To the Members of the California State Assembly:
I am returning Assembly Bill 2531 without my signature.
Redevelopment funds are to be used solely for the purpose of eliminating blight in urban neighborhoods in California cities. This bill would authorize the use of redevelopment funds for projects that are not necessarily blighted as well as for projects outside the redevelopment area, and as such would violate the primary purpose of redevelopment law.
For these reasons I cannot sign this bill.
Sincerely,
Arnold Schwarzenegger
That’s the short and sweet veto message the governor sent out late Thursday just before the midnight deadline for action on AB 2531 -- the legislation City Hall sought to completely corrupt the whole purpose of the LA Community Redevelopment Agency.
It’s hard to think of a City Hall scheme as rotten as this one.
It would have allowed the CRA — an agency created to help the poor and restore blighted neighborhoods — to take taxpayer money and spend it anywhere in the city for just about any purpose.
It was a license to steal, to enrich political insiders, to trash the city with high-rise projects that served no one except the profiteers who feed off City Hall and fund its corruption.
The Council slipped through its approval of this back in January as part of a long list of legislative proposals. It was one of the pillars of First Deputy Mayor Austin Beutner’s plans to create jobs no matter what they cost the public, no matter how much harm is done to the quality of life of the residents..
There was no public discussion or notice until a source pointed it out to me a week ago in an item called “Beutner’s Folly.”
Since then there has been an uproar among informed people across the city with flurries of emails and a terrific article by Ziggy Kruse on City Watch LA dissecting AB 2531 and how it represents an abuse of eminent domain law by allowing the CRA to confiscate private property and give it to private interests for financial gain.
Valley Assemblyman Felipe Fuentes pushed this bill only affecting LA through the legislature mainly along party line votes. It would have allowed the CRA to use public money — local taxes and grants from the state and federal government — for almost any purpose: Job training, small business
incubators, funding non-profits, construction loans and for funding
capital and equipment purchases without the restriction of even being in a CRA project area.
Dozens of people got involved and interconnected through emails and blog posts to dig out the facts about how City Hall tried to slip this destructive passed the public without any open discussion.
Reporter Katherine Russ of the North Valley Reporter dug into the legislative history and found the original Council File 10-0002. She and others in a long series of emails examined the record and shared their findings, which were then sent and re-sent widely like chain letters to a wide network of activists.
The record shows that on Jan. 13 Chief Legislative Analyst Gerry Miller began transmitting a series of proposals for state and federal legislation from various city departments to the Council.
They ranged from rabies vaccination reporting to a tax on satellite TV service and all 15 were rubber-stamped as a group on Jan. 19 by the Information Technology and Government Affairs Committee. You can blame Tony Cardenas and Dennis Zine. Jan Perry didn’t bother to even show up.
The very next day, the Council approved the recommendation unanimously with Eric Garcetti, Jose Huizar, Paul Krekorian and Greig Smith absent. The mayor agreed on Jan. 29.
That’s when the obedient Fuentes went to work in the legislature using the report on the CRA scheme from CLA Miller as the model for a bill that would only apply to LA — something Perry and other Council members criticized as wrong when denouncing City Attorney Carmen Trutanich’s efforts to get LA-only legislation to give him the power to issue subpoenas and impanel a grand jury.
Dozens of activists dug into the city and legislative documents online and shared their understanding in emails that were re-sent to many others on various individuals email lists.
James O’Sullivan, for instance, focused on how the city was seeking to change the meaning of the word “blight” — the key reason redevelopment law was written in the first place as the governor’s veto message notes.
“One of the really onerous parts of this bill is amending the definition of BLIGHT,” he wrote.
“It now will include (only in Los Angeles) area’s that lack Parks an open space. I shudder to think what area’s this will now bring under the CRA banner. The City has allowed developers to twist and bend what they can call open space but one only has to look to Laura Chick’s audit of Quimby fees to see why we don’t have more parks and open space.”
Blight is defined in dictionaries as meaning “urban decay … whereby a
previously functioning city, or part of a city, falls into disrepair and
decrepitude” and “something that impairs growth, withers hopes and
ambitions, or impedes progress and prosperity.”
Here’s how the city wanted blight redefined: “Public housing projects in the City of Los Angeles that are more than 50 years old, Areas unhealthy for persons to live or work by .(1) high incidences of obesity, diabetes,. and other diseases which-are affected by poor access to fresh food; (2) or high incidences of asthma, lung cancer and other respiratory diseases which are affected by air pollution or the presence of contaminated properties; and Areas that suffer from a lack of parks and open space.”
