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Soaring taxes, EnCap top issues in NA
(by Corey Klein - October 24, 2007)
Before the end of last year, developer Cherokee Porete, an affiliate of EnCap, sued the borough, claiming breach of contract on a 1,625-home project dubbed "Arlington Valley." The current mayor and council, all Democrats, vocally oppose the plan and have pledged to stop EnCap, eminent domain and low-income housing from coming to the borough. North Arlington, expecting a multi-million dollar cash infusion from the developer this year, raised taxes dramatically to pick up from the shortfall of the expected revenue.
On Nov. 7, Republicans Joseph Bianchi and Richard Hughes will challenge incumbent Democrats Phil Spanola and Mark Yampaglia in the race for two council seats.
Joseph Bianchi (R)
Running for: Borough Council
Age: 66
Family: Married to wife Catherine for 42 years; 3 children, 8 grandchildren.
Education: Attended North Arlington Grammar and High Schools.
Employment: Local businessman, Pal Joey’s Barber Shop since 1965.
Residence: Lifelong resident of North Arlington
Background: Served in the United States Army, honorable discharge in 1960. 26-year member of North Arlington Fire Department, president of Hose Company #1 for four years, currently financial secretary. 24-year member of the North Arlington Planning and Zoning Boards. Chairman of Planning Board for 10 years, Chairman of Zoning Board for 3 years. Member of UNICO, president in 1986 and 1992. Member of North Arlington Rotary, president in 1996.
Richard Hughes (R)
Running for: Borough Council
Age: 54
Family: Married 17 years to wife, Karen; no children
Education: Went to North Arlington Grammar Schools and graduated from North Arlington High School in 1971. Graduated from Luther College, Teaneck, NJ in 1974 with an ARA degree. Attended Rutgers University/Cook College Certificate program for Environmental Health and Law and received a license from the State Health Dept. as a Registered Environmental Health Technician.
Employment: Worked for the North Arlington Health Dept. from 1975 – 1978 as a health inspector. Went to work for Garden State Messenger in 1979 as a branch manager. Currently own the company.
Residence: Lifelong resident of North Arlington
Background: Member of the North Arlington Fire Department since 1974. Served through all the ranks from Firefighter through Chief of the Department in 1995. Fire Department Training Officer from 1996 – 2002 and 2007 to present. Training coordinator for South Bergen Mutual Aid Group from 2003 to present. Certified state fire instructor since 1993. Founding member of the Fire Dept. Hazardous Materials Response Team in 1984; still currently active. Chaired a committee from 1994-1997 that prepared Fire Department for 15 year ISO (Insurance Service Office) inspection. Chaired the Fire Department’s Insurance Committee from 1992 to 1993. Published the Fire Department’s booklet "After the Fire - a Time of Decision" in 1995. Implemented and chaired the Fire Department Length of Service Awards Program (LOSAP) from 1999 to the present. Responded with the fire department to Ground Zero on 9/11/01, working with the recovery operation for several days. 1994 Firefighter of the Year. 1994 Firefighter of the Year North Arlington Knights of Columbus.
Served on the Borough’s water committee from 1983 to 2004. Served on the Borough’s Office of Emergency Management team from 1988 to 2004 as the Hazardous Materials and Radiological Coordinator. Planning Board Member 2001 – 2002. Trustee of Metro Church, Saddle Brook, NJ from 2005 – present.
Phillip Spanola (D)*
Running for: Borough Council
Age: 76
Family: Married for 53 years to the former Marie Abrescia. Father of three children, Rosemarie, Kathleen and Frank and Grandfather of Kathleen, Ryan, Natalie, Frank and Philip.
Education: Dickinson H.S., Jersey City, City University of New York A.A.S., Jersey City State University B.A., Dean's List
Employment: Retired Jersey City Police Department and New Jersey State Attorney General's office.
Residence: 37 years
Background: Board of Education (1975-1978), Council (2005-Present).
Mark Yampaglia (D)*
Running for: Borough Council
Age: 38
Family: Single
Education: North Arlington High School, B.A., Fairleigh Dickinson University, J.D., Touro College School of Law.
