What's Happening in Hoboken

With spring here and temperatures on the rise, I want to quickly update you with what’s been going on in City Hall and across Hoboken.

A Hilton Hotel Near Hoboken Terminal

On the Southern waterfront, directly behind the U.S. Post Office at 89 River Street, is a surface parking lot which I've long advocated to become a world-class Hilton Hotel.  Such a project would not only activate an underutilized portion of the southern waterfront, steps from mass transportation but also generate $1.7 million in yearly revenue for the City and create over 120 permanent jobs.  With new costs like Union Dry Dock and the Northwest Resiliency Park on the horizon, we need smart revenue generators like this for the City.  

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With the proposed hotel site sitting squarely in the First Ward, my home district, I've worked for the past two years with the neighborhood and all stakeholders to design a plan that activates the waterfront with ground floor retail, meeting and event space, as well as a one of a kind rooftop restaurant.  Additionally, working with my Council colleagues Jen Giattino and Peter Cunningham, we addressed core issues like parking, traffic congestion and pedestrian safety. Further, to protect neighborhood quality of life, I specifically required the plan to be set back along Newark Street to allow more light and air at street level while protecting views towards the Hudson River.  

Interestingly, after voting against the redevelopment plan and publicly campaigning against the project last year, Mayor Bhalla has suddenly switched stances and joined the City Council in supporting the balanced project that we always knew it would be. The new plan advocated by the mayor reduces the height of the building by roughly 50 feet, but eliminates the setback -- creating a wider building with nearly identical square footage and bulk as the original plan. Though the mayor’s flip-flop on this will certainly be noteworthy to his supporters, I want to assure everyone that this is the right direction for Hoboken. I look forward to continued work with the administration, stakeholders and neighborhood to see the project forward.  For more information, click here -- please let me know your thoughts.

 

Connecting Our Waterfront at Union Dry Dock

Union Dry Dock is the last remaining industrial maritime use in Hoboken and the final piece to the puzzle of connecting our entire riverfront.  Unfortunately, due to years of inaction to  acquire the land at fair market value by the city, the Zimmer-Bhalla did not purchase the land when given the chance and the land was sold to ferry operator New York Waterway in November for $11.5 million.  The intended use is now a repair and refueling facility for their ferry fleet, which in my opinion, and in the opinion of the entire City Council, is incongruent with the nearby neighborhood and antithetical to connecting our waterfront.  

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In response, the City Council authorized the purchase of the land for $11.63 million -- a fair market price which is over $100k more than what NY Waterway paid for the property less than five months ago.  I have personally urged the administration to work with New York Waterway to ensure they find an adequate home and after similar pushback from Governor Murphy's office, Mayor Bhalla has vowed not to use eminent domain to acquire the property.  After all, a protracted legal fight like the one we had to acquire the southwest plaza would adversely impact ferry schedules and fares while obligating our City to pay millions more in legal fees. 

There has been much conversation about a meeting of New Jersey Transit's board to purchase the property, and what that means for the site.  Both Governor Christie and now Governor Murphy have both seemingly viewed the sale of the property to the NJT as a way of protecting land essential for NYWW's operations and state-wide transportation infrastructure from being taken by eminent domain. Such an action was in response to both Mayor Zimmer and Mayor Bhalla's failing to have open and professional dialogue with New York Waterway. This breakdown in communication was never shared with City Council either when Mayor Zimmer originally asked for the tool of eminent domain, or when Mayor Bhalla made an offer to acquire the property; and in doing so, they each escalated an already tense situation.   At the request of Governor Murphy, Mayor Bhalla requested the Council to rescind eminent domain power, we  followed suit in a 9-0 vote and New Jersey Transit has canceled the meeting to purchase.  Now we're back to square one.  

Where this goes from here is uncertain -- but one thing remains clear, the City is unified in our desire to see the space become parkland and NY Waterways still owns the site and remains firm in their desire to use it for ferry fueling operations.  There is a proposal to relocate refueling to Bayonne, at this juncture it is merely a proposal and beginning later this spring refueling will unfortunately commence until further notice at Union Dry Dock.   For more on the back history visit the Fund for a Better Waterfront

 

Mayor Bhalla Accepts Job at Another Politically Connected Law Firm

While on the topic of broken campaign promises, you may recall when former Councilman Bhalla’s employment with one of the state’s most politically-connected law firms was a major topic of discussion during the mayoral campaign.  As public concern mounted, he announced that if elected he would leave his firm to be a full-time mayor. But now, Mayor Bhalla has changed course and accepted a job as an attorney at the law firm Lavery, Selvaggi, Abromitis & Cohen -- a real estate, land use and zoning law firm that’s just as much a part of the establishment political patronage network as his former firm.  

