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Thread: Paladino: City lost $3 million in demolition waste (fraud?)

  1. #1
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    Paladino: City lost $3 million in demolition waste (fraud?)

    In an ARTVOICE video interview developer-lawyer Carl Paladino charges that the city has failed to enforce a 10 year agreement with Modern Landfill Inc that would have saved the city over $3 million.

    The agreement, negotiated by Joe Giambra of Public Works 6 years ago, states that Modern Landfill would accept all 'C & D debris' (construction & demolition) generated by the city or its agents for $19 per ton (adjusted for inflation or fuel surcharges).

    Instead the agreement has 'vanished', as the city & its contractors have paid an average of $36 per ton for disposal, according to Paladino. He estimates that the typical 1-2 family house is 85 tons of debris. At about 500 demolitons completed per year he estimates the city has lost $600- $700K annually.

    That is over $3 million lost over the period of the agreement that could have been available to demolish 100's more of the city's 1000's of blighted abandoned properties.

    Will the Comptroller, whose "Fraud Waste & Abuse Office" rarely investigates anything significant, check out Paladino's serious charges?

    SEE:

    Carl Paladino: discounts with Modern Landfill for debris removal, millions lost

    http://video.artvoice.com/artvoicetv...ink=0000000692

    Carl Paladino points out the details of a contract the city has for discounts with Modern Landfill Inc. for debris removal on demolition projects, a contract that goes completely ignored. The cost to tax payers is in the millions.

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    Member MERL J's Avatar
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    Well, maybe Carl can use them when the Graystone falls on its own - soon to come, I'm sure - afterall, the only time there is activity on the place is when they are due in Housing Court.

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    Member dgrzeb's Avatar
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    A big equation of why this agreement has changed is because NYS won't "accept" friable asbestos which has become the majority of demolitions as per NYS's DOL & their laws , they're squeezing little city's like Buffalo ($4000 state "notification fee" per structure , including small garages when the COB can't do asbestos surveys because of severe fires , collapses or unsafe conditions) , so all asbestos waste from these demos have to go all the way to Ohio , which drives up costs 3 - 4 fold.......Modern still does take regular "C & D" , but the amount has changed the volume is much smaller then when this agreement was struck.......(it actually was struck when the COB had it's own demo crew to do simple demos)
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    The asbestos scare is just that: a scare tactic, without science behind it. In order for asbestos to hurt you, you need to grind it into dust & breathe it over a period of time. Knocking down a house with "asbestos" shingles will NOT expose anyone to danger. It's all a Mafia Move, to extract money for phoney "encapsulating" work. They stick the shingles into big baggies, then drop them at the cheapest dump site.

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    Member dgrzeb's Avatar
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    Quote Originally Posted by ForestBird View Post
    The asbestos scare is just that: a scare tactic, without science behind it. In order for asbestos to hurt you, you need to grind it into dust & breathe it over a period of time. Knocking down a house with "asbestos" shingles will NOT expose anyone to danger. It's all a Mafia Move, to extract money for phoney "encapsulating" work. They stick the shingles into big baggies, then drop them at the cheapest dump site.
    I am an asbestos certified inspector , asbestos WILL kill you , I don't care if it's in 20 years , but it's for the next door neighbors OR areas of the city where a lot of demolitions take place & the people are exposed ALL the time PLUS the actual abatement workers who are exposed everyday.....THEY need the regulations , the Mafia isn't involved , ask your local DOL reps..........Asbestos Siding (TRANSITE) WILL kill you , as soon as they're broken , they're friable & become dust particles which will kill you..............go to school & learn this , it's not an opinion , it's FACT !
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    Probe demolition dumping fees: Election year politics?

    SanFilippo's "Fraud Waste & Abuse" investigator has rarely touched anything significant.

    But this is election year for SanFilippo & his in-house-campaign-manager Tony Farina . . . who apparently face no opposition? Will this be an honest investigation . . . or a feel-good election-year gesture by a Comptroller who rarely audits anything?

    http://www.buffalonews.com/cityregio...ry/752613.html

    Probe begun into city’s demolition dumping fees

    By Brian Meyer, NEWS STAFF REPORTER, August 03, 2009, 6:58 AM

    Buffalo Comptroller Andrew A. SanFilippo has launched a probe into claims that the city may have squandered millions of dollars since 2005 by overpaying for demolition dumping fees.

