Boutique Hotel Remains in Limbo; But Johnny and Larry Have Been Busy

Warning: Conceptual only, not to be taken seriously!
The self-professed experts…

The City of Fullerton’s foray into boutique hostelry remains a big mystery to the public, partly because the public doesn’t know much, if anything about it; but mostly because the City staff doesn’t know what to do with their boondoggle and the people who voted for it – business experts Shana Charles and “Dr.” Ahmad Zahra certainly aren’t talking. Come to think of it, neither are the two councilmembers who voted against it – Fred Jung and Nick Dunlap.

Zahra’s Fullerton Transparency claque and the Fullerton Sisters are silent as the proverbial tomb.

Why is Johnny smiling?

The facts of this disaster hardly require another distasteful regurgitation, so I won’t do it, except to remind Friends that the City deeded over part of the Transportation Center parking facility to TA/Westpark for a pittance, given that they also change the entitlements making it worth 10 times what they sold it for. TA Partners is Johnny Lu and Larry Liu a couple of Chinese con men who had already pleaded guilty to fraud in LA County and who were in the process of going belly up on a huge loan in Irvine.

You may remember that the original grant deed that was recorded by Johnny and Larry was different than the one they recorded later, and the property description in the second recorded deed fraudulently includes the east end of the Depot loading dock now under leasehold by the Bushala Brothers, Inc., whose clock is ticking on their agreement. What a fiasco.

And it may be getting worse. That seems hard to imagine since the property was handed over three and a half years ago and nothing has happened. The hotel and attached mega apartment is supposed to be complete by October 21, 2026. My recollection is that the hotel and the attached mega apartment was supposed to be done only a few months from now. How many legally required milestones have been missed remains a part of the Big Sleep.

Meanwhile Johnny and Larry are said to have taken out a loan against their Fullerton real estate. I guess someone was willing to bet on the come, or just as likely, wasn’t – ahem – fully informed. Which deed was used to describe the lender’s collateral? Must have been the most recent one that includes the loading dock.

If some new loan fraud took place we can add that to the legal entanglements between TA Partners and the family of the original brainstormer, Craig Hostert, now unfortunately deceased. The agreement with the City should have excluded TA from creating debt on the property with permission from the City. But Fullerton, being Fullerton.

This comical boondoggle is now well over 7 years old and still there are no signs of official communication about the state of this mess, let alone resolution. Is staff trying to find a replacement to keep the embarrassment alive and save face for the disaster? Who knows?

The Boutique Hotel to Nowhere, Part 2

Warning: Conceptual only, not to be taken seriously!

The other day I described the history of the idiotic Boutique Hotel – a notion to build a high-end hotel on the site of the East Santa Fe parking lot at the Depot. The idea was, and is so stupid that it astounds any commonsensical thinker. And even worse, as the “unsolicited,” exclusive deal became less and less likely, the concept became bigger and dumber. The approved plan more than doubled the density allowed by the Transportation Center Specific Plan.

City projects are virtually immortal if they look like work for eager “economic development” bureaucrats or look like they can be sold as accomplishment by people like Ahmad Zahra and Shana Charles, who think (or pretend to think) that their gullible followers can be fooled into believing something good is happening.

That can’t be good…

Except that nothing good is happening. Our City officials increased the value of the property ten-fold through entitlements, but sold it for its original value – a staggering subsidy of at least ten million bucks. And that subsidy was handed to TA Partners, a flimflam operation fronted by a couple of con men, Johnny Lu and Larry Liu, at the end of 2022.

In the three intervening years nothing has happened so far as the public knows, even as TA Partners’ legal and financial woes have become public; woes that certainly should have been known by our economic development experts in City Hall prior to signing a contract, but weren’t. Why not? And why is the project at least two years behind schedule? Don’t ask. Fullerton being Fullerton.

The land was deeded over to Johnny and Larry without even an approved set of conceptual plans. But the deed was encumbered after a fashion with development and construction milestones.

And here’s the Schedule of Performance mentioned above:

Read. Weep.

I don’t know what sort of plans have been submitted, if any, but I know that grading should have started at least 20 months ago and hasn’t. And look at that project completion deadline – a Certificate of Occupancy by 10/21/26. That’s only nine months from now. As this fiasco looks worse and worse, not a peep from our friends at Fullerton Angry and Fullerton Transparency about the initial giveaway or the state of the schedule. They have more important if less expensive “scandals” to rant about.

