PERTH AMBOY – Police Officers, Members of the PBA, and Mayor Helmin Caba are shown after the 4/14/21 Council Meeting. The long delayed contract between the City of Perth Amboy and the PBA was finally approved. Press Release page 6 *Photo by Carolyn Maxwell

4/14/21 Council Meeting

By: Carolyn Maxwell

PERTH AMBOY – At the beginning of the Perth Amboy Council Meeting, Business Administrator Edward Remsen gave a brief summation of the upcoming increase in water rate. “There is a little bit over $540,000 deficit in the water/wastewater utility.”

CFO Jill Goldy then joined the discussion via Zoom. She said, “According to the city code, the water utility can adjust their rates to keep it operational. 46% of funds go to debt services and 52% for statutory or contractual obligations. Some components are not involved in the increase. The Water Utility had a rough year (2020) and was not collecting the anticipated revenue. There was a moratorium put in place by Governor Murphy. Delinquent accounts could not be put in the tax bill. The operating cost of $224,000 had to be raised in 2021. There was over $100 million in deficit. After the moratorium is lifted, some people might ask to make payment arrangements. The moratorium was extended to be continued until July. The drinking water and wastewater is a $24 million a year entity. Over $150 million is the debt for the Water Utility. There is a refunding opportunity to reduce the principal amount. There is a 6-year plan of over $120 million for the Water Utility. A 10% surplus must be maintained. $9.2 million is owed to Woodbridge for the use of their receptor line. Emergency repair money is needed to keep on hand to monitor for contaminants and to notify residents of any contaminants. There is more bad news. One of our cellphone companies that pays us $12,000 or more to use our water towers to put their cellular antennas will not be renewing their contract with us. Currently, there is a low collection of fees for the first few months of this year. We’re still not sure when the moratorium will be lifted and how normal our collections will be. We have to put incoming monies with our trustees to pay different debt services.”

Council President William Petrick asked, “Are there any restrictions on the $16 million we are getting from the federal government?”

Goldy responded, “There is supposed to be 2 allotments. The first that will be coming in late May. The state will not provide any rules or regulations until the federal government puts their rules and regulations in place. It’s a 5-year spending plan. The state will not approve our budget or any municipality’s budget until the federal government sets the rules. The fund should be considered for future use, and they can’t be used to reduce taxes or for the pensions. The budget extension will be for your first meeting in May.”

Councilman Joel Pabon said, “I can’t understand because funds were given because of the pandemic, so why can’t it be used to offset costs caused by the pandemic? $16 million was sent for the pandemic, but it is just sitting there. It makes no sense. Elizabeth used some of the money that they were given to save police jobs.”

Goldy responded to Pabon, “I couldn’t agree with you more. The state made it clear that the funds will not be certified by the city’s budget until the federal government sets their deadline.”

Councilwoman Milady Tejeda spoke next, “Maybe Elizabeth anticipated getting the money, but hadn’t received it, yet. A lot of people already paid their water bills.”

Councilman B.J. Torres asked, “Can we eliminate the use of fluoride in our water to save money?”

Petrick stated that when Luis Perez Jimenez (Director of Operations at the USA-PA (Utility Service Associates Perth Amboy) Middlesex Water Company) was at the previous meeting, he said that the savings would be between $10,000-$12,000 a year if they eliminated fluoride in the water.

The next item on the agenda was the budget hearing for the Police and Fire Departments. Deputy Chief Larry Cattano came up to give the presentation for the Police Department. “There was a small increase due to the purchasing of vehicles and additional police officers and training associated with those new officers.”

Petrick then asked if the Board of Education shares in the expense of the crossing guard’s salaries.

Cattano answered, “No, because it is offsite. At one time, they did.”

