The Bethlehem Co-Op Boondoggle Needs $825,000 to Open

All I want for Christmas is a Boondoggle gift certificate.

Dec. 8, 2025

— Jeff Ward, Lehigh Valley News Briefs

The Bethlehem Co-Op Boondoggle has burned through more than $3 million of public dollars, has spent more than $4 million on a store that isn’t open, and is nearly broke, so it wants more money. Of course.

But enough from me, in the interests of fair play I will post below a recent Boondoggle statement on its latest non-events.

The Boondoggle bulletin includes this: “the current opening threshold is approximately $825,000.”

That is jargon for “We need more money.” They’ve raised money, but how much is actually in the bank, I don’t know. I don’t trust their numbers.

There are more details in the Boondoggle post below, but I warn you, I’m just repeating what they said. The Boondoggle has proven many times that its statements are not to be trusted.

Meanwhile:

The Boondoggle has holiday traditions even though it is not open. Its main tradition is setting an opening date, then “adjusting” it and not opening.

— The Boondoggle portrays itself as a vibrant force in Bethlehem, but it hasn’t opened.

— The Boondoggle is active on social media but has yet to sell one can of peas at its 250 E. Broad St. location.

So what we have right now is a social group that took more than $3 million from taxpayers, is $1 million or so in debt, and has not set an opening date.

They also have holiday gatherings, but I wasn’t invited.

A proud tradition since 2011, or a ridiculous mess? How can an organization that has bumbled along for 14 years, burning cash and credibility, ever run an actual store?

In the interests of fair play and community service, the recent Boondoggle statement is below. By the way, the “no-op co-op” refers to itself as the Bethlehem Co-Op Market, not the Bethlehem Co-Op Boondoggle.

Here’s a link to a statement from the Boondoggle, and below, a cut-and-paste version:

Questions you may have about our project
Updated Dec. 2, 2025


Has an opening date been set for the store? If not a definite date, what is your best estimate? 

We haven’t announced a public opening date yet. We know past projections have shifted, and out of respect for our community we’re committed to sharing a date only when we are absolutely confident every partner, contractor, and funder is aligned. We’re in the final coordination stage now, and once everything is fully confirmed, we’ll be ready to make a public announcement. 

Why has it taken so long? 

Opening a community-owned grocery store is more complex than opening a traditional store.  It involves coordinating construction, fundraising, federal and state grants, multiple contractors, cooperative advisors, and a volunteer board – while staying aligned with democratic, member-owner governance and protecting their interests at every stage.

What is left to accomplish before the store can open? 

The final steps include a small amount of remaining construction coordination, completing the refrigeration connection work, receiving our certificate of occupancy, setting up our point-of-sale system, hiring and training of staff including our General Manager, and ordering and stocking inventory. All these pieces are actively underway with strong support from our cooperative partners. 

What happened to the $2.9 million federal grant? Has it all been spent? 

The federal grant (awarded by the Department of Housing and Urban Development) was available to fund construction, infrastructure, equipment fit-out, operations and staffing costs, and was spent as required by the grant guidelines. The grant was a reimbursement grant; it was fully used and will soon be finalized. All grant reporting is current and compliant.  

As part of routine grant finalization guidelines, we are in the process of contracting a third party for an audit of our federal grant. When that is completed, we will share the results. 

What about other money you’ve received, like other grants and the $300 equity investment each member-owner paid? 

Our grants have been used for construction, equipment, and pre-opening work in accordance with their specific requirements. For example, in November 2025 we successfully closed out a $100,000 Pennsylvania Department of Community and Economic Development grant following a routine final audit confirming all funds were used appropriately. 

Member-owner equity – the $300 paid per household—is part of how cooperative grocery stores are capitalized. The cash is used to support the project, but unlike regular revenue, it is recorded on our balance sheet as equity, representing each household’s ownership stake in the co-op. This equity strengthens the co-op’s financial foundation and provides the basis for future ownership benefits, such as patronage dividends when the store becomes profitable, as well as voting rights and member discounts.  

Why are you raising more money? How much do you need? 