More work ahead…

Of course the paragraph tacked on to the Grant Deed, above, describes the covenants attached to the land, but that’s it. Other language talks about the City’s right to legal recourse if the conditions of the covenants are not met. That’s pretty toothless since lawsuits are always possible; there is no mention of Johnny and Larry surrendering their new asset, an asset whose entitlements could still make it worth a fortune. Why the City hasn’t already initiated legal action is a mystery worth speculating upon.

We all know that when it comes to Fullerton redevelopment boondoggles, nobody ever takes responsibility for failures. It’s just not good form to hold the masterminds accountable. Often it’s not enough to just keep quiet; sometimes staff actively tries to keep the boondoggle gasping for air so it can be reassigned to some new front man. That’s what I think must be happening now.

By the way, a majority of the current City Council has not voted for this hot mess. It’s a legacy mess.

It’s way past time to learn what’s going on, to find out what the status of the Boutique Hotel and Apartment monster and to find out why the City hasn’t pursued legal remedy to protect our interests.

The Boutique Hotel to Nowhere, Rehash, Part 1

Domer-Decorations
Hitching to Desert Center

2026 is here, portending all sorts of fun for Fullerton. Some haunting spirits will have to be propitiated, among them is the so-called “boutique hotel” fiasco, one of the parting gifts of former incompetent City Manager, Ken Domer left for his ultimate successor, Eric Levitt.

You will recall the project: a small, high end hotel at the train station, that over the years morphed into a massive housing project attached to it.

Grab it and consume it as fast as you can…

Domer was the facilitator of the stupid concept cooked up by our former Mayor-for-Hire, the lobbyist Jennifer Fitzgerald. His sole reason for being City Manager, in fact, appeared to be his willingness to enable Fitzgerald’s wish lists into fruition.

And Domer was the fellow who let the project move along, during the gestation – recommending a non-bid, exclusive negotiating agreement with Westpark LLC, a company that couldn’t build a birdhouse. Domer was fired in the spring of 2021 but his boutique child, an infant that should have been strangled in its crib, lived on, proving that make-work ideas supported by staff never die.

Looks good to me…

The years passed and Levitt became godfather to Domer’s baby. In this time his staff had uncovered a new and willing partner – TA Partners. Enter Johnny Lu and Larry Liu, two con artists who were already getting deep into debt and fraud elsewhere in Southern California.

Why is Johnny smiling?

By the end of 2022 the real disaster struck: on December 20, 2022, the City voted to approve an agreement to deed over its property, the value increased tenfold, without an approved project even in place. The supporters? Ahmad Zahra, Shana Charles, and inexplicably, Bruce Whitaker, the latter ignoring any of the warning signs that his instincts should have been screaming to him.

Warning: Conceptual only, not to be taken seriously!

Three years have passed. None of the milestones in the Development and Disposition Agreement have ben met. And nobody is talking about this fiasco, at least not in public. We have all learned that Larry and Johnny have pleaded guilty to fraud; that their project in Irvine collapsed, probably taken over by whatever investment bank was dumb enough to give them a construction loan.

Has the City even contemplated action? No closed session reporting has been forthcoming and no reasons given for why not. FFFF learned that the original Westpark guy, Craig Hostert’s family is suing Larry and Johnny for their hijacking of the project. They must see some sort of asset there. If so they are right.

Despite having failed to meet contractual deadlines, TA Partners owns this 1.7 acre parcel and is presumably paying their property taxes to keep it in the family. And the property has value thanks to a incompetent City Council majority.

They had me at boutique…

The entitlements approved by Whitaker, Zahra and Charles are worth a fortune, and can, with the City’s approval, be assigned to somebody else, a tactic that City bureaucrats have pursued in the past to keep embarrassing projects alive and kicking. But that may not work because only Zahra and Charles will keep voting for this disaster.

This fiasco is now seven years old and if there’s an end in sight, it isn’t even on the horizon.

Boutique Bungling Bears Bounty

And by “bears bounty,” I mean the boutique hotel scam pulls Fullerton into ever deeper shitwater.

