Allentown City Council Budget Vote - January 13, 2026
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Allentown City Council Budget Vote - January 13, 2026
Allentown City Council convened on January 13, 2026, primarily to vote on Bill 1, the adopted 2026 budget submitted by the Mayor. The meeting involved significant procedural debate regarding the inclusion of prior amendments (originally in Bill 2) into the final budget vote, specifically concerning a proposed $50 reduction in the trash fee. While the council successfully passed the budget with amendments, Councilperson Gelloch and others expressed concern over the long-term financial impact of interest-bearing loans used to fund fee reductions.
Consent Calendar
- No specific items from a consent calendar were discussed in the transcript; routine procedural matters regarding the roll call and solicitor's introduction were handled prior to substantive debate.
Public Comments & Testimony
- Councilperson Gelloch proposed an amendment to include all items from Bill 2 in Bill 1, specifically requesting a $50 reduction in the trash fee and the reinstatement of correction items previously voted on. Councilperson Gelloch later revised the amendment to exclude the trash fee reduction after concerns were raised about the long-term cost implications of the associated loan interest.
- Councilperson Binder (speaking for the administration/solicitor) explained that amendments in Bill 2 included a $100,000 allocation to decompose Mark and House, various HR position changes (e.g., creation of Deputy Director, changes from 'operation specialist' to 'senior HR general'), and a position title change from 'council budget' to 'public affairs policy office.' Binder explicitly noted that the 3.96% tax increase and the original trash fee reduction were contained within Bill 1 as presented and would not be included in Gelloch's amendment unless voted on separately.
- Councilperson Han (or similar spelling variation from transcript) expressed concern that reducing the trash fee by $50 while borrowing $2 million from the general fund at a 3% interest rate would effectively increase costs for residents over a five-year period, violating the goal of a balanced budget without increasing the long-term burden.
- Councilperson App argued that voting against the budget violates state law requiring a balanced budget by December 31st, making the scenario a "lose-lose" where voting yes violates the spirit of the 2019 referendum and voting no violates state statute. App stated, "I will be voting yes" despite the governance issues.
- Councilperson Gelloch (later in the meeting) stated that if the budget passes, it would be a 2026 reality of a 2025 issue, encouraging colleagues to work together and promising to introduce a resolution on January 21st to define future procedures for budget impasses.
Discussion Items
- Amendment Procedure: The council debated whether to amend Bill 1 to include Bill 2's items simultaneously or vote separately. Legal advice suggested a concurrent process to ensure legislative clarity. Councilperson Gelloch initially sought to combine the items but withdrew the trash fee reduction proposal after hearing from the administration regarding the financial mechanics of the loan.
- Trash Fee & Loan Mechanics: Administration representative Ms. Patel clarified that a $50 fee reduction per unit creates a $2 million shortfall. This would be covered by a 5-year loan from the General Fund to the Solid Waste Fund at a 3% interest rate to maintain the value of the General Fund. Patel discouraged using the interest earnings for other municipal projects to prevent depleting the General Fund.
- Budget Integrity: Discussion centered on the failure to pass a balanced budget prior to the deadline, the implications of the 2019 referendum, and the necessity of adhering to state laws versus voter intent.
Key Outcomes
- Amendment Vote (Bill 2 items in Bill 1): Passed with 7 yea votes (Counselor Affa, Binder, Gelly/Gelloch, Moda, Pungo, Santos, Napoli) and 0 nay votes. The amendment included HR and office configuration changes but explicitly excluded the trash fee reduction.
- Bill 1 Vote (2026 Budget): Passed with 4 yea votes (Affa, Binder, Pungo, Napoli) and 3 nay votes (Gelly/Gelloch, Moda, Santos). The bill passed as amended to include the corrections in Bill 2, retaining the 3.96% tax increase and the original trash fee levels (excluding the $50 reduction requested and later withdrawn).
- Next Steps: Councilperson App plans to present a resolution on January 21, 2026, to establish clear procedural expectations and consequences for future budget impasses.
- Adjournment: Meeting adjourned after the vote on Bill 1.
Meeting Transcript
January 13th. And we're gonna start with the roll call, please. Here. Here. Here. Present. Here. And here. All right, thank you. Uh, we're gonna get started. Uh, our solicitor, uh, Ms. Montero is gonna um put us um give us a layer of land of where we are and uh what this meeting uh entails. So I'll take it away. Thank you. Allentown city council is here this evening to vote on bill one. That's the budget that was presented by the mayor. Okay, thank you. So uh can you read the bill, please? Bill one is an ordinance of the city of Allentown, County of Lehigh and Commonwealth of Pennsylvania confirming that the budget submitted by the mayor to the city clerk on January 1, 2026 being the same budget as submitted by the mayor to city council on October 16th, 2025 is the two 2026 budget adopted by city council. Okay, uh we'll take comments from the dais. Um go ahead, Miss Gurlock. Oh, yes, I would like to make an amendment that um uh bill one uh should include all of the items that are listed, all of the amended um items that we previously voted on, which are included in bill two, and addition to that would be the um the reduction in the trash fee, the $50. I was second that motion. Okay, we have a first and a second, and on the amendment. So we'll speak to the amendment. Um Mr. Handler, remind me vote um you vote on the amendment first or or die or comments from the dias. Oh comments from the diet, yep. Yeah, so uh any comments from the dias regarding the amendment by Ms. Gerloch and seconded by Santos. So just for the public, you want me to spell out the amendments clearly? Yeah. So the amendments that uh Ms. Gerlock was referring to are listed in Bill Two. It's 100,000 allocated to decompose Mark and House with various things. Uh it was a number of uh corrections, uh house cleaning corrections that were uh made by the administration. Um it created the deputy director position in uh the HR, it uh changed the operation specialist um to be senior HR general, it changed some configurations in the CD office that are listed on Bill Two, change the position title council budget to public affairs policy office, and then uh Ms. Verlock included in that you can get the dollar reduction regarding voted on this person. Okay, thank you. Go ahead. I'm kind of confused because in bill two, I know that we're concentrated in bill one, but in bill two, I believe that he said pretty much the same thing. So okay, can you explain bill one? Go ahead, Ms. So the reason why I chose to make the amendment now is because um as we know when you have a bill in front of you, you make the amendment on that bill. Um you've been elected for a long time, Miss App has been elected for a while. I cannot recall in the time I've been elected where I've ever voted on a bill, passed or failed, and then retroactively then added stuff to that bill that's already passed. It just seems yeah, that's that's that's fair enough. So so you're doing this to make sure that's the same. The way that we always legislatively do it, yeah. Okay.
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