Palmerton Borough Council has reneged on the purchase of a pair of properties and must now choose another location on which to construct its new fire station.

After a brief executive session following its reorganizational meeting Tuesday, borough council agreed to rescind a prior resolution to obtain the properties at 509-511 Lehigh Ave.

Borough manager Rodger Danielson said council didn't decide what its next step would be with regard to the location of the new fire station.

"They are going to look at what different options they have," Danielson said. "They just want time to think about what their options might be."

Danielson said construction is expected this year.

In November, council, on a pair of 5-2 votes, adopted two separate resolutions for each of the properties adjacent to the borough's Fifth Street parking lot for the purposes of expanding their holdings for the new fire station.

The resolutions concerned the properties at 509-511 Lehigh Ave., which the borough planned to purchase, demolish, and eventually use to house its new fire station. Councilmen Richard Nothstein and Randolph Gursky were opposed.

That came after council in September agreed on a 5-1 vote, with one abstention, to spend nearly $150,000 to purchase the home. At that time, Gursky was opposed, while Nothstein abstained.

Danielson said at that time the homes had been appraised at $70,500, and $75,500. The borough had previously determined that the fire station would be built in the borough lot at Fifth and Lehigh Avenue, he said. He said the borough would use money from its general fund to purchase the property, and that the fire station was expected to be completed by early next summer.

In May, the borough hired S.J. Elton Architect, of Bethlehem, to design the borough's new fire station.

In October of 2010, then Speaker of the House Keith McCall presented borough officials and members of the West End Fire Co. No. 2 with a $906,000 check for the purchase of a new fire station.

The borough will utilize that grant, along with $35,000 from the borough's general fund, to cover the $940,000 cost to construct the fire station, Danielson said.

A veteran volunteer firefighter in Summit Hill, McCall said the grant was a "small token" of what the commonwealth can do for its volunteer firefighters.

Danielson previously said the grant – which came courtesy of gaming revenue from Mount Airy Casino in Monroe County – would cover the "vast majority" of the expenses.

The borough wants to get all of its equipment and firefighters in a centralized station, and added the consolidation would improve its efficiency, Danielson previously said.

For years, Danielson said, West End Fire Co. No. 2 and Palmerton Fire Co. 2 and Palmerton Fire Co. No. 1 comprised the same department.

That was until June of 2009, when council announced that the Palmerton Fire Co. No. 1 would cease with the swearing in of West End Fire Co. No. 2.

As a result, all of the assets of Palmerton Fire Co. No. 1 were dissolved, and council agreed to consolidate the fire companies.

A total of $12,506,892 in Mount Airy gaming revenues generated by the Pennsylvania Horse Race and Gaming Development Act or Act 71 was distributed to Monroe and counties contiguous to it back in June.

Under the act, counties contiguous to Monroe are eligible to receive some of the revenue that is generated at the casino. The money will help fund a total of 34 projects that range from library construction and improving and creating parks to road repairs and restoring buildings.

The funding is distributed by the Pennsylvania Department of Community and Economic Development's Local Share Assessment account.

To qualify for funding, each project had to show that it will serve the public interest and promote economic and community development.