Remsen then spoke up, “When the crossing guards were laid off when the schools were closed, we saved a half million dollars. They collected unemployment. We can save $300,000 by outsourcing the hiring of guards to another company without laying off our existing crossing guards. The rate of pay for these guards is between $12 – $22 an hour. An outside management company will save us money because they will be scheduling crossing guards, replacing any of them, and hiring crossing guards. Local residents will always be employed as crossing guards.”

Cattano continued with his presentation, “By having a management company handle the crossing guards, this will relieve our officers from doing school crossings duty.” Cattano then answered the questions regarding how many boats the police department has. “There are 4. 3 are kept in the water and 1 is kept in storage. One is always located by the Cornucopia. All the maintenance of the boats is done by a co-op. We received grants, and we get a match of $5,000.”

Petrick then asked about the $120,222.19 for operating services. 

Cattano said, “That is an agreement with Woodbridge. The handling of our radio systems includes maintenance.”

The next person to come up to speak was Fire Chief Ed Mullen, Jr. “2 years ago, we took over the inspections from Code Enforcement. So far, we have done 1,100 inspections this year. We also run fire prevention programs. There has been no increase. We will be back here on April 26th to go into more details. We had 3 replacement hirees, and each shift has 17 men, which is the minimum you can have. There is no increase in the fire prevention part of the budget. We have a $13,000 increase in maintenance and a new Marine 5 Replacement Boat. There is a $14,000 increase for training. A lot of this training is done in-house. We had to hire fire safety uniforms which were sacrificed in the past, plus $3,000 for replacement of parts due to wear and tear. $250,000 is needed for use to operate to keep our residents safe and for the use of the Fire Academy which cost us to use the facility for fire burns. We can ask the insurance company if there is money to help pay for fire investigation. We’re trying to make fire prevention a priority by having people install detectors and other safety measures. We participate of a lot of water and dive rescues. We go above and beyond duty and it is something to be proud of. We have 1 boat in the marina. We can jump on the boat operated by the Police Department if necessary.”

After Mullen’s presentation, the meeting was opened up to the public on agenda items only.

Resident Stanley Sierakowski came up first. He questioned R-204-4/21 – A settlement of $153,229.50 in the matter of Ayda Abreu vs. the City of Perth Amboy parking utility.

Sierakowski asked what the details were.

William Opel, who substituted for Law Director Northgrave stated, “It was a personal injury of a civilian.”

Resident Junior Iglesia came up to speak, “I am coming up here speaking as a taxpayer. Communication is very important, and the explanation for rate increase for the water was very good. $16 million was received for relief. What is the use of it if it can’t be used for water relief? Write a communication to Senators Booker and Menendez why we can’t use the money for this relief.”

The next person to speak was Mayor Helmin Caba. He wanted to clarify the $16 million. “The state is not holding the money and no town has received the money, yet. It doesn’t mean we can’t use it this year. They need to hear from the federal government first. We are working with the federal government. Let’s not jump to conclusions. We are in touch with our representatives and once the money is released, it will come directly to the city.”

The next person to come up was former Councilman and Resident Fernando Gonzalez. “Every year I was on the council, I was against the rate increase for the water. Privatizing our water put us in debt. How much debt services are negotiated with the Water Department?”

CFO Goldy responded on Zoom, “I don’t have that figure, now. But $70 million of principle – I don’t know which part was from the original funding.”

Gonzalez continued, “We used to make millions of dollars a year on the water before it was privatized. Covid affected us, but it was a past administration who put us in debt. I want to compliment Jill Goldy and her department for the work they do in reducing the debt. It is costing us $25,000 a month to maintain the building on New Brunswick Avenue.”

Resident Alan Silber came up next. He talked about the rate increase for water. “I can’t raise any money, but the companies make sure their CFO’s and shareholders get their money. What have they sacrificed? The people on the bottom get hurt. Research Middlesex Water Company and you can see how much their CFO’s, shareholders, and staff have gained.”

The public portion was opened up to people on Zoom.

