37 NorCo municipalities to get early Christmas present
Though it was April 17, cold weather and falling snow made everyone feel as though Christmas was just around he corner. For 37 Northampton County municipalities, it is. That’s because Northampton County’s Gaming Board decided that night, during a special meeting at Hanover Township’s Municipal Building, to award grants of $31,440 to every Northampton County municipality, with the exception of Bethlehem. The Christmas City was omitted only because it already receives the lion’s share of gaming revenue.
Two weeks ago, Northampton County Council introduced an ordinance calling on the Gaming Board to disband. Jay Finnigan was opposed. “If you just took the remaining funds and split it between each municipality evenly, the distribution would be approximately $31,000,” he said in an email to other municipal officials. “This would also allow the authority to pay all its professional obligations, and then dissolve once we fulfilled our legal requirements.”
McClure considered Finnigan’s remarks and agreed to allow the Gaming Board to release the $1,274,982.42 in uncommitted slots revenue to the municipalities so long as the Board certifies that it can be dissolved once the grants are made. “This is a compromise that meets the Gaming Authority well more than half the way, and it should satisfy the concerns of all involved,” he said.
In addition to Finnigan, the nine-person Board includes Joe Kelly (Bethlehem), Thomas Nolan (Bethlehem Tp), Gerald Yob (Freemansburg), Jay Finnigan (Hanover), Dave Heintzelman (Hellertown), Donna Louder (Lower Saucon), Tony Pristash (Northampton), John Dally (Pen Argyl) and James Pennington (Lower Nazareth). Karen Collis is the Executive Director. Heintzelman, Kelly and Louder were unable to attend the special meeting, and Pennington participated by phone.
The six Board members present unanimously agreed with Tony Pristash’s motion to divest itself of all remaining funds. They also agreed unanimously with a second motion, made by Tom Nolan, to disband after the funds are disbursed. Chairman Jay Finnigan has been authorized to sign any documents necessary for the termination of an authority that has existed for eight years.
Instead of an ugly law suit and hard feelings, everyone wins. McClure looks good. The Gaming Board looks good. And 37 Northampton County municipalities will soon be $31,440 richer.
“It was a solution that all parties were happy with, and we can move forward with that process,” reported Executive Lamont McClure on April 19, when County Councul met. He also complimented the Board. “The administration of these gaming grants has been extraordinarily difficult,” he noted. The Gaming Law forced Board members to give priority to communities impacted by gambling and contiguous to the casino, but never explained how to determine impact. “They did as good a job they could do under very difficult circumstances because the way the law was written, it made the job very, very difficult.” On behalf of Northampton County, he thanked “all of the people who have served honorably, given of their time, made no money on that authority through the years, including this most recent group of authority members.”
Several Council members echoed McClure.
“They did a heckuva’ job, and for no pay,” observed Council President Ken Kraft. .”The work you’ve done will be far better than what we are likely to see out of the Commonwealth Financing Agency,” added John Cusick.
On behalf of the Gaming Board, Jay Finnigan returned the compliment. “I want to thank the Executive for working with us and achieving an amicable solution,” he said. “I believe it serves the need of the county executive, county council, as well as the various municipalities.” He also thanked the county for letting him serve through three different administrations.
“It’s been an honor,” he said, adding he’d be willing to serve again.
The money granted may only be used for human services, infrastructure improvements, facilities, emergency services, public health or public safety.
Some money has also been set aside for administrative expenses.
When he was a member of County Council, it is McClure who drafted the ordinance establishing the Gaming Board. But the underlying state law was recently changed to address a successful challenge by a group of casinos who persuaded the Supreme Court that the slots taxing scheme violated the uniformity clause contained in the state constitution.
The state law changes made the Gaming Board irrelevant.
Before the changes to the Gaming Act, 1.2 percent of the slots revenue from Sands Casino was allocated as follows: (1) 20 percent to Bethlehem; (2) 30 percent to the county; and (3) 50 percent to the County for municipal grants within the county, with priority given to the Bethlehem and the municipalities contiguous to Bethlehem. This is the money that was disbursed by the Gaming Board.
Under the changes to the Gaming Act, 20 percent still goes to Bethlehem and 30 percent still goes to the County. But that final 50 percent will be distributed differently. Bethlehem will get $250,000 per year over the next 20 years for an existing arts and education center that has professional artist space and studios. (Can you say Banana Factory?). The remaining money will be deposited with the Commonwealth Financing Authority to be used exclusively for economic development projects, community improvement projects and other projects that are in the public interest. The CFA must give priority to municipalities contiguous to Bethlehem.








