Showing posts with label Gestrich. Show all posts
Showing posts with label Gestrich. Show all posts

Monday, April 11, 2016

Gestrich Departs Lower Providence


After a four-year tenure in the Township, current manager Richard Gestrich has parted ways with Lower Providence. 


photo credit: LinkedIn
Board of Supervisors' chairman Jason Sorgini confirmed over the weekend that Gestrich's last day was Friday, April 8, and that 'the Board and Rich mutually agreed that our visions for the township had become disparate and that a new direction was in order. The assistant manager [Geri Golas] will be in charge as we begin a thoughtful and comprehensive process to hire a new manager."

Gestrich was hired in 2012 shortly after supervisors Sorgini and Jill Zimmerman won the 2011 supervisor's election and after being interviewed by a search committee that included both. 

He was known to be good friends with former LP supervisor Rick Brown, who was chairman at the time Gestrich was hired. The two allegedly had vacation homes near each other in Florida. (Brown's ideology was primarily that LP was a 'bedroom community'; he tended to have an unfavorable view of new business and development, and I presume his hiring decisions reflected that). The Township has been trying to get the message out that they are 'open for business' (again, supposition on my part) so perhaps this is the direction they did not share. 

Gestrich had previously served as township manager in Upper Makefield Township and Middletown Township (both in Bucks County) and for two towns in Florida.  At a starting salary in 2012 of $105,000, he signed an at-will employment contract with LPT that was not time limited. At the time, Gestrich noted that the agreement included a severance package consisting of one month's pay for the first six months, three months' pay after the first year, and six months' pay after the third year of employment.  


Gestrich succeeded township manager Joe Dunbar, who was dismissed in 2011 after 7 years with Lower Providence. 


Tuesday, April 29, 2014

Moody's Sours on LP

Last week Moody's Investors Service, a New York commercial credit rating outfit, downgraded the bond rating for LP's guaranteed revenue sewer bonds from a rating of Aa2 to Aa3. This rating affects all the township bond holdings and more importantly impacts its ability to cheaply borrow funds into the future for projects such as road paving and capital improvements.

I spoke to township manager Richard Gestrich on this subject Friday afternoon (4/24) and he told me substantially the same thing as was reported by LP TAP before I had a chance to write up an article, so I won't repeat that conversation here; you can check it out for yourself.

While Gestrich's outrage about the changes in rating methodology and his feelings that the township was victimized in its treatment by Moody's may be legitimate, it's worth noting that no surrounding townships were similarly lowered, nor was Methacton School District's bond rating (although their business manager recently mentioned in a school board meeting that he 'is concerned' about eroding tax revenues in the district, a harbinger of a potential downgrade). Anyway, it's all about the ability to repay debt, which obviously Moody's sees as a potential problem brewing for LP.  The Board of Supervisors should be very concerned about whatever is giving Moody's agita because a downgrade is, any way you cut it, a big deal.  Moody's earns their keep by risk rating bonds much like auditors review loan portfolios and giving people bond ratings upon which they can make investment decisions; it does not serve their purpose to issue random downgrades without a solid reason.

I did ask Gestrich whether our Finance Committee was aware of the downgrade and if so, what they had to say about it. I noted that according to the Township's website, this committee did not appear to have met for months (although I have heard that they do meet, and Gestrich has publicly referenced this committee meeting, I don't know how 'public' those meetings are since there no agendas or minutes). A constituent who was tapped to serve on this committee told me over the weekend that he was frustrated with it because they sought him out to serve, and he was eager to do so, but then they never met. Gestrich told me he believed the Finance Committee was going to meet Monday evening, April 27.

(As a follow-up, Gestrich told me in a 5/1 email that he had passed the full Moody's report to Finance Committee member Lucien Calhoun, who is also with the Delaware Valle Finance Authority). He said "Lucien opined that since the Township remained at a Prime 1 rating, that it would not make a difference on our interest rates going forward".

Moody's downgrade comes on the heels of a glowing audit review which Gestrich presented in March to the BOS. While we ended 2012 with a thin balance in the general fund going into the next year, we had a much more comfortable cushion going into 2014 to the tune of almost $1.4 million, which was attributed to increases in earned income taxes and real estate transfers. After the BOS voted late last year to raise taxes for the first time in ten years, Chairman Eckman stated earlier this year that the Board expects to give more frequent financial updates to residents.