Resident Sharon Hubberman was the first person to speak. She asked about the water increase, “Are they having a refund of the bonds because the bonds are now due? Are they tied to other aspects? Maybe we can postpone the decision on the rate increase until we see how we can use the Covid funding. There is a lack of oversight of regulations in the Water Utility. The private side is lucrative.”

CFO Jill Goldy came on Zoom to answer Hubberman’s questions, “The refunding bonds, which are callable, which is now how we can reduce the interest rate. The utility is supposed to be self-sufficient. There was not enough revenue to meet their costs. The Parking Utility and the Water Utility were not self-liquidating or self-sufficient. The Parking Utility did not get all their anticipated revenue, but they were not under water. The Water Utility was not so lucky.”

Resident Dot Daniel came up to speak about R-143-3/21 – Introducing CY: 2021 municipal budget. “I’m hoping there are provisions to give raises to the Police and Fire Departments. I am grateful to live in a city to turn to the Police and Fire Department to protect me. It’s embarrassing that they are the lowest paid in the county but do their job admirably.”

Petrick responded, “They have a contract through the union.”

Stanley Sierakowski came up next, “I suggest the council look at the assessment of properties that were rezoned, especially former commercial properties. I was told that abut 7-8 years ago that this was done for an individual. Look into this because some of those rezoned properties may owe the city millions of dollars. The previous administration should be embarrassed. With the low pay that the Police and Fire Departments get, by contract they should subsidize their housing if they choose to live in the city. Most of the school crossing guards come from low-income families and they will be hurt the most if they are under a private management company. Go to the Board of Education and tell them to pay for the crossing guards.”

Fernando Gonzalez came up to ask what the tax increase will be.

Business Administrator Edward Remsen replied, “It’s a 1.7% increase, but we intend to bring it down to zero.”

Fernando Gonzalez concluded, “I’m thanking the council and Remsen for keeping the citizens in mind.”

CFO Goldy came back on Zoom to answer the question regarding the Water Utility, “In 1999, the principle was $55 million and 70% of the debt is in the Water Utility.”

Sharon Hubberman spoke next via Zoom. “The Water Utility debt of a 6% increase will impact all. What is the cost savings of refunding? The debt service should decrease if the cost was decreasing. The debt was $250 million at one time.”

Council President Bill Petrick proceeded to respond to Hubberman’s inquiry. He explained as if it was a homeowner trying to pay down their debt by refinancing.

Hubberman interrupted him, “You are comparing apples to oranges. You are disrespectful to me and I am not going to put up with it.”

After comments were closed on R-143, the council members voted on the Ordinances. For Ordinance No.1 (no public discussion) RE: the PBA. It was moved by Pabon, seconded by Tejeda. Ordinance No. 2 (Employment of Off-Duty Police Officers) was moved by Pabon and seconded by Tejeda. Ordinance No. 3 (Sewers and Water Rates and Fees) was moved by Tejeda and seconded by Morales. When it came time to vote, Tejeda, Torres, and Morales voted “Yes”; Pabon and Petrick voted “No”.  Ordinance No. 4 (RE: Stormwater Management) was moved by Pabon and seconded by Tejeda.

For Resolution R-187 (Re-appointing Gregory Pabon as a Commissioner of the Perth Amboy Housing Authority to fill an unexpired term ending in December 31, 2023) was asked to be tabled by Morales and seconded by Tejeda. When it came time to vote for tabling it, all voted “Yes” except for Pabon who voted “No”.

Pabon asked for R-188 (Reappointment of Victoria Ann Kupsch as City  Clerk) and R-214 (Ratifying the Contract between the city and PBA Local 13 for the period of January 1, 2019 – December 31, 2024) to be pulled to be voted on separately.

The consent agenda was R-187, R-189 thru R-213, R-215. That consent agenda was moved by Pabon and seconded by Tejeda. When it came time to vote on R-188 all council members voted “Yes” and Joel Pabon congratulated Victoria Ann Kupsch for her service to the city. R-214 was moved by Pabon, seconded by Tejeda. All voted “Yes”. Councilman Pabon congratulated all that were involved in the PBA contract, “It is well-deserved.”

