January 27, 2010
The Honorable Chris Christie
Office of the Governor
PO Box 001
Trenton, NJ 08625
Dear Governor Christie:
I
am writing to you on behalf of the steering committee of Hoboken
Revolt, a community-based, nonpartisan watchdog organization whose
mission is to ensure fiscal responsibility and accountability in
Hoboken
government. Since its formation a little over a year ago, our website
has grown to include almost 800 members and is considered a primary
destination for local government related news and discussion.
As
you are aware, Hoboken has been mired in official corruption scandals,
including the arrest of former Mayor Peter Cammarano after a mere three
weeks in office, as well as the indictment, a month ago, of the former
head of the Hoboken Parking Utility in connection with the alleged
theft of over $600,000 in quarters collected from parking meters. The
city has been plagued by financial mismanagement for years. The
municipal budget has ballooned from $65 million in 2003 to $120 million
in 2009. The situation became so dire that, in 2008, a state fiscal
monitor was appointed when the Council failed to approve a budget. When
the fiscal monitor completed her initial review, the taxpayers of
Hoboken were saddled with a devastating 47% municipal tax increase. To
make matters worse, the taxpayers are on the hook for what may be more
than $52 million (plus accumulated interest) in hospital bonds, in the
event that Hoboken University Medical Center should fail. Furthermore,
the tax burden is not fairly allocated
among property owners since the city has failed to conduct an evaluation since 1988, in clear violation of applicable law.
Hoboken's
runaway budget has been fueled in large part by uncontrolled personnel
costs completely out of proportion with the needs of our mile-square
city and out of line with similarly situated municipalities in Hudson
County and elsewhere in the State of NJ. Hoboken was highlighted in the
December 2009 report of the State of New Jersey Department of
Investigation entitled "The Beat Goes On, Waste and Abuse in Local
Government Employee Compensation and Benefits." The report cites
extraordinary terminal leave and vacation accrual benefits, cash
stipends, longevity raises and special leave benefits, including days
off to attend weddings, baptisms, and to give blood, afforded to public
safety employees.
The taxpayers of Hoboken demand accountability
and transparency. We are aware that a police department audit was
conducted by the state, at the behest of the fiscal monitor, in late
2008. As a result
of the audit, the state fiscal monitor called for
the elimination of sixteen positions in the police department. That
plan has never been implemented and the audit report has never been
released.
In response to then-Councilperson, now-Mayor, Dawn
Zimmer's March 2009 request that the report be provided to the city
council, the fiscal monitor indicated that the report had not been
finalized, but would
be made available by April 2009. Nine months
later, in response to this group's December 26, 2009 call for public
release of the report and for the city to undertake efficiency and
forensic audits of all other
municipal departments and agencies,
Mayor Zimmer disclosed that the 2008 police department audit still had
not been released by the State. State DCA Director Susan Jacobucci
reportedly represented to Mayor Zimmer that the report was still in the
"final editing stage" and committed to provide the report by January
18, 2010. Mayor Zimmer pledged to make the report available to the
public soon thereafter,
following an opportunity for the Police
Chief and Public Safety Director to review it. It is our understanding
that the DCA has failed to meet the commitment of issuing the audit of
the Hoboken police
department on January 18, 2010. The State has
twice failed to comply with its own, self-imposed deadlines and the
report remains unavailable to the public.
Yesterday, in response
to our inquiry, State Fiscal Monitor Judy Tripodi represented that, to
date, she had not received a final copy of the police department audit.
It is our understanding the mayor and city council have never seen the
report, even in draft form. Ms. Tripodi made no commitment to make the
report available to the mayor, the city council or the public prior to
presenting a proposed public safety
labor contract to the council
and further, indicated that it was her intention to finalize the
contract, with or without the approval of the city council.
With
a new local administration in place, the 2010-11 budget under review,
and public safety contracts in negotiations, the taxpayers of Hoboken
are hopeful that some relief may be on the horizon. The State should
play an active role in helping Hoboken achieve fiscal health, including
a responsible budget commensurate with the needs of the community and
public employee contracts that are fair and equitable for the employees
and taxpayers. Department audits are critical to identifying available
cost savings in the budget and evaluating labor contract provisions.
The State's excessive delay in releasing the police department audit is
inexplicable and inexcusable. It is an affront to the principle of open
government and undermines the ability of our elected officials to take
responsible steps toward right-sizing our budget. We ask that,
consistent with your expressed commitment to fiscally responsible,
honest and open government,
you direct DCA to release the police
department audit immediately and direct the state fiscal monitor not to
present the city council with the proposed police department labor
contract, or finalize it, until the
report is forthcoming and there is a reasonable opportunity to review it.
Finally,
whether or not the fiscal monitor has the legal authority to overrule
the city council on this issue, to do so would effectively
disenfranchise
the voters of Hoboken. We ask that you consider instructing Ms. Tripodi
to honor the decision of the city council on the contract issue. We
invite you or your representative to meet with us to discuss our
concerns and help to identify ways in which state and local governments
and community groups like ours can work cooperatively to achieve our
mutual goals.
Sincerely,
Hoboken Revolt Steering Committee
cc: Mayor Dawn Zimmer
Members of the Hoboken City Council
Susan Jacobucci
Judy Tripodi