During the prolonged considerations prior to the Monarch matter there were a few other items battered about.
One was the question of dispensing with the printed material for the Council and providing all meeting material in "pdf" format. Mapp suggested that the city provide laptops specifically for that purpose since the material would be publicly available. There was a great deal of speculative discussion ultimately with the suggestion that somebody (Administration) would look in to it and report back.
The subject has some merit, however how effective it would be is doubtful. Obviously the size and weight of their packets had spooked the Councilors. How many had read it is questionable. How many would be able to absorb the same amount of material on the Internet is equally controversial. What and how would material be made available to the public? Would those with no computer access be shut out? How would archival needs be met?
A presentation from Granicus was of interest. This organization among other activities makes available on the Internet video, live and "taped' meetings a swell as the black and white documents. The material is segmented so that one could only watch what he was interested in.
The big negative on a wonderful service is the cost. A one time start up charge of $9 to 12K and a monthly charge of $900.00 . Brick Township is using this service and supposedly Somerville is considering it. A visit to the website Granicus.com suggests that it would be of value to the public, the cost, although negotiable, being a very negative factor.
I for one would have found it valuable to go back and not have missed the granting of a new PILOT to the new owners of the Cedarbrook Senior Apartments. How many other PILOT programs besides Park-Madison, and the Tepper building exist in Plainfield? Are all the "garden apartments" beneficiaries of tax abatement or PILOT tax relief. Are any of the condos apartments etc charged full rate?
After the Monarch vote the rest of the session was routine except for a resolution awarding another engineering contract for 140K to Remington & Vernick as an approved preferred vendor. Councilman Storch questioned why these contracts were not put out for bids. Despite city's objections the matter was postponed. Incidentally R&V is mentioned in the Soprano State.(page 91 paperback)
Has any one reconsidered the monthly meeting schedule and reverting to the biweekly meetings of yore. Certainly the length is directly related to the material to be covered and the need for information that seems to be often promised but not delivered. Moreover the present single monthly meeting has often results in having to meet an imminent deadline. Flexibility in obtaining data can be compromised .
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Tuesday, August 11, 2009
COUNCIL MEETING POTPOURRI part 1
It is a blessing to have Bernice report on the Council meetings. Plaintalker is factual and concise. The report on the "Tax abatement Monarch ordinance mirrors completely the long discussion that took place.Indeed one had to be there to understand that Corporation Counsel Williamson's role was not one of a legal advisor but as the author of the Ordinance. Thus, he was very active as the Administration's protagonist in trying to move the Ordinance for vote next Monday.
Williamson stated that the Monarch project was a partnership between Plainfield and the developer. However, neither he nor City Administrator Dashield could present the Council with convincing numbers to justify acting on the abatement. Dashield based his figures on a unit sale at $279000.00. Councilors questioned if that would be the going price in today's market, or if it was inflated.
Council members also questioned the wording of the ordinance as to who would be the beneficiary of the tax abatement and whether the abatement was transferable to a subsequent unit purchaser or only to the original unit owner. Williamson was of the opinion that the abatement would be in effect for the five year period.
It was learned that Dornoch or one of the shell corporations was paying taxes only on the land. Taxes on the building would not be applicable until a Certificate of Occupancy was issued. Since except for the model units the kitchens and bathrooms have not been finished pending customization for each unit owner the building is considered not eligible for occupancy.
When the Tax Assessor was queried why the structure was not subject to taxation as an improvement on the land, the response was that the builder was always given an unspecified period of time to obtain the CO before taxes were levied, but the structured could be taxed as is.
In the more than an hour before the Ordinance was presented for action, there were other items that resulted in Council deliberation. One was Councilman's Storch report on matters concerning the City's Planning Board, pointing out that it can only express an opinion and that action rests with the Council.
The Dudley House status generated a prolonged exchange between Council members and Dashield. There was a 51 page detailed documentation of the proposed services by Organization for Recovery in the member's packet. Dashield noted that grant money would not be available before October at the earliest. Also Dudley House had to be certified by the State before it could resume operation and that the tentative agreement expired on 12/31/09 and provision had to be made for the next year.
