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Special Meeting: BID Budget, Council Hiring Defense Attorney & Closed Session: Mayor vs. City Council


8/16/19 Special Council Meeting

By: Carolyn Maxwell

BID Chair
Barry Rosengarten

PERTH AMBOY – The first Resolution that came up for discussion was R-368-8/19 – Approving the introduction of the CY 2019 Perth Amboy Business Improvement District Budget. 

Business Administrator Frederick Carr stated that without the BID Budget, the Council could not complete their budget.

During the public portion, Resident and Businessman Jeremy Baratta came up to speak. He questioned, “The BID had 8 months to present their budget. Why wait so long to put the Council in this position?”

Resident and former Councilwoman Lisa Nanton came up next. She questioned, “How much of the City Budget is used by the BID?”

Carr answered, “None. The City pays for the administrator which they in turn pay back to us. I am trying to be that administrator.”

Nanton continued, “Can the Council reduce the BID Budget?”

CFO Jill Goldy fielded that question. “I believe it’s within the Council’s right to recommend suggestions to the BID.”

Lisa Nanton

Nanton then suggested that the BID cut the budget for the planters. “The vines are overgrown, and people use them to put garbage in. Remove them. Also get rid of the banners that are on the lampposts. They are too small, and they really don’t say anything. They’re more of an eyesore and the planters were not taken care of for the price paid ($60,000 which were originally allocated). On the budget, there is a $15,000 line  item to replace them.”

Resident Alan Silber came up next, “The BID budget was voted on Tuesday (8/13/19).”

Carr explained, “The budget is late. They had a special meeting.”

Silber then asked, “Was there an attorney (at their meeting)?”

At this point, BID Chair Barry Rosengarten responded, “There was no attorney, but there was an accountant.”

Silber continued, “There are 16 people listed on the BID Board and 8 of those 16 people were marked as absent.”

Carr responded, “There are 15 Board Members, but one is an alternate. Either Jeanette Rios (Mayor’s Aide) or the Mayor will attend. They both can’t be present at the same meeting.” 

Silber then had questions  about Resolution R-369-8/19 – Authorizing a professional service contract with Dominic P. DiYanni, Esq., of the law firm of Eric M. Bernstein, Associates for Legal Representation of the Council and William A. Petrick, Council President in the matter of Wilda Diaz vs. the City Council in an amount not to exceed $15,000.

He also referenced Resolution R-370-8/19 – Authorizing a closed session at the Special Public Meeting of August 16, 2019 to discuss the following: 1.) Litigation – Mayor vs. City Council.

Council President William Petrick answered Silber’s concerns, “The lawsuit (pertaining to those 2 resolutions) involves the defendants, which would be  the Council and myself.”

Silber then stated, “King (The City’s Law Director) is not here, and there are lawsuits involving litigation. Why is no one from King’s law firm here? Does the lawsuit involving Rios’s sister have a cost attached?”

CFO Goldy responded, “There was no contract or encompasses on City funds (involving that suit).”

Silber continued, “Are there any documents involving that lawsuit (Mayor vs. City Council)”

Petrick responded, “We (the Council) have to respond when we get the lawsuit.”

Silber ended, “It’s irresponsible of the Mayor.”

Resident Reinaldo Aviles came up next, “If there is no attorney, how is this suit filed?”

Petrick addressed Aviles, “The Mayor’s lawyer is Lanza and Lanza.”

Aviles continued, “I’ve talked to tenants and landlords (in the BID District), and the assessment hasn’t gone up much, but they say they see very little benefits, and the rate is high. Taxes are going up.” Aviles then stated, “A systematic change is to see where the waste is. The assessment is where you have to look. I can’t justify paying more here than in Franklin Township. All the people on the BID care about the town. Barry (Rosengarten) is Mister Perth Amboy. The planters and banners are small stuff. It’s like when the Housing Authority came here at the last hour. It seems rushed (getting the BID Budget so late). You should table it. Two Council Members are missing (tonight).”

