Bethlehem Planning Commission announces $102 million budget

The Bethlehem Planning Commission has announced a $102 million capital budget plan that includes infrastructure upgrades, the construction of a family shelter and other major projects for the next five years. The plan is scheduled to take effect on Jan. 1, 2026 and span through 2030. 

Cathy Fletcher, Bethlehem’s director of planning and zoning, said the proposal addresses a broad range of needs, from public safety and vehicle replacements to equipment upgrades and public works projects. 

“I think the capital plan itself really allows us to plan ahead and anticipate our needs, not only for this coming year, but also in the future,” Fletcher said. 

Fletcher also said the plan is a part of a broader set of city initiatives, including the Opening Doors plan to increase housing availability, the Complete Streets plan to improve multimodal transportation and the Climate Action Plan that addresses climate change. 

She said the budget also sets aside money for building upgrades and new equipment, such as firetrucks, police cars and construction machinery. Some initiatives are already supported by secured grants, while others depend on pending funding. 

“While the city is committed to completing these projects, some funding remains uncertain,” Fletcher said.  

To manage funding uncertainties, Evans said after the city covers annual expenses, leftover funds are placed in reserve capital accounts. If those reserves fall short of funding the plan, he said the city may borrow money through bonds. 

Bethlehem’s Business Administrator Eric Evans said the plan will be funded by income taxes, property taxes and other city revenues.

Evans said federal, state and county grants can also go toward funding, though not every project qualifies.

Evans said having the capital plan in place helps shape the city’s future by outlining what projects can begin and how resources will be prioritized. He said putting the plan in action now is important because costs can become more expensive as time goes on.

“You can only kick it down the road so far,” he said. “Sometimes it gets more expensive if you don’t deal with it.” 

He also said the capital plan is separate from the city’s operating budget, which will be presented in November. That budget details staffing, salaries and smaller expenses, and will go through a series of public hearings before City Council votes on it. 

Evans said the business administration is reviewing requests for the operating budget from all six departments in Bethlehem’s government and will compare them against projected revenues in the coming weeks. The mayor will make final decisions by mid-October, ahead of his official budget address on Oct. 30.

For now, Evans said the focus of those working on the capital plan is solely outlining long-term capital needs. He also said it’s too early to know whether the city will need a tax increase to cover the costs. 

In the meantime, Evans is working closely with Fletcher to present the capital plan. Community meetings will be held before it goes to the mayor, who may add revisions and recommendations. 

From there, he said the plan will move to the Planning Commission and City Council for review. 

Planning Commission Chair Robert Melosky said the plan highlights essential updates that City Council must oversee, such as road maintenance and community facilities, including renovations and streetwork. 

“All of those things that are on that capital plan are in place to keep our city as one of the top cities to visit, live and work,” Melosky said. 

Fletcher said the capital planning process is highly collaborative, with staff across departments serving in roles that can change depending on each project’s phase. She said each project’s scope, the work involved and the necessary personnel are carefully considered, with many initiatives including community engagement efforts.