Northampton County Council Votes Against Tax Break at Dixie; Public Comments Hit on Marxism, Capitalism and a Long-Vacant Factory

The old Dixie Cup plant, as seen with the decaying cup still up. It’s now decaying somewhere on the ground.

May 7, 2026

— Jeff Ward, Lehigh Valley News Briefs

Northampton County Council voted Thursday against a county property-tax break for the development of apartments at the former Dixie Cup plant in Wilson Borough.

Wilson Borough and the Wilson Area School District have approved Skyline’s bid for Tax Incremental Financing (TIF), which would redirect taxes on property improvements at Dixie back to the developer for 20 years.

County Council voted no last year, but the issue was revived this year with a council lineup changed since the November election.

Those voting in favor of the TIF: Kelly Keegan, Council President Ken Kraft and Jeff Warren.

Those against: Nadeem Qayyum, Theresa Fadem, Lori Vargo Heffner, David Holland, Jason Boulette and Thomas Giovanni. When Giovanni said he’d vote no, that made it clear the TIF would fail.

Northampton County Executive Tara Zrinski spoke in favor of the TIF, saying Skyline has already spent millions of dollars cleaning up of environmental problems at the Dixie site.

A request by Skyline and the Northampton County Industrial Development Authority to delay the vote failed.

Skyline says it will build 405 apartments at the old Dixie Cup plant in Wilson Borough, near the intersection of Route 22 and 25th Street. The price has been cited as $2,400 per month, raising objections from some residents about what they call subsidies for luxury apartments.

Several residents have spoken against tax breaks for developers, noting that homeowners have to pay their full share. On Thursday, there were comments for and mostly against the TIF, with some references to Marxism and capitalism.

Wilson Mayor Donald Barrett said there were lots of people at the meeting but few from the borough. He said there has been lots of chatter about Dixie on social media and some of it wasn’t true.

He also noted: “There’s no outrage about new luxury apartments down in Easton” while the landmark Dixie plant gets lots of attention. Barrett mentioned other projects that have received government help.

Easton, along with Palmer and Forks townships, have seen lots of growth, while Wilson has not.

Opponents says tax breaks are a handout to wealthy developers. Supporters say some deals need government help to get going. This TIF could be worth more than $20 million to Skyline, including breaks from all three taxing bodies (borough, county, school district).

One Wilson resident likened the promised payout in 20 years to “the pot of gold at the end of the rainbow.”

Council member Keegan told the people who object, “You just simply don’t understand the big picture.”

Council member Qayyum estimated that Skyline would receive $79 million in total government aid. He noted that Skyline Managing Partner Brian Bartee said earlier he could proceed with the Dixie development without the TIF.

The Dixie site has been little-used for about 40 years. A previous developer wanted to put a “last mile” distribution center there, a plan county government viewed as a warehouse.

At Council’s last meeting, Skyline’s Bartee offered the county $2 million to use toward low-income housing. He said that amount would cover taxes lost on building improvements over the life of the TIF, and that the county would be able to leverage additional money for housing that Skyline could not.

If so, though, that means the county would be in economic terms “indifferent” to getting $2 million now or collecting taxes on improvements at the site over 20 years.

Council members Vargo Heffner and Giovanni also voted against the Dixie TIF in 2025.

So what’s next at Dixie? Skyline has said it can proceed without the TIF, and Wilson and the school district still support the tax break.

Here is a link to the details of the TIF from the notice of the public hearing and below is a cut-and-paste version:

NOTICE OF PUBLIC HEARING
1921 AT DIXIE AVENUE TAX INCREMENT FINANCING DISTRICT
NORTHAMPTON COUNTY, PENNSYLVANIA
In accordance with the Tax Increment Financing Act, Act 113 of 1990, as amended, 53 P.S. §6930.01 et seq., the Council of Northampton County, Pennsylvania will hold a public hearing on April 16, 2026 at 6:30 p.m., prevailing local time in the Northampton County Council Meeting Room, 3rd Floor Council Chambers, 669 Washington Street, Easton, Pennsylvania 18042. A possible vote on the ordinance may take place on May 7, 2026 at 6:30 p.m., prevailing local time, in the Northampton County Council Meeting Room. 
The purpose of the public hearing is to present and review the proposed 1921 At Dixie Avenue Tax Increment Financing Plan (the “Plan”) for the project known as the 1921 At Dixie Avenue Tax Increment Financing District (the “District”).
The proposed District is located in the Borough of Wilson and within the Wilson Area School District and consists of two tax parcels, County Parcel ID Number L9-40-1A (Lot 1A0837), in the approximate size of 9.81 acres and County Parcel ID Number L9-40-1B (Lot 1B0837), in the approximate size of 2.77 acres, consisting of the former Dixie Cup factory site and an adjacent parking area, located at 315 South 24th Street, Easton, Pennsylvania.
The Tax Increment Financing Plan will be implemented by the Northampton County Industrial Development Authority. The Authority proposes to issue two or more series of bonds or notes to assist in completing certain costs of the project as described in the Plan and to pay a portion of related borrowing costs, which bonds or notes will be paid from the proceeds of incremental tax revenues generated within the District over a period of 20 years.
At the public hearing interested parties will be afforded a reasonable opportunity to express their views on the concept of tax increment financing; the proposed creation of the District and its proposed boundaries, the proposed adoption of the Plan for such District, and the benefits to the Borough, the County, and the Wilson Area School District.
Those unable to attend the hearing may provide written comments to the Council of Northampton County by the close of business on April 10, 2026. Those comments may be sent by U.S. mail or other delivery to Alene M. Shafnisky, Clerk to County Council – TIF Comments, Office of Northampton County Council, Northampton County Government Center, 669 Washington Street, Easton, PA 18042 (with copy to Northampton County Solicitor’s Office, Northampton County Government Center).
A copy of the Tax Increment Financing Plan is available for inspection at the Administrative Offices of Northampton County and the Office of Northampton County Council, Northampton County Government Center.

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