In other words, the city is admitting the air and soil are so contaminated, fresh food and parkland so lacking in so many areas, LA is like smoking hazardous to your health. So the answer they wanted was the right to densify the entire city and make it even more unlivable.
The governor was inundated with letters, emails and phone messages from the public pleading for him to veto AB 2531. But few Arnold would listen to their the pleas and the publicity over AB 2531 because of his close connections to many of the interests behind it.
To the pleasure of many — except Beutner and the developers — the governor decided to veto AB 2531, saying “the use of redevelopment funds for projects that are not necessarily
blighted as well as for projects outside the redevelopment area …would violate the primary purpose of redevelopment law.”



Once in a while, miracles do happen and the “little guy” wins.
If Felipe Fuentes can push this delight through the legislature, how about if used his powers, along with former Speakers Villaraigosa and Wesson, to get DWP an exemption for the cap & trade payments that are expected to be up to $700 million a year. These payments will result in a 25% increase in DWP’s electric rates.
If Fuentes authored this, you know Padilla-Alarcon are partially behind it.
Nice try, scumbags.
It ranks right up there with the phoney phone tax and everything having anything to do with the CRA, DWP, contracts for dance lessons and public performances and the anti-gang program.
Scummy deals created by scummier politicians. We’re drowning in pond scum!
We also need to get the back story on this and get the word out to all voters both locally (LA) and to Valley Assemblyman Felipe Fuentes.
I would like to see the constituents of his district protest at Fuentes’ office just like the Citizens of Bell.
To those politicians who complain about Prop 13, the real culprit is Redevelopment law in California. It siphons property taxes away from City and County services. In fact the debt from all Redevelopment Agencies State-wide represent a significant portion of the State budget deficit.
I.E., we should abolish Redevelopment Law in California. But that is a long-term task – Think globally, but act locally first.
Ron.
Thanks to the efforts of you, City Watch and your readers, this effort was defeated. Hallelujah. Your story is right on point. This would have opened the door to greater abuse and corruption at City Hall. Things are bad enough at CRA already, this would have just given the Mayor and his cronies a key to the vault; their own personal slush fund. The current CRA management (Essel & Hollis) are puppets if the Mayor with absolutely no idea of what being accountable to the public really means. Even under the current laws and restrictions, CRA frequently abuses and mis-spends redevelopment funds. I’m certain that the general public would shocked if they knew the extent of the waste at CRA and monies spent on pet projects of the Mayor and City Council members. I have seen CRA management and City Attorneys working at CRA go head to head over disagreements about the appropriate spending of redevelopment funds. The current CRA management does nit like the City Attorneys playing watchdog over them. And for this reason, CRA management, the Board of Commissioners and Mayors office has been lobbying to get the City Attorneys removed so they can hire outside law firms. CRA wants their own hired guns who will legitimize and defend their corrupt and deceitful practices. It’s unfortunate for the public, but it seems that the current CRA management is making progress to rid itself of the City Attorneys. I REALLY HOPE THAT CARMEN TRUTANICH AND WINDY GRUEL FIGHT THIS.
Hurray for Angelenos! Homeowners, residents, and any one else who wants to protect the City from rapacious developers won big time with the veto of AB 2531.
The real “losers” are Garcetti and the Westside Subway. Garcetti has some type of edifice complex with a bizarre desire to erect tall buildings under CRA aegis throughout Hollywood. With 122,000 ppl per sq mi. in Central Hollywood, that is not dense enough for him.
The Westside subway proposed to cram huge high rises around the subway stations; 3,716 units within 1/4 mile radius of Wilshire-Fairfax station. As some else pointed out, if those housing units were R-1 homes sitting next to each other in a straight line, 3,719 condos-apartments would stretch 42 linear miles.
AB 2531 was the crucial legislation to open up every parcel of land in the City to the CRA’s Kelo eminent domain.
The CRA’s legalized theft of incremental property taxes has already made the City BK — if LA wanted to operate like a City that provides services to its people. AB 2531 would have crashed the City — similar to how repeal of Glass-Steagall was the legislation that paved the way for the mortgage meltdown.
Now we should thank the Governor for going against the Pete Wilsonites in control of the California GOP.
Excellent summary of articles on this issue is here:
http://www.thefoothillsforum.com/forum/viewtopic.php?f=1&t=7160
I really admire the community in the Foothills Forum discussion that you posted. They really are focused on critical issues and study the details.
We all can strive to be like those in the Foothills.
