http://www.wtc.com/news/snarling-up-ground-zero
Snarling Up Ground Zero
By Sheldon Silver
August 05, 2009
New York Post
http://www.nypost.com/seven/08052009...991.htm?page=2
WITH the eighth anniversary of the 9/11 attacks just a few short weeks away, New Yorkers face the unfortunate prospect of yet another anniversary where work at the site has ground to a halt.
For months, the Port Authority and the site's developer, Larry Silverstein, have been locked in an endless negotiation over financing the remaining towers.
On Monday, Gov. Paterson came down firmly on the PA's side, demanding Silverstein accept terms that would make it nearly impossible for him to go forward with the construction of Towers 2 and 3, or else face the loss of his entire interest in the World Trade Center site. [Editor's note: Yesterday, Silverstein presented the PA with a "notice of arbitration" letter, kicking off binding arbitration.]
I'm concerned that the governor's proposal, rather than move the rebuilding forward, will result in yet another standstill and many more anniversaries marked by endless delay.
This dispute dates back to 2006 -- when, after five years of false starts and unrealistic deadlines under the Pataki administration, the PA and Silverstein reached an agreement whereby the PA would take over development of the Freedom Tower and the former Deutsche Bank building while Silverstein would build Towers 2, 3 and 4 along Church Street.
That deal required the PA to turn over construction-ready sites for Towers 2 and 3 to Silverstein by the end of 2008. It didn't happen: Eight months into 2009, the PA is paying Silverstein $300,000 a day in late fees for its failure. Meanwhile, Lehman Brothers imploded, credit markets dried up and the developer lost any opportunity he had to privately finance the construction of the two towers.
The PA maintains it can't afford to provide any new financing for Towers 2 and 3. Silverstein insists that, if he doesn't get the help, the site will remain vacant for years or even decades.
That's where things stood in May when Mayor Bloomberg and I asked the parties along with the governors of New York and New Jersey to come to the table and find a compromise that would let rebuilding move ahead.
I agree with Gov. Paterson and the PA's concerns. Given the economic crisis, we can't expect the taxpayers to foot the entire cost of all that we want and need to build. Every stakeholder -- including and especially Larry Silverstein -- must take on a greater share of the risk.
Those two principles have been at the core of every proposal we've discussed in trying to broker a compromise. Unfortunately, the Port Authority has offered only intransigence and avowed a willingness to see a standstill at the site rather than accept a middle ground.
The PA and Gov. Paterson maintain that today's market doesn't support the office space Towers 2 and 3 would provide. I agree -- but I also believe that the decision we face isn't about building for today.
It's about building for the economy that we want and the economy Lower Manhattan deserves years down the road.
That was the guiding principle behind the rebuilding of 7 World Trade -- the first building erected after 9/11, at a time when no one thought Lower Manhattan could come back from such devastation. That building's success is a gleaming testament to the idea of building for the future.
The Port Authority also maintains that it can't afford to dedicate any added funds to financing the World Trade Center site without placing other vital regional transportation projects in jeopardy. That's a false choice.
The World Trade Center is not merely another project to be pitted against other priorities -- but rather a symbol to the world of our faith in our city, in this community and our commitment to rebuild after the worst terrorist attack ever on American soil.
I have lived in Lower Manhattan all of my life and have had the privilege of representing the district in the Assembly since 1977. I have seen this community knocked down and fight its way back to the top -- first in the late 1970s and again after the 9/11 attacks -- and I have tremendous faith in our ability to rebound once again from this downturn.
For the nearly eight years since the attacks, I've worked to return Lower Manhattan to its place as the nation's third-largest central business district. Working with the community, I've fought for a fully redeveloped World Trade Center, a memorial to honor the more than 3,000 whose lives were lost, a performing arts center that will draw in visitors from all over the world and an above-ground, architecturally worthy Fulton Transit Center with significant retail.
Despite the current downturn, I continue to believe we have not only a moral obligation to rebuild but also an important opportunity to demonstrate our resolve to the nation and the world; to build a more vibrant, 24/7, mixed-use community that is better and brighter than ever before.
Unfortunately, the path suggested by the governor won't get us there.
I urge all of the parties to come back to the table with Mayor Bloomberg and myself and work to reach a compromise that protects taxpayers, requires the developer to take on substantially greater risk and -- most important of all -- gets the rebuilding process moving again in time to make real progress before the next anniversary of the 9/11 attacks.