Employment: Attorney
Residence: Lifelong
Background: North Arlington Council 2005-Present
Taxes skyrocketed 33 percent this year and the borough anticipates a drop in landfill host fees as early as 2009. How will you work toward stabilizing taxes?
Bianchi: The residents of North Arlington should be offended by the recent letter enclosed by the mayor with this year’s shocking tax bill. Mr. Massa is the borough’s leading elected official, yet he wants us to believe that he has no responsibility for his own budget. He says it’s former Mayor Len Kaiser’s fault, Governor Corzine’s fault, Senator Sarlo’s fault, anyone but the mayor’s. Of course there’s Russ Pitman – if you read Mr. Massa’s letter it’s like Pitman never existed. But Pete Massa was a strong supporter of Pitman, until he saw a political opportunity to be gained by stabbing him in the back.
And as for "propping up budgets" with "gimmicks" and "squandering" host fees, who is it who burned through the proceeds of the water utility sale in just two years? Who was it who accepted EnCap’s blood money? And who has applied every dime of host fees to the budget for the past four years. As reporter Mike Kelly said about the Democrat’s budget in The Record: "Can we all shout, Get Real!"
Our residents need watchdogs on the Borough Council to scrutinize each and every line of the local budget and speak up for the taxpayers. Rich Hughes and I will serve the taxpayers and no one else. The Democrats wasted years dealing with EnCap, years that could have been much better spent developing warehouses and commercial properties in the Meadowlands. We should return to the original Redevelopment Plan that was abandoned by Pitman and Massa. Only then will we move towards stabilizing a budget that has saddled our homeowners with these onerous taxes.
Hughes: Borough spending has increased 33 percent under the current Democratic administration, from $14.5 million in 2002 to $19.3 million in 2007. Many budget lines, for example legal fees, have increased dramatically, and all spending should be carefully scrutinized to eliminate non-essential spending that has driven the budget dramatically upwards.
Most importantly, the road to tax stabilization lies in the development of new ratable properties. The only areas in the Borough that hold out potential for new development are the Porete Avenue Industrial Area and the former Bergen County Utilities Authority (BCUA) Transfer Station. Unfortunately, the Democratic mayor and council have made such an initiative very difficult through a series of ill-considered actions. These include approving a Memorandum of Agreement and a Redeveloper’s Agreement with EnCap, as well as their rezoning those areas to allow for residential development.
It is now clear that the governing body took these actions to receive millions of dollars in EnCap subsidies to prop up their escalating budgets and now – with EnCap’s scheme for a massive housing project falling apart and the developer and the town tied up in contentious litigation – the hard-pressed taxpayer is left holding the bag.
North Arlington should return these areas to the previous zoning designations of warehouse distribution and light industrial. The area is not suitable for housing, as is now painfully obvious. However, with its outstanding transportation access, the area is ideal for warehouse and industrial uses. The Borough should then work to implement the plan developed by the former North Arlington Redevelopment Authority that was well on its way to success. The Democrats disbanded the Authority and shelved the plan, stating the mayor and council could do a better job. Sadly, that was clearly not the case.
Spanola: The fiscal incompetence of the past GOP administration to responsibly manage host fees, EnCap's insistence on applying eminent domain seizure along Porete Avenue and the construction of low-income housing which forced this government to void the contract in place. The state's failure to approve our request for $1.5 million in state aid and not fully fund Extraordinary Aid. The only way to stabilize taxes is to start anew and construct a responsible Redevelopment Plan that seeks out clean commercial ratables and other alternative forms of economic activity that will add revenue and not expenditures to our local operation. Mayor Massa is seeking to build a consensus of alternatives and this requires a team effort. I want to be part of the solution, not the problem like my opponents in this race.
Yampaglia: Municipal taxes increased because the Republicans who controlled local government for 22 years failed to plan for the day when host fees would no longer be part of the budget equation. It was a serious error in judgment that will effect future budgets for rest of the decade.
In addition, the state failed to approve our request for emergency aid in excess of $1.5 million. Had the state legislature approved our request, this tax increase could have been avoided.
