| | | | |  | | By Matt Friedman | Good Monday morning! The Murphy administration used be all in on the Centre Pompidou in Jersey City. Now, they’re thinking maybe they pompiwon’t. And not because of the way the French spell "center." Sorry about that one. But one of those ultra-Jersey fights kicked off Friday with the state Economic Development Authority’s letter to Jersey City saying it may have to pull funding for the museum because of a potential $19 million revenue shortfall. Jersey City Mayor Steve Fulop, the project’s biggest booster, did what Fulop’s been doing a lot lately: Put them on blast, saying the letter came because he reneged on his Senate endorsement of First Lady Tammy Murphy. “We heard zero from the state for months other than all is good except for the exact week I said I was endorsing Andy Kim … That EXACT week we all of a sudden got multiple letters from Trenton after months of silence. What changed?” Fulop, a gubernatorial candidate, wrote. Of course, two things can be true at the same time. In this case, there have long been reports indicating that the Pompidou is going to be very expensive. The $54 million that’s been budgeted for it since Fiscal Year 2022 shows that. At the same time, this is New Jersey, and you’d have to be naive to believe that political decisions don’t affect policy decisions involving millions of dollars. But I did see some eviudence that the state was considering balking at turning over that money over before Fulop switched his endorsement. In a January email obtained by POLITICO, Murphy Deputy Chief of Staff for Economic Growth Eric Brophy wrote to Jersey City Redevelopment Agency attorney Joseph Baumnann that “no funding will/can be released until there is a full funding plan in place.” And I viewed an internal Murphy administration email from March 3, a couple weeks before Fulop’s endorsement switch, in which officials discussed reappropriating the money if the museum doesn’t work out. EDA CEO Tim Sullivan told me that while the costs associated with the museum have long been known, the measly revenue projections were not made clear until late March. “We love this project. We think it’s potentially transformative. The problem was once we saw the numbers in late March,” Sullivan said. “It kind of made all of our jaws drop. Museums lose money. They don’t turn a profit. You can make up some of that with cost efficiencies and philanthropies.” But this, he said, is just too much, and he can't dance around it. “I’ve got my budget testimony coming up in a few weeks. I’m definitely going to be asked about this and it would be disingenuous to imply all is well,” Sullivan said. Fulop in a statement said the project has had the same operational budget as when the governor and EDA committed to fund half the cost. “If anything the cost has actually come down since their initial commitment, so what changed? Furthermore the Economic Impact Study and budget they asked for came back more favorable than initially projected, so again, what changed?” Fulop said. “The truth is the EDA became more and more difficult with us the more I spoke about the Senate race critical of the First Lady, culminating with more aggressive emails from them the week of endorsing Andy Kim. The project hasn’t changed since 2023 the only thing that changed is my relationship with front office.” This much seems clear to me: That’s a huge revenue gap and it seems unlikely anyone can even come close to closing it. And with Jersey City mayoral candidate Jim McGreevey already calling for the project’s cancellation, there’s not much to be optimistic about. TIPS? FEEDBACK? Email me at MFriedman@politico.com. QUOTE OF THE DAY: “He’s like Clark Kent … He comes off as inoffensive and well-meaning and nice. Behind the scenes, this guy is a political animal. He is very shrewd, very calculating.” — GOP consultant Chris Russell on U.S. Rep. Andy Kim. HAPPY BIRTHDAY — Rodney Frelinghuysen, Rich DiCriscio, Brendan Deal, George Tibbett WHERE’S MURPHY? — No public schedule.