Council President William Petrick explained, “We have to vote (on the Introductory Budget) so that it’s on the tax bill.”

CFO Goldy came up to make a clarification, “You are not adopting the BID Budget. You are just presenting it. You have 28 days and there will be a public hearing and adoption to get the tax rate set after the BID Budget. There will have to be another meeting (Date TBD). We cannot start our Budget until the year begins.”

Carr then spoke up and said, “We can’t get a quorum.”

BID Chair Barry Rosengarten came up to address some of the speakers concerns and stated, “The BID went through some serious transitions and we are in the process of going through another one. We went through an audit. I agree that the banners on the poles are too small. We need to advertise what we have (in the City). We’re going to make changes. The planters are concrete. The broken ones have to be replaced. I welcome Lisa (Nanton) to be part of the planter committee.”

Councilman Fernando Irizarry had a couple of questions regarding the BID Budget. He talked about the planters first. “Some of these planters have weeds and don’t you have a contractor? The person is not doing the job and are they getting paid?”

Rosengarten responded, “They are getting paid and are maintaining the planters, but we need a Clean Team and also the public is not respecting the planters. The budget is $240,000 and we have a surplus. We are continuing to educate the public about not misusing the planters.” Rosengarten also mentioned that Randy Convery (acting BID Coordinator) did a very good job, but he left for a better job. We also had a Director and another person who was in a leadership position and left.”

Irizarry spoke up again and said, “If the BID Chair and Vice-Chair are still intact, the Budget should have been done earlier.”

Councilman Joel Pabon spoke up next and stated, “I don’t like voting for something that was already done. More beautification is needed in the downtown area. Replace your landscaper. Some of this money on your budget stated it’s for marketing and publication. Where is the advertising going on? This place should be packed with businesspeople.”

Rosengarten responded to questions about the downtown not being that clean, “The vac-machines (streetcleaners) are secondary to the business owners. Each property owner is responsible for taking care of their property. The vacs are down, and the DPW have a shortage of   personnel for us to use them.”

Pabon spoke up again, “Some of this money should go to help business owners. Benches were removed (in the downtown business area) because of people sleeping on them. Seniors need someplace to sit down. I’m not voting on this (R-368).”

Council President Bill Petrick then chimed in, “We need to get benches with dividers. I’m looking at the ones that are on Smith and State Streets.”

Councilman Irizarry then spoke up, “We need to start this process (voting on R-368) so that the City can strike a tax rate. They will have to change the budget to allocate more money to put in benches in for this year.”

Petrick responded, “We can change what hasn’t been spent.” He then told Rosengarten, “Take it to the Board (BID) that you need another landscaper.”

Rosengarten responded, “The benches have been studied many times, but we have been stalled, and we need you (the Council) to work with us.”

After all agenda items were discussed, there was a request to put on a late-starter R-371-8/19 by Council President William Petrick. This Resolution had name of the lawyer hired to represent the Council for the lawsuit that the Mayor filed against the Council and William Petrick. Petrick moved the Resolution to be put on as a late-starter and it was seconded by Councilman Joel Pabon. Petrick explained that the Resolution that King had drafted had the Mayor and the Council represented by the same law firm.  “We can’t have the same person representing both the Mayor and the Council. That is why I asked that R-371 be put on the agenda.”

Councilman Fernando Irizarry voted “No” to R-371 to be added as a late starter. It was voted to have this put on the next regular meeting agenda in September – not as a late-starter.

Councilman Joel Pabon stated, “The attorney that was on the R-371 resolution had already contacted me because he had to go to court today (8/16/19) regarding this matter (the Mayor’s lawsuit against the Council).”

Petrick then spoke up, “I had sent the resolution to everyone. This late-starter had more detailed information in it. Details included both attorneys (the Mayor’s and the Council’s). Even when police officers are involved in the same case, they each need to have their own attorneys representing them.”