To David G. –
You mentioned in a previous blog that you have 30 years with a LA Department. I’ve been with LAWA a little over 20. I’m currently with the IMTG Division. Today’s my RDO.
Welcome Aboard !
Ron,
Are you supporting a “Yes on 25″ position? I see the advertisement on this blog. I assume you are for it since you are running the ad on your blog. Or is it o.k. to promote anything as long as your getting paid? People will see the ad and assume you support it. Or why would you promote something you are against. How much can I pay you, Ron, to take down the ad?
Thank you Governor.
This is a good example that Sacramento politicians should be PART-TIME legislators along with Lost Angeles Council.
Legislative Update – Governor Arnold Schwarzenegger has signed 91 bills and vetoed 43 bills:http://gov.ca.gov/index.php?/print-version/press-release/16095/
This is a good example that Sacramento politicians should be PART-TIME legislators along with Lost Angeles Council.
Update – Governor Arnold Schwarzenegger has signed 91 bills and vetoed 43 bills:
http://gov.ca.gov/index.php?/print-version/press-release/16095/
Greuel/Red light cameras Audit/Chair of Transportation Committee approved contract=HYPOCRITE/INCOMPETENT
Fuentes is hyperfocused on Los Angeles.
So, hm – where do you suppose this career politician will go once he’s termed out of the Assembly?
He needs to be spanked big time for this crap.
If it wasn’r for Ron who posted on here many of us would not have known about it or blasted our emails out for everyone to call Arnold’s office. A happy win for the little people. This shows it can be done when people get engaged and pissed off enough. Don’t trust that damn Felipe, Padilla, Alarcon, Cardenas. They are the thugs of the Valley who have so much corruption covered up residents know but no one is reporting. Nepotism at its worst and Padilla rumor has it thinks he can be Mayor. He needs to come out of the closet first.
How much do the Google ads bring in? Enough to sell out your blog? I don’t want to look at that stuff. Do you really need the Google ads? And you can control what filters through by controlling the keywords.
YES ON 25! I saw it on Ron Kaye’s blog.
Well done Ron. Corruption is not a partisan issue. And you go after it like a hound.
RE CRA CITY ATTORNEYS. The current CRA mgmt may be trying to remove the City attorneys because Carment Trutanich has given the attorneys new directions since his election. In the past, the City Attorneys were of little hendrence because their superiors at City Hall expected them to approve actions needed by the CRA/Mayor/City Council persons to their satisfaction and benefit regardless of legality. The younger/new Ctiy Attorneys were sent to the CRA.
One good senior City Attorney was transferred because he dared to be ethical.
There is no extent that the Mayor/Council will go to in using the CRA. Just like two ex-CRA CEO’s – Richard Benbor retired with over $200,000 PERS retirement and was immediately appointed as head of Community Development Dept.
–Bud Overum also with over $200,000 PERS retirement was first the Mayor Deputy overseeing CRA economic development and other cra activities, then appointed head of Building and Safety. This was all very purposeful to have them in key departments to facilitate Mayor/Council directives.
Glad the bill was vetoed. But they will just try another angle.
Forget Wendy Gruel. She is under the thumb of the Mayor and Developers. Is only putting out quick audits to get publicity for her Mayoral run. She also needs the CRA and their powers of eminent domain, etc, and money flow.
CRA needs a completely independent taxpayer advocate or watchdog just like DWP hopefully. Must be out of reach of any political pressures.
For example: City Council imposed thier oversight years ago at CRA because of mismanagement by having City Attorney and City Controller staff located at CRA to review and approve all transactions both legal and accounting. Has not been effective in stopping corruption.
The Governer took millions from redevelopment agencies this year. This should continue and divert taxpayer funds to better purposes and thereby reduce CRA’s power (bank) and activities.
RESPONSE TO 7:38 COMMENT BY ANONYMOUS, RE CRA CITY ATTORNEYS. Don’t be surprised to see more attorneys leave. Hollis and Valenzuela (with Essel’s support) have been working to get the Mayor’s support to have them all removed. Afterall, it seems to be standard operating procedure at CRA to get rid of obstacles (which is anyone who does not agree with them or tries to advise them on the proper way to do things). I have no doubts that CRA needs a thorough housecleaning at the top.
For this act alone, I’d vote for the governor for re-election – except he is not running.
BZ for Arnie.
Well done, Ron et al.
- Brad Smith
CRA is cleaning house – but not necessarily at the top with its ultra generous golden handshake effective 10/l7 to 12/17/10. Some examples–
Two years addtional years of service.
