Tonight is the showdown which is dire for city workers held hostage by the Beth Russo hydra on a straightforward refinancing of the midtown garage. The garage's refinancing was required when the sale of the hospital to Holdco was set to complete and the tax status needed to be updated.
Failure to refinance the garage will create an immediate multi-million dollar hole in the City's budget. There would be 90 days to come up with the funds to pay off the bond, estimated at $4.5 million.
Six votes are required for a bond ordinance and the mayor needs at least one among Michael Russo, Terry Castellano, Beth Mason and Tim Occhipinti to vote in favor. The bond's passage will also produce savings to Hoboken of $50,000 annually.
Michael Russo is not swayed by such savings to the City. He was quoted yesterday saying, "I'm not approving any more bonds whatsoever."
The council minority has rejected several recent bonding attempts for capital improvements including a street light for 1600 Park and its new ball field, infrastructure upgrades at the Police Department, and other equipment the city has requested.
Last month, there was the hospital's $5.5 million bond request they rejected. Many observers including the Hospital Authority itself believed that was a death knell to HUMC. Gov. Christie then stepped in with $5 million toward completing the hospital's sale saying he would not allow partisan politics to close the hospital.
Talking Ed Note: Zimmer Zombies may be in attendance tonight looking to extract
Union representatives may also be in attendance this evening. The mayor said failure to pass this bond means city employees will be hit with layoffs.
The City is expected to expand its outsourcing to make up for lost personnel.