11/22/21 Council Meeting
By: Katherine Massopust
SOUTH AMBOY – Council President Mickey Gross explained Resolution No. 21-227 – Resolution approving an interlocal agreement between the City of South Amboy and the County of Middlesex for Public Health Services and Environmental Services. Gross stated, “Every town has a Health Department and a licensed Health Inspector who handles complaints. There is air, water, solid waste, noise and a nursing division.”
The consent agenda was passed. Everyone voted “Yes” but Council President Mickey Gross who abstained on 227 (because he works for the County Health Department).
When it came to the second reading/adoption of Ordinances 2021-19 (Manhattan Beach Phase 1 Urban Renewal LLC) and 2021-20 (SA 101 Main Street Urban Renewal LLC) there was one last discussion from the council, then the public was allowed to speak on the ordinances.
Council President Mickey Gross thanked City Representative Attorney Kevin McManimon on behalf of the city and all the representatives from Manhattan Beach, SARA and the Mayor and Council. “Hats off to everyone.”
The first person who spoke about the PILOT was Councilman Tom Reilly. “Has the city of South Amboy applied for any grant monies? Moving forward the Brownfield Financial Assistance and EPA Brownfield Assistance”?
Business Administrator Glenn Skarzynski answered Reilly, “We applied for and got a grant for the sewage treatment plant. We are not made available any grant money.”
Reilly stated, “There are a whole host of grants available. The DEP (Department of Environmental Protection) discharge remediation funds. I want to know where we are with any of these grants. I spoke with a LSRP (Licensed State Remediation Professional) who said he works with Carteret and Woodbridge.”
Attorney McManimon answered, “Under BBA are very specific requirements. They’re probably for given properties. I don’t know.”
Reilly continued, “Did the Redevelopment Agency hear about these grants?”
A representative from SARA answered, “Multiple grants have been granted. There were funds to identify remediation efforts needed with the land more than a decade ago.”
Anthony Marchiagiano, Principal and Managing Member of March Development stated. “We received around $250,000. The money was used for preliminary investigation used for the initial remediation. The first round of injections goes off tonight.”
Reilly insisted, “I have not seen the report from the LSRP. I want to that report.”
Marchiagiano said, “It is precisely $8.3 million for the remediation. After more than a year of mediation with South Amboy, we have numbers we were satisfied with.”
Reilly then again asked if they got any grant money.
Marchiagiano answered, “We filed for $1 million. We applied to improve the wildlife resiliency. We were turned down.”
Reilly then stated, “The Brownfield Developer worked with Woodbridge.”
B.A. Glenn Skarzynski stated, “The HDSR Grant went to SARA for remediation. This was in 2014. We did not apply. Woodbridge got $5 million. We got $250,000.”
Skarzynski explained, “They grant money for Brownfield Remediation Systems. We’re yet to locate one we can successfully apply for.”
Gross then added it is evaluated by a case-by-case basis.
Councilman Brain McLaughlin then said, “I’m against residential PILOTS. We are getting a commercial property, and something taken off our hands. I commend SARA.”
Council President Gross added, “48 low-income apartments – where?”
Attorney McManimon answered, “There are several potential sites of the property. If I can’t find potential places, we can build in Phase 3.”
Mayor Fred Henry added, “They will be built. We just don’t know where.”
B.A. Skarzynski stated, “There piece of property next to Delaney Homes.”
Public Portion on 2021-19-2021-20:
The first person to speak was Resident Mary Szaro, “I looked at the agreement (Section 3; Phase 1) of the Hazardous Remediation Site. Can you explain this?
Mcmanimon answered, “The maximum duration of the PILOT is 30 years for completion. In 35 years, since passing, we enter in the agreement. If it is 8 years, then we have 27 years.
SARA Commissioner Dave Kales came up to speak, “Members of SARA were asked to take this project. That’s a problem on me and on all of us. The Developer did what he said he was going to do. It is on them. $1.4 million is what we are getting. You cannot say it is not a beautiful project. It indemnifies the city. The PILOT is based upon gross income. We will be able to use the Waterfront (there). The city is responsible for police, fire, and first aid. That’s all. It is not Section 8. It will be final in Phase 3. The traffic flow – it gives one way out (of South Amboy) you don’t have now. This is where we are at. Look at this piece of property. Open your minds to what you have here. You (Councilman Reilly) gave me something to think of (available grants). Any liability – they took it. Don’t gamble with our money.”
Councilman Reilly said, “I understand what Mr. Kales has said. It is a 30-year PILOT. After the PILOT is over, the owner will make a ton of money. The most valuable piece of property is for our schools. All the grant monies out there – I hope we do it moving forward.”