Fully paid health coverage for those with 15 or more years of service.
3 years additional years of service can be bought by retire from PERS, and is FULLY reimbursable by CRA.
Cash bonus for those with 15 plus years of service: $20,0000 to $40,000.
The PERS retirement is based upon 2% @ 55 yrs, last year pay. CRA staff do not pay anything into the PERS retirements system when employeed. CRA pays both employer and employee costs. Salaries are higher in general than DWP.
About 50 staff will probably retire. About 40% with 30+ yrs, 25% with 25+ years, and 25% with with 20+ years. This staff is the last of the old times who know what redevelopment policies and practices should be. Some positions will be backfilled because they are considered to be “essential” by management with CEO select staff. This early retirement package is an over-reaction by CEO to an anticipated budget short fall in order to align staff to Essel’s desires and manipulation.
THIS IS OUR TAXPAYER MONEY AT WORK!
city hall is gering redy fot the next scam
i can say having 110% sure
the all are crooks and liars
dont ever trust a politician democrat in city hall so call repobicans
they all work for unions ,developers and there special interest , is not for rate payers and tax payers as far i can say city hall is broken having all crokks and liars they all can go to hell sad times in los angeles for all of us my god help los angeles city
How much is CRA’s early retirement package going to cost the tax payers? Heads should roll for wasting tax dollars. What can be done to stop this? What is CRA doing to address the problems is L.A. like the homeless issues, housing and creating jobs. I’m certain that the money being wasted on these retirements could be spent on real issues facing the citizens of Los Angeles.
Ron: Your readers need to mount a campaign to stop this wasteful spending.
I agree with an earlier comment that CRA needs an independent taxpayer advocate to act as a watchdog and hopefully stop something like this (AB 2531) from happening again.
Regarding the independent taxpayer advocate, I think the word “independent” is, sadly, mercurial. If elected, the person would cater to his/her contributors. If appointed, he/she would cater to the person(s) who appointed.
For ratepayer and taxpayer advocates, we might need a clear definition of what constitutes the word “independent.”
CRA needs to be audited and fast. Instead of playing red light, green light like Engineer Bill, Greuel should immediately start an audit. I think there could be a huge uproar like the one in Bell if the taxpayers of this city found out where CRA is putting their millions. They are in the grocery business, real estate, etc.
Ron-
I think Essel’s retirement package is a Bell-like scandal. Just further enriching CRA workers who are going to retire with lucrative pensions while those who struggle in the private sector are left with crumbs. Let’s turn our attention to this Rizzo-like scheme.
Meanwhile, the CRA and Mayor’s office has submitted a grant application to HUD asking for $5 million to write and establish a redevelopment plan for the Northeast communities of Atwater Village, Elysian Valley, Glassell Park, and Cypress Park. Some of the money will be used to fund the re-write of the Northeast Community Plan. We need to gear up the northeast residents to come out with fists flying to beat up Garcetti and Reyes for pushing this new theft of general fund taxes to fund real estate developer crooks like Garcetti has done in Hollywood.
The real goal of this plan is to use the eminent domain power to seize thriving commercial properties near the Los Angeles River and build a densified City in the wetlands and potential park areas of the LA River.
LA “Llorona” RIVER RATS are at it again…
Observations:
1. While reading through each of Ron’s topics, he seems to get the greatest number of hits when he writes articles about CRA.
2. With each post on CRA, the comments tend to go off-topic and discuss broader problems with CRA.
From an outsider’s perspective, there seems to be a great deal of problems within CRA, how it’s being managed and a tremendous amount of political interference and influence. I’m astounded by overwhelming appearance of corruption that exists.
Ron-Based on the volume of interest in CRA, maybe you should devote a blog that specifically targets corruption at CRA.
The two most corrupt agencies in the city are CRA and the Planning Department; one giving money and the other illegal entitlements to developers, both at great cost to the community. Both are under direct orders of the most corrupt Mayor and City Council this city has had. Get rid of this corrupt mafia that has overrun the city.
AB 2531 also provided Direct Assistance for Business and Job Development Programs- the CRA may provide direct assistance to businesses withi project areas in connection with the new or existing facilities, replacement of machinery and equipment (capitalization)
Landlords Apathy to Improve Properties. http://t.co/gWjwLFu
SUPPLEMENTAL REPORT ON AMENDMENTS TO THE RENT STABILIZATION ORDINANCE
(RSO) PURSUANT TO THE RECOMMENDATIONS OF THE ECONOMIC STUDY OF THE RSO
AND THE LOCAL HOUSING MARKET (COUNCIL FILE 04-0777, COUNCIL FILE 07-0883,
COUNCIL FILE 08-2381)
I was at a meeting today and Garcetti thought we were all so naive not to know the corruption within CRA he made them sound as if they actually do good in the community. He said that it was because of money from the CRA that there were illegal vending task force in the Rampart Area. However, now that the State cut funding there’s no money for that. Garcetti really insults our intelligence. Is CRA in the business of Public Safety can that be true???
