Since 1997, the cost of traditional public events in Secaucus has risen sharply, causing the town to seek requests for proposals for services.
Celebrations such as the Halloween Rag-a-Muffin parade, the Christmas Tree Lighting, the Easter Egg Hunt and the Fourth of July festivities have cost so much to put on that they’ve exceeded the newly expanded state limit of $17,500 for use of one vendor. If a city spends more than that amount, they are required to advertise to get the lowest bidder.
Business for these and many other town functions had previously gone to a single vendor, Cliffhanger Productions of Rutherford, which provided everything from popcorn serving machines for library and other ground-breaking ceremonies to staff to fill up balloons for various senior citizen functions. Cliffhanger played a prominent role in last year’s 100th birthday celebrations, providing costumes, floats, musical performers and other events. This year, they provided a petting zoo and other animal acts for the Easter Egg Hunt and the town’s River Festival.
Town Administrator Anthony Iacono previously defended the contract, claiming that Cliffhanger provided "a unique service" and fell under the state’s "professional services" provision.
The state allows local governments to hire professionals without requesting bids if their service is unique or if the is no way to adequately compare that service with other vendors. Lawyers, accountants and other professionals often fit into this category because their experience and expertise cannot often be compared in a traditional bidding process.
"Cliffhanger fits in this category because there isn’t another service like this in our area," Iacono said. "There are not a lot of companies that can provide us with costumes, refreshments, actors and petting zoos."
But Frank MacCormack, the former mayoral candidate and an insurance agent doing business with the town, said including Cliffhanger in the professional services category was an extremely liberal interpretation of the law. MacCormack is currently running for a state legislative seat.
"Professional services deal with attorneys, insurance brokers and that kind of thing," MacCormack said. "A service like this should be conducted on the bidding process."
Iacono said he believed the town did not have to seek proposals on the contract, but encouraged the council to do so to avoid misperceptions by the public.
Iacono did not deny that each of the traditional events had grown significantly over the last four years, with many of these items added to expand the events. The cost has risen from about $10,000 a year to an average of $40,000 a year.
"We do put on bigger and bigger shows," Iacono said. "But people here in Secaucus seem to like it. That’s why more and more people show up for the events."
The Christmas Tree Lighting, for instance, had grown significantly during the last four years, with the addition of various acts. As a result, crowds of a few hundred, which came to view the ceremony before 1997, have expanded into the thousands. Last year’s lighting ceremony drew an estimated 2,500 people.
Despite Iacono’s support for Cliffhanger, the council moved in September to see if there were other vendors who could supply the service for four events a year: The Easter Egg Hunt, Independence Day celebrations, the Fall Festival, and Winter Holiday
A breakdown of costs since 1999
In 1999, the town’s contract with Cliffhanger exceeded the state’s then lower bidding threshold of $12,000. The town paid Cliffhanger $4,000 for its Halloween celebration, $5,200 for its Oktoberfest, $8,950 for its Christmas Tree Lighting and about $1,000 for other services.
In 2000, Cliffhanger’s contract was bolstered by numerous other events adding up to $48,000. This included $2,000 for the annual Easter Egg Hunt, $5,450 for the March celebration of the town’s 100th birthday, $15,000 for the second part of the celebration in June, $1,500 for pool-side entertainment at the town’s swimming pool, $2,200 for concerts in the park, $3,000 for the Independence Day celebration, $7,500 for a Sock Hop at the town ice rink, $2,000 for a luau at the Crown Plaza and $5,000 for the Christmas Tree Lighting. The town’s Halloween festivities were included in a separate contract with Cliffhanger, who had rented the ice rink for October in a for-profit venture that turned the rink into a haunted house. The town also paid Cliffhanger’s workman’s compensation insurance fee at $972 that year.
For 2001, with bills still not available for the summer concert series, Halloween or the Christmas Tree Lighting, the town has paid Cliffhanger in excess of $20,000 to cover the Easter Egg Hunt, Fourth of July events, the River Festival, the library ground breaking and the Mayor’s Ball.
Other departments such as those covering various senior citizen events have also paid Cliffhanger during the last three years, although charges have been billed to those departments.
Iacono said the move to seek bids was an attempt by the council to see if any other firms might be interested in the contract.
"We just wanted to get an idea if anyone else was out there," Iacono said. "Though I’m convinced that Cliffhanger supplies a service too unique for us to get any other bids."
Proposals were received on Oct. 4 at 11 a.m. The town received one proposal from Cliffhanger.
The committee reviewed the proposal, and included Purchasing Agent Linda Carpenter, Department of Public Works Superintendent Mike Gonnelli and Iacono, and the contract may be awarded as soon as the Oct. 9 meeting. Iacono said he would not release the amount of the proposal until after it has been reviewed.