Atlantic County Officials Offer Deal to Get NextGen Project Flying

CREST HAVEN – Eying the possible economic boon to Cape May County that awaits all South Jersey when the NextGen project creates the world’s next level of air traffic control, Cape May County freeholders listened attentively to two Atlantic County government officials Dec. 27.
What Atlantic County Freeholder Chairman Frank Formica and Chief of Staff Howard Kyle offered was to pay $650,000 in contractors’ debts owed by South Jersey Economic Development District (SJEDD) if Cape May County would allow Atlantic County to be credited that sum as its portion in the four-county regional entity over which Freeholder Leonard Desiderio is chairman.
Formica and Kyle received assurance from Director Gerald Thornton that a resolution confirming that would be prepared for the meeting after the board’s Jan. 3 reorganization.
Formica cited SJEDD “past two years of more management and miscommunications” that led to “a great amount of indebtedness.”
“Previously, I thought it had stellar performance,” Formica added during the caucus session prior to the 4:30 p.m. regular meeting. He said there were many projects funded through the regional agency that includes Atlantic, Cape May, Salem and Cumberland counties. It funnels federal Economic Development Agency funds for local projects, the most recent being Upper Township Senior Citizen Center’s renovation.
Contractors who did work on the NextGen project have not been paid for their work in two years, said Kyle. With consent of the three other member counties to assure Atlantic County the $650,000 it would pay those contractors it would be considered its fair share, Atlantic County would have the matter “wrapped up possibly in six months.” He said there was between $900,000 and $1.1 million owed to contractors for services rendered “which falls on us four counties.”
“Atlantic County is proposing to pay those contractors. We will assume the cost in full. We ask that we be given credit for any amount each county would be responsible for,” Kyle told the board.
Timing was important, Kyle told the board. That’s because federal funding will be frozen unless earlier debts are cleared, said Kyle. The federal government wants to see SJEDD pay its debts “in a timely fashion.” He believed lawsuits could be mitigated or “will be gone by the time we pay this.”
Freeholder Director Gerald Thornton said he had spoken with Kyle, and found Atlantic County officials’ dedication to SJEDD solid.
Kyle said when contractors are paid and closure made on the EDA grant, SJEDD would then be able to transfer the lease on the parcel to the Aviation Research and Technology Park, Inc. board. That done, the ARTP board would be free to purchase architectural plans for the first building, and get a bank loan to proceed with the project.
Formica told the board SJEDD had contracted for those architectural plans, which are “still valid for the building of the first building.” He said selection of the park was unique due to the location near the sea as well as to FAA’s technical center and the Warren Grove and Air Force facility.
“It is virtually impossible to find anything like it elsewhere in the United States,” Formica said. He cited aircraft manufacturers such as Boeing and Lockheed Martin which may be interested in linking with the project to change air traffic control.
The economic impact of the project is “incalculable,” but added the FAA might expend upward of $20 billion over 20 years, and $7 billion as soon as we prove the park is viable.”
“I explained to the board I believe it’s absolutely incumbent on the four counties to make sure this NextGen project is successful. It would be horrible for us to lose the project,” said Thornton. Many do not understand, he added, but “It will change the entire air traffic control program with technology developed right here in Atlantic County, South Jersey. It is worth billions of dollars and a lot of jobs will be generated,” he added.
“The impact will be significant on the southern part of the state,” Thornton said. “I am talking as a former air traffic controller. I know the system…This is the biggest change to air traffic control systems in 50 years. This technology is far reaching, and we should do everything possible to protect this project.”
It is expected that some of the technology that will be perfected in the project will be on non-military remotely piloted vehicles (drones) that may find favor with law enforcement agencies such as the N.J. State Police.
Desiderio said SJEDD had brought over $60 million in grants to the region over a decade. “It has done great things, and it is great to see how four counties came back together to make sure this is a success. We are going to be proud we played a small part in this.”