RE 10/2 5:57pm. YES. Nearly anything is now considered “redevelopment” by CRA/City. AB2531 would have been a field day to grab more tax money and staff up (after crying budget deficit and telling staff to retire or there would be lay offs of 50-60). CEO can now hire her on select people.
RE Gruel audit. Waste of time. CRA is adept at not telling the truth, destroying documents,can’t find them purposely, re-eventing policies, etc., and have ran circles around City Controller auditors for years.
Since about seven/eight yrs ago, CRA managed to operate rather quietly. Then came CEO’s Overum, Benbow, Escalano, and now Essel who have been so blantant with their political/developer activities. CRA CEO’s and Board Commissioners are appointed by the Mayor who controls it all.
LOG ON TO: lacity.org and click on Council File Management System (CFMS) and in Criteria enter CRA. You will find a listing of all CRA actions approved by City Council and pending. Click on Council File No. and read the memos. Everyone will be astonished at the broad range of activities, and the expenditures of millions and millions of dollars and who receives the money.
Council approves items unanimously without discussion most of the time. The item is agreed to long before being scheduled for City Council.
After CRA Board Commissiones’ approval of items the Council must approve. Items should be approved by various committees before Council action, but as with the early retirement action the last version went directly to City Council. It was lumped into a number of other items and all were approved within 10 seconds without any discussion. (The first day back from several weeks’ recess)
You can also click on COUNCIL CALENDAR to see items scheduled for each day and open the memos.
All of this is very well orchestrated to prevent little public knowledge/comments which they will ignore anyway.
The City Council has not governed in so long.
Excellent idea mentioned above to have a blog dedicated to CRA corruption and activities. It is long over due that the citizens learn of this public agency and how the orginal definition of redevelopment has been redfined. It fosters corruption at every level, other City Agencys and private entities, individuals, City Councilmen, etc., including paid CRA lobbiest (CRA doesn’t use this term)in Sacramento. CRA also has contacts in Washington, D.C. to ensure the federal funds continues.
Information such as this would assist in the “Clean Sweep Campaign” to rid LA of corrupt City Council people and Mayor. CRA is in the middle ot this corruption.
Is a Grand Jury investigation possible since even a tax payer advocate’s role would also be influenced by this wide ranging group that wants CRA to remain as is for their benefit?
HUD has been investigating CRA for housing policy and funding violations. Could someone find out more details?
The cra activities in the City’s northeast communities and with Garcetti also mentioned above should be stopped. All City Councilman demand their portion of the CRA’s monies (city/state/federal/county) for their own personal goals to get recognition and further their political careers.
In essence, CRA is each Council persons’ private campaign slush fund! Naturally they approve all Council actions because they expect the same approval for themselves.
There was an excellent article in the LA Times this past weekend about various redevelopment agencies and the misappropriation of public monies and other questionable activities. CRA/LA was included. People know how to use CRAs’ powers, including eminent domain, and their sources of public funding for their own purposes — not for the good of the public. When there is some public benefit, these people have gained their profit and the total cost is usually astronomical.
The sleaziest of the sleaze is Jan Perry, the Redevelopment Welfare Queen. She has more Redevelopment territory in her Council District than any other Council member. She shifts money from downtown areas to other pet projects.
Perry may be under investigation for her links to Concerned Citizens of South Central Los Angeles. And Ron recently posted that complaint filed with the DA about Noreen McClendon, the head of Concerned Citizens. The stench is overwhelming.
Watch Perry squeal when Cooley and the feds fry her for all of the corrupt dealings in her District – especially with Concerned Citizens.
Along with CRA and Planning Dept, add the Dept of Building and Safety to the list of most corrupt agencies in LA. B&S is part of the development approval process. Bud Overum who was a Deputy Mayor and before that CRA CEO now heads B&S. I see he left cra with a $200,000+ PERS retirement.
The Mayor appointed him to each position to expedite CRA and other things the Mayor is pushing through without regard to normal processing procedures and scrutiny.
Would seem that once you are receiving a public retirement that you could not go to work for any public agency again that is funded with public tax payer dollars. But, it doesn’t work that way.
