“[Director of the office of Local Government Services of the NJ State Department of Community Affairs (DCA)] Tom Neff made it abundantly clear that the DCA is not interested in seeing the hotel close.”
And yet, at the same time:
“[I]t is up to the city to fund transition costs for the city-owned hotel.”
Do you sense a certain… contradiction between those two statements? That, dear reader, is the sound of The State of New Jersey, passing the buck.
From today’s story, linked above, by Jenna Pizzi in the Trenton Times, or the David Foster piece in the Trentonian, it is possible to discern a 180-degree turn from the State regarding its position on the decision facing the City of Trenton to continue its operation of the taxpayer-owned Lafayette Yard Hotel.
Last week, in a dramatic announcement made by the City’s Business Administrator Sam Hutchinson, the State unexpectedly intervened in City Council’s deliberation on whether to approve the next installment, $200,000, of a projected minimum $3 Million of costs to both renovate the Hotel and transition to a new brand and new management.
The public statements of four Council members before last Thursday’s meeting suggested that a majority would likely vote against the additional subsidy of the struggling hotel. But Mr. Hutchinson’s deus ex machina revelation that New Jersey “will not sign off on any more cash infusions for the West Lafayette Street Marriott hotel until the state sees a concrete plan to fund an estimated $3 million transition to new management and renovation and real evidence that the hotel’s flagging fortunes can be turned around” stopped that discussion cold. The resolution to appropriate $200,000 was pulled from Council’s docket until the City could meet with DCA to get further information on the State’s position. That meeting was yesterday. According to accounts of the session discussed in the newspapers this morning, the State walked back its resistance to any further immediate City action to fund the hotel, and walked it waaaay back.
Last week, the State’s announcement was so forceful that Councilwoman Kathy McBride considered it no less than a takeover of the City by the State: “Tom Neff is the mayor of the city of Trenton and that is the bottom line,” McBride said. Yesterday, the message was very different. According to mayoral aide and Fuckup Without Portfolio Anthony Roberts, the decision to fund at least this next $200,000 is of course “within the purview of the city to fund.”
Which puts the responsibility of funding this next installment squarely on the City and its poor taxpayers. Again.
What accounts for the State’s abrupt U-turn? It’s an election year, is my explanation.
I think someone in the State House higher in the pecking order than Tom Neff saw last week’s headlines about the State’s intervention, and decided that would open the State to too much exposure (or “blame” if you’d prefer to avoid beating around the bush) to the responsibility for what was shaping up to be a probable decision to close the hotel.
As Roberts quoted Tom Neff at the beginning of this article, the state made it “abundantly clear” it would like the hotel to remain open. God forbid that the State’s fingerprints be found on any decision to close the place! Not during an election, and not so soon after the State rolled snake-eyes on its quarter-billion dollar bet on the Revel casino resort in Atlantic City. Not when the State’s investment in the troubled Xanadu complex looks shaky.
Sure, New Jersey’s stake of nearly $30 Million in Lafayette Yard is a lot smaller than Revel and Xanadu, but our hotel is a lot, lot closer to the State House! It would be extremely easy for news cameras to pan from “Closed” or “For Sale” signs on the hotel right over to the Capitol. Bad optics, as they say in the business. It would not be good for Governor Christie’s reputation as a serious, no-nonsense manager to be too closely associated with another real estate deal gone bad.
Also, I’m sure it occurred to someone on West State Street that certain members of Trenton’s Council would have been more than happy to deflect the blame for their vote to close the hotel on to the State. After all, they’ve done it before.
Remember back in 2011, during the controversy about the City’s efforts to sign a contract to Lynx Technology, in a dicey and ultimately unsuccessful effort to move all of the city’s IT services to a company apparently unprepared to handle them, West Ward member Zachary Chester publicly based his initial vote to approve the deal based on the facts that Lynx was “the lowest bidder, gave a presentation that showed they are capable of doing the required work, and was found acceptable for consideration by the (state) Department of Community Affairs. No other factors influenced my decision. [Emphasis mine – KM]”
Councilwoman Phyllis Holly-Ward was more succinct in her reasoning. Speaking about the same decision to vote for the Lynx deal in 2011, said simply, “I will also let the State make my decision.”
