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City staff outline redevelopment RFPs, Allentown Works partners and housing-rehab grant setback

Allentown CED (Community and Economic Development Committee) · March 18, 2026

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Summary

City DCED staff said the city issued requests for proposals for 540 Hamilton and the Toy Factory, detailed partner roles for the Allentown Works workforce program, and reported the city was not awarded a Federal Home Loan Bank grant and is revising and resubmitting its application amid rising domestic-content costs.

DCED staff provided committee members with an update on redevelopment requests for proposals, partner enrollment for a workforce program and recent challenges pursuing federal housing-rehab funding.

Miss Schistler, speaking for DCED, said a recent news article mischaracterized the citys process for two redevelopment sites, clarifying "we did not accept bids. We were accepting proposals, which is a totally different process." She identified the sites as 540 Hamilton and the Toy Factory, said proposals were distributed widely (including community-based organizations) and explained that submissions are received through PENBID with a RACA board subset performing qualitative reviews before narrowing candidates.

On workforce efforts, Miss Schistler said the Allentown Works initiative has partner organizations ready to provide training and referral pathways. She listed partner roles including day-care support (Resurrected Life), transportation partners such as Community Bike Works and Via, workplace training with LCCC, the workforce board and labor unions, and outreach partners including Century Promise. She told a public commenter the staff will circulate an enrollment process by mid-to-late next quarter.

Miss Schistler also described a recent funding setback: the city was not awarded a Federal Home Loan Bank of Pittsburgh grant intended to rehab 10 homes for owner-occupancy conversions. She said the application process required proof of donated properties under a new interpretation of the scoring criteria and that the city is preparing a revised resubmission. She further warned that expanded domestic-content requirements (described in the meeting as a 10% U.S.-made materials rule extended in 2022) have raised estimates on a separate funeral-home rehabilitation by roughly $180,000, creating procurement and cost challenges for federally funded rehabs.

Committee members requested a future update from the Downtown Allentown Association on ambassador programming; DCED said it would invite DAA leadership and the mayor to report back. The chair closed the meeting after a final public comment.