The Bethlehem Co-Op Boondoggle, A Quality Operation Since 2026; Even City Government Can’t Ignore the Money Pit

Come on, Co-Op, I can’t buy peppers until you open! Oh, scratch that. I can.

Oct. 29, 2025

— Jeff Ward, Lehigh Valley News Briefs

I’ve been banging the drum about the Bethlehem Co-Op Boondoggle for some time and finally getting some results.

No, the Boondoggle is still not open after 14 years, but people are starting to notice the broken promises. Some local media have picked up the story, and the Boondoggle was discussed at two Bethlehem City Council meetings. I’m going to note those comments below.

Remember, the Boondoggle has taken in more than $3 million of taxpayers’ dollars, has not opened at 250 E. Broad St. (how much rent has been paid?) despite repeated promises and as of right now, maybe it will open in 2026.

It could happen.

Imagine having that much trouble just opening, and then the same crew actually managing an operation that employs people, serves customers and pays bills? It’s not pretty.

The City of Bethlehem government was a cheerleader for this mess, so it has some answering to do. That started at two City Council meetings this month, but there is a long way to go.

Where’s the grocery store? Where’s the money? What’s the point?

First, comments from City Council meetings:

Resident Michael O’Hare at the Oct. 21 meeting: He reviewed the grants to the Co-Op, and noted, “The Co-Op now reports that they are $1 million in debt” and the supposed 2022 opening date, adding, “They have no idea when they’re going to open three years later.”

O’Hare asked for City Council to exercise oversight over the use of public dollars.

“We need an explanation of what’s going on there,” he said.

City Council member Colleen Laird raised the issue of Co-Op oversight. Laura Collins, the city’s director of Community and Economic Development, said there is review of how grants are spent.

Mayor J. William Reynolds at the same meeting: “I believe they’re about 95% of the way there” for raising funds to open. Yet they have already spent more than $4 million.

Reynolds said the Co-Op has to do a better job of explaining the challenges of opening, of keeping good board members and recruiting members and volunteers.

“I would be lying to you if I said there weren’t moments of frustration” because the non-operating co-operative hasn’t shared enough with members and the community.

“We are not the decision makers,” Reynolds said. True, but the city helped the Co-Op get grants and owes the taxpayers a full explanation.

Meanwhile, he hopes for an opening date. Hope …

City Council member Bryan Callahan said “I think that everybody in the city wants to see that opened up but it’s time to get moving on it.”

I disagree, I don’t think too many people care one way or other.

This is from Council’s Oct. 7 meeting:

Mary Jo Makhoul: “What is the city doing regarding tax dollars spent to support the Bethlehem Co-Op fiasco?”

Bethlehem residents should be grateful for Mary Jo Makhoul. She addresses Bethlehem City Council and actually does so on Bethlehem city issues, not religion, the Middle East, or whatever else comes to mind.

If that comes to you as a surprise, watch the next council meeting’s public comment period.

More on the Boondoggle soon.

If they can’t open a store with $3 million of taxpayer dollars, how will they ever operate one?

5 thoughts on “The Bethlehem Co-Op Boondoggle, A Quality Operation Since 2026; Even City Government Can’t Ignore the Money Pit

  1. albernotas2380's avatar

    Keep up your great work following and writing about this boondoggle! The Co-op is evidently a non-profit endeavor. The City is a non-profit endeavor. The boondoggle needs someone at the helm that has some skin in the game. The boondoggle needs a Capitalist, one who strives for profits, sets and meets deadlines, has skin in the game – money! Commune-ism is not working!

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    1. norcoviewer's avatar

      There are also elements of crony capitalism here. An organized, relatively affluent and educated interest group played the government and got rewarded.

      Like

  2. Unknown's avatar

    From 9 days ago: “I’m probably done with the Co-Op for now, unless and until it opens.” Lol

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    1. norcoviewer's avatar

      It’s a train wreck and I can’t look away.

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