Mapp introduced a suggestion that Palinfield revert to a calendar financial year rather then continue the present July 1 to June 30 Fiscal year. Although there was resistance expressed by Dasheild in part due to the lack of a CFO there was a consensus to explore the merit's of the change. It was pointed out that the State delayed its extraordinary municipal appropriations equally as long for those on a calender year as on a fiscal year. However a change would eliminate the confusion in the tax year bills which are on a calender base.
Dashield deferred his report on the status of the road renovations until Monday's meeting.
Williamson stated that the Monarch project was a partnership between Plainfield and the developer. However, neither he nor City Administrator Dashield could present the Council with convincing numbers to justify acting on the abatement. Dashield based his figures on a unit sale at $279000.00. Councilors questioned if that would be the going price in today's market, or if it was inflated.
Council members also questioned the wording of the ordinance as to who would be the beneficiary of the tax abatement and whether the abatement was transferable to a subsequent unit purchaser or only to the original unit owner. Williamson was of the opinion that the abatement would be in effect for the five year period.
It was learned that Dornoch or one of the shell corporations was paying taxes only on the land. Taxes on the building would not be applicable until a Certificate of Occupancy was issued. Since except for the model units the kitchens and bathrooms have not been finished pending customization for each unit owner the building is considered not eligible for occupancy.
When the Tax Assessor was queried why the structure was not subject to taxation as an improvement on the land, the response was that the builder was always given an unspecified period of time to obtain the CO before taxes were levied, but the structured could be taxed as is.
In the more than an hour before the Ordinance was presented for action, there were other items that resulted in Council deliberation. One was Councilman's Storch report on matters concerning the City's Planning Board, pointing out that it can only express an opinion and that action rests with the Council.
The Dudley House status generated a prolonged exchange between Council members and Dashield. There was a 51 page detailed documentation of the proposed services by Organization for Recovery in the member's packet. Dashield noted that grant money would not be available before October at the earliest. Also Dudley House had to be certified by the State before it could resume operation and that the tentative agreement expired on 12/31/09 and provision had to be made for the next year.
Mapp introduced a suggestion that Palinfield revert to a calendar financial year rather then continue the present July 1 to June 30 Fiscal year. Although there was resistance expressed by Dasheild in part due to the lack of a CFO there was a consensus to explore the merit's of the change. It was pointed out that the State delayed its extraordinary municipal appropriations equally as long for those on a calender year as on a fiscal year. However a change would eliminate the confusion in the tax year bills which are on a calender base.
Dashield deferred his report on the status of the road renovations until Monday's meeting.
NO POTPOURRI NOW
The Council meeting lasted until midnight. Too late to report on anything except that the Monarch Tax abatement ordinance should not be on the agenda next Monday after receiving 3 out of 6 votes against it at this time. More much later
Monday, August 10, 2009
TAX ABATEMENT NIGHT
Since tonight is the Council's agenda fixing session, and since the "Monarch Ordinance" will most likely be a point of major discussion, I am reprinting what Councilor Burney wrote along with my rebuttal. I will concede that my points may be weak, but his have little substance. I am also aware that Councilwoman McWilliams posed 8 questions to be answered on her blog. Most are addressed in my comments.
This project must succeed and here are the reasons:
Current downtown development plans come to an end. The failure of this project will have a drastic effect on the future development of downtown. Right now, we are looking to develop over 160 units downtown. These units at best will break ground in six to twelve months and will come on the market 1-2 years after that. Hopefully the economy will have improved by then. But if this condo project fails, then banks will be reluctant to lend monies to other developers. This drought of financing will last 5-10 years and leave downtown in its current form for the next many years.
This project must succeed and here are the reasons:
Current downtown development plans come to an end. The failure of this project will have a drastic effect on the future development of downtown. Right now, we are looking to develop over 160 units downtown. These units at best will break ground in six to twelve months and will come on the market 1-2 years after that. Hopefully the economy will have improved by then. But if this condo project fails, then banks will be reluctant to lend monies to other developers. This drought of financing will last 5-10 years and leave downtown in its current form for the next many years.
There is no proof that this project which is at the periphery of the downtown will impact on future development. The only plans are the Landmark projects which the developer has been having problems financing. In fact the administration tried to pass a resolution requesting $15 million stimulus money for those condos.