By now we all know how stupid, inept, and problematic the so-called “Tracks at Fullerton” has been.

Starting out as a boutique hotel, a dumb idea took on a bloated, lumbering life of its own and has been kept alive through bureaucratic inertia and predictable metastasis.

Hostert

Now there’s a new twist. Word on the street is that the family of the guy with the original brainstorm, Craig Hostert of Westpark Development, is suing the current “developers” TA Partners. You may recall that Hostert is dead. His relatives seem to think that his money men, Johnny Lu and Larry Liu of TA Partners, pushed Craig out of his interest in the project. Johnny and Larry are said to be counter suing.

That can’t be good…

Parenthetically, I might add that Johnny and Larry are no strangers to the legal system, having left a trail of bankruptcies, foreclosures, and fraud in their wake. Fullerton being Fullerton.

Enhanced with genuine brick veneer!

I don’t know what the lawsuits might entail, legally, but due to the incompetent actions of Councilmembers Bruce Whitaker, Shana Charles, and Ahmad Zahra in upzoning the property, there could be a lot at stake. Remember, the City sold Westpark/TA almost two acres of land for $1.4 million (less demolition costs) while making it worth ten times that amount by abusing the allowable density in the Transportation Center Specific Plan.

Right now the City Hall silence remains deafening. We do know the council met in closed session about this awhile back, and still the public remains in the dark. Why hasn’t the City kicked Johnny Lu and Larry Liu to the curb long ago? They were supposed to have performed all sorts of stuff by now. Here are Johnny and Larry’s milestone obligations per the Development and Disposition Agreement, approved at the end of December, 2022.

Read. Weep.

Westpark/TA Partners are clearly in default. Plans submission was supposed to take place in December 2023 – fifteen months ago. Permits were required to be obtained fourteen months ago. Grading was supposed to start eleven months ago. Above ground construction was supposed to start by the end of last October – five months ago. See a pattern?

For some reason TA Partners was given some wiggle room in the actual verbiage of the contract for plans submittal – 240 days which would have been February of 2024, still thirteen months ago, and still a massive default.

Was there an “Unavoidable Delay?” Who gets to know? Why would the City fail to exercise its right retake the property? If you see a councilperson, please be sure to ask. Of course you won’t get an answer as the whole thing is shrouded in Closed Session secrecy. Without any action on the part of Fullerton, the two fly-by-nighters are still in possession of entitlements worth a pile ‘o cash – enough to excite the pecuniary envy of Mr. Hostert’s heirs and assigns.

I get the strange feeling that this latest legal entanglement might have repercussions for any case Fullerton might have in getting rid of Johnny and Larry. It shouldn’t, but it might be cause for staff to continue to string this thing out since it has been such a lucrative toy for Fullerton’s crack “economic development” employees.

Boutique Fun and Games With Johnny Lu and Larry Liu

FFFF has already reported on some of the colorful financial background of Johnny Lu of TA Partners, our City’s stand-up partner on the so-called “boutique” hotel project at the railroad tracks. This hot mess even has a name: The Tracks at Fullerton Station. The development has morphed into a monstrous minotaur by adding approval for a massively dense apartment – an amalgamation which gives us a shocking 130 units per acre, overall.

Well, anyway, we previously shared the news that Johnny was in default on massive construction loans he somehow finagled for projects in Irvine a few years ago. The lender on those has foreclosed on those properties.

That can’t be good…

And here’s some even more recent news. It seems that Johnny has waded out into more legal problems over in LA, according to The Real Deal, a real estate news source. Here’s the thrust of the complaint by bamboozled investors on a “project” at Playa Vista:

The investors — who form an entity called RUC14 Playa LLC — sued Lu, Liu and TA Partners, alleging commingling of funds, fraud and misrepresentation, court records show. Attorneys for TA Partners, which have requested for arbitration in the case, did not respond to a request for comment.

Johnny and his partner, Larry Liu, declared their bankruptcy on the Playa Vista project. But let’s give the misunderstood boys a break. A little contrition goes a long way, right? Said Larry:

“We would like to offer our apology for the non-compliance during project execution,” Liu wrote in the letter. “Self-reflection is needed and I would like to apologize.”