Among the reasons Moody's provided for the downgrade was 'continued erosion of tax base'. This is something I've been sounding the alarm about for some time. In recent years our Board of Supervisors seemingly had a policy of harassing and obstructing businesses from coming here and bringing jobs, revenue, and taxes and fees with them (sometimes spending ridiculous tax dollars in legal fees to do so). While this environment was primarily driven by former supervisor/chair Rick Brown, a couple folks who have supported those actions are still serving. Chasing out or creating a less-than-welcoming, hostile business environment for proposed businesses like the American Revolution Center, the YMCA, Bestline, WaWa and others has a cost.  You can't provide services without adequate revenue streams coming in and you will surely have a harder time borrowing money.

It pains me to drive through West Norriton, King of Prussia and Upper Providence and see not only new businesses that went there instead of here, but also businesses that used to be here, but have moved to those communities. It is also heartbreaking to drive through the township and at every entrance be greeted with an empty building...the former Collegeville Inn...the former Bud's Bar....the former Norristown Ford...nobody seems to be focused on making it a priority to find suitable uses for these properties or changing the zoning so that they can be repurposed. 

Also, former township manager Joe Dunbar raised a concern circa 2010 that the LPT Sewer Authority appeared to be using capital reserves to fund operations and presented specifics. Then, when former supervisors Brown and DiPaolo got control of the BOS, they dumped the auditor who developed the findings, Maillie Falconero. As the Township is the guarantor of all township debt, including the Sewer Authority, I can see why this would have been concerning at the time and could be having an impact now.

A damning move like this from Moody's tells me that Job One for our BOS ought to be to get the word out ASAP that we are not only open for business but we will bend over backward to bring you here and try to work with you. Stop being a NIMBY township and reverse Rick Brown's legacy for LP: a lowered bond rating.




 

Sunday, February 9, 2014

Battling the Elements

Update 2/12/14: I spoke with Rich Gestrich again today who advised that later today LPT will be reactivating their Blackboard system for emergency notifications…and Public Works gave him a preliminary estimate that approximately 80% of the snow removal budget for this season has been used so far, through 2/12. Obviously that does not include the storms later this week or in the future.

I have to wonder...if the Continental soldiers who wintered in Valley Forge over 200 years ago had to contend with some of the frustrations we have had to abide during the winter of 2013-2014, they may well have marched out much sooner than June 1778.