Resident Greg Babolack said, “I want to address comments to Ms. Dato. People were getting hurt. I take that as fair. The contamination has been hurting us and beyond.”
Councilwoman Zusestte Dato said, “The contamination there has existed for decades. Our long-term commissioners had to deal with it for years. It can be moving past South Amboy. That contamination will continue to grow beyond.”
Babolack asked, “How long has the property there been contaminated?”
Council President Gross answered, “40 years.”
Babolack said, “We didn’t have the same urgency before, but we have now.”
Law Director Francis Womack then said, “We are facing impending litigation. We have not said in a public meeting that we are liable for anything. This is what the state requires of a hazard. It is privately owned property.”
B.A. Glenn Skarzynski added, “The property where the sewage treatment property is at – that parcel as it stands right now falls for it to clean.”
Anthony Conrad who is also a SARA Commissioner came up to speak. He said, “There is a cost to cleaning it up. $10 million is tremendous for a property. No city wants an added tax burden. Let the developer clean it. The city saves money. If the site is not cleaned up, that is liability the city will have to take. I for one do not want any more financial impact. $200 million. Baseline $50 million low end – in revenue to the city.”
Council President Gross then asked for a vote on 2021-19 – Ordinance of the City of South Amboy, County of Middlesex, New Jersey approving application for a long term tax exemption and authorizing the execution of a financial agreement with Manhattan Beach Phase 1 Urban Renewal LLC.
The vote went as follows: Dato, McLaughlin, Noble voted “Yes”; Reilly, Gross voted “No.” Motion passes.
Ordinance 2021-20 – Ordinance of the City of South Amboy, County of Middlesex, New Jersey, approving the application for a long term tax exemption and authorizing the execution of a financial agreement with SA 101 Main Street Urban Renewal LLC.
The vote went as follows: Dato, McLaughlin, Noble voted “Yes”; Reilly, Gross voted “No.” Motion passes.
Council Comments:
Vice-President Christine Noble thanked Mr. Kales and everyone on SARA for their work. “Have a safe and Happy Thanksgiving”.
Councilwoman Zusette Dato said, “This is the most important PILOT and cleaning up a blighted area. It is important for our city. I want to thank everyone who voted for it. Have a great Thanksgiving. Be generous. Be kind.”
Councilman Tom Reilly said, “Bringing Jersey City – $12 Billion property value – Jersey City bonded out too many PILOTS. I want to thank the food pantries and first responders. The Friends of South Amboy will be having a fundraiser on December 18th. There will be 4 basketball games: 2 p.m., 4 p.m., 6 p.m., 8 p.m. Happy Thanksgiving to all!”
Councilman Brian McLaughlin said, “Thank all who volunteer at the food pantries and the Friends of South Amboy.” He then read off a list of people and organization and businesses who volunteer. “We are all still deep in this pandemic. The bid was awarded to renovate the little league fields and the Fire Department got their new trucks.”
Council President Mickey Gross said, “I want to thank the food pantries, first responders. Happy Thanksgiving. Everyone be safe. Every time there is a fire, 150 volunteers go to the fire. We care about each other and do the right thing here.”
Mayor Fred Henry said, “Mr. Reilly brought up about PILOTS failing Jersey City. They do not audit their PILOTS. The City of South Amboy audits their PILOTS every year. We don’t offer PILOTS to every project. I want to thank City Engineer Mark Rasimowicz for the renovation of our ball fields. Our streets are getting paved. Since I’ve been here, Mark paved 70% of our streets. I want to compliment Anthony Marchigiano (and Manhattan Beach LLC). Sacred Heart Church is celebrating their 125th Anniversary. I want to thank the County Commissioners and Ron Rios. There was another beach cleanup by Jay Elliot.”
B.A. Glenn Skarzynski said, “Happy Thanksgiving. The Rotary Club is honoring 6 individuals: 3 South Amboy Residents and 3 Sayreville Residents. I want to thank them for their volunteer efforts.”
Law Director Francis Womack stated the city is still in litigation with Venetian and the City is having a discussion with the Ferry Operators.
City Engineer Mark Rasimowicz stated the city is paving South Broadway and North Feltus Streets.
Public Portion:
Resident Brandon Russell Came up to speak. “I came here to speak about the PILOTS. I had come when Dave Kales (gave his presentation at the October 20th Regular Meeting).” He asked Gross why he voted, “No,” on the PILOT.
Gross answered he had his reasons.
Russell then asked if meetings could be advertised on social media. B.A. Skarzynski said they can do that. He also explained that at the end of the day, elected officials determine how the money is spent.”
Gross said, “That is why we have council meetings.”
The meeting adjourned at 8:18 p.m. All council members were present.