Front page of The Jersey Journal featuring the story, which can be read here

Front page of The Jersey Journal featuring the story, which can be read here

Despite paying our mayor $116,100 -- the highest in Hudson County and one of the top mayoral salaries in the entire state, our mayor's second job will compensate him $60k base salary from his side job but more alarmingly, unlimited commissions on all new business he brings to the law firm.  

In Jersey politics, this sadly only means one thing -- peddling and trading professional contracts for personal and political gain. In his own words, Mayor Bhalla “has no specific responsibilities” at the law firm and “is not expected to spend any time” at his second job.  Why would any employer want a no-show employee without any specific responsibilities?  The truth is that Ravi Bhalla has been hired to use his notoriety as our Mayor to benefit his new firm. If he secures a new client for his firm, maybe another entity that does business with Hoboken for example, he'll be compensated for it.  And if a client needs a favor in Hudson County, they've got a Mayor on the payroll. It's the oldest play in the book for the political establishment, and the losers are taxpayers like us who get hit with the bill.

That's why it's so important for the City Council to act as a watchdog on this issue and ensure that Hoboken isn't for sale. I am currently in the process of drafting a comprehensive ethics ordinance to ensure that our mayor’s second job is transparent to all citizens and that he is held to the same standard as any other City employee. 

 

Making our Elections Democratic Again

As you may recall, on Election Day 2017, Hoboken saw 6 candidates running for mayor and 14 running for City Council to fill 3 seats -- a political circus that confused and frustrated many voters, resulting in a mayor who won with only 32% of the electorate.  In response to residents’ concerns, an overwhelming majority (7-2) of the City Council approved a ballot referendum which would allow our community to collectively decide whether or not to re-institute runoff elections. Mayor Bhalla vetoed the ordinance, spreading half-truths and politicizing the issue, but City Council responded by overriding him (7-2) to let the people decide.

With the City Council's override of the mayor's veto, the question as to how our elections are run is now with you!  

In opposing runoffs, Mayor Bhalla is essentially limiting the viability for independents to run for political office. Without runoff elections, upstart candidates for City Council and mayor face a nearly impossible task to run for elected office without institutional support as crowded races favor the person who can raise the most money -- the incumbent. Click here to read more about why runoff elections are important and be sure to mark your calendars to vote in the referendum on Tues. Nov. 6th.  Together, I know we can continue to bring new energy and new ideas to Hoboken by encouraging the next generation of policy makers to get involved.  

Washington Street and Infrastructure Upgrades

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I know the question on everyone’s minds -- what’s going on with Washington Street?   Many have expressed concern at the rate which businesses have been closing and I agree that it’s troubling.  With the introduction of the city’s Master Plan Reexamination this spring, and as chairman of the zoning subcommittee, I intend to begin working with my colleagues to update our city’s 1980’s era zoning to help small businesses and mom and pops.  In terms of the ongoing and frustrating resurfacing initiative, City Council recently hosted an open meeting with the contractor as the City is behind schedule and over $1 million over budget.   The Council took that opportunity to remind the contractor and administration that the deadline for finishing work on the street is August 21.  Further, now that the threat of frost has passed, paving along Washington from 1st through 5th Street will commence on Monday April 2.

Last but certainly not least, working with Councilwoman Fisher, I was proud to have supported the administration and sponsored a $5.2 million bond ordinance to aid in city-wide infrastructure repairs.   Though I believe bonding should be used sparingly, I do believe that using long term bonds for long term improvements, like infrastructure, is necessary especially given no other funding mechanisms are readily available.

Mayor Bhalla Breaks Campaign Promise, Joins Another Politically-Connected Law Firm

                                                Cover of the Jersey Journal 02.21.18 which can be read in full, here.

                                                Cover of the Jersey Journal 02.21.18 which can be read in full, here.