    Officials in Mayor Byron W. Brown’s administration dismissed the allegations. They cited a new legal opinion that affirms the city’s decision not to offer a discounted dumping fee to private contractors that have been tearing down thousands of blighted properties.

    But a local business leader who called for the investigation believes wrongdoing is involved. Carl P. Paladino claimed a beneficiary is Modern Landfill, a company that has made campaign contributions to Brown.

    “I dislike governmental graft and corruption,” Paladino said Thursday. “And I definitely think that’s what this is.”

    At the core of the controversy is an agreement the city signed with Modern four years ago, when Anthony M. Masiello was mayor. As part of a broader pact involving the disposal of Buffalo’s garbage, the agreement allows the city to dump construction and demolition debris at Modern’s Lewiston site at a discounted rate of $19 a ton.

    Paladino argued that the city should have steered its demolition contractors to Modern so they could get the lower rate. Instead, said Paladino, contractors were never informed of the arrangement and have been paying far more to dump debris — costs that are passed to the city. He estimated that Buffalo could have saved about $3.5 million over four years. Modern has benefited by not having to handle waste at a discounted rate, said Paladino.

    But a city attorney said late last week that the 2005 agreement only entitles the city and agencies tied to City Hall to the discounted rate. Assistant Corporation Counsel Alan P. Gerstman said that when the pact refers to city “agents,” it doesn’t mean private contractors.

    “We would never call contractors ‘agents’ for a lot of legal reasons,” Gerstman said. “Agents have more power, and we would make a building contractor an arm of the government.”

    Paladino scoffed at the legal opinion.

    “They’re trying to spin this,” he said. “They’re looking for anything now, because they got caught cold.”

    Paladino said he doesn’t think it’s a coincidence that the company has donated $19,400 to Brown’s campaigns since late 2005.

    Gary E. Smith, Modern’s chief operating officer, called Paladino’s claim that Modern donated to Brown’s campaign in return for the city ignoring the discounted fee “ridiculous and borderline libel.” Modern has supported many elected officials, said Smith, including Common Council members and former mayors.

    “It’s just part of being a business in the community,” said Smith. “I make no apologies for that.”

    Peter K. Cutler, Brown’s communications director, also dismissed the charge. Cutler questioned Paladino’s motives, noting that the businessman’s cousin owns a waste disposal business that competes with Modern.

    SanFilippo is demanding numerous documents as his chief auditor, Darryl McPherson, reviews the controversy. The comptroller’s office is prodding the city Law Department to submit a formal written opinion on the matter. SanFilippo also wants to scrutinize “dump tickets” that should verify what dump sites contractors used, how much debris they deposited, and how much they paid.

    “At the end of the day, we have to be concerned if the city is overpaying to [landfill] its demolition debris,” said SanFilippo.

    Meanwhile, Public Works Commissioner Steven J. Stepniak and Deputy Inspections Commissioner James Comerford disputed Paladino’s claims that the city could have saved millions. Most contractors were only paying slightly higher rates than the discounted disposal fee, said Comerford. When the costs of transporting the debris all the way to Lewiston are added, said Comerford and Stepniak, any savings would likely be wiped out.

    bmeyer@buffnews.com

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    Member dgrzeb's Avatar
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    The reason "Modern" isn't used as they were before is because the NYS DOL changed their rules & "Modern" & NYS dump sites won't accept "friable" asbestos , hence , most demolition's debris & rubble are sent to Ohio..........concrete stays here & goes to crushers for recycling , etc.
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    Quote Originally Posted by MERL J View Post
    Well, maybe Carl can use them when the Graystone falls on its own - soon to come, I'm sure - afterall, the only time there is activity on the place is when they are due in Housing Court.

    ROFLMAO, thats two points
    People who wonder if the glass is half empty or full miss the point. The glass is refillable.

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