Not to make light of their struggle, but the average daily temperature so far this winter has been much colder, for much longer, and the inches of snowfall has been much higher, than what occurred that winter.*
General Washington and his officers didn’t have to worry about finding someplace to charge up their cellphones or laptops, locate the nearest ‘warming station’ without benefit of said laptops or cellphones, or sit in traffic on local highways that had yet to be plowed to try to get to Washington’s headquarters.  Their cable TV never got knocked out, leaving the troops with nothing to do but play board games or read to entertain themselves (forget hunting and gathering firewood).  And they certainly didn't have to worry about who was going to watch the kids when schools or day care was closed, at the same time many demanding bosses insisted workers show up regardless of road conditions.
Sure, over the past week we have shared some of their struggles. We tried to keep food from spoiling, and tried to heat our homes with whatever we could get our hands on. Washington’s men’s lack of modern plumbing might have been an asset, as anyone who’s anxiously worried about frozen pipes and the cost to repair them can attest.  
Of course, I’m saying all this in jest. We at least have shoes and warm clothing, and something better than a mud and wooden hut in which to shelter. But I think we can all agree that we are looking forward to spring at least as much as Washington’s forces were. And given all that, we can hopefully forgive our local government officials for any delays or hiccups encountered this week.
Methacton's school closed code
Still, we have had our local challenges. At Methacton School District, it’s been a struggle to keep the kids in school a full day, let alone a full week. Already we have had so many snow days that the district has been forced to cancel planned days off on April 16-17 and June 13, which are to make up for snow days on December 10, 2013 and January 3 and 22, 2014. This week alone, schools were closed February 3, 5 and 6 – although Skyview, Arcola and Worcester were closed on the 7th as well, due to lack of power at those facilities – so how does Methacton plan to handle all the  days off this past week?
Angela Linch, Methacton’s Director of School and Community Information, told me Friday that the district still hasn’t determined what to do about those, and wasn’t aware what effect, if any, the governor’s state of emergency declaration might have on whether those days will have to be made up.
FYI, I discovered that because Gov. Corbett has declared a state of emergency, it is possible to win a reprieve from having to have a full 180 days of school as mandated by state law if the school superintendent submits a written request for a waiver to the PA Secretary of Education. If the superintendent’s request is denied, every snow day not made up will have to be added to the end of the year or taken from scheduled vacation time, and the district has til June 30 to get all the missed days in.
The only other way around the 180 day requirement is if the state legislature enacts legislation permitting less than 180 days of school for this calendar school year, something that last happened 20 years ago. According to the PA Dept of Education, 24 P.S. Section 25-2523 of the PA education code governs emergency school closings. You can find out what they have to say about this here.
Over at the LP Township building, Township staff wrestled with their own challenges. Richard Gestrich, the Township Manager, just coming off a 3 pm update call with PECO, told me Friday he’d stayed late at the township administration building almost every night last week trying to stay on top of PECO updates and deal with other pressing storm-related urgencies. He said their biggest challenge has been trying to deal with problems presented by back-to-back storms and specifically the issues presented by numerous downed trees and electrical lines on township roads. Public Works is not equipped to remove a tree if there’s a power line across it and until PECO can deal with that, the tree stays put (Eagleville Road, anyone?). Public Works had their hands full dealing with road closures and detours, salting and plowing and the aforementioned assisting with tree removal from township roads.
And let’s not forget our police, fire and ambulance teams. I’m hoping they are enjoying some well-deserved rest this weekend as the number of accidents, falls, and other emergency calls have subsided somewhat from peaks last week. First responders and public works employees are the ones who take it on the chin, doing the impossible on next to no sleep and working very long days under very trying conditions as they keep 89+ miles of township roads as safe as possible.
As did many municipalities, LP did open the administration building briefly for use as a warming station and shared that information on the township website and via Facebook, but Gestrich noted that they closed it after noticing that not many people were taking advantage of it. He mentioned looking out the window across at the library and noticing IT was jam-packed with people using that facility for warming up and recharging their phones rather than coming to the administration building right next door.
I asked Gestrich why the Township did not use the mass emergency notification broadcast system called Blackboard that they’d used in recent years to quickly disseminate critical and timely information during natural disasters or other emergencies. The system, which residents had to sign up for and opt in by providing their cell and email information, would call your phone and/or send you an email/text with emergency information. Other than the approximate $12-15K annual cost of the system, it was free to residents. It was great in circumstances like this past week, when a lot of people at various points in time may not have the use of one or all of their electronic devices. Gestrich explained that the cost of the system was cut out of the budget this year to save money in the hopes that we could rely on the county system, which apparently has been fraught with problems.  Gestrich stated that if the County system is not fully functional within the next week or so, with all bugs worked out, LP will go back to Blackboard.
Photo LP Public Works staffers courtesy: Times Herald
 When I asked where we stand as far as resources to fight future storms (and the cost versus budget of same) Gestrich said not all invoices are in yet but he doesn’t believe we’re over budget. At last look, we were at 18% of budget for salt and brine purchases (and overtime hours) and certainly the past week jacked that up substantially, but he feels we should be ok for future storms.

A big challenge has been getting the tools to fight snow and ice: we are still owed 400 tons of salt from a salt provider, a resource obviously in high demand among all municipalities and the state of late and the weather hasn’t helped with on-time deliveries. He indicated we are frugal with what we have; we cut the mix with cinders and aggregate and still have salt in reserve…for now.
I also inquired as to whether the Township supervisors will again authorize sending a Public Works crew around to chip up the numerous fallen tree branches in residents' yards, as was done in the aftermath of Hurricane Sandy and other previous storms. Gestrich hasn't received any direction on that just yet, but it's immensely appreciated by residents. It's tough to get tree crews to come out even to give you a quote during normal conditions, and impossible when those resources are overwhelmed with work during storm cleanup times. Besides, the chipped wood goes right to the Township mulch pile on South Park Avenue for residents' use in the spring.
As of this writing, PECO reports less than 250 LP customers remaining without power. Presumably, school will be in session on Monday. And, there are only 38 days left til spring! This year, it can't get here fast enough.