Public Portion:

Police Officer Daniel Gonzalez who is also the PBA Local 13 Delegate said, “It was a long 2½ year negotiation. I want to thank the new Mayor, the PBA Secretary, and the PBA Vice-President and all who backed us up, including the Fire Department.

Lawyer Daniel Gonzalez came up next. He talked about some of the positive things happening in the city such as the Washington Park improvements, and the lights being fixed. He wanted to thank Asw. Yvonne Lopez and all those involved. “I am looking forward to the new park opening up. We should think about who we are going to name that park after.”

Resident Alan Silber came up next, “We still have problems. I head a 26-year veteran of the Police Department shot someone.” He talked about someone who said $25,000 should  be given to police officers who live in the town or move in the town. “We should improve our schools and property. Since November 3, 2020, a person who ran in the last election said they won big in the election I don’t know of any mayor that got 7,000 votes before. Now people are handing out literature about the November 3, 2020 election, instead of doing it beforehand. They are hiding instead of coming out.”

Deputy Municipal Department Head Housing Dianne Roman came up next regarding the vaccination process. “We all work well together and support each other and the public.” She mentioned Deputy Police Chief and OEM Director Larry Cattano and Hackensack Meridian. “You can sign up if you are over 19 for the vaccination, which is presently Moderna. The churches, foodbanks, and Hackensack Meridian are all working together.”

Councilman Joel Pabon spoke up, “I spoke with a nurse, and she asked if we are doing anything to vaccinate the homeless.”

Cattano came up to respond, “The YMCA and the county had a one-time event. The Johnson & Johnson vaccine was administered at Olive Street. At that time, 55 homeless were vaccinated at Olive Street.”

Junior Iglesia came up (as a citizen). “In New Jersey, the majority of municipalities had concerns regarding the safety of marijuana use. There is strong evidence that marijuana has detrimental effects on IQ and learning. This is a 12-year clinical research study. At the caucus meeting, the President of the Cannabis Association of New Jersey was here. Have you gotten any marijuana business proposals? If so, tell them we are not for sale and a healthy brain is not for sale. There is a problem for our police officers to enforce the laws and many people are at risk. I agree there have been past injustices, but you have the power. We are a community to help and protect each other. Please consider having a presentation with doctors.”

Dot Daniel came up next. “We are on a sealine ridge and we sometimes lose power in the middle of the night. Can we get on a stronger grid? When you approach High Street from outer State Street, you need to paint the yellow lines again because sometimes people are in the wrong lane. I don’t understand why you didn’t vote for Gregory Pabon to be reappointed to the Housing Authority. He meets with all of our client’s and their needs, plus he is quite invaluable. I want to thank Councilman Joel Pabon who gave up his spot as a Housing Commissioner so Gregory Pabon can get his spot back. Gregory Pabon does an excellent job.”

A Resident who has lived in Perth Amboy for 25 years came up to speak. He said, “I am against cannabis, and I am speaking from personal experience. I used to live in Washington Heights in New York at a time when drugs were king. It hurt the minorities, and our property values would tank. Do you want to live in a neighborhood with cannabis businesses? The spirit of the law and the letter of the law is different. You would need to sell $100 million to make $1 million of profit. What about the impact on our kids? We have budget issues now. I was an IT Director of a very rich person in New York. None of you would like to live in a drug infested neighborhood. You will attract people to the city who would just want to get high.”

Dianne Roman came up to translate for Resident Maria Peralta who spoke in Spanish. She thanked Councilman Pabon, Council President Petrick, and Councilwoman Tejeda because they voted to keep Victoria Kupsch as City Clerk (at the caucus meeting). “And also for the council members who voted “Yes” today. Vicky has worked for the city for many years and has never been political. I am asking for the veteran council members to vote “No” for cannabis and we will continue to support you. The 2 new council members want to vote “Yes” for cannabis. The veteran council members know what is good for the city. Property owners are not in favor of cannabis. You will waste money by hiring more officers to take care of the cannabis problem.”