A Broken Campaign Promise

During last year’s mayoral election, Mayor Ravi Bhalla’s employment with one of the state’s most politically-connected law firms was a major topic of discussion due to the many conflicts of interest his employment could cause. His law firm counted among its clients Suez Water, the city’s water system operator, as well as NJ Transit which owns significant property in Hoboken and is in the process of being redeveloped.

During the course of the campaign, as public concern mounted about Ravi being connected with those statewide interests, he publicly announced that if elected he would, “be working full-time for the people of Hoboken, severing my employment with the firm.”   As Mayor-elect he followed through on that and resigned from his position at the firm, Florio, Perucci, Steinhardt & Fader as he prepared to be the full-time mayor he promised voters he would be.   

Source: HMag Candidate questionnaire, re-published on RaviBhalla.com 

Source: HMag Candidate questionnaire, re-published on RaviBhalla.com 

But in February, just over a month into office, Ravi Bhalla broke his promise and taken a job as an attorney at the law firm Lavery, Selvaggi, Abromitis & Cohen -- a real estate, land use and zoning law firm that’s just as much a part of the establishment patronage network as his former firm.

Highest Paid Mayor in Hudson County

Hoboken’s mayor is paid the most in Hudson County and one of the highest in the entire state. For reference, 9 of the 12 mayors in the County make less than $33,000. Of the other three, Bayonne pays $72,000, Jersey City pays $115,600 and Hoboken tops the list at $116,100.  Additionally, the mayor receives a generous benefits package for him and his entire family which includes health coverage and retirement. The only other mayor who is in the six-figure club, Jersey City’s Steve Fulop, only holds one job - mayor - and Hoboken deserves the same. 

A Major Conflict of Interest

Upon learning about the mayor’s second job, the City Council voted to pass a resolution urging the mayor to disclose details of the job.  From that official inquiry, and only because the governing body publicly demanded transparency, it was disclosed that Mayor Bhalla would earn an annual salary of $60,000 for his new position, but more shockingly, unlimited commissions for all new business he brings to the firm (click here to read the agreement).  So, let’s digest this.  Our new Mayor who promised to work full time for the City is now in a business development role with a politically connected zoning and land use law firm with UNLIMITED earnings potential.  That’s not the transparency voters were promised and deserve! 

In response to the employment agreement, a majority of the City Council compelled the Mayor to respond to concerns we had over the potential conflict, and we received a short emailed response....

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In his own words, Mayor Bhalla “has no specific responsibilities” at the law firm and “is not expected to spend any time” at his second job.  Why would any employer want a no-show employee without any specific responsibilities?  The truth is that Ravi Bhalla has been hired to use his notoriety as our Mayor to benefit his new firm. If he secures a new client for his firm, maybe another entity that does business with Hoboken for example, he'll be compensated for it.  And if a client needs a favor in Hudson County, they've got a Mayor on the payroll. It's the oldest play in the book for the political establishment, and the losers are taxpayers like us who get hit with the bill.  In Jersey politics, this sadly only means one thing -- peddling and trading professional contracts for personal and political gain.  It's not illegal, just ethically corrupt.  

State DCA ethics violation notice issued to Mayor-elect Bhalla for voting on a business partner's city contract while serving on City Council in 2011.  

State DCA ethics violation notice issued to Mayor-elect Bhalla for voting on a business partner's city contract while serving on City Council in 2011.  

Zero oversight

From the City Council’s official inquiry, we also learned that in responses to questions about conflicts of interest,  Mayor Bhalla has proposed that the city’s chief municipal lawyer, commonly referred to as Hoboken’s “Corporation Counsel” provide advice on potential conflicts. The person who fills this position not only reports to the mayor and serves at his pleasure, but has also contributed financially to the mayor’s election account.  Will Corporation Counsel disclose his findings to the City Council? Who will pay for the legal staff reviewing Mayor Bhalla’s business dealings?  Seeing that the City’s chief lawyer is vested in the status quo and since his ethical oversight is over his own boss — it’s like the ethical wild west.

The last time Ravi Bhalla confided in Corporation Council about a potential conflict, back in 2011, he failed to provide complete background of the case and was subsequently issued an ethics violation for voting on a business partners city contract.  The notice was ironically handed down six days after he won the mayoral election...nearly six years after the violation initially took place.  This just goes to show how long an ethics violation, once discovered and reported,  takes to be properly heard.    

