Who, asks Lighty?

Answer "Daffy Duck" From 1999:
Mayor Saunders said: ''I'm willing to work with anyone. I'd work with 
Daffy Duck. The first ones that come in and show me the money I can 
work with.''

The Entire article follows, and the Times, at that time, summed it 
all up.

Copyright New York Times Company Jan 31, 1999
SUMMER and winter are different here only because of the weather. The 
ocean breeze blows across an empty boardwalk and right through the 
spectral hulk that was supposed to become a condominium building. The 
streets off Ocean Avenue are lined with parking meters that rarely 
see a car, in January or in August.

And in winter as in summer, Asbury Park residents line up at City 
Council meetings to plead for attention to the oceanfront blocks that 
many compare with Beirut. They have been devastated for 15 years, 
ever since the city made a deal with a developer who bought up acres, 
bought out businesses and then went bankrupt -- a failure that had a 
shriveling effect on the rest of the city, too.

At the last meeting, Thomas Hayes, president of the Chamber of 
Commerce, given two minutes to speak like everybody else, told the 
five council members: ''Just this past week I talked to several 
businesses who said, 'We can't hang in anymore.' We need an answer 
from the council people.''

The question, asked over and over in Asbury Park, is: Why did the 
council turn down an offer from the state to set up a redevelopment 
authority that would extricate the city from its tortured dealings 
with the developer, pay his $7 million in back taxes and get started 
again?

The council's 3-to-2 vote last fall against opening discussions with 
the state was especially frustrating to the residents who have staked 
their futures on the handsome old houses and small businesses here. 
They had been looking to an infusion of capital -- it will take 
hundreds of millions of dollars just to rebuild the redevelopment 
zone -- in the city that was once a magic kingdom resort with 
manicured lakes, elegant hotels and a mile-long carnival of a 
boardwalk.

There were 200 hotels in 1938, and now there is one, the Berkeley 
Carteret, whose grand front entrance is nevertheless locked night and 
day. Except for a roller rink with a few video games, the amusements 
have vanished. The Stone Pony nightclub closed in September. And 
while real estate prices keep climbing along the Jersey Shore, the 
tax base -- the total value of taxable property -- in Asbury has 
shrunk each year since 1993.

Innumerable hopes for revival have come to grief in local politics 
scarred by racial resentments, disruptions in city government and 
feuds that are too intricate to chronicle. Residents of all political 
stripes refer to sinister absentee landlords and developers' back 
pockets, though for all the criminal indictments of public officials 
over the last decade, none has shown corruption linked to the 
redevelopment mess.

It is hardly clear what anyone has to gain from years of delay in 
development. Eugene M. LaVergne, a lawyer who moved his office to 
Asbury several years ago ''because I think it has a future,'' 
said: ''Everything's always been for sale in the city. What's 
enraging and ironic is that they're buying the town to keep it down.''

The city government's resistance to state help is even more puzzling 
to outsiders. ''I've kind of walked away,'' said State Senator John 
O. Bennett of Little Silver, who was Asbury Park's city attorney for 
eight months in 1997 and 1998. ''I don't know what else you can do 
for a city. This is the absolute best chance for the city. I can't 
understand why it doesn't happen. Is what they have now better? If 
not the state, why not?''

William E. Best, the executive director of the New Jersey 
Redevelopment Authority, acknowledged ''a degree of dismay'' at the 
council's vote, taken a few weeks after he addressed a standing-room-
only meeting where dozens of speakers cheered on the state's 
proposal. ''We've said time and time again that it was our intent to 
work with the city as the plan was being modified,'' Mr. Best 
said. ''We want not only to work with the city but with community 
support.''

But the council members who opposed the plan reply that they are 
hamstrung by litigation with the original developer, Joseph 
Carabetta, and are close to a settlement that would transfer control 
of the redevelopment zone to the city or another developer. Finally, 
they say, they cannot accept the state's proposed local redevelopment 
authority, which would have a majority of members appointed by the 
state.

''They want a majority on the board,'' said Mayor Kenneth Saunders, 
one of the three council members who opposes the plan. ''No. This is 
our town, and we should have a majority.''

''In the meantime,'' Mr. Saunders said, ''I've got some other things 
going, and I hope to be able to make a big announcement over the next 
few weeks. We've had 17 years of going back and forth, and we're 
closer than we've ever been.''

Those ''other things'' are settlement talks with Mr. Carabetta as 
well as other prospective developers. Mr. Carabetta, whose offices 
are in Meriden, Conn., declined to answer any questions for this 
article, and city officials say they cannot estimate his total 
investment in the project. But one group of investors interested in 
taking over the project reached an agreement with Mr. Carabetta last 
summer to pay more than $16 million of the developer's debts. This 
group was rejected by the City Council because it could not guarantee 
financing for the construction.