Whatever any of this means to “TA Westpark LLC.,” the corporation that was awarded the Fullerton project entitlements (without any competition) remains to be seen. But now Johnny and Larry have equity – and boy have they got equity; see, Councilmembers Zahra, Charles and Whitaker handed them a bonanza – a plot of land available for hundreds of units – for a mere pittance: $1.4 million less associated costs.

Ms. Charles happened to mention at a council item about raising funds for Fullerton’s fiscal disaster, that the boutique hotel plan was moving along. But there was no mention of the fiscal disaster facing Johnny and Larry Enterprises. Does she even know? Does she understand what is happening? Does she care? Probably no on all three.

The plan here is crystal clear. At this point nobody is going to lend Lu and Liu a bent nickle. But these fine fellows will have entitlements worth tens of millions on this project; a project that never should have happened in the first place – an unsolicited proposal by a local guy who had no chance of building a birdhouse.

This project will be reassigned to a third party, someone the City “business development” expert bureaucrats will be sweet-talked into recommending. And then Johnny and Larry will quietly disappear from Fullerton with millions belonging to us.

Fullerton being Fullerton.

Bungling Boutique Boondoggle Blunders

Some folks have been asking about the fate of the idiotic “boutique” hotel project that had morphed into a hideously overbuilt hotel/apartment hippogriff that is twice the allowable density permitted per the City’s own Transportation Center Specific Plan. Of course the project was never contemplated at all in the Specific Plan, so who cares, right? Fullerton being Fullerton.

In an act of utter incompetence the City actually rushed the approval to transfer of title to the land, before the deal had received final approval. Then they gave it away the land for pennies on the dollar.

Friends may recall our last October post in which we discovered that the new “developer,” one Johnny Lu of TA Westpark LLC, was way upside down on loans he had somehow leveraged on apartment blocks in Irvine and was in default.

You may also recall that Lu started shifting the property to different corporations, the first of which, a Delaware corporation, was non-existent. And just for grins, Mr. Lu changed the property description, too, when he later deeded it back to his California Corporation.

Anyhow, it looks like Johnny has finally created and recorded the appropriately named Delaware corporation in March – only two years too late, but, hey, not bad for Fullerton, right?

There has been nothing but radio silence from City Hall as to the status of Mr. Lu and whether he has met any of the stipulated deadlines in the Development and Disposition Agreement, but as we have learned in the case of the Florentine/Marovich sidewalk heist, contractual obligations mean nothing when the “I Can’t Believe It’s a Law Firm” of Jones & Mayer is your City Attorney. Recently, cluelessly verbose Shana Charles indicated that the project was still alive and well. She didn’t mention Mr. Lu’s financial embarrassment, but then nobody else has, either.

And now for some sadly interesting news. It turns out the original Founding Father of the boutique hotel concept, Craig Hostert of West Park Development – the guy who sold the idea to Jennifer Fitzgerald, Jan Flory, Jesus Quirk Silva, Ahmad Zahra, Bruce Whitaker, et. al. – died in late May.

Hostert

Poor guy. He went to his Reward after getting pushed out of his own scheme, and sticking us with the appalling, metastasized mess the concept has predictably morphed into; showing that once again, no bad idea goes unappreciated in downtown Fullerton. Being Fullerton, of course.

Bungled Boutique Hotel May Be In Big Trouble

Friends probably remember that FFFF has been relentlessly critical of the dubious scheme approved by our City Council to underwrite a downtown boutique hotel and uber-dense apartment project on a parking lot owned by the City and used by Metrolink commuters.

Here’s a reminder: three councilmembers Bruce Whitaker, Shana Charles and Ahmad Zahra voted to sell this property to a developer for a mere $1.4 million (less site material removal) while simultaneously time jacking up the value of the land by approving density 2.5 times the limit specified in the Transportation Center Specific Plan. It was a gift of public funds at least ten million dollars.

Here’s the fun part. The original and completely unqualified baby daddy of the project, Craig Hostert, didn’t have the wherewithal to make the deal. After years of failing to perform on his Exclusive Negotiating Agreement and numerous extensions, Hostert’s West Park Investments, LLC joined its non-existent forces with TA Partners Development of Irvine, Johnny Lu, proprietor.