“Redevelopment funds are to be used solely for the purpose of eliminating blight in urban neighborhoods in California cities”
Scary thought: At the rate Council and the mayor’s going with rate increases and lack of services, the entire city could conceivably fall under this definition someday.
To October 2, 2010 7:32 AM,
You are right on Target with your comments regarding Christine Essel getting a sweetheart deal. Here’s two questions that a reporter should ask:
1. Does Ms. Essel’s previous time of service with the CRA in the 1990s get bridged or added to her current time?
2. What is total value of her retirement package when her current stay is over?
You know, we campaigned to keep Essel out of a City Council seat. Why don’t we start digging to get her tossed out of the CRA. This woman is a disgusting shill for wealthy developers who have literally raped this City. This mouthpiece for that scum needs to be given a pink slip as soon as possible.
1:27 AM & 7:23 AM,
Doncha know? Get rid of her and she will be replaced with a clone. To boot, Essel will get a nice exit package. Then the new clone will be set up with the same sweet deal. Why throw away additional money only to get more of the same?
Since the CRA is some sort of mandate, perhaps the position should be elected or somethin’ like that.
There is so much crap and corruption going on in this City. Steve Cooley wants to be elected AG he better get off his ass and start with city hall. Speaking of Jan Perry people better wake up to her bullshit. “Council approved a motion to accept the donation of a bronze statue of the figure who ruled Persia circa 600 B.C. Statue is being funded by Ezatollah Delijani, an Iranian-born investor whose family owns four Broadway theaters. The motion Jan Perry states that the Delijani family will pay for the statue’s design, fabrication, installation and maintenance.”" This statue should NOT be placed in Pershing Square. Huizar had the corner of 7th and Broadway named after this Family Delijani wiithout any input and Perry allowed them to get a liquor license for the Palace Entertainment on 6th Street. ALL WITH NO COMMUNITY INPUT. In May 2009 Huizar had Seventh Street and Broadway named “Ezat Delijani Square.” No community input. These foreigners are taking over our city because they have MONEY. I thought the NC’s represented the People.
Just because Essel might be replaced with a clone is not an excuse to do nothing. The ideal solution would be to get rid of the Mayor, Essel & Hollis, but that won’t happen overnight. So, maybe the next best thing is to get rid of Essel and her COO Hollis. At least this would be a start in right direction. I know it’s small, but maybe there’s a chance that the Mayor will select someone who is actually qualified in redevelopment. If there’s enough pressure from the citizens, the Mayor might be smart enough to use a selection process similar to the one used in selecting the Chief of Police. The solution has to start some place.
Please understand that whoever the Mayor appoints at CRA will be more of the same as evidenced in the past because they follow his orders almost on a daily basis. CRA is critical to the Mayor’s entire agenda and the City Council members. Anything can be considered blight depending on who is twisting the redevelopment law. It is impossible to challenge CRA. The Kramer law suit against the CRA as previously mentioned in Ron’s blog is an example and has been going on for years. CRA spends millions on all kinds of attorneys, including union.
Note: Bottom line, the Mayor and Council people are only representing themselves – not the people.
You have got to be kidding about the Police Chief selection. The Mayor carefully chose the Police Chief, one that would fall in line per his instructions,policies and so forth. Personnel selection practices at the CRA and City are a farce. Just enough to make some people think its all on the up and up.
CRA is not a mandate. It operates pursuant to the Calif Redev Law. Cra actions must be approved by the City Council. These include budget, financial, staff positions and salaries, contracts, vendor panels, development agreements, everything. The biggest item is the approval of redevelopment areas, or extending the life or area of a current one. This keeps CRA in existence because redev areas do have a life time, although long. Many have recently closed out because of this. That is why there is such a scramble to add areas and extend CRAs powers to keep CRA in existence.
You will see many Cooperation Agreements between the CRA and City being approved by Council where CRA is providing staff and funds to the City for engineering services, rec and park services, etc.
THE CITY COUNCIL CAN STOP ANY OF CRA’S ACTIONS BY VOTING NO ON CRA REQUESTS BEFORE COUNCIL.
The City’s Attorney, Trutanich, has difficulties keeping the Council legal because they ignore his legal opinions – he was not their choise, Weis was because he would have been a rubber stamp.
Think the way to remove the Council as they come up for election is through a combined effort such as LA Clean Sweep. The community must become more informed and active before LA collapes upon us.
Remove Essel? Talk to your Councilperson who put her there in the first place. The Mayor’s appointment of her was confirmed by Council!
