HomeMy Public PortalAbout1997/04/07
A Special Meeting of the Mayor and Council of the Borough of
Carteret was called to order by Mayor Peter J. Sica at 7:00 P.M.,
on Monday, April 7, 1997, Council Office, Municipal Building, 61
Cooke Avenue, Carteret, New Jersey.
Upon individual roll call, the following were noted present:
Councilmember Deborah Bialowarczuk
" " John DuPont
" " James F ailace
" " Jack Fazekas
" " William Feingold
" " Stanley Gutowski
Also noted present was Borough Attorney Craig Coughlin.
Also noted present was Robert A. Hedesh, Esq.
Mailed to The Home News and Tribune, The Star Ledger and
posted on the bulletin board on April 4, 1997.
To discuss scavenger services and to adopt a resolution to go into
closed session to discuss litigation. Formal action may be taken.
Mayor Sica asked the Borough to explain what happened in court
this morning.
The Borough Attorney said that what was on this morning was our
motion for an extension of time in which to comply with the order
in the Manella matter. The Judge granted our motion and granted
the extension until June 15, 1997. He ordered that in addition to
having the excess time that Dauman would continue to pick it up.
He said that will go through the decision if they want. The Judge
indicated that he had not given a lot of thought to the time period
that was included in the time or in the decision and had specifically
allowed for an application for an extension of time if the time
frame set out the decision wasn't workable as it turned out today.
There were a couple of arguments that we advanced, that Bob
advanced on our behalf. As a matter of fact there was never a
method by which we could comply since there was a mistake
among all of the parties present with regard to the time frame that
is required for the bids to be advertised. They have to be
advertised for 60 days. The assumption in court was that it was 30
days including by the Judge. So from the beginning there was not
an ability on the part of the Borough to comply. Additionally, the
order was drafted by Manella's counsel, was inaccurate really. It
didn't reflect the decision of the court because it set forth the fact
that we had to advertise within 60 days which we have in fact
done. Nonetheless, the Judge signed that order and probably ought
to bear some of that responsibility if that's not what he intended for
that confusion. But the Judge essentially said that he cannot
prejudice the Borough. He can't leave them in a position where
APRIL 7, 1997
SPECIAL MEETING
April 7, 1997
ROLL CALL
STATEMENT OF
MEETING NOTICE
PURPOSE OF
MEETING
DISCUSSION
APRIL 7, 1997
SPECIAL MEETING
-Continued
their garbage isn't getting picked up. As a matter of fact, the
Borough has done what it was directed to do, wish we had perhaps
done it quicker. But nonetheless, we had in fact done what he had
ordered us to do. The next question he provided was whether
Manella would in fact pick up the garbage as was argued by their
counsel. They indicated that there had been a "windfall" was a
word used by counsel for Manella. It turned out to be a mistake.
A windfall on the part of Dauman for some 20 months and that
they were now entitled to a windfall for a couple of months during
the interim period until the new bid can be awarded. The Judge
said in fact that he didn't believe that Dauman was receiving a
windfall, that there may have been some profit included in the bid
but that certainly didn't constitute a windfall. But it would
constitute a windfall on the part of Manella and he was not
prepared to draft that or provide for that. So he said there wasn't
any reason to give it to Manella. They had the opportunity to pick
it up and bid for it so he granted our request for an extension.
Attorney Coughlin explained that the bid specs have been revised.
Gloria worked on them. Ted Surick had some input into them.
Bob Hedesh and he both reviewed them. We've amended them to
provide for a flat credit. We've broken out by month the amount
of garbage that was picked up. We've indicated in the bid specs
the possibility of eliminating grass so that people can estimate how
much was included in that. We give them a month to month break
out on the amount of garbage that's collected. We set a flat fee
credit that everyone will have to give the Borough for the
difference between the base year which is 1996 and the amount
actually collected equal to the tipping fee of the then applicable
disposal site. The reason for that is there is a case pending which
may in fact allow us to shop for our disposal site.
-
Mayor Sica said not go to Edgeboro anymore.
Attorney Coughlin said the credit would self-adjust. It also gives
us the right to.. .His appeal is still out there in the event that we're
overturned, we would have the right ... (inaudible). . . the bid specs
to terminate the contract if that appeal. ..(inaudible)... the Judge
didn't stay it. They've applied for an appeal of the stay.
Attorney Hedesh stated that they haven't applied for an appeal of
the stay.
Attorney Coughlin said that they just appealed it. Theoretically,
we can award the bid, then it could be overturned after the new
contract was awarded so we've provided for an out in that
eventuality .
Councilman Failace asked if we have any estimates of when the
appeal will...
The Borough Attorney said that Bob probably can better answer
that. Six months, perhaps.
--
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Attorney Hedesh said that Manella just filed a cross appeal, he
guesses just to preserve their right. The order isn't going to come
out for 30 days, so you have 30 days before you can get a
scheduling order. The briefs will be provided for 45 days and then
45 days hence to file response briefs. Then 30 days...
Mayor Sica said he's talking 6 months.
Councilman Failace stated that we'll have somebody picking up
garbage, whoever's going to be going it under this new bid, for 5,
6, 7, 8 months, something like that, before...
Mayor Sica said unless they give it a stay. Unless it's so obvious
one-sided, they stay it until they have a full hearing.
