FFFF supports causes that promote intelligent, responsible and accountable government in Fullerton and Orange County
Category: Redevelopment
Redevelopment is Government removing existing homes, businesses, and other buildings and replacing them with something different. The history of redevelopment in Fullerton has lead to a long string of ugly, deteriorating buildings and outright failure.
Dear Friends, I just returned for my first full legislative term here in Sacramento, having gained valuable experience serving for the past 10 months since the special election. One announced reform I can embrace is the new governor’s goal of abolishing redevelopment agencies and restoring their funds to counties and schools. As a longtime critic of these agencies, I’ve been called by numerous media outlets and colleagues on issues related to this little understood level of government.
Redevelopment agencies capture 12% of all property taxes statewide-that’s $6 billion annually diverted from school districts, counties and municipal police and fire protection. The funds are largely spent subsidizing private development projects whose promoters acquire land under threat of eminent domain, while 20% pays for low income housing projects.
The government should not be in the business of subsidizing private developers, nor of building housing projects. That’s the job of the private sector. This money needs to be restored to pay for infrastructure and services. Public money should build classrooms, not Costcos.
The agencies cannot be closed, however, until their nearly $100 billion indebtedness is paid off, but a phase-out over time could start, and long-evaded sunset clauses enforced.
While the legislature requires me to be in Sacramento on a weekly basis through June, I’ll keep regular district office hours every Friday. Visit or call 714-672-4734. I’m there for you.
Some day we will all have a cup of coffee and laugh about it...
Last year we posted a magisterial, five-part history about one of Fullerton’s greatest Redevelopment boondoggles, the so-called “City Lights” single-room occupancy project. Our series started here.
Fort Mithaiwala
As we related, here, in October 2010, questions were being raised about the financial dealings and records of the developer, Ajit Mithaiwala, and the federal government was investigating.
Once again, according to a recent article in LA Times, here, Mithaiwala and his company ADI, are accused of sticking it to the City of Glendale, but good. More evidence is presented suggesting that ADI defrauded the Glendale housing agency out of millions, possibly building substandard po’ folks housing while receiving millions in public subsidy. To top it off, ADI was greasing the axles of local government real well, too, as demonstrated by contributions and favors to city councilmembers in Glendale.
According to the articles ADI has been involved in 40-50 projects across the Southland, so the enormity of the problem is, well, potentially enormous, if in fact, the Glendale experience proves typical.
Which brings us back to Fullerton. When the SRO was built in the late 90s, peculiar construction techniques and prolonged inspection difficulties had some scratching their heads. And now with stories of possible substandard work in Glendale circulating, we are well within the bounds of reason asking our city officials if, in fact, the building is really safe for occupancy.
Where is Mithaiwala? These articles do not say. Maybe the FBI is looking.
And just for fun backwards salute, here’s a timely quote from our current mayor, Ol’ Doc Heehaw who, when the SRO was being proposed in 1997, shot off his big yapper, got threatened with a personal lawsuit by Mithaiwala’s henchmen, and then cowardly changed his vote:
“The city would be at great, I underline great, financial risk if it did not proceed with this project,” Jones said before casting his vote for the settlement. The threatened lawsuit was “a loaded gun against the head,” Jones said.
You remember a fellow named Jon Fleischman, don’t you? Well, of course you do. He starred in the now historic 2007 holiday visit video to Dick Ackerman at the latter’s house inside a “secret, gated community” in Irvine.
I still owe Fleischberg for that. Heh heh.
An alert Friend just forwarded a post that was published on the completely hackish blog-for-sale, The Flash Report, of which Fleischman is proprietor. It’s a rousing condemnation of the practice of bogus non-profit, public benefit corporations staging legislative love-ins at plush resorts on Hawaiian islands. The things are bought and paid for by lobbyists who get to corner state legislators at fraudulent “conferences” that are nothing more than schmooze fests, golf and cocktails on the veranda. The Sac Bee gives more info on the latest scams, here. At the end you’ll read about “The Pacific Policy Research Foundation” that just perpetrated its annual scam on Kauai.
Sound familiar? It should.
Oh, no. Not me again.
We reported about the scam over a year ago, here. And the biggest offender of course was the hideous Linda Ackerwoman, bogus 72 AD candidate, who participated in the sham front known as the Pacific Policy Research Foundation that got her and husband, Dick Ackerman, annual junkets to Hawaii. And of course Ackerwoman was an officer of the bogus “charity.”
And to close the circle we have to recall that Fleischman was a big Ackerwoman cheerleader. Ackerwoman. No record, no accomplishment, no residence, no sale. What a difference a year makes.
Three days in the monkey cage left lingering damage...
Yesterday, OC Register homunculus and repuglican lackey-chronicler Frank Mickadeit wrote up a story about possible contenders to a Todd Spitzer 3rd District Supervisorial run in 2012 – as a prelude to a Spitzer DA run in 2014.