Carabetta Enterprises Inc. went bankrupt in 1992, after negotiating 
an extension with the city and recasting the development plan to 
include entertainment centers and theme restaurants. The only 
construction that had materialized from the original plan was the 
skeleton of the Ocean Mile condominium high-rise and a row of town 
houses that burned before they were sold.

As for who else might acquire the property and the redevelopment 
rights, Mayor Saunders said: ''I'm willing to work with anyone. I'd 
work with Daffy Duck. The first ones that come in and show me the 
money I can work with.''

Asbury Park has seen many builders express interest, only to recoil 
because of the bankruptcy proceedings and the litigation over the 
redevelopment agreement. Others, including K. Hovnanian Enterprises 
of Red Bank, have withdrawn in exasperation over the city's political 
leadership.

I N recent months, three groups of investors have put plans before 
the City Council. After the Council rejected the first for its 
failure to guarantee financing, a second group also dropped out. The 
third, a consortium of builders that have completed projects in 
Jersey City, Hoboken and Weehawken, remains interested, if 
frustrated. ''We have been trying to do what we thought the city 
wanted,'' said Brian Doherty, the group's lawyer. ''We'd work with 
the city, we'd work with the state.''

But Mr. Doherty added that the city was poorly equipped to evaluate 
and broker a huge real estate development. ''There's no planning 
staff and no economic development staff,'' he said. ''There's no 
strong voice on City Council. You're dealing with laypeople who have 
other jobs and are called upon to be Council people. Twelve or 13 
years later, it hasn't dawned on them that you've got to build 
something.''

The city is indeed in political shambles. It has had seven mayors in 
10 years, and the Council seats have rotated with each election, 
including a recall vote in 1996. The recently departed city planner 
is suing the city, claiming his dismissal was racially motivated; the 
former public safety director is suing, too, claiming he was 
dismissed because he refused to fix a parking ticket for the Mayor. 
The school board attorney, who was subsequently removed, and the 
assistant city manager, among others, were indicted last year on bid-
rigging charges and awaiting trial dates.

The council members snap at one another in their meetings, which one 
former Councilman said he tried to persuade a television station to 
film because ''they're much better than Judge Judy.'' In their vote 
on the state plan, the two supporters contended that two of the 
opponents had conflicts stemming from business connections to Mr. 
Carabetta or his former partner.

After the last Council meeting, Councilwoman Sheila C. Solomon, a 
supporter of state intervention, was fuming because Mr. Hayes had 
been cut off while pleading for a public forum to discuss the state's 
offer. ''All this time they've blocked out having a hearing,'' Ms. 
Solomon said. ''All these people are asking for is a hearing.''

''This is wrong,'' she went on. ''In July it will be two years I've 
been sitting up here, and nothing has been accomplished. I wrote 
letters to the press, I had people calling me and I said, 'Keep up 
the pressure.' I've written the Attorney General. I've written the 
Governor. Somebody's got to listen.''

Councilman John J. Hamilton Jr., the first to ask the state 
Redevelopment Authority to intercede, said: ''I've spoken to Assembly 
people who say, 'What's wrong with people there?' We've spent more 
than $1 million on legal fees fighting Carabetta, and the state would 
take over all our litigation.''

''I'm kind of stuck,'' Mr. Hamilton added. ''I've spoken out. I don't 
want to attack the council.''

But Councilwoman Louise Murray responds that it would be better to 
let the city or another developer strike a deal with Mr. Carabetta 
than to wait for the state to wrest redevelopment rights from him. 
Meanwhile, Ms. Murray said, ''I'm not ready to put Asbury Park in 
somebody else's hands.''

''I laid awake nights when I made this decision,'' she said. ''I 
slept with a pad of paper by the bed. But every Council since 
Carabetta has thought they had the answers. They've all just made 
more of a mess.''

Councilman James G. Condos, who like the Mayor and Ms. Murray will 
not agree to a redevelopment board with a majority appointed by the 
state, said most residents did not want to cede local control. ''It's 
a vocal minority that shows up at Council meetings,'' Mr. Condos said.

Another opponent of state involvement is Henry Vaccaro, Mr. 
Carabetta's partner in the original redevelopment contract with the 
city. Mr. Vaccaro, who says the developer's failure wiped out his 
assets too, is trying to organize a group to buy out Mr. Carabetta 
and hopes to get construction contracts in the eventual rebuilding. 
While Mr. Vaccaro said of the council that ''there's not a brain 
among them,'' he has no use for the state. ''Look at what the state's 
given us so far,'' he said. ''Subsidized housing all over the west 
side. Mental patients who ruined the beachfront.''

Mr. Vaccaro has a long history in Asbury Park politics. Though he no 
longer lives here, he runs a guitar manufacturing company in town and 
has bought and sold numerous properties in and near the redevelopment 
zone. In what he said was an attempt to revive the project, even 
though he had sold out to Mr. Carabetta years ago, Mr. Vaccaro backed 
a successful campaign in 1996 to recall two Council members.

