Committee backs Downtown Allentown Alliance and forwards $300,000 Main Street supplemental to full council

The Community and Economic Development Committee on Monday voted to forward favorably to the full Allentown City Council a recommendation connected to Bill 53, a proposed amendment to the 2025 general fund to provide a $300,000 supplemental appropriation for the Main Street program and the Department of Community and Economic Development.

Committee members heard a 30‑minute presentation from local founders of the Downtown Allentown Alliance, who described plans for a public‑private nonprofit to manage downtown activation, hospitality and marketing. "This is probably one of the most exciting and well thought out proposals we're coming to you to discuss," said Ms. Kistler of the Department of Community and Economic Development, introducing the proposal and its background.

The presenters said the Downtown Allentown Alliance (DAA) will incorporate as a 501(c)(3) under the United Way as it builds its board and bylaws. Matt Mallozi, who was introduced as the proposed chair, said the alliance is modeled on established place‑management organizations and aims to accelerate downtown revitalization. "We're talking about a 501(c)(3) formation… to come down and curate and basically be the organization that is responsible for keeping a vibrant, engaged downtown," Mallozi said.

Kyle, named by presenters as the proposed vice chair, said he is a downtown business owner and resident and described the Alliance's goals to sustain year‑round activity, support small businesses and deepen local engagement. "If we are able to create this lifeblood in the center of the city, Downtown Allentown, I really believe that everyone will benefit," Kyle said.

Presenters outlined a near‑term pilot, the "block by block" hospitality ambassador program, which would deploy trained ambassadors to greet visitors, provide information and report maintenance or safety issues via smart devices to city agencies. The team said the pilot is a national model already operating in nearby cities, and that its operators are data driven so results can be measured.

The presenters offered a multi‑source financing model for year one combining private contributions, state and other public sources, and city funding. They said current commitments suggest that every dollar requested from the city could unlock roughly $3 in additional funding early in the program. The presenters described a 4‑ to 5‑year timeline to reach levels of fundraising and program activity they consider sustainable; they contrasted that with Greater Easton's roughly 25‑year development arc but said Allentown starts from a more developed position.

Committee discussion and public comments were supportive. Councilmember Fredericks moved to forward the proposal favorably to the full council; the motion was seconded and carried on a voice vote. Chairwoman Moda and other members expressed support, telling the presenters, "Let's get to work; I'm excited."

Why it matters: presenters emphasized that downtown comprises a small portion of the city's land area but is a major revenue driver. They said the downtown footprint produces about 8.19% of the city's real‑estate tax revenue and more than 25% of business privilege tax receipts, while representing about 1.75% of the city's land area. The presenters also reported roughly 600 businesses in the downtown footprint, 42% at street‑level commercial frontage, and an approximately 50% vacancy rate among those first‑floor spaces — figures they said point to opportunity for activation.

The committee did not adopt final budget language; it recommended the matter go to the full council for consideration of Bill 53 and related funding. The DAA presenters said they have filed incorporation paperwork, drafted bylaws and are continuing fundraising and outreach work with local stakeholders, United Way and national consultants. The presenters named several local institutions and models they studied, including the Greater Easton Development Partnership and Center City District in Philadelphia.

The committee chair closed the item after the vote and the meeting adjourned.