 

*Weather Report at Valley Forge 1775-1782


The winter at Valley Forge was a rough one. But, a winter encampment at Morristown, New Jersey was worse. The Valley Forge Encampment was difficult because the soldiers lacked proper clothing and proper meals. There were seven winters during the Revolutionary War.
The winters could be rated on the following scale: severe, moderate and mild.
1775-1776
Moderate
1776-1777
Moderate
1777-1778
Moderate
1778-1779
Mild
1779-1780
Severe
1780-1781
Mild
1781-1782
Severe

There are two excellent resources providing an account of the weather situation in the Philadelphia region during the winter of 1777-1778. One is that of Thomas Coombe, from his residence "two miles west of Philadelphia" (which would be in the city today) and that of Rev. Henry Melchior Muhlenberg, from Providence (now Trappe, approximately 10-12 miles from Valley Forge), near the Perkiomen River in Montgomery County.
The Encampment saw basically two periods of severe cold. The end of December with a low of 6 Degrees and the end of March with a low of 8 Degrees. The low in January reached 12 Degrees and February was 16 Degrees. The troops arrived at Valley Forge on the 19th of December and eight days later, the deepest single snow of the season fell, which was followed by the severest cold. They were plagued by boughts of cold, which would thaw and then refreeze. You can imagine what a muddy mess it would have been working on drills.
There were three continued snowstorms, but not of a blizzard-like quality. More moderate to heavy covering. "There was heavy snowfall" according to Dr. Muhlenberg on the 8th of February, "deeper now than we have had the whole winter," but was washed away by a heavy rainfall within the next 2 to 3 days. The heavy snowfall of the 8th, compounded by the heavy rainfall brought some flooding conditions...which made roads impassable.
Between the cold and freezing temperatures, there were even some above average warm temperatures during the encampment when some thaws set in. These included some days around Christmas and then approximately three periods in January lasting for several days at a time.
 
Courtesy National Center for the American Revolution/Valley Forge Historical Society

 

 

 

Sunday, January 12, 2014

Old Business, New Business...and Open For Business


The beginning of every New Year – especially after a local election cycle – isn’t complete without the reshuffling of municipal boards and commissions. In LP, on our Board of Supervisors, we saw the end of the (second) Rick Brown era, as he opted not to stand for re-election.  Brown made no secret of the fact that he’s been suffering from multiple myeloma for the past few years and presumably that weighed in his decision not to run again.
 
While Brown originally came into office in the late 70’s / early 80’s on the strength of his work fighting the Moyer’s landfill, and his early days as a supervisor were positive, in recent years he’d become more of a divisive factor politically, particularly as he ran up a high legal spend championing special interests at the expense of all LP taxpayers, which ultimately benefitted his longtime friends, attorneys Richard Sheehan, and Michael Sheridan of the  firm Fox, Differ, Callahan, Sheridan & McDevitt, by appointing them as solicitors. Some of that divisiveness spilled out publicly at the end of the year as the Board tried over several contentious meetings to get a 2014 budget (with tax hike) approved.   Sheehan/Sheridan are now gone as well. 

But, 2014 is a new year, and with it comes new leadership.  Monday night saw the swearing-in of new supervisor Patrick Duffy (after a painful, 15-minute delay in which former vice-chair Don Thomas neglected to make sure the judge had arrived for the ceremony before starting the meeting and then awkwardly had to try to fill those long, silent minutes), and the selection of Colleen Eckman as our new chairman and Jason Sorgini as our new vice-chair. I’ve been impressed with how both of these individuals have grown in their positions since their election, their work ethic, and that both appear to do their homework and ask good questions, so I am confident they will do an effective job. This, together with the selection of supervisor Lisa Mossie across the bridge in Upper Providence as their chairman, marks the first time in a very long time, if ever, that both sister municipalities have been led by women.  

The fact that people merely showed up and were sworn in shouldn’t be a big deal, but consider this: In Trappe, as new borough commissioners were sworn in, one of those left in the minority faction chose to quit on the spot rather than contend with the winners. Over in Royersford, two borough council  members who won in November apparently moved – or perhaps weren’t residents at the time of their election at all, since the timing of their evident relocation is unknown – and didn’t bother to tell anyone that they would not show up to be sworn in,  or serving. That mystery is still being unraveled.  While there’s often been no shortage of drama in LP politics, at least we’ve never had those issues.  
 
I had an opportunity to connect with Jason Sorgini about the possibilities this new page in LP government could represent and to determine what they see as their most urgent priorities, obstacles, and what was behind their unexpected selection of solicitor.  Sorgini’s excitement and eagerness to roll up his sleeves and get to work was evident. 

Sorgini said that while it’s ‘not a flashy thing’, he identified ‘getting a handle on our transportation and infrastructure – our roads and bridges’ as Priority 1, because it has a ‘big impact on our quality of life’.  In addition to obvious pain points like the closure of the Arcola Road Bridge, he noted that we also have to manage the long-term resurfacing and maintenance of our roads and how to pay for that. He mentioned the recent study they’d commissioned to research and identify the condition of all our roads and to look beyond immediate needs to develop a road improvement rotation plan for the next 5-10 years.