Unanimously of course.
To By anon on October 3, 2010 12:32 PM,
Read all about Redevelopment in “Redevelopment, the Unknown Govt, aka “RUG”): http://www.missionviejoca.org/pdfs/rug_2004.pdf
Even without the horrible decisions voted by the City Council in their “oversight,” the CRA is not good for Los Angeles or the State, their actions are independent of real blight issues (they define blight as to what they want it to be)
1. Once a project area is established, all properties within the project area are declared blighted even brand new buildings or homes.
2. All increases in property values (the tax increment) in the entire project area are considered the result of CRA even if the property taxes in surrounding (non-CRA) areas and the region as a whole are growing with a good economy (eg. 1998-2008 time period).
3. This property tax increment is siphoned away for City and County vital services and is a large contributing factor to the budget shortfall (Worse than any politicos complaints about Prop 13).
4. Key powers of a CRA Project Area are the use of Eminent Domain for Private Projects (not public use) and the issuing of Bonds (indebtedness) without voter approval.
Charles 2:45p is absolutely correct. Thanks. More people in all cities need to understand the awful impact of all redevelopment agencies and how monies are diverted to CRA’s and not City governments.
The removal of “blight”, that is the sole purpose of CRAs, as Charles stated, can be determined to be anything.
There is another good article in the LA Times today Arrested Redevelopment. Many properties are removed from the tax roll when acquired by cra’s and the property taxes, sales taxes, etc. generated by the business or homeowners no longer exist. Many properties remian vacant for years before development and become truly blighted. If they are deveoped, refer to #5 of Charles concerning the tax increment CRA’s receive from the new property taxes that do not go into the City’s general fund, but the CRA’s. If the property is developed by a tax exempt entity, such as a non-profit, no property taxes are due. In either case, cities lose this revenue source.
Good comparison that CRA’s are worse than Prop 13. CRA’s belong to a Community Redevelopment association that is powerful, but the Governor overcame them (dispite law suits/appeals) when he took millions from all CRA’s recently and directed these monies to schools in order to help the State Budget shortfall. CRA’s have destroyed neighborhoods, lives, livlihoods, including creating budget shortfall for the cities.. so much.
To October 3, 2010 12:32 PM:
Regarding your point about Clean Sweep – I agree that is really the best way to stop the CRA abuse since the City Council oversees them.
We really need a written pledge or perhaps make it a litmus test for endorsement by Clean Sweep – To oppose the CRA creating any new Project Areas and to oppose the use of Eminent Domain under CRA (Private, not public projects) and in some cases (consulting some excellent lawyers), abolish the CRA project areas.
The CRA has a memo that identifies Project areas that are expiring. When the CRA creates a new Project Area, they typically have a 12-year life.
But our dear friends that ultimately oversee the CRA, namely the City Council have renewed these project areas for what seems eternity. Just look at Bunker Hill which has been in existence since 1959!
Council will keep renewing the Bunker Hill Redeveloperment area until they get it right!
DEATH TO THE CRA!
To October 4, 2010 12:50 AM,
Re: Bunker Hill. Reminds me of the song, “In the Year 2525.”
The connections behind the doors that lead to the backroom deals for development through the CRA lead straight to our controller, Wendy. She worked for four years in Washington DC for HUD under Cisneros who is now a financier for developers.
When she came from Washington back to Los Angeles, she went to work for Dream Works helping them develop their airport property. When she was elected to the City Council, she brought Smart Growth to Los Angeles full force – the theory that tall, mixed use buildings with little or no parking should be built in the dense areas where services and transit already exist or can be built. This theory insists that people want to live in a six-story condo where they can work at home, eat at the deli on the first floor, shop and seek services locally, and to take the bus or rail to get out for recreation. This theory is supposed to operate in the name of saving the remaining open space.
Chris Essel was selected and supported by Wendy and her staff to take her place at City Council after Wendy was elected as Controller. Essel had already had experience working for the CRA/LA and sits on the State CRA Board. Once appointed to the job by the Mayor, she hired Wendy’s Planning Deputy, Jim Dantona, in a drummed up job as a PR guy at $123,000 a year.
It is rumored that Greuel and Garcetti knew each other prior to their time on the City Council and Wendy worked with Alarcon for Mayor Bradley before she went to Washington. Wendy and Villaraigosa were attached at the hip for the first years of her stint on the City Council and, although they had a falling out, they are still working on the same development page.
Should Wendy Greuel audit the CRA? It would probably be wiser to just give the city to Ms. Greuel and her many development cronies?
