Commuters fear sale of two parking facilities

Commuters fear sale
of two parking facilities

Study to determine garages’ value had prompted concerns;

mayor says no sale planned

By vincent todaro

Staff Writer

EAST BRUNSWICK — Based on the results of a study by Ernst & Young, officials estimate that the township’s two municipally owned parking facilities are worth between $12 million and $14 million.

Mayor William Neary noted that the study has not been finalized yet, but officials believe that is the price range East Brunswick could get if it were to sell Neilsen Plaza at Tower Center, Route 18, and the Transportation and Commerce Center, which is located behind Sam’s Club, Route 18.

The issue was discussed at the March 5 meeting of the Commuter Parking Advisory Committee, an ad hoc group that overlooks issues pertaining to the thousands of bus commuters in East Brunswick. The group invited Neary to its meeting because it had several questions, including whether the township might sell the two parking facilities.

Howard Neuman, who has served on the committee since it was established in 1989, said the 90-minute meeting was dedicated solely to the concerns of the committee. Attending the meeting were eight members of the board, as well as Township Finance Director L. Mason Neely, as well as some other commuters.

Neuman said the group was caught off guard by the news that Ernst & Young had been authorized to do the study.

He said the committee’s biggest concern was that the township might sell the two parking garages and thus privatize the utilities.

"If that happened, we’d anticipate commuters would see costs skyrocket," he said. "The mayor assured us there was no proposal to do anything like that."

Neary addressed the issue at Monday night’s Township Council meeting.

"They thought we might be selling the parking garages," he said of the advisory committee members. "We have no intention to ever make a recommendation to ever sell the parking garages."

Instead, officials want to complete about $1.1 million worth of maintenance work at Neilsen Plaza, he said. That work will only be done on one-third of the facility, as the township only owns that portion of it.

Neuman said that age has taken a toll on the building, and repairs are badly needed.

The Neilsen facility has been in operation since 1978. It is financed strictly by fees from commuters and the bus companies that use it. The Transportation Center is financed by the same sources.

In explaining the need for the Ernst & Young study, Neary has said that options such as selling or expanding the facilities were being considered, and that officials needed to know the values of the garages before any decisions were made.

Also on the advisory committee’s list of questions was to find out what financial benefits could be derived from the sale of the garages, and to learn the status of a lawsuit filed against the township in 2001 by the Suburban bus company.

As for the lawsuit, all three parties — the township and the Suburban and Academy bus companies — have made their submissions to the state Appellate Court, and a decision from that court is expected soon.

Suburban, which has long held an exclusive contract to serve township commuters, took legal action when the township awarded the bus service contract to Academy in 2001. A Superior Court judge subsequently ruled that the bid specs given by the township to the bus companies were ambiguous and poorly worded and could not be upheld. The decision effectively blocked Academy from serving under the new contract, and Suburban continues to serve East Brunswick.

The committee also asked Neary why it was not informed of the Ernst & Young study prior to its commencement.

Neary acknowledged that the resolution authorizing the approximately $27,000 study was never voted on by the council last year. It was not until last month that the council had a chance to vote on the authorization and payment.

Neuman said the committee as a whole feels that Neary has been responsive to commuters’ concerns, and that the committee was satisfied with the mayor’s responses to their recent questions.

He said costs to East Brunswick commuters are much lower than those paid by commuters in other municipalities, due in part to the fact that the township owns the garages. Neuman said the committee believes the commuting issue is one of the three legs that keep property values up in East Brunswick, and that the others include the reputable school system and township’s public library.

"The lots make East Brunswick the most commuter-friendly town in Central Jersey," he said.