Of course, this goal ties in with an obstacle we (and most municipalities) face, which is that revenues are down and state and federal aid for many programs has been slashed. However, recent legislation passed by the state reverses that a bit. “The last loan in which the Township borrowed against our annual liquid fuels payments from PA ends in 2016, which frees up that debt payment for road improvements and, coupled with the increase in liquid fuels monies we’ve been told we can expect as a result of the recently approved state transportation bill, means that in a couple of years we could potentially see 60% more income from that source to help pay for our road and infrastructure needs."

The second immediate priority,  Sorgini said, is to “continue to attract business and development".   In fact, it was this issue he came across as the most passionate about. At the same time this is a goal, it’s also an obstacle.  “You know, perception is reality, and the perception out there is, rightly or wrongly, that we’re not interested. It’s frustrating to see all the new construction going on in Upper Providence and Upper Merion, while we have empty buildings at all the entrances into the Township”.  Sorgini stated that “We would like to let developers know that LP is willing to hear what they have to say and to work with them to bring in business that is meaningful and worthwhile for the residents”.

 
He cited the example of the Children's Hospital surgical and specialty care annex that is being built in Upper Merion as something they would love to have been able to bring to LP,  in no small part because of the ancillary businesses it would also attract and the high-end jobs associated with them.  “When I found out that CHOP was looking to build a new facility to replace the current facility near the mall in King of Prussia, I had asked Rich [Gestrich] to reach out to them to let them know about all that Lower Providence has to offer. Unfortunately, they were already well into working with Upper Merion to put the facility near the Wegmans. Despite the fact that we were unable to get CHOP in Lower Providence, I remain hopeful that a similar medical facility will realize that Lower Providence is the place to be!”     



Sorgini also cited continuing to build on the 85% occupancy rate of the township’s industrial park, Park Pointe at Lower Providence, as part of this effort and gave high praise to Township staff, especially  Director of Special Projects & Technology Bill Roth (who serves as the Township’s business manager for Park Pointe at Lower Providence), for their hard work not only in getting occupancy to this level but for continuing to beat the bushes with existing Township businesses such as Kimco to find ways to fill vacancies such as  the former Eagleville Genuardi’s shopping center. 


 
For their third priority, Sorgini identified “Continued fiscal responsibility”and mentioned that although the Board came “dangerously close to a tax increase to fund debt service”, they were able to avoid that (the approved budget had a small (5.89%) tax increase earmarked for the operating budget and library services). “We really struggled with that and recognize that the residents will be affected by the tax increases in the new state transportation bill, but also realized it would be irresponsible to continue to kick the can down the road any longer”, observed Sorgini.  

“In addition, there are major employment contracts coming up for renegotiation – police and non-uniformed personnel – and we need to be positioned to be able to be fair to them while balancing that with what’s fair to residents cost-wise to pay for those contracts.” I pointed out that in 2015 my understanding is that we will also need to replace our police chief, as he expects to retire soon, and Sorgini confirmed that LP Police Chief Francis “Bud” Carroll is in the DROP program and that in conjunction with those negotiations  ‘we will also need to replace a long-standing, well-respected police chief’.  


Continuing with obstacles, Sorgini said that “we need to live within our means with limited resources…there is so much to do.  We need to change the perception of Lower Providence with developers.“  He also cited “the reality that it’s impossible to please everyone” and that some issues “become very personal things…the Y(MCA) is a good example of that. Some things are more complicated than you think and you try to explain that to people…" (this was something I found frustrating in my various positions with LP as well, so I share in that observation…not much is as cut-and-dried as it looks on the surface).  
  
He said “I think of myself not as a politician, but as a public servant, especially because of my  job [as an elementary school principal]…and because I want to know what people think, I do look online at comments to see what people are writing. I prefer to listen to what people are saying and take the emotions out of it”.  

One of this board’s decisions that so far has left many people scratching their heads was the new board’s selection of solicitor. The appointment of John Rice of the firm Grim Biehn and Thatcher in Bucks County (“GB&T”) left some folks I spoke to puzzled as to why no one from LP was selected (keeping the business in the township) or at least a firm that is familiar with the players, issues and histories of businesses and properties within our boundaries.