Mr. Lu, the new face of the project, appeared at council meetings to seal the deal with a ration of gobbledygook bullshit.

Now it appears that Mr. Lu may not have been the best choice of partner according to the Real Deal Real Estate News.

Why is Johnny smiling?

It seems that Johnny has gotten himself in over his head on two projects in Irvine, including second bridge loans that he has now defaulted on. And of course Sunayana Thomas, Fullerton’s crack “business development” director seemingly failed to inform the City Council of Mr. Lu’s impending financial embarrassment, something that should have been revealed in even a cursory perusal of TA Partners’ asset to debt ratio and its balance sheet.

And then, of course there is the problem with the completely incompetent concept of rushing the approval to transfer of title to the land, before the deal had received final approval.

By now the Council has possibly, though not necessarily been informed by the Fullerton City Manager, Eric Leavitt, of the problem, but where does the deal stand? Title to the property has been transferred from the City to and through Lu’s companies*, presumably for the original sale amount. But if TA Partners can’t perform, will the City get its now very valuable property back, or will it be encumbered by bankruptcy receivers? Will the City, in order to save face as it always has, permit Mr. Lu to assign his rights and interests to another party as a face-saving strategy? If that happens, will the original bad idea still go forward, or will the Council approve something even worse as a sop to a new developer so to avoid admitting their horrible mistake in the first place?

You can try asking Whitaker, Charles, or Zahra, the architects of this inexcusable and completely avoidable mess, but don’t hold your breath waiting for a response.

* Topic of future post

“Boutique” Hotel Lumbers Along

Enhanced with genuine brick veneer!

An item on last week’s Closed Session council meeting just caught my eye. The item identified the southeast corner of Pomona Avenue and Santa Fe, location of the previously discussed “boutique” hotel proposal. I last reported it here, when the Council voted 4-1 to let the unsolicited, single proposal issue get a time extension. As usual the lone no vote came from Bruce Whitaker. The July 6th item just says “terms and price” so that it can be hidden behind the Brown Act exemption.

Huh?

When the City Attorney emerged he declared that this harebrained idea was moving ahead on a 3-2 vote to authorize a Letter of Intent to approve a development agreement. Hmm. We know that Jesus Quirk Silva would go for it. After all, he already changed his vote once to move this along – way back in December of 2018 as a parting gift to Doug “Bud” Chaffee. And Ahmad Zahra is always a reliable vote to support some stupid government giveaway or overreach.

Dunlap-Jung
One of them?

So that leaves councilmen Nick Dunlap, Fred Jung and the aforementioned Whitaker. It is really hard to believe that Whitaker would suddenly change course 180 degrees from a previous commonsense, conservative position. Dunlap and Jung have so far shown unusual sales resistance when it comes to ridiculous bullshit so it’s hard to see either one going for this. But obviously, one of the three did. Who was it, and why? We were not told by the City Attorney and the minutes do not include such potentially embarrassing things.

And this will be a giveaway. You and I own that parcel of land that is currently providing popular parking for Transportation Center commuters. What is the land truly worth? If the Council continues on this reckless course to support a massive public subsidy to for an idea that has no basis in market demand, we may never know.

The days of the Fullerton Redevelopment Agency writing checks to fly-by-night developers, scammers, and other corporate welfare queens is over; but the so-called Successor Agency is perfectly capable of handing over real estate and getting nothing in return. And that looks likely to happen as the story of Fullerton’s unsolicited boutique hotel lurches forward.

 

 

Will There Be a District 3 Challenger For Shana Charles?

Right now it looks like Ms. Charles, the sanctimonious and self-important gasbag representing District 3 on the Fullerton City Council has no competition for re-election this November.

I suppose this is a testament to the apathy of the electorate because there should be at least one person willing to challenge the otiose uber-leftist whose constant stream of self-righteous and ignorant bullshit almost demands an opponent.

A visit to the City Clerk’s webpage listing candidate committees shows no one except Charles in the Third District.

This doesn’t mean that a non-committee candidate isn’t running, or that a potential opponent isn’t waiting to file the forms necessary to raise funds like a serious contender. But time is almost up. Candidates will be able to “pull papers” to run in just a few weeks. If they haven’t announced yet, at this late date, it seems unlikely.

