Hudson Reporter Archive

Same old story

Dear Editor:

It’s the same old story…year after year of budget deficits, municipal layoffs and shrinking services. Where are the real solutions to solve the City’s long term fiscal problems? Again, it certainly doesn’t seem to be on the agenda for this new city’s administration. Take for example the Letter to the Editor by Council President L Harvey Smith titled “On development and a city’s revival” published 2/17. In his rambling letter the Councilman of nine years attempts to convince the over-taxed and poorly served residents of JC for a need of a new Public Works industrial complex by Garfield Avenue. He neglects to mention that this pork project would cost JC taxpayers tens of millions of dollars in new debt (bonding) to relocate Public Works from RT 440 and build a new complex.

In the same edition of the paper, the headline screams “Shallow Pockets…Budget deficit could reach $13 million”! The budget year ends June 30th and it’s February, again no solutions in sight. Council President Smith in his nine years as a Councilman voted for 20 year tax abatements including one for the million dollar condos at the Sugar House. He never saw a Schundler gimmick he didn’t like. For example, Schundler’s bogus “Land Sales” of $11 million to plug past budgets will now have to be written off this year or next at the latest. That’s not included in the $13 million deficit. Smith voted for selling our profitable water system to United Water and setting up the JC Municipal Utility Authority (MUA) which has been broke from day one, raises water and sewer rates 8 percent every year and they owe the City at least $10 million. Again that’ll have to be written off and probably trigger a tax hike.

In addition, the Schundler and now Cunningham administrations randomly close fire stations every day. The EDC is broke; an administrator resigned after allegedly embezzling funds while their $8/ hour Journal Square maintenance crews were recently laid off. The City came up with a few quick bucks to cover payroll but they have no long term solution for that problem. The streets are filthy and most haven’t been repaved in at least 15 years. Again, Jersey City came in 4th in the nation in car thefts!

The City has over $705 million in debt, and one of the first things Cunningham did when he came into office was to refinance lots of it so as to push back principal payments to future years, copying an old Schundler gimmick. That’s big bucks for the attorneys, bond counsel and accounting firms who are major campaign contributors but a loser for the taxpayers. It seems the Council President must have forgotten that almost 2 years ago, the State put the brakes on Schundler’s out of control bonding since the City is a “Distressed City”. It still is and the situation is getting worse. Where does the Council President think the City is going to get the money for a new Public Works compound?

This is all about “Pay to Play” Politics, Jersey City’s version of Enron. All those attorneys, contractors and developers and others who contributed the $2 million to get the Cunningham team elected want a return on their investment. So what better way is there than tens of millions in contracts from the City, good old fashion “pork politics”?

Council President, I can’t imagine that the firefighters union, the city’s white collar management employees who haven’t had a raise in over 3 years, the $8 per hour laid off street cleaners, the over-taxed taxpayers and crime ridden residents will allow the State’s Finance Board to approve more unnecessary bonding. It’ll be a show-down which we’ll gladly fight. If you haven’t noticed, the economy has tanked and we’re all paying for the Schundler/ Whitman years of fiscal mismanagement and you were part of that team!

Harvey, maybe you should educate yourself on the City’s fiscal demise which is described on my web site, www.StopBretSchundler.com/city’s.htm. You, like your old pals, seem to be in this psychotic cloud of what the citizens need and want in Jersey City. Let me assure you, it’s neither more political pork barreling nor patronage.

Mia Scanga CPA, Jersey City

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