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FREE-FA — “Pressure on Murphy, NJSEA to share details on FIFA World Cup costs, transportation grows,” by The Record’s Katie Sobko and Colleen Wilson: “The NJSEA and New York City both signed on the dotted line to require free public transportation to matches and fan events in that 2018 contract, a provision that came as a shock when it was publicly disclosed last week given a recent budget decision that will increase NJ Transit fares 21% before the World Cup final. FIFA, the multibillion-dollar international soccer organization that oversees the tournament, appears to be walking back the free public transport requirement, officials said. ‘FIFA can confirm that the hosting requirements across all host cities for the FIFA World Cup 26 have been updated as follows: All Match Ticket holders and accredited individuals shall be able to access transport (public or additionally planned transport) at cost on matchdays to allow travel to Stadiums on match days. This change has been communicated to all host cities,’ a spokesperson for the organization said in an emailed statement Thursday. … Beyond the emailed statement from FIFA, nothing has been produced in writing to show if there is a change to the language in the legally binding agreements."
SLAY NJ — “Property tax showdown? Seniors may get the biggest property tax cut in N.J. history. But there’s a fight to come,” by NJ Advance Media’s Karin Price Mueller and Brent Johnson: “Tension is growing behind the scenes between state lawmakers who want to secure more funding for Stay NJ in the state budget and Gov. Phil Murphy, who is pushing to install a corporate transit fee, meant to provide a continuous funding source for the perpetually cash-strapped NJ Transit. The difference in spending priorities could lead to a contentious battle over the budget, with the potential for the state government shutting down if talks sour, sources familiar with the discussions have told NJ Advance Media. The blueprint now under discussion by the seven-person Stay NJ Task Force, the committee responsible for recommending how to implement the law and how to pay for it, would upend the state’s current property tax break regime, said the sources, who spoke on the condition of anonymity to openly discuss the matter.” THE PIED PFEIFFER — “N.J. AG ‘coerced’ my resignation amid misconduct probe, ousted county prosecutor says,” by NJ Advance Media’s S.P. Sullivan: “The now-former Warren County prosecutor, ousted three weeks ago over a misconduct probe, says his resignation was ‘coerced’ by New Jersey’s attorney general in a ‘preplanned and orchestrated’ takeover, insisting he is still legally the county’s top prosecutor. That claim comes as a group of defense lawyers is calling for a broader investigation into the Warren County Prosecutor’s Office, saying it was “run like a racketeering enterprise” and admonished by courts for withholding evidence in criminal cases under Prosecutor James Pfeiffer’s watch. … The Association of Criminal Defense Lawyers of New Jersey, meanwhile, says separate instances of abuse of power in criminal matters by Warren County prosecutors show an office badly in need of reform. Those issues have imperiled several criminal prosecutions, including the indictment of a Pennsylvania man accused of sexually assaulting two children, according to court documents.” —Gateway tunnel project bigger job boost than expected —New Jersey's main legal arm spent $34 million on outside attorneys in 2023 —“Court rejects constitutional challenge of law shielding public officials’ addresses” —Moran: “A happy story about democracy in Jersey. Really” —Lesniak: “Lesniak: The GOP needs more leaders like Jon Bramnick and Mike Johnson” —Murphy administration releases charity care overhaul calculations for New Jersey hospitals —“Murphy puts more money where the sun is. Here are N.J.’s latest solar investments” —Assembly Speaker recommends AARP lobbyist for prescription drug council position OPRA’S ON — Rider University’s Micah Rasumussen hosts a panel discussion on the OPRA bill sponsored by the New Jersey Society of Professional Journalists. Tomorrow at 7 p.m. It’s open to the public and streaming. Find out more here.
