Kinder Morgan to redevelop NJ brownfields

By | March 23, 2010
Posted March 24, 2010

Carteret, N.J., Mayor Dan Reiman and Carteret residents were recently joined by representatives from Kinder Morgan and the American Federation of Labor-Congress of Industrial Organizations (AFL-CIO) for a ceremony in which a 30-year redevelopment agreement was signed, officially authorizing the company to reutilize 14 acres of "brownfields" in the Borough's Industrial Avenue light industrial district (Kinder Morgan Redevelopment Area).

Adjacent to Kinder Morgan's existing facilities, the project will make use of property formerly used for truck maintenance, calling for additional blending and storage units, and allowing for 1,035,000 million gallons of biodiesel storage "and processing," Reiman's office stated.

Biodiesel Magazine awaits a response from Kinder Morgan to clarify whether this site will be used for biodiesel production as well as storage and blending, as use of the word "processing" suggests.

Ultimately the project will provide new connections to SUN, Colonial, and Buckeye regional pipelines.

Kinder Morgan's proposal was first presented to the Borough in 2008, and received initial Planning Board approval on January 27.

The agreement will offer many benefits to both the town and Kinder Morgan, according to Reiman, who stated at his 2010 State of the Borough Address that he anticipates the Borough will earn $30.2 million over the 30 years of the agreement alone.

Redevelopment fees generated by the project will provide an additional $1 million towards the construction of the Borough's highly anticipated "Health & Wellness Center," according to Reiman, while the agreement has allowed for another $300,000 for off-site aesthetic improvements along Industrial Highway.

"The numbers are certainly impressive but the foremost benefit will be to our homeowners and workforce," Reiman stated. "We've put a strong emphasis on unionized labor in this agreement as with all of our capital improvement projects, and are pleased to announce that 100 percent of the non-specialized construction labor involved with this project will come from New Jersey unions. This is in addition to the 250 private-sector jobs that will be created upon the facility's completion."

Mayor Reiman lauded Kinder Morgan, the Borough's most substantial taxpayer, for its history of involvement in local improvements. Most recently these have included public library enhancements, the donation of a foam fire truck to the Carteret Fire Department, and becoming a partner in the HAZMAT Agreement Association, which will provide $300,000 per year in specialized training and equipment to Carteret's emergency service departments.

"For 80 years Kinder Morgan has strengthened our commercial backbone and sustained private sector jobs," Reiman added, "but has also gone the extra mile in recognizing its obligation to Borough residents. From quality of life enhancements to improvements to public safety, Kinder Morgan has been a true friend to Carteret, and a partner in its continuing growth."
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