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Bethlehem Area SD updates MOU on Babbitt property, sale to authority planned after bids
Summary
District staff told the finance committee the memorandum of understanding for the Babbitt property has been revised to clarify scope and financing options; bids expected December 2025 and construction in early 2026, with the district planning to sell the Babbitt building to the Babbitt authority after award.
The Bethlehem Area School District’s finance committee reviewed a revised memorandum of understanding on Sept. 15 clarifying the scope and financing options for work related to the Babbitt property and associated campus renovations.
District staff said the updated MOU expands the original description from a single factory building at 315 Columbia to include a satellite campus on Columbia Street and renovations on the main campus. “This is just an update on the MOU that we approved back in March. Essentially, we just wanna clarify the scope of the project,” a staff member told the committee.
The update also outlines multiple repayment options for districts: paying cash, using the Babbitt authority for repayment, taking a loan, paying based on work completed, or a combination. “There’s an option to pay with cash in some instances, option of, going through the BAVAS authority for repayment or getting a loan out, or we can pay based on the work completed or any combination that really fits the needs of the district,” the staff member said.
On procurement timing, staff reported bids are due to be received in December 2025 with construction expected in early 2026. The staff member said legal counsel advised that the district’s 60-day notice period “does not apply.” The district plans to sell the Babbitt building to the Babbitt authority after award and before proceeding with renovations.
A committee member noted the MOU had been reviewed by the Babbitt joint operating committee two weeks earlier and was approved unanimously. Committee members asked only procedural questions about remaining approval steps; staff said the MOU and related items will proceed to the other sending districts (Northampton and Saucon Valley) for their October votes and will return to the joint committee later in October.
Committee members were also told a separate Babbitt oversight meeting was convening the same evening to discuss financial arrangements. Staff described the authority as the entity that issues debt on behalf of sending school districts and said volunteer members appointed by sending districts represent the districts on that authority.
The committee did not take a formal vote during the session; staff said they will place the MOU on subsequent agendas of the full boards and joint committees for formal action.