| | | | DON’T MISS POLITICO’S ENERGY SUMMIT: The future of energy faces a crossroads in 2024 as policymakers and industry leaders shape new rules, investments and technologies. Join POLITICO’s Energy Summit on June 5 as we convene top voices to examine the shifting global policy environment in a year of major elections in the U.S. and around the world. POLITICO will examine how governments are writing and rewriting new rules for the energy future and America’s own role as a major exporter. REGISTER HERE. | | | | | | | BIDEN TIME | | THE SENATOR IS BOB. HIS SON IS ROB. WILL THE GRANDSON GO BY ‘BROB’? — New Jersey Dems ask: What about Rob?, by POLITICO’s Nicholas Wu and Ursula Perano: A Menendez is in political trouble in New Jersey. And it's not Bob. Rep. Rob Menendez, a first-term Democrat, is facing a stiff primary challenge from Ravi Bhalla, the mayor of Hoboken. There’s no indication that Rob Menendez was part of the corruption scandal that’s led to multiple federal charges for his father, Sen. Bob Menendez (D-N.J.), but Bhalla has used those legal travails as a cudgel against the younger candidate … In the months since his father was indicted, [Menendez has] significantly increased his advertising compared to the months prior, according to an analysis of his Facebook ad analytics. On his official page, he regularly posts about office hours, constituent services and local policy issues. … Even Bob Menendez’s fiercest critics are inclined to give the younger Menendez a pass. “People should be judged in terms of their own actions,” said Rep. Andy Kim (D-N.J.), his party’s likely Senate candidate to succeed the elder Menendez. NO ALT-ERNATIVE — “New Jersey’s activist-in-chief wants to flip a swing seat,” by The Huffington Post’s Daniel Marans: “Sue Altman first made national headlines when she was expelled from a New Jersey state Senate hearing by state troopers in November 2019. … That kind of stint as a rabble-rouser is not exactly the textbook prelude to a congressional run in a Republican-held seat, but Altman is not one to follow conventions. Trading in her black-and-orange Working Families Party T-shirt for business attire, she is now the presumptive Democratic nominee in New Jersey’s purple 7th Congressional District, where ousting first-term Rep. Tom Kean Jr. is part of Democrats’ strategy for retaking the House. … ‘If she is successful, progressives can say to mainstream Democrats, ‘See, this is not the liability that you thought it was,’’ said Micah Rasmussen, director of the Rebovich Institute for New Jersey Politics at Rider University. ‘Conversely, if she does not prevail, then you will see the mainstream of the party thinking twice before they put up another progressive.’” —“Memorial services, funeral arrangements announced for N.J. Rep. Donald Payne, Jr.” —“Purdy will seek GOP national committeeman seat, teams up with Fields” —“Inside the vote for Ukraine aid” —“Kim, Hamm and Campos-Medina discuss the issues: Chat Box” —“Murphy joins Kristi Noem-inspired trend of governors who don’t shoot their dogs” | | LOCAL | | FUSION VOTING BACKER MALINOWSKI LOOKING FOR SECOND PARTY TO CHAIR AS WELL — “Malinowski will run for Hunterdon Democratic County chairman,” by New Jersey Globe’s David Wildstein: “Former Rep. Tom Malinowski (D-Ringoes) is running for Hunterdon County Democratic Chairman. The former two-term congressman and Assistant U.S. Secretary of State will seek to succeed Arlene Quinones Perez, who is not seeking re-election after eleven years as county chair. Democratic State Committeewoman Karen Becker is already running for the post. ‘Having watched our County party go through its triumphs and tribulations these last few years, I believe we need leadership that can unify, calm tensions, and return our focus to the only thing that matters, winning elections in November. Hunterdon County’s idealistic, hard-working grassroots, Democrats were the bedrock of my campaigns for Congress, and I will be eternally grateful for all you did to fuel our wins. You know what to do and how to do it,’ said Malinowski." NORCROSS-SCUTARI FIGHT CAUSES JAMES BEACH EROSION — “North Wildwood finally gets emergency beach replenishment after nearly two-year conflict,” by The Philadelphia Inquirer’s Frank Kummer: North Wildwood said Thursday that it has reached an agreement with New Jersey for a new emergency beach replenishment project that could begin within weeks to address severe erosion. … The new project, announced Thursday evening in a joint statement with Murphy’s office, would be a temporary fix, North Wildwood Mayor Patrick Rosenello