After a long-awaited presentation on the plans for the former American Cyanamid site adjacent to Quakerbridge Road, West Windsor residents were quick to voice concerns about the Howard Hughes Corporation’s plan to have the area designated a redevelopment area.
The owners of the site, the Howard Hughes Corporation, presented their general vision for developing the rundown 658-acre, 47-building property at the West Windsor Council meeting September 22.
West Windsor residents expressed strong concerns during the public comment period, among them the lack of details presented in light of a request for redevelopment designation, and the effects a large mixed-use development would have on the school district and area traffic.
Addressing the council and residents, representatives from Hughes emphasized their desire to jointly plan with the township and the community. The company says that this past year it has spoken with nearly 100 West Windsor residents and officials, as well as with the school district and local businesses.
“We are going to be a long term resident in this community,” said executive vice president John Simon, who added that the company is three to four years away “from opening a door.”
Simon estimated full development of the property would take 20 to 25 years. Project director Chuck McMahon, in a PowerPoint presentation, broadly outlined how the site would be developed. The company is seeking to depart from the site’s existing research-office-manufacturing (ROM-1) zoning designation, which only allows for that one use. Howard Hughes presented a plan that includes mixed-used residential and retail development on the parcel of land north of Clarksville Road, and community-usage development such as schools, gardens, and parks on the southbound side.
The company has identified the process of a redevelopment plan to redefine the property’s zoning uses in order to pave the way for their intended development. Under a redevelopment plan, which is equivalent to a master plan specifying land-use, the township would be able to determine and redefine zoning uses, changes that could make the large property more marketable. Subsequent redevelopment projects would be land-use contracts between the township and the developer that outlines what will be built on the property, and these projects must be consistent with the redevelopment plan.
McMahon devoted the final portion of the presentation to the topic of redevelopment and what that would mean for the township. Referencing New Jersey’s redevelopment statute, the property needs to meet only one of seven criteria to qualify for designation as a redevelopment area. The Hughes property meets four of the seven criteria. “Designation is an important first step for a long term relationship with West Windsor,” McMahon said, who asked the council for action regarding the designation process by the end of the year.
According to Howard Hughes representatives, redevelopment designation does not change the underlying zoning and it would not diminish the township’s rights to control the future of the property.
Designation as a redevelopment area would be the first step of the redevelopment process. The second step would be the formulation of a redevelopment plan, which would involve approval by the township planning board and the council. The third step would be the redevelopment project, in which the township enters into contracts with developers that detail what will be built.
As a redevelopment area, the municipality has the ability to enter into a contract with developers that include payments in lieu of taxes (PILOT). PILOTs are contractual payments to the township and county, not taxes. In other words the Hughes property would be tax-exempt and instead PILOT payments would go to the township to pay for municipal services.
McMahon singled out PILOT as a key redevelopment financial tool that would shift the majority of the tax revenue received from a proposed redevelopment directly to the township. Last year, he said, Howard Hughes paid $550,000 in taxes, of which $88,000 went to the township. In a redevelopment area West Windsor township would receive 95 percent of PILOT payments, with a 5 percent share going to Mercer County, much greater than the 16 percent share the township currently receives.
After the presentation, Council member George Borek told the Hughes representatives he was “well aware of PILOTs” based on his experience living and working in Jersey City since childhood.
When called for comment after the meeting, Borek explained PILOTs first originated in Jersey City and they helped revitalize the city waterfront that in the late 1970s was barren land and desolate warehouses. However, Borek noted that Jersey City’s waterfront improvement does not mean West Windsor is in the same category.
“It’s really premature to have discussions about PILOT until we see what Howard Hughes is going to truly put forth,” Borek said. “I think PILOTs are tools for certain types of developments. You can structure PILOTs in many different ways, but again there’s some downside. Schools don’t get a dime of it.”
When called for comment Wednesday morning, McMahon said redevelopment plans are not widely used in the area, though the University Medical Center at Plainsboro, which used PILOTs, is a successful case study for the process of redevelopment. “If you look into the history of redevelopment, it has been used successfully, generally in urban areas, to incentivize private investment,” McMahon said. “It’s now up to council to evaluate what we’ve told them. We fully expect a response.”
Ten residents approached the podium to speak during public comment, with many expressing concerns regarding redevelopment designation and the consequences additional residents would have on the school district.
“It troubles me that Howard Hughes is asking ‘first declare me a redevelopment designation’” said Alison Miller, a former township council member, who emphasized the presentation had “no specifics.” Miller said the redevelopment designation is usually used “when a township is desperately in need to develop a site that is hurting the town.”
Resident Debbie Hepler called PILOT “a ruse.” “This sounds like a total win for the developer and a total loss to West Windsor.”
Resident Marshall Lerner also questioned Howard Hughes’ request, citing the past failure of redevelopment.
Responding to citizen concerns, township redevelopment attorney Ed McManimon said PILOT would produce more money for the township than what would have otherwise occurred.
“The question is what property owners are paying for school and county taxes,” McManimon said when reached by phone. According to McManimon, the net increase in revenue to the township that would go toward municipal services under PILOT payments in the redevelopment area would offset the higher proportion of the school tax bill that would be paid by the rest of West Windsor.
Residents Veronica Mehno and Virginia Manzari said they did not like the prospect of additional children coming into the school district, saying an increase in size would lower quality and increase cost.
But the last commenter, former mayor Bob Murray, countered that view. “Size doesn’t dictate quality,” he said, explaining that he moved to West Windsor in 1971, when the town’s population numbered 5,000. “It was a world-class system then; it is a world-class system now with 25,000.”
Multiple residents also expressed concern over how residential and commercial properties would generate more traffic in an already congested area.
Responding to residents’ concerns, Simon, the executive at Hughes, said development of the site is in the town’s control and it would allow the township to have a lot more income. Simon also noted the redevelopment area around the Princeton Junction train station involved dozens of land owners, whereas the Howard Hughes site has a single owner that enables “more collective action.”
With respect to schools, Simon explained, the township could split most of its revenue with the school district, and the remaining revenue would still exceed the current revenue. “The township gets 95 percent of income. They could allocate some to the school board,” Simon said.
McManimon said PILOT would produce more money for the township than what otherwise would have occurred, and that redevelopment would produce activities in places that previously had no activity.
When called for comment after the meeting, council president Bryan Maher said it was premature to give feedback and that the council will meet for discussion in the not too distant future.
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The council also amended the proposed yard ordinance during the work session after the Howard Hughes presentation, and it was introduced at the subsequent business meeting.
Responding to community feedback, the council decided to remove the yard waste pile size limit, which the proposed ordinance previously set at 4 feet wide by 4 feet high by 20 feet long. In addition, leaf pickup now will be allowed to be combined with yard waste pickup. However, tree trunks still cannot exceed six inches in width and 18 inches in length.
“My goal is to dumb it down a little bit,” Maher said at the meeting. The council expressed the desire to be accommodating while also reining in abuse of yard waste, in particular contractors who are responsible for disposing of any trees they have cut down.
There will be a public hearing regarding the yard waste ordinance at the Monday, October 6, Council meeting.
Council also approved the following items: An agreement with Metro Employee Assistance Service from October 1, 2014, through September 30, 2015 at a cost of $3,600; an agreement with Roberts Engineering Group to provide administration and observation services for the proposed Edinburg Road Bike Circulation Improvement Program at a cost of $5,200; and a $70,000 contract with Scheideler Excavating Company for snow removal services from November 1 through October 31, 2015.