7/13/16 Council Meeting • See ordinance below.
PERTH AMBOY – R-329-7/16 – Rescinding R-296-6/16 Authorizing a construction license agreement between the City of Perth Amboy and Perth Amboy Self Storage, LLC.
During the first public portion, Resident Stanley Sierakowski had plenty to say about Resolution R-329. “This property (on the industrial part of outer High Street ) is leased with an option to buy. This property is 6000 cubic yards of soil. Find what a comparable company will pay for a property this size. You (the Council) should conduct your own testing. This company has a million dollar insurance policy (on this land). There should be at least a $5 million policy. Even clay can be unstable. There should be two appraisals made.”
Resident Ken Balut wanted to know “What City Lawyer negotiated this? There is no bonding to protect us.”
Councilman
Fernando Gonzalez
Resident David Caba said, “There were some concerns at a previous Council Meeting when the attorney from the other side was here answering Councilman Petrick’s questions. Our attorney was not looking out for the City’s interest. What can you (the Council) do to have our attorney removed? She made the other attorney’s job easier.”
Council President Lisa Nanton responded to Caba’s question, “Yes, we can have her removed, but we haven’t been discussing that.”
When Resident Alan Silber came up to speak on Resolution R-329; he went even further, “At a previous meeting the lawyer from the developer (who is leasing this property) was here. Our Law Director (Quinones-Perez) said, “The Developer’s lawyer can sue the City for libel.” You (the Council) should contact the Hispanic Lawyers of New Jersey, the DeCotiis Law Firm and Billy Delgado about this (telling the opposing lawyer what options they have). There is no guarantee. Buy the property now. You’re not charging a lot of money. You need a fair price.”
Councilmen William Petrick and Fernando Gonzalez had differences of opinion on how this resolution should be handled. Councilman Fernando Gonzalez’ main concern was that is the land in question has been vacant for a very long time and has been an eyesore. Councilman William Petrick said, “We should pass this resolution R-329 and rescind the first one.” Petrick also wanted to know, “Who reviewed this contract?”
Councilman William Petrick
Law Director Arlene Quinones-Perez responded, “I reviewed the form and the language in the contract.”
Fernando Gonzalez also questioned the market value for using the land for storage for a year.
John P. Michalski from the law office of DrinkerBiddle and Reath came forward to answer questions about this land for his client who wants to rent it. He responded to the question about the market value, “There is no market value for this land.”
Fernando emphatically stated, “I want this project done!”
Councilman Bill Petrick then voiced his concerns, “In the past, people had material stored on property in the City. Sometimes the proposed project for the land usage fell through and we were left with contaminated soil.”
Michalski responded to Petrick’s concerns about containments by stating, “The soil that is going to be placed on this property has been vetted by two LSRP’s (Licensed Site Remediation Professional Program).
Executive Director Office of Economic and Community Development Perth Amboy Redevelopment Agency Annie Hindenlang came forward to shed more light on this resolution. “They are the designated developers and we knew that this property is heavily contaminated. The clean-fill that they are bringing in is valuable to us. The LSRP’s (State Inspectors) put their licenses on the line when they submit reports about soil. We are hoping that they (the Proposed Developers) will eventually own the property. The appraised price was assessed at $500,000.”
Michalski stated, “The insurance on the property is $1.5 million.”
This prompted Councilman Petrick to say, “We want up front money. The City needs to benefit today.”
Fernando Gonzalez said, “My concern is they do not do this project, but they should pay to use the land.”
Quinones-Perez said, “There is no downside to this.”
Petrick also had a concern about the small amount of money they were paying per month, “If they are serious, then let them buy the property up front instead of paying $10 a month for storage.”
Councilman Fernando Irizarry remarked, “It’s like you are trying to negotiate a contract.”
Council President Lisa Nanton wanted to know if the insurance could be increased on the property.
Hindenlang also informed the Council that there are two gas lines on this property.
On Resolution R-329 Councilman Fernando Gonzalez made a motion to table the resolution. Council President Lisa Nanton seconded the motion. Councilman Irizarry and Petrick voted, “no.” Pabon, Nanton and Gonzalez voted “yes.” Motion to table passed.
