Council to hold hearing on OTW liquor license Hearing may decide whether liquor license can be transferred BY KATHY CHANG Staff Writer WOODBRIDGE - The Township Council will hold a public forum on the transfer of the liquor license for the state-of-the-art off-track wagering (OTW) facility in Fords on July 31. "Because of the interest on the OTW facility, the council wanted to afford the opportunity to the public to speak on the application," said township Municipal Clerk John Mitch. The public forum will be held after the council meeting, which begins at 7 p.m., in council chambers at town hall. The New Jersey Sports and Exposition Authority (NJSEA) entered into an agreement in April with Timothy McLoone, the owner of McLoone's Riverside in Sea Bright and McLoone's Pier House in Long Branch, both in Monmouth County, to operate a food and beverage service called McLoone's Favorites at their OTW facility at 3 Lafayette Road. It is expected to open in late August. Mitch has reviewed the transfer application, which his office received on April 13, and then released it to the police department, which did a standard financial and criminal background application check on the applicant. Mitch said the township is waiting to receive the results of the background checks from the local FBI on the stakeholder (McLoone) of McLoone Holding Co. LLC. After the township receives the background checks from the FBI, the police department can make its final recommendations to approve or disapprove the liquor license transfer from the family ownership, JRC Associates, of The Club at Woodbridge, which no longer uses its license. "The second thing we are waiting for is tax clearance from the state," said Mitch. "All liquor licenses need tax clearance from the state before the local Alcoholic Beverage Control board can vote on the license." Since April 2006, the NJSEA has canvassed vendors from various major chains including T.G.I. Friday, Chili's Grill & Bar and Houlihan restaurants, before it set its sights on McLoone. The NJSEA is spending $6 million to turn the old A&P store at the intersection of Fords Avenue and Lafayette Road into a state-of-the-art off-track wagering facility. The NJSEA presented its proposal of the OTW - among boos, cheers and some toting signs that read "Just Say No to OTW in Fords" from the audience of approximately 300 residents - to the New Jersey Racing Commission (NJRC) at a public hearing, which was held to comply with the provisions of the state Off-Track and Account Wagering Act, on Aug. 24, 2006, at the Hilton Hotel in Iselin. Resident Carole Mayti presented NJRC officials at the public hearing with over 1,100 signatures and 450 letters opposing the plans. Dennis Dowd, NJSEA's senior vice president of off-track wagering, said the OTW facility would benefit Woodbridge by providing a long-term tenant to ensure tax revenues. "It would also increase business for other tenants at the center by creating 50 to 85 full-time and part-time jobs, and 200 construction-related jobs," he said. The commission voted 4 to 0 in favor of the OTW on Sept. 26, 2006, and later the state Attorney General's Office signed off approving the commission's decision in early October 2006. Residents expressed disappointment with an OTW coming into Fords and with the council's passing a resolution in favor of the facility, which was later overturned after a public outcry against the facility. The council passed a resolution June 20, 2006, in support of the OTW facility. The 2001 state statute gives municipal governing bodies 45 days to reply after receipt of NJSEA's notice of intention. A town may disapprove of a proposed OTW facility within a 45-day period, by adopting a resolution that will be binding on the authority and the commission as soon as the entities receive it. The council received the authority's notice May 12. But council members withdrew their support for the venture at the Aug. 1 council meeting, which came after the June 26 deadline. The council's decision came after meeting with more than 75 residents on July 20, 2006. The meeting was organized by residents Yazmin Chas and Carole Mayti. The residents expressed concerns about traffic, the close proximity to homes and schools, and possible problems with compulsive gamblers. Ward 2 Councilman Richard A. Dalina sent a letter to the NJSEA on July 14 asking them to reconsider another location because residents opposed the project. In the council's Aug. 1 resolution, the council urged the authority to "join the council with a commonality of purpose and withdraw its consideration of the Fords location as the proposed OTW facility in the best interest of the community and to consider possible alternative sites." However, the authority decided not to withdraw its proposal. "The authority explained it had devoted much work and made many concessions prior to the issuance of that resolution [Aug. 1], and further believed that the Fords location was the appropriate site for the facility," the NJRC report said. State Sen. Joseph Vitale (D-19) has sponsored the bill, S-2632, which would require the operator of an off-track wagering facility to make an annual payment of 4 percent of the facility's net wagering revenue to a host municipality when the facility applies to renew its license. The bill was unanimously approved by the Senate Wagering, Tourism and Historic Preservation Committee in June and could be considered by the state Senate sometime this fall. The assessment would help defray any costs to the municipality generated from hosting the facility, including traffic diversion, increased law enforcement presence, and noise barriers to protect neighboring homeowners. "Off-track wagering is a novel approach to re-energize the horse racing industry and spur economic investment in a community," said Vitale. "However, as we've seen in my hometown of Woodbridge, taxpayers are very concerned that they might have to foot the bill for increased traffic, noise pollution and crime." "By requiring off-track betting parlors to invest back into their host communities, we can provide an incentive for towns to host these facilities and ensure that any additional local costs are borne on the backs of the off-track operators," he said. Currently, only one off-track wagering site, which opened in Vineland in March, is operational in the state. However, the bill was amended in the committee to exempt any off-track wagering facility owned by a business entity, which pays into the corporate business tax. Under the amended bill, the Vineland facility would be exempt, but the proposed Woodbridge site would still fall under the assessment requirement under the bill. "This bill strikes a balance between promoting horse racing and requiring off-track facility operators to show responsibility for any added local costs," said Vitale.