The recall also became a cause for a group of black activists who 
called themselves Asbury United. Recent campaigns have been vicious. 
An unsigned flyer supporting Mr. Saunders urged blacks, who make up 
about 60 percent of Asbury Park's population, to ''drop white 
supremacy''; it showed tombstones bearing the names of political 
enemies, including two African-Americans identified with the 
label ''slave.''

Still, opinions on redevelopment do not divide along racial lines, or 
even on discernible political lines. In September, for example, 16 
civic groups issued an open letter to the Mayor supporting the 
state's offer; many minority organizations, including Asbury United, 
were represented, as were the Salvation Army and the Chamber of 
Commerce.

''It's not a matter of black or white,'' said Mr. Mauro, the former 
Council candidate, who has lived here for eight years. ''It's a 
matter of green, and of ignorance and greed. This city has been bled 
so dry with back-room deals.'' In running for office, Mr. Mauro 
said, ''you're vilified, you're threatened. They've made it so good 
people won't get involved. When it was over, I said, I must have been 
crazy to do that.''

Mr. Mauro's civic life began with the Asbury Park Garden Club, which 
he and a few friends formed to restore the once-spectacular gardens 
around the city. Both the club and the gardens flourished for a time, 
then withered from vandalism and official neglect. When the slate 
that defeated his Council candidacy took office, Mr. Mauro said, the 
Council scheduled concerts on the park grounds that had been the 
garden club's flagship project, and the plantings were 
trampled. ''That's when I threw in the towel,'' he said. ''It broke 
my heart.''

THERE still is a garden club, and Mr. Mauro, a lab technician, is 
still a keeper of the city's esthetic history, which he presents in a 
video -- another garden club project -- that uses restored frames of 
a 1938 promotional film to trace Asbury Park's stunning decline. When 
he showed the film at a housing complex for the elderly, he said, 
people were sobbing. ''One little old lady said, 'The developers have 
done to this city what the Depression couldn't do.' ''

Dr. Angelo Chinnici, a former Council member, recalled how his 
tuition was paid by his family's restaurant and his own summers 
selling hot dogs on the boardwalk. ''In the 70's the typical 
boardwalk lease was $16,000 to $18,000 for concession space,'' Dr. 
Chinnici said. ''Now you'd be lucky to get $500.''

Dr. Chinnici is largely credited with regaining possession of the 
Paramount Theater and Convention Hall -- the elegant city-owned 
buildings that once generated so much boardwalk business -- when he 
was on the Council several years ago. The complex has been restored 
and is host to the New Jersey Shorecats basketball team and to 
concerts, though it is hardly lucrative.

''I invite the Attorney General and the state of New Jersey to take a 
good, hard look at what's going on,'' Dr. Chinnici said. ''There's no 
other city in the U.S. that's suffered so much financial blight 
because of a few individuals.''

While most properties near the beach remain in Mr. Carabetta's 
control, a few others have recently changed hands and raised hopes. 
The Berkeley Carteret was sold last month to a Queens businessman for 
$5.1 million. Preservationists keep fighting to save the Palace 
Amusements building -- they have already recovered its original 
Ferris wheel -- and a group of Bruce Springsteen fans is making 
contingency plans to save Tillie, the grinning clown face painted on 
the Palace building and pictured in Springsteen videos and posters.

The state's more unsentimental interest remains alive, Mr. Best said. 
He noted that control of the board that would oversee the project is 
not negotiable, since the legislation providing state financing for 
urban redevelopment requires that a majority of board members be 
members or employees of the state Redevelopment Authority.

But he insisted that the state's role would be limited in time -- to 
10 years or until 80 percent of construction is completed -- and in 
substance. He said the funds to pay back taxes remain available, 
without any legislative approval, though they would have to be repaid 
when the development becomes financially viable.

Mr. Best, who had met with City Council members individually in 
coffee shops to explain the plan, said he was baffled by their vote. 
He said that a few weeks later, in October, he wrote to the City 
Manager, the Mayor and Council members, asking them to outline their 
concerns. But except for a phone call from Mr. Hamilton, he said, he 
received no response.

The City Manager, Wilbert C. Russell, said the state's offer, which 
does not exist in any written form, was vague. ''It's unclear what 
the state's intention is,'' Mr. Russell said, ''other than to give a 
loan and set up a board with a majority.''

John Loffredo, president of the Asbury Park Homeowners Association, 
said the Mayor had made campaign promises to seek help from the 
state. And while the state proposal ''isn't that great,'' Mr. 
Loffredo said, ''you don't dismiss it out of hand. You go back and 
talk.''

''Everybody is waiting for some savior to drop out of the sky, 
whether it's the state or a redeveloper,'' he said. ''If we'd been 
running the city for the last 15 years the way we should have, we'd 
be fine. We'd be ahead of the game.''







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