said Friday. The Republican mayor lauded the Democratic Murphy administration, and called the emergency project a bipartisan effort.” —“Jersey Shore property owners need to OK epic beach fix but 10 years later there’s no full plan” NO EXPECTATION OF PIRREVACY — “Former Palisades Park councilwoman sues borough for releasing hot mic conversation,” by The Record’s Kristie Cattafi: “Cynthia Pirrera, a councilwoman from 2004 until 2023, filed the lawsuit this week in state Superior Court. The suit says the borough and mayor violated the Wiretap Act and are refusing to honor a written agreement to provide medical and prescription drug benefits. … A hot mic in Borough Hall captured the conversation between Pirrera and John Schettino, who was the borough attorney at the time .. The two hours of audio provide an unfiltered glimpse into the inner workings of a divided council, backroom deals in the works, what led to an internal fight and ongoing litigation over a vacant council seat, and police issues that include Pirrera's son, a borough police officer. The recording of the conversations was obtained by The Record and NorthJersey.com through an Open Public Records Act request. The conversations were recorded by a live microphone inside the Borough Council chambers, where signs warn that the area is under 24-hour audio and video surveillance. The lawsuit says the recording was an ‘unlawful interception and recording of the meeting’ between Pirrera and the attorney and violated the Wiretap Act.” BRING YOUR CULTURE WARS TO WORK DAY — “N.J. college cancels drag queen event to ‘respect comfort levels’ of employees,” by NJ Advance Media’s Nyah Marshall: “Jersey City drag queen Harmonica Sunbeam was supposed to attend Brookdale Community College’s ‘Bring Your Child to Work Day’ event on Thursday to host a craft and story hour program for kids and teens. But, the story hour program, which had been planned months in advance, was canceled the night before with no explanation, she said. ‘I did ask why, but I did not receive an answer,’ said Sunbeam, who has been doing drag under her stage name for over three decades. … The public county college, which is located in Lincroft in Monmouth County, canceled Sunbeam’s program to respect differing views of its staff, said Laura Oncea, a Brookdale Community College spokeswoman.” —“Children in these NJ towns are most at risk for lead poisoning” —“[Asbury Park] school district cuts 27 teachers and employees due to ‘economic issues’” —“Westwood schools chief sought $1M buyout in retirement flap, board says. Here's the latest” —“Paterson's 2nd Ward council race could be among the closest contests on May 14. Here' why” —"Threat of violence by Hamilton BOE member 'categorically inappropriate' letter states" | | EVERYTHING ELSE | |
GEORGE OF THE BUNGLE — “Republic First Bank seized by FDIC, sold to Fulton Bank,” by NJBIZ’s Matthew Fazelpooler: “In yet another twist in the Republic First Bank saga, the financial institution was seized April 26 by regulators and acquired by Fulton Bank. Republic First was the subject of a long-running proxy fight waged by an activist investor group headed by South Jersey businessman and powerbroker George Norcross. That feud eased briefly after a deal was reached between the two warring sides last year calling for the Norcross Braca Group to invest $35 million as part of a capital raise in exchange for board seats, a reconstitution of the board, and more. However, in late February, that deal was called off with the Norcross side citing the failure of Republic First to take actions and satisfy required closing conditions, such as filing its 2022 10-K and scheduling the required shareholder meeting. Since then, reports have swirled about the FDIC looking for a potential buyer for the troubled bank, culminating with the agency’s announcement.”
PAUL FIREMAN UNVEILS NEW GROUP: LIBERTY STATE PARK 4 APES — “See apes on horseback take N.J. for ‘Kingdom of the Planet of the Apes’,” by NJ Advance Media’s Amy Kuperinsky: “It’s a bird, it’s a plane, it’s a gang of apes on horseback ... surveying the Hudson River from the Jersey side. The scene was part of a promotion for the upcoming movie ‘Kingdom of the Planet of the Apes’ Friday. The apes gazed upon the Manhattan skyline and the Statue of Liberty from Liberty State Park, as seen in photos and video of the marketing ‘activation.’" —“Maker of Tylenol, Band-Aids and Listerine holds groundbreaking for North Jersey global HQ” —“NJ legal weed indies bringing new products, lower prices, to consumers”
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