Why?

Charles has taken lots positions that would undoubtedly be unpopular among responsible, taxpaying citizens outside the Fullerton Boohoo echo chamber. Let’s put aside her flip-flops on issues like the downtown noise regulations and the issue of private publications on city property. Instead, let’s focus on issues that would be pretty damaging to Charles once voters learn about them. They involve wasting money, or trying to. A lot of it.

First is her steadfast support of handing over $200,000 of public funds to support illegal aliens harassed by ICE. You can feel sympathy for people snagged by the ICE goons without wanting to use public funds to pay for their groceries.

That can’t be good…

Then there is the embarrassing matter of the so-called boutique hotel, where the Council approved massive entitlements on a property and then “sold” it for peanuts to build a massive and harebrained project on Santa Fe Avenue. The worst part was deeding over the property to a couple of inveterate con men who, after many years, haven’t turned a shovel of dirt on the site and never will. Providentially, that approval was Shana Charles’ very first vote.

Green means green. One way or another…

How about the issue of her income from the marijuana lobby – gained via her husband’s effort to get Cannabis Kitty Jaramillo elected in the 2024 D4 election. Her tribe is always blathering about the evils of money in campaigns; Jaramillo got $60,000 of Washington DC lobbyist cash working for her and $4000 went right into the Charles family wallet. Would the residents of D3 like a dispensary on State College?

I don’t want to forget the disastrous Trail to Nowhere that cost $2.5 million and has virtually no use. FFFF predicted that over and over again, although it wasn’t hard for anybody to foresee. The last half dozen times I have driven down Richman at various hours, I have yet to see a single user. Charles was stupid enough to fall for all the bullshit peddled by staff; either that or she knew it was nonsense and didn’t care. Does it make a difference?

Spinning, spinning…

If there is a tax on the November ballot Charles will have to take a stand. Spinning won’t help. She won’t get her 13% general sales tax increase, but there could be two 6.5% special sales taxes to vote for, infrastructure and “public safety.” Opposing these would send a signal that she doesn’t care about fixing the budget deficit she helped create: just a couple years ago she bragged about hiring more people.

She has to run on the state of the City and that state isn’t good. She’s been there for four years with nothing to show for it except foolish positions and non-stop, rambling lectures.

I could go on, but really why bother?

Siskia Kennedy Finds Acorn

Why write about news when you can try to make your own! (Photo by Julie Leopo/Voice of OC)

Yes, indeed. In an editorial masquerading as some sort of news, Fullerton Observer sister Sikita Kennedy explained the failure of government and the ways in which that failure is dressed up to look like victory. This article appears to be an AI generated creation since the estimable Satskia has never shown this sort of perspicuity in the past, but, whatever. After you weed out the jargon some fundamental management truths emerge.

The topic of course is something almost nobody gives a rat’s ass about: getting rid of bike lockers at the train station, the reason given that they are underused. The awkward title shouts out “Fullerton’s Bicycle Lockers Spark Controversy Among Cyclists” as if an inanimate object has such puissance. Naturally, it’s the removal of said lockers that is causing Siska herself grief; not a solitary cyclist is interviewed or quoted in her essay.

But I digress. The topic is inconsequential, but the analysis of failure is quite remarkable and completely uncharacteristic. Kennedy seems to have finally discovered the cultural behavior of government bureaucracies that we have known all along. Let’s enjoy some of the fruits of her editorial labors:

Organizations in crisis rarely announce themselves as such. More often, they produce charts, reports, and performance metrics that tell a reassuring story — one that, on closer inspection, was shaped by the same decisions it purports to evaluate. This is one of the quieter dangers of institutional mismanagement: it doesn’t just damage an organization, it can generate the evidence that justifies its own continuation.

How perfectly true, and so descriptive of almost every staff and study report ever produced in Fullerton. The classic dodge is to answer a question that nobody asked.

“…a dispute over bicycle lockers is offering a textbook example of how low performance, manufactured by neglect, gets cited as the reason to eliminate the very thing being neglected.

Yes, indeed. Sort of sounds like the death-march noise ordinance fiasco, doesn’t it, wherein City failure to enforce codes results in the push to abandon the process of code enforcement altogether.