I presumed that township manager Richard Gestrich, who spent many years working for Upper Makefield and Middletown Townships in Bucks County as their manager, was familiar with GB&T and thus made the recommendation, but Gestrich stated that the board made this selection ‘on their own’ and that he only found out about it when Sorgini called to advise him that Rice would be submitting a letter of interest. GB&T doesn’t do much municipal business in Montco, currently listing only that they hold the solicitorship of Lower Moreland Township. Locally, the next closest proximity they have is an appointment as solicitor to Radnor Township in Delaware County. Still, by all accounts they are well respected and experienced in general municipal affairs.

Often, Board members lean toward a selection, usually someone they have developed a working relationship with and in whom they have a level of trust, whose advice and perspectives they’ve come to value. Thus, many insiders fully expected Joe McGrory of the firm Hamburg, Rubin, Mullin, Maxwell and Lupin (and allegedly a relative of one of the supervisors) to get the nod. I was initially told by a political source who wants to remain anonymous that ‘no one could count to three [votes] for their choice, so they went in a different direction’ but according to Gestrich, it played out otherwise. 

When I asked if he knew what the selection criteria had been, Gestrich stated that ‘they were looking for someone who had no ties to local developers and contractors’.  If true, I’m not sure which past solicitor(s) that may have been intended as an indictment of, but read into it what you will. If we ever had a solicitor that also had such interests as clients and said client ever had reason to appear before the BOS, the solicitor would have had to step aside on that issue in lieu of conflict counsel, and I don’t recall that ever happening at the BOS level in LP. Then again, maybe they’re just trying to be careful.    
 

Sorgini essentially validated Gestrich’s version. He said they interviewed seven different firms, including then-current solicitors Fox, Differ, Callahan, Sheridan & McDevitt, and that GB&T was selected for their specialization in municipal law and that they ‘don’t represent developers’. While he noted that GB&T doesn’t have as much experience in Montco as more local firms “there’s something to be said for that. When I hear from [solicitor] John Rice, he has no skin in the game, he’ll be a straight shooter. He has over 25 years of practice in municipal law and I look forward to learning from their expertise”.
 

Playing devil’s advocate, a non-attorney friend of mine, an official in another Montco municipality, weighed in with  “The downside of having a solicitor with ties to your township and county is outweighed tremendously by the upside. All of these Montco attorneys know each other and their network is second only to law enforcement's. If you want to see something coming before it runs you over, there's nothing better than a connected Montco lawyer. And the firms are all big enough that you can avoid conflicts of interest. It sounds like a "principle stand".  
 

Whatever it is, I hope it means that our apparent past policy of litigation as a first resort is history and that GB&T won’t be putting kids through college on our legal spend. I’d like to welcome GB&T to the Lower Providence community and hope that their tenure here is uneventful. 

Over at Methacton, they readjusted their Board late last year. Joyce Petrauskas was replaced by Christian Nascimento as president, and newcomer Brenda Hackett was sworn in, as were the incumbents who won reelection in November. Now they are focused on upcoming teacher contract negotiations and getting an ever-increasing capital improvement budget passed to facilitate the addition of lights and turf fields. As always, campaign promises to the contrary, it looks like Worcester Township is standing in their way, dragging out the ordinance adoption, advertising and approval processes as much as possible. What started out as an approximate $3M proposal has ballooned into a version containing all the bells and whistles, standing at approximately $5.5M, and the school district is considering taking on debt to pay for it (translation: hold onto your wallet).
 

 

I'm not sure I understand why such a high cost for turf fields and lights, a project which largely has no building construction costs included (with the exception of the option that includes building a new restroom facility outside the high school building), out of what is now a staggering 22 separate variations of options we could go with.   I'll explore this more in a future post and hope that Methacton manages to remain scandal-free for the foreseeable future. There are several court cases involving Methacton that are due to go to trial this year (if they don't settle), so I'll visit whatever comes out of those in the future as well.                 
 



 

 


Wednesday, June 27, 2012

Executive Privilege



It should go without saying that we expect the elected officials we trust with our votes to put the interests of their communities as a whole over those of special interests, and certainly over their own interests. When they can't, they're supposed to step away from the issue. They're certainly not expected to insert themselves hip-deep into the middle of it. 


But that's what it would appear has happened after digging below the surface of a couple of recent Letters to the Editor published online and in print in The Times Herald (both appear below) pertaining to the vacant lot at the corner of Ridge Pike & Trooper Road, the former home of Norristown Ford. I am asked at least once a week as to what is going on there, and is any new business ever going to go there. Well, judging by what I have seen and heard, probably not for a very long time.


