Hudson Reporter Archive

Legal troubles for Stack Senate candidate faces civil suit from Union City developer

Last month, Ralph Lieber and Patrick Chen of Palisade Towers, LLC, filed a civil law suit against Union City Mayor Brian Stack (who is also an assemblyman also happens to be running for 33rd District state Senate). The suit also names as defendants the city of Union City and the Zoning Board of Adjustment.

Lieber and Chen allege that they were repeatedly turned down by the Zoning Board to develop their property at 801-807 Palisade Ave. because of interference from the mayor, whom the lawsuit charges asserts “control and dominion over individual members of the board.

They alleged that other developers who had made political contributions were granted their variances.

“We don’t believe this lawsuit has any merit,” responded Joe Lauro, a spokesperson for Union City. “This is an out-of-town developer that did not get approval for what he wanted, and clearly there are some sour grapes here.”

“I want to be treated equally and fairly like all of the other developers,” said Lieber in an interview. “It is clear that certain developers got favors.”

In addition, the suit highlights several alleged political contributions from several successful developers within two months of their approvals.

Lauro said, “We will deal with it in court, and hope it will remain a legal issue to be decided in the court and not part of the on going political smear campaigns in Hudson County.”

Denied twice

Lieber and Chen first submitted their application for an 80-unit development on the corner of Eighth Street and Palisade Avenue in 2005, which was rejected by the board in June of that year.

“In June of 2005, we got rejected, which was a shock to everyone including my architect and my lawyer,” said Lieber.

Lieber and his partner say that oddly enough, after leaving City Hall at almost midnight that evening, they were approached by two different developers about possibly buying the property.

“If they think they are going to steal this from us, there is no way that is going to happen,” said Lieber.

On April 21, 2006 Lieber presented the board with a scaled-back proposal of 35 units in a six and a half story building. In September, they included expert testimony that would support the requested variances.

Once again, the plan was unanimously rejected by the board.

“They have approved far more aggressive projects than [mine],” said Lieber. “They have approvals for 14-story development [which was approved in 2006] on New York and Palisades avenues. My proposal is only six and a half stories.”

According to the suit, following the last rejection, Lieber claims he was told the reason was because the mayor “hadn’t yet made up his mind about what he wanted to do with the Plaintiff’s property.”

This information prompted Lieber to explore his legal options, and he began to investigate the approval practices of the board, which he has included in his findings in the suit.

“Many of the approvals were given to developers, who have made contributions two months before or two months after approvals,” said Lieber. “I have not contributed any money to the mayor at all.”

Stack has called Lieber’s complaints “sour grapes” in another newspaper.

“The mayor’s comments were that I was trying to ram this development down Union City’s throat,” said Lieber. “He’s rammed developments down Union City’s throat himself.”

However, one of Lieber’s neighbors seems to agree with the mayor.

“My neighbors and I voiced our opposition of this development at the meeting in which the project was denied approvals,” said one couple in a letter submitted to the Reporter. “It is a true shame that this property owner is trying to insinuate that his ridiculous building proposal could go through even though it did not fit with the existing neighborhood homes.”

A Zoning Board agenda dated 2001, which Lieber claims to have in exhibit, highlights certain projects with the letter “t” marked next to it.

“When you see a’t’ on a resolution it means table it,” said Lieber. “It means the mayor hasn’t decided what he wants to do with the project, but we have it, and it shows that he really dictates what gets approved in the city or not.”

“Go to these addresses [in the suit] and you will see the Zoning Board approved some of the highest buildings and say that it fit in with the surrounding area,” said Lieber. “Some of these places are one-way streets with [two to three] family homes.”

Protest sign painted over

Lieber also has painted a sign on the property, which read, “Union City Politicians Want To Steal This Property. Your Home Is Next.”

The following day, Lieber discovered the sign had been painted over, and repainted on the side this time in English and Spanish.

Lieber said that the sign was then removed two more times, but on the third occasion, Lieber remained to see who was doing the job.

“I staked out the property myself because I wanted to see who was painting over the sign,” said Lieber.

He said that it was people from the Department of Public Works, and he actually has photographs of them coming by. Lieber said he was informed there was a city ordinance dictating how a building should look if vacant and boarded up.

Lieber, however, checked into it and said he found no such ordinance.

Lieber said, “I met with Police Chief Everett until we resolved this matter.”

Stack and Everett were at odds for much of last year.

Similar accusations

Stack has been accused in the past of arranging rulings for the Union City Zoning Board, although he has always denied the accusation. “That we categorically deny,” said Lauro.

However, in previous legal troubles, two former members of the Zoning Board have even testified that this was the normal practice of the board.

In March of last year, Union City officials were in legal trouble with the New Jersey Schools Construction Corporation (SCC) over the property at 1501 Palisade Ave., which was reserved for construction of the new Columbus elementary school.

The SCC’s brief included testimony by former Zoning Board member John Medina saying that the Zoning Board approved variances for 1501 Palisade Ave. after being instructed to do so by Construction Code Official Martinetti acting on behalf of Stack. He also said that in previous years, Stack himself would instruct the board to approve various variances.

“Mr. Medina’s comments are totally untrue,” said Stack, last March.

After the SCC purchased the property for $1.48 million, David Lopez made a $5,000 contribution to Stack’s campaign, but when the donation came to Stack’s attention, he said he donated it to the PERC Homeless Shelter. Medina’s testimony, as well as former board member Ramiro Franco’s, has been entered as part of Lieber’s suit. “It’s clear,” said Lieber. “I have two former Zoning Board members that have given their certification on the lawsuit, and I have been told from a reliable source, which I will reveal in court, that the mayor wants the property for himself.”

In addition, earlier in 2006 in February, a local resident appealed to the Hudson County Superior Court of Appeals to bar the construction of an 18-story high rise, which had been designated for 610-614 New York Ave. that was approved by the zoning board.

The design was proposed by Rocha Construction, who has contributed to Stack’s campaign in the past. Judge Carmen Messano repealed the decision of the board, which approved eight variances for a proposed 187.5-foot tall structure.

Jessica Rosero can be reached at jrosero@hudsonreporter.com

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