By Courtney Dentch and James DeWeese
The initial lease agreement, announced in October, included $50 million earmarked solely for Queens capital projects over a 10-year period, but last week several Queens council members, including Hiram Monserrate (D-Corona) and James Sanders Jr. (D-Laurelton), extracted a promise from the Port Authority to renegotiate that part of the deal.
“That is one of the things being worked out as we work toward finalizing the agreement,” said Pasquale DiFulco, spokesman for the PA. “We had the agreement in principal and now we're talking about more money.”
During Land Use committee hearings preceding the Council vote approving the lease earlier this month, the Port Authority agreed it would discuss as much as doubling the money slated for capital improvement projects and Deputy Mayor Dan Doctoroff pledged to spend the money exclusively in Queens, Monserrate said.
“It seems rather fair since we in Queens take the brunt of having two airports nearby,” said Councilwoman Melinda Katz (D-Forest Hills), chairwoman of the Land Use Committee. “We deal with the noise, the pollution, the traffic. We're the ones that have to deal with all of that.”
The deal, which extends the lease through 2050, will include an initial payment to the city of $700 million, which covers rent payments for 2002 and 2003 with interest. The state will also pay $90 million more annually for leasing the two airport sites, bringing the agency's minimum annual payment to $93.5 million. Starting in 2004 the Port Authority will also pay the city 8 percent of the current year's airport gross revenues, on top of the $93.5 million minimum.
“That's much more money coming into the city,” said Councilman Joe Addabbo (D-Howard Beach). “It will definitely trickle down to our residents because we won't have to cut services as much.”
Last month Monserrate and Sanders issued a call up, a procedure that guaranteed the City Council would have an opportunity to vote on the lease to ensure Queens is getting its fair share.
The full City Council April 21 approved the property aspect of the lease deal almost unanimously, with 48 yes votes, one abstention and one no vote.
The city Economic Development Corp. is still finalizing the financial details, Katz said.
Mayor Michael Bloomberg was expected to sign the deal later this summer.
As the lease agreement was hashed out, many community boards and local politicians expressed concern about the possibility the money would be siphoned off for projects in other boroughs.
Monserrate said Doctoroff and the Port Authority assured him the capital improvement funds would not be used to cover the cost of other, already agreed-upon projects.
“We got the mayor's office to agree that the $100 million will be used for capital projects in the borough of Queens and that $50 to $100 million will not be used for already existent capital projects,” Monserrate said.
The deal also includes money for work on two bridges in the area of LaGuardia Airport: the 102nd Street Bridge, which will be maintained by the Port Authority, and the 94th Street Bridge, for which the state will be responsible.
Sanders is also pushing for an extension of the 10-year period during which Queens would get the capital funds, he said.
“This was delivered by doing due diligence by the people of Queens,” he said of the possible additional funds. “The deal is going beyond 10 years. This part of the deal should, too.”
Reach reporter Courtney Dentch by e-mail at news@timesledger.com, or by phone at 718-229-0300, Ext. 138.