Like many construction projects in recent years, the co-op faced price increases and a late-stage refrigeration connection requirement of roughly $200,000 that was not part of the original construction scope. These added costs – along with modest expense increases associated with the extended construction timeline – were reviewed carefully with our funders, contractors, and cooperative partners to ensure all efficiencies were captured. 

The $634,000 we’ve shared publicly represents the portion of our overall $1.6 million capital plan tied to opening-related needs. It is not separate from our long-term goal. This figure includes the $419,425 already secured through our Sustainable Future campaign, along with additional commitments now in final review. 

Our original projection estimated needing $600,000 to set an opening date. With the added refrigeration requirement and related pre-opening adjustments incorporated, the current opening threshold is approximately $825,000. Because our $1.6M campaign is multi-phase – supporting both opening and first-year stability – the specific portion applied at opening is being finalized collaboratively with our funders and cooperative advisors. 

How are you trying to raise the additional funds? What happens if you don’t get it? 

We’re securing a mix of member-owner loans, community contributions, institutional partnerships, and collaborative support from other co-ops. 

We’re also coordinating with lenders and contractors to manage our debt and obligations as best we can while maintaining the capital we need to open the store and set the stage for first year success. 

With the progress and partnerships now in place – including new institutional supporters – we are confident in our path to completion. 

If additional funds were ever needed beyond what we are actively securing, the board would continue doing what it has done throughout this process – working with our partners to ensure the co-op moves forward in a way that protects member-owner interests and strengthens the community.  

What about the money you solicited and received for the Art Mural project? 

Donations designated for the mural remain restricted to that purpose. Restricted gifts are legally and ethically held for their intended use and are not used for general operating or construction needs.   

Why are you paying for staff for a store that’s not even open? 

As with any grocery store, certain pre-opening roles are necessary to complete construction coordination, federal and state grant compliance, financial reporting, licensing, inventory planning, and operational setup. 

Much of this work has been supported by volunteers and partner co-ops to keep costs lean. Our volunteer board works wherever possible to provide free labor and leadership wherever possible. Cooperative partners have also offered temporary financial support for management hiring to ensure a strong opening.  

How much has been paid for staff and rent on a store that’s not open? 

Rent and essential pre-opening staffing are part of every grocery store’s startup process. These costs have been carefully managed as part of our primary $2.9M grant, regularly reported, supported by additional grants, partnerships, and member-owner investment. We continue to maintain strict financial oversight so that costs remain thoroughly aligned with a clear path to opening.  

Why does Bethlehem need another grocery store? 

Bethlehem needs a community-owned grocery store – one where profits stay local, supply chains are shorter, and sourcing prioritizes regional farms and producers. Unlike conventional grocers, food co-ops are structured to keep economic value circulating locally. Research from the National Co-op Grocers (NCG) shows that for every $1 spent at a food co-op, its impact is multiplied in local economic activity through purchasing, wages, and reinvestment in the community. 

A co-op strengthens the resilience of the local food system, expands market access for small and mid-sized farms, and offers a place where the community has a real voice in how their grocery store operates. Co-ops are not a luxury – they are a key strategy for building sustainable, community-rooted food economies. 

What will you do to make sure groceries are affordable? We don’t need another high-priced store. 

Affordability is central to our mission. The co-op will offer:

  • a quality line of budget-friendly staples, 
  • bulk foods where shoppers only pay for what they need, 
  • both organic and conventionally grown options, 
  • acceptance of SNAP, WIC, and other assistance programs. 

Co-ops are built to serve their communities – not outside investors – so affordability and accessibility remain at the heart of our food model. 

****

And that’s all, folks. It’s going to be the most special, wonderful thing Bethlehem has ever seen.

Just be patient, and send money!

There’s a location. There are expenses. There is debt. There have even been employees. There’s just never been a store. Minor detail?

2 thoughts on “The Bethlehem Co-Op Boondoggle Needs $825,000 to Open

  1. joyfullyb5e6d7aea9's avatar
    joyfullyb5e6d7aea9 December 8, 2025 — 7:59 pm

    Sure dodged the questi

    Like

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