Members of the Catasauqua Area School Board are uncertain if participating in the Local Economic Revitalization Tax Act is a good idea.

At a recent school board meeting, Howard Lieberman, of Business & Community Financing Solutions LLC, presented board members with an overview of LERTA.

Lieberman said securing LERTA requires approval of the county, borough and school ditrict. If the school district decides to participate in LERTA, the initial resolution would run for three years. Thereafter, the resolution would have to be renewed every two years.

According to Lieberman, LERTA is an incentive program and abates the tax increase that will result from development. The program offers an alternative manner to implement financial opportunities to older communities that desire revitalization. The program further exempts the value of improvements to a property from the local tax rolls for a specified period of time.

"LERTA is not the cure all, but it's an incentive," he said.

District Superintendent Robert Spengler said tax incentive programs like LERTA lead to more residential development, which ultimately result in more students and greater educational services.

"We have specific needs, costs and services associated with development," Spengler said.

Board Solicitor David Knerr said the school district will bear 100 percent of the tax burden due to LERTA.

"It may not make a difference if there's more residents to you, but it sure makes a difference to us," he said.

Lieberman said, within the LERTA application, the board could adjust their approval to indicate it does not want the residential component included.

Board member Donald Panto requested more information.

"I'm having a hard time assessing value," he said.

Lieberman said he would furnish a report analyzing what benefit, if any, the district would derive from the program.

The board agreed to first review a list from the Borough of Catasauqua of properties developed before it makes its decision whether to join the LERTA application.