Given all of this, It seems very possible to me that someone in the State House much more politically attuned to things than a professional career bureaucrat like Tom Neff, said something like, “Neff, we can’t be too closely connected with any decision to close Lafayette Yard. For Pete’s sake, don’t block Trenton from making any decisi0n on its own. Don’t put up another dime of state funds, whatever you do! Sound encouraging. Say we want to see the hotel remain open. Let that idiot mayor and his people know we won’t stand in their way. Tell them, ‘it’s within the purview of the city to fund’ the damned place. Yeah, that’ll work! At least it will push off the problem until after the election. If we’re lucky, it’ll keep the hotel open until after 2016. Then it’ll be someone else’s problem. Good man, Neff. Keep the lid on the whole thing.”
Yeah, that is all to credible a scenario to me. The thing is, had Mr. Neff and DCA not done a thing last week to intervene, I think Council would have voted against the money. There would have been no State involvement in that decision. Sure the State would have been part of the aftermath of any decision to close the hotel. There are still an awful lot of bills to pay, and at least $9 Million in state loans unsecured by any collateral but the hotel itself, worth only a fraction of the outstanding debt on the place. But that kind of situation would have been easier for the State to deal with, cleaning up after the Trenton Council’s own decision.
Now, it’s a lot more complicated for the State. DCA stepped right into the middle of the mess last week. The State now owns its share of any and all further actions to either close the hotel, or keep it open. DCA will have to make sure that, should the hotel remain open, the hotel’s Board will have to be more carefully appointed and trained for its duties. The State may have to place one or two of its own people as members of the Board to make sure its interests are represented. And, despite its reluctance, state taxpayers may end up pouring even more money into the place.
I still think that a majority of Council members may vote against any more City money for Lafayette Yard. But a vote to do so is now much more difficult for each member, now that the State has weighed in by making it “abundantly clear that the DCA is not interested in seeing the hotel close.”
It would have been much, much easier for those Council members to vote as they had publicly said they would vote, before DCA opened its mouth. The State’s announcement last week, and its reversal this week, make it a lot harder for Council. This morning’s news reveals a clumsy attempt of New Jersey to pass the buck back to the City of Trenton, after it overplayed its hand.
Too late.
Kevin, neither you nor I were at this meeting. We know (or should) that Anthony Roberts chips the cube of truth until it rolls; the Honorable Mayor does the same thing. I can’t see Chris Christie giving diddly about the hotel since every day someone bitches to me that the state, i.e., the governor doesn’t care about Trenton so why should ONE building bother him whether close to the statehouse or not. Yesterday, the governor wasn’t waltzing Prince Harry around Trenton; they were at the shore. Christie was looking for votes – big time. There are no votes here in Trenton, hotel or no. Hopefully the Seven Argives will stand their ground and vote, NO, NO, and NO.
Pat, I have heard from others that the State would not like to see the hotel close, but won’t put in any more support for it. So, surprisingly, Roberts and the IO’s statements have a ring of truth to them.
And whereas I agree that there are not likely many votes for Christie in Trenton, I do think he is looking not only for a victory this fall, but a convincing decisive victory, to keep him viable for 2016. He needs not votes in Trenton, but other independent and Democratic votes he might not get if there is yet one more example of bad decision-making in Trenton that the media can play up. It is just one building yes, but on top of Revel and Xanadu it’s one MORE building that I think Christie would prefer not be in the news this election cycle.
Kevin, I know this doesn’t pertain to this topic, but the previous one. I thought that you would like to know that Paul Perez, one of the mayor wannabees will be speaking at Franklin Park Civic Association’s meeting tonight, May 15. 1748 S. Clinton Ave. basement of the Lutheran Church, corner of S. Clinton and Lakeside.
I will take notes and give you my interpretations of his sales pitch. you have my email, contact me.
ed
at 6:30 pm, Wednesday. sorry missed that
ed
Kevin, I did a near perfect spit-take when I read: “Fuckup Without Portfolio Anthony Roberts” I would have made Uncle Miltie very proud…
The mixed messages from DCA are annoying, baffling and non-sensical…at least they were until I read your reasoning…and you make perfect sense. Election year policies and planning are worlds away from the usual dramedy of NJ politics.
Thanks for the great laugh, and the new acronym…IO and FWP Perfect Together!