Finally, the EnCap agreement itself was unacceptable in its current language and it would have added tens of millions of dollars in new infrastructure costs North Arlington cannot shoulder. Real property tax relief will happen when spending is curtailed and fixed costs like pensions, health benefits and raises become capped. The Legislature needs to face the reality that costs are exceeding revenues at a dangerous rate and municipalities like North Arlington are going bankrupt by these fixed, mandated costs.
The borough's legal battle with Cherokee has begun to play out in the courts. Cherokee still has plans on paper to take Porete Avenue businesses through eminent domain and erect 1,625 homes, parks and retail space in their place. How do you feel the borough should move forward with development on Porete Avenue?
Bianchi: Cherokee is suing the Borough because North Arlington reneged on the terms of the agreement that the Council approved. Both Democratic candidates Spanola and Yampaglia voted for the EnCap deal. In fact, they were the deciding votes on the Redeveloper’s Agreement that enabled Cherokee to take the Borough to court. You don’t ask the people who created your problems to solve them. They had their chance. If Rich Hughes and I are elected, we will immediately introduce a resolution to begin the process to rezone Porete Avenue and the BCUA site to eliminate the possibility of housing being constructed there.
Hughes: As stated above, North Arlington should rezone the area for its most appropriate uses, ones that will effectively attract legitimate developers with proposals that make sense financially for both the developer and the municipality. The effectiveness of this strategy is borne out by the success of the Porete Avenue H&M warehouse facility, a high performing low impact tax ratable that was developed due to the prudent actions of the North Arlington Redevelopment Authority. If the mayor and council had not bought into the EnCap proposals, the Borough would be well on its way to redeveloping the area east of Schuyler Avenue. Five years have been wasted and it’s time to right the ship. If elected, our first action on the Council will be to introduce a resolution to initiate the process of rezoning Porete Avenue and the BCUA site for the appropriate uses as described above.
Spanola: The people oppose the random overdevelopment of these Meadowlands parcels and the application of eminent domain seizure. I supported Mayor Massa's efforts here to stop the urbanization of North Arlington that would transform this community into an extension of Hudson County. I oppose that course of action. Unfortunately, my opponents to this day still support the misguided notion of Arlington Valley and EnCap. This government stopped EnCap in it's tracks. I'm proud to be part of that effort. I say let the legal process run it's course and in the end we will prevail. We can't let greedy developers decide our fate. We need to develop a plan that includes a non-housing component and that's what I'll support in my next term should I be successful.
Yampaglia: I believe we will win the battle with EnCap in the courts because they never had the financial viability to move forward with the project in the first place. The investigative revelations of The Record were a major factor
in reconsidering my position and supporting Mayor Massa's decision to void the existing agreement.
The application of eminent domain would destroy sixteen companies, eliminate 500 private sector jobs and decrease our tax revenues by $1 million dollars. No reasonable person could support this course of action. It is morally
wrong to take away a person's business and livelihood.
I cannot be a party to such a course of action. The people don't support it and neither do I.
Empty storefronts are not uncommon to Ridge Road. What steps would you take to make the borough's main thoroughfare attractive to businesses?
Bianchi: As a Ridge Road business owner for more than 40 years, I am appalled at the lack of any action whatsoever by the Pitman and Massa administrations regarding our commercial thoroughfare. This is the community’s lifeblood and they have done absolutely nothing but stand by and watch a steady deterioration occur. The late Bill McDowell, chairman of the North Arlington Redevelopment Authority, conducted a planning study for Ridge Road in 2001. This was a thorough and professional evaluation that contained a host of valuable information, a virtual roadmap to creating a vital and thriving business district. What did the Democrats do when they came to power? They labeled Bill and his fellow commissioners "political hacks" and threw the study in the trash.
We should update the plan, which was conducted by one of the state’s most respected municipal planners, and work in partnership with our business owners to turn this situation around before it’s too late and we see tumbleweed blowing down Ridge Road.
Hughes: The former Redevelopment Authority conducted a study and developed a plan to revitalize Ridge Road. The Borough had, in fact, secured funding for gateway streetscapes at the north and south areas of Ridge Road to initiate the process. And once again the Mayor and Council scrapped the plan. The first step to begin to revitalize Ridge Road is to conduct marketing and demographic studies that will enable the Borough to identify what types of businesses can be attracted to locate there. This is standard practice in municipal planning. The corridor should be addressed as three distinct areas – south, central and north – each with different characteristics and needs.