The big names – outgoing assemblyman Chuck DeVore and Dick Ackerman deserve special attention, and we’ll get back to that in a bit.
But first let’s relish Mickadeit’s effort to stir up anti-Spitzer sentiment for the benefit of our Do Nothing DA who is actually endorsing serial law breaker Roland Chi in Fullerton’s city council race. As is well known, Mickadeit dances to the tunes fifed out by GOP bigwig Michael Schroeder and his wife, DAs spokeshole Susan Kang. In return for providing this entertainment Frank gets to smoke cigars and sip brandy with the Schroeders.
It seems not unlikely that besides the congenital name-dropping instinct, Frank is throwing out these big names as a counter to Spitzer’s own vaulting ambition, as in: not so fast Todd, boy.
Will nail down the Eagle Scout vote.
DeVore wouldn’t be a bad supervisor and might actually bring some refreshing relief to a County operation dedicated to doling out medical and social services compliments of the federal government. But he needs a job. Now.
Dick Ackerman? Well he does live in a “top secret, gated community” in the 3rd District which s a far cry from his claim to have moved to Fullerton last year so his old lady could run for the State Assembly. Apart from that he’s got some explaining to do. Such as the Pacific Policy Research Foundation scam we reported about here, years of RINO accommodating votes, his dubious behavior vis-a-vis the OC Fair sale. He’s also 70 and we sure have seen enough geriatric retirees at the County over the years.
My top-secret gated estate is in the right district. Now if only that white van would quit following me around.
Worst of all, is Ackerman’s perpetual backing of the worst kind of liberal, staff-stooge candidates here in Fullerton.Pro-Redevelopment, big government chuckleheads like Don Bankhead, Doc HeeHaw Jones, Pat McKinley, Aaron Gregg, and a long list of similar tools, simply selected to keep the scary Dems out – Democrats whose political philosophy is practically indistinguishable from Ackerman’s RINO herd.
The fun part of this is that either one of these worthies running would put a serious crimp in Der Pringle’s master plan of putting Orange’s dreary RINO Carolyn Cavecche into that seat.
I just changed the title to this piece. Checking out this band of government for sale repuglicans made me do it. Yes, it is an organized mob. Well, disorganized, at least. But look what they’ve got to work with.
– Joe Sipowicz
The other day The OC Register ran this image in a story about the Shawn Nelson/Hairbag Sidhu race. The story was erroneously titled “Nice Guy Finishes Second” or some such BS which as we know is not true. “Perjuring Carpetbagging Assclown Finishes Second” was the original title until the editor felt sorry for Hirsute Sidhu.
Anyhow, the picture above was absolutely priceless. Enjoy the facial expressions of Hairball’s election backers as the bad news flashes across the screen. John Lewis already seems to be scheming on how to shit-dump Sidhu; and Pringle, well Pringle’s thinking about all the personal credit he tied up into this bozo and how he can possibly ever recoup even a small part of that investment. The fellow behind the computer looks like he just had the Shrimp Special at Roland Chi’s place. The two guys on the left obviously wandered into the picture by accident from a Saturday Night Live skit.
But check out the grinning Assclown chowderhead Sidhu – oblivious to the electoral disaster! Good news is only just around the corner! I am #2!
We just received the following notice from Friends for a Livable Fullerton:
The Fullerton Transportation Center “Specific Plan” is an approximately 40 acre project at the southeast corner of Harbor and Commonwealth. Built over the next few decades, it will take up over 6 full city blocks at one of our prime city intersections and will have a huge effect on our historic downtown and on alternative transportation for years to come. Maximum buildout would be about 2 dozen (!) 3- to 9-story buildings:
1,560 multi-family residential units
100,000 square feet of retail
100,000 sf office space
120-room, 120,000 sf hotel
Note the density and scale compared to the surrounding area:
While the plan doesn’t yet have specific building designs, the approval of this Plan and its 2,290 EIR will allow it to proceed.
City Admits Many Unavoidable Impacts
An unusual aspect of this plan is the large number of City–admitted significant environmental impacts the City Council will be called upon to “override” due to the project benefits outweighing the impacts:
Last December we posted about a character named Ajit Mithaiwala who had built a heavily subsidized low income housing fustercluck project in Fullerton in the 1990s that epitomized the futility and incompetence of Fullerton Redevelopment Agency.
Remember? His name popped up on a host committee list for a fund raiser thrown by high speed rail impresario and con man Curt Pringle, in honor of his boy, Hide and Seek Harry Sidhu. Since the name appeared to be mispelled we had fun with the notion that it might be somebody else.
Oh, no, no, no! That is another guy, I tell you. There are hundreds of them. Thousands of them.
In the post we wondered aloud what had become of Mithaiwala, and what he had been up to the past ten years.
It turns out we weren’t alone. Federal government auditors, prosecutors, and the FBI have been wondering too, according to an L.A. Times article forwarded to us by an alert Friend.
