photo by Boyd Loving
Fedruary 6,2016
the staff of the Ridgewood blog
Ridgewood NJ, the purpose of the garage from the very beginning seems to have been to build a commuter garage for NJT and Bergen County in Ridgewood ,moving to make the Village a transit hub
The Village of Ridgewood (the “Village”) is undertaking the construction of an $11.7M parking deck on Hudson Street (the “Project”). There are two ways the Village can finance this Project over a 25 year period. First, the Village can issue its own General Obligation Bonds (the “Village Bonds”). Second, the Village can finance the project through the Bergen County Improvement Authority (the “BCIA”), which would issue County of Bergen Guaranteed Lease Revenue Bonds (the “BCIA Bonds”). In either event, the Village will be responsible to pay 100% of the debt service on whichever bonds are issued. (https://mods.ridgewoodnj.net/pdf/manager/hudson/20160129BCIAFin.pdf )
the choice :
Transaction Costs: The model includes up-front fixed costs of issuance of $162,500 for the BCIA Bonds vs. $92,500 for the Village Bonds. These costs include typical municipal bond transaction fees such as bond counsel, financial advisor, auditor, credit rating agency, printing, etc. In addition, the analysis assumes the underwriter’s discount would be essentially the same under either scenario. The BCIA Bonds also include the upfront authority financing fee of 12.5 basis points (“bps”) of total par amount of BCIA Bonds, the annual authority administration fee of 5 bps based on the annual outstanding par amount of the BCIA Bonds and an annual trustee fee of $1,000. (https://mods.ridgewoodnj.net/pdf/manager/hudson/20160129BCIAFin.pdf )
as per usually the most expensive for Village Taxpayers is the best choice .
Going to the BCIA , once the money is approved, it tends to appear almost instantaneously, accruing interest long before the project can even get started. That is a significant reason to reconsider this plan or ploy and an excellent reason, if it does happen, not to ask for a cent more than is needed. But losing control over the way commuter spaces are priced is a huge problem and there are undoubtedly more.
There will be approximately 320 car garage. 4 levels. The mayor said in the last meeting that 2 levels may be dedicated to commuters. That’s about 160 cars for commuters. We currently already have one level, which is mostly used by Ridgewood commuters. Lets say the second level is used by Bergen County commuters at no extra money compared to Ridgewood commuters. So, 2 levels are either used by out of Ridgewood commuters or commuters who are already using this lot today without the garage.
With remaining 2 levels, we will get 160 new spot, presumably for non commuters. Cost – 12.3 million in new bond, 500K bond has been already spent + 450k already spent on environmental studies in 2014 & 2015 on this lot. = 13.25M.
That’s 82,800 for every new parking spot created for CBD. This assumes that the project will not go over the budget. With the way this council and village manager are spending the money, this is highly unlikely to stay in the budget.
This garage is going to be a money loser and the town will be left on the hook for it.
I was in town on Saturday and the main streets had people circling for spots as usual on Chestnut, Oak, etc. But, if you drove a couple of blocks away to near Mt. Carmel (and where the new garage would be), there were TONS of metered spots open.
I don’t think the parking problem is that there aren’t enough spots in the downtown area. The problem is that people don’t want to walk a couple of blocks for a parking spot. Building the garage right near Mt. Carmel is NOT going to solve this problem. Maybe, if the new garage was at the old garage next to Ben and Jerry’s or somewhere more central and visible would it be more utilized. I just don’t see the draw to have to park in a multi-level garage when there is street level parking available at most times across the street.
There is no way Ridgewood should be spending $10m plus on this.
-Thed.
Your just figuring this out? Really?
Paulie screwed taxpayers big time. Just remember who voted with Paulie when you head to the voting booth on May 10th.
The Village and the County couldn’t make a water balloon without delays, “change orders” and large cost overruns. We will regret ever being saddled with this mistake. Village taxpayers are – yet again – getting the wrong end of this deal. Why aren’t the CBD business owners on the hook for any of this? Ask them to pay for all of Albert’s “soft cost” overruns if they are likely to be limited to only 10-15% of the final cost. At least they might care to pay attention to potential cost increases and delays, unlike the Village and County.
Many or most people driving around town won’t even know the thing is there unless huge, hideous signs are installed (and even then).
Why not implement councilman Sedon’s suggestion tomorrow, make Chestnut and Oak one ways and change the current parking to slanted spaces on both sides. That would almost double precious on street parking in a desired location.
Thanks Obama,
Are there no resident attorneys in the town who can see what’s happening and stand up to fight this?
our mayor is trying to earn some brownie points with the county politicians so he can advance his political career.
say scam,
Albert and Paul are too stupid to understand what the consequences are, Roberta should also know better