The south district is anchored by Melray’s Furniture. We should work to attract niche uses that will complement the traffic generated by the store. The Borough should also work with owners of buildings in the area that currently house multiple marginal use tenants, and work together to develop a unified plan that will mutually benefit the owners and the town. The need for additional parking in the area should also be addressed.
The central sector is anchored by Queen of Peace Church, the Municipal/Board of Education complex and Holy Name Cemetery. Additional cemetery related businesses could be developed here. For nearly two years the Borough has failed to act on the Ridge Lumber vacancy and there should be an aggressive effort to find a suitable developer for this eyesore.
In the north, the former Jade Fountain site and the strip mall opposite on the west side of the street should be targeted to develop appropriate dual anchor sites for that sector.
Spanola: We already started to beautify Ridge Road with the opening of Commerce Bank. The paradigm shift on Ridge Road is from generic retail to specific retail such as professional services, doctors, lawyers and more reliable retail options. The best way we can keep Ridge Road viable is by solving this tax crisis and moving forward with a new redevelopment strategy that does not include housing.
Yampaglia: The successful strategy of trying to attract financial institutions like Commerce Bank is a step in the right direction. We replaced Midas Muffler with a brand new building that has enhanced that section of Ridge Road. I believe retailers like IHOP, Friendly's or other financial institutions play well to our seniors who like to eat and bank locally. Obviously, a Starbucks or some other national franchise that matches our demographic base is something I'll support as a member of the governing body.
The Council on Affordable Housing (COAH) guidelines have been up in the air while under review by the judiciary. North Arlington never completed an affordable housing plan. How do you plan on working with the state to provide inclusionary housing with limited developable land in the borough?
Bianchi: North Arlington did not have a significant COAH issue until the Democrats rezoned the Meadowlands for housing. That zoning should be returned to warehouse, light industrial and commercial. The area is not suitable for housing. North Arlington is an extremely densely developed community. Any new housing will place an undue burden on our schools, emergency services and infrastructure and only serve to drive up a tax rate that is already way too high. Rich Hughes and I will be staunch anti-housing advocates on the Borough Council, whether the proposals are for Ridge Road, Schuyler Avenue, the Meadowlands or anywhere else in town. The issue isn’t bringing in affordable housing, the issue is to try to keep North Arlington affordable for the people who live here.
Hughes: Prior to the rezoning of the Redevelopment Area for housing, the Borough could argue that it was virtually a fully developed community. After their recent EnCap flip-flop the Democrats are claming that they "stopped" the project, but that belies the fact that it was the Democrats who started the whole EnCap process in the first place and left the town with a housing zone where there never should have been one. The town is now vulnerable to a Developer’s Remedy lawsuit that could force large amounts of new housing and affordable units. North Arlington should reverse that zoning designation in the Redevelopment Area and declare a moratorium on residential development throughout the town. Officials should also meet with the state to make the case that due to soil conditions, flooding and the proximity to three of the states largest landfills the area east of Schuyler Avenue is not suitable for housing development, regardless of income levels.
Spanola: Our plan is simple. To limit the number of new, residential developments. It is not practical to engage in a strategy that complicates the cost of local government. I want to continue to seek out clean, commercial alternatives that have the least impact on local services. To me, this is what the people want given our experience with EnCap. Given the current status of the housing market, a plan that includes housing is a plan that will ultimately fail.
Yampaglia: The lesson of EnCap is to avoid residential housing as a source of ratable because residential ratables is the most expensive and dependent on essential services.
By developing alternative, non-housing options such as clean warehousing or energy parks dedicated to wind and solar, we can continue to retain our suburban character and standing as a friendly place to live and raise a family. To me, that's very important to maintain what we've been for so long. I don't believe urbanizing North Arlington is what will work in the long-term. We live in the most densely populated state in the nation. Increased traffic and urbanization only lend to destroying the quality-of-life we enjoy here in the borough. We have accepted landfill operations for decades. Let the state provide these housing plans somewhere else.
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