Excellent connection of the dots and the slimy workings of cra/city hall. Gruel is bad, bad news. She is entrenched in political garbage. Audits of CRA by anyone at the City will provide only those conclusions pre-determined by the CRA/City. Some audits in the past by City or Consultants were simply tossed if not to CRA’s satisfaction. Essel is merely a puppet supported by her CRA consultants, attorneys, Mayor, etc.
Daytona, referred to above and her new Chief Deputy hired last month, was a direct appointment when he was out of a job and when there was a CRA hiring freeze and early retirement package/layoffs pending.
The 5-years extra years of service for retirees is an insult. It looks like 2 years, but 3 years more can be bought by staff that will be FULLY REIMBURSED BY CRA = 5 years. This totals to about 9% salary increase on top of exellent salaries for all. A large portion of salaries are over $100,000 and many others nearing that. In addition, retirees are receiving $20,000 – $40,000 cash bonus.
Personnel compensation audits (salaries vs work duites vs other agencies) have been conducted in the past, but thrown away. Too many toes were stepped on and Union objections.
CRA staff have 2 more years of COLA’s forthcoming further increasing salaries.
Excellent connection of the dots and the slimy workings of cra/city hall. Gruel is bad, bad news. She is entrenched in political garbage. Audits of CRA by anyone at the City will provide only those conclusions pre-determined by the CRA/City. Some audits in the past by City or Consultants were simply tossed if not to CRA’s satisfaction. Essel is merely a puppet supported by her CRA consultants, attorneys, Mayor, etc.
Daytona, referred to above and her new Chief Deputy hired last month, was a direct appointment when he was out of a job and when there was a CRA hiring freeze and early retirement package/layoffs pending.
The 5-years extra years of service for retirees is an insult. It looks like 2 years, but 3 years more can be bought by staff that will be FULLY REIMBURSED BY CRA = 5 years. This totals to about 9% salary increase on top of exellent salaries for all. A large portion of salaries are over $100,000 and many others nearing that. In addition, retirees are receiving $20,000 – $40,000 cash bonus.
Personnel compensation audits (salaries vs work duites vs other agencies) have been conducted in the past, but thrown away. Too many toes were stepped on and Union objections.
CRA staff have 2 more years of COLA’s forthcoming further increasing salaries.
Excellent connection of the dots and the slimy workings of cra/city hall. Gruel is bad, bad news. She is entrenched in political garbage. Audits of CRA by anyone at the City will provide only those conclusions pre-determined by the CRA/City. Some audits in the past by City or Consultants were simply tossed if not to CRA’s satisfaction. Essel is merely a puppet supported by her CRA consultants, attorneys, Mayor, etc.
Daytona, referred to above and her new Chief Deputy hired last month, was a direct appointment when he was out of a job and when there was a CRA hiring freeze and early retirement package/layoffs pending.
The 5-years extra years of service for retirees is an insult. It looks like 2 years, but 3 years more can be bought by staff that will be FULLY REIMBURSED BY CRA = 5 years. This totals to about 9% salary increase on top of exellent salaries for all. A large portion of salaries are over $100,000 and many others nearing that. In addition, retirees are receiving $20,000 – $40,000 cash bonus.
Personnel compensation audits (salaries vs work duites vs other agencies) have been conducted in the past, but thrown away. Too many toes were stepped on and Union objections.
CRA staff have 2 more years of COLA’s forthcoming further increasing salaries.
Cartel type contract bidding at the Los Angeles Department of Water and Power (DWP), specially designed for a chosen few 6 bidders only.
You would see two bidders within the cartel getting awarded on the basis of two pages of papers given by co-bidder to another co- bidder, who marked-up the price, get awarded, and passed the contract work quietly to source co-bidder. So, among the elite six bidders, two bidders won, right?
Audit Director James Tan? Oh, he just suppressed the audit report and its $850,000 fraud finding after hybernating it for 18 months. Cool job, right? What he gets? Naturally, more power and untouchable authority. Could be linked to the chief operating officer Raman Raj, whose name appeared on a blank approval form.
Only in DWP, you see it. Bell City? it’s a dot in the radar. City Attorney? The mighty cover-up using their legal jargon and semantics. Common knowledge: Facts once documented cannot be buried by legal magicians. You cannot change historical facts anyway. Instead of investigating, they spend taxpayer’s resources to cover-up, presented by Audit Director.
Anyone interested can demand proofs by California Public Records Act and specify that the report should be available even though suppressed, as it is still on file or ask via this section