Lehighton proposes business tax break; LERTA program would be used by Lehighton Ford
Lehighton has agreed to advertise an ordinance for a Local Economic Revitalization Tax Assistance program.
On a unanimous measure, borough council on Monday revised the proposed LERTA ordinance to include a paragraph to add a fee when someone submits an application to be part of the program.
Adam Brobst, Lehighton Ford general manager, read a statement from Matt Millen, owner of Lehighton Ford at the meeting.
Millen encouraged the borough in his letter to join the dealership in the development and redevelopment plan.
Millen said in his letter that it is his hope that council would see the value in a LERTA zone, as it would attract more development and redevelopment in the borough.
He added that a LERTA zone would pay dividends for future decades to come, and that it would be investing into the future of the borough.
Afterward, resident/business owner Dennis Blocker once again challenged the concept, as he doesn’t believe the program is for the borough.
Blocker said council has defined a LERTA district as the entire footprint of the borough, but that he doesn’t believe the borough has a large footprint.
“I’m offended that we define the Borough of Lehighton as economically depressed,” Blocker said. “This is excessive.”
Blocker said a LERTA program requires a certain amount of administrative costs.
“This all takes time, money, and another employee,” he said. “To (put on) another person to administer this program is just not for the Borough of Lehighton.”
Blocker said he doesn’t want to burden the taxpayers as he believes it’s a risk.
He then encouraged council to follow the leads of other communities who previously turned down LERTA requests.
Blocker then asked council to keep the borough’s taxes down, and to protect the taxpayers of the borough.
Councilwoman Autumn Abelovsky said she believes there needs to be some sort of administration fee, but didn’t want to see additional fees on the borough.
Councilman John Kreitz questioned if it would lower property values in the borough.
“Do we know if it’s going to lower our properties? Is it going to impact property values in the borough?” Kreitz asked.
Borough solicitor Jim Nanovic told Kreitz it really shouldn’t.
Councilman Ryan Saunders said he agreed with Blocker in that the Route 443 corridor is not exactly deplorable.
“But is it underutilized, probably,” Saunders said.
Abelovsky said she believes there were more steps that had to go into the matter.
Brobst told Council last year that the tax deferment is probably the only way he is able to stay afloat with Ford’s policy to upgrade its facility for electric vehicles.
Brobst said Lehighton Ford is supposed to have the building done by March 31.
The tax incentive program encourages property owners to renovate or update a building, with new commercial or industrial business ventures eligible for a 10-year phase-in exemption schedule of property taxes.
Last month, Lehighton Ford received a $296,184 grant for the installation of three DC Fast EV chargers and six Level 2 chargers.
The grant is for chargers that will serve both public customers and the dealership’s EV service vehicles, and is part of $1.28 million DEP awarded to municipalities for Cleaner Fuel Transportation Infrastructures.