Council introduces $422M budget City attorney says no conflict of interest for council members regarding AMB warehouse
by Ricardo Kaulessar Reporter staff writer
Sep 24, 2006 | 207 views | 0 0 comments | 2 2 recommendations | email to a friend | print
The City Council at its Wednesday meeting introduced the 2007 fiscal year budget. The budget so far is $422.6M, down about $3 million from last year.

It will have to go to a public hearing and a final vote at a meeting in the future.

City Councilman Mariano Vega said after the meeting that this year's budget is "unique."

"This year's budget we are able to include the hotel tax and the realty transfer tax that will bring $5 million in anticipated revenues," said Vega.

A new state law allows Jersey City to directly collect the revenues from the 6 percent hotel tax. The realty transfer tax is a fee on real estate transactions.

Vega said he has not had an opportunity to study the budget in length and will do in upcoming weeks.

The city is facing a $9 million shortfall and will have to raise $148 million in taxes.

The budget also shows anticipated increases in Police Department salaries of over $4 million and Fire Department salaries of over $3 million.Ethics and conflicts of interest

The council meeting also saw a discussion on the issue of ethics.

Ward E City Councilman Steve Fulop recently asked the city's newly resurrected Ethical Standards Board to give an opinion on City Council President Mariano Vega and Ward B Councilwoman Mary Spinello's involvement in voting on the AMB Warehouse project.

Specifically, Fulop believes both should not be able to cast further votes on a controversial warehouse project proposed for the city's west side based on their respective conflicts of interest.

Both council members have full-time jobs with the county in addition to being city councilpeople, and the county has made it known that it would like to use the land for a different project than the city wants it for.

Vega is currently the director of the Hudson County Department of Parks, Engineering & Planning, and wants the site of the warehouse to be open space.

Spinello is deputy executive director of the Jersey City Incinerator Authority (JCIA). The JCIA has in the past issued millions of dollars in fines to Trophy Trucking, a trucking firm that has property in the vicinity of the warehouse site, for illegal storage of trucks.

However an opinion was issued by the city's corporation counsel, Bill Matsikoudis, at Monday's council caucus and in a letter at Wednesday's meeting that finds that both Vega and Spinello are allowed to vote and there is no conflict of interest.

"Based upon my review of the law, it is my opinion that there is no conflict of interest under the facts presented.

Dual office holding, even if the offices are perceived to be incompatible, is permitted for the positions held by both council members under state law," stated Matsikoudis in his letter.

The City Council would not actually specifically vote on the warehouse project, but would vote on changing the zoning in the area to allow the warehouse.

The issue will be considered by the city's Ethical Standards Board at a future meeting. The state's Local Finance Board also has been sent information regarding Fulop's request. Ricardo Kaulessar can be reached at rkaulessar@hudsonreporter.com
Comments
(0)
Comments-icon Post a Comment
No Comments Yet