 

A Republican Law Firm that Donated to Donald Trump

To make matters even worse, the new law firm that Mayor Bhalla is working for has numerous political and financial ties to his previous firm. Both firms are major contributors to a Political Action Committee called “Leadership PAC for Better Government,” an organization that has made thousands of dollars in political donations for the purpose of securing more government contracts for its founders. The PAC donated $2,000 to Donald Trump and $3,500 to Kim Guadagno. In fact, one of the principles of the firm recently served as the Chairman of the New Jersey Republican Party -- and he was replaced recently as Chairman by a partner in Ravi’s previous firm!  Considering Mayor Bhalla promise to “stand up to Trump,” it’s offensive for him to join a Republican-leaning law firm that actively supports candidates who fight harder than anyone to push Trump’s agenda in NJ. This is a clear betrayal of Hoboken’s progressive values.

Further, I am personally alarmed that Mr. Bhalla will be sharing the same title with a colleague at his new firm, former Congressman Jim Courter, who once ran as the Republican candidate for Governor, and called for limiting the rights of homosexuals to work as teachers, foster parents and camp counselors or in other jobs that put them in contact with children.   Source: The New York Times.  

What Can We Do?

The above is exactly why it's so important for the City Council to act as a watchdog on this issue and ensure that Hoboken isn't for sale. I am currently in the process of drafting a comprehensive ethics ordinance to ensure that our mayor’s second job is transparent to all citizens and that he is held to the same standard as any other City employee.

MAYOR SKIRTS FACTS TO AVOID MAJORITY RULE

Mayor Bhalla vetoed the Council's ordinance to allow our community to collectively decide whether or not to re-institute runoff elections, using flawed logic for political gain, but the Council overrode that veto to give voters the choice.

Mayor Bhalla vetoed the Council's ordinance to allow our community to collectively decide whether or not to re-institute runoff elections, using flawed logic for political gain, but the Council overrode that veto to give voters the choice.

On Election Day 2017, Hoboken saw 6 candidates running for mayor and 14 running for City Council to fill 3 seats -- a political circus that confused and frustrated many voters.  In response to residents concerns, an overwhelming majority (7-2) of the City Council approved a ballot referendum which would allow our community to collectively decide whether or not to re-institute runoff elections. Mayor Bhalla vetoed the ordinance, spreading half-truths and politicizing the issue, but the Council responded by overriding him (7-2) to let the people decide (click here to read the NJ.com article).  

This issue will now be voted on by the people, this election day - November 6, 2019 - not decided by establishment politicians like Mayor Bhalla who benefit from a flawed current system.  

Without runoff elections, true independent candidates face an uphill battle and a nearly impossible task to run for office without institutional support as crowded races favor the person who can raise the most money, the incumbent. That wasn’t always the case though.  In 2007, Dawn Zimmer lost her election to City Council in a four-way race to a long-time incumbent, but won head-to-head in a runoff.  Without a runoff, Dawn Zimmer would never have sat on the City Council...she would have lost in the winner-take-all scenario we have today.   A similar outcome also just occurred in the 2017 Jersey City's Ward E runoff where the candidate backed by the establishment won in the general election, but lost to an upstart in the runoff.   So, in blocking runoffs, Mayor Bhalla is essentially limiting the viability for independents to run for political office in favor of himself and candidates that he supports.  

Reinstating runoffs allows local candidates a chance to make their case on municipal issues without having them distracted by the polarizing partisan politics found at the state and national levels. I believe that we need to continue to challenge the status quo to ensure that new energy and new ideas are encouraged and elevated by Hoboken's electoral process, not thwarted by establishment politicians.

Keep in mind, Mayor Bhalla was not supported by 67% of voters, earning less than 1/3 of votes and seeing runoffs would return majority rule, and his opposition to runoffs calls into question his ability to actually win a majority vote.  It is further disappointing to see Mayor Bhalla not just deny Hoboken residents the opportunity to have their voices heard in a public referendum on our voting rights, but to also see him spread misinformation and half-truths while doing so.  