If the Monarch is rental or Condo will not make our morbund downtown more attractive for banks to lend money for new stores. The total atmosphere must be changed. Instead we should focus on a major revitalization of the central city commercial area as well as the RR corridor.
There is no 5 to 10 year plan nor has one been considered except approving various entrepreneurial developers who are very slow in producing anything, and are always asking for changes that will benefit them.
$6M in loss of new revenues. Take 160 units times seven-and-a-half years times annual tax roll and what do you get? 160 x $5,000 * 7.5 = $6,000,000 in tax revenues. I am not counting the commercial base of taxes on the ground floor of these units, and I am not including the employment and other benefits including the enjoyment and use of these commercial establishments by our residents. I am talking about resteraunts, night clubs, etc. etc. This is just the loss of revenue from our inability to secure financing for these projects.
Numbers and mathematics based on what? The ordinance is for five years and would be for taxes based at either 40% or 60% of the condo's assessed value-based on sales price. The restaurants and "night clubs" are a figure of imagination at present. None of the proposed condos seemed aimed at a population that would support such amenities. Nor would the present business district attract outsiders. The tax numbers that others have thrown around are just conjectures.
Risk of the Monarch turning into rentals. Don't know if the developer would ever do that, but one never really knows – if he is unable to sell them what should he do to pay his taxes and his mortgage? Rentals continue the city along a path that the political leadership have stated time and again that we do not want to do. We need a more balanced approach to development and more apartments are not the solution for us.
There is no provision that I or the public are aware of to prevent turning the units into rentals. The present on the table plans are for residential units with some commercial space in all new development. This is the path the city has entered. The residential units are supposedly to be for condos but the numbers are staggering so it is inevitable that if built many if not most will become rentals.
This project as well as the others as presented will only attract middle to low income purchasers. As a Transit Village the lack of direct access to the City will steer potential buyers towards the two routes that have direct access. The new tunnels and stations are years in the future and the conversion of the Raritan Valley line to accommodate trains that could pass through the tunnels is not even on the books.
Continued property tax increases - no relief – early this year, the Citizens Budget Advisory Committee advised the council that the Council should raise property taxes 5%. Such increases - higher than the rate of inflation will continue for the near future unless we are able to secure new sources of taxation. 160 condos downtown would mean new taxes. If they were not built – no new taxes and guess who gets to foot the bill?
What guarantee is there that 160 units as condos or rentals with tax abatement would generate enough taxes to support the necessary city services required?
Similar to Dornoch/Fishman's problems with projects in other towns, Landmark Developers, Frank Cretella's building enterprise, is also having problems raising capital for Plainfield and other New Jersey projects. These entrepreneurs are able to insulate each project to limit losses and stand to make a profit or be able to walk away. Plainfield taxpayers should not be required to provide for their profits.
I would suggest that a reading of recent and past postings on "Plaintalker" and Plainfield Today will help understanding some of the issues. Plainfield Plaintalker is non political and factual in her postings.
I admit that I paint a bleak picture but in this case the developer already has received tremendous perks from this city and we do not have to be his sales agent. If the units are saleable he should price them for the market.
Sunday, August 9, 2009
IMMORTALITY
Immortality: Perhaps one of the three main driving forces for our prehistoric human ancestors to develop religions was the need to explain natural phenomena, the fear of the unknown, and the fear of death.
To believe that at the moment of death the individual just ceased to exist, that he was and had been nothing was unconscionable. Part of the escape from that unacceptable situation was the belief of an afterlife somewhere with one's gods. That is common in all religions from time immemorial as represented by burial practices.
Today’s three religions of the “people of the book” continue that same concept of life after death hopefully within the realm of the personal deity. All religions do have provisions for the unworthy. In the bible descendants of Adam and Eve lived for hundreds of years but somehow that ability was lost by Abraham’s time. Yet their lives were finite.
Also from time immemorial people have sought ways to prolong their lives by seeking fountains of youth; Ponce De Leon being one of the most famous. Others tried “magic potions” or other modalities. Many became victims of charlatans who did not worry themselves until their own death was imminent.
Obviously the Greeks were concerned, as shown in these two quotes; "The soul of man is immortal and imperishable". Plato (427 BC - 347 BC), and "Seek not, my soul, the life of the immortals; but enjoy to the full the resources that are within thy reach." Pindar *(522 BC - 443 BC),
More recently Martin Luther King Jr. wrote "Ten thousand fools proclaim themselves into obscurity, while one wise man forgets himself into immortality".
