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Council hears questions about oversight of publicly funded Bethlehem Co‑op; administration says HUD reimbursements reviewed

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Summary

Public comment raised concerns about the Bethlehem Co‑op’s use of earlier federal, state and CDBG grants and its reported debt. City officials described the standard CDBG/HUD reimbursement and controller oversight processes and said staff have advised the co‑op on operations and recruiting members.

During public comment on Oct. 14, resident Michael O’Hare outlined a chronology of public funding to the Bethlehem Co‑op and said the organization now reports roughly $1 million in debt and no opening date three years after an initial planned February 2022 opening.

“I was thinking to myself, if this is an example of a government run grocery store, we're all gonna starve,” O’Hare said. He asked council to consider oversight or independent review of the co‑op’s use of public money.

Council members…

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