GardenWalk Developer Bill O’Connell, performing “Money for Nothing.” In a wonderful semi-coincidence, having to do with statutes of limitations, this graphic originally appeared here one year ago today — and now we need it again!
News today on the legal front:
OCCORD sues Anaheim and four City Council members alleging violations of campaign finance and conflict of interest law in the $158 million Gardenwalk hotel subsidy deal
Anaheim, CA – On Friday, May 9, Orange County Communities Organized for Responsible Development (OCCORD) filed a lawsuit in Orange County Superior Court alleging that the City of Anaheim and four Anaheim City Council members violated campaign finance and conflict of interest laws in the vote taken May 14, 2013 to grant two Economic Assistance Agreements comprising a tax subsidy of $158 million to Gardenwalk Hotel I, LLC. A copy of the legal complaint is attached to this email.
A previous version of these Economic Assistance Agreements was voided following a 2012 lawsuit, Orange County Communities Organized for Responsible Development et. al. v. City of Anaheim et. al., that found that the City had violated California’s open government law, the Brown Act, in the process of their approval.
The lawsuit details the following allegations:
· Conflict of Interest Violations by Council Members. The lawsuit alleges that Anaheim City Council members Kristine Murray, Jordan Brandman, Lucille Kring, and Gail Eastman knowingly accepted a total of at least $31,400 from persons or entities affiliated with Gardenwalk Hotel I, LLC, in violation of the aggregation rules and contribution limits of Anaheim’s Campaign Reform Law, and that these contributions were accepted in exchange for their votes in favor of the Economic Assistance Agreements and $158 million tax subsidy.
· Conflict of Interest Violations by Attorneys Representing the City. The lawsuit also alleges that the Economic Assistance Agreements are rendered void due to a conflict of interest arising from activities of the law firm Rutan & Tucker, LLP. Rutan & Tucker, LLP was retained to represent the City of Anaheim and Gardenwalk Hotel I, LLC as defendants in the 2012 lawsuit. It is alleged that this firm was involved in negotiating at least one of the material terms of the Economic Assistance Agreements and receiving compensation from Gardenwalk Hotel I, LLC, at the same time that the firm was representing the City in connection with the 2012 lawsuit.
Earlier this year, the Orange County District Attorney found that former Anaheim Councilmember Harry Sidhu received illegal excess campaign contributions to his supervisorial campaign from persons or entities affiliated with Gardenwalk Hotel I, LLC. In a negotiated settlement, Sidhu agreed to pay $1,700 – an amount equal to the illegal contribution – to the county general fund.
Orange County Communities Organized for Responsible Development (OCCORD) is a nonprofit organization committed to economic development that benefits everyone who lives and works in Orange County’s diverse communities.
- HERE is the lawsuit for your perusal!
- Voice of OC put up a good article going beyond this press release at 1:15 in the bloody morning; it’s worth reading.
Happy Tuesday everyone!
Excellent work. More to come.
It might also be noted that
1) Rutan & Tucker is spearheading the initiative campaign to overturn the Dissolution of Redevelopment Agencies in California, with the so-called Jobs, Education, and Development Initiative, which would not only restore Redevelopment Agencies, but EXPAND their powers, through looser restrictions on Eminent Domain property seizures.
and 2) Anaheim is among the cities contributing financial support to the effort, with a reported $25,000, made without public notice or approval, under the City Managers spending authority. (Also $21,000 from Cerritos, and $50,000 from Garden Grove, and Santa Ana Mayor Miguel Pulido is chairing the effort, an ironic hypocracy, considering his entry into politics was allegedly triggered by City efforts against his OWN business!)
For more information, see http://www.calpropertyrights.com/
We may need you to write up this story, BBx!
I’m generally fine with eminent domain for legitimate purposes — but I am opposed to it when it’s tied to self-serving government corruption. Sadly, that’s where it seems to be headed in our county. Luckily, we’ll be able to reveal to the rest of the state that they should not follow the likes of Pulido, Pringle, and their lobbyists and lawyers.
As an afterthought, with current Electoral Primary and upcoming Election activity, in the forefront, Opposition or Support for the “JEDI” would be my suggestion for the list of important questions to all candidates-
thank you for the intel Big Box of Red wine.
and Keep up the good work Greg and Vern.
We’re gonna want some intel from YOU one of these days… cousin of you-know-who!