One of the letters to the editor was a complaint about our Township from a business hoping to expand here, and the other, a response from its new manager, Richard Gestrich. The rebuttal was interesting not for what it said, but more for what it didn't say; it omitted a significant detail. I'm giving Mr. Gestrich the benefit of the doubt here because, not only was he not the Township manager at the time this transpired, nor present for or a party to the conversations, but he wasn't even living in Pennsylvania at the time. In all likelihood, he was only provided with minimal details about discussions that occurred before he came to work for the Township in April.

The significant detail? This opportunity to add revenue and jobs in Lower Providence would appear to have been preempted by one of our supervisors who was apparently afflicted with a case of 'NIMBY' or, in other words, "Not In My Back Yard".

The original letter, a shortened version of which was printed in the Times Herald, was blistering in its criticism, particularly of the Township's solicitor, Michael Sheridan. While the letter primarily blasted Sheridan, it should be noted that Mr. Sheridan takes his direction from the Board of Supervisors.






I had the opportunity to speak with the original letter writer, Gary Euler of Euler Commercial Real Estate, the broker who tried to get a real estate deal completed in Lower Providence for his client, Bestline Equipment, to get more detail about what happened. As I suspected, Bestline was kept in the dark as to the identity of the main objector to their plans.



The subject property is the lot at the corner of Ridge Pike and Trooper Road, formerly the home of Norristown Ford. Except for a small piece occupied by the Sunoco gas station, this is all that sits at that corner, a gateway into the Township from West Norriton. The lot is zoned Highway Commercial, except for a strip to the rear of  approximately 36,000 square feet, which is zoned Residential. The property  also has the  Ridge Pike Business District overlay applied to it which would allow for the use that Bestline envisioned. It is a continuation of a non-conforming use. As long as the property is actively being sold or leased, the use is permitted. Bestline Equipment, a Harrisburg company in the business of equipment sales and rental, with six other locations in Pennsylvania, hoped to expand to a seventh by adding a facility in Lower Providence. They'd done their homework and felt the location and demographics were excellent in that we are a "vibrant community close to King of Prussia, where there is a strong need for these products and services".  While the asking price was a little bit north of what they wanted to spend, they felt strongly enough about the location that they elected to proceed. They reviewed the zoning ordinances concerning that property and its longstanding past use as a car dealership and repair facility, and felt the use they proposed was consistent, and thus permitted by the zoning ordinances. As the property was being placed under Agreement of Sale, in what is standard procedure in many communities, they arranged to meet with Township officials in an informal meeting to discuss their tentative plans and see what they needed to do to make them a reality. This all occurred just before Joe Dunbar, the former township manager, was fired in mid-December 2011.


Bestline- Shippensburg facility
Thus, when Bestline met with Township officials, Solicitor Sheridan and the interim township manager were present, along with  the director of community development, who oversees the planning and zoning efforts. Evidently none of the Township supervisors bothered to attend; had it been me, I would have wanted to be present any time a potential new business came calling to ensure that they felt welcome and wanted and to know we'd try to work with them if at all possible.  As the letter indicated, Euler and client Bestline found Sheridan's demeanor and conversation to be such that they understood him to be discouraging 
Bestline's acquisition of the property. Bestline felt from the outset that the unmistakable tone of that meeting was "we don't want you here, it ain't gonna happen, and you're fighting an uphill battle". Instead of being welcomed with open arms, or having the 'red carpet rolled out for them' as the Township has tried to make appear to be the case in their efforts to attract businesses here, Bestline distinctly felt the chill of a cold shoulder. Why is that? Why, in a poor economy, with few jobs and dwindling revenues (from which the Township is suffering enough to warrant calling a special budget review meeting just two days ago to consider budget cuts, layoffs, hiring freezes and the like), would any prudent municipality turn an expanding business away? In their own estimation, Bestline expected to add  30 to 40 new jobs here...as I was told, 'these would not have been low-end jobs...they would have been things like mechanics, sales people, and administrative positions."  After the informal meeting, it took Sheridan almost a month to get a response letter to Bestline together, and when it was provided to Bestline (via their counsel, local attorney Ed Mullin, who was retained by Bestline because he had also represented WaWa when they were interested in the property not long ago), it came with a list of demands before their proposal would even be considered.  Bestline was told that there were 'three groups of neighbors' who objected to the plans, and whose demands were enumerated in the letter. The 'groups of neighbors' were never identified, but curiously, there ARE three families with the same last name whose properties border the Norristown Ford property. 