Kevin, as promised, my humble opinion on Paul Perez’s presentation.
he gave a completing reason on why he should be mayor, he has much experience in working in the federal system, however he has no experience working within any city of state government. I suggested to him that he run for counsel, but he was not interested.
He has family in Trenton and is 1 of 15 children.
he stressed his experience working in various federal positions but i dont think that would be a skill set that would translate well in city government.
he is Hispanic and that may put a little fear in the current crop of applicants as the black population in the city is around 49-51% and shrinking while the Hispanic population is growing.
for him to successful, he would need to reach an accommodation with the other city populations.
Its still early in the season, let the culling begin.
this is a brief report, i wish i had your writing skill
peace
ed
Does anybody know what was REALLY said during the meeting on Tuesday? From the article in today’s Trenton Times, I get the feeling the state suggested the city sell the hotel. I still believe CC doesn’t give a pound of lard about the hotel; he could always go on the campaign trail claiming he saved the state money by not supporting Trenton’s white elephant, money which can go towards rebuilding the shore. Does anybody really care? Even the Chamber of Commerce – so anxious to save the hotel – wants to hold a pep rally at the BALL PARK!!
While I wasn’t present at the meeting, I imagine Kevin’s theory is not too far off. Perhaps I’m giving the State the benefit of the doubt, but I’m not so certain it was specifically tied to election politics, but more so of NOT giving those “running” Trenton (yes, I have to put that in quotes… sigh…) something to fall back on.
Shouting that Tom is the real mayor is such a damned cop-out from Kathy doing her job and basically sets up a strawman to “blame” the state should the hotel fail (which, for some reason, people keep thinking it hasn’t already). Consider this – the state says what it did, Council stops funding it, jobs are lost, everyone groans about wasted tax dollars. When the pitchforks come out, Council / IO / the city admin could reasonably say, “Hey! The state did it! We would’ve totally made it work otherwise! Honest!” In theory there is always a possibility of success as long as it remains open. Anyone with reason knows that probability is so slim that it is negligible, but we don’t represent the majority of the voting public. A headline that reads “TRENTON THROWS IN THE TOWEL – HOTEL OFFICIALLY A FAILURE” has the greatest angry mob generating power than all the bull and lies that got us this far to begin with.
When you look back at what was reportedly said, the state basically jumped in with, “Hey! No more money until you give us a real plan that isn’t made of bullshit and cupcakes”. But it’s been twisted into, “the state said to demolish the hotel & murder Trenton citizens!”. If I were in the state’s position, I’d take a step back and also clarify that I’m not, per se, against the hotel – I also WANT it to succeed. However, I won’t be the fall guy and Trenton needs to get out of this situation itself. Our neighbors elected these people to represent us – it’s our bad seeds to reap.
Frankly, I’m directing my anger towards the cowards in Council that are using this as an excuse to absolve their responsibility to this city (which, as Kevin pointed out, HAS happened before). If those “NO” votes change, then I’ll continue to direct my ire at those weak willed members that shift positions on the changing political wind and newspaper headlines. Stay the damn course – shut this thing down. Do the RIGHT thing.
Thanks, Ed, about the presentation by Paul Perez.
About his government experience, which you say he claims prepares him to be mayor: did he provide any detail about any of his positions? What he actually did, what his specialties as a professional and a manager are?
No, he has only federal experience, never been elected to any position, he was critical of the current city hall gov. but thats an easy target.
when i asked him what his plans were, he gave no specifics other than vague accounting principles, he thinks that city hall has vast amounts of “cash’ that is not being utilized, ala the 130 mil the school system had (and not used) that our gov snatched away.
again he could be a decent candidate if he has some NJ hands-on gov experience.
its too early to say
peace.
ed
Thanks, Ed – So he didn’t offer much description of what he actually did in Federal service? Hmmm, I’d still like to know what his job descriptions actually were.
And woe to him if he confuses the City with the Schools. The operation of the school district, and its budget, is really outside mayoral authority. The school Board (and its state-appointed minder) control that. Beyond appointing Board members, the Mayor and Council don’t really have much to do.
And if he thinks there are vast amounts of untouched cash around, I’d like to see him point to some.
Thanks again, Ed!
my pleasure, just a thought, and i didnt ask him, but maybe he was thinking about the water dept.
also whats the latest on the recycling/trash breakup with the county?
peace
ed