Upper Nazareth Not Ready to Join NIZ Lawsuit

At the recommendation of the township solicitor, the decided to hold off on joining a lawsuit against Allentown's Neighborhood Improvement Zone (NIZ).

The board of supervisors of Hanover Township, Northampton County, decided last week to file a lawsuit to stop earned income taxes from being funneled toward the construction of a $158 million hockey arena in downtown Allentown. Bethlehem Township commissioners voted Monday night to join the legal action, according to published reports.

"Although I find their legal arguments to be quite compelling, my recommendation is that before we agree to participate, we see what effect this tax reduction has on the township," said Gary Asteak, the solicitor for Upper Nazareth. "Then we'll know if joining this lawsuit is cost effective."

Upper Nazareth supervisors joined the "" chorus in early February, asking residents who agree that losing the township's share of earned income tax is unfair to contact their state legislators -- state Rep. Joe Emrick and state Sen. Lisa Boscola -- to voice their displeasure.

Representatives of most of the municipalities and school boards of Lehigh and Northampton counties Allentown’s new Neighborhood Improvement Zone.

But the discussion was short and uneventful because they are waiting for promised answers to questions submitted to Allentown officials last month. City officials have told leaders of the Tax Collection Committees of both counties that they are still trying to compile the necessary information.

Beginning this year, earned income taxes -- for the state, local municipalities and school districts -- collected from within a 130-acre area in center city Allentown and along the waterfront, are being diverted to pay debt service on bonds that will pay for improvements in the area, instead of being forwarded to the home municipalities of those who work in the district.

The Northampton County Tax Collection Committee is scheduled to meet on April 12 in .