Council President Bill Petrick responded to one of the comments that Peralta had mentioned regarding landlords who have illegal housing. “If you know of anyone who has illegal housing, and you find the landlords, please give us a list.”

Peralta explained, “The city should legalize basement apartments.”

The meeting was opened to Zoom.

Sharon Hubberman spoke. “I want this to be put on public record that the budget discussion should be more transparent. Monday’s presentation on cannabis was very informative. Each municipality can opt out and you can revisit this further down the road. Other towns are choosing to opt out. To safeguard our citizens, I also encourage you to opt out.”

Council Comments:

Councilwoman Rose Morales said, “It was an honor to be at the Washington Park Ribbon Cutting with the new fence and the great beautification done. Congratulations to the police on their contract. I want to address Ms. Peralta’s remarks regarding the reappointment of Victoria Kupsch as City Clerk. I just needed a couple of questions answered. God bless Vicky.” Still addressing Peralta, Morales stated, “I don’t know where you get the idea I am voting “Yes” on the marijuana issue. I want to hear all sides. I want to hear speakers from the medical side and church leaders on why it is not good. I have my opinion, but I want to fair about the pros and cons of it and educate myself about this.”

Councilman Joel Pabon spoke next. “This is a total fiasco regarding committees and how people are put on municipal boards, but I like to be consistent. Only one person was not reappointed. This person who wanted to be reappointed was the only one who put in an application. The Ribbon Cutting at Washington Park was a beautiful day. The park was filled with people and kids.”

Councilwoman Milady Tejeda said, “I wasn’t the first person who brought up about improving Washington Park. I hope we get money for infrastructure. We are way behind on this and we need to go after this money. The administration should be on top of this to prevent bigger troubles.”

Joel Pabon spoke up again, “If I didn’t bring up the issue of the lights being out, where would we be? Many of them are still out. I went to see Asw. Yvonne Lopez and PSEG during the previous administration. We documented who we spoke to when the lights went out. We got a letter sent from a resident on Water Street who complained about noises and graffiti in the park. I’m glad see that Home Depot is hiring. A lot of the flags at International Park are looking bad. Who is responsible for replacing them? They’re having Animal Enforcement Day at the Animal Shelter. They are looking for people to adopt pets. They are good people working there with good ideas. There are trucks on Market Street that are parking near the end of Grant Street. Police will come check when the trucks are parking there. Those trucks still come back. The trucks and school buses parking are getting out of control. A lot of the parks looked good on opening day. The city received an additional 2,000 vaccine shots. The people who administrate the shots are fast and polite.”

Councilwoman Milady Tejeda congratulated the administration for getting the additional vaccines. “People are still getting Covid, and some people are still getting it very badly. My sister got a bad case of it. We all have the opportunity to get shots. I want to thank all for beautifying Washington Park, but it was a resident who told me how dangerous Washington Park was. I want to thank Assembly Speaker Coughlin and Assemblywoman Lopez. I appreciate all that was said tonight, and I am glad that the police got a fair contract.”

Councilman B.J. Torres said, “I am on the Arts Council, and all of our terms expired in December, and as of now we have no Arts Council. I want to wish everyone a Happy Ramadan.”

Council President Bill Petrick said, “This (Arts Council) will be on the next agenda along with appointments for the HPC and the Library Board. I gave names for people whom I believe would be good for the Library Board who will be dedicated and will do research to get grants. I want to thank all who came tonight and there is still work to be done on the budget. We are looking to have a forum to discuss the marijuana issue in May.”

The meeting ended at 9:55 p.m. All members of the council were present in the Council Chambers.