The Mayor cites reduced voter turnout in a recent Jersey City runoff where the mayoral candidate wasn't even in the runoff and fails to mention that the last time Hoboken held a runoff election for Mayor in 2009 turnout actually increased from the general election. Meanwhile, he suggests that he supports an instant runoff system that, while certainly worth exploring, is not currently allowable by state law and even if permitted, likely won't roll out before the next mayoral election.  The mayor references “massive vote-buying” which although has significantly decreased over the years, is still sadly an issue but not unique to runoffs. Perhaps our mayor’s energies are best spent suppressing the referenced vote buying, not stopping the people’s right to decide whether or not they want a runoff election. Think about it, should we blame the voting process for Russian meddling, or should we aim to end Russian meddling?  

Sadly, all of this is meant to distract from the fact that Mayor Bhalla is concerned that re-instituting runoff elections would hurt his chances of re-election as he has not demonstrated the ability to secure majority support or to work collaboratively with his fellow elected officials.  This is a deeply cynical ploy that puts politics over our city's values of transparency and openness. 

The question as to how our elections are run is now with you! 

FACTS On Runoff Elections

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  • VOTER TURNOUT HAS HISTORICALLY INCREASED FROM A MUNICIPAL TO A RUNOFF ELECTION. The last time Hoboken held a runoff election for mayor in 2009 turnout actually increased from the general election. Mayor Bhalla's claim that voter turnout is reduced is not based in any recent fact and completely opposite of what we have historically seen in Hoboken (reference chart of comparable elections is included below).  Further, using voter turnout from Jersey City's 2017 December runoff to show reduced turnout is not an acceptable baseline for making that argument.  In that particular election, Jersey City's Mayor Fullop won on the first ballot with 77 percent of the vote, so his name, as well as the name of 5 of 9 City Council candidates who also won on first ballot, were not on the December runoff ballot.  As such, it's logical to see how voter turnout increased when there weren't as many races left to decide.  Now, had the most recent Hoboken mayoral election been boiled from six candidates to two in a December runoff, our own recent electoral history shows that at least the same number of voters would return to the poll to decide the direction of Hoboken for the next four years.  It's just that important to our community.. 

 

  • INSTANT RUNOFF / RANKED CHOICE VOTING IS NOT PERMITTED BY LAW AND WONT BE FOR OUR NEXT ELECTION.   In January, the Hoboken City Council  unanimously approved a resolution urging the state legislature to consider passing law to allow municipalities to adopt instant runoff elections.  If and when the state does permit ranked choice voting, Hudson County would still need to source new software and voting machines, implement new voting processes and policies, train election workers and educate voters on the new voting system.  Even supposing that instant runoffs were approved by the state legislature this year, they would not be fully implemented in time for our next Council election in 2019 and very unlikely ready for the mayoral election in 2021.   

 

  • ILLEGAL VOTES ARE MORE OF A PROBLEM IN A CROWDED GENERAL ELECTION THAN IN A RUNOFF.  All elections are sadly targets for vote buying and an election could be swayed if there is either a) high turnout with multiple candidates dividing the vote, or b) low turnout.  In the first example, if we use the 2017 mayoral race, where the field of 15,000 voters was split amongst 6 mayoral candidates and, for arguments sake, take Mayor Bhalla's totally unsubstantiated figure that 1,000 votes were bought.  In this hypothetical situation, if the election went to a runoff, so long as total turnout in that runoff is greater than 5,000 the impact of paid for votes in a citywide runoff would be less having two candidates vying for the majority.  Likewise, for the second scenario let's use a lower turnout City Council ward race, where the electorate is significantly smaller and hypothesize say there are four candidates vying for one council seat (as was the case in Dawn Zimmer's 2007 council race).  In this instance, lacking a runoff, somebody could win with just a few hundred votes, making paid for votes a serious impediment to honest elections. In either of the two instances, having runoffs require a higher percentage of the overall electorate which greatly minimizes the ability for someone to buy an election.  

 

  • THE COST OF A RUNOFF IS NOT $140k.  Mayor Bhalla has suggested the incremental cost of the runoff to be 140k, without explaining where this number came from.   Looking back, it appears to reflect the number that was used in 2012 for the savings relating to moving our municipal elections from May to November and eliminating the runoffs.  The City Clerk has estimated that a runoff election would cost the City around $10,000.  
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