GUARINO SAYS FEDS SHOULD BE LOOKING

GUARINO SAYS FEDS SHOULD BE LOOKINGAT SARLO’S ROLE IN THE INTO ENCAP DEAL  Federal Probe Should Go Beyond Hospital Deal 

April 25, 2007 

Lyndhurst --- Michael Guarino, who is fighting to get on the ballot to challenge State Sen. Paul Sarlo, says the U.S. Attorney’s office should be investigating the EnCap land deal in the meadowlands, and Sarlo’s role in it. 

Guarino said he has cooperated with investigation of EnCap by the state Inspector General. But he adds, it’s time to have the federal authorities look at EnCap, the way they are looking into the state corruption probe that has led to federal subpoenas for Sarlo, state Sen. Joseph Coniglio and General Assembly members Joan Voss and Robert Gordon in a probe of state financing for Hackensack University Medical Center. 

“I commend the U.S. Attorney for having the dogged courage to look into the role of the Bergen County legislators in the misuse of state funds,� said Guarino, a former Democrat. “But the investigation needs to be broadened to look at the scheming that has allowed the EnCap deal to get this far without proper oversight. The insiders, many of whom have contributed to Sen. Sarlo, are making millions on this deal and the taxpayers are going get stuck with another billion dollar boondoggle,� 

 Guarino said the PILOT (Payments In Lieu of Taxes) agreements EnCap engineered with municipalities, are “a rape of the taxpayers and without precedent. If they are not illegal, they should be. They are clearly one sided and offer no protection to taxpayers,� said Guarino. 
 

 Guarino said the PILOTS were possible because of legislation authored by Sen. Sarlo, who admitted pushing the legislation on behalf of the meadowlands municipalities. However, the PILOT agreements – with Lyndhurst, North Arlington and Rutherford do not conform to the legislation and are, therefore, illegal. Guarino said he asked Susan Bass Levin, Director of the State Department of  Community Affairs to have the PILOT agreements evaluated, but so far she has failed to do that.    

 Guarino said he handed over many documents to Inspector General Mary Jane Cooper and is hoping she brings her findings to the state Attorney General. But he said it would better for her findings to be turned over to federal investigators. 

 “I appreciate Ms. Coopers’ interest in the EnCap deal, but it is difficult for the state to investigate itself. This is really an investigation that needs to be conducted by the federal government and it needs to be done now,� added Guarino a retired director of Bergen County's Heatlh Department.   

“EnCap is New Jersey’s Teapot Dome scandal. When all is said and done EnCap’s abuses will make the E-Z Pass and the Parson’s auto emissions scandals look like penny ante games."