During the last public portion, Reinaldo Aviles came up first. He told the Council, “Look at the old BID minutes. The City’s website was updated, but it still has incorrect information. We have a Rent Control Ordinance, but we don’t have a Rent Leveling Board. Where do people go to complain? Either you get rid of the Rent Control Ordinance or the Board.”

Councilman Petrick responded, “We (the Council) should appoint the members.”

City Clerk Victoria Kupsch spoke up and stated, “I have advertised 3 times regarding vacancies on the Rent Leveling Board and I had no responses.”

Resident and Businessman Jeremy Baratta came up next, “The maximum increase (on rents) can only be 5% per year. If you don’t pay, then the landlord can take the tenant to court. Every landlord should file their increase with the City.” He then talked about the BID. By that time, Barry Rosengarten had already left. Baratta said, “Barry Rosengarten had said the BID Members were very involved, but half the time they don’t even have a quorum at their meetings. When I asked businesses in the BID area about the BID, I can’t repeat what they say. I applied for the BID and only got 3 votes. They pay someone $1,000 a month to maintain their planters. Why is the 2020 Budget not here as well? In the past, they had a $4,000 allotment 2 years ago for telephones. Now, it’s only $1,200. Look at who is on the BID. The quorum is 5 for members. Look at the attendance. If you own a business in the BID area, sometimes one business will have two people in the BID. There are  supposed to be one or two slots for community members.”

Resident Alan Silber spoke next about the BID Budget, “The owners of businesses in that area get taxed. Who authorizes the spent money? The Mayor is on the BID. They got rid of Virginia Lugo who questioned items.” Silber also mentioned the new website which has Irving Lozada as Acting Code Enforcement Director.

Silber then questioned the lack of people that are here for this special meeting. He then went on to question the $600,000 emergency service contract that was given to B&W. “How much of their original contract was used before the emergency situation? They were supposed to ask the Council for an extension on their contract. How did it go from $600,000 to $800,000? That is what is wrong when moving meeting dates. You get an agenda on Friday and people work. You can’t move a meeting unless it’s on a legal holiday. The emergency contract (to fix a road) was done illegally. We have to stop doing something because it’s convenient. There is no lawyer here. There is no oversight at the BID when voting on their budget. 7 people were absent when they were doing the voting on the BID budget.”

Former Councilwoman Lisa Nanton came up to speak and questioned the attorneys who were listed on R-369. “Are they on the approved list?”

B.A. Carr responded, “One is on the list. The other law firm is not.”

Petrick then spoke up and said, “I sent R-371 to the other Council Members a few days ago and sent the resolution to King for him to review.”

Carr spoke up again and said he sent an email to all the Council Members regarding R-371 on Wednesday morning (8/14/19).

Nanton continued, “So, tonight everyone had the Resolution R-371 beforehand.” She continued, “When I was on the Council, before we hired Tarver (to represent the Council), I contacted everyone on the approval list of law firms and asked all of them if they knew our present Law Director Quinones or the Law Director before her, Blunda. If they said, “Yes,” I didn’t want them to represent us, and that’s when we hired Tarver, because he was an independent.”

Councilman Irizarry then spoke up and stated that Petrick added more to R-371 today (Friday) than what was originally given to us Wednesday morning (it was revised).

Petrick spoke up and replied, “I added on the resolution today the docket number, the hourly rate, and the do not exceed amount. I amended R-371 that you were emailed Wednesday morning and added today (Friday) more information to make it more thorough.”

Nanton told the Council that it’s critical that an independent attorney is hired for the Council. 

For R-368, it was moved by Irizarry, seconded by Petrick. Pabon voted, “No.”

For R-369 & R-370, Council President William Petrick said he was withdrawing both resolutions because the City had no legal representation present. R-371 was moved to be put on the agenda for the next Regular Council Meeting (9/9/19). 

Councilwoman Milady Tejada and Councilman Helmin Caba were absent.

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