Larry Wainstein, local business owner and Chairman of the NBCCG, takes $acco head on in 2013 over numerous problems that are plaguing the township of North Bergen. From the administration's fiscal mismanagement that has the town $56 million in debt to the outright blatant disrespect $acco shows to concerned residents voicing concerns, Mr. Wainstein continues his crusade to expose the corruption that is consuming our town every day. Board of Commissioners meeting January 9, 2013.
An ordinance adopted by the Board of Commissioners granting a 30-year tax abatement to Urban Renewal LLC to develop 122 residential units at 1122 53 St. came under fire from residents concerned that the developers will pay lower county and school taxes, forcing other taxpayers to make up the difference.
Under the agreement adopted Wednesday, the developers, instead of paying property taxes that would be split between the county, town, and school district, would pay an annual portion of their revenue to the township.
This kind of PILOT (payment in lieu of taxes) agreement is allowed by state law and is popular in several Hudson County towns. But it is controversial, as it means the developers don't have to pay school or county taxes. Developers may end up paying just as much to the town as they would have to all three entities, but they know in advance what they'll be paying, rather than being subject to the fluctuations of regular property taxes. Sometimes the amount is based on their profits.
North Bergen Concerned Citizens Group member Larry Wainstein and Janice Zorovich brought their concerns over the 30-year tax abatement to the governing body.
"You're converting commercial property into residential property," said Wainstein.
_____________ "In total they pay less, but they pay the local community more." – Township Administrator Chris Pianese ____________
After the meeting Township Administrator Chris Pianese explained why developers and the Township of North Bergen favor tax abatements. He said the abatement benefits the town because the taxes are not split.
"This law is in place to jumpstart certain development," said Pianese. "We collect more tax than if it was taxed conventionally. The idea from the developer's side is they don't pay school tax and they pay a discounted county tax. In total, they pay less but they pay the local community more."
Painese mentioned that for the $17 million development, Urban Renewal LLC will pay $250,000 per year for the first 10 years, and another 5 percent of that to the county. For every five years after that, the increments increase to $300,000, $375,000 and max out at $400,000. There is also a safeguard in place to pay for children added to the schools.
"Why should the residents of North Bergen subsidize when you have a $17 million investment," asked Wainstein.
Janice Zorovich also questioned the abatement by asking what will happen in case the developers sell the land. She was told by Attorney Brian Chewcaskie that the property could be sold with the abatement.
Other matters on the agenda
Secaucus Mayor Michael Gonnelli was honored by the township for his "outstanding compassion and performance" during Hurricane Sandy. Mayor Nicholas Sacco said that Mayor Gonnelli was the first to call North Bergen to offer help. The proclamation states that he helped restore electricity to the residents of North Bergen with generators, food, jackets and clothing.
"It was a pleasure to help Mayor Sacco and the Board of Commissioners," said Mayor Gonnelli. "Thank you for all you do for all of us."
Everbridge, Inc. of Glendale, Calif. was awarded a contract for the amount of $15,000. The contract is from March 1 to Dec. 31 and for their satisfactory phone service during Hurricane Sandy.
An ordinance was introduced setting the salary ranges for part-time confidential aide from $20,000 to $40,000.
An ordinance was adopted setting the salary ranges for public works superintendent from $75,000 to $150,000.
The commissioners introduced an ordinance issuing $1 million in bonds, to be paid off over several years, that will pay back residents who have completed successful tax appeals.
Chairman John O'Dell was reappointed to the North Bergen Municipal Utilities Authority for a five year term that commences Feb. 1 to Jan 31, 2018.
The next regularly scheduled meeting of the Board of Commissioners was rescheduled from Wednesday, Feb. 13 to Tuesday, Feb. 12 at 11 a.m.
Vanessa Cruz can be reached This email address is being protected from spambots. You need JavaScript enabled to view it.
Read more:Hudson Reporter - Development coming to 53rd St Debate at meeting over 30 year tax abatement
Members of a citizens’ group that is opposed to Mayor Nicholas Sacco spoke out at the Jan. 9 commissioners meeting against a $3 million bond ordinance that the commissioners adopted for capital improvements.
The bond issue, an annual measure, will pay for changes to township property, and make various public improvements like adding to or replacing equipment, including computer systems and new vehicles.
Other improvements will affect streets, the sewer system, public parks and buildings, and projects on property owned by the township. Since the ordinance is so broad, Township Administrator Christopher Pianese spoke at the meeting to clarify what the ordinance covers.
Millions for bond
According to Pianese, the bond ordinance is issued yearly. It will require a $159,000 down payment, down from the last issue’s cost of $185,000.
“Annually, we do what we call a multi-purpose ordinance,” Pianese had said at the previous commissioners meeting when the ordinance was introduced. “It’s for streets, sewers, buildings and parks. This is a capital ordinance for all of our capital needs. Capital meaning anything with a five-year life or more. It can [include anything from] a four by four [automobile] which has a 5-year life to putting up a new building which has a 30-year life. It’s an ordinance not funded through the regular budget [which is done through] a capital budget [in order to] pay the bonds over time.”