One is sitting supervisor Don Thomas, no stranger to special privilege (see here). The second is his parents, who live directly behind him, and the third is his brother and sister-in-law, who live immediately to the north of Don Thomas. I believe it is Don Thomas to whom Mr. Euler references as having had 'too much to say' and was 'allowed to unduly influence the sale' in his letter above. Were THESE the 'three groups of neighbors' who took issue with Bestline's plans? These homes and this property are within the boundaries of my own voting district, for which I am an elected Republican committeewoman. Both last fall and this spring, I spent a considerable amount of time knocking on residents' doors in my district, dropping candidate literature, campaigning in my own race, or obtaining petition signatures for various candidates to get on the ballot this spring, and NOT ONE resident  EVER mentioned ANYTHING about this project or their objections to it. Not even one resident from the neighborhoods directly behind the Thomas properties or within walking distance of it mentioned it. Not ONE. If there's an issue bubbling up, I hear about it. I find it very difficult to believe that it would not have surfaced if there were in fact three legitimate 'groups of neighbors' opposed enough to have come up with a list of demands, especially since a couple of other, far less substantial issues, did surface during that time period.  Also, since no official plans were ever submitted for formal review at this very preliminary stage, there was no notice to neighbors of adjacent properties required. Thus, unless the township reached out in some other way to them, which they were not required to do at that stage, no neighbors would ever have known about it. Don Thomas, however as a supervisor, would know about it.



Bestline - Harrisburg
The list of demands included things that are typically the purview of the Zoning Hearing Board and the Planning Commission to determine, if the plans even meet the criteria for review by those bodies. Bestline felt that the use they contemplated was substantially the same as what it had been used for over past decades and thus was a 'by right', or already permitted, use and that they did not need to go before the ZHB or PC; the Township tried to convince them otherwise.  It should be noted that both those boards are made up of a majority of members who are cronies of and appointed by the current supervisors, thus ensuring that any money and effort spent in pursuing that avenue would only end up wasting time and burning cash for the applicant without offering, in my opinion, a fair shot at a different outcome.  One demand made of Bestline was to submit an exhaustive list of equipment they carry and the gross weight of each, which they provided. Mr. Euler stated that the former business, Norristown Ford, carried dump trucks, and that nothing Bestline carries is bigger than that. Curiously, several of the demands smacked of self-interest. The mysterious 'three groups of neighbors' wanted:  
  • the running of electrical service from Trooper Road back to an accessory structure on one of the adjacent properties, identified as a 'barn'; there are several sheds and garages among the Thomas properties. 
  • 'lighting to the rear of your property apparently shines onto their property [sic] and they would like that corrected'
  • 'they want all equipment, repair and maintenance to be inside' (a zoning issue, not subject  to resident preference)
  • 'What they are asking is that the entire residential strip be left open as open space, the macadem removed, and a buffer installed in that area, with the balance of the ground to become part of the township park that is to the northwest of the property' (Brant Park). Bestline viewed this as an attempt at 'extortion'. (This is ironic to me, because it's my understanding from a former supervisor that the elder Mr. Thomas, and possibly his sons, initially fought against this park being installed, but now is apparently looking to expand it and bring it down more toward their own properties).  
Bestline - Hatboro
My opinion is that it appears that ONLY the Thomases, including Supervisor Don Thomas, simply did not want this business alongside their property, although apparently Norristown Ford was there before they were. Ultimately Bestline realized that they, along with other "unwanted" businesses the Township is already in litigation with, would be fighting a long, prohibitively expensive and time-consuming battle and in that period of time they could be up and running in a community that DID want them, so they elected to move on and look elsewhere. They ultimately wound up pursuing a site in Chester County.  Bestline is not the first business to take a look at that property. My understanding is that WaWa was previously interested, and that another entity, reportedly a supermarket chain, is considering it now, but I have to wonder if any business will ever be located there again as long as Mr. Thomas has any power to keep the lot empty. Mr. Euler told me that he supposed he would be dismissed as just some broker with sour grapes about not getting a deal done and losing a commission, but he said that what compelled him to write a scathing Letter to the Editor, which he'd never done before, was that 'in the 30+ years I've been in business and having dealt with numerous municipalities over that time, this was by far the worst experience I've ever had with one. I just don't understand why we could not work something out". 
Bestline - Muncy

Bestline - Towanda