Condemnation Issues 7/12/16 PARA Meeting
PERTH AMBOY – R:07:16:15 – Resolution of the Perth Amboy Redevelopment Agency authorizing the issuance of a Certificate of Completion to Gerdau Ameristeel, Perth Amboy Inc.
Joseph Hanrahan of Hammer Land Engineering came forward to speak about this proposal. “We’re talking about $100 million of development on part of the 91 acres of the Gerdau Ameristeel property located on Elm Street. There are two buildings: one with 1.3 million square feet of steel operation and one with 45,000 square feet for water dependent use. There will be an extension incorporating Riverview Drive for warehouse distribution, trucking, vehicles, and a loading dock. 21% of open space and existing utilities will be used incorporating storm water. We met with the DEP (Department of Environmental Protection). There will be different system basins for water retention.”
After Hanrahan spoke, Michael McMullen from Catalyst Development Partners came forward to give a brief environmental summery of the existing site now. “The steel mill stopped existing in 2006. Prior to the 1970’s, copper smelting had started in the 1890’s. From the 1890’s through the 1970’s we didn’t have the same environmental sensibilities that we have in place now. In 2013, environmental investigation began. Now remedial investigations are needed. There are 89 areas of concerns with the storage tanks. Many were removed during historic excavations. As far as the ground water, metals were spread throughout the site as well as organic compounds. We’re looking to demolish all sites on the properties except for two historic buildings. We’ll remove all remaining storage tanks. A lot of contaminants can be capped by placing clean soil on the site first. This will prevent on site contamination which is widespread. The site can only be used for industrial use – not for hospitals or schools. It will take from six to nine months for demolition to take place. The remediation will start after that. Capping will take no more than 18 months.”
PARA Board Member Geri Bolanowski was concerned about the vapors on the site. McMullen answered, “That will be taken care of.”
Bolanowski also questioned the type of tenants that can utilize this property. McMullen answered, “Warehouse or logistic tenants similar to Amazon or those who deal in bulk material.”
PARA Member Elaine Jasko wanted to know what the projected cost would be. McMullen answered, “In the 3 to 6 million dollar range. We use private money for cleanups.”
Board Member Allan Jacobs mentioned the beautiful Waterfront. He stated, “Given contaminants, the use for this site you presented to us is viable. Will there be a significant grade change? Please consider a walkway along the railroad level. Perhaps a road access under the railroad to Riverview Drive to Sadowski Parkway would be good to go along with the Master Plan of the Train Station.”
One of the presenters said, “We will look at the Waterfront connection.”
Board Member Mayor Diaz thanked Hanrahan and McMullen for looking at the site which has been abandoned for 20 years. “This will bring ratables to the City. Some of the positives were cleaning the site, initiatives for using this site remediations, and the investment of a $100 million project. I welcome you. I’m glad you took our recommendations for the open space.”
PARA Attorney Joseph Maraziti gave a brief breakdown of what would be involved for approval of this project, “There has to be an interim cost and Designation Agreement and a conditional redeveloper of the site. There’s also a funding cost of an agency, major elements of the project and more identification of commencement dates. This has to go through different agencies for evaluation.”
After Maraziti spoke, Executive Director Annie Hindenlang spoke about Landings Developer Charles Kushner. “Kushner is responsible for trash along the Waterfront area of his property. As far as why rentals are needed, it’s what the market demands. In reference to the E-Port Bridge buildings, the first one should be completed in September 2016. The next phase will start in the Summer of 2017. The Board of Education will not give us the piece of property for the connector road. (Rte. 440 and Amboy Avenue.)”
When Hindenlang mentioned the school property, the Mayor was not happy. Diaz stated, “It will alleviate the traffic if we had that piece of property.”
After the Mayor spoke, Board Attorney Maraziti made a suggestion, “ You can apply condemnation to get that piece of property. I don’t know why the Board of Education would need that piece of property. The power of the City to condemn is unfettered. Board Member Allan Jacobs questioned if the connector road is in the Master Plan.”
Hindenlang answered, “Yes.”
Diaz asked about the study involving the train station.
Hindenlang gave a brief report, “The North Jersey Grant Program were used for the Pedestrian and Bike Friendly areas. We pulled back some of the areas for the transit village around the train station.”
Diaz said, “Some of the residents and businesses were concerned that their properties were being taken.”
Hindenlang explained, “The Redevelopment Area would expand to incorporate the existing properties if they fit the criteria.”
Diaz said, “The businesses were concerned if this was going to be introduced.”
Joseph Hanrahan of Hammer Land Engineering gives a presentation on the Gerdau Amersteel Property at the 7/12/16 PARA Meeting while other speakers wait to go before the PARA Board Members to give additional information. *Photos by Carolyn Maxwell
Board Attorney Joseph Maraziti spoke about these concerns, “Two years ago, condemnation didn’t exist in the study, but now laws have changed. Concerning the Kusner Property, condemnation was used. In the dry dock area condemnation was used for investigation area purposes. The power does exist for condemnation. That’s why notices by stature have to say this. The Planning Board will have a hearing about the recommendations. The City Council makes a final decision on the Planning Board recommendations based on sites if they meet certain criteria. The Planning Board has to look at each site. The City Council can adopt, but it has to go back to the Redevelopment Agency, then back to the Council. It’s a two step process that has to be kept separate. We make nonbinding comments.”
The next person to speak was Thomas J. Herits who gave the Engineer’s Report. He was surprised that the Board of Education did not approve giving up the property to connect the road to the E-Port Center. “There are bonds proposed for that site.”
This prompted Mayor Diaz to state, “It’s important that City Residents get employment with these new facilities being built.”
Board Attorney Joseph Maraziti made a comment about the Gerdau Ameristeel Project. “When a Certificate of Completion is issued, all redevelopment powers will be gone. Cleanups will provide benefits for public health.”
During the public comments, Frank Salado who has a twenty year business on Smith Street came up to speak. He thanked the PARA Attorney for doing a great job when speaking. “If people decide to sell their businesses, we will have nothing left. At any point they may have to use it (for redevelopment), the tenants will be up in the air. Will you be able to buy a business if your not certain if it will still be there? Is there some way that you can understand our concerns? We are a City that needs jobs. I’m happy to see development on the Elm Street site.”
After Salado spoke, a Resident from the Landings came up to speak. She wanted to know if there was any preliminary voting left for the Kushner Plans for a new development.”
Mayor Diaz responded, “No plans are on the way until we get clarity from Kushner.” Diaz also made comments about the projected plans for the Ameristeel Property. “This area has been blighted for over 20 years and will be brought back to life. I want to thank the public for coming out and I want to reassure you. We are working on projects to bring ratables and employment (for our residents). I hear what the small businesses are saying. I also want to thank all the Commissioners on the Board.”
