Co-cp City's officiai publication/ serving
1 S,382 member families in the world's largest cocperafrve community, 3, 1911
YANKEE DOODLE DANDIES-Alisa Alster, daughter of Mr. and Mrs. AI Alster of 140-12 Casals Place, and Terence Johnson, son of Mr. and Mrs. W . Johnson of 120-23 Alcott Place, show that their "hearts beat true for the red, white and blue," in a pre-Independence Day discussion in Shopping Center No. l. Terence and Alisa wish to remind all eeoperators to drive safely this July 4th Weekend.
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Harold Ostroff, president of Ríverbay Corp., sent a letter this week to Lawrence Sivak, chairman of the Advisory Council, explaining his position in regard to the rent increase proposal, Ostroff blamed the sudden need fo increase the earrycharges on chaotic conditions in the whole econThe sheer size of Co-op omy. He said . that the Ad- City and the time involved visory Council and the to complete this development Board of Directors, through would lead, under relatively their finance and budget -· normal circumstances, to committees, should be in- major problems. However, volved throughout the next as I am sure you are aware, 18 months in a joint effort the last three to four years to do everything possible to have seen chaotic conditions reduce the "upset" figure. in our whole economy. Budgets, which are at best the The complete text of Osmost informed estimates t:roff's letter follows. possible, have been rendered Dear M:r. Sivak: ';;,. practically meaningless durThe current financial ing this period. crisis at Co-op City requires Our immediate problem understanding of the therefore became one of problems which developed during the overlapping peri- having sufficient money to ods of occupancy and con- complete the development. (Continued on Page 20) struction. !
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Council Holds Eme
Palmer Speaks 6 Proposals ases; il a : Gets Cheers Rescin I creases Julius Palmer, resident member of Riverbay Corporation's Board of Directors, received rousing applause Monday after he delivered his statement on the carrying charge increases at an emergency session of the Advisory Council Palmer blasted Ríverbay Corporation Management for-fälling into a $60,000,000 deficit, and requiring immediate action on substantial carrying charge increases. The Resident Board Member questioned the $60,000,000 figure, claiming that pertinent records are being hidden from cooperator scrutiny. He also reported that he proposed several recommendations at recent Board- of Directors' meetings. They are: l. to equalize carrying charges among Co-op City sections; 2. to allow for increases in the equity (in( Continued on Page 15)
·ency Meet
More than 1400 cooperators attended an open emergency meeting of the Advisory Council on Monday, which dealt with the scheduled increase in carrying charges approved June 23:rd by the Riverbay Corpora Hon Board of Directors. Statements by the three resident board of directors members as wen as the chairman and vice chairman of The most recently elect- board by Ostroff. He also the Advisory Council ~:re delivered to the volatile ed board member, Arthur Z. pledged to investigate, and Cohen, was unable to attend, do all in his power to recrowd. addition, a Jetter to the but had a statement read for duce the increases which are scheduled for the next three Advisory Council from Riv- him. In it, he charged that Harold Ostroff, president of years. erbay President Harold OsRíverbay Corporation, did troff was read by the CounRabbi Perry Cohen was not allow· the Board of Dicil's Corresponding Secretgiven boos and catcalls , rectors sufficient time for ary Michael Sicilian. In from the audience, but ex"valid. in-depth" study of his Ostroff conceded plained that he voted in favthe carrying charge inthat he broke his promise to or of the increases only after creases .. the Council of prodeveloping a financial plan charge inwhich he believes could elimHe said that he abstained creases, that he believed from on the increases inate the projected 12 and one-half percent rent inthat it was necessary to do because of the imminent and possíl!#O because of · urgency bankruptcy of the Construc- crease in of the matter. tion fund, reported to the (Continued on Page
Co-op City's Advisory Council passed six resolutions Monday dealing with the seheduled earrying charge increases at an emergency meeting held in the Community Center. AH six were overwhelmingly carried at the heated open session which was attended by approximately 4) Be it resolved that the 1400 cooperators. Inter-Community and Legal Committees explore those The proposals are : legislative areas which can 1) Be it resolved that the result in a reduction of carBoard of Directors of River- rying charges, such as state bay Corporation rescind its interest subsidy and tax June 23, 1971 vote to in- abatement for senior citicrease carrying charges e n zens. fa addition, the comthe grounds that the vote mittee should research the constitutes a blatant viola- possibility of changes in the tion of a written commit- Mitchell-Lama law which rement (August 10, 1970) not late to the length of time the or iginal Board of Directo take such action without tors remains in control after prior consultation with the full occupancy of the houscommunity, through the Ading development; so that the visory Council. period is shortened to a peri2) Be it resolved that the od of no more than two Finance Committee of the years. Advisory Council devote its (Continued on Page order of business solely to an investigation of the propriety of the carrying charge increase; and that it enlist th_e aid of the Legal Committee, any cooperators who may be attorneys or CP As, and all interested organizations in the community to By Doret l,y Frogel assist in the investigation. The Co-op City Health In addition, the Advisory Council is prepared to reCouncil requests an Riverbay board members to as- sist the new HIP group sist the Finance Committee coming into building 20, unin its work, and that the less plans are worked out Board of Directors direct fo:r 24 hour emergency serthe president to furnish the vices on premises. This was heard Finance Committee all cer- statement more than 350 people at the tified financial statements as may be requested by the Town Meeting of the Cocommittee. op Council, June 24th. 3) Be it resolved that the Edward Aronov, guest Board of Directors of Riverbay Corporation only con- speaker, expressed his support for the purpose of the sider the increase in carryorganization, which is to ing charges after the findings of the investigation of strive to improve, plan and health services for the Finance Committee are reported back to the Advi- the benefit of all the people sory Council and if such a who liv ! in Co-op City. Ed need for an increase is con- Marshall, director of Comcluded by the Finance ComRelations for Co-op mittee. (Continued on Page 9)
Health Group Asks I-IIP For 24 hr, Service