All sorts of misbehavin’ have been attributed to this guy and his development company that found a niche building subsidized, low-income housing projects, including fraud, failure to report income, and building shoddy, unsafe buildings. His politcal contributions have been scrutinized, too.
Here are a few choice morsels in the article from the Federal investigator:
“virtually no financial records,” no general ledger, no balance sheet and no bank reconciliations. Working with forensic accountants, he said he had discovered “potential fraud and criminal activity.”
On Tuesday, he told the court he was still trying to gain control of company assets and had identified 400 bank accounts, as well as $600,000 in gold bullion and three cars, including a Bentley.
It transpires that besides Fullerton, Mithaiwala has left a trail of tears behind him in cities across Southern California, including our neighbor to the south, Anaheim, where the Mayor Pro Tem is none other than Hide and Seek Harry Sidhu.
I know nothing. Nothing!
Yikes. You don’t mess with the Treasury Department, boys. Even Al Capone could tell you that.
This just came in from council candidate Barry Levinson:
Barry Levinson
Last Tuesday night was the vote on the issuance of housing bonds by the RDA in the amount not to exceed $29 million. The Mayor spoke and indicated that there will be no public comments on this issue.
The city attorney right before the vote was to begin, rightly reminded Mayor Bankhead that since the people cannot vote on whether or not to approve the bond issue, we should at least be allowed to voice our non-binding opinions.
Here are some of my comments I presented to the council:
Mayor and council shame on all of you for almost forfeiting our right as Fullertonians to speak out on this housing bond issuance.
We need better oversight over the RDA projects. The city council and the rest of the RDA should not be the ones policing themselves.
The RDA is the only taxing authority that requires no voter approval. We as taxpayers, S/B given more information and more time to review these bond measures before it comes to a vote by council.
Since there will be 2 possibly 3 new council members as of November 2, I suggested that this item be postponed to after the next election.
The council’s answers largely were defensive. No one touched on the third rail issue of no voter participation! Mayor Bankhead remained conspicuously quiet throughout the council’s responses to our objections.
And there you go; another council meeting where our rights as citizens were eroded and $29 million was obligated by the city council without a single vote cast by the people!
Acting as the Redevelopment Agency, the City Council will be voting on a $29,000,000 bond tonight. City staff estimate the total cost to taxpayers for the bond at about $45,500,000 over the next 16 years. $45.5-million! The RDA is the only agency that can issue bonds without voter approval. It is completely unethical for our elected council members to break out the taxpayers’ credit card while our library’s hours are reduced, workers are furloughed, and employees salaries are cut. Shame on the Redevelopment Agency staff and shame on any council member who votes for this bond!
Why should we be upset about the RDA spending $29,000,000? Because, as the OC Register reported in July, the Fullerton Redevelopment Agency spent $22,700,000 to evict 600 low-income residents, bulldoze their homes to make room for a few low-income condos. This is on top of another half-baked idea to move a McDonald’s 150 feet at a cost of $6,000,000 to taxpayers. $6-million to move a burger stand 150 feet! Fortunately, the RDA gave into public pressure and the project was shot down.
Some council candidates like to point at Downtown Fullerton as a shining example of the great work Redevelopment does. Indeed it is. Had we not “revitalized” our downtown, we would have fewer calls for police and fire to respond to drunk and disorderly conduct.
Please take a minute to think about the untold damage done by our own City Hall under the direction of our City Council, often acting as the Redevelopment Agency.
The folks who write stuff for the Fullerton Observer are either really dumb, or really….
Aw, Hell I can stop right there.
Here’s a bit from page 5 of the recent edition of the bird cage liner noting the reconstruction of the McDonald’s outlet on Chapman and noting that the Council’s failure to blow six million bucks to move it a couple hundred feet has caused the Fox Block project to go belly up and implies that somehow this put the renovation of the Fox Theater in jeopardy.
Wrong! The council finally acted responsibly last summer when they pulled the plug on an emergent disaster of their own creation. And wrong about the “renovation” bullshit, too. Notice how the Observer casually insinuates the idea of “renovation” into the “Fox Block.” Apart from the theater there is nothing to renovate, of course. But the two things were never tied together – except to manipulate the under intelligent.
The whole monstrosity was tied to the Fox Theater restoration to tap into the emotional support for that and gin up support for another downtown monstrosity of corporate welfare. Of course the crew of the S.S. Observer is devoted to the idea that keeping Redevelopment bureaucrats and parasites employed is job one, and common sense be damned.
What? I can't hear you.
Added to the unintentional high-larity is the writer’s assertion that the developer “spent hours” designing a new Mickey D’s that matched the FHS architecture. Well, he may very well have spent a few hours. The product looked like it.
Instead of bewailing the loss of a sure-fire failure, the Observer should be asking what sort of accountability is going to be demanded of the idiots who cooked up the Fox Block mess in the first place – bureaucrats and electeds, alike.