Strangely, the truth is that you and I as well as every living thing on this earth are immortals. Moreover each one of us caries the seeds of our own immortality. And we can continue to be immortal as long as we do not permit any egomaniac to destroy life on this planet.
It is science that proves these statements. It is in the DNA. Today there are companies that can trace ones ancestry back to early man in Africa and where ones ancestors have roamed. That early humanoid is still immortal because part of him is in you and many others all over this earth.
What produced this diatribe? Last weekend we had a family gathering and as I looked at our 5 great grandchildren the thought struck m e that there is Helen’s and my immortality. When we are no longer here part of us still lives on. What more can one asks for.
For all who profess a faith don’t abandon it because I or someone else claims that everything is explained by science. We humans need something to cling to especially in times of stress. No one can absolutely determine what happens to the soul after life ceases. There may or may not be an afterlife, that we will find out if we have any consciousness left after body death.
My Immortality:
* Pindar was a great Greek lyric poet who lived at the time of the Persian wars. I have not read any of his works. I never studied Classical Greek ,thank goodness. I had enough trouble with 2 years of High School Latin.
To believe that at the moment of death the individual just ceased to exist, that he was and had been nothing was unconscionable. Part of the escape from that unacceptable situation was the belief of an afterlife somewhere with one's gods. That is common in all religions from time immemorial as represented by burial practices.
Today’s three religions of the “people of the book” continue that same concept of life after death hopefully within the realm of the personal deity. All religions do have provisions for the unworthy. In the bible descendants of Adam and Eve lived for hundreds of years but somehow that ability was lost by Abraham’s time. Yet their lives were finite.
Also from time immemorial people have sought ways to prolong their lives by seeking fountains of youth; Ponce De Leon being one of the most famous. Others tried “magic potions” or other modalities. Many became victims of charlatans who did not worry themselves until their own death was imminent.
Obviously the Greeks were concerned, as shown in these two quotes; "The soul of man is immortal and imperishable". Plato (427 BC - 347 BC), and "Seek not, my soul, the life of the immortals; but enjoy to the full the resources that are within thy reach." Pindar *(522 BC - 443 BC),
More recently Martin Luther King Jr. wrote "Ten thousand fools proclaim themselves into obscurity, while one wise man forgets himself into immortality".
Strangely, the truth is that you and I as well as every living thing on this earth are immortals. Moreover each one of us caries the seeds of our own immortality. And we can continue to be immortal as long as we do not permit any egomaniac to destroy life on this planet.
It is science that proves these statements. It is in the DNA. Today there are companies that can trace ones ancestry back to early man in Africa and where ones ancestors have roamed. That early humanoid is still immortal because part of him is in you and many others all over this earth.
What produced this diatribe? Last weekend we had a family gathering and as I looked at our 5 great grandchildren the thought struck m e that there is Helen’s and my immortality. When we are no longer here part of us still lives on. What more can one asks for.
For all who profess a faith don’t abandon it because I or someone else claims that everything is explained by science. We humans need something to cling to especially in times of stress. No one can absolutely determine what happens to the soul after life ceases. There may or may not be an afterlife, that we will find out if we have any consciousness left after body death.
My Immortality:
* Pindar was a great Greek lyric poet who lived at the time of the Persian wars. I have not read any of his works. I never studied Classical Greek ,thank goodness. I had enough trouble with 2 years of High School Latin.
Saturday, August 8, 2009
Supplemental Potpourri Friday 7 August.
Today's Courier lists 9 Central NJ Communities that received extra ordinary grants from the state. Like the list of Communities receiving COPS stimulus funds some one seems to have overlooked Plainfield's name. Perhaps it was because the request was due in April and with only two more months left in the FY Plainfield was still without a budget.
The City site in two places lists the requests for "stimulus funds" One I believe an original wish list and the other a series of very recent power point slides showing the up to date status. Worth reading both to receive an idea of our readiness to apply for funds and our ability to obtain them.
the request for 8.6 mil under Homeland Security for the fire station replacement seems appropriate, and if approved would be one that fulfills the aims of the program.