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“This is a capital ordinance for all of our capital needs.” – Township Administrator Chris Pianese
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North Bergen Concerned Citizens’ Group members Mario Blanch, a local attorney, and Larry Wainstein, a local liquor store owner, sought clarification on what the $3 million bond ordinance will entail.
Wainstein, who made an Open Public Records Act (OPRA) request to obtain further information on the bond ordinance, complained that he only received a page and a half of vague information.
“It’s the township’s obligation to have all the documents in the clerk’s office,” said Wainstein. “You are authorizing a bond ordinance for over $3 million and all the plans and the reports and recommendations are not available for public inspection. You’re going to spend $3 million and you can’t justify the expenses.”
Blanch said the cost of the ordinance will cripple taxpayers. Pianese replied it would cripple the taxpayers if they put these projects into the general budget.
“Final plans may not be done yet, we’re just putting the money in place to pay for it,” said Pianese.
Township Attorney Herb Klitzner added that when the town has a complete list of what the ordinance will pay for, more detailed information will be available for the public record.
New homes get tax abatement
Also at the meeting, an ordinance was introduced for a 30-year agreement between the township and Urban Renewal, LLC, who want to develop 122 residential units at 1122 53 St.
That means that the developers are seeking a separate agreement to pay annual revenues to the township rather than regular property taxes. These “in lieu of tax” agreements are popular in some towns because they allow the developer to pay money that goes directly to the town budget, rather than being split among county, town, and school taxes. Developers like these agreements because they know what they’ll be paying each year, rather than being subject to fluctuating taxes.
However, some residents find tax abatement agreements controversial because it means the developer pays a lower share of county and school taxes than regular residents do.
Contracts awarded
In other business, Hudson County Animal Enforcement, Inc. of North Bergen was awarded a $145,000 contract for animal control services and an animal control cruelty investigator.
Hugh McGuire, M.A.I. of Jersey City was awarded an $89,500 contract as a professional appraiser to represent the township before the Hudson County Board of Taxation and the State Tax. McGuire will assist the Tax Collector’s office by inspecting all properties where a building permit has been issued, inspect any other property identified by the assessor at $13 per inspection, and provide any other services at $175 per hour.
McEnerney, Brady & Company, LLC of Livingston was awarded an $86,700 contract to perform all services required of the Municipal Auditor.
Boswell McClave Engineering of South Hackensack were awarded a $69,087 contract for professional engineering services.
Funding Group Initiatives, Inc. from Clifton will act as a consultant to assist the township on applications for administration of various county, state and federal opportunities as well as funding sources for a one year contract of $65,400.
All these contracts begin Jan. 1 and end on Dec. 31.
Vision Media Marketing, Inc. was awarded a contract for professional media consulting and relation services starting Jan. 1 for a total of $60,000 in twelve month installments of $5,000. The group, led by Phil and Paul Swibinski, speaks for the township and the schools.
An interlocal agreement was passed with the town of West New York to provide health officer services for $35,000 per year, paid quarterly.
John Lynch, Esq. of Union City was retained as special counsel to provide legal services at the rate of $170 per hour for an amount not to exceed $10,000 which is amended from a resolution passed on April 25, 2012.
An ordinance was adopted and will remain in effect until Dec. 31, 2014 controlling and monitoring handicapped parking spaces. There were 148 handicapped spaces renewed and 17 removed.
An ordinance was introduced setting the salary ranges for Public Works Superintendent with a minimum of $75,000 and maximum of $150,000.
Vanessa Cruz can be reached atThis email address is being protected from spambots. You need JavaScript enabled to view it.
A small fire near a local recycling facility in North Bergen has nearby residents concerned about their safety.
The fire occurred around 9:45 p.m. Tuesday at an underground transformer in front of the Eagle Recycling facility on Dell Avenue near 48th Street.
According to North Hudson Regional Fire and Rescue officials, the fire was caused by a short to the transformer and was extinguished within 20 minutes.
Power was shut off to the immediate area until about 2 a.m. yesterday while public service employees repaired the transformer, officials said. While the fire occurred in front of the building, NHR&R officials said that Eagle Recycling was not to blame for the fire.
However, despite that disclaimer, local residents are angry over what they call "yet another" incident at the facility.
"You would think that by now that town, county, state and federal officials would come down to the realization that this facility is poorly run and endangering our health," said 43rd Street resident Janice Zorovich.
North Bergen Concerned Citizens Group attorney Mario Blanch added: "Eagle Recycling has been a menace to this community for years and yet the township allows them to remain in operation as they endanger the health of nearby residents."
While this fire was not inside Eagle's facility, the company has a history of issues that have angered local residents.
Last month, a worker lost six fingers in a conveyer belt accident.
The facility was closed in October after a two-alarm fire. According to a township spokesman, the plant was issued a $100,000 fine and assessed several safety violations.
In April 2011, the company's owners pleaded guilty in federal court to dumping 8,100 tons of debris, including asbestos, in New York and then attempting to destroy documents to conceal the action.
Eagle officials failed to return calls seeking comment yesterday.
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