Attorney Hedesh said or unless the Appellate Division just wants
to review this whole issue. That's usually .. . (inaudible).. . the
criteria ...(inaudible)...appeal. There's something out there that
they want to look at, in this case, ... (inaudible).
Mayor Sica asked who gave Manella and Menzoff any rights to go
down to the Borough Garage the other day and demand that they
go around, that we would take them around. We will file a
complaint against Menzoff and against Manella. They went down
there and caused a scene down there.
Councilman Failace stated that Teddy called him up and he told
him to tell him to go home because he has no right to be down
there.
The Mayor said that he demanded that he be taken around to see
the various routes and all that, that he had this thing locked up. He
will sign a disorderly persons against Manella tomorrow on behalf
of the City because now they took Teddy off the job. They have
no right to do that.
Councilman Failace that Teddy told him that if Manella came
down he would have taken him around. No big deal.
Mayor Sica stated that we have work to do. We don't have time to
take people around.
Councilman Failace said that he told Teddy just for insurance
purposes alone he shouldn't be around there.
Mayor Sica said and Menzoff.. .I'm going too. He is going to file
a complaint against them.
Attorney Coughlin said that he talked to Gloria in terms of getting
quotes in case we were in a situation for today where we needed to
make some kind of decision tonight. She called BFI and a couple
of others. He talked to her early this morning and said forget it, we
don't need it. He also told her to talk to Manella and Dauman. He
is not sure if that prompted it. He happened to be on the phone
with him when Manella was there. He said Mr. Menzoff was there
and he was going to kick ...(inaudible). Do we have to have the
courtesy to show them all of the routes because they want to quote
on it? I don't know if that's inappropriate.
3
Mayor Sica said of course it's inappropriate.
Attorney Coughlin said that he will leave that to somebody else's
discretion.
Mayor Sica asked if we are going to open it up to everybody again.
APRIL 7, 1997
SPECIAL MEETING
-Continued
APRIL 7, 1997
SPECIAL MEETING
-Continued
Attorney Coughlin noted that if ... (inaudible). . . quotes and BFI
and everybody wanted to come down. . .
Mayor Sica said that nobody came down, just Manella.
Attorney Coughlin said that he is not saying they did. What he is
saying is in the event that they did and we made a decision to show
it to them, he doesn't know that that would be an inappropriate
decision. But nonetheless, nobody made that decision. They
showed up.
Mayor Sica said that they don't have any right and he is going to
sign a complaint against them. It's just ridiculous. We're trying to
run a City here. It's not a game.
The Mayor noted that we have until June 15th. Then we'll see
what the bid comes in at.
The Attorney said that on Thursday or Friday it went to the paper.
Mayor Sica said that there was no way the Judge.. . (inaudible). ..
grant this extension. How could he do it? He knows it takes at
least 60 days to get a bid.
Attorney Coughlin said that he didn't. That was the ...(inaudible).
Attorney Hedesh said that what happened was that he came out
with his decision.. . (inaudible). ..and then they out the 60 days.
All four of us, me included, the Judge, Dauman and Manella sat
there and said.. . (inaudible). . .30 days.
The Mayor said that he thinks he is saying that we have to bid it
within 60 days.
Attorney Hedesh said no.. . (inaudible ).
The Mayor said that he knew it was impossible to get it done in 60
days.
Attorney Hedesh said that everybody assumed that it only had to
be advertised for 30 days. So, 60 days would have been a
...(inaudible).
Mayor Sica said that you have to review it. You have to award it.
The thing is so complex, the garbage industry today, that you have
to read everything that they put in there what they're going to do.
Attorney Hedesh said that they really speeded up the approval
process to 3 or 4 days because of ...(inaudible). We really wanted
to get a good real number.
Mayor Sica asked if there is a provision in there that we will have
the right to tell them where to take the garbage in the future.
4
Attorney Hedesh said yes.
The Mayor stated that in 1983 he made that argument that they
cannot tell him where to take his garbage.
Attorney Hedesh added that it says that we can either direct it to go
someplace else or we could cancel the contract.
Mayor Sica noted that it's going to become a buyer's market out
there when this Supreme Court decision goes into effect. It's in
effect. It's just that they've given the State of New Jersey some
time to try to work it out because of all of the bonds that are sitting
out there. You can't restrain the flow of garbage even across State
lines. What they should have done in 1983, they
.. . (inaudible). . .built all of those incinerators that cost 200 million
because.. . (inaudible). . .paid 250 million for. They didn't care
what it cost because the tipping fee was going to be predicated on
how much it cost to build the thing. It's like public service. Do
you think public service cares how much it costs to fix their boiler?
They could care less. They hope it costs more because at the end
of the year they say they did a billion dollars worth and are entitled
to 100 million dollars worth of profit now and they hope it goes to
2 billion. It's stupid. That's why you can now buy electricity and
gas from anybody. You can't lock that in.
There being no further business or discussion, the meeting
adjourned upon MMS&C, by Councilmembers Fazekas and
Feingold and unanimous affirmative vote of the full membership
present.
Respectfully submitted,
~fm~~ýtiC ~
Municipal Clerk .
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APRIL 7, 1997
SPECIAL MEETING
-Continued
ADJOURNED
April 7,1997
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