Other areas need explaining;
In my Donrnoch post the following paragraph should have sent me back to English 101;Most speculative entrepreneurs will use a separate shell company for each venture, so that any financial risk is limited to that particular project. Like wise, retail chains (of the) will separately incorporate a shell company for each store leased. (in order that if it) If the unit is not profitable the retailer can walk away without any financial from the lease (without any financial) risk since it is held by a shell corporation. There is nothing wrong in protecting ones assets. Changes for the better are in boldface, deletions in brackets.
I will accept at any time from any pedagogue a slap with a wet noodle if my English context drops to modern urban standards. However there will never be a "you know".
The City site in two places lists the requests for "stimulus funds" One I believe an original wish list and the other a series of very recent power point slides showing the up to date status. Worth reading both to receive an idea of our readiness to apply for funds and our ability to obtain them.
the request for 8.6 mil under Homeland Security for the fire station replacement seems appropriate, and if approved would be one that fulfills the aims of the program.
Other areas need explaining;
- The Byrne Justice Assistant Grant $341.635 seems to be a formula grant- no application needed
- The Housing Authority Capital Funding $1038896.00 award. Was this applied for by the City or the Authority. If the later the City should not take credit for that grant.
- The Brownfield Grants have been state or federal funded in the past? If so that does not denote new funding.
- Only 10% for Clean and Drinking water Grants; $81,000 out of $895,000,000 request. That is a poor result, what were the parameters of our application.
- The Community Development Block Grant ($4000,888.00) was less tha 50% applied for.The Neighborhood Stabilization Program (500,000) was 25% less than requested.
- Of great interest is the WORKFORCE DEVELOPMENT GRANT; The city applied for $76,599.00 and received $102,132.00. My hat is off to the individual who somehow received more than asked for.
- The Transportation Enhancement Grant request for $7,500,000.00 is for what purpose?road repairs, since we do not have municipal public transportation'
- Likewise what is the estimated $1,685,000.00 request " Recommended by NJTPA" to the Surface Transportation Program (federal) administered by NJTPA'
In my Donrnoch post the following paragraph should have sent me back to English 101;Most speculative entrepreneurs will use a separate shell company for each venture, so that any financial risk is limited to that particular project. Like wise, retail chains (of the) will separately incorporate a shell company for each store leased. (in order that if it) If the unit is not profitable the retailer can walk away without any financial from the lease (without any financial) risk since it is held by a shell corporation. There is nothing wrong in protecting ones assets. Changes for the better are in boldface, deletions in brackets.
I will accept at any time from any pedagogue a slap with a wet noodle if my English context drops to modern urban standards. However there will never be a "you know".
ONLY POTPOURRI
Treading water at present, awaiting free time and inspiration. At least Friday was a day in a million, perfect in every way.
Congratulations are in order to the "We the People" for our newest Supreme Court Justice, not only a woman but a Hispanic/American. We are still progressing down the road of equality but there is yet a long ways to go.
Congratulations to Superintendent Gallon and the Plainfield BOE for action that has resulted in the removal of the high school from the most dangerous list. There are positive signs to an outsider that at last the system is moving in the right direction. The administration needs the support of all as long as this trend continues.
The telephone fiasco at City Hall is unacceptable. Responsibility can not be the lack of a Director for IT, but for those who authorized the installation of the system without proper knowledge and apparently employing unqualified personnel to install the systems. The Council should be given a review of the entire process from inception.
Monday is supposed to be hot, I hope the AC is working in the City Hall Library. I expect a large turnout for the meeting
Congratulations are in order to the "We the People" for our newest Supreme Court Justice, not only a woman but a Hispanic/American. We are still progressing down the road of equality but there is yet a long ways to go.
Congratulations to Superintendent Gallon and the Plainfield BOE for action that has resulted in the removal of the high school from the most dangerous list. There are positive signs to an outsider that at last the system is moving in the right direction. The administration needs the support of all as long as this trend continues.
The telephone fiasco at City Hall is unacceptable. Responsibility can not be the lack of a Director for IT, but for those who authorized the installation of the system without proper knowledge and apparently employing unqualified personnel to install the systems. The Council should be given a review of the entire process from inception.
Monday is supposed to be hot, I hope the AC is working in the City Hall Library. I expect a large turnout for the meeting
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