When managers make poor decisions, they typically face two options: change course or defend the course they’re on. Defense, in institutional settings, almost always involves data. The problem is that those same managers often control what data gets collected, how it gets measured, and how it gets reported.

Good Lord, Satkia, has had her come to Jesus revelation! The truth may yet set her free! How often have we seen a circling of the wagons, the manipulation of information to reinforce the error? Mostly data collection, crooked or otherwise, isn’t even necessary. Convoluted rhetoric often does the trick. Option number one never takes place.

A leader who has misallocated resources will tend to measure success in ways that don’t reveal the misallocation. A department head who has pursued the wrong strategy will frame performance indicators around the metrics where progress is easiest to show. Over time, the organization’s entire information infrastructure bends toward confirming decisions already made.

This is something we’ve seen time and time again. Throw out the jargon and it means this: “look over there.” The misdirection is so common as to be commonplace. This is what will happen when the City’s disastrous “fire fighter” ambulance driver chickens come home to the proverbial roost.

This is the classic mismanagement data trap: measuring outputs rather than outcomes, and then using those outputs to validate the decisions that produced them.

Amen, Sister, testify!

The “data trap” of measuring outputs was nowhere better seen than on the horrendously useless Trail to Nowhere, where the efforts were all about building something expensive and then patting yourself on the back for…building something expensive. But that wasn’t about a few piddling bike lockers, no, but the waste of $2,500,000, an irony lost on the Fullerton Observer editorial staff of two. The Observer Sisters will never expend a moment’s time worrying about actual users (or complete lack of same) on the “trail.”

One of the most common tools in this playbook is selective periodization — choosing a start date for measurement that makes current numbers look favorable by comparison. Applied to civic infrastructure, this often means measuring usage after a program has already been allowed to deteriorate, rather than tracking the arc from functional to neglected. 

How funny. Siskia has had her epiphany, alright, but it sure is a selective enlightenment. Remember when staff tried to keep the ridiculous Waste on Wilshire going by citing low traffic on Wilshire after the street had been closed!

Organizations under poor leadership often commission external reviews that appear to provide independent accountability but are structured to confirm decisions already made. The questions given to reviewers shape the findings, and the questions come from the people who need favorable findings. The result carries the authority of objectivity while functioning as a mirror.

Let’s consider the very recent Grant Thornton report whose results were meant to cauterize a huge embarrassment without naming a single culprit or a single systemic failure. No outcries from the Observers, of course.

Cities do this too — with traffic studies, usage audits, and infrastructure assessments that are framed around the conclusion leadership has already reached. Whether that’s what’s happening with Fullerton’s active transportation data is a question advocates would do well to press publicly.

They sure do, Sitka. Who are you supposed to believe, your commonsense or the experts we have hired to back us up? Ahem, remember the “experts” hired to produce pro tax findings, pro development findings, pro this or pro that findings? In fact data supporting everything that the City Manager who hired them wants. The latest examples is that “traffic study” for the overbuilt Harbor/Hermosa project that will never in a million years stop the project as designed, from being built.

The antidote to data shaped by mismanagement is not more data — it’s differently sourced data, with different incentive structures attached to it. Independent audits are conducted by parties with no relationship to the decisions being evaluated. Performance metrics set before interventions begin, not after. Usage data is examined in the context of program accessibility, not in isolation.

Great Caesar’s Ghost! What a splendid statement of objective accountability and something that should be happening, at least occasionally, and not on some silly bike lockers, but on real issues where millions are spent, from hiring ambulance drivers to deciding if anybody is now going to use a new but previously failed park; on weather there is a chance in hell that anybody would patronize a “boutique” hotel at the Transportation Center.

There is a vast irony in the Observer’s new-found demand for objective standards to promote accountability – exactly the thing government employees dread. See, it’s the squalid world of professional management, and such accountability is not to be applied to government bureaucrats who are made of a finer material. They are working for us, see, and have a noble calling not to be subjected to accountability.

And it’s deliciously ironic that the new Observer spirit has been discovered due to some footling bike lockers, and not the decades long history of Fullerton disasters that nobody but FFFF has chronicled.

Might Sciatica Kennedy’s observations and suggestions be applied to future Fullerton mishaps? Bet not. But let’s enjoy them while we can.