schanzer said.

Lower Macungie Commissioner Ron Eichenberg called the project a "world-class retail center" and said the project would be a "great benefit" to Lower Macungie residents.

Eichenberg said he has talked to people who have told him "they would do anything to get a Costco" in their area.